I wanted to show a few examples with pictures to illustrate how inexpensive it can be to buy 100 votes
I am going to show pictures of each ticker with me going long 100 shares, short a call, and long a put. The call and put will be for the same strike and the same expiration. At the very end will be a summary table of upfront costs, losses/gains, and then some additional comments.
Please note:
- This assumes no early exercise, which is a risk to this.
- This assumes what is displayed on the ticket can be filled. Technically, it will not fill as optimally, but the gist of this is the key.
- This is all based on data from thinkorswim pulled around 11:30am on 3/30/2023.
Examples
TLDR Summary
- GME: for $2.4k, you can buy 100 votes and you’ll lose is $88
- Robinhood: for $1.1k, you can buy 100 votes and you’ll gain $13
- AMC: for $0.7k, you can buy 100 votes and you’ll lose $138
- Apple: for $16.8k, you can buy 100 votes and you’ll gain $194
- Microsoft: for $27.4k, you can buy 100 votes and you’ll gain $141
For 5 different tickers, this shows how you can shed some or all of your economic risk and have full voting rights. This is empty voting!
One share, one vote is not something that is always true. That's a major part of the issue.