Securities Underwriting

Securities underwriting is a process where financial experts, called underwriters, help companies raise money by selling their stocks or bonds to investors. The underwriters assess the company's value, set a price for the securities, and often commit to buying all the issued securities themselves, guaranteeing the company raises a certain amount of funds. They then sell these securities to investors, managing the risks involved. This process helps companies access capital efficiently while providing investors with opportunities to buy new securities directly from the issuer.