Colombo Stock Exchange launches educational series on investing in IPOs

Colombo Stock Exchange (CSE) launched an educational series on ‘How to Invest in Initial Public Offerings (IPOs)’ on 18 May.

The Anuradhapura branch of the CSE had organised the initiative fronted with the objective of establishing an educated and informed investor base. NDB Investment Bank has come forward as the resource partner for the program and the initial event attracted over 150 participants along with a remarkable feedback. 

The participants engaged in a broad discussion and a question and answer session on elements concerning an Investor when subscribing for an IPO. 

CSE Listing Department Assistant Manager Kassapa Weerasekara, NDB Investment Bank Vice President of Corporate Advisory Sujani Perera and NDB Investment Bank Manager of Corporate Advisory Charith Udugama shared insight into the topic.

The program elaborated on aspects that investors should be focusing on when they invest in an IPO and how the investors can identify whether a specific IPO is ideal for them. The program covered the concept of IPOs, how companies and investors benefit from IPOs and how investors could maximise their returns by properly evaluating the IPO prospectus.

Speakers from NDB Investment Bank elaborated on reading a prospectus and the importance of understanding the prospectus of a company before subscribing to an IPO. It was suggested that it is adequate to pay careful attention to the current financial stability of the company, its prospective goals, management processes and fundamentals of corporate governance. They further illustrated how these are comparative suggestions based on many aspects and not recommendations.

CSE is continuously dedicated to fulfil its role as a responsible educator, to engage and equip the stock market investor base with timely and important knowledge.