Investing in IPO's is much less riskier then directly investing in stock market. Is that true?

Not really. But IPO's are excellent way to enter in to some stocks. Not all the IPO's give good returns.

Few risks involve in applying in IPO's are:

1. Stock list at lower then issue price.
2. Issue oversubscribed heavily and investor doesn't get allotment.
3. Any mishandling in processing refund could delay in getting the money back for shares not allocated.