Using UPI with your TRDR account, you can now apply online and invest in companies listing on the Indian exchanges with an IPO (Initial Public Offering).
SEBI has now made it mandatory for all IPOs to be supported by UPI 2.0. All you need to do is enter the bid price, no. of lots (quantity) and your UPI ID and you can easily place a bid with a click.
How to apply
Once you select (by clicking the BID button ) an IPO to apply for, you’ll see all the details of the offer, like issue open date, issue end date, issue price, min. order quantity (lot size), and DRHP.
Enter your UPI ID and click on the 'Verify' button. Kindly make sure this is the UPI ID mapped to your personal bank account.
Note: The person who is applying should not be different from the one whose bank account is used to apply as this could lead to your IPO application getting rejected.
Select the investor type for your application. By default it is set to Individual. Please select the appropriate one for you.
Place your bid(s). You can place upto 3 different bids.
While placing the bids, if you wish to apply at the cut-off price, simply click on the checkbox next to ‘Cutoff-price’.
Note: Cutoff Price is checked by default.
If you want to place a bid (enter an alternate amount within the issue price range) at a different price, you can do so by entering a price in the ‘Price’ field.
Do remember only Total shares (quantity) that is a multiple of the Min order quantity (lot size) is allowed.
Note: Number of lots is set to 1 by default.
If you want to bid for more number of lots, you can change the number of lots to what you want to bid for.
Review the details you entered for your IPO application including total amount payable.
Click on the checkbox to confirm that you have read the issue size, lot size, and DRHP.
Click the SUBMIT button once you have done the above steps to submit your application to the exchange
Once you click on submit, you’ll receive a mandate request on your UPI app.
Accept the mandate and you’re done. This will block the funds required for the application in your bank account until the date of allotment (2 days before the listing date).
Note: At the end of the day after submitting the IPO bid, you will receive an SMS and email from the exchange confirming your application.
If you receive an allotment, the total amount is debited from your bank account and shares are credited to your demat account.
If you don’t receive an allotment, the blocked funds in your account are released on the date of allotment.
Happy IPO Investing!
What are you waiting for? Set up a TRDR account if you haven't already.