It might not exactly be alchemy but the concept of risk-free betting must be the following smartest thing. There are plenty of books and systems on the market claiming to exhibit the horse punter how you can achieve that.
Aside from the term “risk free” you may also run into what “arbitrage” and “trading”. The dictionary describes arbitrage, which is a stock market term as, a traffic in bills of exchange or stocks to take benefit of rates of exchange in various markets”. In betting terms arbitrage, or trading, means backing a horse at a higher odds and laying it for a larger amount at lower odds. This guarantees that what ever the result you will make a profit on the bet.
Risk free betting is different for the reason that rather than aiming to earn profits on every trade you’re just making certain you don’t lose. It is also different within the fact that with arbitrage you don’t really care whether your selection wins or loses since the profit is ensured. With risk free you are planning to try and pick the winner but are also covering yourself in case of your selection not winning.
Usually you’ll back whether 1st or 2nd favourite with a bookmaker or even more commonly on the betting exchange. There are two factors you will be searching for, firstly a horse you think can win and secondly one whose price on the betting exchange will probably fall.
If you have ever visited the Betfair betting exchange online you will know how volatile the prices could be, especially right before the off. If you study the site you’ll realise that it’s the weight of cash being wagered that controls the rise and fall within the likelihood of the respective runners.
Within an over simplification, when there is more income waiting to back a horse than there’s to lay after that it the odds are most likely to fall. When the reverse is true and much more money is waiting to become laid than backed the cost will rise. By staring at the markets it is possible to anticipate these moves and this is actually the premise on which “risk free betting works”.
For example, you believe the favourite will win a race. It costs 3.0 (2/1) so you back it to win at £100. Whether it wins you will get £200 if it loses you lose £100. The horse price then drops to 2.5 (6/4) and at this stage you lay it £100 top lose. If it wins you’re going to get £200 less £150 you lose on the lay bet (£100 at 2.5 = £150) and also you make £50 profit. If the horse loses you lose your £100 win bet but make £100 on the lay so break even..
Betting in this manner will make you small but steady profits once you become effective in reading and predicting the betting market. However, you will see times when you need to do fail. The buying price of your horse goes in the opposite direction to the one you anticipated. It is then going to be a judgement call as to whether you cut your loses or ride with the original bet in the hope that it comes off.
There isn’t any such thing as a totally risk-free betting, The term betting implies an element of risk but as many smart players have proved if you’re prepared to study Betfair market you can get not far from risk free betting.
Hope that helps.