Sports Spread Betting
Spread betting as a strategy originating from England. The main advantage of spread betting is that you can make small investments and make pretty good profits. But spread betting is associated with high risks, though.
Most detailed information about Sports Spread Betting
About spread betting
Spread betting was first invented as a financial strategy similar to betting strategies used to bet with bookmakers. As the financial market is getting more and more unpredictable and fluctuant, brokers decided to try out another method. Since the 70s of the last century, spread betting has grown widely popular. Still, there are doubts as to whether it can substitute classical trading.
In spread betting, a bettor can place bets on either up or down movement. You can bet on shares, raw materials, metals, options, and other.
Spread betting has possible risks, though. They include short perspective and high level of risk. If a bettor bet on down movement and the rate soared, losses will be huge.
Sports spread betting
In sports spread betting, bets are made on a certain predicted outcome. Take, a bookmaker made a certain prediction in the form of a range (like an age range, 23 - 28 years). This range is called a spread. You can bet on less that the first figure or more than the second figure. You winnings will depend on whether your prediction is correct.
Here is a good example to break down how sports spread betting works. Suppose, a bookmaker predicts that in the game between the ‘Chelsea’ and the ‘Manchester’ the first goal will be scored in the 35th minute. In this case, a spread will be a range between 34th and 36th minutes. A bettor can bet either on higher or lower. Take, Bettor 1 predicts that the goal will be scored before the 34th minute, and Bettor 2 thinks that it will happen after the 36th minute. If the goal is scored in the 2nd minute, bettor 1 will get x10 winnings (34-24=10). Bettor 2 will lose -12 (36-24=12). As predicting the time of the first goal is a pretty tough, the bet becomes very unpredictable. When making a bet, a bettor is running a big risk. At the same time, in case of success, a bettor will earn much more money than they would with bookmakers’s odds.
What are the risks of sports betting spread?
The main problem about spread betting is that you never know exactly how much you may win or lose. You may lose all your money or win a fortune. When betting with a bookmaker, you always know how much you may win if your bet succeeds. And you know that you won’t lose more than you bet. In sports spread betting, you can’t be sure of anything. Your loss may exceed your bet size by multiple times.
Below we’ve listed a few guidelines for bettors that would like to succeed in sports spread betting:
- Find out your maximum possible winnings, but prepare for the worst possible scenario. Calculate in advance how much money you may part with.
- Follow the latest updates to close unprofitable bets in a timely manner. If you can’t do this manually, be sure to use a stop loss feature.
- Find the markets, where an outcome may heavily differ from a prediction. A good example is cricket.
- Always remember that your loss may exceed your bet size multiple times.