How SoFi IPO Investing Works (with Video)
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SoFi IPO investing is available to all U.S.-based investors 18+. There is no minimum account level to participate.
The video above shows an example of how to buy IPOs at SoFi, demonstrating with the Reddit IPO. This video is a comprehensive look that walks potential investors through the process and discusses the flipping policy.
The sections below show a series of screen captures of the step-by-step process of investing.
I have experience investing in multiple IPOs on the SoFi Invest platform, including Instacart, ARM, and Rivian.
Table of Contents
SoFi IPO Investing: Where to Find IPOs
When you log into your SoFi Invest account, go to the main investing page. You can get there from the tab at the top of the home page.
Scroll down and under Features to explore, and you’ll find IPO investing.
Click the Visit IPO Investing link.
The Four Steps of SoFi IPO Investing
Once you click or tap the invest in IPOs link, there may or may not be any current IPOs available. When IPOs arrive, they only stay for about a week.
Here is a view of the Invest in IPOs page when no IPOs are available. It outlines how future IPOs will progress.
- See what deals are live and select your IPO(s).
- Enter your indication of interest.
- Underwriters price the night the night before the IPO. SoFi will notify you to confirm your buy order to secure shares.
- SoFi allocates shares on the morning of the IPO. After the allocation, the shares are available in your account.
Available IPOs
Here is a SoFi IPO investing view when an IPO is available. I’m using the Reddit IPO for demonstration purposes. Upcoming IPOs appear just above the how it works section.
Click the Start now button to begin the IPO investment process.
SoFi IPO Investing: Step-by-Step Order Process
Once you’ve started the process, the next page has three important components:
- Participate button
- View prospectus
- Price Range and Key Dates
Read through the price range and key dates, then review the prospectus.
Investors must acknowledge they have read the prospectus before investing. At this stage, most IPO investors have already read the prospectus. Click the link and move on to participate.
After clicking Participate, three more screens are required to finalize your indication of interest.
Request Shares
The first is to select the number of shares you want to purchase. In most IPOs, you won’t get your full allotment, so I recommend investors reserve more shares than they want to buy, but only what you comfortably afford to buy or lose.
Interested investors must have cleared funds in their accounts to indicate interest. That means deposited funds that have cleared after 5-7 business days.
Enter the number of shares you want to request and click or tap Review.
Review Indication of Interest
The next screen lists your request, the top-of-the-range IPO price, and the estimated maximum cost. Price and cost may change between this point and leading up to the IPO.
You must also review the prospectus if you haven’t already, and there’s a warning about the flipping policy.
At the bottom, there’s a Submit button. Click or tab to complete the order.
Confirmation
The last view is a confirmation providing information on the next steps.
The underwriters will finalize the IPO price the evening before the IPO. At that point, those who indicated interest must log into their SoFi Invest account and confirm their order. If investors do not confirm their order, it will be automatically canceled.
If investors confirm their orders, shares will be allocated the next morning. The number of shares you receive depends on how many shares SoFi receives from underwriters and IPO demand. You may receive all, some, or none of the shares requested.
Shares appear in your account holders that morning, and investors can treat them like any other holdings once the IPO starts trading. IPOs start trading around midday on the IPO date.
SoFi Invest Flipping Policy
Lastly, it’s essential to understand the SoFi Invest flipping policy before investing. The broker may penalize investors tagged as “flippers” who sell IPO shares shortly after the public debut.
SoFi IPO investors may sell the stock immediately after the IPO. However, if an investor sells within 30 calendar days of the IPO, they will be labeled “flippers” and may receive the following penalties:
- Prevented from participating in future IPOs for 180 days after the first flipping offense.
- Prevented from participating in future IPOs for 365 days after the second flipping offense.
- Permanent IPO investing disqualification after the third offense.
Furthermore, SoFi Invest has discretion to charge a $50 fee for the sales of IPO stocks if sold before the 120th day of trading. The fee will be reduced by $5 for each additional sale before the first 120 days of trading.
Please note: Members of the Access IPOs community have admitted to violating these policies in the past and have not been penalized. Therefore, SoFi applies vague discretion regarding these penalties. Violate them at your own risk.
Conclusion
I and several members of the Access IPOs community have had tremendous success investing in IPOs at SoFi. As IPO volume increases, we expect more deals on the platform.
Sign up for a SoFi Invest account and deposit funds to start investing. I recommend at least a $500 deposit to request more shares than you may receive. For example, if you request $500 worth of shares, you may only receive $100 worth of high-demand IPOs.
If you have questions about SoFi IPO investing, please leave them in the comments section, and I’ll update this post to address your inquiry. 
Craig Stephens is a former IT professional who left his 19-year consulting career at the IRS to be a full-time finance writer. A DIY investor since 1995, he started Access IPOs in 2016 to provide a resource for ordinary investors pursuing access to IPOs. Craig studied Finance at Michigan State University and lives in Northern Virginia with his wife and three children. Learn more about Craig.
