Can I file 2 applications for an IPO with 2 Demat accounts?

It is quite common for investors to think about the possibility of submitting more than one application for an IPO share in order to increase their chances. The concept is ingenious, however, it is very important to know the real rules of the game for applying to an IPO with several accounts before you give it a try.

Invest in Indian Markets and Unlock Future Potential With 5paisa!

Open Account Now

In order to guarantee fairness, the IPO allotment system in India is based on strict regulations. The investor's PAN number, not only their Demat account, is used to identify each application. Thus, if an investor has multiple Demat accounts but they are all linked to the same PAN, only one application will be considered legitimate. Any additional applications submitted under the same PAN will be treated as duplicates and consequently all will likely be rejected.

So, can I submit two IPO bids under the same name? The answer is no, at least not if they share the same PAN. However, if family members each have their own Demat and PAN accounts, then each person can apply separately. This is why many experienced investors encourage family participation, as it legitimately increases the household’s overall chances of allotment without violating any rules.

That said, multiple IPO applications using different Demat accounts are allowed only when each Demat is associated with a unique PAN. For example, you might apply once using your own account and once under your spouse’s or sibling’s account. But you can’t file two under your own name, even if the Demat accounts belong to different brokers.

The reasoning behind this regulation is to maintain equal opportunity for all investors. Allowing multiple bids under one name would give an unfair advantage to a few individuals. Regulators have designed the system to ensure every retail investor gets the same minimum allotment chance.

In short, owning more than one Demat account is fine, but using them to submit duplicate IPO bids isn’t. The smarter move is to coordinate applications across genuine individual accounts within your family. It’s fully compliant, perfectly fair, and often improves the odds of getting at least one allotment without breaking any rules.