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(#70 - 2011.12) BMBE Shareholder Report - BMBE the Premier Bank of EVE
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Block Ukx
420 Enterprises.
#21 - 2012-01-22 01:51:27 UTC
IonHammer wrote:

Also i note from the BSCA website that they distribute 95% of the BMBE share dividend so that seems to be a 5% management fee.#1



This is not correct. BSAC distributes 100% of the BMBE share dividend. There is no management fee associated with BMBE. We only charge management fee on BSAC's shares.
Block Ukx
420 Enterprises.
#22 - 2012-01-22 01:54:47 UTC
IonHammer wrote:
What I can't tell you is does BSCA cover your virtual buys with actual BMBE shares or not?



The registered shares are covered with in-game shares held in BSAC MMM's wallet. TornSoul can verify this at anytime.
Atreides Leto
Sebiestor Tribe
Minmatar Republic
#23 - 2012-01-22 02:18:40 UTC
I suspected that much about the split, however never had been in these dealings so I'm old enough to know that “In Doubt” you ask...

I keep saying “thank you” to everyone and rightfully so, you guys have been great, fantastic help.

No matter how solid BMBE shares are, the split 1000:1 makes it un-atractive from my point of view IMHO, no sense putting any buy orders at this time, again that is my opinion as a new investor.

The wonderful thing is, that while one is un-attractive, others aren't... So I did find investment opportunities at BSAC and am enjoying spending sometime a day in there, would recommend to anyone that (as myself) was wondering where to invest some extra ISK.

Great place to be, great help, will be a loyal costumer for long time I'm sure.


Thank you ALL for everything, much appreciated indeed.

Best regards.
TornSoul
BIG
#24 - 2012-01-22 15:39:55 UTC
Atreides Leto wrote:

No matter how solid BMBE shares are, the split 1000:1 makes it un-atractive from my point of view IMHO, no sense putting any buy orders at this time, again that is my opinion as a new investor.


Your conclusion above makes me think you perhaps haven't quite understood what the 1000:1 split means (I could be wrong)

Because whether the BSAC split is 1000:1 or 100:1 or 1:1 (or even 1:100) makes absolutely no difference to your potential earnings.

So how you use the split ratio as a basis for not investing is a bit mysterious to me.

(It makes no difference to me if you invest or not - I'm just curious as to your reasoning)

--

Individual BMBE shares (i.e. one single ingame share) are to my knowledge the most expensive shares around.
For some people ~130M ISK, just to get a single share (and thus partake in dividends), is a lot of ISK, and thus they stay away.

Some might prefer to not invest more than say 20M ISK - With the BSAC 1000:1 split they have that option, as they can then just buy ~150 "virtual" BMBE shares on BSAC (this roughly equals 20M ISK).

The return on their investment (percentage wise) stays exactly the same.
Atreides Leto
Sebiestor Tribe
Minmatar Republic
#25 - 2012-01-22 19:58:37 UTC
TornSoul wrote:
I'm just curious as to your reasoning)



Well I just started on this venture a couple of days ago... so yes, I admit I may have misunderstood the concept of the split, here's what I get from it, will try and explain as best I can:

Split of 1000:1 to me means, if I want 1 (one) share I have to buy 1000 (one thousand) so lets say for sake of argument that each share costs 130,000.00 ISK (as per last trade) I would have an investment of 130Million ISK for 1 (one) share, again for sake of argument lets say the dividend came to be 1,356.69 per share (using last dividend).

Now lets compare with another stock that has no split and (for sake of argument) each share costs 25,000.00, lets use the same amount of investment, the 130M ISK would buy me 5,200 shares, lets say (for sake of argument) the dividend on those shares came to be 115.00 ISK my total dividend for the same investment amount would have been 598,000.00 ISK.


That above is my understanding, if my interpretation is wrong I kindly request humbly for your help in clarifying it.

Best regards.
Block Ukx
420 Enterprises.
#26 - 2012-01-22 20:44:33 UTC
Atreides Leto wrote:

Split of 1000:1 to me means, if I want 1 (one) share I have to buy 1000 (one thousand) so lets say for sake of argument that each share costs 130,000.00 ISK (as per last trade) I would have an investment of 130Million ISK for 1 (one) share, again for sake of argument lets say the dividend came to be 1,356.69 per share (using last dividend).



I hope you understand that the 1,356.69 ISK dividend was per registered share. The ROI is exactly the same as the in-game shares ROI.


Atreides Leto wrote:

Now lets compare with another stock that has no split and (for sake of argument) each share costs 25,000.00, lets use the same amount of investment, the 130M ISK would buy me 5,200 shares, lets say (for sake of argument) the dividend on those shares came to be 115.00 ISK my total dividend for the same investment amount would have been 598,000.00 ISK.


The stock split is irrelevant to the dividend. The ROI is independent of stock split. Like TournSoul mention above, the stock split is really used to lower the entrance barrier by making shares affordable to the general public; it is much easier to trade a 130,000 ISK share than to trade a 130M share.
Atreides Leto
Sebiestor Tribe
Minmatar Republic
#27 - 2012-01-22 21:03:02 UTC
Block Ukx wrote:

I hope you understand that the 1,356.69 ISK dividend was per registered share. The ROI is exactly the same as the in-game shares ROI.



So you mean that the 1,356.69 ISK would be x 1000? Not just 1?

If that is the case then I'm totally wrong with my analysis logic... and feel ashamed Oops
Block Ukx
420 Enterprises.
#28 - 2012-01-23 01:08:12 UTC
Atreides Leto wrote:

So you mean that the 1,356.69 ISK would be x 1000? Not just 1?



If the in-game share pays a 1,356,690 ISK dividend per share, then the registerd share pays 1,356.69 ISK per share. ROI is the same in both cases.

in-game share ROI = 1,356,690 / 126,357,580 = 1.07 %

registered share ROI = 1,356.69 / 126,357.58 = 1.07 %
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