Football Index How It Works

1. Football Index How Does It Work
2. Football Index How It Works Cited
3. Football Index How It Works Faster
4. How To Use Football Index

Football Index, the site that operates as something of a football player stock exchange, is changing the way in which dividends are being paid, causing disarray for investors. Many investors are leaving the site in the wake of the company’s decision to reduce dividends that are paid for each player transaction, meaning that both assets values and possible returns for customers have taken a significant hit.

It has meant that some users have lost tens of thousands of pounds, with one person allegedly losing as much as a quarter of a million. The company has also announced that there is ‘no guarantee’ that investors will actually see a return on their contributions. The idea is that a player’s performances on the pitch increases the dividends paid to users that ‘own’ them, but those dividends have now been reduced from 14 pence to 3 pence.

“Football Index really is a game changer, and I've seen a lot of football products in my time. It seems like a really intelligent way to put your footy knowledge to work.” John Motson Ex-Football Commentator. Football Index is an innovative platform that allows fans to become traders on a football stock market, using their knowledge of the game to make money. This overview explains how it works, includes Football Index referral code information, sign-up details, tips and advice. Please note that, unlike matched betting, Football Index is gambling. Football Index crash explained: What the cut in dividends means, and how the trading platform works Michael Hincks 9 hrs ago U.S. Says visa applicants denied due to Trump 'Muslim ban' can reapply.

What Football Index Is & How It Works

Football Index works with Opta to analyse player performances. They are given points based on that analysis. Each position on the field has a winner in the match day rankings list. The amount of dividend paid depends upon the number of games played. Days with more games are worth more but are more difficult to win on.

Launched in 2015 by Adam Cole, an entrepreneur, his idea was to create a comprehensive trading exchange that would track the performance and valuation of professional footballers as if they were market assets. The notion was that it would essentially mirror the way that stock markets like the London Stock Exchange and the NASDAQ worked, with player values going up and down.

The best way of thinking about Football Index is as a football-based stock exchange. You use real money to essentially ‘bet’ on the performance of footballers, with your stock value going up when they do well and badly when they perform poorly. The better a player performs, the more in-demand their stock is, which causes the price to rise. When they stop performing well, people want to sell their stock so their price drops.

The aim of the enterprise from a punter’s point of view is to buy an asset when they are cheap, perhaps because they are performing poorly or undervalued, then selling them when their stock has risen and you can make a profit. On top of that, profits are made through ‘dividends’, which is where players earn points courtesy of algorithms that are based on the likes of mentions in the media and Opta stats.

Football Index doesn’t care whether a player does well or performs badly, taking a 2% commission on trades in order to make its money. The idea behind the platform when it was first created was that it would reward those that are in-the-know about football, given that it would reward players who were ahead of the curve on the likes of transfers or injuries to key players in a team.

The company’s success led to it becoming the chief shirt sponsor for both Queens Park Rangers and Nottingham Forest in the Championship. It is not yet clear whether either club will consider their position at the end of the season as a result of what has happened. The fact that the company as ‘sustained substantial losses’ in recent months suggests that it might look to end its sponsorship arrangements anyway.

How the Dividends Work

The dividend payouts on Football Index, which are the subject of the current controversy, came in three forms:

• Media Dividends
• Match Day Dividends
• In-Play Dividends

The Media Dividends are paid out on non-match days and occur for the players that score the most mentions in the media. The first player gets 3 pence per share, the second player gets 2 pence per share and the 3rd player gets 1 pence per share. Only the player ranked in the first position gets a payout on match days. An extensive list of news sites is monitored to reach the conclusion regarding the media mentions of players.

Match Day Dividends, as you might imagine, are based on how players perform on the pitch. Players are ranked according to their ‘Match Day Score’ on days when games take place in the Champions League, Europa League, World Cup or European Championship, including qualifiers, as well as matches in the Premier League, La Liga, the Bundesliga, Ligue 1 and Serie A.

The Match Day Score is separated in five different categories, taking into account Goalkeepers, Defenders, Midfielders, Forwards as well as Star Players. For each category, the top ranking player will be eligible to get a dividend, with the amount depending on the classification put in place for the match that they played in. The score is decided upon but an Opta-powered performance matrix.

The final dividend to mention was the In-Play Dividend, which resulted in payouts for players completing certain key actions for their team. In-Play Dividends were only available during the first 30 days of ownership of a player. The amount that was paid out per share depended on what it was that the player did as well as the position that they played on the pitch, such as goalkeepers getting 1 pence per share for a clean sheet. The In-Play Dividend was dropped from the service in February.

What Has Happened to Dividends & Share Prices

The world of Football Index has been thrown into disarray after the company decided to dramatically alter the way in which dividend payments are made. Last season, the company claimed that it paid out as much as £11 million in dividends, paying as much as 33 pence per share as a maximum dividend that a user could win. Now it plans to cut that to a maximum of 6 pence per share, which is a drop of 82%.

One user took to Twitter to sum up the situation in the following way:

”Imagine the uproar if you’d placed £10 on Leicester to win the league in 2015 at 5000/1 with PaddyPower, then half way through the season, PaddyPower realised they couldn’t afford to pay you out if it won and manually changed the odds to 5/1. That’s what #FootballIndex has done.”

The move to alter the dividend terms in such dramatic fashion has seen an extreme crash in share prices. Users have found their portfolio worth significantly less money in the space of hours. The company’s own terms and conditions say that any ‘adverse changes’ to how it operates would take place after 30 days’ notice, meaning that the current changes won’t take place until Monday the fifth of April.

Because of the nature of the business, however, the market has reacted badly to the news that the dividend price will be reduced by 82%, just as the normal stock market would react to such information. The extreme difference in price between the Sell and Buy options when the market re-opened on Saturday has left investors finding it virtually impossible to recoup their initial outlay, to say nothing of trying to turn a profit.

What The Company Is Saying

As you might imagine, Football Index are acting as if they’ve done nothing wrong. The company released a statement that pointed to the ‘substantial losses’ they had suffered in recent months. The Board, it said, had ‘agreed a recovery plan aimed at stemming losses whilst retaining the dividend payments at current levels’. This seems to fly in the face of a recent statement that said they’d ‘never been in a stronger financial position than today’.

Football Index’s Chief Executive, Mike Bohan, said on the 18th of February that he would hold a Question & Answer session in order to give users a chance to ask any questions. It was seen as a positive move at the time, looking to improve liquidity and give the platform some stability The session got postponed, however, when it became clear that Football Index were going to have to make dramatic changes.

Instead of addressing the immediate concerns of people who had lost vast sums of money, Football Index instead said, ““As soon as the board had agreed a revised plan, on Friday 5 March, we published an extensive written statement addressing the most pressing concerns raised by our customers.” It seems as though it is scant consolation for some punters, who have lost ‘life altering’ sums of money.

Is It Gambling Or Investing?

One of the major things that many of the investors in Football Index might not have realised is that the service is a form of gambling. Indeed, in 2019 the company was criticised by numerous places for using language that suggested that it was more akin to a regulated investment market than betting. Instead of describing what they were doing as betting on footballers, they said it was ‘investing in shares’.

Even the language of the payout was misleading, referring to it as a ‘dividend’. The website talked of users ‘buying a portfolio of shares’ in football players, as opposed to placing a bet on whether they’d do well or poorly. The idea of cashing out on a bet was referred to as ‘capital appreciation’. It seemed as if they were deliberately using language that steered away from the notion of it being a gambling site.

Patrick Connelly, a Financial Adviser for Chase de Vere, spoke of how users could be misled by the language. He said,

“This is a gambling site that looks and feels like an investment platform. However, it’s important to note that, unlike most investments, the money that people stake isn’t protected by the Financial Services Compensation Scheme (FSCS) if everything goes horribly wrong.”

It was a belief that was backed up by James Daley at Fairer Finance, who said, There is almost nobody that makes a profit from gambling. These sites need to be much clearer that they are a gambling and not investments and they should not be trying to use the language of financial services to lend themselves credibility – it’s misleading.”

He continued, “It is possible that this gives you the worst possible financial start and the wrong idea about what long-term investment is really about. Gambling and investing are completely different universes. There are parallels and it is easy to play on those to try and make your site look responsible – but that itself is irresponsible.”

The Betting Adjudication Service’s Richard Hayler, which is the industry’s arbitrator for disagreements between punters and betting companies, confirmed that the terminology was misleading and confusing but that it satisfied the rules laid out on such things by the United Kingdom Gambling Commission. That included its own website describing it as a ‘regulated fixed-odds gambling product’.

Whilst the company itself has never denied that it is a gambling platform, the misleading language may have led some users to feel that their money was more secure than it actually was. A spokesperson pointed out that Football Index is ‘licensed and regulated by the Gambling Commission’ and that ‘all brand communications are also compliant with Advertising Standards Authority guidelines’.

None of that will be of any consolation to the Football Index customers that have lost vast sums of money because of the changes that the company plans to bring about. It’s unlikely that any of them would have been less likely to invest their money in their service if it had been made much clearer that it was a form of gambling, as opposed to an investment opportunity, but that is something that obviously can’t be quantified.

If you’re excited to learn about Football Index, but currently not too sure what it is, or how it works, this post has you completely covered.

Football Index is a stockmarket, allowing you to buy shares in football players all over the world. It’s a betting product, but it’s a great combination of Betting Exchanges & fantasy football. With the additional opportunity to cash in from your football knowledge, it makes Football Index a fantastic platform.

We understand that Football Index may be confusing, as it’s a completely new platform in the betting market. One thing we know for sure, once you’ve tried it… you will love it.

When you register at Football Index, you can claim a special offer. This will enable you to trade risk free, where any losses up to £500 are refunded, as cash. Remember to use code FIA when you sign up.

Earning Money on Football Index

There are a wide range of daily payouts that Football Index payout on your bets, these are called dividends. On offer, is the following:

• Media Dividends
• In Play dividends
• Team of the Month Dividends
• Trading Profit (Selling Higher than you Purchased a Player)

Your aim when playing Football Index will be to buy players that you think will earn dividends. It’s important at this point to understand the dividends, but we’ve got that covered below.

As we’ve already mentioned, Football Index is a gambling platform. However, it’s not like bookmakers where your bets only last for 90 minutes.

Football Index is a long term bet, as you can Buy shares in players and keep holding them for upto three years.

It’s a real money game, where you must deposit money in order to play. You can’t lose more than you deposit.

Once you’ve registered at Football Index, you’ll be able to search the market to find players which you may want to purchase.

Do you have good football knowledge? If so, you might be able to find a Youth Player which is currently undervalued, with the potential to sell for a profit later.

Before you purchase shares in a player, it’s important to understand exactly what drives prices.

For example, currently, Mason Greenwood is £9.60, but Lionel Messi is almost half the price at £5.

We are going to take you through all of this, explaining exactly what drives prices.

Buying a Player

Now you’ve started to take in all of the information about Football Index, you can actually get started and look for a player to purchase.

Football Index have recently announced their Matching Engine, which allows traders to bid for players at the price they want to.

Simply Search for the player that you want to purchase, selecting how many shares you would like.

Note, there’s an option to purchase OR make a bid. If you were to directly purchase Ronaldo, it would cost you £3.09.

You can bid lower than this, so let’s take a look at the differences between the two.

Bidding for a Player

Let’s take a loot at bidding for a player.

• There’s no guarantee that anybody will sell him to you.
• His price could increase, before your bid has been matched. This means you’ve missed out on profit.
• You may be required to wait a long time for your bid to be accepted. It all depends on Supply & Demand.
• There’s a bid zone, so in this example the minimum bid you can place is £2.40

Ultimately, you have the chance to buy cheaper, which means that most traders will look toward making bids! It’s commission free currently, but we are led to believe a 2% fee will be added.

There are two options with the Football Index platform. You can either sell your shares to the highest bidder, or add them to the market at their highest value.

You will earn more money by adding your player to the market, however, you can’t ever be sure how long it will take for another trader to purchase your shares.

If you decide to sell to the highest bidder, the player would be sold instantly.

Note, the instant selling option will always be at a lower rate, as traders often place bids so they can make a better profit margin.

What Drives Prices?

There are multiple things which drives prices on Football Index. However, the main thing is Dividend Earning Potential.

Extra things include general hype around a player, his potential ability or if he’s going to get a transfer to a bigger club.

A Player which has recently exploded on Football Index is Mason Greenwood, as he’s a youth player who’s being given a chance at one of the biggest clubs in the World.

Here’s some reasons why he has risen:

• Manchester United Hype. There’s lots of ex-players who have mentioned how highly they rate Greenwood, players such as Van Persie has said he’s a better finisher than he was!
• He’s already starting to attract media buzz.
• He’s also been in good form, scoring goals.

Now let’s compare him with the ‘GOAT’ of Football, Lionel Messi.

Messi isn’t a favourable hold at the moment for many traders on the platform, due to him getting older and older. Let’s face it, he’s still a brilliant player, but he’s edging towards retirement and he has stated quite a few times he wants to return to Newells Old Boys in Argentina.

• Barcelona are a team in transition, but have played pretty poor this season. This has offered Lionel less chances to earn dividends, as they have been knocked out of the Champions League etc.
• At 33 years old, he’s a ticking timebomb.
• An injury at this point could be very serious.
• He has no more potential to fulfil.

I don’t want this to sound like an anti-Messi brigade attack, he’s earnt me plenty of dividends. However, this is the thought process that you’ll need for every player you add to your portfolio.

The realism is, Messi is cheaper than Greenwood, although he could offer more short term dividends than Mason!

So as you can see, there’s more than one thing which can cause a players price to rise or fall. The general sentiment of Football Index is currently focused towards Youth, England International players. This is ear-marked by the fact Jadon Sancho is the most expensive player on Football Index, at £13.82 per share.

Earning Dividends on Football Index

Earning Dividends are the main reason why you decide to purchase a player. There may be other cases, such as wanting the Capital Appreciation from a Youth Player.

Dividends are the daily payouts that you can earn from your portfolio. There’s multiple payouts which can be won, this keeps Football Index very interesting.

You can earn money from your players on the pitch performance, but also if he gets lots of Media Attention.

Dividends are guaranteed to be paid every single day, offering lucrative return on investments.

We have four types of Dividends, which I will explain now.

Match Day Dividends Guide

This is the post popular form of dividend, but it’s also the easiest to explain!

Football Index work with Performance Analytics Giants “Opta”, who evaluate player performances during a game and allocate them points.

Football Index work with them to allocate each player points, for actions they take on a pitch. Let’s say they score a goal, that’s 45 points.

The player with the most points for their position, will finish as winners on the Match Day Rankings, being paid dividends for their fantastic performance.

There’s a payout available for every position, meaning that a Goalkeeper, Defender, Midfielder & Forward will all win a dividend payout.

What makes it even more interesting is that the player with the highest overall score on that day, will earn the coveted STAR PLAYER dividend.

How much Dividends do they Earn?

The payouts will depend upon Number of football matches which take place on a Match Day. Football Index have categorised these into Three Different segments, Bronze, Silver & Gold Match Days.

Match Day Payouts Guide

Goalkeeper payouts are Brand New for the 2020-21 season, so make sure you purchase some great goalkeepers, to be in with a chance of earning this dividend!

Gold Match Days are the most attractive, due to the huge payouts… but remember this means there will be even more players competing for that Illustrious dividend!

Bronze Matches are seen as under-rated, as it’s much easier to predict which player will come away with the dividend… but it is the lower payout of the three.

Competitions Eligible for Match Day

Match Day Dividends aren’t valid for every league, such as the Russian Leagues etc… However they do have all of the Main European Leagues covered.

This includes the Premier League, Bundesliga, La Liga, Ligue 1 and Seria A.

They also cover the Champions League, Europa League, World Cup & International European Championships.

There’s also a few extra rules that you must know regarding Match Day Payouts

• The deadline to Purchase a player and earn dividends for the same day is 16:00 UK Time.
• Match Day Dividends are paid our between 09:00 and 11:00 the following morning
• There’s a 1.25x multiplier for Champions League & Europa League Matches
• Transfer Window Dividends (Transfer Window Specific Dividend)
  If two players score equal points, the youngest player earns the dividend.

What are Media Dividends?

Football Index use News Headlines from 20 media sources, scanning each one for player names.

When a Football player gets mentioned, they will earn points. The player with the most points at the end of the day, will earn the Media Dividend payout.

When there’s no football matches being played, Three Players will win Media Dividends.

Football Index How Does It Work

When Football is being played, the single highest scorer earns the payout.

The Newsfeeds which are monitored are:

Talksport, UEFA, The FA, ESPN, FIFA, Football League, Daily Mail, Daily Star, The Times, Telegraph, Independent, Express, Guardian, Metro, Daily Mirror, BBC, Football365, Goal.com, Huffington Post and Sky Sports.

Football Index pay more out for Media on a non-match day, due to them not having to pay out positional Match Day Rankings.

It’s quite often the same players which win Media Dividends, which you will also notice when you register. It’s a good way to take advantage of this dividend, but those players are already at a premium price.

There’s also a few rules regarding Media Buzz which it’s important to understand:

• The players full name must be in the article. If an article said ‘Rashford scores a stunning goal to earn Man Utd a victory’, this would not score any media ranking points.
• Football Index grab the headlines from the RSS Feeds, they must be on the outlets RSS Feed to be able to earn a Media Score.
• Articles vary in points, they aren’t all scored the same amount. It’s done using Positive Sentiment Analysis. It’s quite boring, but you can read more here.
• If there’s a points tie for Media Buzz, the footballer with the latest story wll earn the Media Dividend payout.
• The deadline for purchasing is 16:00, with dividends paid out the following day between 09:00-11:00.

Media Dividends are quite entertaining. One day, a goalkeeper could be leading buzz due to a howler, but the next day it could be something like Mario Balotelli setting fireworks off, in his own bathroom!

Football Index wasn’t around for the Balotelli days, but the funniest we’ve seen so far is Paul Pogba journalists specific obsession with his varied hairstyles.

Football Index love giving out dividends!

In addition to all of the above dividends, they’ve also introduced In-Play Dividends.

For the first 30 days that you own a share on Football Index, you’ll receive payouts every time your player scores a goal, assists or keeps a clean sheet.

The 30 day limit starts from the point that you purchase the player, but there is no deadline… so you can purchase a player up until midnight and earn his in-play dividends.

If you’ve spotted a player that’s scored a hat-trick, you can still buy shares after his team have played… but you’ll still earn the dividend!

In Play Dividends are allowed on the same leagues as Match Day Rankings.

The main rules regarding in play dividends are:

• There is no deadline, so you can purchase once a players already scored goals etc.
• The day that you purchase the share counts as Day 1. You have 29 extra days worth of IPD. This is calendar days, not 29 match days.

The latest update of Football Index introduced Team of the Month. We were waiting for this!

At the end of each month, an extra dividend will be paid out to the Top 3 Forwards, 4 Midfielders, 3 Defenders and 1 goalkeeper.

It’s best to think of this TOTM Payout as a 3-4-3 Formation.

The players which will earn a spot in the Team of the Month, will be players that have scored the highest scores from all eligible matches.

A players Top 3 Match Day scores will be counted towards their total.

This means that if a player scored 250, 250, 250, & 150… he would score 750 points.

Only the 3 highest scores are counted.

It’s a fantastic payout that will properly reward players that regularly hit high scores.

The highest scoring player will take a £0.10 dividend, which is a fantastic payout.

There are a few rules which it’s good to ensure you know before you get started with TOTM:

• It’s not taken from a monthly average, it’s taken from peak scores.
• In case of a points tie, the Younger Player is ranked higher.
• It’s a full term dividend, unlike IPD’s you won’t need to keep buying and selling to earn this payout.
• Football Index update the Daily Standings for Team of the Month on their website & on Twitter.

Football Index Guide: Conclusion

That sums up the basic guide for Football Index, but you can search for more information in our blog area. We provide strategies which can help you succeed and tips to stop you wasting money.

We don’t provide tips on specific players to purchase.

Football Index How It Works Cited

We will leave you with some Frequently Asked Questions about Football Index.

What Countries can I play Football Index in?

Football Index can currently be accessed by customers in the UK, Ireland & New Zealand. They are working actively to add new territories, which is their priority for growth.

Can I make money on Football Index?

You can make money on Football Index. Lots of traders specialise in their Youth Knowledge, but there’s multiple ways to play the Football Stockmarket.

Is Football Index Tax Free?

Football Index is a Gambling Platform, which are exempt from paying taxes.

Football Index How It Works Faster

How do Football Index Make Money?

How To Use Football Index

A huge part of Football Index is the commission they make, from trades. This helps them to profit, after paying out the daily dividends.