Ask three investors who have committed to late-stage private companies how they built the position and you’ll get three different answers. Deciding to commit is one thing. Building the position is another. The machinery doesn’t exist yet In public markets you barely have to think about it. Take investing for retirement through an employer 401(k), for example: pick a target-date fund and it sets your stock-bond split.

A lockup is a contractual restriction, negotiated between the company and its underwriters, that prevents insiders, employees, and pre-IPO investors from selling shares for a set period after listing. Standard terms run 90 to 180 days, though the exact length and who it applies to varies by deal.