Participating in IPOs allows investors to gain exposure to new ventures and sectors that may have been previously inaccessible, thus diversifying their investment portfolios.
IPO shares are traded on stock exchanges, providing investors with liquidity and the ability to buy or sell shares quickly as market conditions change.
Some IPOs offer pre-IPO placements or preferential allotments to institutional investors, enabling them to secure shares before the general public, potentially at a lower price.
Companies going public are required to disclose financial information and other pertinent details, providing investors with transparency and insights into the company’s operations.