Is Overvaluation Becoming a Major Risk in Pre-IPO Investments?
Pre-IPO unlisted shares have gained popularity as investors seek early-stage exposure to high-growth companies. However, concerns around overvaluation are becoming increasingly relevant in the current market.
High valuations can limit future returns if companies do not meet growth expectations or if IPO timelines are delayed. Even fundamentally strong businesses may experience price corrections in unlisted share markets when valuations exceed realistic benchmarks.
Platforms like Planify provide insights into unlisted shares, including verified prices, transaction trends, and company details. This can help investors assess whether pre-IPO shares are reasonably valued before committing capital.