Betting Bankroll and Staking
This is an important area, especially for those new to betting. Keeping you bankroll / fund intact and keeping your discipline should be inseparable factors in your day to day betting.
So how much money should you have behind you before you start betting? It depends on your stake
Here at Betfile we like to use between 1% and 3% of our fund for straight betting. For trading we might use a bigger percentage, often up to 6%-8% but in the knowledge that we will very rarely lose that whole percentage stake.
So if you have a betting fund of $500, then you should really only be betting between $5 and $15. Not a lot is it? It is, however, their to protect you. You want to enjoy your betting, so start small and build from there.
Most of us at Betfile started with betting 1% of our fund. Some of us now use 3% after thousands of bets it’s a risk that can be taken.
Please note that our advice is not to vary the stake on each bet depending on the fund size. Starting with a fund of $500 you bet e.g. 1% of your bank which is $5. If your fund increases to $550, then do not increase the size of your stake to $5.50 (1%). Wait until your fund has doubled or even trebled or until you know that you are profitable before increasing stakes as a percentage of your fund.
Kelly criterion (some variations possible) stop at first winner, percentage of fund (only use when profitability proven) doubling up – will generally all lead to the destruction of you bank.
Even when betting on the point spreads for instance at odds of -110, long losing runs are still possible and those runs always seem to go on longer than you think they will. Grind it out and wait for the upturn.