Gross Spread

Filed Under » Stocks

	Definition of 'Gross Spread' The difference between the underwriting price received by the issuing company and the actual price offered to the public.
	Investopedia explains 'Gross Spread' By charging the public a higher price for an IPO than the price paid to the issuing company, the underwriters are able to make a profit. For example a company might get $15 per share for their IPO, but the underwriters sell the stock to the public at $17--profiting $2 per share.

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