How do I buy IPO stock?
Companies can raise equity capital by offering shares to the general public with the aid of an IPO. This can also be accomplished by selling off the current shareholders’ shares without generating any additional cash or debt.
To invest in IPO shares, you must first create both a Demat and a trading account. Typically, only Demat accounts are necessary to acquire shares in an IPO. However, if you want to sell your IPO shares on the secondary market in the future, you’ll need to create both a Demat and a trading account.
An IPO, or Initial Public Offering, is a profitable investment opportunity for a wide range of investors. However, like with any investment, any possible IPOs should be properly examined and evaluated by the investor. According to data the IPO investment is believed to provide around 200% of return but in some cases it goes down to its original value. By registering a Demat and trading account with IIFL, you may begin investing in the numerous IPOs which are accessible on the stock market.
In order to subscribe for IPO stock, you will need to have a Trading-Cum-Demat Account. Only with such an account can you trade and invest in securities. After that, when the IPO goes live you need to submit your bid amount and lot size, the amount of which will be deducted from your linked savings account. If the demand for the IPO is moderate then there’s a good chance that you will be able to get the shares, if the demand is more than it is less likely. Either way getting the IPO is a pot of luck.