FSM Group started operations in 2008 as the prediction market spin-off of the Institute of Information Systems and Management (IISM) at the Karlsruhe Institute of Technology (KIT), the cooperation of the Research University Karlsruhe and the Karlsruhe Research Center. It is the logical continuation of the founders’ activities during their time as Ph.D. and Postdocs at the university, both in research and applied sciences. FSM Group combines the knowledge and practice from over ten years of research and project management in the area of prediction markets.
The Early Years – From Vienna to Karlsruhe
The era of prediction markets from Karlsruhe started in 2001, when Professor Andreas Geyer-Schulz from Vienna, now a member of the FSM Group advisory board, was appointed a chair at the research university’s business school. He brought with him five years of experience with prediction markets and the software prototype PSM for an electronic prediction market. The software was subsequently rewritten by one of FSM Group’s founders and has since formed the basis for several successful prediction market projects in the area of political elections and sports events.
2005 to 2008 - Karlsruhe, Frankfurt and Passau combined in STOCCER
In 2005 the universities of Frankfurt and Passau joined Karlsruhe for the STOCCER project, a large scale prediction market on the outcome of the Soccer World Championships 2006 in Germany. Initiated by Professor Christof Weinhardt, the Professors Andreas Geyer-Schulz, Bernd Skiera and Martin Spann contributed extensive expertise in the field of Prediction Markets and combined their strengths to follow an appointment by the Federal Ministry of Education and Research (BMBF) in Germany to support the state research project DL2100.de which examines the service industries of the 21st century. For the STOCCER project the software PSM was joined with meet2trade, a successful information market software product by the Institute of Information Systems and Management (IISM).
Since 2007 – Prediction Markets come of age
Prediction markets are based on economic theories on information efficiency of markets. After nearly two decades of research and experiments, they have become an increasingly mature and reliable forecasting tool: Prediction markets are ready to be deployed for real-world applications. The 2007 foundation of the Prediction Markets Industry Association (PMIA) is a visible sign of this development.
2008 – FSM Group is born
As the projects conducted by the research partners in and around Karlsruhe have gotten an increasingly economic focus over the years, the logic step is taken to spin off these operations, backed by the strong research knowledge of almost ten years of research in the field. FSM Group was launched and, following a thorough evaluation, obtained funding by the German Federal Ministry of Economics and Technology and the European Union. In 2009 FSM Group passed a second evaluation and was accepted to the circle of “Young Innovators” of the state Baden-Württemberg. Since 2012 FSM Group acts free of fundings.
FSM Group today – Spin-Off under the flag of IISM at KIT
Together with its affiliates FSM Group combines the knowledge and power to conduct prediction market projects at any level. Depending on the economical and research aspects of the project, FSM Group provides customized solutions directly or by establishing the connection to the right partner within our affiliate network.
KENFORX Crowd Intelligence
In 2013 FSM Group formally joins KENFORX GmbH. And by that also the knowledge and know-how of over 10 years of engagement in the field of prediction markets. With these rich facilities KENFORX as specialist for Crowd Intelligence gains a inimitable position in the market of knowledge exploitation in freely adjustable groups of people.