On May 14, 2018, the Supreme Court cleared the way for states to legalize sports betting.
The American Gaming Association estimates that more than $150 billion is wagered in the USA each year even before the Supreme Court ruling.
It’s clear that sports betting is big business and with many states looking to legalize it, there’s never been a better time to get involved. There are risks associated with all gambling but you can take steps to minimize this risk.
So read on to learn about how to develop a robust sports betting money management system.
The first thing that you want to calculate before you start placing bets is your unit size.
This is the size of bet you intend to place. To calculate your unit size you need to know your total bankroll. Your bankroll is the total amount you intend to gamble with. If you’re starting out with sports betting we advise starting with a bankroll that is an amount you would be comfortable with losing.
Once you know your bankroll there a number of ways that you can calculate your unit size. One simple method is just to take a set proportion of your bankroll to be your unit size. We would recommend somewhere in the region of 1-3%.
Another method of calculating your unit size is to use the Kelly Criterion.
This is a system named after a researcher at Bell Labs. He devised a formula that maximizes your chances of making a profit from your sports betting by calculating the fraction of your bankroll that you should bet.
The formula is as follows: (b*p-q)/b
The letters b represents the net odds on the wager; that is, the amount you win on top of your original stake. The probability of winning is represented by p and the probability of losing by q. Don’t worry if you find this confusing as there are plenty of online Kelly calculators you can find to work this out for you.
Flat Betting vs Compounding Kelly
Once you have calculated your unit stake, there are two main methods.
The first is flat betting. This involves placing the unit bet over and over again on every bet. This is a good system for beginners as it is very simple. Once you know your unit, you stick to it.
The other option is to use Kelly before every bet. Since the formula gives you a fraction of your bankroll, if you are on a winning streak, your bankroll has gone up, so your unit will be higher. If you have lost some bets, Kelly will give you a lower unit value. This helps to minimize the risk of going bust.
Now make use of your sports betting money management system
Now that you know how to set up your own sports betting money management system, you’re probably itching to start betting.
One of the best ways to maximize your chances of turning a profit is to sign up with a sports handicapping service. And we have one of the best there is, with an unparalleled return on investment. Why not take a look at our great selection of sports picks.
If you have any questions or would like to know more about the services we offer then please don’t hesitate to contact us.