Do stock splits matter if you can just buy fractional shares?

Question

I understand that stock splits are meant to make stocks more affordable for more investors but if platforms allow fractional shares like Robinhood, does this matter as much? If theoretically more platforms supported fractional shares, would stock splits matter less and less?

In: Economics

Answer 1

A fractional share exposes you to price of the underlying asset. It is not clear that it affords you the same rights as a shareholder. If you have shares at a brokerage account, you are the beneficial owner, not the actual.