I have never felt like so many players on the Index are a good investment.
It’s all because of the Share Split, which was implemented earlier this week.
I told myself for the last 6 months that players would seem cheaper…
Psychological Effects of cheaper pricing
I really didn’t think that this would have much of an effect on existing members on the Index, but it definitely has.
A few hours after the share split, Neymar had increased by 50p… This wasn’t all from new members signing up at the right time.
I even deposited a 5 figure sum into the index, so it even had the effect on me.
The fact that it has worked on existing traders means that it will be an absolute god-send to new members.
Yes, dividend payouts per share have dropped (shares have multiplied they haven’t physically dropped), but new members to the Index don’t know of the £0.12 treble PB days.
Let’s face it, new members are more willing to buy Messi at £5 a share, than they would at £15 a share.
The Share Split will have its desired psychological effects. It will take time however.
The share split is a great thing, however, it just doesn’t seem to be as thrilling to get a ‘lower’ payout.
Now I know what you’re thinking, it’s not actually a lower payout at all.
Football Index have actually increased dividend payouts slightly.
However, the figure looks smaller, so it does seem like I am getting less.
I know it makes no sense, but it’s what my brain is thinking!
If my brain is thinking this, I am sure there are other users which may be confused, which is a little concerning.