Luckily for people in this "investment" the prices have rebounded, yet 2 weeks ago people were looking at a 50% loss - if it looks too good to be true it probably is.
Also, seems those who are buying now (have you seen the spreads too jesus christ) are betting on FI staying afloat rather than betting on the actual product itself.
Football Index
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maycontainnuts
- Posts: 84
- Joined: Wed Oct 10, 2012 5:58 pm
He is king of clickbait at the moment.
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jamesedwards
- Posts: 395
- Joined: Wed Nov 21, 2018 6:16 pm
Wow, I dabbled for a bit in FI in 2019 but got out when Covid was about to shut down the world. The Index held up well at first but I stayed out because the spreads became ridiculous. Now I check back into the market for the first time in 6 months and it seems the bottom has dropped right out of it. Anyone know what went wrong? Lucky escape for me.
When I looked deeply into it, I just couldn't see how FI were making any money, people were buying these 'shares' getting ridiculous capital growth (100+%) whilst also getting about 20% dividends per year from FI.jamesedwards wrote: ↑Wed Dec 09, 2020 11:28 pmWow, I dabbled for a bit in FI in 2019 but got out when Covid was about to shut down the world. The Index held up well at first but I stayed out because the spreads became ridiculous. Now I check back into the market for the first time in 6 months and it seems the bottom has dropped right out of it. Anyone know what went wrong? Lucky escape for me.
It really does look like a ponzi scheme looking at people's behaviour as they kept buying more and more expecting the same level of growth, its almost like they forgot they were betting against the house.
Even now people are saying 'how can x get below £5, he's got so much potential' - they don't even realise it's all make believe and he's really worth 0 if FI don't play ball.
The business model as I understand it is that commission and the IPO's fund the dividends. If you think about it, when they IPO a new player they are on the other side of that effectively.
I've never spent much time on it TBF but that seems to be the model. From there its just down to the irrationality of it's participants.
I've never spent much time on it TBF but that seems to be the model. From there its just down to the irrationality of it's participants.
Curiously they emailed out an update this evening: -
https://trade.footballindex.co.uk/update-101220/
https://trade.footballindex.co.uk/update-101220/