Quick question on IPOs



  • Hi all,

    New to FI as of about 2 weeks ago; enjoying working it all out and already benefiting from some of the excellent advice provided here on the forum.

    I have a quick question on IPOs. From what I saw during my initial research, there are Twitter posts, blog posts, other updates etc. as to upcoming IPOs and rough time windows when they'll be released (2 hour windows, from memory).

    Unless I'm misreading it, there was a number of players who IPO'd recently (the Greenwood, Diangana etc. selection). I have/had not seen a single announcement about this so as a new trader trialing some different strategies, was a bit disappointed to miss this as I know there are some good flipping opportunities.

    Are these announcements being made elsewhere? Are people just refreshing everyday looking for new players? Are people so acutely aware of the whole index that they can spot a new player that quickly when he appears?

    Thanks



  • @lotsofgoats

    Hi mate, IPO's are a difficult one - I tried to get on board once and was burnt so that was enough for me.

    its the general consensus that bots hoover up a lot of futures the second they are released driving up the price and there is therefore a lot of volatility in the first few hours they are released.

    There is no way of knowing exactly when they will be added and its a bit of a free for all

    I have no doubt that there are people making money on IPOs but from my own experience its a risky game - I would say if you are interested in a specific player wait until the price dies down and get on board then - if they really are that good their price will rise and rise over the weeks/months/years so you wont have missed out on too much.

    I would give this advice to anyone new that your money is best spent elsewhere and will certainly carry less risk but each to their own.



  • It was announced on the FI blog, it always is. They will put it up on the blog the day before they are introduced to the index. You can find a link to the blog on the main website.



  • They are announced on FootballIndex.news a day before, but I would heavily caution against trying to flip IPOs if you’re still learning your way through the platform and haven’t seen it in action before. You may get lucky but it’s easily the most volatile and potentially costly bit of trading you’ll see on the platform. A lot of people have spent many years honing their techniques and approaches to get in before anyone else.



  • Stay away from IPOs mate. You have no chance of getting them at the start price.
    Much better to let the players value even out then get on board



  • exactly what playingcards says. it's a rights of passage for a new trader trying to get involved in IPOs but it's a pretty thankless task. the prices of some of the young english players in particular the last couple of weeks seem especially crazy.

    like pretty much everything with the FI, when you're starting out it's a good idea to just observe and learn, track some players, try and spot the patterns of the market and see if you're confident enough down the line to put your money down and try some more 'advanced plays'.

    in the meantime try and stick to the basics - IPOs as they are at the moment can be a very easy way to lose money quickly and/or have capital tied up in players who realistically have no chance of earning Dividends for years. FI have said several times recently they are looking to change the system. If and how that happens I don't know, but would have thought it won't happen until the new Beta site and Order Books are launched.


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