What is ASBA in Angel One?

Investors can bid for shares using the Application Supported by Blocked Amount (ASBA), a free technology that allows money to be withheld from bank accounts only when the allocation is fixed, leaving the remaining funds available for other uses. The bank will pay the issuer the sum for the shares that have been awarded after the allocation is complete. The ASBA was initially introduced in September 2008 and has been made a mandatory process since January 2016.