Underpricing and Long-Term Performance: A Study on Family Firm and Non-Family Firm IPOs in Indonesia
DOI:
https://doi.org/10.59141/jrssem.v5i1.971Keywords:
Underpricing, Long-Term Performance, Family Firm, CEO Characteristics, Auditor Reputation, Moderation of Underwriter ReputationAbstract
Abstract. This study aims to determine the effect of CEO characteristics, auditor reputation, and the moderation of underwriter reputation on the level of underpricing and long-term performance of family and non-family firms in IPOs in Indonesia. The study uses data from IPO companies between 2010-2021, with 350 companies as research samples, consisting of 140 family firms and 210 non-family firms. Data was collected from secondary sources such as the OSIRIS website, IDX, Bloomberg, and Yahoo Finance. The study found that Auditor Reputation has a significant negative effect on underpricing in family and non-family firms. The level of underpricing has a significant negative effect on long-term performance in family firms. Auditor Reputation has a significant positive effect on long-term performance in family firms, but Auditor Reputation does not affect long-term performance in non-family firms. The moderation of underwriter reputation weakens the relationship between family firms and underpricing but does not affect the relationship between family firms and long-term performance. It was also found that CEO characteristics do not affect underpricing and long-term performance in family and non-family firms.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Laylatul Inaya, Muhammad Saiful Hakim
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-ShareAlike 4.0 International. that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.
