Money Management in Betting
This is probably the most important part of gambling. Certainly much more important than predictions themselves. Good work with the resources that are consumed can help the player with much less effort to win over other much more experienced player.
Proper distribution of the money, which relies on the combined bank increases many chances for success. Another factor is discipline to be imposed. Even if you know that a game is 100% sure is nice to follow a predetermined plan and thus to develop further.
element is the major goal. Certain profit to be achieved.
One of the most used options for managing the resources is the so-called run of four squares. The whole available bank is divisible by four, and you start the game with one of four parts. Total loss or duplication of this new piece received a new bank is divided into four new parts and you began to seek to double the win.
When you decide to remove thefunds from your account, which is ultimately the point of the whole thing, taking them as a loss and again divide their new bank to four.
There are three main systems of money management, depending
on the situation:
- Fixed systems - your bank is divided into equal parts and each time bets the same amount
- Progressive Systems - they are starting from a basic bet and lost every bet amount increases by a ratio so that when a bet wins offset previous losses. In winning the next bet is again the base amount.
- Percentage systems - each bet represents a certain percentage of the bank.
A little psychology:
Weare in business to make money and to do this, we have to learn to manage them. When you bet without rules for financial management, you are not investing, but gambling. The main component is called a risk the rule is risk a little for greater profitability. The fact is that most successful investors have more losers than winners.
If you rely solely on luck, you will lose significant amounts. You can win if you're good at statistics and know how to control losses. If you are in a losing streak - control the account, thanks to the discipline and risk management. We must be aware that we can not win every bet. We can afford to risk a small portion of our capital to survive, during the losing streak.
Excuses risk is a small percentage of the bill by a pledge - no more than 1-2%. Small percentages protect you from bankruptcy, when you enter a losing trend.
The ratio between risk and profit has to be 1:3. This means, that you risk 1% or your capital to have 3% profit. If you follow this, you have better chances to be a successful player in future. Lets assume that we risk 1% of our money and have 6 winning bets and 4 losing, from totally 10 games. For those 4 losing bets, we lose 4% of our money, but for the winning part of 6 bets we win 18%. Thus there is a profit of 14%.
Use the money management rules and you will have steady incomes. If you follow your plan, it will reward you in future.