Chapter 3 of 8
Why did I not get any shares?
IPO Label · · About 1 minute to read
When more people ask than there are shares, names are picked in a draw. Missing out is normal.
You applied. Your money was held. And then you got nothing. This is normal, and nothing went wrong.
If an IPO has more askers than shares, the shares cannot be split evenly. Everyone would end up with a piece too small to bother with.
So the rule is that the smallest bundle must go to as many different people as possible. After that, names are picked by computer, like a raffle.
- Everyone who applied
- The names that were picked
New word
Allotment
Deciding who gets shares, and how many. It happens a day or two after the last day of the IPO.
If you get nothing, the money that was held in your bank is released. It was never taken out of your account.
Remember
Applying twice with the same PAN does not improve your chances. Both applications are thrown out, and you get nothing at all.