GMP (Grey Market Premium)

Also known as: grey market premium, ipo gmp, grey market

Grey Market Premium is the extra price buyers informally pay for IPO shares before they list — a GMP of ₹120 on a ₹500 issue signals the street expects a ~₹620 listing. It is unofficial, unregulated and driven by sentiment: GMPs routinely mislead, evaporate on listing day, and say nothing about the business. Treat GMP as a mood indicator, never as analysis.