Fruitful and profitable betting is the result of thorough analysis and constant study but not luck. Although it is very important to find a reliable online bookmaker, such as https://wazamba.com/hi/, it is also crucial to master the principle of bankroll management to put your betting career to a higher level.
Bankroll management in sports betting is the main difference between a professional bettor and an unlucky loser. You can guess 99% of the bets and still be in the red due to poor bank management. In this article, we will look at 7 basic bankroll management strategies.
What is a bankroll?
A bankroll is the amount of money on a player’s account, which is available for betting. The term came to betting from poker. Offline, the bankroll refers to the size of the player’s pot at a table, such as in Texas Hold’em, while online, the term stands for the amount of money on all accounts.
It is recommended to risk no more than 5% of your bank. When betting at a higher limit, you risk more, no matter how reliable your choice is. Choose from several strategies to manage your bankroll.
Bankroll Management Strategies
The below-mentioned strategies are widely used by bettors to predict the outcomes of competitions and define an optimal bet size. Let’s consider 7 most popular bankroll management strategies in sports betting:
- Kelly criterion
According to this strategy, bettors play on value bets, determining the amount of the bet in each particular case. Value bets are outcomes that, in the bettor’s opinion, the bookmaker underestimated.
A bet is called a value one when the following condition is met:
K x P > 1, where K is a coefficient, P is the probability in your opinion.
To determine the amount of the bet according to the Kelly criterion, use the formula:
B x R x (K x P – 1) / (K – 1), where K is the coefficient, P is the probability in your opinion, B is the bankroll, R is the pass rate.
If you have passed 35 bets out of 100, R = 0.35. If you have just started playing and have made less than 100 bets, use R = 0.25.
- Fractional Kelly test
This strategy is applied if you want to bet only a part of the amount calculated according to the Kelly criterion on a particular outcome. For example, 75%.
- Martingale strategy
You increase the size of the bet or take a higher odds after each loss so that the first run will bring profit, taking into account previous losses. Calculate the Martingale bet size using the formula:
(bet size) = (target profit + amount of losses) / (odds – 1).
- d’Alembert strategy
After losing, you increase the amount of the next bet by the selected conventional unit until you win. After a run, you reduce it by the same value.
- Flat strategy
You bet one amount per different outcomes of a match. The selected sum of the bet is not changed on a given cycle.
- Fixed interest from the bank
You bet a pre-selected percentage of the bank. The sum of the bet should be calculated each time anew.
- Fixed income strategy
You choose the bet size depending on the odds and target profit. Calculate the bet size using the formula:
C / (K – 1), where C is the target profit, K is the coefficient.
For example, in the Valencia-Atalanta match, you want to bet on the guests at odds of 2.50 and get $30 in profit. The bet amount will be $2: 30 / (2.50 – 1).
To conclude, note once again that you should only put into your bankroll the amount that you can afford to lose. Otherwise, you are at great risk, as ups and downs are inevitable. Keep in mind that most bookmakers provide test mode, where bettors can try one or more strategies on the betting simulator for free without losing funds and only then play for real money.
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