Have you ever wondered why so many people on Empire Avenue buy 1 share at a time… even several times per day? I suspect, the reason many do so is for the same reason I myself did it. But I just realized that it is not justified according to Empire Avenue documentation.
Let me explain:
One of the concerns that many have with regards to Empire Avenue is their personal “div” score. A high dividend attracts more investors. Virtual commissions from share sales increase one’s virtual net worth. So raising dividends is a good thing.
Dividends are based on network activity of the top 5 networks for a given profile. One of the top 5 networks can be Empire Avenue.
One of the details calculated by Empire Avenue is the number of “actions” aka transactions. You can see the number of actions on the bottom right for any profile. But according to Empire Avenue documentation, selling and buying is NOT part of the network score.
Regarding the Empire Avenue network and score determination as it relates to dividends, EA explains:
“Your activity on Empire Avenue, excluding the specific acts of buying and selling; user engagement with you on Empire Avenue including how they react to you, engage with you and the success of your advertising.”
Did you get that… you know… the part that says “excluding the specific acts of buying and selling”?
It is true that buying and selling can create additional engagement. When someone buys big from me, I usually respond with a shout out or maybe even a recommendation. But what I have seen is that those that buy 1 share at a time are soon nearly ignored… like a nuisance. This is contrary to a high level of EA network interaction.
So I don’t know about you… but I am going to be making less buys… but buying more at a time focusing on higher yield shares first. I’ll let you know if my EA network score gets better or worse. What do you think will happen?