Exploring Unlisted Shares: How Precize Simplifies Private Market Investments

By Megha Jain, Content Writer  |  Thursday, 16 January 2025, 05:12:04 PM IST

Exploring Unlisted Shares: How Precize Simplifies Private Market Investments

Exploring Investment Potential in the Private Market with Precize

In a rapidly evolving financial landscape, private market investments are gaining traction among individual and institutional investors. Platforms like Precize are revolutionizing access to these opportunities, making it easier for investors to explore the world of unlisted shares and pre-IPO investments. This blog delves into the benefits, processes, and insights Precize provides to investors seeking to diversify their portfolios and capitalize on growth-stage opportunities.

What Are Unlisted Shares?

Unlisted shares, often referred to as pre-IPO shares, are equities of companies not listed on mainboards like the NSE or BSE. Historically, access to these shares was limited to institutional investors or insiders, but today, the private market is more inclusive. High-net-worth individuals (HNIs) and retail investors are leveraging these investments to diversify their portfolios and gain exposure to high-growth companies.

Interestingly, this market has even caught the attention of prominent personalities. For example, cricketers Rahul Dravid and Zaheer Khan, filmmaker Karan Johar, and actor Ashish Chowdhry have ventured into unlisted shares, demonstrating their growing popularity and potential. As the private market expands, it’s becoming a compelling option for investors seeking unique opportunities beyond traditional avenues.

Key Benefits of Investing in the Unlisted Market

The unlisted market presents two significant opportunities:

1. IPO Success Stories

Unlisted shares often gain significant value during the transition to public markets. Here are some noteworthy examples:

  • Tata Technologies: Its share price surged from ₹469 in 2022 to ₹1,200 in 2023, showcasing remarkable growth
  • Waaree Energies: Investors witnessed an increase from ₹620 in 2023 to ₹2,550 in 2024, highlighting the potential for substantial returns

These stories highlight the value investors can gain before an IPO, providing a strategic opportunity to enter.

2. Growth-Stage Investments

Investing in unlisted shares allows early access to companies priced below their potential market value. For instance:

  • NSE: NSE unlisted share price rose from ₹1,700 in January 2021 to ₹6,049 by August 2024.
  • Orbis Financials: The price climbed from ₹65 in February 2022 to ₹405 in September 2024.
  • HDB Financial Services: Shares increased from ₹630 in September 2022 to ₹1,304 in November 2024.

These cases illustrate the unlisted market’s potential to deliver impressive returns, albeit with inherent risks tied to market conditions and company performance.

How to Access Unlisted Shares

Traditionally, unlisted shares were acquired through intermediaries, ESOPs, or direct transactions with company promoters. Platforms like Precize have transformed this process by simplifying access and reducing entry barriers.

With a minimum investment threshold of just ₹10,000, Precize enables both new and experienced investors to participate in this burgeoning market. Offering over 150 private companies ranging from startups like Boat to established firms like Tata Capital, Precize ensures that there’s something for every investment strategy.

Precize: A Game-Changer in Private Market Investments

Precize distinguishes itself by offering comprehensive research reports and price histories on private companies that empower investors. Here’s what sets Precize apart:

1. Access to Private Markets

Precize democratizes access to private investments, making them available to retail and institutional investors alike. With an entry requirement as low as ₹10,000, it opens doors to high-growth opportunities previously reserved for select groups.

2. Comprehensive Research Reports

Investors gain access to detailed research reports featuring balance sheets, income statements, and peer comparisons. This wealth of information helps in making well-informed decisions.

3. Historical Price Data

Precize provides a price history of unlisted shares, enabling investors to analyze trends and assess the potential for future growth.

4. Market Updates

By visiting Precize News, investors can stay informed with the latest developments in pre-IPO markets and private sectors. Precize ensures that investors remain ahead of market trends.

5. Simplified Investment Process

From selection to buying, Precize streamlines every step, eliminating complexities and allowing investors to focus on their financial goals.

Step-by-Step Guide to Investing in Precize

Getting started with Precize is straightforward. Follow these steps:

  1. Select Your Company: Choose from a curated list of over 150 private companies. Tailor your selection based on your financial objectives, whether targeting short-term gains or long-term growth.
     
  2. Add Funds: Add funds to your Precize account via UPI or bank transfer for a seamless transaction experience.
     
  3. Place Your Order: After adding funds to your Precize account, you can place an order for the unlisted shares. Shares are typically transferred to your depository account (NSDL or CDSL) within 24-48 business hours.

Navigating Risks and Rewards

Investing in unlisted shares offers unique rewards but comes with its own set of risks, including market volatility and uncertain post-IPO performance. Investors should:

  • Conduct thorough research on target companies
  • Analyze historical data and market trends
  • Diversify their portfolio to mitigate risks

Precize supports these efforts by providing research insights and a user-friendly platform to help investors make informed choices.

Conclusion

Unlisted shares and pre-IPO investments represent a promising avenue for portfolio diversification and growth. Platforms like Precize are pivotal in making private market opportunities accessible and manageable for a broader audience. By offering research reports, price data, and streamlined processes, Precize equips investors to navigate this dynamic market confidently.

While private market investments carry inherent risks, the potential for significant returns makes them an attractive option for those willing to explore beyond conventional markets. With Precize, investors can strategically balance risk and reward, unlocking new opportunities in the ever-expanding private market landscape.

Disclaimer: Investment outcomes depend on market conditions and company performance. Not all companies achieve successful IPOs or valuation increases. Conduct thorough research and consider associated risks before making investment decisions.

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