Ahead of a blockbuster IPO, LIC has shared the prerequisites for its policyholders in India to invest.
Up to 10% of LIC’s IPO issue size can be reserved for its policyholders who will be designated as one of the reserved categories in any LIC public offering in the future.
One major requirement for participation is to ensure that your PAN details are updated in the Corporation’s records.
This is important for KYC compliance and the process of doing so has been outlined in LIC India‘s portal.
Updating PAN details can be done online or offline.
Go to the portal and keep your PAN card handy along with the list of policies.
Enter your Mobile Number.
An OTP will be sent by LIC to the Mobile number entered.
Updating PAN if it is not in the LIC database:
- Visit the official LIC website.
- Select the ‘Online PAN Registration’ option on the left under ‘Online Services’.
- Tap the ‘Proceed’ button.
- Input your email address, PAN, mobile number, and LIC policy number.
- Enter the Captcha code into the box.
- Request an OTP From your registered mobile number.
- Enter the OTP digits and submit.
- After submitting the form, a message will be shown on the success of the registration request.
Checking PAN-LIC status:
Visit this link.
Enter Policy Number, Date of Birth, and PAN information, as well as the Captcha.
Offline/ Manual Procedure
Approach your agent to complete the process.
Be informed about the risks involved in investments.
Have/ Open DEMAT Account
Having a DEMAT account is the second requirement.
If you don’t have one, you need to open one in order to invest in LIC’s IPO or capital markets in general.
The costs of opening the account has to be borne by the customer, along with maintenance or other ancillary costs.
What You Should Know Beforehand
Conservative investors or those participating in equity markets for the first time need to be well informed and do their homework before putting their money into anything.
Since LIC has a huge customer base and reputation, many may invest blindly or too quickly.
But it is important that they understand the risks that come with equity.
Experts suggest that one should invest in LIC IPO in future provided “the price is right, time horizon is long-term and they have a diversified portfolio”, says Shweta Jain, Founder, Investography.