Upcoming IPOs with Shareholders Quota | Increase IPO Allotment chances | Best Upcoming IPO 2024 #ipo

Summary

This video guides first-time IPO investors on how to increase their chances of allotment by applying through multiple categories like retail and shareholder quotas. It highlights upcoming IPOs from sectors such as electric vehicles, renewable energy, and finance, detailing strategies for buying shares and maximizing returns. The script also offers valuable insights on which companies and their parent firms to focus on, providing actionable advice on when to buy, hold, and sell shares for the best outcomes in the Indian stock market.

Takeaways

• 😀 Shareholder quotas can increase your chances of getting shares in an IPO by applying through multiple categories like retail and shareholder.
• 😀 Applying for an IPO through multiple accounts (e.g., retail, HNI, shareholder quota) gives you more opportunities to receive allotments.
• 😀 Companies file DRHP (Draft Red Herring Prospectus) before an IPO, and you can buy shares in the parent company before the IPO opens to become eligible for shareholder quotas.
• 😀 Owning shares in the parent company of an upcoming IPO (like Bajaj Auto or Hero MotoCorp) may make you eligible for IPO allotments through the shareholder quota.
• 😀 If a company offers shareholder quotas, applying under multiple categories and multiple accounts increases your chances of getting shares.
• 😀 For each IPO, consider buying just one share of the parent company (e.g., Bajaj Auto, Hero MotoCorp) to be eligible for the shareholder quota.
• 😀 Upcoming IPOs include companies in various sectors such as electric vehicles (EVs), green energy, finance, and infrastructure, providing diverse investment opportunities.
• 😀 The importance of applying for IPOs as early as possible—once the DRHP is filed, you cannot apply for shares in the parent company anymore.
• 😀 Specific IPOs from companies like NTPC Green Energy, SBI Financial, and Muthoot Micro Finance are expected to offer substantial investment opportunities.
• 😀 In IPO investments, it's not necessary to apply for multiple lots. A single share purchase per account for shareholder quotas is often sufficient.

Q & A

What is the advantage of applying for IPOs in multiple categories like Retail, Shareholder, and HNI?

Applying in multiple categories increases your chances of getting allotted IPO shares. By applying in Retail and Shareholder quotas, you essentially double your chances of success, as you get additional opportunities to be selected for allotment.

What is a Shareholder quota, and how does it help in getting IPO allotments?

The Shareholder quota allows existing shareholders of the parent company to apply for IPO shares. By holding shares of the parent company before the IPO is launched, you become eligible for this quota, which can increase your chances of getting IPO shares.

How can I benefit from applying to an IPO in both the Retail and Shareholder categories?

By applying in both categories, you essentially have two chances of getting IPO shares—one from the Retail category and one from the Shareholder quota. This increases the probability of your application being successful.

How do I know which companies have an upcoming IPO?

The video lists 16 companies expected to launch their IPOs in 2024-2025. You can monitor announcements about IPOs, such as DRHP (Draft Red Herring Prospectus) filings, which indicate that a company is preparing for its IPO.

What are DRHP filings, and why are they important for IPO investors?

DRHP stands for Draft Red Herring Prospectus, and it’s a document filed by a company before its IPO. It provides essential details about the company’s financials, the number of shares being offered, and the timeline for the IPO. It’s important for investors to monitor these filings as it indicates that the IPO is officially moving forward.

Can I apply for an IPO if I don’t hold shares of the parent company?

Yes, you can apply for an IPO even if you don’t hold shares of the parent company, but you will not be eligible for the Shareholder quota. Applying in the Retail category is still a viable option, although it offers a lower probability of success compared to applying in both categories.

Why is it important to buy shares of the parent company before the IPO is announced?

Buying shares of the parent company before the IPO is announced makes you eligible for the Shareholder quota, which can increase your chances of getting IPO allotments. The earlier you invest in the parent company, the better your chances of being included in the Shareholder quota.

What are some sectors to watch for IPO opportunities in 2024-2025?

Sectors to watch for IPO opportunities include Electric Vehicles (EVs), Green Energy, Finance, and Renewables. Companies in these sectors are expected to launch their IPOs, with strong growth potential and government support for renewable energy.

How many companies are expected to launch IPOs in 2024-2025 according to the video?

The video mentions 16 companies across various sectors, including EVs, green energy, and finance, that are expected to launch IPOs in 2024-2025.

What should I do if I want to apply for an IPO of a company like NTPC Green Energy or Hero MotoCorp?

If you want to apply for the IPO of companies like NTPC Green Energy or Hero MotoCorp, you should first buy shares of their parent companies—NTPC and Hero MotoCorp—respectively. This will make you eligible for the Shareholder quota, improving your chances of allotment.