Lic IPO AND effect of RBI Action on lic ipo | SHOULD BUY LIC IPO OR NOT

LIC IPO

As we all know that LIC IPO is on the way and recently RBI has revised its repo rate and CRR on 4th of May 2022. This is a very big question whether the LIC IPO will be successful or not. The launching of LIC’s IPO, which is one of the most awaited IPOs will be a great success. or this will witness a huge fall after the launch as in the case of Paytm.

Indian Stock Market Scenario

As you are witnessing continuous fall in the global market including the Indian stock market. Just after the monetary policy revision Indian stock market reacted negatively and Nifty and Bank Nifty were down by approximately 2.5%. After recovering a little on the next day i.e. on the 5th May 2022 those were close showing weakness in the market. The next day on 6th may 2022 market again opened with a gap down as nifty by 200 point and Bank Nifty by 380 point. 

A view on Global Market

Similarly in the global market everything is not going well. Distance you can witness the Dow Jones index was showing recovery by 932 points on 4th May 2022 but the same was down by 1063 points on the next day that is on 5th May 2022.

IPO of LIC and the Global Market

So in this scenario many investors are making their own predictions, analysis and discussing whether the LIC IPO will be successful or not as FIIs are very aggressive for selling.

If you are also thinking the same then you can have your own view by reading the below means in point whether you should buy LIC IPO or not you must read the below mentioned points carefully;

It is pertinent to mention that the current global market is not good to trade but yes!!! If you are trying to invest in the IPO for the long run then this may be a good option. Why I see this is a good option because LIC (Life Insurance Corporation of India) is the largest Life insurance company in India. So by investing in this IPO you can be part of the largest insurance company’s investors’ club. But if you are having a view that this will show strong up move immediately then this may not good option in this current market scenario.

Why You Should Subscribe this LIC IPO

Consider the following points before investing….

  • Largest Insurance company of India.
  • 14Lac+ Agents working for this great company.
  • Huge Market Capitalization INR 6lac cr.
  • Like to other insurance companies this company also holds good quality real estate.
  • Huge potential to grow as only 25% of the Indian population are covered under insurance.
  • Good management.
  • Stable business environment.

Why You Should Not Subscribe this LIC IPO or Wait for the Right Time

Note the following points to avoid for a while…..

  • Global Market is falling
  • Will need good marketing strategy to grow
  • RBI Action may have negative effect in the short run.
  • Don’t buy if the purpose is to sell in very short run.

Conclusion

On the basis of above discussion you can understand the current global market situation. You can have your analysis and can plan your investment on the basis of your own study consider this just for educational purpose.

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3 thoughts on “Lic IPO AND effect of RBI Action on lic ipo | SHOULD BUY LIC IPO OR NOT”

  1. Pingback: 10 day trading strategies for beginners | How to become a successful day trader - Mudra Money

  2. This is the perfect blog for anybody who wants to find out about this topic. You know a whole lot its almost hard to argue with you (not that I actually would want toÖHaHa). You certainly put a fresh spin on a topic thats been written about for a long time. Excellent stuff, just wonderful!

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