IPO brokers

[Ageo]

Hi Guys, does any1 know of any brokering firm that specializes in IPO's?

i need to find a broker that will give me access to every IPO that is listed each month (and the rights to purchase units).

Im with macquarie bank already but the brokerage fee's are a little steep.

thanks

Adrian

 

[BSD]

Sorry mate, but what you are looking for doesnt exist.

IPOs are a product of the investment banking and corporate divisions of each broker.

Firm IPO stock is allocated to brokers who allocate it to their clients. This allocation is strictly allocated based on your worth to the broker.

If you think your broker is expensive - you are probably not on the top of their list.

That said, 10,000 shares in Wotif would have paid for a fair bit of 'full advice'.

 

[twojacks28]

Sorry mate, but what you are looking for doesnt exist.

IPOs are a product of the investment banking and corporate divisions of each broker.

Firm IPO stock is allocated to brokers who allocate it to their clients. This allocation is strictly allocated based on your worth to the broker.

If you think your broker is expensive - you are probably not on the top of their list.

That said, 10,000 shares in Wotif would have paid for a fair bit of 'full advice'.

couldnt say it better myselt bsd. unless you are a big client of the brokers firm then you will only be allocated a little or none of the IPO.

 

[yogi-in-oz]

Warning: ..... astrostuff ahead.


Hi folks,

IPOs present some real challenges to many analysts,
not least, is how to anticipate market turns in the
early history of any listed entity.

Of course, if we were paid the big bucks, like blodgett
and his cronies, we could just invent some rubbish
and feed it to the unsuspecting masses.

Real traders however, often need to evaluate markets,
with only limited technical data available .....

..... a typical example being an IPO.

Fortunately, with Gann's astrotrading tools, we can look
ahead from listing of the entity and make some fairly
accurate assumptions about market news/moves, on
particular key dates.

Here's a current example:

..... recently listed EAR has tested its lows recently,
but as there's very little technical data as yet, there
would be few traders who would commit to a trade,
based solely on the chart.

However this week, Gann traders will be watching for
positive news from EAR, on both 07 and 09062006 .....

EAR have just 23m shares on issue, too ..... and with
enough relevant details, this analysis can be done,
even BEFORE the entity is listed ..... !~!

-----

Here's some general thoughts on trading IPOs, but
please note, this is NOT ADVICE, simply a discussion ... ???

-----

XXX ..... as with many ipo's, there will be many traders
wondering about the prospects of the company, ahead.
There's some advantages to trading new listings, if we
can get our market timing correct.

Some of these advantages, include:

1. Most (not all) ipos will have sufficient cash to fund their
operations, without rattling the tin for more money.

2. A relatively low number of shares on issue, making
the stock more volatile for trading purposes.

3. With better market timing, we have an edge over
many other traders and "investors", as well as the
"blind stags", who are really only HOPING that
a stock will rally from the outset.

4. Using time cycle analysis, we can project anticipated
price swings, far ahead.

5. Time cycle analysis may result in entering stocks,
at prices below the original ipo.

-----

Of course, we must also look at the downside, too:

1. Sometimes, ipos are held so tightly, that liquidity
becomes a real issue ..... PSA was an example of this
and it took about 2 years to gain a larger shareholder
spread and improved liquidity for traders ..... but
meanwhile, it was fun to trade the sharp moves.

2. Being only newcomers, ipos can take a while to
become known to traders and even with good news,
it may take a couple of days for some traders to
respond, in some markets.

3. Often fundamentals have not developed enough
to make a good assessment of the management team.

4. Technically, there's probably not enough data for
most chartists, until the first year has passed .....
..... meaning, that they may have lost several
opportunities to trade the stock, in the initial
12 months.

-----

Now, by using Gann's methodology, we can forecast
many of the anticipated price swings by evaluating
the time axis only, on our charts.

Such methods are helpful, as:

1. Stags can gauge better exit points.

2. Traders can wait for the listing and often enter
at much lower prices, than the original ipo.

3. Chartists can use the time axis analysis to
confirm their own evaluations, using minimal data,
like candlestick patterns.

4. Using time cycle analysis for ipos, allows us to
improve both entries and exits, in our trades.

5. “Investors” can use time cycle analysis, as confirmation
of their own conclusions, for both entries and exits.

In summary, IPO's are a classic example of where technical
analysis is all but non-existent, due to lack of data .....
and the fundamentals are often exaggerated .....

..... step in, time cycle analysis or astroanalysis.

Call it what you will, these astrotools DO fill the technical
void, until there's enough data to give us a reasonable chart.

happy trading

yogi

P.S. ..... and trading IPOs like this, can mean getting
set, long before the general market generally
knows the IPO has started trading !~!

 

[markrmau]

unless you are a big client of the brokers firm then you will only be allocated a little or none of the IPO.

Perhaps this is true of the bigger firms like Macquarie, but I have obtained good allocations from Shaw stockbroking. And yes, my holding with them is very small - only about $60k.

 

[Ageo]

Thanks for that guys, well my account is just over 100k. Im going to ask my broker if he can help me with obtaining them all.

The reason why i want to have access to every IPO is because i have basically backtested a system where isntead of trying to pick winners i basically picked every IPO for that month. Then i spread my capital evenly across them all and on the 1st day i would close them all near the end of the trading day.

basically out of 40months of backtesting only 3 months came up as a negative (max 20% loss) and the best performer was over 150% for 1 month.

If i knew how to post the excel file i would.

Adrian

 

[Go Fast]

Thanks for that guys, well my account is just over 100k. Im going to ask my broker if he can help me with obtaining them all.

Your broker won't be able to help you get all of them. It's impossible. These floats are coming from all different firms and it's very unlikely to be able to invest in any of the popular floats if you're not a GOOD client of the broker. If you're not a existing client of a broker & you get stock in an IPO you probably don't want it It means none of his existing clients want it

 

[Go Fast]

That said, 10,000 shares in Wotif would have paid for a fair bit of 'full advice'.

You're onto something there... $7k profit pays for alot of trades at 1%... $700k turnover to be specific

 

[suhm]

so what broker would one reccomend to get into some IPOs if so desired with only a couple hundred k in the kitty