Todd Garber Football Index

What Effect Could Removing The PB Deadline Have


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Only a trial and error stage now, but on first glance I'm up for the trial. Removing the pb deadline (ie extending it to 23:59 could have a number of effects on how people trade on FI. Traders will now have the option to "chase" and trade specifically for dividends. This extension will allow traders to buy shares that are guaranteed to win for that day (unless OPTA adjusts the scores).This will likely cause some volatility where prices rise on players who are going to win pb but may start to drop again the next day. This may benefit long term holders looking for an exit price as they can sell on the rises and also may allow short term flippers to benefit.
Although this moves away from one of the USPs of FI I don't think this necessarily damages it. Long term traders should find themselves unaffected by this. They can simply buy the shares before they get those daily rises and hold until they reach a price they want to sell whilst still taking in the dividends one.
I'm not convinced this will solve all of FI's problems especially regarding liquidity and demand, however this could stimulate more active trading and make the product more engaging to short term traders so I think it's worth a shot!
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Todd Garber Football IndexBy Todd Garber