Exploring the Market of Soccer Player Registrations : An Empirical Analysis of the Difference between Transfer Fees and Estimated Players’ Inherent Value

This paper examines the determinants of the difference between soccer player registration transfer fees and the estimated inherent value of transferred players. The results show that this difference increases for players competing in the same league as that of the acquiring team, players acquired during winter transfer windows, defender registrations, and in the presence of player registration swaps. It decreases for midfielder registrations and for registrations purchased the year immediately before the expiration of players’ contracts. Finally, the difference between registration transfer fees and estimated players’ inherent value increases up to when players are 28 years old and decreases afterwards