A:

A dog and pony show, or a road show, is a term used to describe a seminar or forum that has the purpose of introducing new products or financial securities issues to potential investors or buyers. A dog and pony show is usually hosted by investment banks and firms that have products or securities to sell.

When a company wants to issue an IPO or needs investments in order to proceed with a new product, the first thing it does is hire an investment bank or firm to do the underwriting. These investment entities then seek investors for the securities and hold dog and pony shows to convince potential investors of the worthiness of the products or securities.

For more on this topic, read The Murky Waters of the IPO Market and IPO Basics Introduction.

This question was answered by Chizoba Morah.

RELATED FAQS

  1. How do corporate actions affect floating stock?

    Learn what floating stock is, and find out about some of the actions a company may take to affect the amount of the company's ...
  2. What are the advantages and disadvantages of listing on the Nasdaq versus other stock ...

    Discover some of the primary advantages and disadvantages that exist for companies listed on the Nasdaq exchange rather than ...
  3. What securities does the primary market deal with?

    Find out what kinds of securities are traded on the primary market, including who can participate in trading and the basics ...
  4. What types of companies hire a chartered financial analyst (CFA)?

    Find out which types of firms typically employ chartered financial analysts, what positions CFAs frequently hold and which ...
RELATED TERMS
  1. Volcker Rule

    The Volcker rule separates investment banking, private equity ...
  2. Dog And Pony Show

    A colloquial term that generally refers to a presentation or ...
  3. Investment Bank - IB

    A financial intermediary that performs a variety of services. ...
  4. Red Herring

    A preliminary prospectus filed by a company with the Securities ...
  5. Glass-Steagall Act

    An act the U.S. Congress passed in 1933 as the Banking Act, which ...
  6. European Investment Bank - EIB

    A non-profit European Union institution based in Luxembourg that ...

You May Also Like

Related Articles
  1. Personal Finance

    Top Spots to Wine and Dine Clients in ...

  2. Investing

    Which is the Better Bet: Amazon or eBay?

  3. Investing

    Why Do Companies Choose NASDAQ for Their ...

  4. Entrepreneurship

    How Microfinance and Investment Banking ...

  5. Entrepreneurship

    Should I Have An IPO on My Business

Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!