A split on a Libertex account is the process of splitting a company's share into several fractional parts, dividing the original value between them.
Often a split is needed to increase the liquidity of a stock and attract the attention of market participants - its value is lowered, making it more affordable and attractive to buy.
For example:
When there is a split of 1 share of TSLA stock worth $1000 each at a ratio of 10 to 1, we get 10 shares of TSLA stock worth $100 each. For the owner of TSLA shares, only the value and number of shares in the portfolio will change, and the total value of the portfolio (in our case, the financial result of the position) will remain the same.
Before: 1 share worth $1000.
After: 10 shares worth $100.
Accordingly, in all information sources, the price chart was adjusted and plotted using historical rates, the value of which was divided by ten.
Please note that the change in share price during the split is of technical, not trading origin, so it is impossible to make profit or loss with this procedure.