Your Guide to Manage Sports Betting Bankroll
/ January 29, 2020 /
The management of bankroll is a relatively new concept for the gaming and sports betting sector.
Bankroll management or BM for short is just how much you wager for each game.
The problem is that many betting players (90% or more) do not have a bankroll management system at all, which means they may lose more money because they have broken up constantly waiting for the “one big win” to try to recover all the losses before.
This is the only explanation for the successful and profitable sportsbooks and wagering firms.
Methods of Bankroll Management
In general, there are two ways you can properly manage your bankroll. In reality, in successful trading / investment firms both of the following management strategies we speak about in this article have begun. They were able to mitigate the risk while also benefiting their customers. It was also a way to show each one what they could do irrespective of the financial figure at stake. Alternatively, they referred to “units” or “percent bankroll” which we will talk about today.
The Unit management
The solution to a unit involves putting a fixed amount (say 10 dollars) on each bet.
You put a $10 bet at odds of +100 (EVS) or higher and lower odds than that on MORE (for a benefit of $10).
If you want to place a bet at -200 (American), 1.5 (Decimal) or 1/2 (Fraction) on, for example, then you’ll just put $20 on the bet and give $10 back to the bank.
In general, this is known to be the best way to ensure that you make a profit at the end of the year (if your range itself is profitable).
The system of the unit is easy to begin with. We strongly recommend beginning with that if you have not previously used bankroll managerial techniques.
The primary benefit of our unit method is that anyone is able to choose a unit that suits them, for example $1, $10, $100, $1000 or even $10,000 per bet for a certain period.
You can still have 2/3-unit bets for stronger odds of course, and 0.5 unit on a bet for weaker bets.
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The Percentage of bankroll management
This method requires you to place bets based on your bankroll. For example, you can place 3% of your bankroll on this bet if you have a very strong bet. If you have a less accurate bet, just 1% and a max bet is available within the 5% range.
This is generally seen as the easiest way to calculate bet sums simply because your portfolio rises proportionally all year round.
Of starters, if you make a 3% bet on a winning streak, it is far greater than a 3% bet in the previous month. This strategy works well with long-lasting successful bettors while it takes a long time when you are investing less and less than before when you blow your whole portfolio. Your cumulative bankroll would increase proportionally to your preference as a key benefit of the bankroll percent strategy.
When it comes to units, when and how much the unit size can be raised is the main issue. You have to handle the hot and cold streaks of bettors and the probability of this has to be reduced by the bankroll management.
If you double your bankroll, we would advise to expand your units.
For example, if you start at $3,000 for a $100 unit, you will increase your units to $200 as you hit $6,000.
Yet note, you can also go to $150 per unit and earn some of the ROI (return on investment) gains if you are less risk-averse.
How large should your starting capital be?
With Unit Capital it depends on the size of your unit. In the case of a $100 unit for example, we will suggest an AT LEAST $3,000 bankroll. People often say that they begin with $5,000.
Again, the quality of your selections depends on it – Better quality bets = larger units.
We would propose that you either start with a lower unit sum or raise your starting capital if you were just an inexperienced bettor, but do not “guarantee” to make a profit.
And as always, never bet more than you can afford to lose, but luckily, it would be very complicated with the unit solution anyway.
With Percentage Capital this doesn’t really matter and depends on how much you can afford to lose… We think you should make a fairly high deposit based on your personal situation.
For instance, a person who makes 100,000 dollars per year would possibly deposit about 10,000 dollars and use 1-3% per bet.
This is in proportion to their profits.
Many people may say that it is too big, but we agree that confidence in the choices rather than bankroll management would be a problem in this situation.
For example, it will take you 3 percent of your bankroll to lose all your money if you play every pick and lose every bet you make (for 3 bets a day), for three months. And it’s impressive to lose 200 bets in a row, of course.
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