How do funds that invest in themselves work? - page 2.

puffn

full member

Activity: 126

Merit: 100

Surely you did algebra at some point in your life. Substitute the definition of each into the third formula and solve.

c= .5a +1
b= .5c
a = .5b

1c= .125c +1
Solve.
.875c =1
c= 1.142857
b= .571
a= .2855

nimda

hero member

Activity: 784

Merit: 1000

0xFB0D8D1534241423

Code:

A share of fund C is worth at least 0.01   BTC.
A share of fund P is worth at least 0.005  BTC.
A share of fund A is worth at least 0.0025 BTC.

C holds 50 A shares...
A share of fund C is worth at least 0.01125
A share of fund P is worth at least 0.005625
A share of fund A is worth at least 0.0028125

C holds 50 A shares...
A share of fund C is worth at least 0.01140625
A share of fund P is worth at least 0.005703125
A share of fund A is worth at least 0.0028515625

Whee...
C 0.01142578125
P 0.00571289062
A 0.00285644531

C 0.01142822265
P 0.00571411132
A 0.00285705566

C 0.01142852783
P 0.00571426391
A 0.00285713195

C 0.01142856597
P 0.00571428298
A 0.00285714149

C 0.01142857074
...

Add up the value of all the shares (approx. 0.01142856597 * 100 + 0.00571428298 * 100 + 0.00285714149 * 100), and you get 2 BTC

Fun stuff, eh?

nimda

hero member

Activity: 784

Merit: 1000

0xFB0D8D1534241423

Hmmm... Let's say you have the following funds. Each issues 100 shares, each representing 1%, and none of them have anything other than what is listed.
Fund A: 50 shares of fund B
Fund B: 50 shares of fund C
Fund C: 50 shares of fund A *and* one bitcoin.

How much would you pay per share of each company? Obviously all 300 shares in total must be worth one bitcoin...

Topic: How do funds that invest in themselves work? - page 2. (Read 1919 times)