Money Management Tips for Horse Racing Betting

By Bill Peterson

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While the skill of being able to accurately evaluate each horse's chances of winning is essential to making money betting on horses, the best handicapping in the world is useless if you can't also manage your money well. I often say that good money management will get you through a tough run at the races better than good handicapping will. When you think of wagering on horses as an investment, it only makes sense that how you use your bankroll is crucial to success.

It's the same in any other form of investing, after all, that's all investing really is, moving money around and putting it where it is most likely to earn a favorable return. So here are a few thoughts on using your bankroll the very best you can. If you've been handicapping the horse races and still losing money, you might want to think about improving your money management rather than trying to learn that next horse racing angle.

First of all, the number one reason that most businesses, including horse racing ventures, fail is being under funded. If you are betting with the rent money or making two dollar bets and hoping to make a living, it just isn't going to work. You must be realistic and understand the kind of money the successful professional handicappers spend in order to eke out a living.

If 10% is a good return for a horse player, how much do you need to wager in the course of a year in order to make $100,000? The answer is $1,000,000. That's a staggering sum for most people, but it's true. Of course, if you only wish to make $10,000 then you need only wager $100,000. For most people that figure is out of reach.

I always advise people to never wager with money they can't afford to lose. This is a very risky business and there are no guarantees. Don't risk your life's savings or money you need for your retirement. When you do wager, bet in increments that are based on your total bankroll and on the amount of that figure that you have set aside for one days wagers. An example would be that if you have a $1,000 bankroll, setting aside $100 for a days bets would leave you $900 for the next day. If you lose the entire $100 and have $900 left, then use 10% of that the next day so your new daily limit would be $90.

An alternative to actually wagering and risking your money on the horse races is to enter handicapping contests. These competitions are becoming more and more popular and if you manage to make it to the final rounds, there are some big prizes including big cash. For a small entry fee you could walk away with a small fortune and you won't have risked much. While you play in the tournament you'll also be sharpening your handicapping skills for the day when you have the skill and bankroll to become a true pro.

If you want to learn how a horse owner and insider handicaps just go to http://williewins.homestead.com/true.html and get the truth about betting on horses and winning. Bill Peterson is a former race horse owner and professional handicapper. To see all Bill's horse racing material go to Horse Racing Handicapping, Bill's handicapping store.

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