5 current squads with the biggest market value increase 

With insane amounts of money being thrown around by elite European clubs to attract top talent, the art of developing a player seems largely forgotten. However, player development is a big part of our game and can greatly benefit both the squad and the profit margins of a club should they wish to sell the player in the future.

While building a squad capable of competing at the highest level requires some expenditure, many clubs do not seek value in the transfer market. Instead, they splurge on players who will immediately drop in value due to their age or simply because they were transferred for such an extravagant amount that it could never be recouped.

At the same time, youth development can play a role in achieving success both on the field and in the profit column. Spending time, money, and energy developing a young talent can pay dividends for clubs who can promote a readymade player to the full squad without spending a penny.

In this feature, we look at squads which have combined the skills of purchasing players and improving them with promoting young talents who have greatly increased in market value. To calculate which squads qualify, we have subtracted the total purchase value of current squads from the combined market value of the squads.

Using this formula, we can discover which clubs are the best at improving the market value of players. Only 5 squads in the world boast a market value which exceeds their purchase value by at least €500 million. Here they are in ascending order.

Note: All data is courtesy of Transfer Markt. The market value of each squad is based on a broad range of data and does not reflect actual transfer fees. The purchase value of each squad is based on actual transfer fees for incoming players currently in the squad.

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#5 Tottenham Hotspur - €501.76 million value differential

Spurs have invested extremely well under Daniel Levy

Squad Purchases: €332.74 million

Squad Value: €834.50 million

Difference: €501.76 million

Surprisingly, or perhaps not given the excessive spending by English clubs, Spurs are the only Premier League team to feature in this list. Under the guidance of notoriously stingy businessman, Daniel Levy, Tottenham has built a squad worth far in excess of what they paid.

While trophies have evaded them thus far, they have come extremely close to winning the Premier League in recent seasons while seeking out value transfers and developing young players. Players such as Harry Kane, Dele Alli, and Christian Erikson have greatly contributed to Tottenham's entry on this list, increasing in value by €150 million, €94 million, and €66.5 million respectively during their time at the club.

The current squad has 16 players worth over €20 million, while only six players in the team have been purchased for more than that amount. This equates to fantastic business by Spurs whose reputation for developing players rings true according to these statistics.

#4 Real Madrid - €506.8 million market value differential

Real Madrid has dropped significantly in value since the departure of Cristiano Ronaldo

Squad Purchases: €450.50 million

Squad Value: €957.30 million

Difference: €506.80 million

Had Cristiano Ronaldo not left Real Madrid this summer they would sit at the top of this list. However, the departure of the Portuguese superstar has shortened the gap between squad value and squad purchases to leave the current Champions League holders in fourth place.

While Los Blancos usually purchase players for high prices, the status of the club generally leads to an increased market value for anyone who wears the famous white jersey. Of their three most valuable players - Gareth Bale, Toni Kross, and Raphael Varane - only one has dropped in value since arriving at the Bernebeau. Bale was purchased for €101 million but is currently worth only €80 million.

However, on the flip side, they have promoted some incredible youth players whose market value increase has contributed to Madrid's entry on this list. A case in point is Daniel Carvajal who came through the youth ranks and Castilla teams before spending a season in Germany. Now a first-team regular, he boasts a market value of €60 million.

#3 Bayern Munich - €510.15 market value differential

Bayern Munich are the dominant force in Germany

Squad Purchases: €334.50 million

Squad Value: €844.65 million

Difference: €510.15 million

Bayern Munich is almost an anomaly on this list. The dominating force in Germany, Bayern tend to strip their competitors of their prize assets for extremely low prices and then continue to dominate, therefore increasing the value of such players.

For instance, their most valuable player at the moment is Robert Lewandowski. The Polish striker was lethal for Borussia Dortmund during his stint there and had attracted interest from elite clubs around Europe. However, Bayern was his preferred destination and he moved on a free transfer having allowed his contract to expire. At the time he had a market value of €50 million, now it stands at €85 million.

Bayern's record transfer fee is just €41.5 million, paid for Corentin Tolisso last summer. However, their current squad features 11 players with a market value higher than that figure. Is their entry on this list just good business or a deeper issue with the Bavarian team's dominance in the Bundesliga, stripping their competitor's assets at cut prices?

#2 Atletico Madrid - €513.35 market value differential

Atletico Madrid have flourished under Diego Simeone

Squad Purchases: €305.65 million

Squad Value: €819 million

Difference: €513.35 million

It says a lot that Atletico Madrid has both the lowest squad purchases and lowest squad value on this list. Los Colchoneros have done incredibly well under the leadership of Diego Simeone over the past few seasons and there is no doubt they only feature on this list because of the Argentine manager.

Of their five most valuable current players - 2 are products of the youth system, 2 have increased in value by a combined €144 million since joining the club, and one has just arrived at the club as their record transfer. The recent arrival of Thomas Lemar means he is currently worth the €70 million Atletico paid for him, but at only 22 years old it is incredibly likely he will increase in value in the near future.

The differential between purchases and squad value is also likely to increase in the near future due to the youthfulness of the current squad. Atletico currently boasts nine players under the age of 25 valued at more than €20 million. This leaves a huge scope for market value increases and a possibility of Los Colchoneros topping this list soon.

#1 Barcelona - €556.76 market value differential

Barcelona has the most valuable squad in the world

Squad Purchases: €664.24 million

Squad Value: €1.22 billion

Difference: €556.76 million

The third La Liga club on this list, Barcelona boast the most valuable squad in the world at present with their players worth well over €1 billion combined. Of course, a huge contribution to their topping of this list is the presence of the most valuable player in the world, Lionel Messi. Valued at €180 million, Barcelona didn't pay a cent for his signature.

However, it isn't just Messi that places Barcelona at the top of the pile. Their youth development record is exceptional with players such as Sergio Busquets and Sergio Roberto worth €80 million and €55 million respectively having come through the youth ranks at the Nou Camp.

The Catalans also have an eye for spotting cheap talents such as Jordi Alba who was purchased for €14 million and is now worth €60 million, Samuel Umtiti who was purchased for €25 million and is now worth €70 million, and Marc-Andre ter Stegen who was purchased for €12 million and is now worth €60 million.

While their lavish expenditure on players such as Phillipe Coutinho and Ousmane Dembele is highly publicized, Barca remains experts and spotting value and developing players.