Get an Advantage in Sports Betting: Contrary to Sports Investment

Posted by whitneyrho on February 13th, 2020

Many people enjoy sports, and sports fans often love to bet on the results of sporting events. Most casual sports bettors lose money over time, creating a bad name for the sports betting sector. But what if we could "even the playing field"?

If we transform sports betting into a more professional and professional effort, there is a greater chance that we can defend sports betting as an investment.

The sports market as an asset class

How can we make the leap from the game to investing? In collaboration with a team of analysts, economists and Wall Street professionals, we often launch the term "먹튀검증 investment". But what makes something an "asset class"?

An asset class is often described as an investment in a market that has an inherent return. The world of sports betting clearly has a market, but what about a source of profit?

For example, investors earn interest on bonds in exchange for lending money. Shareholders achieve long-term returns by owning part of a company. Some economists say that "sports investors" have an inherent return incorporated in the form of "risk transfer." That is, sports investors can make money by helping to create liquidity and transfer risks among other participants in the sports market (such as betting the public and bookmakers).

Indicators of sports investment

We can take this investment analogy a step further by studying the "market" for sports betting. Like more traditional assets, such as stocks and bonds, they are based on price, dividend yield and interest rates: the "price" in the sports market is based on point differences or the probabilities of the cash line. These lines and probabilities change over time as stock prices rise and fall.

To further our goal of making sports betting more entrepreneurial and studying the sports market more, we are developing several additional indicators. In particular, we collect public "betting percentages" to study "cash flows" and activity in the sports market. As financial holders shout, "Stocks are rising in large quantities" we are also tracking the volume of bets on the sports betting market.

Participants in the sports market

Previously, we discussed “risk transfer” and participants in the sports market. In the world of sports betting, bookmakers have a purpose similar to that of brokers and market makers in the investment world. Sometimes they also act similarly to institutional investors.

In the investment world, the public is known as "small investor". Similarly, the public often makes small efforts in the sports market. The little bettor often bets with his heart, roots from his favorite team and has certain tendencies that can be exploited by other market participants.

"Sports investors" are participants who play a similar role as market makers or institutional investors. Sports investors use a business strategy to take advantage of sports betting. They actually assume a risk transfer role and can capture the inherent returns from the sports betting sector.

Opposite methods

How can we capture the inherent return of the sports market? One method is to use an opposite approach and bet on the public to capture value. This is one of the reasons why we collect and study "betting percentage" for several online sports betting houses. Studying this data allows us to feel the pulse of market action and create the efficiency of the "public."

This combined with the spreading movement and "volume" of betting can give us an idea of ​​what more participants are doing. Our research shows that the general public or "small pointers" are performing poorly in the sports betting sector. This, in turn, allows us to systematically collect value using sports investment methods. Our goal is to apply a systematic and academic approach to the sports betting sector.

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Joined: January 22nd, 2020
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