The Great Financial Meltdown was preventable. The post-mortem of the 2008 collapse has reiterated what is true of every man-made crisis, that they can be avoided. The warning lights were flashing long ago and there was ample time to stop the bubble. Robert Shiller knew, Nouriel Roubini knew and plenty of others were sounding the alarm because they had the information to understand what was going on. Currently soccer is depriving itself of its own early warning system because data on club finances, including player transfer activities and ownership is being kept out of supporter hands. This needs to change throughout the soccer world and the best place to start is through UEFA. Continue reading “Why UEFA Should Crowdsource Financial Fair Play”
There Is No English Player Bubble
Steam is building behind the idea that a bubble in player valuations, specifically those of the English variety, now exists and is growing. The cause? Owners with too much money and too little sense. The evidence? The recent transfers of young Englishmen Andy Carroll (£35m), Phil Jones (19.3m) and Jordan Henderson (18m) as well as others. But the recent English love in is not the result of managers backed by reckless billionaire playboys, it is just a reflection of the new, more expensive English transfer market.
A bubble exists when prices in a market are significantly out of touch with the value of the goods or services being traded. Continue reading “There Is No English Player Bubble”
Groupon, ManCity and the Credibility of a Regulator
Right now the Securities Exchange Commission and UEFA have more in common than they would think. In the past month both have been confronted with situations that call into question their role and legitimacy as policemen of their respective neighborhoods.
Groupon Inc., the daily-deal site, is looking to sell shares in an initial public offering valuing the company at close to $20bn. Continue reading “Groupon, ManCity and the Credibility of a Regulator”