The Campaign For DA

9.29.2015

College Football: Official Stock Market Like Gambling?


I'm stunned by this, but I'm not sure why.

On the official* College Football Playoff site, there is a link to "pick your team" and  "reserve" your tickets.  This is a little insane: You pay for the "right" to purchase a ticket at face value if the team you pick makes the National Championship game. But the price is market based. For Baylor, it's $20 right now. For TCU, it's $10. For Ohio State, it's $72.  And once you pay, it is not refundable. If your team doesn't make the championship game, you're done.

But, wait, there's more.  As the season goes along, you have the right to sell your right to buy the ticket based upon the current market. Make sense? Say TCU goes undefeated into the final game and the market value for that "right" to buy the ticket goes to $150 or more. You can sell the right and pocket the cash. (At least that's what I'm seeing.)

All of this is fun and a great idea, but this is officially sanctioned by the entity that is the College Football Playoff?
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*That is the official site, right?


4 comments:

Anonymous said...

That is not the official College FBS Playoff site. The official one is run thru NCAA.org and they sell tickets in advance to bowl games (without teams announced) thru TicketMaster. The actual playoff content is not loaded until the end of the season when the teams making the playoff are known but they start the ranking process in a few more weeks, including the clandestine meetings at the Great Wolf Lodge, to see who will make the final 4 teams.

Anonymous said...

Is this an ad or a news story?

Anonymous said...

Nobody is forced to do this.

DF Milton Friedman said...

I will be happy to valuate these options via the black scholes Morton model for a small fee