An Initial Public Offering (IPO) is the process through which a private company offers shares to the public for the first time. It allows companies to raise capital from public investors, enabling them to grow and expand.
Companies typically engage underwriters to help them navigate the IPO process. The underwriters assess the company's value and help set the initial price for the shares. Once the shares are offered to the public, they are traded on the stock exchange.
Investing in an IPO usually requires a brokerage account. Here's a basic outline of how to do it: