Playing lotteries

55°
Deal Subedar
Demon_slayer
We were told playing lotteries were bad, as children. My uncles played lotteries every chance they got, it looked so enticing, buying a 10 rupee ticket could possibly get you lakhs of rupees. But no, our parents told us it was bad, so we didn't. We now make fun of people who play dream11 etc., call them foolish.


But here we are applying for ipos one after another, hoping against hope that we will get one. LITERALLY playing the lottery. The mental anguish, crushing disappointment on non-allotment all seems vaguely similar.


Sure, it's not the same.

1. We get our money back, in case of non-allotment.
2. The odds of getting allotment is higher than a cash lottery.

But,

Even when allotted, the stock could list at a discount(loss) and cost you. But not many people who apply for ipos prepare for that risk. In this case, It's not so different from playing dream11 right?


The point of this is to see and appreciate the irony in this situation.  We are literally playing lottery, there is no other way of looking at it and appreciate the irony.


Its not the same but not so different either. All hoping to make money.


Something to mull over, while waiting for the allotment news on the ipos applied this week.



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The lure of quick money without much effort will always draw people to the stock market. In reality stock market is the worst place to look for easy money. Even if you are able to earn some money quickly, high chances you won't be able to keep that.

Vanguard Vanguard
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I disagree. If you are applying in IPO with HOPE of getting allotment, and checking GMP each hour, then that's a problem. Otherwise, if you have a good income source either job or a business and you are applying in SAFE IPOs just for some additional listing gains/profits on your capital, then I don't find any issue, anyways your money is getting unblocked in case of non-allotment. In case it gets allotted, will give more interests than what FD gives in a year. Also there are nil chances of loss if you are not blindly applying in each and every ipo

Deal Subedar Deal Subedar
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What exactly are you disagreeing with? You have made similar points, i made in the post itself. LIC was safe ipo, we all know how that turned out.

Can we honestly pretend people out there are weighing the fundamentals of the company before applying for an ipo?

A lot of people just go with the popular choice, some word of mouth. There is always an element of risk involved, everyone should consider investing with that in their minds.

Besides it was just about similarities.

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Hunk Hunk
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Applying for a IPO for is not at all comparable to lottery. A user can choose to research and only apply for an IPO which is safe and actually make money.

If you are not doing that and are applying to all random IPO's just in hope to make a quick buck, then maybe just buy a lottery ticket.

Deal Cadet Deal Cadet
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lic gmp .you can check.It was not a good ipo by any means. People who regularly apply for ipo 's check the gmp at least

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Deal Subedar Deal Subedar
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Yeah LIC was not good. I cited LIC as what would have been considered a safe ipo my the general public. It was a disaster, that was my point, if I didn't make it clear, I apologise.
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