In recent years, cooperation between CFD/FX providers and sports clubs has become increasingly popular. In the meantime, millions flow into the sponsoring of renowned football clubs, Formula 1 teams or high-reach events every year. It is possible that your favourite club is also supported by a company of which you have not yet known who it is or what business model the sponsor uses to generate its income.
Those who engage in sports sponsoring usually have a well-filled war chest for targeted, effective and very often successful public relations. Whether the visual presence in the stadiums or a race track is a special quality feature can often only be answered subjectively. Sponsorship, like other forms of public relations, serves to increase the awareness of a company or a brand. It should help to open up new markets and thus new target groups.
Due Diligence Hub (DDH) is a multilingual information and communication platform for active exchange traders, traders and investors with a focus on trading contracts for difference ("CFDs") and foreign exchange products ("FX", "Forex"). DDH offers the most comprehensive coverage of companies authorised to provide financial services. The offering is rounded off by a wide range of exchange information services, tools and premium services.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74% and 89% of all retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.