We went to buy Sporting bonds. And these were the banks’ answers to the mystery shopper
At CGD, the mystery shopper heard no mention of the Lions’ bond issue. At Novo Banco and Montepio, the risks of losing money were stressed. And they spoke of an "emotional investment".
“From a rational point of view, it makes no sense to invest in a football club. Financially”. “The clubs are bankrupt”. “There is nothing here that guarantees your capital”. “The risk you run is losing the money, as with every bond issue”. “No club bond has failed to date”. “It is an emotional investment”.
ECO posed as a mystery shopper to buy bonds issued by Sporting SAD at three branches in Lisbon, of Caixa Geral de Depósitos (CGD), Novo Banco and Montepio, and these were some of the explanations the banks’ account managers gave about the Lions’ bond issue. But do you advise the investment? “We cannot advise, what we do is give the customer information”, said one of them. So let us go through the information.
AI translation from the Portuguese. First published in ECO on 21 November 2018.