IPO fees have long generated controversy. When the tech bubble burst back in 2000, the notion that banks were guilty of price-scheming to keep underwriting fees high was in vogue, though an investigation never produced much. Fees are back in the headlines now that the LSE and its AIM unit have cleaned the clocks of U.S. exchanges for initial offerings. Sarbanes Oxley is likely not the whole reason. The real issue may be fees, and why U.S. banks are not cutting them. Are fees sensitive to the market? You would certainly expect some discounting, even for premium services, though perhaps not to European levels. My bet is that the top banks may be forced to do some selective cutting in the near future.

For more on fees:
- Here's an article from TheStreet.com