Well, tennis betting is an exciting activity – instead of staring into endless graphs, you are watching a refined sports match. In this section, however, we look at tennis betting from the perspective of earning regular investment income. There exist multiple investment alternatives for those wishing to grow their wealth. Each of them has its advantages and weaker sides, which makes it suitable for specific groups of investors. Tennis betting, in particular, offers the following benefits as compared with other investment alternatives:
- If performed sensibly, tennis betting can offer above-average profitability for a given level of risk
- You are betting on understandable actions of real people, not financial paper backed by dubious obligations
- Betting on tennis matches is more reliable and easier to manage since only two players are involved and there are no “draw” outcomes
- Returns from tennis betting are not correlated with financial markets or other income sources, which means that they make your overall income stream smoother
Tennis betting is also not for everyone, yet it is definitely a diversification option worth considering for investors who have medium-term horizon (at least three months) and are fine with short-term volatility in return for above-average profits.
The most common investment vehicles are bank deposits and financial markets. Deposits and savings accounts are commonly perceived as one of the safest ways to hold cash, despite the events of the last financial crisis (as well as other historical recessions). Yet even if we set aside the possibility of a bank run, deposits have another disadvantage: they yield little interest. Two, four, maybe five percentage points per year – you need a really large pile of cash to earn something meaningful at such rates.
Financial markets are more versatile and offer a wider range of opportunities for growing your wealth, from stocks to currencies to commodities. When approached wisely, these instruments may yield double-digit annualized returns, yet require certain specific knowledge and experience in order to stay successful. The risks associated with stocks (and especially foreign exchange) are also higher than those of bank deposits – it is quite possible to lose a half or even a larger fraction of your money in a matter of hours.
The authors of the TennisBettingPro prediction service have considerable professional and personal experience of investing on financial markets – so why are we betting on sports? Oddly enough, one of the main reasons is exactly our understanding of the functioning of financial markets!
In a nutshell, financial instruments are almost exclusively ephemeral. Currencies are essentially papers issued uncontrollably by central banks; stocks represent a share of a company’s future profits, which may or may not realize (not to mention that companies tend to go bankrupt from time to time); oil or gold futures traded on financial markets are as close to real oil or gold as a picture of a steak is to a real piece of beef.
Sports betting is somewhat different in this respect – we are not betting on a random-walk fluctuation in the price of a paper, but on the skills and will of a very particular person. Of course, there is always an element of luck in sports, as in any other type of investments – this is why we are not claiming to offer a holy grail. We aim at offering a stable investment vehicle with an attractive risk-return profile backed by understandable and tangible actions of real people.
What is more, sport bets are not in any way correlated with the movements of financial markets, which makes them a fairly interesting diversification opportunity for those already invested into stocks, bonds, mutual funds, pension funds or other financial products.
Betting on tennis has several important advantages over other sports, which makes it a more stable source of income. In particular, a tennis match is played by two or four people at a time – as opposed to e.g. football or basketball; this means that one needs to keep track of individual professionals, not entire teams – which reduces distractions to pre-betting analysis stemming from team dynamics.
Moreover, there can be no draws in tennis matches – the only situation with no winner is when one of the players cancels the match. This means that there are only two possible outcomes to consider when placing a bet. The most reputed bookmakers return the original bets to the bettors in case a match is cancelled (we highly recommend placing bets via one of those bookmakers; see our small hand-picked list in the “Bookmakers” section). Fewer participants to track and no draws make tennis a very convenient sport to bet on, allowing for more stable profitability.