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Spread-Betting is a different kind of betting, which involves a figure being set by a Bookmaker for an event, and if you choose to bet you can go higher than lower. If you think the figure they have stated will be correct then you don't bet.
This kind of bet is offered by specialist financial companies, so you can't make a spread bet at a normal Bookmaker. This is because there is a lot more risk involved in spread betting. Potentially you can stand to lose a lot of money from spread betting, as there is no limit to the amount you can lose. Probably the most common market spread betting is used for is the total goals scored market in football. Here they would set their predicted amount of goals, and you could buy (meaning you think there will be more goals scored than the figure stated), or you could sell (meaning you think there will be less goals scored than the figure stated).
The spread-betting firm could set a figure of 3 for the amount of goals scored. You could have a £ 20 bet that there will actually be more goals scored than this, so you would buy a stake of £ 20.
Then if say 6 goals were scored in the match, you would win £ 60. This is worked out by finding the difference between the predicted amount (3) and the actual amount (6) which equals 3. Then you multiply this difference by your original stake, so 3 x £ 20 = £ 60.
The spread-betting firm could set a figure of 10 for the total corners throughout a football match. You could have a £ 20 bet that there will be fewer than 10 corners in the match, so you would sell a stake of £ 20.
At the end of the match the actual amount of corners awarded was 18. You would have then lost £ 200 from your bet. The difference between the predicted amount (10) and the actual amount (18) which equals 8. This figure multiplied by your stake, £ 20, equals £ 200.
This is why spread-betting has such a dangerous reputation, as potentially there is a very high risk of losing a lot more than your original stake. If things go against you like they did above, your losings will inevitably spiral out of your control. This is why spread-betting is run by the specialist financial firms and not just ordinary Bookmakers, because of the risks involved. Usually before joining one of these spread-betting companies from their website, you will be subjected to a credit rating check. This is to ensure you are financially safe and able to become involved in spread betting, and therefore must have a reasonably clean credit rating.
Total Goals Explained:
As briefly mentioned before, the most popular market for spread betting is the total goals market in football. This is probably because it is the most exciting part of a football match, the amount of goals which are scored, and is the most important (no one is really that bothered about the total corners in the match), its far easier and more fun to predict the total goals in a match.
In my opinion the most confusing part of the total goals market is the figure which is set by the spread betting firm. Usually it is quoted as "2.4 – 2.7 goals." When I first saw this I was wondering how can there be .4 of a goal. Later on I realized that this is only to eliminate the possibility of their being an between-value. For example, if there were 3 goals quoted for a match, and you could only go higher and buy a stake, or go lower and sell a stake, what would happen if exactly 3 goals were scored? This wouldn't really be fair, as both sides of the bet will be eliminated.
Obviously the size of the figures quoted by the spread betting firm for the total goals scored market will be dependent on the amount of goals that they feel will be scored in the match in question. Though you may feel it wouldn't make a difference if the total goals quoted was 2.4 – 2.7 or 2.5 – 2.8, in the end these figures will define the amount of money which you stand to win or lose at the end of the match. Though the figures above do mean the same overall (you sell if you think there will be less than 2 goals and you buy if you think there will be more than 2 goals) and in the end they don't affect whether you win or lose your bet, as they mean the same thing. However when you come to work out your winnings, or loss, these figures are used in the equation by the spread betting firm. The difference between the predicted amount and the actual amount is multiplied by your original stake, this will define the amount you stand to win or lose, at the end of the match.
Obviously if you were to sell the total amount of goals, (presuming there will be fewer goals scored than the number quoted) you could stand to lose an unlimited amount (say 8 goals were scored in the match after you went lower, you would lose about 8 times your stake.) However if you chose to go buy, and go higher, your losings are limited to 0 (a goal-less match). This could typically be a loss of about £ 60.
So if you backed 2.4 – 2.7 with a stake of £ 20, and there were 5 goals in the match, you would win £ 46. (5 – 2.7 x £ 20).
However if you backed at the other spead betting firm odds of 2.5 – 2.8 with a stake of £ 20 again, and again there were 5 goals in the match, you would win £ 44. (5 – 2.8 x £ 20).
Therefore you can see that the spread betting firm offering odds of 2.4 – 2.7 on the total goals market felt there was likely to be less than 2 goals compared to the other firm which offered the odds of 2.5 – 2.8.
When you buy and go higher, this is when the higher bound from the odds are used in the equation to work out your winnings. If you sell and go lower, the lower bound from the odds are used in the equation to work out your winnings.
For example if the odds were 2.3 – 2.6 and you stake £ 20 and you buy (go higher) and there were 3 goals, you would win £ 8. (3 – 2.6 x £ 20)
If you stake the same amount and you sell (go lower) and there were 2 goals, you would win £ 6. (2.3 – 2 x £ 20)
By now you may be wondering how you can actually guarantee a profit from the world of spread betting, as in the end it really is 50:50 whether or not you win or not, and though you may fancy these odds right now you can be sure that when you do go wrong you'll stand to lose a lot of money.
The way you earn is very similar to the matched-betting process, whereby you go after the bookie's bonuses, as mentioned on the first page of the website. Spread betting is performed online at the firms websites, and these often offer sign up bonuses, just like normal online bookmakers.
You then sign up to one of these spread betting websites offering the bonus, and you counteract the bet which you make by using another spread betting website. Usually you do this to lose a set amount of money when qualifying for the bonus available, but usually you can earn about% 80 or so of the bonus as your own money to keep.
There are usually a handful of spread betting firms available online that offer cash bonuses after you have risked a certain amount of your own money. You will need to find two of these firms to begin with, and at least one of them needs to offer a bonus as this is what you will be trying to earn. You can probably find these firms listed on the cashback sites which are linked to from this website, and at the bottom of this article. If not you can probably just search Google, but make sure you sign up via a cashback website, as you'll earn far more money.
When you have found an offer to go after at a spread betting firm, make a note of any set amounts which you have to risk, as this will be an important factor to take into consideration. The idea is to buy a certain amount at one of the firms, and then counter this at another spread betting firm by selling a certain amount. This will no doubt mean you lose a tiny amount of cash, but you will make yourself elligible for the cash bonus (aslong as you have met the certain criteria).
Usually the way this will work is that at one firm, you will have to pay out an amount that corresponds to the amount of goals scored. If lots of goals are scored, you will have to pay out a lot if you sold (went lower). However by the method mentioned above, this will be opposed by winning an equally large amount at the second firm (you would have done the opposite to the other firm, in this case you would have won a lot because you brought (went higher). These two will cancel each other out, meaning you haven't won or lost anything (may have lost a few quid, but this is because its hard to get an equal match as the different firms will offer different odds no doubt). have hopefully then met the firms criteria, and the cash bonus would then be yours, as well as any cashback earned from signing up.