IPO Basic questions - please advise

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  #1  
Old 8th November 2007, 04:32 PM
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nathan is on a distinguished road
Default IPO Basic questions - please advise

Dear Friends
I am a very new entrant - please forgive me if some questions are too basic. I have a few questions and I have also given my understanding.
I would be grateful if you could give your thoughts

Question 1) How long does it take for the shares to get transferred from the day the IPO was closed?

My guess :Approximately 21 working days -

Question 2 )How long does it take for the balance amount to be refunded to my bank account?

My guess - No idea please let me know


Question 3) How does allocation happen in the event of oversubscription of an IPO ?
My guess: No of shares applied / No of retail Oversubscriptions. (Is this the standard way? )

Follow up question


If the minimum lot is 15 and I have applied for 100 shares and the oversubscrption is 10 then
what happens? Because I should be allocated only 10 shares which is less than the minimum lot.

Question 4)

Assuming one wants to sell immediately, What are the charges one should take into account ?

My guess : Short term tax gain . Brokerage is it going to be one way or two way.
I.e. will there be a brokerage for allotment into my demat account
as well as selling ?
Have I missed any other charges?

Question 5)
There are some IPOs which are asking to bid and the price range is specified rather than a fixed price. For e.g, Empee has a price range of 350-400 - What does this mean?

- Can a kind hearted soul reply please

Last edited by nathan; 8th November 2007 at 05:21 PM.
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  #2  
Old 24th November 2007, 12:20 PM
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VasanSuccess is on a distinguished road
Default Re: IPO Basic questions - please advise

Even I do have some of these questions, Can some expert answer this questions?
Your suggestion will be of great help for some new entries like me
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  #3  
Old 24th November 2007, 05:04 PM
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Default Re: IPO Basic questions - please advise

www.greymarket.co.in
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  #4  
Old 6th December 2007, 09:14 PM
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MiLiNDOnline is on a distinguished road
Default Re: IPO Basic questions - please advise

Quote:
Originally Posted by AmoghG View Post
Hi,

Good link! Hope this helps...


Regards,
MiLiND
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  #5  
Old 7th December 2007, 11:45 PM
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supercars is on a distinguished road
Cool Re: IPO Basic questions - please advise

Quote:
Originally Posted by nathan View Post
Dear Friends
I am a very new entrant - please forgive me if some questions are too basic. I have a few questions and I have also given my understanding.
I would be grateful if you could give your thoughts

Question 1) How long does it take for the shares to get transferred from the day the IPO was closed?

My guess :Approximately 21 working days -

Question 2 )How long does it take for the balance amount to be refunded to my bank account?

My guess - No idea please let me know


Question 3) How does allocation happen in the event of oversubscription of an IPO ?
My guess: No of shares applied / No of retail Oversubscriptions. (Is this the standard way? )

Follow up question


If the minimum lot is 15 and I have applied for 100 shares and the oversubscrption is 10 then
what happens? Because I should be allocated only 10 shares which is less than the minimum lot.

Question 4)

Assuming one wants to sell immediately, What are the charges one should take into account ?

My guess : Short term tax gain . Brokerage is it going to be one way or two way.
I.e. will there be a brokerage for allotment into my demat account
as well as selling ?
Have I missed any other charges?

Question 5)
There are some IPOs which are asking to bid and the price range is specified rather than a fixed price. For e.g, Empee has a price range of 350-400 - What does this mean?

- Can a kind hearted soul reply please
The Refund has to come in 15 working days or the company will have to pay interest.

There is no standard on how much allotment will be made per application. It differs from company to company.

btw if the minimum lot is 15 then please tell me how would you apply for 100 The applications has to be made in multiples of the minimum application.

You can only sell after it is listed on a stock exchange. You have to only pay brokerage once and that to only to your broker.

There may be DP charges for credit and debit of shares from the account. Please contact your DP Office for more details as charges vary from place to place.

Always bid for the highest price possible as most of the IPO's get over subscribed.

Please choose an IPO very carefully as not all are good.

Happy Investing and write back if you want more information.

btw please do not go as per grey market premiums as they change everyday and are not scientifically derived. It is more a barometer of the sentimental index.
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  #6  
Old 16th January 2008, 06:53 AM
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Kalyan1980 is on a distinguished road
Default Re: IPO Basic questions - please advise

HI, I am a new member. Can you please advise me how to buy reliance shares? How to open demat account? Is that account necessary? Thanks in advance.
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