Answer
You cannot apply for the same IPO (Initial Public Offering) in both the Retail and the HNI (High Net-worth Individual) categories.
Same PAN (Permanent Account Number) for applications in both categories will be rejected. You must decide on one category:
- Retail Category: For investments up to ₹2 Lakhs.
- HNI Category (NII – Non-Institutional Investor): For investments above ₹2 Lakhs.
Key Differences Between HNI and Retail:
| Feature | Retail Category | HNI Category (NII) |
| Investment Limit | Up to ₹2 Lakhs | Above ₹2 Lakhs |
| Bidding Price | You can apply at the “cut-off” price (you pay the final allotment price). | You must bid at a specific price, usually the highest price in the IPO range. You cannot use the cut-off price. |
| Allotment Method | Done by lottery system. | Based on proportional allocation (you get shares based on your application size). |
| Quota | Generally has a larger quota (35%). | Has a separate, fixed quota (often 15% of the total issue). |
What if I made a mistake?
- You cannot cancel HNI bids, but a retail investor can switch to HNI. Cancel your retail application and then reapply correctly in the HNI category.
- Bids can only be increased in HNI, not decreased.