IPO Investor Categories – Retail, sHNI, bHNI, QIB & Quotas

IPO investor categories explained: retail (up to ₹2 lakh), small HNI (₹2–10 lakh), big HNI (above ₹10 lakh), QIB, anchor investors and employee/shareholder quotas.

Retail individual investors (RII)

Individuals bidding up to ₹2 lakh in an IPO apply in the retail category. They can bid at the cut-off price.

Non-institutional investors (NII / HNI)

Individuals and others bidding above ₹2 lakh are NIIs. The NII portion is split into small NII (₹2–10 lakh, one-third) and big NII (above ₹10 lakh, two-thirds).

Qualified institutional buyers (QIB) and anchors

QIBs are mutual funds, banks, insurers, foreign portfolio investors and similar institutions. Up to 60% of the QIB portion can be allotted to anchor investors a day before the issue opens.

Employee and shareholder quotas

Some IPOs reserve shares for eligible employees and for shareholders of a listed parent company. Eligible investors can apply in these quotas in addition to the retail or NII category, improving their allotment chances.

IPO Investor Categories – Retail, sHNI, bHNI, QIB & Quotas IPO FAQs

What is the maximum a retail investor can invest in an IPO?

₹2 lakh per IPO in the retail category. Bids above that are treated as NII (HNI) bids.

Can HNI investors bid at the cut-off price?

No. NII and QIB bidders must bid at a specific price; only retail and eligible employee/shareholder bids can be at cut-off.