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Tradejini IPO Review

Tradejini Financial Services Pvt Ltd is a Bangalore based discount broker. Tradejini is providing a range of financial services including trading, mutual funds etc.

Tradejini has a simple flat rate trading plan. This plan charges a brokerage rate of Rs 20 per executed or 0.01% whichever is lower. The brokerage is applicable across the segments at BSE, NSE, and MCX.

Initial Public Offer (IPO)

IPO is a process through a private company becomes a public company. The IPO process helps a company in the following ways-

Raise capital by selling its shares
Get listed on the stock exchange and provide its shares a secondary market
Allows promoters to sell their stake

After the IPO is complete, a private company becomes a public company. It has general public and institutions as its shareholders.

3 categories of investors take part in the IPO process. Qualified Institutional Buyers (QIBs), Retail Individual Investors (RIIs) and Non-Institutional Investors (NIIs). Each category has reserved allocation. QIBs have 50%, RIIs have 35% and NIIs have 15%.

Each IPO has a bidding period wherein investors can apply for the shares. investors need to apply in lots. After the completion of the IPO bidding, the company decides on the allotment of shares. In case of oversubscription, not every applicant gets the shares. In such a scenario, a lottery is used to identify eligible applicants. At least 1 lot is allotted to every eligible applicant.

After the allotment, the issuing company is listed on the exchange. The allotted shares become eligible for trading from this day.

Tradejini Customers - Apply in an IPO

Tradejini doesn't offer Online IPO Application to its customers. But, Tradejini customers can apply in an IPO using their bank's 'Net Banking' facility offered by the banks. Most banks offer online IPO application via ASBA netbanking facility.

You need access to net banking and your Tradejini Demat Account details at the time of applying for an IPO.

On allotment, the shares will be credited to your Tradejini Demat Account. The shares will be eligible for selling once the company is listed on the exchange.

Easy Steps to Apply in an IPO

Here are the steps Tradejini customers need to follow to apply in an IPO -

Visit the website of your bank
Log in to your netbanking account.
Visit 'Invest in IPO' section of the website.
Register yourself as an applicant
Select the IPO you would like to apply from the list of active IPOs available
Choose the account from which you would like to invest in IPO.
Enter the number of lots and price
Confirm the details and submit the application.

On successful submission of the IPO application, you will receive a confirmation message.

Please note that in the net banking IPO process, the application money is only blocked. It is not debited from your account. The money is only debited when you are allotted shares. Your money earns interest for the period it is in the block status.

Frequently Asked Questions

1. I have an account with Tradejini. Can I apply in IPO?

No, you cannot apply for an IPO using the Tradejini platforms. But, you can apply for the IPO using netbanking ASBA facility of your bank. The allotted shares are credited to the Tradejini demat account.

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2. How do I sell the shares from Tradejini account allotted in an IPO?

The shares allotted in an IPO are only eligible for selling from the listing day of the issuing company. You need to follow the same process as you do selling shares of other company.

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3. Do I need to pay any fees to apply IPO online with Tradejini?

No, the banks don't charge any fee for applying in IPO. You only need the application amount to apply.

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4. Can I apply in IPO's using Tradejini Mobile Trading App?

No, you cannot apply for the IPO using the app.

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5. Does Tradejini offer online IPO to its NRI customers?

No, they don't offer IPO services to NRIs.

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6. Does Tradejini provide research reports about IPO?

No, Tradejini doesn't offer research reports about IPOs to its clients.

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