Updated: Mar 26
Today, Football Index (FI) released their latest update on how they are managing the market during the COVID 19 crisis...
This is what they announced, 'Football’s off until at least April 30th. But Football Index is still rolling on with Media Dividends paying out every single day!
Starting on April 4th, we’re paying out FIVE places on Media Dividends.
That's right. FIVE footballers winning Media Dividends EVERY DAY until May.
FIVE-Place Media will run until and including April 30th. We’ll be making a decision on whether to continue the promo during the week commencing April 24th - so keep your eyes on our social channels.
Between April 4th and April 30th 2020, we’re also extending the Media Dividend deadline from 15:00:00 BST to 20:00:00 BST.'
Here we have immediate Football Index trader reactions to FI's latest market announcement. Many thanks to all those that contributed! Find out more about these contributors in our 'Guests' section.
Good luck in the market and keep safe everyone!
Mick Turbo's response:
Coutinho rockets then plummets. Kind of understand the rocket, even though I've sold on it, but not so much the plummet.
To explain why I'll use Ighalo; he's top of the trend list because of an offer that doesn't start till 4/4. He could be forgotten about by then.
I think many will be underwhelmed and I predict some moaning but would love to hear these people's own ideas on what FI SHOULD have done.
I think it's fine. Were in a containment phase. 5,4,3,2,1 may have been possible and would have been much better received though.
Martyn B's response:
Before the announcement I was hoping for one of two things:
1- Media Madness for the top 5 places paying 5p,3p,1p, 1p and 1p
or a more generous
5p, 4p, 3p, 2p and 1p.
2- Current promotions extended until the end of April.
Turns out that the announcement was as most of us expected, paying out for the top 5 places with the minimum of dividends. Bit underwhelming but understandable.
Also the market response is understandable, between April the 3rd and April the 4th the dividends on offer drop from 18p per day to 11p per day. So the premium MB players are less valuable overnight, despite having a higher chance of winning a smaller prize. These MB players are immediately listed to market on mass.
The most important thing at the moment is that FI survives. This is a gambling website and they don't owe us anything. I think they have handled the current crisis really well, their communications have been good (far better than normal), the risk assessment team have protected our portfolios by increasing spreads and the promotions have been generous without being fiscally irresponsible for the company or for traders.
How have I responded to today's promotion?
I did my usual, absolutely nothing!!
I had mentally set a sell price for one of my premium MB players so that if the market flew I would derisk and sell half of my hold to market. This obviously hasn't happened.
I will trade as normal with my diverse portfolio. I have had 8 MB wins in the past 8 days and hope for a similar return in the coming weeks. These dividends are reinvested into my PB players who are in a dip. I will ensure I empty any cash balance by the end of the deposit bonus on the 23rd of April. Apart from that, business as usual.
I expect that their will be further promotions over the summer. I also expect many traders to over react as normal.
Be patient and stay safe.
In the build up to this announcement I was preaching the stability of FI comes first. It's the best thing for all of us. After an initial downhearted reaction to quite a dull announcement, I'm glad they've been very sensible. Yes they are not going to be paying out as much as they would if the season was in action, but they are also not taking as much commission whilst trading is very quiet!
I had deposited funds ready to react and last night spent my dividends haul on a proactive transfer MB punt. I haven't spent the money deposited today, but it will stay in my cash balance ready to pounce on any MB opportunities (especially with the new 8 pm deadline) or if any positive breaking news emerges on the World going back to normal! Then I'll be mopping up PB dips big time...(even more so if they can just communicate if the PB matrix will be the same for at least next season and the Euros!)
I still think if you can afford to hold, then do so. Patience is key. If you need the money urgently, then unfortunately you will most likely have to IS- you can try market listing but expect it to take a long time! If you have money to deposit, I'd be careful. Even if it's money you wont need for a long time, I'd still wait for the PB players to drop further. You need to judge if they will drop another 8%, or use the net buy bonus before 23/04/20.
Going forwards, I think any news on football returning or the virus going will create a boom. It's going to be a big market timing call to get in at the dip prior to the boom.
Be patient, be diverse and be indoors please.
If only we could have placed a bet on what the announcement would be!
I think many wanted something new or exciting and some probably even anticipated something huge… but if we were all to place a bet on what this promotion would be – media madness would have been the odds-on favourite.
For that reason, it’s understandable that there will be an anti-climatic feeling and negative response by certain traders.
I think the offer itself ties in with the spreads. FI have set their stall out that stability is key during this uncertain period. I’ve been quite vocal about wanting the spreads returned to normal (I believe the immediate dip would then accelerate the rise as people go bargain hunting and new ‘whales’ smell blood in the water), but several polls on Twitter and Forum threads have shown the popular choice is to keep spreads as they are.
With that in mind, people should be fairly content with Media Madness – it certainly doesn’t rock the boat.
To have offered a more inventive rocket fueled promotion, FI would have had to put the spreads back to normal to allow and encourage a lot more trading and reshuffling of portfolios to increase their commission etc.
They’ve seen it as too much of a risk with mass withdrawals and perhaps have seen the market sentiment via polls too.
The deadline extension is clever and I think it’s a positive – there will be little trading with the spreads as they are, so people wanting to put new money in can do so on virtually guaranteed winners and at least see immediate returns.
The market reaction (drops in the likes of Pogba and Bruno) shows the market, to some extent, was anticipating double divs being extended long term? Or maybe bigger prizes for the media madness places?
Market listing (see my recent Art of Selling article) is a growing point of interest within the community. Of course players will still sell and every trader has their reasons for listing. It is still worth considering the likelihood of how quickly you will sell and what price you will sell at and where you think you are in the queue.
I’ve maxed out the trading bonus and with spreads as they are, I will just be holding and reinvesting and dividend wins for the immediate future.
Stay indoors and keep well.