IPO Glossary
Definitions and explanations of IPO and investment terms
IPO Glossary provides definitions of investment and financial terms. GMP (Grey Market Premium) is the premium at which shares trade before official listing. DRHP (Draft Red Herring Prospectus) is the preliminary IPO filing. RHP (Red Herring Prospectus) is the final prospectus with price band. SEBI (Securities and Exchange Board of India) is the market regulator. Subscription refers to the number of times IPO oversubscribed. Allotment is the share allocation process. Lot size is the minimum share quantity for retail bidders. Price band specifies the price range for bidding. QIB (Qualified Institutional Buyers) are large institutional investors. HNI (High Net worth Individual) are wealthy retail investors. EPS (Earnings Per Share) shows profit per share. P/E Ratio divides share price by earnings per share. Book value represents the per-share net asset value. Lock-in period is the mandatory holding period for promoters and employees.