11 January 2015

IPO/FPO – Opportunity and Obstacles

Ms.Sangeeta Rathod, SEBI
Ms. Sangeeta Rathod informed how SEBI is a watchdog function when IPOs/FPOs are initiated by the organization. 

SEBI ensures that all relevant Information about the company is given in the prospectus & investors are not prevented from getting information about the liabilities & risks associated with new issues. Although the Merchant bankers are responsible for arriving at correct pricing, SEBI verifies the correctness of the price and discount to be given to the retail investors.

However, Ms.Rathod insisted that retail investors should be more aware proactive & careful at the investing stage and seek clarification required from SEBI.