Proportional betting is one of the unfamiliar sports betting strategies in sports gambling today. It is an invaluable component of the bankroll management aspect of betting, yet it is not much known or practiced among punters. There are two types of punters in sports betting. One is a casual punter, and the other is a seasoned or professional punter. One can be described as a casual punter if they gamble for any reason apart from genuine money-making. One of the main reasons could be betting for fun. Another scenario is where a punter is already really wealthy and so has little consequence from losing bets. Such a person will gamble purely for the thrill of it. Serious/professional punters gamble for the sole purpose of earning an income. For them, sports gambling is like any other occupation, be it teaching, engineering, or nursing. For this type of punter, bankroll management practices like proportional betting are indispensable.
What Is Proportional Betting?
Proportional betting is a method of bankroll management in sports betting. It requires that the punter only use a set percentage of their total betting bankroll each time they place a wager. Yes, one must have a definite amount of money expressly set apart for each betting season. A “betting season” is a personally defined period, e.g., a month, a week, three months, or even a year. Some punters set theirs to go in tandem with a regular sports season. This strict, reserved amount is referred to as the bankroll and is part of prudent gambling. A good gambler must gamble responsibly by managing their bankroll. For proportional betting, each bet is placed with a set percentage of that total reserved betting amount as the stake. It should be a small percentage. Anything between 1% to 5% is a good figure.
Proportional Betting Example
The following example shows the effect of proportional betting on bankroll management. Say our bankroll amount is $100 and 20% our set percentage (20% is quite high, but this is just for demonstration). Our betting period is five days, placing bets at the rate of a bet per day. We unfortunately start with a three-bet losing streak. The financial outlook might look like this:
Day 1 Of Proportional Betting
80% x 100 = $80 balance ($20 wagered and lost)
Day 2 Of Proportional Betting
80% x 80 = $64 balance ($16 wagered and lost)
Day 3 Of Proportional Betting
80% x 64 = $51.2 balance ($12.8 wagered and lost)
By this point, a trend is very evident. With each losing bet, a lesser amount is wagered. That’s because, since we’re losing, the bankroll balance is reducing each time. Now say we won on the 4th and 5th days.
Day 4 Of Proportional Betting
80% x 51.2 = $40.96 balance ($10.24 wagered)
$24.04 won from the bet, new balance = $65
Day 5 Of Proportional Betting
80% x 65 = $52 balance ($13 wagered)
$58 won from the bet, new balance = $110
From Day 4, the two bet wins increase the bankroll balance. The set percentage remains the same at 20%. However, since the balance improves, with each subsequent win, the wagered amount increases slightly. So when we’re on a downward trend in terms of our bankroll balance, we wager lesser amounts. And when we’re on the mend, we also raise our wagers gradually. Nothing to boggle the mind – just set the rule, stick to it, and your bank shall thank you for it! It’s all automatic.
Pros & Cons Of Proportional Betting
The merits of proportional betting include:
- It’s a great way for a punter to protect their bankroll. With this strategy, it is unlikely that they will run out of finance for gambling.
- It’s a simple plan that frees the punter’s mind to concentrate purely on actual betting and nothing else.
- It promotes financial discipline and can ultimately lead to a financially fruitful betting career.
The one demerit might be:
- It grows the bankroll rather slowly. The punter would need to be patient, even though there’s great protection from bankruptcy.
