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Sports betting Trading as an investment option

Sports betting Trading as an investment option

I'm not trying to hype Trading as being the best investment of them all, not even as better as regular stock exchange; each investor has its own profile, hence its own investment choices.

My intention is solely to inform you that it is possible to get small, but consistent, profits through bet Trading, using very low risk tactics to achieve that goal.

by rodlp007   |   comments 0
Friday, June 19 2015

One of the main selling points of sports bet Trading is its huge profit potential. Doing some quick math, imagine you get a small profit on every event you enter – maybe 1% profit (commissions already applied). Now, notice you can get this same result daily, that is, 30 events on average, each one with a 1% liquid profit; all this amounts to a monthly profitability of 30%! Do you know of any other investment that is able to generate such a margin?

This is very interesting to say the least. Be advised though, this clear positive potential walks side by side with a treacherous "cousin", the loss risk.

In the investment world these two "relatives" are always intertwined on a direct proportionality relation, so the bigger the profit potential, the bigger the loss risk.

Let's analyse, as an example, some fixed interest investments (Term savings and the like): in these kinds of investments the risk is almost non-existant, but the profitability is very low as well - in some cases around 0,5% a year.

On the other hand, stock market action has the potential to generate huge profit margins in weeks, sometimes even days, but it also has the possibility of total investment loss.
 

The idea behind this article is not to hype up sports Trading as an investment idea better than working the stock exchange; each investor has its own profile which will determine is options.

The intent of this article is to inform you that there is a possibility that you can manage to get small, but consistent, profits by trading in sports betting, exploring some low risk roads to that goal. This does not mean its easy money though: I can't stress enough the risk of loss, it is always there, to a greater or smaller extent, even on the safer trading options.
 

Back to the start: on a football match we have 90 something minutes; during the match we will face several different situations – both team, or maybe only the one that is commanding the events, frenzying for a goal, locked up match, featuring good technical qualities (or not so much), mess ups, injuries, tiredness, teams settling for a give score, etc.

Mainly when we are watching these matches on the television (or stream) with low delay, we will be able to identify several opportunities to get that 1% profit, sometimes even a little more without risking too much.

How do we do that?

Let's say the match is currently on the second half, the home team as the score advantage and one of its players is fouled hard. The match is stopped until everything is settled, time keeps on moving though and the odds follow suit, enabling some entries and exits from the market with little risk associated.

Seldom does a match end without some of those situations arising: arguments, contusions or even those common moments where one team simply keeps ball possession on the defense or mid-field. All these situations steady the match and present us with great opportunities to Scalp the Under, Exact Score, Probabilities and other markets.
 

Using the 1% profit we talked about earlier, I will calculate how much the accumulated profit would be on a 1 year period, considering eventual losses, so, an average income:

TRADE € INITIAL PROFITABILITY
1 100,00 1,0% 1,00
2 100,00 1,0% 1,00
3 100,00 1,0% 1,00
... ... ... ...
30 100,00 1,0% 1,00
TOTAL - MONTH 30,0% 30,00
TOTAL - YEAR 360,0% 360,00
ACCUMULATED - YEAR   460,00

This 360% yearly is already a very interesting result but, notice that if we skew the compound interests on our favour, re-applying the profits, increasing our bank and upping the next investment:

TRADE € INITIAL PROFITABILITY
1 100,00 1,0% 1,00
2 101,00 1,0% 1,01
3 102,01 1,0% 1,02
... ... ... ...
30 133,45 1,0% 1,33
31 134,78 1,0% 1,35
32 136,13 1,0% 1,36
... ... ... ...
180 593,64 1,0% 5,94
181 599,58 1,0% 6,00
182 605,58 1,0% 6,06
... ... ... ...
358 3.489,24 1,0% 34,89
359 3.524,13 1,0% 35,24
360 3.559,37 1,0% 35,59
  3.494,96   35,95
TOTAL MONTH 34,78% 34,78
TOTAL YEAR 3.494,96% 3.494,96
ACCUMULATED - YEAR   3.594,96

With this simulation we can see that, even with a relatively low starting value and taking out a small profit margin of 1% on the safest way possible, we can still get a pretty good winning amount on the medium term.

Of course, for this method to work, we must win consistently. If we keep losing, we will compromise all our profits thus far. On account of this reason and several similar ones we recommend that you do not invest more than 10% of your total bank on any single match.
 

With this article I tried to show you how Trading in Sports Betting can be one of the best investment avenues available to almost anyone that wishes to take it up, with discipline and method, basically the same attributes you would need to profit on any other investment adventure. The only (big) differences are the profit margins and the pleasure of working on something that most of us love, Sports.

Lots of success and see you soon!

 

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