Sports Gambling Investment
Sports betting as an investment is something of a new idea, at least in terms of widespread public acceptance and interest. And while there are undoubtedly differences between sports betting and the stock market, they are far more similar than most people think. Return on investment, or ROI, is a fundamental financial metric used by investors. Sports betting is traditionally seen as a gamble, and most people who bet on sports are certainly gambling. Our approach here at ScoreMetrics is different – we look at sports betting as an investment. Let’s define the terms. Investing is the act of allocating capital to assets with the goal and expectation of generating a profit.
Sports betting is traditionally seen as a gamble, and most people who bet on sports are certainly gambling. Our approach here at ScoreMetrics is different – we look at sports betting as an investment.
Let’s define the terms. Investing is the act of allocating capital to assets with the goal and expectation of generating a profit. Good investing involves research, risk analysis, managing capital responsibly, and diversifying investments. Successful investors follow a long-term strategy or a system that matches their goals and tolerance for risk, and they follow that system non-emotionally.
Gambling, on the other hand, is staking money in uncertain outcomes that involve a high amount of chance. In other words, gamblers mostly rely on luck instead of research. Most people gamble for fun here and there.
- Priomha Capital (The Cloney Multi-Sport Investment Fund) is undoubtedly the largest, most successful and most notable of all the sports betting hedge funds. Established in 2009, Priomha invests in sporting events which stretching across different professional leagues.
- DraftKings is the best pure play sports betting stock for U.S. Investors, Hershey said.
Sports Betting Investment System
Investing is often associated with the stock market or with real estate. Gambling comes to mind when we think of casinos, poker games with friends, and betting on sports.
But it’s certainly possible to gamble in the stock market. Making uninformed trades in hope of turning a quick profit is not investing – it’s gambling. And as you probably guessed by now, it’s also possible to invest in sports betting. Having a proven system in place and acting strategically and non-emotionally is investing, not gambling.
In this report, the ScoreMetrics Lab gives you an overview of sports betting as an investment and draws comparisons to the stock market.
When you look at them at their most fundamental, base level, sports betting and the stock market reward players for successfully predicting the future. Much like the stock market, successful sports betting isn’t all about wins and losses (ie. stock prices going up and down). It’s about following a system that generates profit over an extended period of time.
It’s not considered a win if you bought stock in Amazon last week and the stock price is up 5% today. You’re not cashing in and telling all your friends that you’re a winning investor. Just like you won’t call yourself a loser if the stock went down 5% the next week.
Instead, you’re following a strategy. Maybe you believe that Amazon will beat the S&P 500 returns over the next 5 years and that’s the minimum amount of time you’re going to hold on to the stock. You probably have a bunch of other stocks in your portfolio as well that share a similar investment hypothesis.
In similar fashion, following a sports trading system is not about the individual wins or losses of a single trade. You’re executing a number of trades based on your investment hypothesis, and you’re measuring success over a long period of time – for a full season, for example.
Successful long-term investing in sports requires diversified systems, an intricate unit allocation model, careful bankroll management, keeping detailed records, a cool head, and constant>
Sports books have a lot of similarities to the stock market. They are marketplaces where investors have the opportunity to invest capital in future results. And just like in the stock market, there are loads of those opportunities available and most of them aren’t that great. Investors need to be smart about choosing their spots.
In essence, bookmakers act as marketplaces that take bets on both sides of contests and make their money by taking a “vig” off of each trade. They use various models to calculate probabilities for each result and adjust their odds accordingly.
This is pretty similar to futures or options in the stock market, which investors often use to speculate whether a stock price will go up or down over a certain period of time. The marketplace offers investors the chance to “bet” on both sides and takes their cut in form of a fee for each trade.
So where are the good opportunities in the sports betting market?
At ScoreMetrics, we find these by exploring hundreds of hypotheses and conducting thorough research to find out if we have something in our hands that meets our rigorous criteria. We create rules, analyze every piece of relevant data we can find, and backtest our theories to make sure that they’re profitable over long periods of time.
To quote our very own John Todora from his new book, “Zero Correlation Investing – The Score Metrics Secret”:
”In short, ScoreMetrics is a method of speculating on sports in the same way you speculate on stocks, but, just like with other investments, the method uses back-tested analytics to find patterns that show a significant return on investment (ROI), while limiting risk.”
The book is on sale for a limited time, so now’s a great opportunity to dig deeper and learn all you need to know about sports betting as an investment.
Also make sure to keep coming back to https://sportstradingsystems.com/ for regular quality analysis on current sports investment topics – we’re here for you!
The ScoreMetrics Lab is the engine that runs the Sports Trading System operation, consisting of a team of researchers and writers who are constantly testing and retesting algorithms. They work hand in hand with our Head Trader and Creator of ScoreMetrics, John Todora to help find new breakthroughs and develop new systems.
Is sports betting a viable way of investing money?
Sports betting can be a great way of investing your money if you treat it seriously, do your research and stick to solid bankroll management.
In all aspects of betting there is the element of luck or variance. This is why the majority of people struggle with sports betting.
Major soft bookmakers also do there best to advertise sports betting as a bit of fun. Something to do at the weekend with your friends celebrating in the pub after your 15 team accumulator comes in after 5 years of betting.
Take a look at this Ladbrokes advert for example.
Reddit Sports Gambling Investment
In my opinion it should be retitled “This is the mug bettors life.”
Why Sports Betting Can Be A Good Investment
It is short term thinking in sports betting that makes the majority of sports bettors long term losers. It is why the mug bettors love large accumulator bets, poor value first goalscorer or correct score bets. They want to win big and they want it instantly.
If you want to make money from sports betting you have to look at it long term. Set aside your sports betting bankrolland see it as an investment for the year or season.
Treat sports betting like you would treat any other serious business. Keep detailed records of your bets for evaluation so you can see what works and what doesn’t.
If you aren’t a proven profitable bettor then you may look at paying a sports tipster or service to provide you with profitable tips.
Initially when I looked at sports betting tipsters I thought they were all a scam/unprofitable and its true that the vast majority are.
After quite a lot of research however I found that is was possible to make money from sports betting if approached correct.
Daily25 is a great blog showing how an Aussie attempts to make $250 a day from sports betting, its a blog with lots of useful information. The Secret Betting Club is another resource that enabled me to look as sports betting as a serious investment. It is packed full of betting articles and in depth tipster reviews that span years in some cases.
Low Risk Sports Betting Strategy
Sports betting investment doesn’t have to be a risk either. If you are risk averse, there are low risk betting strategies such as matched betting and arbitrage.
These sports betting strategies allow you to build small consistent low risk profits.
Sports Betting Compared To Other Forms Of Investment?
Lets take a look sports betting compared to other forms of investment that are available.
From April 2017 to April 2018 I attempted to make £50,000 profit. The idea was to use the sports betting strategies and sports trading methods I outline on this site.
My starting bankroll was £10,000.
At the end of April 2018 I had failed to make £50,000 but a profit of £25,236 was made.
Let’s compare this with other forms of investment.
Other standard forms of investments such as ISA’s offer between 1-2% increase on your capital over the period of a year. Peer to peer lending offers slightly better returns up to 6.3% with Zopa.
The big advantage that sports betting has is the ability to turnover your money quickly. This enables greater growth on your initial investment capital.
Sports Betting Investment Risk?
It is true that sports betting is a higher risk investment then some of the lower yielding standard investments like ISA’s or savings accounts.
This risk can be mitigated by matched betting and arbitrage which enable you build a risk free starting capital. Matched betting and arbitrage profits can become startup capital for your initial investment.
I used this exact method myself to build up a starting bankroll. Before eventually adding sports betting to my portfolio. As a person I am a very low risk individual. Building my betting bank this way lowered the feeling of risk that I associated with sports betting.
Sports betting has now become an extra source of income that has been slowly growing as time goes on. There are losing periods but over the long term my initial investment is growing at a rate that just isn’t possible with standard methods of savings.
If you approach it correctly sports betting is a very viable way of investing your money.
Want to learn two simple methods that allowed me to make thousands in profit from the sports betting markets?
Click the image below for my simple guide.