I've been trading bets on Betfair's exchange for a few years. Initially I started trading part time on the weekend as a hobby, this then turned into evenings after work too. It wasn't long before I realised my time was better spent at home trading bets full time, watching sports that I love, rather than going to work every day. On a financial level it has proved to be extremely rewarding - not to mention working nearly half the hours I used to. Being my own boss and having the freedom of extra time off has changed my life.
Trading bets on the exchange can work in many different ways. You can either; take the longer term view, or look for a quick profit in the dying seconds. The only thing that matters is that you manage to predict the correct direction that the price moves whilst getting both of your bets matched, that's it!
So how exactly does it work?
If you look to the Betslip on the right of the image below, you can see my initial bet backing the horse to win is at '8' (this means 8.0 as a decimal or 7/1 as a fraction) for £100. Below that is my lay bet on the same horse at '6' (6.0 or 5/1) for £133.30. So essentially I am betting for the horse to win at 7/1 and betting for it to lose at 5/1, and then pocketing the difference in the process. Have a look at the markets yourself, you'll see that this kind of price change is very common.
Looking at the potential profit or loss outcomes below each horses name in green, you will see that it's a win-win situation making a cool £33.30 whatever the outcome of the race. Now that's just one race, often there are 20+ races in a single afternoon. Quickly you can start to see why I gave up my day job to do this. Try playing around with the odds and values for yourself to see what the possible outcomes may be.
The great thing about this way of betting is; if it's not going how you predicted you can just limit your losses, but if it is going your way then you can allow your profits to run. This can be during the race or prior to the start. You don't need to be an expert either, I started doing this because I would often lose money just betting on the horses. You don't need to be a racing enthusiast, I knew very little about the sport and still don't know a great deal now.
In future posts I shall give more of an insight into what I do on a regular basis, hopefully showing you how you can make the most of the exchange for yourself.
If you wish to contact me - you can on Twitter: @CaanBerryTrader
For a selection of Betting Apps for Betfair.com please see the Betfair App Directory