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An IPO gives the investing public an opportunity to own and participate in the growth of a formerly private company. By their nature, however, IPOs can be risky and speculative investments.

Investors can order IPOs. With traditional finance, only institutional investors with abundant capital can get access to IPOs. But now, more and more individual investors have the access.

By participating in an IPO, an investor can buy shares before they are available to the general public in the stock market.

How to Buy IPO Stocks on Webull

Preparation before accessing IPOs on Webull:

• Open a Webull account
• You must have at least $100 settled cash in your account
• Please keep in mind that the minimum purchase order for an IPO is $100

Operating Steps for Ordering IPOs

• Open the Webull App
• Go to the Markets tab
• Click on the United States Page
• Head over to the IPO Center
• Select the stocks to be purchased and click Order Now

You can check the state of your IPOs by clicking on the Orders tab on the account details page. You can also cancel the working IPO orders before if order is finished if you no longer want to proceed.

Attentions for Ordering IPOs

Only settled cash is accepted for ordering IPOs. Once you order an IPO, this part of cash will be blocked in your account until this order is executed or canceled.

Webull can't ensure participation in ordering all IPOs due to cooperation with limited underwriters.

When you place an order for an IPO or Secondary offering you are not buying the stock; instead, you are placing an IOI (indication of interest).

When placing an indication of interest, it is never guaranteed that you will receive your entire order. Depending on the stock's demand, your past IPO participation, and other factors, you may receive less than your indication or none.

If you receive an allocation, the shares will be posted to your account on the effective date. You can check your allocation in "My Position" on the account homepage. Any unused cash will be automatically returned to your account.

Is it good to buy IPO shares?

IPOs tend to garner a lot of media attention, some of which is deliberately cultivated by the company going public. Generally speaking, IPOs are popular among investors because they tend to produce volatile price movements on the day of the IPO and shortly thereafter. This can occasionally produce large gains, although it can also produce large losses. Ultimately, investors should judge each IPO according to the prospectus of the company going public, as well as their financial circumstances and risk tolerance.

Can anybody invest in an IPO?

Oftentimes, there will be more demand than supply for a new IPO. For this reason, there is no guarantee that all investors interested in an IPO will be able to purchase shares.

Disclaimer: IPO/Secondary orders only represent conditional offer to buy and do not guarantee you will receive all shares requested. There is a possibility you will be allocated less or none at all. This depends on the demand, type of offering, and past IPO involvement.

Disclosures: Trading of stocks and all other investment products involves substantial risk of loss and is not suitable for every investor. The value of stocks may fluctuate and as a result, clients may lose more than their original investment. Investors must evaluate particular financial circumstances to determine whether or not ordering IPOs is appropriate for them.