Net, Tech Stock Ipos   February 29, 2000|JANE BRYANT QUINN   IPO
actually means "initial public offering." That's the first time
a company sells its shares to the public.  Everybody wants a
piece. Led by the Net and tech stocks, IPOs set all-time records
last year, says Jay Ritter, professor of finance at the
University of Florida in Gainesville.  On their first day of
trading, they soared an average of 70 percent, compared with
just 14 percent between 1990 and 1998. In trading after the
first day (known as the "aftermarket"), gains averaged 69
percent.  So who gets this free money -- a $15 stock that could
zip to $50 the first day it trades? Bend your ear while I
whisper: not you.  Up to 85 percent of an IPO goes to
institutions, such as mutual funds and pension funds. A handful
of brokerage companies get the rest, to allocate to customers.
Mostly, they're the traditional, full-service firms. Online
companies get pieces of deals, but not enough to satisfy their
soaring numbers of accounts, says Daniel Burke