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As an avid punter, what could be a better outcome of a wager bet than a guaranteed profit? Well, that’s exactly what hedging a football bet encompasses. Hedging is a strategy that can be applied to anything that involved financial stakes – a loss or again, and if mastered, it can be a lucrative tactic to use while making you next football bet.
This method, admittedly, might sound a little farfetched. It’s never easy to predict the outcome of a game, even if there is a clear favorite. But with hedging, you can potentially eliminate or at the very least reduce the risk of a loss.
Hedging, in the simplest terms, means betting on multiple outcomes in one particular line. It is different from arbitrage betting, which implies a punter making multiple bets on multiple outcomes of a match with different bookmakers. Hedging involves transactions with one bookie.
Often described as "taking out an insurance policy" it is an effective risk management strategy.
By hedging your bet, you mitigate your risk of losing, and depending on how strategic you are, you can either end up with a guaranteed profit or at least, lose a significantly less amount of money than you would have with a traditional straight bet.
Hedging on outrights is probably the most simple way to go about the betting strategy. Let's say you bet a £100 on Barcelona to win the Champions League, at 10.00 odds.
The Catalonian side does make it to the finals, along with Manchester City. Currently, you stand you win a total of £1000 if Barca wins the league, and lose £100 if City comes out on top.
Now let's also say that the odds on the finals are as follows, and you have a slight change of heart.
Manchester City - 1.50
Barcelona - 1.80
This is a good opportunity to hedge your bets. If you stake £500 on Manchester City, you will get a total return of £750. So far, you've wagered a total of £600.
If Barcelona lifts the Champions League trophy, you'll win a total of total of £1000, and a profit of £400. If it goes the other way, you will have a £150 profit. Either way, you'll end up with a profit. Depending on how much you stake and the current odds, you can vastly improve your financial gains.
Hedging can be used for 1x2 bets as well. Imagine that the odds for a Chelsea vs. Tottenham Hotspurs match is as follows.
You bet £75 on Chelsea, but since you're unsure, you also wager £50 on Tottenham, meaning that you've staked a total of £125.
If The Blues win, your total winnings will be £135. If the Spurs win, your total will be £126. Unless the match ends up as a draw, your total profit at the end of the day will either be £10 (£135-£125) or £1(£126-£125).
Admittedly, that probably isn't the biggest profit ever, but it's something, and it's better than the alternative of losing money if either of the two losses. However, hedging your bets don't always result in a profit, because sometimes the odds aren't in your favor.
But it does substantially reduce the amount of money you could lose if things don't work out your way. In these circumstances, it can be a safe alternative.