How Does Shared Ownership Work?

Shared Ownership - an Illustration

How the Arsenal Fanshare society could look over a four month period when 200 members each invest £35 per month.

Month One

Solid build up as 200 fans each invest £35. That's £7,000 in the Fanshare kitty. Now the cost of buying one share in Arsenal Holdings PLC on the stockmarket is usually somewhere around £10,500 (one hundreth of this would be £105). No member has enough for one hundredth of a share yet.

Month Two

Each member now has £70 available for investment, not enough money to buy an Arsenal Fanshare. There is now £14,000 invested in the scheme and while this is more than the price of 1 Arsenal share, as no member has saved enough for 1 Fanshare no Arsenal shares are purchased.

Month Three

Goal! Each member now has £105 available for investment, enough to buy 100th of an Arsenal Holdings PLC share. That's £21,000 in the Fanshare kitty. Two Arsenal Holdings PLC shares are bought (at £10,500 each) which is divided into 200 Arsenal Fanshares. One Fanshare is then added to each members account.

Month Four

Now the members have one Arsenal Fanshare and £45 available for investment, not enough for one hundredth of a share so no purchase is made.

A Few Things to Remember

  • The value of an Arsenal Holdings PLC share is not exactly £10,500, and changes from day to day based on stockmarket trading. Consequently, the price of an Arsenal Fanshare is not exactly £105, and also changes from day to day.
  • Our illustration was based on 200 Members all deciding to invest £35 per month each. In reality, there is no minimum or maximum number of Members in the scheme, and each Member will decide for themself how much to invest. So while one Member may invest £10 per month, another might invest £100 per month and reach the sum required to purchase each Fanshare ten times faster.
  • In writing the illustration above, we have kept things simple by treating all the money you invest as if it goes towards the purchase of Fanshares in your name. In reality, the Arsenal Fanshare scheme is professionally administered by the specialist shareholder-plan management company Equiniti, and the costs of administering the scheme and handling the financial transactions involved are met by a 2% charge on all money you invest.
  • This means that if you invest £100 into your account each month, £2 of it is deducted as admin fee, leaving £98 in your account to go towards your Arsenal Fanshares.

See exactly how your Arsenal Fanshares account might look with admin charges applied.