Amidst the Coronavirus recession —yes, we’ll just dumb it down to that — many people are turning to alternate income sources. Some are doing hard career shifts, switching from traditional work to online or remote gigs. Others who have a little bit of capital to invest are looking into things like day trading and sports investing. Read on to find how to create a second income.
So, today let’s focus on sports investing. Not because it’s better than day trading, but because it’s where my expertise lies. I would also like you to note that although it’s entirely possible to make a full-time living on sports betting, it’s not likely right off the bat —that is, unless you have a lot of money to use as your bankroll, like 50 Gs.
Without further adieu, let’s dive in and learn how to bet on sports to create a second Income.
Establishing Your Sports Investing Habits
The first thing you need to do is figure out exactly how much bankroll money you should use for your dedicated sports betting. This is extremely important because it dictates the size of your wagers. You should not bet more than three percent of your total bankroll under any circumstance. With that said, the average pro bettor lays between one and three percent of their bankroll on each play. For me, my standard bet is two percent of my total bankroll, rounded to the nearest whole number.
What does this mean for you?
It means that even though you always see people betting $100 per play, you should not bet that amount unless you have at least a four or five thousand dollar bankroll to work with. It’s critical to remember that even the best sports investors only win around 54% of the time. Sure, you may go on a 10-0 run, but you may also go on a 0-9 run. Be disciplined with your betting unit size and stick to your chosen percentage, whether that be 1%, 1.5%, 2%, etc. The lower the percentage, the longer it will take you to build up your bankroll to increase those bet sizes. However, with a 1% wager, you have much more security. You are 200% less likely to bet yourself out of business than if betting 2% units.
Staying within that 1 to 3 percent range –-without chasing the dragon–- allows you and your budding sports investing business to weather losing streaks. It’s critical to keep in mind that this is NOT roulette. A martingale strategy is NOT a good idea. So, many newcomers to the sportsbetting world see these BS handicappers and touts on TV or Instagram who lose, then double their next bet, then lose again, so they triple, etc. Pro tip: never do that. Just stick to your unit size and work harder at finding valuable plays, and you will go on a run that recovers your bankroll. Remember, this is a long-term war of attrition against the sportsbooks.
No Team Loyalty With Spread Betting
One important distinction that average joes don’t consider is the fact that with totals and point spreads, you are not betting for a team or against a team. That is what the sportsbooks want you to think because, with this way of thinking, your focus is in the wrong place. You are not betting on a team but choosing a betting line from a particular book that you are betting against. When you start thinking of it this way, you’ll stop thinking about which team you want to bet on or against and instead look for weaknesses in the betting lines that you want to bet against.
Remember how I just told you it’s a war of attrition? Well, don’t wager against lines where there is no clear advantage. Start by looking at the Power Ratings (not rankings) to determine the initial point-spread. If you see one that looks off, it doesn’t mean that you should immediately place a bet, but it’s a sign that you should dig deeper and put that game on the short-list for further handicapping.
Have Plenty of Options to Create a Second Income
I mentioned above that you are betting against a particular lixne. Depending on the amount of action a sportsbook gets, one could have different betting lines than another for the same game. So, it’s important to have a diversity of legal sportsbooks to choose from at the drop of a hat. You could see that sportsbook A, B, and C all have Team X at -7, but sportsbook D has Team X at -6. If you like Team X, your chance of covering that number is much better at sportsbook D. So, make sure you have three to five sportsbooks set up and ready to play so that you never miss out on the betting line that best suits your purpose.
Follow the link above for more in-depth information on handicapping and sports betting. But, with the knowledge you picked up in this article, you will be well on your way to create a second income or winning some extra cash with sports investing. And remember, start with a trusted power rating system and then track everything about your picks in a spreadsheet so you can adjust every couple of weeks based on your win/loss ratio.