Trading and investing in IPOs is an effective way to diversify your portfolio and earn a profit, says a leading analyst.
The analyst, K. Jayant Natarajan, is the president of the Indian Institute of Management, Mumbai.
The author of a book titled How to Buy IPOs, he said:”Trading in IPO securities is the way to earn a return from the capital generated by an IPO.”
Natarawan said, “It is an attractive way to generate capital as well as diversify the portfolio.
It is also an investment strategy that is not as risk-free as some other options.”
He added that “trading in securities is a good way to grow wealth in your portfolio as well.
The main reasons are the income-generating benefits, diversification, and the fact that it is a safe way to invest.”
Natarajant Nakhav, who holds a Bachelor of Science in Management and Economics, has been an active investor in IPAs and other high-tech stocks since his early 20s.
“It was a good idea when I first started investing, as my parents did not have enough money.
They invested in local real estate,” he said.
The investment in IPIs is a relatively new phenomenon, but the investment strategy is gaining popularity with investors.
The industry has seen a boom in the past few years, and IPOs have become more popular among the younger generation as well, said Natarav.
The stock market in India has been in a frenzy since the government started implementing the Right to Financial Services Act in March 2016.
As a result, the market in the country has been growing at a faster pace than any other stock market.
The Securities and Exchange Board of India (SEBI) and the Reserve Bank of India have taken a lead in promoting the industry by offering free access to their systems.
However, it is up to the investor to take advantage of the benefits and diversify his/her portfolio.
The best way to do that is by investing in stocks that are in a downtrend.
In the meantime, Natarant Narsan, who runs a business consulting firm called Kannur, said that investors should take advantage by trading IPOs in an efficient manner.
He said, “[Trading IPOs] is an excellent way to create a diversified portfolio.
If you do not know what you are doing, you should think about investing in a stock that is going down.
The more diversified your portfolio is, the more you can profit from the returns generated by the IPOs.”