1 Minute Review
ClickIPO’s revolutionary order entry platform gets you unprecedented access to initial and secondary public offerings of stock at the IPO price. The groundbreaking app appeals to investors, stock issuers, investment bankers and gives retail investors access to a brand-new marketplace. It’s access to IPOs like you’ve never had before.
- Investors who want to participate in the initial public offering (IPO) market and are willing to hold newly issued shares for at least 30 days.
- Investors who want long-term investments of newly-issued shares.
- Investors who like to trade using their smartphones.
- Easy-to-use interface with browse and follow options to find and keep track of upcoming offerings.
- The prospectus analysis tool lets you research the company and offering you’re interested in.
- Connects directly to your stock brokerage account through your application programming interface (API).
- Investors are rated and are encouraged to hold newly-issued stock for at least 30 days.
- Not all offerings may be available to ClickIPO clients, depending on the customer’s rating and the availability of shares.
- Limited online support in the event of an error or miscommunication.
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If you’re unfamiliar with initial public offerings or IPOs, that’s not much of a shock. To even get notified of an upcoming IPO, you would need to deposit a minimum of $50,000 to $100,000 in an account with an investment bank. Or, you had to be associated with the company’s owners — a long shot, right?
ClickIPO is the exact antithesis of this old-school clique. They are an investment bank and a unified force that works with underwriters and issuers to obtain allocations in IPO and secondary offerings. The company has democratized the IPO markets by making them available to retail investors in the U.S. and on a global scale.
In 2018, ClickIPO participated in 32 IPOs and secondary offerings and continues to expand. The firm has agreements with over 30 underwriters, including several top-tier investment banks, that facilitate the allocation of shares to customers.
Online broker-dealers can connect with the company’s mobile app or leverage through technology that embeds into their existing order entry platform. The company does not have any retail brokerage accounts and acts as an independent IPO and secondary capital markets platform. There’s no question about it — it bridges the gap between online brokerage firms, issuers and the retail investor community.
Learn more about ClickIPO and what it can do for you in Benzinga’s review.
How ClickIPO Works
The ClickIPO app gives you a fresh chance to discover, follow, share and participate in IPO offerings and most thrillingly, nixes the brokerage commission.
You’ll get your shares in a supported brokerage account before the general public on a stock exchange which means you get exactly what you’re searching for: substantial price advantages.
ClickIPO’s distribution channel involves four primary steps:
- Step 1: Your stockbroker distributes the ClickIPO app to its customers, which allows them to browse the available initial and secondary public offerings
- Step 2: You then connect your broker to the app to place orders on IPOs and secondary offerings. Account balances are verified through your application programming interface (API).
- Step 3: ClickIPO Securities adds your order to other brokerages’ orders and places one common order with the underwriter of the stock offering
- Step 4: The ClickIPO software allocates the shares you purchased to your supported brokerage account.
Who’s ClickIPO For?
ClickIPO’s revolutionary concept gives investors that previously had no chance of participating in an IPO the opportunity to purchase shares on an initial or secondary offering depending on their “Click IPO Investor Score.”
You’re being scored, too. Keep in mind that ClickIPO gives you an investment score depending on how long you hold shares bought in the IPO. The company does this to avoid “IPO flippers” who receive the shares and sell them as soon as the stock can be traded on a stock exchange with the goal of making a quick profit.
Your investor score increases each time you hold shares for at least 30 days. Investors can sell their shares at any time, however, a hold history increases the clients rating or investor score, that helps determine future IPO allocations.
The time that an investor holds the newly issued shares makes a big difference to underwriters and issuers, which is one of the reasons they allocate shares to ClickIPO clients. Most well-funded speculators and financial institutions sell shares on the stock exchange once listed and make a substantial profit. If you’re into this pump-and-dump IPO scheme, you’d probably be better off getting an account with an investment banker and their much higher investment minimums.
Regardless of whether you have an account with an investment manager or a ClickIPO account, you may or may not be offered shares to purchase in a primary or secondary offering.
The reason for this is that only 20% of an IPO’s shares are made available to retail and other investors. Even if you trade through the best online brokerage, the lion’s share, which is 80% of most IPO shares, get sold to large investors through the investment bank that underwrites the stock offering.
ClickIPO’s Platform and Tools
ClickIPO’s intuitive, easy-to-use app interface is appropriate for all mobile users. You can learn about, follow, share and participate in the latest public stock offerings through a supported brokerage account.
The app includes a browsing function for IPOs, which can be filtered by upcoming IPOs, active, secondary and spot share offerings. The Twitter-like “follow” option lets you create your own watch list, keep track of/get new alerts on new and secondary offerings (which include overnight offerings you’re interested in). ClickIPO’s app also keeps track of key dates and price changes on the IPOs you follow.
Another important feature of the app is ClickIPO’s significant social media presence. The company’s online presence includes a YouTube channel and Twitter and StockTwits accounts so users can participate in social conversations.
ClickIPO’s Research Offerings
There’s no shortage of company prospectuses for both initial and secondary public offerings through ClickIPO’s handy prospectus research tool. The prospectus describes the quantity, type and price of shares to be offered, the investment banks which participate, the amount of money to be raised and a description of the business that offers the shares.
Soon you will find a market research link for market news and press releases for the company in addition to articles from ClickIPO’s blog. The articles give relevant information on IPOs and how to use the app. You’ll learn valid and important information on ClickIPO and research on each individual offering is left to the user.
The website’s blog and FAQ section also provide users with important information, but for research on each individual offering, ClickIPO prefers to let you do your own.
ClickIPO doesn’t charge fees or commissions. When you apply for an IPO, simply state the amount of cash you want to invest and you receive the corresponding number of shares.
The number of shares you receive depends on the IPO’s final offering price which can change depending on share demand. Increased demand leads to a higher share offering price, while lower demand reduces the price and potentially even the amount of shares that are offered.
ClickIPO’s Customer Support
ClickIPO’s web-based customer support information appears on its contact and IPO FAQ pages. A normal customer service section that provides access to a live person via a chat function or phone number doesn’t appear on its website.
The contact page online and on the app contains a short form for your contact information, including name, address, phone number and email address. A box on the form also asks you to describe the subject matter of your inquiry. You submit the form and wait for a reply, which is typically addressed in 24 hours during market open.
Your questions may also be answered on the site’s FAQ page or on its blog postings, although the contact page seems to be the only customer support resource provided.
ClickIPO’s Ease of Use
You can swiftly navigate through the IPOs and offerings currently available, as well as upcoming offerings without complication. The follow option is instrumental to your ability to keep track of your IPOs and offerings as up-to-the-minute news is released.
The dashboard and reporting systems are at your fingertips as soon as you download the app. The order entry platform and prospectus research tool, your money and shares remain in your control through your existing brokerage account (because ClickIPO does not offer brokerage accounts).
Check Out ClickIPO Today
ClickIPO has transformed the investment banking industry. Before ClickIPO, fewer than 5% of investors had IPO access.
Private companies can now raise money from anyone with sufficient funds in an account — no more are they just relegated to working with high net worth investors and fund managers. Anyone can be notified and buy shares in an upcoming or ongoing IPO, but the app’s rating procedure also singles out investors who show a long-term interest in the new issues.
ClickIPO clientele is attractive to issuers and underwriters. Checkout ClickIPO today to start your investment.
Frequently Asked Questions
Q: How much do IPOs cost?
When you work with ClickIPO, all you pay for is the share price of the IPO. There is a commission built into the share price, but it is paid by the issuer, not you, so you do not pay any additional commission.
Q: Why does ClickIPO does orders in dollars instead of shares?
ClickIPO takes orders in dollars because the final price of the offering is not determined until the offering is effective. Your allocation will be in shares. Regardless of the final price, you won’t be allocated more shares than the total dollar amount of your order.