Why IPO Investors Are Set Up For Failure

Since the beginning of last year, the IPO market has largely been a spectacular failure, with a number of high-profile companies falling off dramatically after first sprinting out of the gate, including Box, GoPro and FitBit. Some have pinned the blame on a poor economic environment, contending that given the uneven macro picture, coupled with all the major indexes being off by more than 5% over the last 12 months, the landscape was unaccommodating to all equities, let alone IPOs.