Many members ask us what is the best method for bankroll management and implementing a good solid staking plan. We will provide with you all the information you need to make good decisions with your staking and bankroll management.
If you are investing your hard-earned money into horse racing you should be doing it for fun. At the same time, you should treat it as an investment that you would rather not lose. By doing this you will already have an advantage against most punters out there.
- Bankroll Management – Increase profitability and reduce risk by staking correctly
- Bankroll size – How big should your bankroll be.
- Staking Plans – Decide correctly and strategically how to stake your investments
- Losing runs – learn how to stake correctly for risk reduction
- Bet tracking – Use your MyTm page as a base for bankroll management and bet analysis.
Bankroll Management
A Common Mistake
The first and most important thing to understand is that you must be prepared to lose your WHOLE KITTY.
If you are not, you cannot stake correctly.
You would be amazed at how many people, when asked how much of their bankroll they are prepared to lose say anything other than 100%.
It should be about enjoying the experience and having fun without pressure.
There is no point in a staking plan that allows for a 100 bet losing sequence if you are not mentally prepared to lose 100 points.
Having a £100 bankroll but only being prepared to lose £50 is just silly.
Decide how much you are prepared to invest into a Horse racing Kitty with the knowledge that you could lose it all.
Bankroll Size
Firstly. You should not bet on anything if you cannot afford to lose the money in the first place. Please, please think before you bet and if you feel you have a problem do not join our service. Betting on the horses is not an exact science and you are highly likely to lose.
Betting should be fun. Even if you take it seriously, as many of our members do. Feeling the pressure of every losing bet is no good for you or your profitability.
We strongly suggest that you use a betting bank of at least 100 bets (points).
You must be willing to continue with your staking plan. Even if you have lost half or even most of your kitty.
Losing runs happen. If at the start of your journey, you are prepared to lose your whole bankroll, this should not affect your staking strategy. Remember you can always start again.
If you lose your entire bankroll due to a terrible run, you should have the ability to shrug it off and start again.
Take the opportunity of looking back at your selection processes and or staking plan and try to figure out why your selections have not been performing.
Staking Plans
There are literally hundreds of staking plans available out there these days.
At TrackMate we advocate a simple but highly effective staking plan strategy of betting 1% of our initial betting bank on each selection.
There are two highly effective strategies you can use when deciding when to increase stakes.
- Set your stake at 1% of your bankroll every day. Keep all bets the same size for that day and reset to 1% of the new balance the following day.
- Set your stakes at 1% of initial bankroll and only increase stakes when your bankroll hits preset milestones.
For example:
Conservative compounding staking plan
Starting bankroll is £200
Bet size should be £2 per race and you should stick to this until your kitty reaches £300 or busts (100 bets)
When your bankroll hits £300 you increase stakes to £3 (still 1% of the kitty) when your kitty hits £400 you start staking at £4 and so on.
If you hit a losing run and your kitty hits the starting point of £200 again you drop back to £2 stakes.
In this strategy as your bankroll increases so does your ability to absorb longer losing sequences. By the time you have made 50% profit. Your balance is now 150 bets deep.
This is a sensible and structured approach to staking.
Aggressive compounding staking plan
Although this is still a fairly conservative staking plan as your bankroll should still start at at least 100 bets it is just slightly different to our more cautious approach above.
This staking plan allows for daily stake sizes to be determined by the daily balance as long it’s above your bankroll starting size.
As long as you are in profit the stake is set daily at 1% of current bankroll balance.
If you are not in profit you level stake 1% of starting balance.
For example:
Starting balance is £200
Bet size should be £2 per race and you should stick to this until you are in profit or your kitty busts (100 bets).
As soon as you are in profit, your stakes increase in line with your balance but stay at 1%.
If your kitty reaches £210. Your stakes the following day would be £2.10
If your kitty drops back to £200 or below you resort to level staking £2 until you are in profit again.
This is an incredibly profitable staking plan.
These rules are not set in stone but if you follow this practice you will get a lot of fun for your small initial investment.
Who knows maybe next season you will be able to start with a much larger starting kitty!
losing runs
There are so many variables to consider and endless unforeseen events occur which could alter the outcome of a horse race so bankroll preservation should be top of your list.
You can see from the below table the potential losing sequences you can have with the specified strike rates. It is always best to have as big a bankroll as possible and start with small stakes.
As you can see. Even a 35% strike rate, which is incredibly high can endure losing sequences of up to 20 consecutive bets and we would always double this number at least in order to comfortably cover these inevitable runs.
It happens. Get used to it.
Bet Tracking
One of the most important ways to maintain a proper bankroll management strategy is to incorporate a strict routine for logging your bets and results.
How else can you keep track of all your investments.
By keeping a record of all your bets you have the ability to spot “leaks” in your strategy and correct them when you spot them.
You will find on your personal myTrackMAte page that all bets and stakes that you log in your MYslips are trannsfered automatically into and logged into your bet history page.
All bets in this log are automatically updated daily with results and will keep a record of your profit/Loss figures as well as your strike rate and ROI.
This incredible tool is available for all TM members and will help you manage your bets better than ever before.
