IPO Minimum purchase

[tom82]

H there,

Wasn't sure where to post this, so hopefully this location will be ok.

I have read that most brokers minimum purchase amount is $500 and after this amount one is able to purchase any other amount.

What is the minimum purchase amount of shares with IPO's, does the company set the minimum number of shares, the ASX or another party, do some IPO's have no minimum, from several prospectus I have read they all had the same minimum of $2000 worth of shares.

Thank you.

 

[dannystock282]

H there,

Wasn't sure where to post this, so hopefully this location will be ok.

I have read that most brokers minimum purchase amount is $500 and after this amount one is able to purchase any other amount.

What is the minimum purchase amount of shares with IPO's, does the company set the minimum number of shares, the ASX or another party, do some IPO's have no minimum, from several prospectus I have read they all had the same minimum of $2000 worth of shares.

Thank you.

I have been reading prospectus's as well and have noticed the $2000 minimum also. I can't comment on what other company's have listed minimums at since I'm still new to all this. I would also like to know the answer .

 

[Country Lad]

I understand that $2,000 is fairly normal. The minimum is specified in the prospectus.

I don't go looking for IPOs, my broker will tell me of possible good ones. Consequently I rarely read that part of the prospectus, just those parts needed to confirm that it is a worthwhile punt.

Cheers
Country Lad

 

[pixel]

If you're a "sophisticated" investor, which is short-hand for "individual with at least $2.5M net wealth or $250,000 regular income", you may be on a broker's list of favourites. It's only those favourites that are informed of the really "good ones". And they're often the only ones that get notified and easily snap up what's being offered. Peasants are generally fed only glowing promises of upcoming IPOs that the broker is committed to spread among punters who hope this particular $2,000 lotto ticket won't be a dud like the others turned out to be.

 

[dannystock282]

I understand that $2,000 is fairly normal. The minimum is specified in the prospectus.

I don't go looking for IPOs, my broker will tell me of possible good ones. Consequently I rarely read that part of the prospectus, just those parts needed to confirm that it is a worthwhile punt.

Cheers
Country Lad

Thanks mate