Using the paper by Kregel (2010) , the case study on Lehman Brothers and your own additional research, argue whether investment banks should perform any other activity other than underwriting of securities. (15 marks)
According to Smith and Warner (1979) how are bond covenants used in debt contracts to
control the conflict between bondholders and stockholders ? (15 marks)
Answer the following question after reading the case study on LinkeIn’s IPO
What are the causes of underpricing? Use relevant academic research to supplement your answer.