The Initial Public Offering process creates an opportunity for smart investors. Through which they can earn a raise on their investments. It generally initiates to infuse the new equity capital to the firm. IPO helps in easy trading and monetizing the investments. Paytm Money introduces a fully digital process where you can apply for IPOs on their website or the app.
With IPOs, most companies are now expanding their plans to gain profit in their business. It’s also beneficial to the investors. In the Paytm Money app, the user is notified of the updates.
This feature includes the notification of their application status for a seamless experience. To apply for an IPO in Paytm Money, steps are as follows.
Steps for applying IPO through Paytm Money:
- Login to your Paytm Money account and then complete all the KYC details for stocks.
- Paytm will verify your details, and once it’s verified, it will create your Demat account.
- Now, go to an IPO section available on the Paytm home screen. Here you will see all the IPOs that will come in the future or are already running.
- Choose from them which are open for the applications. Add all the details like amount, quantity, and so on. NOTE: Maximum three bids allowed.
- After the last step, enter the UPI ID so that the funds will block.
- Accept the mandate request for submitting the application request successfully.
Until you are not allotted IPOs, the amount will be kept blocked. However, the amount will be deducted from your bank account when the IPO is allotted. Once IPO shares are allotted, then the amount will be credited to your Paytm Money Demat account. If, in any case, the shares are not allotted, then you can withdraw your amount as it’s unblocked.
Investors with Paytm Money can use this fully digital service hassle-free. Here, you can also change, cancel and resend the IPO bidding request. Paytm Money has an enormous range of features that will help investors for soothing tracking of all the IPOs. For example, the company’s history, its historic IPO performance, and the details. And can download the drafts prospectus.
The first step for an investor is to decide the IPO they want to apply for. In this step, the prospectus helps form an informed idea about the company’s business plan. Also, their purpose of raising the stocks in the market.
After deciding on the IPO, the next step is to arrange the funds. It could be their savings. Or they can avail themselves of the loan from the banks or the NBFCs at an actual interest rate.
Paytm Money recently announced three new features.
The first feature allows users to apply for the IPO before its opening in the market. It’s the first digital broker that has added this feature. Expecting it to increase the participation of retail users in IPOs. When this feature enables, then the user can place an IPO order 24*7.
On the Paytm Money app, the second feature is to see how many times a category has been subscribed. Whether it’s oversubscribed or undersubscribed. The different categories are Retail Investors, Qualified Institutional Buyers, Non-Institutional Investors, and Employees.
The third feature adding to your convenience is the Single-click experience.