There are many of us who dream about earning money by investing in stocks. While there are some who invest in Mutual funds or trading, there are others who prefer investing in an IPO or Initial Public Offering. Gaining profits from IPOs is not as easy as it sounds but with a planned strategy and some helpful tips, one can invest money in IPOs and also be assured that they have some killer returns. There are a number of well known companies that have experienced amazing gains the very first day of their IPO but they sure did disappoint their investors in the long run.

IPO Investment Tips and Strategies - An initial public offering or IPO is the first time the stock of a private company is sold to the public. In the dotcom mania days back in the 1990s, investors had the privilege of throwing their money in just about any IPO with the guarantee of it generating amazing returns, at least in the beginning. Those who had the foresight to get into and out of these companies made investing look much easier. Unfortunately, many companies that were newly public experienced huge first-day revenue but ended up being disappointing for investors in the long run.

An IPO (initial public offering) is a momentous occasion in the history of a registered company. It is a sign that a company has finally matured into a fully-grown, effective organization that has commanded enough goodwill in the market to be able to start raising funds from the public. For many venture-capital funded startups, an IPO is usually baked into the list of things they need to achieve in order to fulfill the wishes of their investors by delivering an ‘exit’.