Cancel Buy Commission



  • There are lots of great posts about the problems at the moment - I've given my two cents in various threads too. I think all this negativity is justified - FI have directly contributed to these market problems. I've just got one topic to discuss: buy commission.

    The worse of everything for me is the introduction of buy commission. We will soon have a 4% tax on buying and selling a single player. It's going to lessen the potential of flipping certain assets, most obviously the top end ones. Obviously there are margins to work, but why would I buy and sell Messi when I'm going to need to recoup 10 returns in a month to pay for it? It's nonsense. It's going to create a more stagnant market which is bad for us and bad for FI.

    It's a decision motivated by either greed or financial concerns. It's not one that helps the market in any way and the official narrative about that is bullshit, intended to conceal the true financial motives. To introduce buy commission in this market is lunacy and a big fuck you to all who those who have continued to invest.

    More worryingly, it suggests FI don't understand their own market. And why would we, as investors, back a company that makes decisions like this? The confidence is gone, there is a new bottom everyday, the regular 'bargains everywhere' posts and tweets are out of date 24 hours later when prices have inexplicably fallen even further. And the international break hasn't even started yet.

    They must cancel buy commission. Not delay it for 2 or 4 weeks but cancel it altogether. And don't try and normalise it covertly with a rebate - we are not fucking idiots. Cancel it. If FI need money then they should focus on fixing and not further fucking the market. Their money will come from buyer confidence and that will only come back, consistently, when they can act like a competent company for a few months. Then buy nows will look attractive, IPOs will be in high demand, and we might all begin to enjoy this product again.

    #cancelbuycommission



  • @Timmy I think it's a huge thing to introduce. I asked the members about a month ago and people didn't seem to care even though for me it would stop me buying full stop. To be 4% down to start with in an illiquid market like this is a hard pill to swallow. The real thing I want to know is why they feel the need to do it? Most people say they are doing really well financially so it can't be for that but I'm sure their not greedy either because apparently they haven't taken any money from the index yet in the 5 years. So why would they do it?



  • If they introduce this then the only potential "good" thing to come from it is that there should be a sea of bargains available after all the prices have collapsed another 50%+. On the other hand, if the introduction of the buy commission causes a total seizure of the market then the whole platform could collapse in which case we are all fucked. In the current environment I find it very difficult to see why they are so keen to bring this in unless their finances are in a terrible state. But even if they are strapped for cash, how much do they think this bid tax will raise? There aren't many bids around at the moment as it is, so they have a very small potential net upside and huge potential net downside. It makes no sense.



  • I expect they thought the market was recovering and so they could get away with it, but clearly they dont understand their own market. It is likely that it has contributed to the collapse too, as many big investors will be well aware of the effects of a 2% hit to their profits. I expect the partial recovery we will see will come before its implementation

    Whatever the motivation, they are doing it to earn money. They will pay plenty of healthy wages, have funded a marketing drive, paid out the new dividends, have market makers to think of, sponsorship etc etc

    But as a business decision, it is terrible too. You might get away with it in a booming market, but in this one they are just sticking the knife in. It may or may not be greed but it is stupidity.



  • @Columbia I presume their finances can’t be great, 3-4K users & introducing that 2% is diabolical for so many reasons.. trouble is, if they back track (again) they lose even more credibility.

    I’m all for listening to your customer base, but it’s their product/idea... decide what the fundamentals of it are implement it & stick with it, sure tweak/review things periodically.. it’s one thing 1 week & something else the following week.

    Did they ever reveal their findings for Brown Sunday crash?



  • @Timmy The thing is we all get that they are doing this for the money and fair play to them, they deserve it for taking the risk and setting the entire thing up. I have no problem with that, but there is a time and a place for creaming off some extra profits and this isn't it.



  • @Tom7471 said in Cancel Buy Commission:

    @Timmy I think it's a huge thing to introduce. I asked the members about a month ago and people didn't seem to care even though for me it would stop me buying full stop. To be 4% down to start with in an illiquid market like this is a hard pill to swallow. The real thing I want to know is why they feel the need to do it? Most people say they are doing really well financially so it can't be for that but I'm sure their not greedy either because apparently they haven't taken any money from the index yet in the 5 years. So why would they do it?

    It was always going to be introduced and I'm assuming and it is an assumption that it won't be introduced as the market looks right now, I'm expecting whatever is to come in the next two announcements/weeks i guess they feel will have a positive effect on the market maybe. I got diddly to back this up with, i just can't imagine they would introduce it as things are, be mad too. This needs bringing in during a booming and very liquid market.



  • @Timmy

    " To introduce buy commission in this market is lunacy and a big fuck you to all who those who have continued to invest"

    🤣🤣🤣🤣🤣🤣



  • It's best to introduce it now than later down the line thou do it now players bottom out. More commission the beter chance fi have got of staying afloat. Like poker more rake is beter!👌



  • @CLACKETT said in Cancel Buy Commission:

    It's best to introduce it now than later down the line thou do it now players bottom out. More commission the beter chance fi have got of staying afloat. Like poker more rake is beter!👌

    Why does it need to come in at all.

    Previously we had 2pc commission presumably that was sustainable. Given that they can passed liability to us, I see no reason why they then add another trading charge. Its a double whammy.

    4 percent looks extremely uncompetitive compared to batfair and the FS platform. Which are the competition. Pure traders who trade short term around spreads help provide liquidity and surely this puts them off. It very much encourages buy and holds rather than trading.

    It also means there will be now be a minimum spread of 2 percent plus whatever the spread would be otherwise. I honestly don't see why this has to ever come in. It's very bad for traders and to be honest might not be good for FI if it reduces trading volume.

    More volume is better for everyone than less volume at higher commission.

    By doubling commission you essentially eliminate the effects of doubling IPDs as well so you have screwed that.

    It's another quite serious kick in the goolies for the index.



  • @Tom7471 said in Cancel Buy Commission:

    @Timmy I think it's a huge thing to introduce. I asked the members about a month ago and people didn't seem to care even though for me it would stop me buying full stop. To be 4% down to start with in an illiquid market like this is a hard pill to swallow. The real thing I want to know is why they feel the need to do it? Most people say they are doing really well financially so it can't be for that but I'm sure their not greedy either because apparently they haven't taken any money from the index yet in the 5 years. So why would they do it?

    It wouldn't make me stop buying full stop but it would make me go far more buy and hold.

    When market was doing better, I was quite enjoying trading between spreads and would do again when market is stable. Wouldnt bother now 4 percent is significant. Even trying to break even on them to refresh for IPDs would be harder and not worth the hassle.

    So they will get less commission from me.



  • @SDOAFIT it shouldn't have come to this at all.! but I think if u were to look at why to defend them in this case the system is more complex now hence the commission on buy maybe? It ain't a simple buy/sell at this price now.
    Or they greedy or could forecast that 2% would not cover enough divs long term etc.
    And think by doing this on both sides rather than 4% on buy or sell is prob better.



  • To think a couple of months ago some of the big accounts were begging for the buy commisison to get introducted to encourage people to buy at market price to try and protect portfolio values. laughing face emoji



  • ever since brown sunday FI have lost it,

    i loved this platform last year,..market clearly agrees...5 years of continuous growth just for new rules to decimate faithful traders.

    what have you done index,...shame on you!

    the last players still in green are slowly losing gains and this 4% is going to kill your product.

    even on a good day when players do well...(PB/MD )..prices sink

    if this ever gets going again, i might consider putting more in but as it stands divs will be withdrawn and not re-invested....and no new money coming from me either.

    ill say it again ,...love the product i just hate what youve done to it!!!



  • @CLACKETT said in Cancel Buy Commission:

    @SDOAFIT it shouldn't have come to this at all.! but I think if u were to look at why to defend them in this case the system is more complex now hence the commission on buy maybe? It ain't a simple buy/sell at this price now.
    Or they greedy or could forecast that 2% would not cover enough divs long term etc.
    And think by doing this on both sides rather than 4% on buy or sell is prob better.

    I agree both sides is better than 4 percent on one side.

    However.... They have lost liability for IS so in theory they should need less commission rather than more. Lots of players will never win a dividend, every future bought on these players is pure profit regardless of commission. If the old model worked (and we are assuming it did) on 2 percent then to double it to 4 percent stinks.

    I am realistic. The company has to be financially viable however they are claiming to be in their best financial position which makes complete sense given the above. If they were struggling and needed 4 percent then fine but there is no indications that is the case.

    There is no question this is about the profit over incentivising market buys. If they wanted to incentivise market buys then they could reward them somehow. Its also slightly offensive that they are claiming the promotion is ending. Its not a promotion it is delaying a huge commission hike.

    I am not a FI basher generally but this move stinks to me. And it's made worse by claiming it is in the markets interest encouraging market buys.



  • lets set everything back to how it was... eg Messi £1... buy 100, price goes up 1p... but there is a 2 per cent (or higher) sell commission... daily dividends for the top three players no matter what position... get rid of media buzz... 1p 3rd, 2p 2nd 5p top... every time a dividend is won the spread goes up 1p, 2p, 5p for 24 hours until the next three win dividends... incorporate more markets... Championship, Portugal, Holland, Scotland... more players, more investment, more money for everyone!!!

    Is that a bad idea? any flaws??? Surely we all want a simple market where investors make money through 'football' and nothing else???



  • @NewUser433035 said in Cancel Buy Commission:

    ever since brown sunday FI have lost it,

    i loved this platform last year,..market clearly agrees...5 years of continuous growth just for new rules to decimate faithful traders.

    what have you done index,...shame on you!

    the last players still in green are slowly losing gains and this 4% is going to kill your product.

    even on a good day when players do well...(PB/MD )..prices sink

    if this ever gets going again, i might consider putting more in but as it stands divs will be withdrawn and not re-invested....and no new money coming from me either.

    ill say it again ,...love the product i just hate what youve done to it!!!

    The frustrating thing is deep down its still great. Watching Messi trying to blitz pb in 45 mins. Nervously refreshing discord match threads. And if it all goes wrong you still have your futures for next week.

    It's still difficult to see how they aren't going to be able to turn it around eventually. But dearie me.



  • @NewUser433035 I don't like the 4% but in terms of what they've done to the market I assume its necessary to have a sustainable product?

    They could have transitioned in a bit better but from what I understand FI was propping up the market before which was unsustainable



  • @NewUser683052 I suspect this is true. They need the money.



  • FI make their real money from minting new shares, so long term they need people to be hitting the buy now button, not bidding. The commission is extra bunce.

    So the real issue is about the timing. Either FI are completely unable to read their market, or they are pretty confident that their incoming changes will clear up this shit show and upward pressure on prices will be delivered.

    I would love to believe the latter but my confidence has been...well....tested! To say the least.

    Without any further info from FI, 2% on bids looks like a really shitty idea right now.


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