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This. All to the benefit of the investment bank and their best customers who are rewarded with allocations of “hot” ipo’s.

How I know this: I have been the recipient of allocations in the past.

In return for telling them how much your interested and at what price.

No, they tell you what the price will be at the last moment. They do indicate a range. They don’t really care what you think about the price.

Markets have order books for that kind of thing. In fact, that is what a direct listing is based on.