Segmented financial risk tolerances within the standardised initial public offering regulatory environment of the Australian Securities Exchange

This study examines differentiated financial risk tolerance attitudes between three listing branches within the Australian Securities Exchange’s (ASX) standardised environment. Western Australia’s (WA) concentration of earlier-stage IPOs (51% all ASX small, (predominately mining) initial public offerings (IPOs)) appears to reflect a localised ‘entrepreneurial’ attitude towards smaller, higher-risk transactions, comparative New South Wales and Victoria . Our mixed method approach identifies that small-cap, capital raising experiences are (in)/formally shared through key ‘gatekeepers’, shape locally adopted funding capabilities, business processes, attitudes. Underlying were influenced by confidence in recognition management risk, thereby increasing propensity participate more speculative opportunities, WA’s presumptive higher tolerance.