Discussion in 'Retail Brokers' started by nightcarrier, Jun 18, 2018.

  1. Guys, looking for advice. I am trying to find a chance how a private investor (or group of individuals) with modest capital can participate in subscription for shares going to IPOs. Large retail brokers (like Interactivebrokers) said that "we do not provide such services". Exchange`s support services (e.g. NYSE) did not say anything clear. Large investment banks (like Citi) have not even respond to the letters(( So better don’t rely on big guys;)

    Would appreciate any ideas about how the impossible thing could be done:)
    CSEtrader likes this.
  2. GPRO
    nightcarrier likes this.
  3. Robert Morse

    Robert Morse Sponsor

    The brokers that get allocation from the underwriter's syndicate provide allocations to customers that provide a lot of commissions dollars. Look at any syndicate from any past offering and you will see the names to contact.
    CSEtrader, nightcarrier and dealmaker like this.
  4. IPO underpricing is on average 10%. The 10% goes to friends of friends of the underwriters. Friends = high commission revenue.

    Once in a while significant IPO stock is offered to non-friends. Those are on average the lemons.
    CSEtrader and nightcarrier like this.
  5. Thank you! I`ll try.