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This guide is sponsored by Homie’s Football Index Scout referral – Get £50 cash bonus when you sign up to Football index. Please see https://www.themoneyshed.co.uk/index.php?threads/£50-cash-bonus-when-you-sign-up-to-football-index.11860/ for full details.
I thought it was about time we had a thread about Football Index. As its quite a complicated product I will kick it off with a guide to what it is and how it works. This is just the tip of the iceberg really. There is a lot to learn.
What is football index?
Its a website that is like a stock market trading in footballers. It is similar to a traditional stock market except you are buying and selling Shares in football players. Note it is regulated under the gambling commission regulations and not financial services regulations. You will hear lots of terms like: Shares, Investing, dividends etc but it is a form of gambling. When you buy a share in a player you are essentially buying a 3 year bet that your chosen player will do well. I personally treat it like a fun hobby that is making me some money, rather than a sure-fire investment.
Each share only last 3 years?
Yes. I had trouble with this concept at first but all you do is sell them just before expiry and buy them back again if you want to continue holding. In reality most people trade in and out of players long before the 3 years is up.
How will it make me money?
In several ways:
1. Capital appreciation. When lots of people buy a player, his price goes up. When lots of people sell the price goes down. People will buy a player for lots of reasons, but it comes down to how much potential people think that player has. Drivers for buying might include: when a player is doing well, scores a hat trick, a new young player being talked about a lot, when there are transfer rumours concerning them, If they are about to return from injury, if they have just been included in a national squad. Identifying players likely to increase before everyone else is the real skill. Someone once said on the FI forum “its not about picking the best players... it's about picking the players who other traders will pick in the future“
2. Performance Buzz Dividends. Every match in the top* leagues and cups counts towards dividends for the top performing Defender, Midfielder, and Attacker that day. The more matches being played, the higher the dividends. Performance is calculated by adding up everything the player does on the pitch and assigning a score to each player. This is called Performance Buzz. Or PB. Players more likely to score lots of PB are the most desirable and usually the most expensive. There is also an additional dividend paid to the ‘star player’ this is the player with the most points over all that day.
3. In Play Dividends (IPDs) Added last year to encourage more active trading IPDs only last for the first 30 days you own a share. During this time you will earn an additional 1p per share for every goal scored by an Att and Mid, 2p per goal by a Def and 1p for each clean sheet by a GK. +1p for an assist by any position.
4. Media Buzz. Players score Media Buzz (MB) points every time they are mentioned in the media. At the end of each day the player with the most MB receives a dividend. There are more payouts if there are no matches that particular day or if there is a promotion on (like last summer they paid out for the top 5 places during the off season)
5. Bonuses. In the past, there have been 5% and 10% deposit or purchase bonuses. These are very lucrative as you get the bonus in cash.
Can you lose money on Football Index?
Yes. It is gambling remember. But unlike traditional gambling its not just win or lose on one Match. Because each share lasts 3 years you have an excellent chance of increasing your money overall, even if the price of some individual players dip in the short term. The index has risen month on month every year since its inception in 2015. But it’s very important to invest in a range of players and not put all your eggs in one basket. I am well up on my initial investment but still showing a loss on a couple of players, so it's important to diversify. The worse case scenario is if one of your players moves to a league not covered by Football Index (like China or USA), sustains a career ending injury, or unexpectedly retires.
How do the trackers work?
They don’t. Don’t buy them. They just buy 1 share in each of the top 50 or whatever players. You end up with a portfolio of 50 single shares.
How do I buy shares?
Shares cost from 8p to £8.00 depending on the player. Just search for the player you want in the search bar and you will see buy and sell buttons next to his name. You can buy up to 300 shares at a time.
How do I sell a player?
2 options. Market sell, or instant sell. The sell price you see on the screen is the instant sell price. This is how much you would get if you wanted to sell the player limitedly. You can always get more by selling to market and can set a reserve price if you want. To sell to market just click the sell button and then ‘add an order’ and your shares will be put in the queue to sell at the current ‘buy’ price.
How does Football index make money out of this?
They charge a simple 2% commission on all shares you sell.
There’s lots more I could say but I don’t want to make this too long. You could also watch this video
Please feel free to ask any questions or add recommendations advice or strategies of your own and I will add more later.
*Premier League, La Liga, Bundesliga, Serie A, and Ligue 1,Champions League and Europa League, World Cup and European cup
I thought it was about time we had a thread about Football Index. As its quite a complicated product I will kick it off with a guide to what it is and how it works. This is just the tip of the iceberg really. There is a lot to learn.
What is football index?
Its a website that is like a stock market trading in footballers. It is similar to a traditional stock market except you are buying and selling Shares in football players. Note it is regulated under the gambling commission regulations and not financial services regulations. You will hear lots of terms like: Shares, Investing, dividends etc but it is a form of gambling. When you buy a share in a player you are essentially buying a 3 year bet that your chosen player will do well. I personally treat it like a fun hobby that is making me some money, rather than a sure-fire investment.
Each share only last 3 years?
Yes. I had trouble with this concept at first but all you do is sell them just before expiry and buy them back again if you want to continue holding. In reality most people trade in and out of players long before the 3 years is up.
How will it make me money?
In several ways:
1. Capital appreciation. When lots of people buy a player, his price goes up. When lots of people sell the price goes down. People will buy a player for lots of reasons, but it comes down to how much potential people think that player has. Drivers for buying might include: when a player is doing well, scores a hat trick, a new young player being talked about a lot, when there are transfer rumours concerning them, If they are about to return from injury, if they have just been included in a national squad. Identifying players likely to increase before everyone else is the real skill. Someone once said on the FI forum “its not about picking the best players... it's about picking the players who other traders will pick in the future“
2. Performance Buzz Dividends. Every match in the top* leagues and cups counts towards dividends for the top performing Defender, Midfielder, and Attacker that day. The more matches being played, the higher the dividends. Performance is calculated by adding up everything the player does on the pitch and assigning a score to each player. This is called Performance Buzz. Or PB. Players more likely to score lots of PB are the most desirable and usually the most expensive. There is also an additional dividend paid to the ‘star player’ this is the player with the most points over all that day.
3. In Play Dividends (IPDs) Added last year to encourage more active trading IPDs only last for the first 30 days you own a share. During this time you will earn an additional 1p per share for every goal scored by an Att and Mid, 2p per goal by a Def and 1p for each clean sheet by a GK. +1p for an assist by any position.
4. Media Buzz. Players score Media Buzz (MB) points every time they are mentioned in the media. At the end of each day the player with the most MB receives a dividend. There are more payouts if there are no matches that particular day or if there is a promotion on (like last summer they paid out for the top 5 places during the off season)
5. Bonuses. In the past, there have been 5% and 10% deposit or purchase bonuses. These are very lucrative as you get the bonus in cash.
Can you lose money on Football Index?
Yes. It is gambling remember. But unlike traditional gambling its not just win or lose on one Match. Because each share lasts 3 years you have an excellent chance of increasing your money overall, even if the price of some individual players dip in the short term. The index has risen month on month every year since its inception in 2015. But it’s very important to invest in a range of players and not put all your eggs in one basket. I am well up on my initial investment but still showing a loss on a couple of players, so it's important to diversify. The worse case scenario is if one of your players moves to a league not covered by Football Index (like China or USA), sustains a career ending injury, or unexpectedly retires.
How do the trackers work?
They don’t. Don’t buy them. They just buy 1 share in each of the top 50 or whatever players. You end up with a portfolio of 50 single shares.
How do I buy shares?
Shares cost from 8p to £8.00 depending on the player. Just search for the player you want in the search bar and you will see buy and sell buttons next to his name. You can buy up to 300 shares at a time.
How do I sell a player?
2 options. Market sell, or instant sell. The sell price you see on the screen is the instant sell price. This is how much you would get if you wanted to sell the player limitedly. You can always get more by selling to market and can set a reserve price if you want. To sell to market just click the sell button and then ‘add an order’ and your shares will be put in the queue to sell at the current ‘buy’ price.
How does Football index make money out of this?
They charge a simple 2% commission on all shares you sell.
There’s lots more I could say but I don’t want to make this too long. You could also watch this video
Please feel free to ask any questions or add recommendations advice or strategies of your own and I will add more later.
*Premier League, La Liga, Bundesliga, Serie A, and Ligue 1,Champions League and Europa League, World Cup and European cup
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