SEBI Chairperson Madhabi Puri Buch spoke at an event in Mumbai today and shared some interesting data points and insights on investor behavior while investing in IPOs.
The data talks about the % of investors who flip/sell their shares in the first few days after an IPO to book profits from listing gains.
The following data from SEBI pertains to IPOs listed between April 2021 to December 2023:
| Duration of exit after listing | Non-Institutional Investors (NIIs) | Retail Investors |
|---|---|---|
| Within a week | 68% | 43% |
| Within a month | 76% | 52% |
What are your thoughts on the frenzy in the IPO markets right now?