The Curse of suscribing for IPOs.....
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For some reasons, most newly launced IPOs are a huge flop on the first day of trading.
A quick look at shareinvestor.com shows that most IPOs launched between the period of june to September did not perform well. Why is that so?
IPO gains
Man Wah
KedaCom
Mapletree Logistic Trust
Reyoung Pharmaceuticals
Asia Enterprises
BH Global
Prime Reit
IPO Loss
Courage Marine
China Sky
Advanced Modules
China Life
Union Steel
Luxking
Global Testing
STX Pan Ocean
Ban Leong
System Access -
Need to carefully read the prospectus.
What is the money to be used for and the potential
The board and the top management needs to be people who have a good standing as well. Like Carly in HP. Everyone pulled out.
IPO price at times might have been inflated or that there is just too many retail buyers who are just trying to make a fast buck. Hence the IPO price flux badly during initial launch. Typically Sg people are not very good investors cause of the mentality -
The thing is, no one really bothers to read the prospectus other than fund or investment managers. I had a hard time going through the prospectus for Prime REIT....>_<Originally posted by mistyblue:Need to carefully read the prospectus.
What is the money to be used for and the potential
The board and the top management needs to be people who have a good standing as well. Like Carly in HP. Everyone pulled out.
IPO price at times might have been inflated or that there is just too many retail buyers who are just trying to make a fast buck. Hence the IPO price flux badly during initial launch. Typically Sg people are not very good investors cause of the mentality
And sometimes, there is not enough time to read the prospectus. I wonder why some IPOs give you only 3 days to suscribe??? -
The IPOs I made money from are REITs...the rest went boom....
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3 days? pressure tactics?Originally posted by shade343:The thing is, no one really bothers to read the prospectus other than fund or investment managers. I had a hard time going through the prospectus for Prime REIT....>_<
And sometimes, there is not enough time to read the prospectus. I wonder why some IPOs give you only 3 days to suscribe??? -
Yah...I suspect that as well....normally if an IPO only gives you 3 days time to consider...I tend not to touch it. But for REITs...it is an understandable thing.Originally posted by mistyblue:3 days? pressure tactics?