If you subscriber of IPO or otherwise interested in IPO (initial public offering) then you find the word GMP (grey Market Premium) so let's get read it.
Latest IPO GMP (grey market premium) Today and Kostak Price Live
|Issue Name||GMP (Grey Market Premium)||Kostak Price||Subject to Sauda|
|SILVER PEARL HOSPITALITY AND LUXURY SPACES LIMITED||No Trade||N/A||No Trade|
|Fidel Softech Limited||No Trade||N/A||No Trade|
|Globe Securities||2 to 3||N/A||₹ 10,000|
|Note: No trade in Kostak from last 2 Month.|
| Disclaimer: Stock Market investments are subject to market risks, read all scheme related documents carefully before investing.
Source: Smart Investment
What is GMP (grey market premium)?
Before know GMP(Grey Market Premium) you must know about what is Grey Market.
What is Grey Market?
An IPO grey market is one where a company's shares are bid and offered by traders unofficially. Grey markets are generally run by a small set of individuals . All deals are based on mutual trust.
GMP (grey market premium) is a term used in the IPO market to estimate which price IPO should be listed on the Market (BSE and NSE). GMP is unofficial but investors keep watch of GMP (grey market premium) so they know how IPO react on a listing day. IPO GMP continues before the start date to listed of IPO. In one word... GMP is the approx value where IPO should be listed.
Suppose A stock with an IPO price of Rs. 100 Which IPO grey market premium is Rs. 20 indicate that there is a possibility of the stock getting listed at around Rs. 120 (Rs. 100 + Rs. 20).
On the listing day shares of a IPO company is likely to list around GMP(Grey Market premium).
GMP (grey market premium) effect on IPO Listing?
In May 2022. According to market observers, Delhivery IPO (Issue Price Rs. 462-482) grey market premium (GMP) is minus Rs 5 which means the grey market is expecting that Delhivery IPO listing would be around Rs 482 (Rs 487 - Rs 5) but IPO listed at Rs. 495 and listing day close at Rs. 537.25.
data patterns ipo gmp today live
In Nov 2021. According to market observers, Paytm IPO (One 97 Communications Limited Issue Price Rs. 2150) grey market premium (GMP) is Rs 30 to 150 which means the grey market is expecting that Paytm IPO listing would be around Rs 2180 (Rs 2150 + Rs 30) but, IPO listed at Rs. 1950 and listing day close at Rs. 1564.15
chittorgarh ipo gmp
As shown in the above example Investore is careful about GMP (grey market premium) which is provided by some sites which do not provide the true information because of company shut mount of them by money or gets more profit.
What is Kostak Price?
The Kostak rates is the amount that one investors pays to the seller of IPO application before the IPO listing. As the grey market reacts the Kostak rates also react that way. One can buy and sell their full IPO application on Kostak rates outside the market and fix their profit.
ipo gmp today lic
Kostak price or Kostack rate is the premium at which IPO applications are being traded in the grey market. In other words, Kostak price is a profit one makes by selling his/her IPO application even before allotment or listing of the issue. It is especially useful for people who do not want to take a risk with IPO allotment or listing gains.
What is Subject to Sauda?
As per the Kostak rate, the Subject to Sauda on the application is the amount decided when the investors get the firm allotment on their IPO Application. If one buys or sells the IPO application on the subject to sauda it means one can get the said amount if one will get the allotment otherwise sauda will be canceled.
Why do people trade in GMP (grey market premium)
Why do businesses allow such trading?
Business allow such trading so that we know what price my issue listed on Market. Other