BREAKING NEWS
Cloud Server Hosting For Online Businesses
Inexpensive SEO Services
Benefits of Wanting to play Free Online Slot machines
Devolvement

Summary

In the investment banking sector, particularly in India, devolvement is a process whereby if an investment issue is undersubscribed, an underwriter is required to subscribe to the remaining shares. The outstanding unsubscribed amount devolves onto the underwriter.[1] This is also known as hard underwriting.[2] The Securities and Exchange Board of India publishes guidelines and a recommended method of computation relating to the extent of the devolvement onto a particular underwriter in the case where there are multiple underwriters, or sub-underwriters.[1]

Notes edit

  1. ^ a b Subramanyam 2008, p. 9–4.
  2. ^ CompetitionCommission 1999, p. 58.

References edit

  • Subramanyam, Pratap G (2008). "Underwriting". Investment Banking: Concepts, Analyses, and Cases. Tata McGraw-Hill Education. ISBN 978-0-07-065690-1.
  • "3. The share-issuing process" (PDF). Underwriting services for share offers: A report on the Supply in the UK of underwriting services for share offers. Competition Commission. 1999. Archived from the original (PDF) on 2003-07-31.

Further reading edit