IPO Trading

IPO trading: the basics

IPO trading plugs you into the dynamic price movements of newly listed companies as they enter the public market. Here’s a brief overview of what IPOs are, how they work, and why they matter. 

What is an IPO and why do they happen?

An initial public offering, or IPO, is when a private company lists its shares on a stock exchange for the first time, allowing public investors and traders to take a position on them. IPOs provide companies with capital to expand, repay debt, or invest in new projects. 

This funding can kickstart business growth, scale operations, or fuel strategic moves – factors that may influence the stock’s performance post-listing.

To fully understand the process, check out our in-depth guide on IPOs.

How does a company IPO?

The IPO process involves several steps, including selecting investment banks, preparing regulatory filings, setting an offer price, and listing on an exchange. All that can take several months or longer – but once shares are publicly available and we’ve added the stock as a CFD to our platform, you can trade them based on market demand.

Why trade an IPO?

IPOs enable you to capitalise on early price action within minutes of a stock’s listing. IPO stocks often see sharp moves as the market reacts to demand, making them potentially attractive for short-term strategies.1 

When you trade IPOs with CFDs, you don’t need to own the stock outright – you can just take a position on the underlying price moves. CFDs also provide leverage, enabling a larger position with a relatively small outlay. This magnifies potential profits, but also losses – making leveraged trading risky. 

*Past performance is not a reliable indicator of future results. 

Why choose us for IPO trading?

Trade upcoming IPOs with a multi-award-winning company² rated 4.4 on Trustpilot, 4.6 on Google Play, 4.7 on App Store, and 4.6 on TradingView – and join 710,000 clients who love what we do. 

• Trade on a user-friendly platform: Access thousands of markets with seamless navigation across charts, watchlists and technical tools – along with 0.023-second execution.³
• Stay informed with expert insights: Discover the latest IPO news, analysis, and market trends directly from our expert analysts or integrated on our platform.
• Enjoy fast account opening : Sign up in minutes – once you're verified, you're just a few clicks away from trading.
• Clear, competitive fees: Get 0% commission on all trades – along with 0% overnight funding on unleveraged shares and crypto CFDs. Other fees may apply.
• Risk management made simple: Use built-in stop-losses, take-profits, and other straightforward tools to manage your exposure.
• 24/7 support when you need it: Consult our dedicated, friendly team around the clock – they’ll be happy to answer your queries.

²5 star winner for App, CFD provider, selective platform at the Investment Awards, Investors’ Chronicle & FT, 2025. Best in Class across four key categories: Commission & Fees, Crypto Trading, Ease of Use, and TradingView integration at the 2025 ForexBrokers.com awards. 

³All Capital.com servers, 2025