How IPO subscriptions work
- Deposit: you put in 50% of the subscription amount up front; what's left after allocation is refunded on the refund date.
- Equal allocation: at least half of the retail shares are divided equally among everyone who applied for the minimum unit (usually 10 shares) or more. That's why people split small applications across several brokerage accounts (check whether duplicate applications for the same IPO are restricted).
- Proportional allocation: the remaining shares are divided by deposit. With high competition, even large deposits get only a few shares.
Listing-day prices can rise a lot above the offer price or fall below it. Be sure to check the lock-up commitment ratio and tradable float in the registration statement.
This tool is a reference calculator for taxes and returns, not an investment recommendation or stock pick. Tax rates and deductions follow 2026 law and may change. Investment decisions and their results are your own responsibility.