Yes, retail investors can invest in SME IPOs through ASBA (Application Supported by Blocked Amount). ASBA is a process introduced by SEBI that allows investors to apply for IPOs without transferring the application money to the issuer. Instead, the application amount is blocked in the investor’s bank account until the allotment process is completed. If the investor is allotted shares, the blocked amount is debited from the bank account, and if not, the amount is unblocked and made available for use. This mechanism provides convenience and security to investors participating in SME IPOs, enabling them to apply for IPOs online through their trading accounts linked to their bank accounts.
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