71.0k views
2 votes
In an underwriting, which of the following is earned by a syndicate member who sells the issue directly to the public?a. Underwriter's Concessionb. Selling Concessionc. Spreadd. Management Fee

1 Answer

4 votes

Answer: underwriter's concessions

Step-by-step explanation:

An underwriting simply means to determine the price and risk of a particular security. An underwriting is typicall seen during initial public offerings, whereby investment banks buy securities at first and then later sell the security in the market.

In an underwriting, the underwriter concession is earned by a syndicate member who sells the issue directly to the public.

User Gauranga
by
6.6k points