Is UPI compulsory for IPO?

The Securities & Exchange Board of India (SEBI) has made it mandatory for retail investors applying through registered brokers, DPs (depository participants) and RTAs (Registrar and transfer agents) to invest in IPOs through the UPI route. This makes the entire process secure and straightforward.

Why UPI ID is required for IPO?

While applying for an IPO, one has to mention bank details. This allows the bank to block the amount applied for in the account through the ASBA mechanism. Sebi has now allowed investors to use their UPI (Unified Payment Interface) ID as a payment option for IPO issues.

How do you mandate UPI for an IPO?

Step 1: Open Gpay, go to profile→ settings→ One-time mandate. You can find the profile option at the top right corner of the screen. Step 2: Click on ‘Authorize’ to accept the mandate request and enter your UPI PIN. You can check the IPO application number and details on your registered email ID.

Is ASBA mandatory for IPO?

Yes. In all public issues like IPOs, FPOs and Rights Issues, issuer is mandatorily required to provide only ASBA as mode for payment.

Can I cancel my IPO application and apply again?

An IPO application cannot be withdrawn once the IPO closes for the subscription. Certain banks or brokers limit the time on the issue closing day (i.e. up to 2 PM) to cancel or revise IPO bids. A retail investor can also reapply in the IPO after successfully cancelling the request by the exchange.

Can I apply for IPO at night?

The bidding for IPO shares at the stock exchange is open from 10 AM to 5 PM when the IPO is open for the public. But most banks do not accept IPO bids on the last day till 5 PM.

Can I sell IPO immediately?

When can I sell IPO shares India? You can sell your allotted IPO shares in India on listing day without any issues. However, if you wish you can hold them as much as you want and sell them on any business day on which the stock market is open.

How soon after IPO can you sell?

The IPO is a bit of a hurry-up-and-wait, as employees usually can’t sell their stock for up to 180 days. This is called a lock-up period, and is meant to prevent employees from all dumping their stock and depressing the stock price.

What is UPI IPO mandate and how to apply?

UPI IPO Mandate is a request on a smart phone app to block the fund for an IPO application. When you apply for an IPO using UPI ID as payment option, you receive a fund block mandate request on the app where he has setup his UPI ID i.e. net-banking or BHIM app.

What is UPI and how does it work in 2019?

From January 2019, the UPI is optional for Retail & Shareholder Category Investors. It will work along with the existing ASBA process. The listing of IPO shares will take 6 working days from the date of closure of the IPO.

How to apply in IPO using BHIM UPI app?

Steps to Apply in IPO using BHIM UPI App (First time users) Download and Install BHIM app from Google Play store or Apple App store Select your preferred language Select SIM which has mobile number that is registered with your bank

How to apply for IPO through ASBA and UPI?

Under the new system, your IPO application form will have two unfilled parts pertaining to ASBA and UPI. If your bank is on the UPI list, you can the ASBA portion on your form and move to the UPI part. Mention the UPI ID as payment option.