3 ms·

I still am not clear on why this is a problem Apple should spend money to solve. (Since a stock split is certainly not free of administrative costs.)

• aet 13y ago
  The stock split has the potential to reduce trading costs (stuff to do with tick size, and odd lots) etc... http://www.kelley.iu.edu/cholden/Stock%20Splits%202006-05-03.pdf http://www.kelley.iu.edu/cholden/Stock%20Splits%202006-05-03...
  • mathattack 13y ago
    Exactly. There used to be larger trading cost discrepancies when you weren't trading in lots of 100. (The per trade cost from brokerages were higher) Now the issue is that you can get steered to paying full bid-offer when you shouldn't need to. The writer is very good at cutting through the clutter on issues like this.
  • smackfu 13y ago
    Right, but what is the benefit to Apple of reducing those costs? Maybe they save money when they are doing stock buybacks?
    • aet 13y ago
      The stock become more attractive to hold