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Are US corporates paying too much for their IPOs?

European IPO fees are three percentage points lower, new study finds

Companies listing on the stock market in the US will, on average, pay more in fees to investment banks than companies that float elsewhere in the world, according to a new academic report.

The economic paper - by Mark Abrahamson, Tim Jenkinson and Howard Jones of Oxford University - seeks to examine why fees for US initial public offerings have held steady at around 7%, while European IPO fees are "roughly three percentage points lower, more varied, and falling".

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