Why is Sports Betting Out Performing the Stock Market?

Sports betting, as crazy as it sounds could turn out to be a much more profitable way to invest than the traditional ways that we are use to like stocks, bonds and mutual funds. 

Let me ask you this question.How is the market treating you? 

If you are like most, you have either seen some small returns or even worse some serious losses.The majority of people these days are losing a lot of money with the poor performance of the stock market. 

What’s the interest rate that your bank is giving you? 2% or 3% if you are lucky.I don’t know about you, but these options really don’t sound that appealing.Now let’s look at an alternative option with sports betting.

 Since most people don’t look at sports betting as a realistic investment vehicle, most of them end up losing.They wager on games just because they are on TV, bet on their favorite teams and neglect to follow strict bankroll management practices.What I want to show today is that sports betting can be lucrative if done correctly. 

Let’s say you start out with $1,000 budget that you set aside for sports betting.Obviously you could have more or less, but for this example I will be using $1,000 to illustrate.Now what a lot of people do is bet $100 on 1 game and maybe another $200 or $300 on another game that they like more.Unfortunately this is much to much to be risking on one game.My personal recommendation is to bet no more than 5 percent on any game.For this example your bets should be $50. 

Now some of you may already know this, but to break even with sports betting you need to win 52.4% of your wagers using the 11/10 offered on the most popular sports like NFL football and NBA basketball.For this example, we will say that you will bet on only 2 games per day and use a very conservative win rate of 57%.Here is how the numbers would look after 1 month.

Starting Bankroll

 

$1,000

Bet Amount (5%)

 

$50

Win Rate

 

57%

Total Games Bet

 

60 (2X30days)

# Wins

 

32

# Losses

 

24

Total Wins

 

8

Juice or Vig 10%**

 

2.4

Net Wins

 

5.6

Total $$$ Won

 

$280

Total % Increase

 

28%

Ending Bankroll

 

$1,280

**Juice or Vig is the % that the online sports books keeping for taking your bets. Usually 10% 

What we can tell from these numbers is that your bankroll would have increased by 28 percent and you would have profited a total of $280.I’m sure you would agree that 28% returns after one month is pretty awesome, but we are not done yet.Now that your starting bankroll for month 2 is $1280, your new bet amount would be $64 which is 5 percent of the new bankroll amount.Staying with this example and a monthly increase of 28 percent at the end of 1 year you would have increased your initial bankroll from $1000 to $19,342 and an incredible interest rate of over 1900 percent. 

So let me ask the question again.How did the stock market do for you? Even if you drop down the win rate to 56% or 55% you will still have exceptional returns for the year.Any way you spin it, sports investing needs to be looked at more seriously as a realistic investment vehicle.

If you would like to learn more about how to be profitable with sports betting, you can grab a FREE copy of my ebook: “Sports Investing Secrets – How to Turn $1,000 into $1,024,000 in Less Than 5 Years Betting on Sports” by visiting my website at http://www.1stopsportsinvestors.com