As the name suggests, pre-apply IPO applications are the ones that allow an investor to apply for a specific IPO before the bidding period starts. Usually, pre-applications start 3-4 days before the actual bidding period. With Motilal Oswal, you can now pre-apply for any IPO, to make sure you don’t miss the bid.

The minimum investment required for an IPO is decided by the company, which ranges from Rs 12,000 to Rs 15,000. However, a retail investor can invest a maximum of Rs 2 Lakh in an IPO.

It is not mandatory for an investor to have a DEMAT account to invest in an IPO. But, to trade the shares allocated in the IPO, an investor will have to open a DEMAT Account. bt with Motilal Oswal now!

To sell IPO shares on the listing day, an investor can make use of the pre-market session to place the sell orders. This can be done by selecting the option of 'selling'. Post this, you can set certain parameters such as the trigger price (price at which you wish to sell the share), number of shares to be sold, etc. once the shares get listed.

Listing day returns of an IPO depend on variety of factors such as the fundamentals of the company, valuations, percentage of institutional buyers, High-net-worth individuals (HNI), etc. Although it is not possible to correctly specify the first day returns, an investor can expect good-priced IPOs to at least bounce up by 10%.

The issue price of an IPO is the price at which a company sells its shares. The IPO is then listed at exchanges. The listing price is the opening price of the share on the listing day.

DRHP means Draft Red Herring Prospectus. This means, DRHP is a draft that does not have complete particulars on the price of the securities offered and quantum of securities offered. On the other hand, RHP is the final prospectus that is approved by the SEBI. RHP, thus contains all information and data with respect to the price of the shares offered for sale, and the number of shares an investor will be allocated.

Price band of a share in an IPO is a price range set by the company to sell its shares to the public. Price band allows the company to know if an investor is eager to buy the share at an upper range or at the lower range. For example, if the price band of a particular IPO is priced at rupees 200 to 250 per share, an investor cannot bid below rupees 200 or beyond rupees 250 per share. Price band varies depending on the type of investor.

To apply for an online Initial Public Offering (IPO) through Motilal Oswal, you first need to open a trading and demat account with us. Once you’ve opened it, log into the Motilal Oswal trading portal using the credentials given to you and select the IPO that you wish to invest in. Upon selecting the same, proceed to enter all the relevant details and place the order. And that’s it. With Motilal Oswal, investing in IPOs online is extremely easy and quick.