WHAT IS INITIAL PUBLIC OFFERING (IPO) ?
IPOs
Do you know that Indian stock exchanges hold 12th position globally in terms of IPO in 2021?
IPOs (initial public offerings), in which a company sells its equity shares to the investors in the market. For this, companies must fulfill the demands of the SEC (Securities and Exchange Commission) to get an IPO.
An INITIAL PUBLIC OFFERING (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also to retail (individual) investors. An IPO is typically underwritten by one or more investment banks, who also arrange for the shares to be listed on one or more stock exchanges. Through this process, colloquially known as floating, or going public, a privately held company is transformed into a public company. Initial public offerings can be used to raise new equity capital for companies, to monetize the investments of private share holders such as company founders or private equity investors, and to enable easy trading of existing holdings or future capital raising by becoming publicly traded
WHY CHOOSE US..?
IPOs allow companies to acquire capital by offering shares through the primary market. Companies appoint investment banks to estimate demands, set the IPO date & price, and market. But one thing is to note here – an investor must have a clear understanding of evaluating financial metrics to recognize the opportunities. According to experts, investors should raise a diversified portfolio and analyze companies before investing. Also, they should consider factors including market share, entry barriers, profitability, and business growth before investing.
We, at ‘Futurewise Wealth Management’ recognize IPOs through research that is less priced and give chances of earning profits.
Benefits Of INITIAL PUBLIC OFFERING (IPO)
- Attractive valuations
- Reduce risks
- Offer better opportunities
- Early access
- Limited capital is required