The price at which offered securities are sold in a Dutch auction underwriting is determined by the:

Question

Quizplus · Accepted Answer

In a Dutch auction underwriting, the price at which the securities are sold is determined by the bidders. The auction starts with a high price, and the price is gradually lowered until the demand matches the supply. Each bidder can indicate how many shares they are willing to buy at the given price, and the final price is the lowest price at which all of the shares can be sold. The lead underwriter facilitates the auction, but ultimately the price is determined by the bids of the potential buyers.

The Price at Which Offered Securities Are Sold in a Dutch