Conclusion

Initial public offerings (IPOs) are investments that truly get the blood pulsing. They are almost always exciting and risky. As with most things that have the potential for a very high upside, uncertainty is an inextricable variable in the overall investment equation. As discussed previously, the words hype and IPO are often used in the same sentence. It is not uncommon to see an IPO soar 20 percent or more on the first day and then, in some cases, sink back to its beginnings in a matter of days or weeks.

If I could point to two factors that will make the biggest difference to an IPO investor, I would name patience as the most important trait, and research as the single most vital task for successful investing.

Patience, although a ...

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