Journey Shares

IPO (initial public offering)

Also called: initial public offering, going public

An IPO is the first time a company sells shares to the public, after which its stock trades on an exchange.

Investment banks underwrite an IPO: they help set the price, find buyers and earn a fee, usually a percentage of the money raised.

In Journey Shares

Listing someone is the game's IPO. The player who lists them earns an underwriting fee of 1% of every buy in the first week. →

Related terms

  • Underwriter: An underwriter is the investment bank that manages a new stock or bond issue, pricing it and selling it to investors in return for a fee.
  • Shares outstanding: Shares outstanding are all the shares of a company currently held by investors.
  • Stock exchange: A stock exchange is a regulated marketplace where buyers and sellers trade shares, such as the New York Stock Exchange (NYSE) or Nasdaq.

Practise with $10,000 in play money

Free. No real money involved.

Journey Shares

For learning only. This isn't financial advice.