Glossary Background

Flipping

Flipping refers to the act of buying and quickly selling an asset to make a profit. The term is often used in real estate, where an investor purchases a property and sells it within a short period, such as days or weeks, to earn a quick profit. The investor may make small improvements to the property to increase its value and potentially earn higher returns. Flipping can also apply to stocks, particularly in the context of IPOs. For example, if an investor buys shares during an IPO and sells them shortly after the stock begins trading on the secondary market (especially if it experiences a price surge), it’s considered flipping IPO shares for a quick profit.