Rights issues are a common way for raising equity in the Scandinavian market (Norway, Sweden and Denmark). We have investigated underwritten rights issues in the Scandinavian countries for the period 2002-2010. Our full sample consists of 101 rights issues. The focus of this study is to examine the relationship between risk and reward relating to underwriting services and possible differences within Scandinavia. Based on the suggestion of Galai and Schneller (1978) we have assessed the value of the underwriting fee using option pricing framework. Our analyses shows that the underwriting fee...