Companies make Initial Public Offerings (IPOs) when they are ready to step into the limelight and sell their shares to the public for the first time. This allows them to raise money before the share becomes officially available on the market, giving a select number of people first dibs on the investment opportunity. Think early bird tickets to a concert you’re dying to go to. Same same but different… there are a few qualifying criteria.
Companies issue IPOs to brokerage firms (that would be us) who then open the opportunity up to their clients (that’s you!). Once we have collected all requests from our users, we send this through to the company making the IPO and if they are able to – they’ll allow us to execute those requests when the market opens. There are quite a few variables they’ll need to consider (the outcome is not a given) and may only be able to offer us a certain overall purchase amount, meaning you won’t get the full investment amount you were hoping for.