The mega IPOs (initial public offerings) are back on the horizon. The
biggest sensations of the last few years have undoubtedly been the two
'IPs'. IPL and IPO.

The Indian Premier League (IPL) and the Initial Public Offerings (IPOs) that
hit the market with regularity till the cycle of economics caught up with
them.

There was a time when even youngsters were discussing IPOs, what with so
much publicity given to mega offers.

It was a huge wave and that carried many small investors along its tides and
took them to great heights. That was till gravity acted and it came crashing
down.

It happened suddenly making many investors grasp the reality that the stock
market might be the best way to let your money work for you but not the
easiest way.

There were too many similarities to the 20-20 version of cricket, which
never augured well for the stock markets.

Why this discussion of all the negatives at this juncture again? Well, the
subtle but steady activity building up in the IPO domain is indicating that
there is another wave forming.

The restlessness of the 20-20 stock market players could probably make this
a high wave too. So, what should small investors do? Do we take our
surfboards and ride the wave too, or settle for the wave to hit the shores
and put our monies.

Well, there's no perfect answer to the above questions. But, yes, there are
certain fundamental principles to help us find out what suits us right.

*Image: *An investor speaks on a mobile phone in front of a bronze replica
of a bull at the gates of Bombay Stock Exchange building in Mumbai.
*Photographs: *Arko Datta/Reuters
Subject:
http://business.rediff.com/slide-show/2009/aug/21/slide-show-1-how-to-make-money-from-mega-ipos.htm

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