Series 79 practice questioneasyIPO Process
During book-building for an IPO, which party primarily gathers investor indications of interest?
- AThe lead underwriter✓ Correct answer
- BThe SEC
- CCompany management
- DExchange listing officials
Explanation
Why A — The lead underwriter
The lead underwriter is responsible for collecting investor demand and building the order book. The SEC and the exchange do not handle this process, and company management supports but does not run book-building.
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