ETMarkets Investors’ Guide: Should you too chase a quick buck in IPOs?

The IPO market is all abuzz nowadays. Amid the spike in bond yields and inflation fears, IPOs are receiving overwhelming response and are minting cash for traders on market debut. Be it Friday’s 44 per cent itemizing achieve for Heranba Industries, 16 per cent rise for RailTel or Nureca’s 59 per cent rally, newest points have helped to maintain IPO traders’ sentiment upbeat.

That mentioned, IPOs too include dangers. The truth is, the chance is far increased there than their listed friends, which have ample buying and selling and monetary historical past.

Our Principal Correspondent Amit Mudgill just lately caught up with Pranav Haldea, MD at PRIME Database, to try to decipher the traits in newest IPO choices. Haldea, who has his finger on the heart beat of the first market, talked about P/E exits, the euphoria amongst traders and the dangers they face. In addition to he additionally shared a chunk of recommendation for traders chasing itemizing positive factors. That’s our providing on this week’s Particular Podcast.

Welcome to the present Mr Haldea

Most IPOs of 2021 to date have acquired sturdy investor response. How do you learn that pattern?

Do you suppose the IPO pipeline will keep sturdy given the continued momentum within the secondary market?

What number of mainboard IPOs do you count on in March and in FY22, given the approvals we’ve got to date?

Buyers love IPOs from new industries. What ought to they have a look at earlier than investing in an organization that has no listed peer?

Are promoters and PE traders cashing in in the marketplace rally or do we’ve got real circumstances the place cash is being raised for enterprise growth?

What could be your recommendation to retail traders who’re chasing itemizing positive factors?

Thanks, Mr Haldea.

That’s it on this week’s version of the particular weekend podcast. Do come again subsequent Saturday for this weekly particular. You may in the meantime take a look at our common podcasts on the fairness market twice each weekday. Our podcasts are additionally accessible on Spotify and Gaana platforms.

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