Sunday, May 27, 2007

Calculation example!

LFB gets quite a few questions about our new derivative product which is new in SL.

As a consequence we like to share a calculation example with you we just wrote down for a potential investor.

Title(weight)-------share price
-------------------weighted average
-------------------last 30d.....today
=====================================
HCL(10)------------2.61---------3.00
RDX(10)------------2.62---------2.31
BNT(10)------------1.01---------1.00
AIC(10)*-----------1.18---------1.70
SLM (2)------------1.56---------1.4
AMA (2)*-----------1.10---------1.12
=====================================
Total(weighted)----79.52--------85.14

*= data only available for <30 days

The reference portfolio grew over the last month with a factor of
(85.14):(79.52)= 1.0707

or in other words 7.07%.

An investor in LFB would get a dividend of 7% (maximum) on his investment for the last month. Of course we believe that the basket will continue its development in a similar way in the future...

As soon as LFB is traded we will always do our calculation for the 1st of each month. The weighted averages will be taken from the boards (WSE, AVIX) and the end value of the shares will be taken at 12:00 am SLT.

Please, don't hesitate to IM me if you would have any questions.

Greetz
Casper Trebuchet
CEO

No comments: