HOLLYWOOD STOCK EXCHANGE
THE ENTERTAINMENT MARKET
THE ENTERTAINMENT MARKET
perfect example of the flaw with droi
droi = current price/expected adjust price/duration
droi uses a formula with these three principles to get a mathmatical rating about how good an investment is compared to the mathmatical rating of all other available investments.
the correct answer to mrbinns quiz is .... (to use a quote 'My Cousin Vinny'): "There is no answer because it's a bulls**t question."
mrbinns gave you price and expected adjust, but not duration.
that is the biggest flaw with droi. You need all three pieces in order to get a mathmatical rating. If you are missing on of the three pieces, then you must make your own estimate to fill in the blank and then your droi is flawed because it is now based on your guesses instead of mathmatics.
the only time droi truely works is when all three pieces are known. When The Hunger Games passed $250mill then droi was available. We knew the current prices of attached starbonds. We knew the adjust date and we knew the expected adjust amount. Then players could know what the droi was and invest accordingly.
TV Stocks offer droi. We know how many episodes are ordered, what the current stock price is, and the timeframe that they will delist.
What is the droi for Will Smith's next adjust for Men In Black 3? We know his current stock price, we know the adjust date, but will Men In Black 3 be a hit and make 250 or be a dud and delist at 125? We currently do now know. There is no way to droi it.
What do droi people do when a movie changes release dates? The droi changed yesterday for 47 Ronin and all attached starbonds because it got pushed back a few months. The droi changed yesterday for One Shot and all attached starbonds because it got pushed up a few months. How often are droi-ers suppost to do the calculations and compare the mathmatical ratings? Monthly? Weekly? Daily? By The Hour? By The Minute?
When droi-ers do not have all three pieces they simply do what a majority of players do... guess the missing piece and make investments based off of their guesses. Most of the time, there is always a piece missing.
I found an interesting example of why context is needed wth respect to the Post Adjust Bond Show, with respect to dROI.... Apr 26, 12:46
bond1=best Apr 26, 12:48
perfect example of the flaw with droi Apr 26, 15:21
This was not meant as a criticism of your hard work. Only to point out context necessary to make good use of it. Apr 26, 20:15
um... (don't know what to put here ~ again) Apr 26, 21:48
Um..How can we search for Fembot's thoughts on trading? {nm} Apr 27, 14:53
um... Apr 26, 20:50
I suppose it depends what your definition of fun is. Apr 26, 23:07
"If It Makes You Happy.... Apr 27, 09:04
half of my message is missing :( {nm} Apr 27, 09:05
Hmmm... if you don't day-trade and you don't use dROI, what Starbond tool do you use? Apr 27, 10:09
he says they're attached to the same movie, so surely they adjust over the same period {nm} Apr 27, 00:35
um... Apr 27, 08:20
to wit: Apr 28, 19:08
No {nm} Apr 29, 09:47
Yes, for the purposes of comparing the three examples it is. {nm} Apr 30, 17:34
no it isn't... Apr 30, 20:18
Answers...(no fair peeking until you have an answer written down) Apr 26, 12:52
Fantastic debate between some of the heavy hitters! Apr 26, 23:07
Implying that I actually use a mix of both investment strategies and it works great. Thanks to both of you. {nm} Apr 27, 11:10
Heh - I thought I knew what you meant until I read your IM. {nm} Apr 27, 13:28
I am not sure what you mean because your terminology is off....BUT Apr 27, 20:33
I'm assuming dROI is daily Return On Investment (this very well could be wrong, I haven't checked). My explanation is inside Apr 28, 09:13
This excludes any bounce phenomena {nm} Apr 28, 09:31
(Oh actually, it's not the Bounce - but I think my IM still has it) {nm} Apr 28, 09:41