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IPO Videos 120 videos

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Finance: What is a road show? 4 Views


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Description:

What is a road show? In order to generate excitement about a new product, companies often resort to social media as well as the more conventional trade show in order to answer questions and hype their product’s capabilities. Steve Jobs was a master of doing this for Apple. IPOs of stocks have to generate their buzz as well, but more for a specific clientele: institutional investors, funds managers, and individual investors, in that order. The road show is still the most effective way to conduct this kind of promotion, since the in person energy, party like atmosphere, and the ability to Q & A with actual management is a direct line to the prospective IPO buyers, who will make or break the stock’s opening trade day.

Language:
English Language

Transcript

00:00

Finance a la shmoop... what is a roadshow? think about the rhymes IPO Roadshow....

00:14

but the two terms are lines from a sweet sweet poem if you're an investment banker as part [Poem of investment banking book appears]

00:20

of your firms job you'll take management of whatever company is going public or

00:24

raising capital in whatever form on what is called a roadshow, they'll go on the

00:31

road traveling all over the country and all around the world like they're a

00:35

vaudeville act singing crazy songs and showing men in dresses and wearing hats [Man in a pink dress and a blonde wig]

00:41

that was a thing back then that was entertainment sorry, just keeping it

00:44

real with the sales people banging a drum [Boy walking in the woods banging a drum]

00:46

about how awesome this new hair growth formula is they'll attract investors on

00:52

their Roadshow from all over the country maybe all over the world and they'll

00:55

point out how much need there is for hair around the world..

01:01

Yeah and they'll also bang a [Dwayne Johnson appears from a door]

01:05

tambourine and sing about how much the stock could go up next the next few

01:09

years yeah they'll do that and there's a PowerPoint presentation deck on this

01:13

road show lots of numbers traded among financial analysts for stock brokers and

01:18

money managers analysts to all chew on and that Roadshow continues almost like [Hilary Clinton and Donald Trump on stage]

01:23

an election with a final tally on the day the shares are placed and the cash

01:27

changes hands and a new public company is born...

01:31

let's just hope someone remembered to you know pack the diapers

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