How to keep yourself in the game
Let me guess, you are wagering too much money on each game that you play. I bet you are wondering how it is that I know this. That is because for the longest time now I have studied money management and it is pretty clear to me that approximately ninety-nine percent of people who bet on sports are in fact, wagering way too much!
Think about this for a second, would you wager twenty-five percent of your retirement savings account on something that most likely had a forty percent chance of dropping to nothing by tomorrow? The answer is pretty well a no right? Now here is another question for you to mull over, why is it that so many people who bet on sports are willing to chance losing over twenty percent of their money on just one game? The sad fact is that it is extremely easy to risk it all and not even realize it.
Would you take the chance?
This is a pretty touchy subject among people who bet on sports and other events. You can understand why, they have a real problem, most of the time they dont realise it before its too late. Now, if you were offered a ten percent advantage in a game of chance, (45% for the house vs. 55% in your favor) for a total of 500 bets, would you take that chance?
The answer unfortunately is yes, you would jump into that proposition with both feet and a blind fold! Over a course of time (500 bets to be exact), the law of average will say that you might end it all with close to 55% of winners (275 wins vs 225 losses). Now if you were betting one hundred dollars for each bet you would happily walk away with approximately $5,000 right? Piece of cake!
Here is another bit to mull over in your mind. Say that perchance, I told you that you were able to begin the game with only $500 (which would be your bankroll) and that if you lost all of that money, that you would not be able to replenish your supply of cash. Now think about it, in retrospect you could say that I was MAKING you bet 20% of your money on each bet. Here is the kicker, would you take that chance? Would you be able to outsmart me for a mere five thousand dollars?
Now a smart person would be telling themselves, “No, don’t do it, walk away!” but you feel that familiar magic pull that keeps you there, the rush of adrenalin that courses through your body as you stand on the gap between winning and losing. You are definitely going to lose everything in this type of situation.
