Ragond.com's (One-Millionth Stock Strategy)
The one-millionth stock strategy consists of buying 1 millionth of a company in a publicly traded stock with some preference towards dividend paying stocks.
The benefit of this strategy is that one can see how much one owns. For instance, if a company was broken into a million pieces, you would own one piece.
This may seem small, but for bigger companies, one can also look at, for every million dollars this company receives in profit, your portion within the company, would be 1 dollar (although it may stay locked within the company).
The analysis results in the fact that if a company reaches 1 trillion market cap, and you own 1 millionth of the stock, then your stock would be worth $1 million dollars.
Also, if a company is already at a trillion market cap, it would take a million dollars to buy 1 millionth of the company.
Thus, typically in our situation, we are looking at companies in the lower billion range (smiles). So for instance, if a company had a market cap of $6 billion, it would take $6000 dollars to own 1 millionth of the company, and if this company ever reaches 1 trillion market cap, you would be a millionaire.
However, we prefer companies that pay dividends. The reason is that we can use these specific funds to generate other "millionth stock" owning companies to rinse and repeat the strategy. However, one may also prefer to have more than one "millionth" holding. Thus, if one had 2 millionths of a particular stock, one would say one had 2 Million Tokens on the particular stock. If one had 5 millionths of a particular stock, one would say one had 5 Million Tokens on the particular stock.
We are usually far away from what one would call an "insider" with 5% ownership in a company, which would be 50,000 Million Tokens. Let's start slower. Let's start with 1 Millionth token. Do you own any Millionth tokens of stock?