Zerodha (Flat Rs 20 Per Trade)

Invest brokerage-free Equity Delivery and Direct Mutual Funds (truly no brokerage). Pay flat Rs 20 per trade for Intra-day and F&O. Open Instant Account and start trading today.

How investors should decide whether to hold?

Do your homework

Thoroughly read the prospectus to understand the company's financials, market position, and how it plans to use the raised capital.

Wait for stability

Consider waiting until after the mandatorylock-in period has ended. This allows some time for the initial hype to die down and for the stock to stabilise.

Valuation after Listing

Compare the stock's valuation with peers, and whether it is still reasonably priced? Or was the listing overpriced? If valuation rises too high after listing, consider partial profit-taking.

Follow long-term strategy

If you are a "buy and hold" investor, you can ignore short-term fluctuations. However, this only works if your initial choice is solid. You should take a long-term perspective grounded in the company's fundamentals, not just market sentiment.

Anchor Investor Lock-In Expiry

Large investors may sell after lock-in expiry, causing volatility. If unsure, wait and assess price trend post-lock-in.

Consult a professional

It is always a good idea to consult a financial advisor to determine what is best for your specific circumstances and risk tolerance.

How investors should decide whether to hold?