What is an IPO and how to invest in an IPO in India?
Are you aware of the term IPO? IPO (Initial Public Offering) is gaining tremendous popularity as an earning source for both company owners as well as shareholders. IPO is a procedure where a privately held company sells out its share to the public and makes it a public-traded company. This way, the concerned company shares ownership with the public by engaging a number of shareholders. Also, the company responsible gets listed on the stock market. IPO is beneficial for both parties [the parent company as well as the investors]. On one hand, if you invest in an IPO , you can initiate trade efficiently with complete convenience by using your Demat and trading account. On the other hand, the company can raise capital by selling out shares to the public. It also increases the company's reputation, transparency, and credibility as it becomes a publicly-owned business organization. Two types of IPOs Two primary types of IPO are offered by companies. Before buying, you must know