This study examines the relative importance of underpricing as a signal of
firm value, underwriter certification, subscription levels of shares on offer,
and uncertainty surrounding firm value on mispricing of initial public
offerings. A sample of 100 Singaporean initial public offerings (IPOs)
during the period 1998 to 2000 indicates that subscription levels of shares
on offer have the most significant impact on mispricing. This is followed by
offer price, market value and trading volume in IPO shares on the first
day of trading, and uncertainty surrounding IPO value.