Investment banks find it less difficult to price securities if the firm has prior issues currently selling in the market,called ________.

Question

Quizplus · Accepted Answer

Seasoned issues are securities that a company has previously issued and are currently trading in the market. Investment banks find it easier to price new securities if they have prior experience pricing the same company's seasoned issues. This is because market conditions and investor demand are more easily observable when a company has issued securities in the past.

Investment Banks Find It Less Difficult to Price Securities If