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Hedging - How To Hedge A Bet

Hedging - What Does To Hedge A Bet Mean?

"Hedging a bet" is placing another bet or more, when your wager is looking like a good thing to be a winner. Therefore, to hedge a bet, is to bet both sides, or all outcomes of an event. Otherwise knows as arbitrage(arb).

So, if you bet Chelsea to win the FA Cup at 6/1 and they reach the final against Coventry, you may decide to hedge your bet by wagering more money on Coventry to win and/or draw the match aswell. Thereby guaranteeing a profit, or returned stakes, regardless of the final result.

Hedging Example:
♠ Wager £1.00 single Chelsea at 6/1 odds early in the competition =£7.00 returns.
♠ Wager £1.00 single Coventry to win at 2/1 odds on final day =£3.00 returns.
♠ Wager £1.00 single Coventry to draw at 2/1 odds on final day =£3.00 returns.

# Total Stake =£3.00, returns are £7.00 Chelsea, £3.00 draw or Coventry victory.

The Bookmakers, Or The Layers, Hedge Your Bets
Bookmakers hedge bets all of the time, usually with your money. Most commonly, the bookmaker will take a fixed price with few rails bookmakers with punters stake, thereby forcing the starting price(sp) down in the highstreet betting shops and reducing their own payout liabilities.

Hedging A Bet - Hedge Betting - Good Or Bad?
Some gamblers swear by hedging their bets, others think it is bottling out of a wager, or a complete waste of money.

The truth is, it depends on many things. Possible returns against losses, size of initial stake wagered, in-running position of your selection, life-changing win amount and so on.

Always Hedge Large Accumulators or Parlays
Casinocity - Hedge Bets Are Almost Always a Bad Strategy
Gambling Rule 7 - Thou Shalt Not Hedge Thy Bets, Unless..
Hedge Betting Wiki Information Webpage
Hedging & Spread Betting Articles
Hedging Calculator


Posted at 00:25, Friday, 30 March 2007 by the Sandracer

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