This module will not be further enhanced. Support is limited to defect fixing only.

Introduction to IPO Allocation

When an Initial Public Offering (IPO) result is received from Tel Aviv Stock Exchange (TASE) or Israeli Security Authority (MAGNA), the results are given per the participating bank and the allocation to the IPO bids are processed automatically.

This functionality allows banks to automatically manage the Israel IPO allocation process and the IPO allocation methods. It enables the eligible bids to be identified and the corresponding allocation of securities to be performed, once the book runner provides the final price and other allocation details.

There are three IPO auction methods commonly used: uniform price, discriminatory auction and fixed price. The system will apply logic on the IPO results allocation based on the auction method. The auction types are:

• Uniform price – FIFO.
• Uniform price – Pro-rata.
• Uniform price – FIFO + Pro-rata.
• Discriminatory price.
• Fixed price.