Applying IPO via ASBA vs Broker?

Is there any difference in price when applying for IPO via ASBA vs via Broker just like Direct vs Regular MF have different NAVs?

Another related question…
I met a person (common friend) today who said that he pays a fixed amount for applying for an IPO.
Eg. if I apply for E2E Network IPO, he would pay Rs 5000 / lot. So there’s no loss for us but if he makes the profit, everything - 5000 is his.

Are there any legal implications of this? Is this a common practice among brokers?


1 Like

your first question is already answered and just to add any application be it of an IPO or right issue of amount rs 2 lakh or more must be through ASBA only.
your second questions sounds amusing and interesting but i request you to kindly elaborate so as to understand may please.


What are you getting? :bellhop_bell:?

I get Rs 5000 + whatever investment I made. I’ve to bear the brokerage charges.
I meant Everything minus 5000.

He has another scheme of 40:60. So if IPO opens in premium, I get 40% of the profit and he gets 60% of the profit but otherwise I get full invested amount back. So its either 40% of profit or nothing.
They sell the stocks withing 3-4 of stock getting listed.