InvestorQ : Can Individual Investor use book building facility for making an application and what are the formalities to be completed by the investor?
vaishnavi mhatre made post

Can Individual Investor use book building facility for making an application and what are the formalities to be completed by the investor?

Answer
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vidhya Laxmi answered.
2 years ago


Yes. Individual investors can apply for the book building facility. In fact, every issue has a 50% quote for qualified institutional buyers (QIBs), 15% for non-institutional HNIs and a 35% quota for retail. The difference between retail and HNI portion is the investment cut off. Individual investments up to Rs.2 lakh are classified as retail investments while investments above Rs.2 lakh are classified as HNI portion investments.

The member has to submit a one-time undertaking in prescribed format to the membership department. Members have to make the request in prescribed format giving details of the user ids along with the VSAT numbers.