Skip to main content
IPO

Underwriting Commission

In the world of finance, the underwriter plays a crucial role in the issuance of securities. They take on the risk of buying the securities from the issuer and then selling them to investors. This risk-bearing activity is compensated through a commission, which is a fee paid to the underwriter. This commission serves as a reward for the underwriter's expertise and willingness to take on the risk associated with the issuance. As such, it is an important aspect to consider when evaluating the cost of issuing securities.

Related terms

Go Public

Understand the meaning and definition of Go Public in the context of stock market, trading, and investments.

MORE
Joint Applications

Understand the meaning and definition of Joint Applications in the context of stock market, trading, and investments.

MORE
Secondary Offering

Understand the meaning and definition of Secondary Offering in the context of stock market, trading, and investments.

MORE
Brokerage

Understand the meaning and definition of Brokerage in the context of stock market, trading, and investments.

MORE
Selling Group

Understand the meaning and definition of Selling Group in the context of stock market, trading, and investments.

MORE
Pipeline

Understand the meaning and definition of Pipeline in the context of stock market, trading, and investments.

MORE

Open Free Demat Account!

Join our 3.8 Cr+ happy customers

+91
Explore other categories
Enjoy Zero Brokerage on Equity Delivery
10 Cr+DOWNLOADS

Enjoy Zero Brokerage On Stock Investments

Get the link to download the App

Scan this QR code to download the app
Get it on Google PlayDownload on the App Store

Open Free Demat Account!

Join our 3.8 Cr+ happy customers
+91