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What Is an FPO (Follow-on Public Offer)?

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What Is FPO (Follow-On Public Offer)? Author: @nkit When a company is already listed on the stock market and decides to raise more money from public investors again, it issues something called a Follow-On Public Offer , or FPO for short. An FPO is similar to an IPO (Initial Public Offering), but instead of the company going public for the first time, it is offering additional shares after its initial listing. This guide explains FPOs in simple terms so beginners can understand what they are, why companies use them, and what investors should consider before applying. How an FPO Works When a company wants to raise additional funds after being listed, it announces an FPO. This means the company will issue new shares or offer existing shares to the public at a set price or price band. Investors can then apply for these shares during the FPO subscription period using their brokerage or bank platform. Why Companies Issue FPOs Companies may choose ...

Basic Terms of the Stock Market Every Beginner Should Know

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Basic Terms of the Stock Market Every Beginner Should Know “Learn the language of the markets, and you’ll never feel lost again.” When you start learning the stock market, the biggest problem is not risk or money — it is understanding the words people use. News channels, apps, and social media are full of market terms. If you don’t understand them, everything feels confusing. Let’s explain these basic stock market terms in detail, one by one, in a way that even a complete beginner can understand. Stock (or Share) A stock, also called a share, represents ownership in a company. When a company needs money to grow, it divides its ownership into small parts called shares and sells them to the public. When you buy a share, you become a part-owner of the company. If the company grows, the value of your share increases. If the company performs badly, the value of your share decreases. Think of it like owning one slice of a big pizza — if the pizza becomes popul...