An initial public offer or IPO offers a great opportunity for investors to invest in companies before they are listed on the stock market. With initial investment, investors can take the benefit of early investment and earn exponential profits through both short and long-term holding. With various companies filing their IPO documents, investors can select the best depending on their overall strengths and weaknesses. Following is a list of 5 upcoming IPOs that investors must be aware of and study in order to make informed decisions regarding investment:
1. NSDL
National Securities Depository Limited or NSDL is a depository in India that is coming forward with its IPO. The company serves as a leading depository that helps facilitate stock market transactions. Investors can transact, buy, and sell securities using the infrastructure set up by NSDL. Aiming to use the IPO outlay to offer better services to investors and improve technology-based infrastructure, NSDL can certainly make waves with its IPO.
2. Fincare Small Finance Bank
Being a popular small finance Bank providing credit and other banking facilities to customers in rural and semi-urban areas, Fincare Small Finance Bank aims to raise money through its IPO. The bank offers digital banking, microloans, finance, and other services that are crucial for the development of rural and remote areas. Moreover, the Bank aims to use funds for the expansion of its services to more customers across a vast geographical area. Investors must closely monitor the bank's financials and look forward to dates when the IPO opens for subscription.
3. LG Electronics India
LG Electronics India, the Indian arm of South Korean company LG Electronics, aims to launch its IPO in the Indian stock market to raise capital for research, expansion, and better product offerings. The company is best known for its electronic and home appliance products that are durable and offer convenience to users. With plans to establish more manufacturing facilities in India, LG Electronics India IPO is a must-watch.
4. Bluestone Jewellery and Lifestyle Ltd.
Bluestone Jewellery and Lifestyle Ltd. is a well-known jewellery brand in India that offers an extensive line of premium jewellery and other products sold through its online website and selected physical stores. The company through its IPO aims to expand its online presence and offer better products to the customers at competitive prices.
5. Hero Fincorp Ltd
An upcoming IPO of a company in the finance and credit sector, Hero Fincorp Ltd. aims to capitalize on its strong brand name and presence to expand its credit offerings. Products categories under SME, and corporate lending, the company through its IPO wishes to expand its capital base for increased loan offerings and better services.
Why is a demat account essential for IPO investment?
Investors however must open a demat account in order to invest in IPOs and stocks listed on the stock market. Helping investors to hold securities in a dematerialized format, the demat account makes IPO investment streamlined and secure. Moreover, the application process of IPO makes the opening of a demat account a necessity. Storage of IPO shares on the allotment, payments, and record keeping are all facilitated by a demat account.
Investors are therefore recommended to complete their KYC formalities and open a demat account to start their investment journey. IPOs can help investors to invest in the best companies to grow their wealth substantially.
