Vinicius jr
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Thinking about investing in him, can someone tell me his ipo price if possible please?! Would be much appreciated!
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@Chris95 His IPO price was 20p!
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@janner73 really as low as that?!?! Thanks for the reply mate!
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@Chris95 Yep 60p pre-share split so 20p now.
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@janner73 quick question, do you think the ipo prices recently have been put high as they believe they may have to do a share split in the next year or for another reason, like minimising their potential risk or a combination of things?
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@Ddr FI exploitation!
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@Ddr 2 reasons I think:
- Risk management - I don't think it was sustainable to IPO players at 20p that have potentially 10+ years ahead of them where they can return dividends.
- It helps to stretch the market. People forget IPO prices quickly and compare one player's price to another without really factoring in IPO price.
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@Ddr said in Vinicius jr:
@janner73 quick question, do you think the ipo prices recently have been put high as they believe they may have to do a share split in the next year or for another reason, like minimising their potential risk or a combination of things?
I was thinking about this actually on the way home from work last week. I think they will do a share split in late 2020 (providing the market continues to grow) but I think it will just be a 1/2 split next time.
Last time they did a share split alot of people thought it should be 1/4 and it ended up 1/3 which to me gave them potential wiggle room for another split.
I think if next Summer we have players over the £10 mark again and say all top 200 are £2+ then I think a 1/2 split could be on the cards for late next year.
Correct me if I'm wrong but a share split doesn't actually cost FI any money? It just makes the market look more attractive to investors. On that basis I don't see why they wouldn't. People are always going to want as many shares as possible rather than say x5 of each player. Cheaper prices surely means more trading takes place and therefore more commission earned?
I don't see a share split within 6-9 months but late 2020 could be possible
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@BradD Personally I don't think we'll ever see another share split.
I think it's more likely that you will be able to buy fractions of shares in prices get too high again - I think the current dividend structure can comfortably support prices up to £12-£15 at the top end and the amount of money needed to get players to those prices is insane.
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@janner73 that's all fair comment. I'm just thinking about it from a business perspective and how it looks to the consumer. Is being able to buy half a share in Neymar for say £6 or £7 really going to interest new investors?
If they did a 1/2 split I'd be quite happy for dividends to be reduced say 25% as that would still effectively be a dividend increase of 50%
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@BradD It'll be a nice problem to have should prices get that high.
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@janner73 also, when they did the last share split, was the 3 year time period of a hold reset?
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@Ddr Nope don't believe it was - although most people seem to find it difficult to hold a player for 3 weeks let alone 3 years :)
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@janner73 ok cheers
Think you're wrong there though, most people seem to struggle to hold shares for 3 days not 3 weeks lol
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@Ddr I originally wrote 3 days lol. Decided to be more generous :)
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@janner73 lol I actually considered putting 3 hours initially!
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@janner73 true but growth is growth, people have said this before so just be ready in case
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@BradD the prices are more attractive, but the prizes get split too and look less attractive. Its a fine balancing act.
I agree with janner... Doubt we will see another split. Divs will go up and in the future people will be able to buy fractions of a share
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Vinicius Jr on a rise today! Maybe he’s bottomed out ?
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EJ the trader had a spending spree.
He’s just a stamp collector .