Why companies go public?

Companies go public to raise money. It gives them financial capital, that they can use to clear off debts, improve the infrastructure, invest in research and development of new products, introduce new products and so on. Apart from that, the increased financial scrutiny during the process of going public will get them better debt rates when they are issuing it.

And if the company’s stocks are in demand, there is always scope for mergers and acquisitions. The terms of negotiations can be in stocks. The demand also attracts the company’s top talents as the company can offer stock options as reimbursement. The company gets credibility and visibility after it gets listed on the stock exchange.

💹Angel Broking🔮

Comments

WHAT ARE THE DIFFERENT TYPES OF IPO?

Types of IPO: Fixed Price Issue Book Building Issue The issues differ on these factors which are tabled as below. Fixed Price Issue Book Building Issue Pricing The Share Price Is Fixed On The First Day Of Issue And Is Printed In The Order Document. The Exact Share Price Isn’t Fixed. Only The Price Band Is Fixed. The Price Is Fixed After The Closing Date Of The Bid. Demand It Is Known Only After The Close Of Issue. It Can Be Known Every Day. Payment The Payment Should Be Done 100% In Advance. Refund Is Given After The Allocation. The Payment Can Be Made After The Allocation. Reservations 50% Of The Allocations Are Reserved For Investments Below 2 Lakhs, And The Rest For High Amount Investors. 50% Of Allocations Are Reserved For The QIBs. 35% For Small Investors And The Rest To Other Categories Of Investors.

Your first mutual fund is very important

Your first mutual fund is very important The first fund you buy plays a major role in making or breaking your belief in stock investing Useful, simple to understand and easy to execute. These should be the qualities of your first mutual fund. For beginner investors, this is generally best satisfied by tax-saving funds or balanced funds. Here's why. When you start investing in mutual funds, it makes sense to opt for a fund that invests mostly in equity. The reason for this is that you are likely to have no equity investments at all. New investors generally have bank deposits, the PPF and other fixed-income investments. Since equity is the best type of long-term investment, and since mutual funds are the easiest and safest way to invest in equity, it follows that the type of fund you should choose must be an equity fund. Subscribe to the Value Research Insight newsletter There are two types of funds that are uniquely suitable as beginner funds. These a

15 STOCK TRADING TERMS YOU MUST KNOW

Go through the video —> https://youtu.be/eYrMFaVRefE

Trading Aspirants

Search This Blog