IPO Allotment Tips
IPO Allotment Tips | When we study the IPO Allotment Tips maximum of the remarks on the excessive subscribed ipos we found few of the questions like “i have now not been allocated any shares” “i haven’t got allotment in multiple packages” “why i’m now not getting allotment in final 5 ipo”. The matters are very much clear that the lucky man or woman get the allotment in excessive subscription IPO’s. Every now and then there are few top IPO’s wherein even folks that applied through simply 1 application and get the allotment at the same time as some applies in more than one numbers but still now not getting allotment. The matters are clear inside the scenario that the system is automated and the lucky winner is getting the allotment.
We are right here with a number of the IPO Allotment Tips and tricks which could give a extra chances to get the allotment in top and high subscribed ipo. It will virtually assist you to increase ipo allotment chances.
Lets talk about the IPO allotment procedure:
As per SEBI after October 2012 allotment of stocks in retail class is on proportionate foundation if the IPO over subscribed. In the case of over subscription if one is applying for Rs. 1,00,000, Rs. 1,50,000 or Rs. 2,00,000 the stock could be allocated as lottery system. The same stock may be allocated to the higher subscribed amount. The basis of allotment for the all the applied bid will be the same. As per current guidelines there will be no allotment is less than the minimum bid lot size.
How to increase chances for IPO Allotment:
There are few things you need to check before applying for the ipo. Here we recommend you to follow the below steps which will increase your chances to get the allotment in over subscribed ipos.
Step 1. Apply in more than 1 account for the same ipo
Do not apply with maximum bid in just 1 account but use the multiple accounts for the subscription. You should apply via multiple ipo accounts for high subscribed ipo. If the ipo subscribed 6 times and you applied in 6 different accounts it means you will get 1 application for sure. The application numbers should be in line for the same. More account can give a more chances for the allotment. In ipos which highly over subscribed and the good listing gain expect ipos multiple accounts have more chances to have an allotment.
Step 2. Go for minimum bids, No big applications
As per the SEBI rules the retail investors will get the minimum shares allotment in all the bid from minimum to maximum. We recommend that go for minimum bid only. For the over subscribed ipos one should go for minimum bids with multiple accounts. That will help you to invest spare money in multiple ipos as well.
Also check out: IPO Allotment Status
Step 3. Apply with different application numbers
When you are applying ipos which are going to have a huge subscription in retail one should apply with different application numbers. Do not apply in a with numbers which are in one raw other wise you might not get the stock. if the ipo subscribed over 20 times and you applied in 6 different accounts then apply with the different numbers so in a lottery you might get a chance to have an allotment.
Step 4. Select cut off price / higher price band
For applying for the ipo one should keep in mind that those who apply with the higher price band aka cut off price will get a maximum chance of the allotment. We recommend you to apply with cut-off price for the ipos in which you want to get the allotment in case of over subscription.
Step 5. No last moment subscription
If you have a mind set that you are going to apply for the ipo then go for it on the very first day or on the second day. If you are going to apply it on the last day but it might cause few issues like your bank account is not responding due to HNI and QIB high subscription. It is to take care that you do not miss the good ipos.
Step 6. Fill the details properly
Do not hurry in filling the ipo forms. One should fill the details properly like the amount, name, dp id, bank details and more. There are printed forms also available so one should go with it as well. Its a secure way to subscribe for ipo. You can go with ASBA via your bank but in which you need to check the details before applying the same. It will surely avoid technical rejection.
We are here to try to give best of the information about ipo allotment. Just gone through the all the information about IPO like price band, company financial, grey market premium, kostak rates and more which can help you to apply for the good ipos. Invest in the ipos which are good to give the listing gain and the long term gain as well.