The sports betting market has been significantly influenced by its financial counterpart. Spread betting is a different type of wagering compared to fixed odds betting and differs in definition from Asian and European handicap meaning. In fact, the complete betting terminology, including most slang phrases, is directly derived from stockbrokers.
This betting option is gaining attention among bettors and is increasingly offered by online bookmakers across various sports.
Spread Betting Explained
Placing spread bets means that you expect to gain profit, but not within the classic “win” or “lose” scenario. Instead, the definition of spread betting bears a higher resemblance to the various financial markets.
A bettor engaging in spread betting is required to think and act exactly as if they were in a stock exchange. Their daily routine involves trading outcomes like goals, cards, and corner kicks as if they were shares or foreign currency, where prices continuously fluctuate. In sports betting, you deal with various outcomes, such as developing a late goals strategy in football or wagering on points and rebounds in basketball.
Key Terminology: Buy, Sell, and the Spread
Spread betting requires two different lines, similar to stock markets: a “buy” line and a “sell” line.
- The “buy” line is always bigger than the “sell” line.
- The difference between these two lines is the “spread,” as defined in financial language.
- In betting terminology, the “spread” is actually the vig—the money any online bookmaker is guaranteed to earn, similar to fixed odds betting.
When you place a spread bet, you are influenced by the initial line and the final score of the match. The higher the winning difference, the more money you will make. Unfortunately, the opposite also applies: the bigger the losing difference, the more money you will lose.
This type of wagering differs significantly from Asian Handicap (AH) betting, where you don’t have to deal with time-consuming evaluations of odds and lines. Although it may look like AH betting because you choose between two lines, when you “buy” or “sell” a specific line, you take the risk of a huge win or a huge loss.
How Profit/Loss is Calculated
The calculation of your profit or loss is decided by two main variables: the amount you have placed on your bet and the difference between the spread line and the final score.
The bookmaker always offers two lines. For a typical football match, the basic lines might be 2.5 (sell price) and 2.7 (buy line). For a basketball match, the lines should be around 160 (sell) and 163 (buy).
Placing a bet on the “sell” price is similar to an under decision (e.g., under 2.5 goals), and placing a bet on the “buy” price is similar to an over decision (e.g., over 2.7 goals).
Example: Football Goals
Suppose a bettor places a €10 bet on the “sell” price of 2.50 (a low-goals scenario).
- If the match ends goalless (0 goals), the win is: €10 x (2.50 – 0) = €25.
- If the match ends with one total goal, the win is: €10 x (2.50 – 1) = €15.
- If the match ends with 3 or more total goals, the bettor loses. For a six-goal match, the loss is: €10 x (2.5 – 6) = -€35.
Conversely, if the bettor bets on the “buy” spread line (2.70):
- In case of a six-goal match, the win is: €10 x (6 – 2.7) = €33.
Example: Basketball Points
Basketball handicap betting is considered far riskier than football because the total points are harder to predict.
If a bettor places a €10 bet on “sell” (under 160 points):
- If the match ends at 140 points, the win is: €10 x (160 – 140) = €200.
- If the match ends at 175 points, the loss is: €10 x (160 – 175) = -€150.
High Risk and Financial Markets Similarities
Spread betting is technically more of a spread trading procedure, exposing bettors to a stock exchange-like philosophy. Choosing it as your main betting type is generally acknowledged as a risky decision and is better reserved for professional betting.
One of the greatest dangers is that you cannot predict your losses in any way. Unlike fixed odds betting, where you know exactly how much you might possibly lose, in spread betting, you never know how much you might actually lose, meaning you might have to deposit more than you initially planned.
This high-risk/high-reward structure is particularly tempting to players who gamble a lot because, technically, there is no win limit. This option allows bettors to potentially achieve the high payoffs they might have missed when choosing a more conservative fixed odds line (e.g., winning an over 4.5 bet at 5.00 odds instead of an over 2.5 bet at 1.90 odds), though it comes at the price of far higher risk.
Spread Betting vs. Betting Exchanges
Many novice bettors often confuse spread betting with exchange betting. While both types utilize “buy” and “sell” lines in their sets of odds, a betting exchange is a wholly different market.
The main distinctions are:
- Certainty of Profit/Loss: In exchange betting, once a bet is “matched,” both sides know exactly how much they will win or lose, regardless of the final score or point spread. In spread betting, the profit/loss is variable and depends on the final difference.
- Line Stability: In a betting exchange, the odds change every minute in live betting, but at spread betting, the lines always remain the same.
Finding Reliable Spread Betting Sites
For bettors interested in this market, it is possible to find the best betting sites for this particular wager that offer the highest prices for applicable sports like football or basketball. When selecting a site, it is advisable to choose a well-known and respected sportsbook over an unverified bookmaker that might offer a huge welcome bonus but could be a scam.
Online bookmakers may offer a variety of services, including betting guides, bookmaker reviews, bookmaker ratings, and various betting bonuses for both new and existing players. Some bookmakers offer support for various payment methods such as Bitcoin, VISA, Mastercard, PayPal, Skrill, and Neteller. Additionally, bettors can access exclusive betting bonuses, 24/7 pre-match and live predictions, and €1,000 in monthly giveaways by joining bookmaker communities.