Grey Market (or Gray Market ) has always existed in parallel with listed markets for decades, with traders, investors and brokers operating a fine line between legality and free trade system. Let’s understand what is Gray Market is and how it functions. What is the concept of grey market ? A Grey Market is an unregulated market for financial securities. Unlike NSE and BSE, which are regulated stock exchanges for security trading, the grey market or pre-IPO market is not heavily regulated by ... Learn what the grey market is, how it differs from the official market and risks and benefits associated with grey market goods. Understand its impact on consumers and businesses. IPO Grey Market refers to the unofficial, unregulated market where shares of an upcoming IPO are bought and sold before the official listing. This market exists primarily to gauge the demand and potential listing price of the IPO shares. Grey Market is an unregulated market to trade IPO applications and IPO shares before listing of the stock. An investor may not want to trade in the grey market , but getting an idea of the GMP can be used to estimate the listing gain on the IPO share.