Things to check before investing in IPOs

Basics of IPOs

Know the basics of how IPOs work, including the process of a company going public, how shares are offered, and how investors can participate.

SEBI regulations

Under SEBI guidelines and regulations regarding IPOs, as they outline the disclosure requirements and other important aspects.

Under the business model

Analyse the companys operations, financials, and future prospects.

Grey Market Premium

They Grey market is an unofficial market where IPO shares are traded before the official listing. It indicates the expected listing price. However, note that this information may not always be accurate.

Review the red herring prospectus

This document provides detailed information about the company, its finances, and the IPO process.

Be aware of the market sentiment

IPOs often experience a temporary price surge due to hype. Be careful of overpaying.

Choose a reliable broker

Select a broker with a proven track record and expertise in IPOs. Ensure the broker offers a user-friendly platform for IPO applications. Compare brokerage fees and other charges.