Is it possible to buy pre-IPO stocks?

You can place orders for certain stocks before their initial public offering using your Robinhood app. An initial public offering (IPO) is a company’s first sale of stock to the public. We offer pre-IPO orders for a small selection of stocks, and won’t support pre-IPO orders for every company that lists on the market.

Can individuals invest in IPOs?

While it can be difficult for individual investors to buy IPO shares, more firms, including several online brokers, offer IPOs. A firm may not sell to you IPO shares unless it has determined the investment is suitable for you. Brokerage firms also may sell shares in the IPO only to selected clients.

Who is restricted from buying an IPO?

A restricted person includes a person in a position to influence the actions of a corporation or a person associated with a broker including any owner, partner, officer, director, branch manager, or employee. Relatives of the restricted person as well are typically included in these regulations as well.

How much money would you have made in Alibaba’s 2014 IPO?

Alibaba finally went public at $68 per share on Sept. 14, 2014, and raised $25 billion — making it the largest IPO in history. Let’s see how much money you would have made with a $10,000 investment in that IPO. If you had invested $10,000 in Alibaba’s IPO…

How can you invest in Alibaba stock?

While that’s one way for investors to get a piece of Alibaba, there are more direct investment opportunities available. For many investors, exchange-traded funds (ETFs) that deal with one industry’s best players are a great way to get into an IPO while minimizing risk.

Should you invest in pre-IPO shares?

Pre-IPO investing is not easy and has a high entry barrier. A vast majority of pre-IPO shares – which are usually offered in large blocks – are purchased by deep-pocketed institutional investors. Individual investors can participate, but there are significant restrictions in most cases.

How to invest in a startup before an IPO?

Be an angel investor and establish yourself in the angel community. Angel investors are individuals who provide capital for startups when most investors won’t. Invest through online startup platforms, such as OurCrowd. If you’re not sure about pre-IPO investing, check out some of the latest IPO opportunities.