Many will dismiss outright the ability to make good returns on your investment through the medium of
sports betting. It is not really surprising as betting is hard work, solitary, and you have to grind out thousands of bets to get your returns.
So what kind of returns can you expect?
Anywhere between 18% and 22% on betting turnover (that money actually put through the sportsbooks) annually if you are good. Of course this could vary greatly - years of 30% and 13% would also be possible. The laws of probability defy accurate annual estimates.
But suffice it to say that if successful you would beat almost all the pros in the money markets and investment world.
You will notice that I have not stated losing years - this is because they are rare - I have experienced one in my life time, my first. I am always aware of the possibility but I am confident I will never experience one again - partly because of the numerous hedging methods now available on the sports betting exchanges. I wonder how many young people on Wall Street today can confidently say they will only have one losing year? There may be a handful, those engaging in arbitrage and those experienced in 'selling' as well as 'buying' the market - but there won't be many.
So do the sportsbooks close accounts if you are a winning player? Sometimes. If the book is doing its job properly, it is taking the action from both sides of the line (odds on the event) and simply taking the commission in the middle. The sportsbook makes its money whatever the result - they are merely commission-takers. Winning bettors do not win money from a sportsbook, they win money from other losing players. I guess some books simply do not like winners - but many manage the action well and allow big bets. Big bets means big turnover, big turnover means big profits.
Betfile Sports
www.betfile.com do a good job - they are mainly for recreational bettors but regularly take bets of up to 5000 US during football season.
Serious US sports bettors generally turn to Basketball as a major source of income simply because of the sheer number of games -
you need to bet high numbers of games to get the returns. Football (NFL) is big too though game numbers are few. Hockey does not have many takers but the lines are often the best value - the prices can be very generous. Baseball runs somewhere in between. In the UK and Europe it is mainly Soccer and Horse Racing.
The key to success in any trading or betting environment is value. If you are not getting a value price, then you will find it hard to make a profit.
You need to indentify the "product" eg a stock or a team - it doesn't matter. If your expectation of that product doing well is higher than the price on display - in relative terms, you "buy" it. Still, if you are not profitable in your betting after say 400 bets or thereabouts - it may be time to say "this is not for me" or "let me re-think my betting strategy."
Generally I have found that sports betting produces better average returns year on year, than the stock markets. It is tougher work psychologically, as you generally act in a lone capacity. No corporate social or support structure, no lunches, no team environment. But then no bosses or politics...
Betting is also virtually recession proof, lets face it only a huge war might disrupt the national sports schedule. Sports markets are not influenced by the economy. As a pro bettor, you worship different gods and your path is one that runs through the wilderness and is not well trodden. You will love it or hate it..
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