You can expect the following benefits from investing in an IPO, whether it is for bonds, stocks or non-convertible debentures:
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Early Investment:
For the long haul, investing in a new company and growing with it can prove potentially fruitful from an investor’s point of view. Any company, for instance, that comes up with a novel or innovative creation could be lucrative over time and you would gain from your investment
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Short-term Gains:
Most IPO investments bear some fruit in the long run. However, there are companies that see gains as soon as they’re listed on exchanges. Small Investor Preference - Under the guidelines laid forth by the Securities and Exchange Board of India (SEBI), small investors may get favoured treatment when shares are being alloted. Small investors may even get some discount on the price of equity stocks.
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Transparency:
Shares in an IPO are far more transparent in terms of their value and pricing than shares listed on stock exchanges. Investors know what accurate prices are, and there are no discrepancies.