The Benefits of Fixed-Odds & Spread Betting
The Benefits of Fixed-Odds & Spread Betting
Sports fans are presented with two tantalising options when seeking to ramp up the excitement they experience while watching a match unfold. You can place a fixed-odds bet, sit back and enjoy the action, safe in the knowledge that you will win a pre-determined sum of money if your prediction is correct. Alternatively, you can delve into the thrilling world of spread betting, in which a single wager can lead to a vast array of different outcomes. They both have an important role to play for punters and it helps to have a solid understanding of them before deciding which one to opt for.
What is Fixed-Odds Betting?
A fixed-odds bet provides you with a simple win or lose scenario. If you stake £10 at odds of 2/1, you will make a £20 profit if your prediction is correct, and you will lose your £10 stake if you get it wrong. The odds of 2/1 are fixed, meaning you know exactly how much you stand to win and that cannot change. You also know exactly how much you stand to lose if unsuccessful. This is the traditional form of wagering and it has been extremely popular for centuries.
What is an Example of a Fixed-Odds Bet?
Let’s say Chelsea are playing Man Utd at Old Trafford and you want to bet on the total goals market. You could either bet on there being over 2.5 goals in the match at odds of 10/11 or under 2.5 goals in the match at odds of 4/5. If you think it will be a high-scoring game, you would bet on over 2.5 goals. If you bet £20 at odds of 10/11, you stand to make a profit of £18.18 if your prediction is correct. It does not matter if there are 3 goals in the game or 9. Once the total goes past 2.5, your bet is a winner and you know exactly how much you stand to make.
What are the Benefits of Fixed-Odds Betting?
Many punters enjoy the security of knowing exactly how much they stand to win or lose when betting on a sporting event. There is less risk involved in fixed-odds sports betting than there is in spread betting. Fixed-odds betting also covers more obscure sports, while it allows you to bet on TV shows and other specials and novelty markets.
What is Sports Spread Betting?
Spread betting is a totally different option, as the amount you end up winning or losing is determined by how accurate your prediction is. Our traders will make a number of predictions on a match or a tournament, and you can then bet on whether they have pitched it too high or too low. The more right you are, the more you stand to win, so the rewards can be far greater when it comes to sports spread betting than on fixed-odds betting. However, the risks are also greater, as you could potentially lose more on a spread bet.
What is an Example of a Spread Bet?
The best way to explain spread betting is via an example. When Chelsea play Man Utd, our traders might price up the total goals market at 2.2-2.4. This is known as the spread. It is up to you to decide if there will be more goals or fewer goals than that in the match. If you think it will be an open, entertaining game, buy at 2.4. If you feel it will be a tense and tight contest, sell at 2.2. If you buy for £100 and Chelsea end up winning 2-1, you will make a £60 profit. The total goals in the match would be 3, and the difference between the result and the price you bought at would be 0.6. Your stake is then multiplied by this figure (3 – 2.4 = 0.6 and 0.6 x £100 = £60).
If the match finished 2-2, the total amount of goals would be 4, leaving you 1.6 above the price you bought at, so your profit would be £160. If it finished 4-3, you would make a £460 profit, so the more it goes in the direction you predicted, the more money you make. However, if it finished 1-1, the total goals would be 2 and that is 0.4 below the price you bought at. This is multiplied by your stake, meaning you would incur a loss of £40.
What are the Benefits of Spread Betting?
As you can see, there are many more possibilities involved in spread betting and many punters find that breadth of outcomes to be positively exhilarating. It ensures you have an interest in a match until the final whistle is blown: once your fixed-odds bet goes past 2.5 goals you will be pleased, but your interest might diminish; whereas if you have opted for a spread bet, your profit will increase with every extra goal that goes in, so you will continue cheering on both sets of forwards until the full time whistle blows.
We have focused on football in this example and we have only taken one market from a particular match, but spread betting covers a wide range of sports and there are a huge number of outcomes to bet on within a particular game or tournament. It provides you with a great opportunity to capitalise on your sporting knowledge, and it can be great fun too.
Fixed-Odds vs Spread Betting: Which Option is Best for me?
You might prefer to stick to fixed-odds betting if you want to mitigate your risk and stay on top of how much you stand to win or lose. You could go for spread betting if you want to dial up the excitement and open your bet up to a wider range of potential outcomes. Spread betting offers a higher reward and a higher risk, whereas fixed-odds betting keeps things a lot simpler.
Both options have their merits and many punters like to use them both throughout the sporting calendar, depending on how strongly they feel about different sports, matches and tournaments. Fortunately, Sporting Index has you covered, as we are pioneers within sports spread betting, but we also offer a flourishing fixed-odds sports betting site, making us a one-stop shop for all your sports wagering needs.