IG explains how to trade or invest in Arm IPO
Electronic trading major IG has provided a guidance on what traders need to know and how to buy Arm stock.
The Arm IPO is planned for 13 September. The microchip designer has priced its IPO at $47-$51 per share.
UK investors cannot participate in the IPO (ie. subscribe to the offering), however they will be able to buy or trade shares with IG on the day of the listing.
IG will offer Arm shares to buy right away on 13 September when the IPO takes place. You can:
- Invest and own Arm shares with share dealing from zero commission
- Trade Arm stock either long or short with spread bets and CFDs.
As this is a US IPO, it may take a few hours for the shares to be available to trade (as with all US listings for all brokers) after market open. IG will offer investing in ARM shares from £0 commission if you’ve traded 3+ times in the previous calendar month. IG’s standard rate is £10.
If you’d rather trade the stock with derivatives, you can do so commission and tax-free with spread bets, or for $15 commission with CFDs.
Just bear in mind that spread betting and CFD trading is leveraged – this means that you’ll only need a fraction of the total trade size to open your position, but your profit and loss will be based on the full position size. This means you could stand to gain or lose money much faster than you’d expect.