SEBI wants to reduce the price of IPO lot size to further increase the participation of retail investors in the stock market. And this can be done because there is a lot of enthusiasm among investors about the IPO.
In the last year and now this year, there has been a lot of interest in investors in IPOs. All the IPOs that came out in the last year ie 2020 got tremendous response. So far this year, the IPO seems to be getting good subscription.
Now SEBI is also wishing that more investors come to the IPO market. Therefore, he is trying to reduce the price of a lot of shares to be applied under the IPO. Experts associated with SEBI say that the capital market regulator can allow investment of Rs 7500 under one lot. Currently there is a lot of 15 thousand rupees.
Exercise to bring common investors to IPO market
Stock market experts say that SEBI has been advised by many experts that the stock market retail investors are still far away. If the price of lot size is reduced then more and more investors will come in the market and the scope of investment in the stock market will increase. SEBI is thinking seriously on this advice. According to sources, SEBI can reduce the minimum application pri from half of Rs 15 to Rs 7500. That is, if this amount happens, more and more investors will apply for the IPO.
IPO market will be buzzing in 2021 also
All IPOs that came last year received tremendous response from investors. IPO was the highest response Happiest Mind. This IPO was subscribed 150 times. In 2021, the IPO market is going to be buzzing. So far this year, several IPOs have come, including IRFC, Stove Craft. Now some more IPOs are waiting for their turn.
Nidhi Malviya is fun loving girl. She writes at NoobFeeds about various topics related to Finance, Technology, Business etc.