Basic IPO FAQs

In the early price discovery session, How the IPO share price is defined?

The price discovery session, which is an early trading session prior to the listing of IPO shares, is an early trading session. This process is also called a 'call auction'.

This session lasts for about an hour before regular trading begins. When regular trading begins, the circuit filter will be calculated based on the session's weighted average price.

According to SEBI (the market regulator), there are no limitations on price discovery during price discovery sessions. During price discovery, the exchanges have an operating limit of 75%. This is so that the process does not get twisted by a few random bids. BSE and NSE officials can jointly relax the ceiling if there is a lot of demand for the higher end of the 75% range. If demand isn't as high, the ceiling of 75 percent will remain.


What do you mean by IPO?


By whom the 'Price Band' is decided?


'Date of issue' is decided by whom?


What a registrar of an IPO does?


What is role of Lead managers in IPO?


What does 'follow on Public offering' or FPO means?


What are Primary market & Secondary market?


How can you define the life cycle of an IPO prospectus?


What are the life cycle of an IPO?


what are the basic differences between Book building and fixed price issue


How is Floor price different from Cut-off price for a book - building issue


Differentiate between RII,NII,QIB, & Anchor Investor


Retail investor, I would like to invest more than Rs 1 lakhs in an IPO. What is the best way to invest in the Non-institutional bidders' category? What are the pros and cons of investing in this category?


Is PAN number mandatory for applying in an IPO?


IPO remains open for how many days?


After submitting the application in IPO,what details I should keep?


For an IPO,what is the 'Market lot size' & 'Minimum Order quantity'?


Will I get guaranteed amount of shares if applying for an IPO?


Is investing in IPOs less riskier than in direct stock market?


Can someone apply through more than one application in IPO with the same name?