Retail Investors Will Get Compensation Even if They Do Not Get Shares in The IPO, SEBI Issued Instructions

Rudra Investment SEBI Registered Advisory  has asked retail investors to invest in the IPO to compensate for the loss due to non-allotment. SEBI says that this does not harm the investors. Apart from this, SEBI has said that if the investor gets more than 15 days to get the money back due to non-availability of shares in the IPO, he should be compensated with 15% interest. Apart from this, SEBI says that if he feels that justice has not been done with the investor, he can also take action.

Prepare to make investors framework of compensation

SEBI is in the process of making frameworks for losses to investors. It is also a matter of compensating the losses of those investors who have not been able to get the shares even after the application in the IPO. SEBI says that this requires a uniform policy. It should be clearly clear how the investors get minimum compensation.

In many ways, the minimum compensation issue

SEBI Registered Advisory says that investors need to see many factors in the calculation of minimum compensation. Like how much the amount of upturnity was lost due to non-availability of shares, apart from how many times the IPO subscribed and how many times the subscribers were subscribed in any category. Apart from this, how many percent of the investor got the share of the share and how much of the stock's listing was on the first day. However, according to SEBI, if the listing of the shares is less than the issue price then the investor will not receive any compensation.