IPO rules revamp: Mutual funds barred from pre-IPO buys, anchor route open; Sebi pushes transparency, wider participation

Mutual funds are now barred from pre-IPO share placements but can participate in anchor rounds of public issues, according to a source. This move aims to boost liquidity and clarify company valuations before listing. SEBI also plans to simplify IPO disclosures with a standardized "offer document summary" for retail investors, while noting "irrational exuberance" in retail derivatives trading.

Nov 21, 2025 6

IPO rules revamp: Mutual funds barred from pre-IPO buys, anchor route open; Sebi pushes transparency, wider participation
Mutual funds are now barred from pre-IPO share placements but can participate in anchor rounds of public issues, according to a source. This move aims to boost liquidity and clarify company valuations before listing. SEBI also plans to simplify IPO disclosures with a standardized "offer document summary" for retail investors, while noting "irrational exuberance" in retail derivatives trading.
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