Offering Price
Barron's Finance & Investment Dictionary:
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Offering Price
price per share at which a new or secondary distribution of securities is offered for sale to the public; also called public offering price. For instance, if a new issue of XYZ stock is priced at $40 a share, the offering price is $40.
When mutual fund shares are made available to the public, they are sold at net asset value, also called the offering price or the asked price, plus a sales charge, if any. In a no-load fund, the offering price is the same as the net asset value. In a load fund, the sales charge is added to the net asset value, to arrive at the offering price.
See also offer.
When mutual fund shares are made available to the public, they are sold at net asset value, also called the offering price or the asked price, plus a sales charge, if any. In a no-load fund, the offering price is the same as the net asset value. In a load fund, the sales charge is added to the net asset value, to arrive at the offering price.
See also offer.
| Offering Date, Offering Circular | |
| Offering Scale, Office of Management and Budget (OMB) |
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Offering Price
Investopedia Financial Dictionary:
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Offering Price
The price at which publicly issued securities are made available for purchase by the investment bank underwriting the issue. A security's offering price includes the underwriter's fee and any management fees applicable to the issue.
Investopedia Says:
Underwriters analyze numerous factors when attempting to determine a security's offering price. Ideally, an investment bank should accurately assess the value of the securities and the underlying firm, raising funds for the issuing company and selling the securities to investors for a fair offering price.
Related Links:
What's an IPO, and how did everybody get so rich off them during the dotcom boom? We give you the scoop. IPO Basics Tutorial
Thinking of investing here? We give you five tips to remember. The Murky Waters Of The IPO Market
Learning about these various activities can give insight into how securities are issued and traded. Brokerage Functions: Underwriting And Agency Roles
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Barron's Finance & Investment Dictionary
Dictionary of Finance and Investment Terms. Copyright © 2010 by Barron's Educational Series, Inc. All rights reserved.
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Mentioned in
Public Offering Price
(finance term)
Undigested Securities
(finance term)
Selling Concession
(finance term)
Asked Price
(in banking)
Rights Offering
(in accounting)
» More