Syndicate Bid

DEFINITION of 'Syndicate Bid'

A bid that can be entered in the Nasdaq system to stabilize the price of a Nasdaq security prior to the date of a secondary offering.

BREAKING DOWN 'Syndicate Bid'

A secondary offering increases the float. Therefore, stock prices of that security may fluctuate; a syndicate bid tries to stabilize this.

RELATED TERMS
  1. Pre-Syndicate Bid

    A bid entered by a syndicate manager or underwriter in the Nasdaq ...
  2. Stabilizing Bid

    A practice used by underwriters to stabilize the secondary market ...
  3. Bid Price

    The price a buyer is willing to pay for a security. This is one ...
  4. Breaking The Syndicate

    The dissolution of a group of investment bankers that created ...
  5. Syndicate

    A professional financial services group formed temporarily for ...
  6. Secondary Market

    A market where investors purchase securities or assets from other ...
Related Articles
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    What is a Syndicate?

    A syndicate is a group of professionals that temporarily form into one entity to handle a large transaction that’s too big for each to handle alone.
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    Comparing Primary And Secondary Capital Markets

    In the primary capital market, investors buy directly from the issuing company. In the secondary market, investors trade securities among themselves.
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    Negotiating the Bid

    A bid is an offer investors make to buy a security.
  4. Investing

    Understanding NASDAQ

    NASDAQ is an acronym that stands for the National Association of Securities Dealers Automated Quotation system.
  5. Markets

    How Nasdaq Makes Money

    NASDAQ provides a marketplace which offers money-making opportunities to investors. Investopedia explains how NASDAQ makes money.
  6. Markets

    How Bid Price Affects Liquidity

    The bid price is the amount a buyer will pay for a security.
  7. Investing

    What is the Secondary Market?

    The secondary market is where investors purchase securities or assets from other investors, rather than from the issuing companies themselves.
  8. Investing

    What's a Secondary Offering?

    A secondary offering is the issuance of new stock from a company that has already made its initial public offering.
  9. Investing

    A Look At Primary And Secondary Markets

    Knowing how the primary and secondary markets work is key to understanding how stocks trade.
  10. Markets

    What is a Syndicated Loan?

    A syndicated loan is one that involves a group of lenders (called the syndicate) who pool their lending resources to make a loan.
RELATED FAQS
  1. Why are the trades that occur in the secondary market important to a firm?

  2. What constitutes a secondary market?

    Find out what constitutes a secondary market, and learn why that term can be applied far more broadly than you might initially ... Read Answer >>
  3. Why do we need a secondary market?

    Find out why secondary markets play a crucial role in economic activity by promoting efficiency, safety, information and ... Read Answer >>
  4. What's the difference between primary and secondary capital markets?

    Learn how in the primary capital market, securities are issued for the first time, while in the secondary market, investors ... Read Answer >>
  5. Under what circumstances might a syndicated loan be arranged?

    Learn about the types of syndicated loans, why some lenders choose to establish or join a syndicate, and why some borrowers ... Read Answer >>
  6. What kind of assets can be traded on a secondary market?

    Learn about the difference between the primary market and the secondary market, and what types of assets are traded on secondary ... Read Answer >>
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