Archive · 10 Jun 2025
Experts Weigh in on Risks of Buying Unlisted NSE Shares
Some companies, like NSE, Hero FinCorp, and HDB Financial, have shares that aren't yet available to the public.
People are buying these "unlisted shares" hoping to make money when the companies offer them to the public in what's called an IPO.
Experts warn there are risks: it might be hard to sell these shares quickly, prices can change a lot, and it’s tougher to get information about the company.
While there’s potential to profit, investors need to be careful.
Unlisted share prices have been high recently, but there are risks involved, like not being able to sell them right away.
It is possible for the unlisted share to list at a discount.
Investor interest in unlisted shares of NSE, Hero FinCorp, and HDB Financial has increased in anticipation of their IPOs.
NSE's unlisted shares reached a record high of Rs 2,300 last month.
Experts caution retail investors about the risks of investing in pre-IPO shares.
Key risks include liquidity constraints, lock-in periods, valuation uncertainty, and lack of transparency.
Unlisted share prices are driven by both company fundamentals and investor demand.
- Who
- Experts and investors
- What
- Increased interest and associated risks of unlisted shares, particularly of NSE, Hero FinCorp, and HDB Financial.
- When
- Recent weeks, May 2025 (specific dates provided)
- Where
- N/A
- Why
- Anticipation of IPOs and a rebounding primary market.
Risks of Investing in Unlisted Shares
Potential Benefits of Investing in Unlisted Shares
Liquidity
Risks of Investing in Unlisted Shares
Unlisted shares have liquidity risks; exits depend on finding a buyer.
Potential Benefits of Investing in Unlisted Shares
Unlisted shares offer potential for profit if the company goes public.
Lock-in Period
Risks of Investing in Unlisted Shares
Post listing, SEBI mandates a 6-month lock-in period.
Potential Benefits of Investing in Unlisted Shares
Investors may gain from price appreciation before the IPO.
Valuation and Market Risk
Risks of Investing in Unlisted Shares
Valuation can fluctuate based on market sentiment and company performance.
Potential Benefits of Investing in Unlisted Shares
Current valuations reflect both company fundamentals and increased demand.
- NSE Unlisted Share Price (May 2025)
- Rs 2,300 (record high)
- NSE Unlisted Share Price (May 31, 2025)
- Rs 2,375
- Hero FinCorp Unlisted Share Price
- Rs 1,650
- HDB Financial Unlisted Share Price
- Rs 1,250
- SEBI mandated lock-in period post-IPO
- 6 months