International Journal of Social Sciences & Economic Environment

International Journal of Social Sciences & Economic Environment

Online ISSN : 2456-7485

Frequency : Half Yearly

STUDY OF PERFORMANCE OF INITIAL PUBLIC OFFERINGS (IPOS ) AT NATIONAL STOCK EXCHANGE IN INDIA

*Mr. Rajesh Kumar, **Dr. Bhupendra Kumar

*Asst Prof  & Research Scholar, Institute of Engineering &Technology Alwar (Raj).   **Research Supervisor, Institute of Engineering &Technology Alwar (Raj.)

Published Online : 2017-12-30

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ABSTRACT

 With the implementation of liberalization and globalization policies, the Indian capital market had experienced a paradigm shift in its overall practices and initiatives. There were significant reforms both in the primary and secondary market. Presently, as per the SEBI guideline a corporate entity wants to raise capital from the primary market must go either through initial public offering (IPO), follow-on-public offer (FPO), rights issue, private placement or through euro issue

The Indian capital market has emerged as one of the prominent demand driver for more participation of foreign institutional investors (FIIs) and domestic financial institutions (DFIs). Earlier the middle class investors have little option to put their hard earned money in productive investment avenues. They usually preferred the fixed deposit offered by banks or post office. The traditional investment instruments were hugely popular because they were safe, gave decent returns and were easy to invest in. But today, investors find that traditional instruments are more about wealth preservation than wealth creation, when they are better served by investment alternatives like mutual funds and IPOs

Key Words: capital market, primary and secondary market, initial public offering (IPO), foreign institutional investors (FIIs), traditional instruments