SEBI study shows 50% IPO sell within week, 70% in a year in India, influenced by disposition effect, with reduced oversubscription for non-institutional investors.
A SEBI study analyzed investor behavior in India's IPO market from April 2021 to December 2023, revealing over 50% sold their shares within a week of listing, and 70% within a year. This behavior was influenced by the disposition effect, where investors preferred to sell shares that gained value. The study encompassed 144 IPOs, highlighting a decline in oversubscription among non-institutional investors due to regulatory changes.
September 02, 2024
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