At some point, your friendly local stockbroker may present you with the opportunity to invest in an initial public offering (IPO). In an IPO, a company raises capital by selling shares to market, you're buying it from another investor. But with an IPO, the cash you pay goes to the company. You've probably heard about the IPOs that see a surge in the share price on the first day of trading. But that happens rarely – and it should not be a reason to invest in an IPO. If you're looking at IPOs, it pays to ask these seven questions first... investors. When you buy a stock in the secondary
ASK THESE SEVEN QUESTIONS BEFORE BUYING ANY IPO
By Kim Iskyan
96 | August 2017
Made with FlippingBook Online document