With more than 25 IPOs launched in September alone, he noted that not all of them are delivering strong listings.
“Undoubtedly, our workload has increased tremendously, and it’s literally inhuman for me to expect my analyst to cover every single IPO in detail. So, by definition, we have become very, very selective,” Shah said on CNBC-TV18.
According to him, many retail investors still carry the misconception that IPOs always list at a premium.
With the barrage of IPOs hitting the market, Shah believes there is little concern about quality since SEBI has strong checks to allow only credible companies to list.
He noted that institutional investors have also focused on reasonably valued offerings. IPOs that opened at a discount generally had very little institutional participation.
Shah advised that retail investors should track issues that attract interest from large institutions such as mutual funds, insurance companies, and pension funds, rather than relying on smaller investors or family offices.
On the broader equity outlook, Shah acknowledged global pressures such as US tariffs and geopolitical risks but underlined that India’s growth story remains strong for long-term investors.
“If you are investing for five years and 10 years, then this correction is a great opportunity to invest into,” he said.
He also pointed out that while foreign portfolio investors are selling, domestic institutions are still deploying funds strategically. Retail flows, especially through SIPs and multi-asset allocation funds, continue to support market liquidity, though some redemptions are expected during the festive season as investors use funds for consumption.
Shah concluded that the next few months could remain volatile, but investors should stay focused on the long-term picture rather than short-term market swings.
For full interview, watch accompanying video
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