HOLLYWOOD STOCK EXCHANGE
THE ENTERTAINMENT MARKET
THE ENTERTAINMENT MARKET
How StarBonds work...
Determining the Estimated Adjust Price (EAP) of a StarBond:
1). Find all movies to which the starbond is attached.
2). Order the attached movies by release date.
3). Determine the next movie(s) to be added to the TAG based on the movie delist date(s).
a). Wide releases delist after 4 weeks in release. Limited releases delist after 12 weeks in release.
b). If two or more movies delist on the same day (the next delist date), all of them will be added to the TAG; otherwise the next movie to delist will be added to the TAG.
4). Determine the movies to be dropped from the TAG based on the release date of each movie in the TAG.
a). Determine the movie with the earliest release date.
b). If, on the earliest release date, two or more movies share the same release date, the movie(s) with the lowest gross will be removed first.
5). Add the new movie(s) to the TAG, and remove movies in excess of 5 from the TAG based on the calculations in step 4.
6). Calculate the gross of each movie in the new TAG.
a). For movies not yet delisted, use the current or projected price of the stock in place of the gross. Multiply the price by 1 million.
b). The maximum allowable gross for each movie is 250 million.
7). Divide the total gross of movies in the TAG by a divisor determined by the number of movies in the TAG.
a). If 5 movies in TAG: divisor = 5
b). If 4 movies in TAG: divisor = 4
c). If 3 movies in TAG: divisor = 3
d). If 2 movies in TAG: divisor = 3
e). StarBonds do not adjust in price for the first film in TAG, or for films which do not report box office to ERC.
The result is the Estimated Adjust Price.
After all these years, I still don't know how a bond adjusts with two delisting the same day. JALWY is a good example. {nm} Jan 14, 12:30
How StarBonds work... Jan 14, 12:39
I was told to "Learn the rules of the game" by HSX billionaires when I admitted to not knowing about StarBond adjusts. {nm} Jan 15, 07:35
