
How to Set Realistic Expectations for Upcoming IPO Listings
The excitement around any Upcoming IPO often draws attention from retail investors eager to capitalize on potential listing gains. Many compare it to the performance of a Current IPO, hoping for similar or better returns. However, without setting realistic expectations, this enthusiasm can quickly lead to disappointment or poor investment decisions. Understanding what drives IPO performance can help investors stay grounded and make better choices.
1. Don’t Expect Guaranteed Listing Gains
A common misconception is that all IPOs open at a premium. While many IPOs do offer listing day gains, not all do—some even list below the issue price. Factors like oversubscription, grey market premium (GMP), sector sentiment, and market conditions at the time of listing all play a role in the final per...