Money management may well be the most important aspect of betting. Skill, analysis, or knowledge determine if you CAN win, but Money management decides if you WILL ultimately win long-term.
Sports betting is the side of gambling in which the player has the most control. It`s not a sum of mathematical odds and percentages stacked against you, like roulette for example. You have access to useful information and, surprisingly, you actually do not play directly against the house. Bookies will win anyway, because of the “juice” they apply to the odds (for example in an even game you will have odds of 1.9-1.9 instead of the normal 2-2). They move the odds so that the total amount of money wagered on one game will bring them guaranteed income. Of course, most of the players will lose all their money in the long term and bring the bookies most of their profit, but the point is that you and your bookie can both make money together. Unlike casino games or other forms of gambling, at sports betting, you depend largely on your own abilities.
But passion and knowledge of sports are not enough to make you a successful bettor. Based on these two attributes, you will probably end up a losing addict, the kind that loses in the long-term, as described above. You`ll win 10 bets but lose all the money on the 11th. You need to work in order to obtain information, to be disciplined with your strategies and most of all to manage your finances efficiently. You have to have control over your investment and money management provides you with just that. It`s the key to winning at sports betting.
So how do you manage your finances in sports betting?
First, you should establish a monthly budget for betting, let`s say 100$ (totally random amount – the rule is not to invest more than you can afford to lose). After depositing this into your betting account(s), you should split your money into fictional units based on the following:
• A bet has a stake between 1 and 10 units
• Maximum stake on a bet (10 units) should not be more than 20%-25% of your total balance (we`ll take 20%)
So that means that your 100$ equal 50 units, with 1 unit being 2$ and the maximum bet being 20$. This is how you should look at your money from now on. Of course, this is open to your own interpretation, we are just presenting our recommended scenario.
Naturally, the more units you invest, the safer your bet is. It`s your decision how much to stake on every bet, we will only say this: a 10 unit game is one you have analyzed thoroughly, knowing every piece of information available to mankind. A 10 unit game is one that even if you lose, you will know that you have still made the right choice.
Once you get started with this management, you should stick with it on a monthly basis. Don`t lose your head. The psychological factor is in close relationship with money management. You must not raise your stakes just because you lost a bet by a penalty in the last minute. If you just lost half your money, don`t go all in on a stupid bet which you will most likely lose. You still have money to work with, and the next day you will tell yourself “man, it would be nice to have now in my account the cash that I lost like an idiot”. If you are on a winning streak and you lose a big bet, remember that you still have profit. Always think long term. Also, don`t bet with your heart. If you want to place a small bet just for fun on your favorite team you can do that, but watch the stakes and don`t make it a habit. It will ruin you.
If you develop your own betting pattern, with a clever management of your finances, you will most likely end up a winner. Don`t waste your money, protect it and invest it wisely. Money management is not an option, it`s an obligation.