Entropia Directory CLD Report 2014

Amar

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Entropia Directory CLD Report 24/11/2014

Calypso Land Deeds

19.01% return 2013/14
190.12 PED per CLD

Monday 24th November 2014 marks the 156th CLD payout and third full year of the Calypso Land Deed since their introduction in November 2011. This latest payout was 2.81 PED, making the total payout for 2013/14 190.12 PED per deed.

Total return for 2014 is 33.2 PED or 14.87% lower than the previous year.

grph1.jpg


The return for this year was 19.01% based on the original CLD price of 1000 PED. Although, during the year the CLD resale price has ranged from 1150 PED to 1450 PED and ends the year somewhere around the 1350 PED mark. The overall trend for the year is a stable return of around 19%.


Comparison to Year 1 and 2

19.01% (190.12 PED) 2013/14
22.33% (223.32 PED) 2012/13
24.18% (241.81 PED) 2011/12

grph2.jpg


As was the case with year 2, payouts for year 3 follow a generally similar, if slightly more erratic trend, but are slightly lower than the previous year.

All 3 years have seen returns significantly lower than the 27-30% indicative estimate suggested by Mindark during the initial offering.


Overall

65.53% return to date
655.25 PED
Time to return (1000 PED): 4.58 years

When all the data is combined we see a return of 655.25 PED or 65.53% over 3 years, averaging to 218.42 or 21.84% per year. Based on these averages the time-to-return (based on original CLD price of 1000 PED) is 4.58 years.



When the 3 years of data is combined we see a clear, slow decrease in average return (Rolling ROI - the red line on above graph). While the 29% peak near the beginning of the data may be viewed as anomalous, the downward trend clearly exists without this.




Competition

Arkadia Underground Deeds (AUD) are in direct competition with CLD for investor’s PED and have the potential to affect resale price of CLDs. So far CLD returns have continued to outperform AUD, which has kept demand for AUD low and CLD mostly unaffected.

Compet Deeds (CPD) have some popularity and have the potential to take demand away from CLD if the Compet system is successful. However the Compet system also has the potential to bring new customers into the main universe and to Calypso and new cash flow to Mindark which could indirectly boost confidence in CLD. It is too early to know what their effect will be.


Summary

  • For ease of comparison the above results are based on the original offer price of 1000 PED per CLD. The current market value of CLDs is higher and therefore new investors will see a lower percentage return relative to their initial investment.
  • As with all investments, there is an element of risk to CLDs and participants should only invest if they are comfortable with that risk.
  • The value of a CLD is a balance of supply, demand and perceived potential. For this reason, so long as payouts remain reliable, any drop in resale price should be self-correcting as investors take advantage of lower prices as an opportunity to buy.
  • AUD and CPD may affect future returns and/or resale price of CLD.
  • As with all things EU, the perceived value of an item is affected by participant activity and can also be directly affected by decisions made by Mindark.
  • CLD returns have been significantly lower than the 27-30% indicative estimate suggested by Mindark during the initial offering.
  • CLD returns have been slowly declining over the last 3 years.
  • “Land Rights” and “Voting Rights” are yet-to-be-implemented potential features of CLD.
  • With all the above taken into account, CLDs continue to be a relatively stable, relatively high return investment opportunity when they can be acquired at lower market prices.
 
Last edited:
Wooho, great analysis there. Not that I wont CLDs , but good work ;)
 
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