Q: Let’s say an IPO is priced at 12$. How do you buy shares at the original price point? When the market opens it seems the price is already different than the original.
A: You often cannot buy highly publicized IPO’s at the price point because the priority usually goes to big time investors and people with friends in high places. Most of the time big IPO’s don’t offer enough shares for everyday people like us to get a piece of the pie. Let’s take LinkedIn for example, the only way for you to get a share at the IPO price was to know someone in a big investment firm or be highly invested in a large firm with lots of money and they bought some shares for you.