Frequently Asked Questions

Unlisted shares are equity shares of companies that are not listed on any stock exchange and, therefore, do not trade publicly.

Investors can buy unlisted shares through private deals with existing shareholders, employee stock option plans, or through dealers such as UnlistedHub that deal in unlisted securities.

1. 1. Limited Liquidity: Unlisted shares often have lower trading volumes, making it challenging to sell the shares quickly or at the desired price.
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   2. Lack of Transparency: Unlisted companies are not bound by stringent disclosure norms like listed companies, which can lead to a lack of timely and detailed information about the company's performance.
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   3. Regulatory Risks: The unlisted space is less regulated compared to the listed markets, which can increase the risk of fraudulent activities.
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   4. Valuation Concerns: Determining the fair value of unlisted shares can be challenging due to the lack of readily available market data.

While unlisted shares are not as tightly regulated as listed shares, SEBI does have guidelines to protect investors in unlisted public companies.

The timeline for crediting unlisted shares to your Demat account after purchase can vary. Transfer timing varies based on payment confirmation, the parties and depository processing. Delays might occur due to holidays or other non-working days.

1. 1. Transaction Time: If the payment is made late in the day, the process might carry over to the next working day.
   
   
2. 2. Completion of KYC: Delays in submitting or verifying KYC documents can delay the process.
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   3. Bank and Demat Account Det ails Accuracy: Any discrepancies in bank or Demat account details can lead to delays.
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   4. Holidays and Weekends: Transactions initiated on weekends or holidays will be processed on the next working day.