Rules of the Game: Use Caution With IPOs

The young year has already been a busy one for IPOs. That's understandable as companies seeking capital prefer to sell shares in bullish rather than bearish (or sideways) market conditions, whenever possible. This week, the successful debuts of Boise Cascade (BCC) and ExOne (XONE) were in the forefront.

But use caution with IPOs. In other words, don't get swept up in the hype and the hope of getting into something early. It's very typical for IPOs to show significant gains in their early days and weeks of trading, and then fall below the offer price....460 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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