Well, I can safely say that this tactic is pretty darn good. I started a new game with Newcastle and have just finished my first season and ended up THIRD (using 2.1 most of the time and 2.2 against tougher opposition)
I bought Fernando Meira for 6.25 million from Stuttgart (to help out Steven Taylor at the back) Joe Mattock from Leicester (for the future) for 2 mil and then Andrey Arshavin from Zenith for 8 million (to play as the right amc) Then grabbed Fabio Aurelio from Liverpool when he went on the transfer list for 2.5 mil (to rotate at left back.
Then the highlight being that I sold N'Zogbia for a whopping 40 million pounds to Inter (30 mill now, 10 mil over 1 year and a 50% sell on fee) So with that cash I bought Christopher Samba for 12 mil from Blackburn, Rafhina from Schalke for 9.25 mil and finally Riquelme for 9 million (but alas he did not have a work permit, so I bought him and sent him off to a feeder club for the rest of the season - sucks that I never got to play him yet)
Also sold Milner for 7 mil to Villa, which I know is cheap but I really did not want a winger playing in the amc position (although he did play well) and I really want to get Duff off the wage bill even though he plays pretty well on the amcl position.
I started off VERY slowly using this tactic (only won 1 of the first 6 games) probably becasue I had a lot of new guys in the team (not just ones I bought either) but once the team had time to gel, I was flying!
Have Jiminez(3mil) and Mutu(9.25) coming for next season, so who knows? maybe next season I can go one better.