I see some companies like Equityzen, sharepost etc.. that allows to buy some pre-IPO stocks. Are the options listed here good? Any inputs from those who buy pre-IPO stocks are appreciated as I am thinking about this. Is it in general a better idea to buy these vs the stocks on Robinhood? If it is a good idea, what websites do you use, and which stocks do you buy and how do you select.
You will have a lock in period like employees. Lyft dropped below the pre-ipo price at lock in expiry. If you find companies you believe in and are series D or below, those can be profitable. Otherwise, I don't think there is money. Employees know better and they wouldn't be selling stock if there is real value in holding.
No, that's a bad idea 99% of the time. If you're able to get them, that means someone (who knows more than you) is willing to dump them before IPO. Ask yourself why that would be the case, and be pessimistic. Also, as someone else mentioned, pre- and post- dilution rates are in no way guaranteed to be at parity. You could absolutely get completely burned without recourse. So very high risk, let's take a look at the reward - whatever the rise in valuation is post IPO. So, meager reward. High risk + meager reward = bad idea
If someone is trying to sell you pre ipo stocks run 🏃♀️ 🏃
Whyyy
They can be diluted in the ipo