1. Failure to Use Betting Banks
Most gamblers fail to understand that the best method of achieving a healthy and sustained long term profit from racing is to set aside a sum of money away from your main finances, solely for the betting of horses.
Whatever method or system you are using, whoever you are following or subscribing to or however your own bets are calculated, you are better off with a “Betting Bank” that has built -in advantages that can help you. It needs to be independent from your own personal finances and needs to be protected from factors that can threaten it. This can take a lot of emotion out of the decision making process. Emotion is a factor that threatens all punters.
The size of your betting bank will of course be dependant upon your own individual circumstances and free capital available. An analogy to the world of shares perhaps may be that no financial advisor worth his salt would advise you throw all your capital into the stock market alone.
The vast majority of punters fail to use any form of set aside bank. They bet randomly with what ever money they have in their pocket at the end of the week or go in too deep with stakes far in excess of their personal safety levels.
A punter with a professional attitude will set aside what he can comfortably afford to invest and then determine the best use he can make of that fixed sum of capital.
With a fixed sum of capital available you now move on to the next reason for failure.
2.Failure to Stake Correctly
It is vital that you consider your betting bank as capped in amount. You do not have an endless pool of resources to dip into. Betting by its nature carries inherent risks. These risks include periods of low strike rates and long losing runs. Your betting bank and staking should be adapted for the method you use.
You must in advance, prepare yourself for the possibility of a worse than average sequence of losers through adoption of a sufficient number of units in your betting bank.
Correct methodical staking in addition to the mathematical advantage, can also help overcome the risk of emotional reaction to a sequence of unusually positive or negative results.
Take the Pricewise column in the racing post as an example. Long term if you could get on at the advised prices, it would have returned a decent profit overall. During this time however followers would have to have endured runs of up to 40 losers in a row!
Despite the overall long term profit I suspect the vast majority of Pricewise followers would have been terminated either by a failure to set aside a sufficient amount of points or through failure to cope with the emotion of the losing run.
in essence key to winning money is to manage your accounts in a way that protects them as far as possible from the element of risk that the game presents you. With a long term profitable approach at level stakes you need to plan for and anticipate lean or losing periods.
Chasing losses at first sight may appear to be an easy way to guarantee an eventual profit but the true story is it is a game for fools and statistically will not work unless you generate an overall level stakes profit.
Chasing losses is a game for the ill informed who do not want to make the effort to seek value in their bets. Bookmakers have to price up every race. Punters don’t have to play in every race, they can pick the races they want to bet in, and that is the main edge that people fail to understand. If you have had a losing day, by attempting to chasing your losses you give up that advantage and bet in the races that you should not be betting in. You are therefore betting the way bookmakers want you to and not in the way to win.
Many punters will alter their stakes in the last race either to ”chase” losses or “play up” winnings. Its no coincidence that the bookmakers have ensured that the last race on each day is often a handicap or one of the hardest races that day.
There will be more racing the next day and the day after that. The secret is waiting for opportunities and only betting when you know you have circumstances which favour you and not the bookmakers. You must never change your approach, or deviate from sensible staking as there is no such things as “The Last Race”.
If you’re a newbie punter and haven’t placed a bet as a serious punter before then go through them again and MAKE SURE you don’t repeat any of them in your betting ventures.