Reverse splitting yourself (IM 564)

“Reverse splitting” is a term very familiar to the investors. When the price of the stock goes down, the company decides to decrease the number of shares by a specific ratio maintaining the total equity unchanged. Recently, because of the crude oil crash, a lot of crude oil ETFs were reverse splitted.

We can use this approach in practice in our daily life. But how?

Whenever we get overwhelmed or whenever we encounter a vulnerable situation, we can reverse engineer the situation and set the priorities, which will decease the amount of stuff to be done. This allows to focus on the important thing, which increases the effectiveness and ultimately enhances the performance level.

Leave a Reply

Your email address will not be published. Required fields are marked *