Shares will be listed in just 3 days after IPO closure, investors will benefit like this

If you also invest in the stock market. If your eyes are also on the IPO of new companies, then this news is for you. Now after the IPO of a company is closed, its shares will be quickly listed in the stock market. How will it benefit you?

Stock market regulator SEBI is now going to make a big change regarding the IPO of companies. Now after the IPO of a company is closed, its shares will be listed in the stock market within just 3 days . Whereas at present it takes about 6 days. So what would be the benefit to you as an investor?

SEBI has put forward a proposal to halve the time of share listing. He hopes that this will benefit not only the company bringing the IPO but also the investors investing in it.

How will investors benefit?

The consultation p
aper issued by SEBI in this regard. It has been said in it that by reducing the listing time, where the company bringing the IPO will get the facility to use the raised capital quickly. At the same time, it will increase the 'Ease of Doing Business' in the system 

At the same time, investors will also benefit from this. Due to early share listing, they will get share allotment soon. With this, such investors who will not be successful in the IPO, will get a quick refund of their investment. On the other hand, due to the early arrival of shares in the market, he will be able to start buying and selling his shares soon.

This will also benefit those share investors who invest for trading instead of long term. If there is profit booking in the shares of a company when the shares are listed in just 3 days, then they will soon be free to withdraw their investments with profits and invest elsewhere. That is, their money block time will be reduced from 6 days to 3 days.

Got a lot of benefits from UPI payment

In order to make investment in the stock market easier, SEBI had allowed payment through UPI in the year 2018. Since then, the investment of retail investors in the stock market has increased. Keeping in mind the retail investors, when SEBI had given permission to make payments through UPI, it had fixed the limit for share listing within 6 days. So that retail investors can get refund as soon as possible.

For the past several years, SEBI has been trying to make the IPO process easier. Its main focus is on retail investors. Keeping this in mind, SEBI has proposed to reduce the time of opening of IPO, closing of IPO and listing of shares. Common people can give their suggestions on this proposal till June 3.