**The GMP prices displayed here are solely for informational purposes related to the grey market. We neither engage in grey market trading nor endorse involvement in such activities, and we are not subject to these rates (sub2). We do not suggest trading in the grey market.
[ninja_tables id=”41″]The Grey Market Premium (GMP) is an informal term used in the stock market, particularly in the context of Initial Public Offerings (IPOs). It refers to the price at which shares of a company are traded in the grey market before they are officially listed on the stock exchange.
The grey market is an unofficial and unregulated market where traders buy and sell IPO shares even before they are officially issued. The premium (or discount) in this market gives an indication of how the IPO might perform when it officially lists. If the grey market premium is positive, it suggests that investors expect the stock to list at a higher price than the IPO price. Conversely, a negative GMP indicates that the stock might list at a price lower than the IPO price.
GMP is often used by investors as a gauge for the demand and potential performance of an upcoming IPO. However, it’s important to note that the grey market is not regulated by any official financial body, and trading in this market carries significant risks.