Research On The Impact Of Venture Capital Institutions' Human Capital Characteristics On Growth Enterprise Market IPO Underpricing

IPO underpricing is extremely common in the capital markets of countries around the world.Since the 1970s,the issue of IPO underpricing has triggered a long-term and deeper and deeper exploration of authors at home and abroad,but because of having not formed a unified theoretical explanation,it has been called the "IPO underpricing puzzle".The development of GEM since the opening of the market has also shown a significant high IPO underpricing.As an active force in the GEM,the involvement of venture capital has a significant effect on the IPO underpricing has already been confirmed.Considering the intelligence-intensive characteristics of VC industry,how does the human capital of venture capitalists as a heterogeneous resource owned by venture capital institutions affect the underpricing performance of listed companies they invest in?What is the mechanism of these differences in human capital for the invested companies?This is a subject worth studying.This paper takes all companies which have already listed on the GEM from October 2009 to June 2014 and had a VC background as a research sample,starting from two different levels:the senior management team of the VC institution and the team leader of the VC institution.Six important dimensions of human capital:gender,education level,educational background,overseas background,and professional experience were selected to explore the impact of the heterogeneous characteristics of VC institutions on the IPO underpricing of venture firms.On the basis of classical theory at home and aborad,the research of this paper proposes the specific impact mechanism of VC institutions' human capital on underpricing:screening selection effect,supervision and certification effect and market power effect.Concrete analysis of the empirical results and their combination.The research found that:(1)The proportion of master,the proportion of members who have worked in management,technology or investment,and the team's average VC industry working years have positive significant influence on the IPO underpricing level.The proportion of majored in science/engineering members,The proportion of who has overseas experience will significantly increase the underpricing rate of venture firms.(2)If the leaders of VC institutions are female,have a master's degree or have worked in this industry for a longer time,the IPO underpricing will significantly reduce.(3)Compared with the individual characteristics of leaders,the characteristics of TMT can more significantly affect the IPO underpricing of venture firms.At last,based on the empirical conclusions,this article puts forward policy recommendations from three perspectives of VC institutions,startups,and supervisors in order to enrich the practical significance of the results of paper.