What units are and why many tipsters are using them!
Through the years I have spent in the betting industry I noticed that new or casual sports bettors struggle to understand what a unit is and why so many tipsters are using in their practice. I will explain what units are and their importance for your success. Further, I will provide some basic example so everyone can learn what staking units are. In case you enjoy what you are reading please share it on your favourite social media.
Units staking is an international term and it used from the majority of the tipsters for few major reasons:
- Standardize the bet sizes quoted from tipsters
- Protect us from losing our entire bankroll
- Reduce the psychological pressure during losing runs
- Measure the performance of the tipster so we can benchmark
Why tipsters quote their predictions in units? As most of you already know money management in sports betting is from crucial importance in order to achieve profits in the long run. However, different punters have different money management preferences — some of them are willing to take bigger risks while others are more risk averse. Tipsters don’t know the money value of the bank sizes of their followers, so they have to offer their services in a unified format. Therefore, units staking is used to standardize tipsters’ staking size, but also to protect punters from losing their entire bankroll in a few bets.
For example, if my betting bank dedicated to a certain tipster is £4000 and his recommended bank is 100 units that means I will be risking £40 per unit. It is extremely easy to calculate how much money you are risking per one unit, simply divide your entire bank dedicated to this tipster to the number of units he recommends. In mathematical terms: £4000/100 = £40. By doing that you can see what is the percentage of your bank that you risk per single bet £40/£4000 = 0.01(1%). Nevertheless, if you are not that much of math guy Bettingmetrics does all the calculations automatically for you. Try it now.
There will be another person who follows the exact same tipster with a different bank of £2000. In that case he is risking £2000/100 = £20 per unit. The given tipster might have 2 subscribers or 2000 subscribers. Therefore, there is absolutely no way he can know what the betting banks of each individual who follows him are and adjust the stake for every single person. So instead of quoting the recommended stakes in money value the tipster will quote them in units in his email. In this way all people following him can adjust their stakes accordingly.
Another, really important reason why tipsters quote stakes in units is to protect sports bettors from quickly losing their banks. The case here is pretty straightforward. At the end of the day tipsters are the people who are spending numerous hours building betting models, analyzing events and much more. They know their betting strategy extremely well, so they have the highest chance of building the appropriate money management strategy. Tipsters can accurately predict the longest losing runs and know how to protect their followers from them. So do not be surprised if in occasionally you are risking 4 units instead of 2, there are some strong reasons behind this decision.
Being a successful punter which effectively means that you are beating the bookmakers translates to the following: you are extremely disciplined, have and stick to a certain betting strategy as well as have exceptionally strong nerves and patience. Through my years of experience I have seen many people having almost everything in place but not the right psychological approach to losing runs. Clearly sport betting is very volatile activity ant are plenty ups and downs on the way to profit.
It is extremely hard to deal with losing runs when you are following a tipster, especially if the losing run occurs during the first month of your subscription. It is a simple psychological trick but it does work and has helped many people.
Imagine you are having a betting bank of £4000 and you have lost £1000 in the first month, surely you will not feel okay simply because it £1000 is a lot of money. Now imagine exactly the same scenario but you lost 25 units out of a 100. Well how does it feel — I assume slightly different, right?
Last but not least, worth mentioning that quoting stakes in units help us to evaluate the tipsters’ performance. It can give us a clear idea of how good a given tipsters is, has this tipster been a good fit for us, what is his turnover compare to ours and many other statistical metrics we can use to identify whether we should keep on following him.
Bettingmetrics and units
Here at Bettingmetrics we aim to provide the best possible sports betting portfolio management software on the market. We want to offer the product that can fit all punters needs as a result of which we have developed a feature that allows you to quickly switch you bankroll settings from currency to units. There is a short video below that explains how to do it — it pretty easy and straightforward process.
Perhaps worth mentioning that Bettingmetrics support many other useful features such as auto bet settlement, import Betfair exchange betting history, custom tipsters and strategies, live and lay bets and many others!