Over the last five years, sports betting in the US has really taken off. Unlike some other countries with massive sports markets, the US has been relatively slow to launch its virtual and in-person betting markets. In fact, until the repeal of a federal sports ban back in 2018, there were few places in the country where sports fans could place bets.
Now, the industry is growing. In most states, fans can easily wager on sports straight from a smartphone or other remote device. As more sportsbooks jockey for positions at the top of the market, leading brands have started to roll out attractive welcome bonuses. The latest sports betting bonus is just a few clicks away, allowing fans to sample different oddsmakers, wagers and leagues.
But just because betting is legal and fans are passionate, that doesn’t mean the average bettor knows what they’re doing. For example, many fans are happy to simply back their team in the hopes of a sweeping win, while others are digging a bit deeper into the stats to bet on point spreads. A select few have the great advantage of bringing their professional finance skills to the table.
When it comes to using finance experience for better sports betting results, which skills are the most important? And which ones should non-finance bettors look to develop? Let’s dive in.
Risk Management
One of the most important skills a finance pro can develop is the ability to manage risks. Every single move they make has been carefully evaluated according to potential risks and potential outcomes. A savvy bettor knows to do the same, setting limits and diversifying their bets so that they’re ‘covering the board’, so to speak. The goal is to make informed decisions based on what could go wrong.
Bankroll Management
For both finance professionals and bettors, bankroll management is hugely important. After all, there’s no viable option once the money has run out. For this reason, it’s important to learn how to allocate funds and create a plan of action that they’ll stick to. Without this type of discipline, it’s easy to spend too much, too quickly. Viewed in this way, bankroll management is a key feature of long-term and successful betting.
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Probabilities
It’s widely known in the betting world that someone who has the ability to use probabilities and statistics has a leg up on others. That’s because, just like in the world of finance, sportsbooks rely on copious amounts of data and statistics to set their lines. The more someone is able to identify trends, the better they’re able to find valuable wagers. Successful bettors are probably also familiar with terms like standard deviation and expected value.
Research & Analysis
Similar to having a background in probabilities and stats, a truly successful finance pro also knows how to research a given topic and analyze what they find. Usually, finance professionals focus on delving into the inner workings of a company and its industry. In the context of sports betting, this focus shifts toward things like analyzing teams, players, league results, and even considerations like injuries and home-field advantage.
Adaptability
Things can change on a dime—this is true in the world of finance, sports betting and beyond. By far the most successful professionals are those who know how to roll with the punches. Just like a market can change suddenly, so can a sports event, thanks to factors such as like last-minute changes. This could be something like inclement weather, a player being carded or removed from the game, or a recent result influencing a run of form.
Resilience
Lastly, it’s important to develop a sense of emotional control and resilience. In the worlds of both finance and sports betting, unwelcome surprises can quickly change the outlook of a venture. But it’s important to avoid making impulsive decisions in order to stick to the plan, even when the road ahead looks rough.
