Real Madrid’s key transfer strategy continues to pay off in a big way | OneFootball

Over the past several years, Real Madrid have adopted a clear policy regarding academy graduates who are unable to establish themselves in the first team.

Rather than losing complete control over promising talents, the club allows them to leave while retaining a significant share of their economic rights.

That strategy has proven highly successful, with the club reaping great rewards AS.

In most cases, Los Blancos have kept 50% of the player’s rights, ensuring they can benefit both sportingly and financially from future transfers.

There have been exceptions, such as Mariano Diaz, whose move to Lyon saw Real Madrid retain 40% after selling 60%, and Oscar Rodriguez, where the club transferred 75% of his rights to Sevilla.

The standard approach, however, has been to keep half of the player’s rights while also including buy-back or matching rights, allowing the Merengues the opportunity to bring former academy players back if they continue to develop.

More than €100 million generated this summer

€60 million pocketed from Nico Paz’s sale. (Photo by Marco Luzzani/Getty Images)

By selling the retained 50% ownership stakes in several former academy graduates, Real Madrid have generated more than €100 million in additional income this summer.

The biggest returns have come from Nico Paz, who was re-signed and sold back to Como for €60 million, and Victor Munoz, who joined Liverpool from CA Osasuna, leaving €20 million in the Merengues’ coffers.

Moreover, Alvaro Rodriguez’s move to AFC Bournemouth has fetched Real Madrid €12.5 million, while Alex Jimenez’s permanent transfer to the same team has brought them another €10 million.

More recently, Real Madrid sold Fran Garcia to Real Betis in a €4 million deal, while retaining 50% rights of the player. On top of that Mario Gila’s transfer to AC Milan from Lazio has helped the club rake in another €15 million.

Combined, those deals have brought the club more than €120 million, solely from the portions of the players’ rights that Real Madrid retained.

Importantly, those figures come in addition to the transfer fees the club had already received when initially selling the first half of each player’s rights.

Mario Gila has signed for AC Milan, leaving Real €15m richer. (Photo by Paolo Bruno/Getty Images)

A long-term investment in La Fabrica

The success of the model reflects Real Madrid’s confidence in the quality of La Fabrica.

Rather than maximizing immediate transfer income, the club has been willing to accept smaller upfront payments, believing that once these players establish themselves in professional football, their market value will increase significantly.

So far, that approach has been fully justified.

More profits could be on the way

The strategy is unlikely to stop paying dividends anytime soon. Several former academy players in whom Real Madrid still own 50% of the rights could move during this summer’s transfer window.

Among the leading candidates happens to be Sergio Arribas, after a standout season with Almeria, in which he narrowly missed promotion and scored 26 goals. Ajax and SL Benfica are interested.

Carlos Dotor, who earned promotion with Malaga, could move there permanently despite still belonging to Celta Vigo, leading to potential income for Real Madrid.

Should any of those transfers materialize, Real Madrid will once again benefit financially thanks to the club’s long-standing policy of retaining half of their academy graduates’ future rights.