What if you hold Google shares as part of an index fund? Does the fund now hold both GOOG and GOOGL?
This has some interesting side effects to things such as the S&P 500 (http://www.forbes.com/sites/investor/2014/04/02/google-moves...)
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What if you hold Google shares as part of an index fund? Does the fund now hold both GOOG and GOOGL?
This has some interesting side effects to things such as the S&P 500 (http://www.forbes.com/sites/investor/2014/04/02/google-moves...)
"Ownership" without control gives you precisely nothing, except for perhaps standing in a shareholder lawsuit. A company being unaccountable to its investors should make it unattractive as an investment.
Do Google employees get Class A, B or C stock?
So does this mean we should expect some large-ish acquisitions in the near future?
This implies so. And FB has done $22B in deals since the IPO.
Does this imply that GOOG and GOOGL shares will have prices that will move independently going forward? This should be interesting to watch.
There seems to be a push to diversify and expand Google's income recently. Google Play Music All Access, Google Helpouts (20% cut), this stock change, Google fiber (while competitively priced, I expect there will be long-term profits), Google Glass, etc. I have been noticing this and assume it's meant to help them fund their robotic and autonomous car projects. These are likely capital-intensive segments of the compa…
Google have been trying to find something apart from advertising since pretty much day dot. It's a strategy pioneered by Microsoft, I call it "spaghetti cannon". Turn your free cashflow into spaghetti, fire it at a wall, hope something sticks. It's sorta-kinda worked for MS. They have 4 or 5 distinct lines of business, each of which could qualify as an F500 alone. Google don't have that. They have 1, and only 1, line…
There seems to be a push to diversify and expand Google's income recently. Google Play Music All Access, Google Helpouts (20% cut), this stock change, Google fiber (while competitively priced, I expect there will be long-term profits), Google Glass, etc. I have been noticing this and assume it's meant to help them fund their robotic and autonomous car projects. These are likely capital-intensive segments of the compa…
Google have been trying to find something apart from advertising since pretty much day dot. It's a strategy pioneered by Microsoft, I call it "spaghetti cannon". Turn your free cashflow into spaghetti, fire it at a wall, hope something sticks. It's sorta-kinda worked for MS. They have 4 or 5 distinct lines of business, each of which could qualify as an F500 alone. Google don't have that. They have 1, and only 1, line…
Sure they got lots of other companies to do the expensive hardware R&D, manufacture and marketing, but in the end, what's a multi-billion dollar market in devices is still just a funnel into line-of-business #1.
Does this imply that GOOG and GOOGL shares will have prices that will move independently going forward? This should be interesting to watch.
"Ownership" without control gives you precisely nothing, except for perhaps standing in a shareholder lawsuit. A company being unaccountable to its investors should make it unattractive as an investment.
http://hbr.org/2010/04/the-myth-of-shareholder-capitalism/ar...