I have got some IPOs in the past. Previously what I used to do is to keep the profit amount and take out whetever is invested. It has worked well in some of the IPOs like Zomato and IRFC, and it didn't worked in some of the IPOs. And then I thought of keeping some of the IPOs for the long term and then also it didn't worked out well like Cello World and Clean Science. Both are below their IPO price.
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And that's why what I am doing now is to sell the IPOs on the listing day itself. The IPOs are very volatile in nature, they can go up as well as they can go down. The IPOs are a way for promoters to sell the stocks and sometimes they increase their profit margin just to bring the IPO. After the IPO the real picture starts. And the stock crashes. I have seen some of the stocks which are from IPO have not touched their all time high and probably they will never touch.
This is because the stocks is not worthy of that much money. With the IPO hype the price of the stock goes up and thus its better to sell on the listing day itself. And that's why now what I am doing is to sell the stocks and get the money then and their itself. There are a lot of stocks which we can keep for long term and we don't have to just keep the IPO stocks only. There are some stocks which are really good like the Majgaon Dock, or IRCTC which who would have got in IPO can be kept for long term.
So for me, I have changed the startegy now. Whatever IPO I will get, I will try to sell on the listing day itself to take the profit.