Bankroll Management: Know your Betting Budget
There’s no other way of saying it than to be straight about it. Bookmakers, sportsbooks and online sports betting sites are not charitable establishments. They set the odds that you bet on with your money. There’s always that profit margin already built by them so they make their profit. This does not stop successful bettors, those who have done their due diligence to seek wisdom and knowledge in their betting career, from still making their significant wins and profit in good money. These successful bettors are able to pull this off because there is always a sound bankroll management that guides the way they spend their money on betting and gambling.
- It’s basically how you protect your money from squandering it
- It’s an extremely important skill for making profit in sports betting
- It’s equally extremely important even for pleasure or fun sports betting
Bankroll Management: Know your Betting Budget
Bankroll Management, Betting Budget, what exactly do they all mean? In the simplest manner of understanding, it’s simply connotes putting in place some protection and guidance to make good sure that bettors don’t throw away their hard-earn money, thinking they are playing bet or gambling. There is playing bets and gambling, and there is throwing cash or lighting it on fire. It’s that simple. Bettors betting and gambling with no soundproof bankroll management are literally or indirectly lighting their money on fire.
Sometimes, when you can’t make reasonable meaning out of the life of a renowned bettor or gambler that won millions of dollars in his betting and gambling career and still died broke, just take some time to look at his bankroll management. It’s either he doesn’t have something concrete on bankroll management, or he has but doesn’t abide strictly to it (same as him not having), or he simply doesn’t have at all. The life of Stu Ungar, a renowned gambler that won millions of dollars from Poker tables but still died broke, should teach a very loud message on bankroll management.
The Most Important Skill a bettor can have
We have discussed quite a number of very important topics as very important to predicting success in one’s betting career. Among them are knowing where to bet safe (Is Online Sports Betting really safe?), making sure you still win profit on your bet money regardless of the bet odds by using arbs (Arbitrage Betting: How to use it in Sports Betting), and knowing how to place online sports bet (How to place an Online Sports Bet), among many others. All these really do matter.
However, in a very strict sense, frankly speaking, the most important skill that a bettor can possess that will make him really successful in sports betting and gambling is bankroll management. That is, how bettors will manage whatever money they have set aside for their betting affairs.
Bankroll Management: What it is
We can go on and on describing and explaining the concept of bankroll management. However, let’s make this less complex and simplify its definition. Bankroll management can be understood in three different stages. When you grasp each of these stages and what the topic message is for each stage, you already have a full grasp of the concept of bankroll management. These stages are as follows:
Stage 1 – Setting Betting Budget
This first stage basically stresses that bettors set aside from their pool of financial asset, the amount of money they want to devote to betting. In other words, the first stage of bankroll management requires that you set aside the sum of money that you can afford to lose. Upon setting this money aside, you then strictly abide to using this money ONLY for sports betting and nothing else.
Stage 2 – Establishing Rules that determining Stakes on given Wager
We’ve set aside the money we want to dedicate solely to sports betting. There will be offers from sportsbooks, bet odds, and given wager. The second stage of bankroll management posits that bettors have an organized set of rules that determine how much bettors will stake on a given wager. The figure or percentage or whatever rationale that is reached must have factored in the overall budget (already determined in stage 1) before coming up with the stake amount policy. These rules will factor in three important factors:
- The overall budget size;
- The way bettor bets; and
- The betting goals of bettor.
Stage 3 – Application and Enforcement of Stake-determining Rules
This is where discipline comes in and shows forth. The success of the whole bankroll management talk really depends on this third stage. It’s relatively easy to sit down and come up with make-sense, airtight rules. If these rules are not well enforced and strictly abide by, then, it’s of no use and the desired outcome (managing the overall budget for sports betting effectively) will never be achieved, no matter how frequently bettors win their bets. Bettors MUST discipline themselves to always apply these rules in every wager they will ever place in the betting career.
Bankroll Management: Why it’s so important
Recall the life story of Stu Ungar that we made mention earlier in this article, that’s a summary of why it’s so very important that bettors implement sound bankroll management. But let’s translate that. The reasons why it’s so very important to understand and have a very sound bankroll management can be understood using four major premises. They are as follows:
- Bankroll management stops you from boarding an already-sinking ship. Put differently, it makes good sure that you don’t chase or continue chasing losses when you are on a losing streak.
- Bankroll management prevents you from overdoing it when you are doing it right. Too much of anything – good or bad – always/eventually ends up in bad. In other words, it stops you from being carried away when winning and thus steaking higher.
- It affords you the ample opportunity to take on a relatively big volume of water without necessarily drowning. In English, bankroll management affords you the privilege to manage multiple losses and still not run out of cash/money.
- Making more rational, better, and informed betting choices and decisions is smoother when you have a sound bankroll management in place.
Why it’s really important to manage your Bankroll by knowing your Betting Budget
Bankroll management gives you everything you need to get going on the right path in sports betting. When you get its premises right and understand how to implement yours (bankroll management), then, you will understand that it is a great blueprint. One that gives you the plan and template to achieving the highest height of winning possible in sports bets.
- Successful bettors are not afraid of losing their sports bets.
- They know fully well that no matter the direction their sports bets are going, they have a strategy, a blueprint, the template, in place to guide them and dictate their next course of action.
- No matter how hot or cold the betting gets, they listen to dictates of the already-implemented policy, which gives guides on the next course of action to take in managing their bets, either they are winning or losing.
- They never use impulse or emotion when making decisions. Everything is clear-cut as there is bankroll management in place.
- Go over the reasons why bankroll management is important again, as we presented in the previous section of this article, and try to debunk that, if you can.
- The argument is clear. To win or lose your bets and money is really not the first concern, it’s how you proceed and manage every winning and losing that matters. Because in the long run, these are the metrics for determining real success.
Where to get more Relevant Information?
Many punters would love to seek more information regarding bankroll management and sports betting in general. Thus, it is highly recommended that bettors take full advantage of the incredible information contained in our Sports Betting Comparison and get more enlightened.