Steer clear of IPOs

Don’t buy into the hype. Here’s why you should shut your eyes and ignore newly public companies.

It’s been a dull year for the investment bankers who take companies public. In America, there have only been 96 initial public offerings (IPOs) of common stock this year. Yet, when a new company goes public, investors still get giddy. They’re desperate to get in early on the next Google or Facebook. And they’re willing to roll the dice. The question rem…