4Module 4

IPOs

An IPO generates more questions from first-time investors than anything else on the market. This module covers the three offer documents and why the first one has no price in it, and what happens when a lock-in expires.

3 chapters · about 13 minutes

  1. 4.1What Actually Happens in an IPO5 min

    You applied for a lot, got nothing, and read that the issue was subscribed three times. Where did the shares go?

  2. 4.2The Offer Documents4 min

    You downloaded the prospectus and there is no price anywhere in it. Is the document incomplete?

  3. 4.3Lock-In Periods4 min

    Six months after a listing, a block of shares suddenly becomes sellable. Should you expect the price to fall?