Comment: Make hay while the sun shines – Gulf Digital News

Comment: Make hay while the sun shines – Gulf Digital News

Strong gains in equity markets over the past year, coupled with ample liquidity in the financial system, has led to a sharp rise in initial public offerings (IPOs) as of late.

IPO-bound companies are in a race to make hay while the sun shines on the back of favourable investor sentiment, an improved economic outlook, and abundant liquidity.

Typically, bull markets first start in secondary equities and after a span of around a year or so, fuel a boom in IPO issuances. We are at about 12-15 months into this bull market and the number of IPO offerings is encouraging to say the least.