Basic IPO FAQs

Why to bid a cuttoff in a book-building IPO?

Retail investors are advised to bid at a cut-off price in an IPO because your application will always get consideration for allotment regardless of the final allotment prices. This increases your chances of being allotted.


I have not marked cutoff, but has provided bid price at the upper band in an IPO request. will it make a difference?

No,it won't make any difference.


In a IPO ,if there any discount to retail investors then at what price should I subscribe?

Online bidding automatically takes into consideration discount offers when you bid at cut-off. Physical applications will ask you to enter the bid price, discount, and net price. For calculation purposes, you will need to consider the net price.


In one IPO application,should I submit three bids of one lot each at a different bid price?

This is not a good idea. Retail bidders should submit only one bid at the cut-off price.


What is the last time to apply for an IPO in the last day of IPO?

Online IPO applications have different deadlines. This varies from broker to broker. While some brokers will not accept applications after 1 PM, others allow you to submit your application until 3 PM. It can close at 5 PM on the …


When can be listing of IPO shares to be expected?

Genrally, within 2 to 3 business days after allotment. Sometimes it may take longer.


when does release of funds blocked for IPO to be expected in bank?

After 1 - 2 days after allotment, ASBA blocks funds for IPO are released.


When does IPO shares are credited to the demat account?

Just before the day the stock exchanges list the IPO shares, the shares are transferred to your demat card.


When does the allotment of IPO shares takes place?

IPO share allotment typically takes one week from the closing date for the subscription.


To get maximum allotment in retail category,How many lots should I apply in IPO?

1. 1.IPO will be oversubscribed multiple time in the retail category No matter how many lots have you applied for, you will only get one lot. This is because the lottery system is based on how many retail categories IPO …


Can I apply in the name of a minor or HUF to the IPO?

Yes,in the name of minor or HUF application can be submitted through a guardian.


In an IPO application form, whom I should consider applicant if I have a joint DP account?

One must submit the application with the Ist name in the joint bank account along with all the details such as PAN, DP, etc.


Which field make an IPO application unique?

Every IPO application must be unique in following ways: 1. Name of the first applicant 2. PAN number 3. DP ID + client ID These should never be repeated. If there are multiple applications in an IPO, they all must …


With different saving account in the same bank or different banks, can I apply multiple time with my name?

No. According to SEBI rules, a person can only submit one IPO application (technically one per PAN number). Multiple applications using the same PAN Number will result in all of your applications being rejected.


With my saving account, can I apply IPO in the name of family or friend?

Two types of banks can apply for IPOs using ASBA. Banks offer Third Party IPO Application Third Party IPO applications are offered by banks like RBL, Asix, and SBI. These banks allow you to apply for up to five IPO …


From sweep in/out saving account,can one apply for IPO?

You should not be sweeping the IPO application amount, as long as the account holds the required amount.


Can an IPO application be submitted through current account?

Most banks won't process IPO applications applied with current accounts. For more information, kindly contact your bank.


From one bank account, how many IPO application can be submitted through net banking?

Bank to bank, the number of ASBA IPO applications per bank account varies. SBI, for example, allows 5 IPO applications per account. ICICI Bank however, only allows 1 IPO application. Multiple applications may be accepted by the bank. It doesn't …


What are the different modes of applying to IPO?

Two ways to bid on IPO shares are available: 1. Online mode Your stock broker website can be used to apply for IPO shares. It is a very convenient way to apply to IPO shares and takes hardly one minute …


Using ASBA,how many applications can be submitted to IPO from one bank account?

ASBA allows you to submit up to five applications of IPO from one bank account.