Hedging in Sports Betting — Step-by-Step Guide & Transcript

[00:00] To hedge or not to hedge? That is the question. Whether it is nobler to see a bet all the way to its conclusion or to take a profit and run. These are the important questions. Also, what is a hedge?

[00:12] How does it work and when should you do it? Well, don't worry. You came to the right place here at Betting Pros because me, Joey P., is going to take you through what a hedge is, when to use it, when not to, and how you can end up being profitable with it

[00:24] because that's what we do here at Betting Pros. We make you a better, smarter bettor. So before you watch this video, make sure you like this channel, subscribe, and also ring that bell for notifications for more betting input, insight, and, of course, winning, because that's what we like to do around these parts.

[00:41] So, what is a hedge? Well, let's dig a little deeper. What the heck does a hedge have to do with sports betting? A row of bushes or small trees planted close together that sometimes forms a fence or boundary seems to have very little to do with wagering money on the game.

[00:57] Well, by this definition, it has nothing to do with sports betting, unless maybe some prop bet is being placed on the Stanford Cardinal mascot. Discussing shrubs is a lame way of introducing hedging in sports betting, but it doesn't take away from its importance.

[01:11] Hedging is a massive part of becoming a successful sports bettor. And if you want to be a successful sports bettor, Betting Pros is a great way to start getting the best out of your best, so download the app today.

[01:23] But first, let's dive into what is hedging. It's critical to understand what hedging a bet actually means before even thinking of profiting from it. Hedging a bet means placing a bet or bets on a different outcome or outcomes

[01:36] subsequent to an original bet in order to create a situation where there's a guaranteed profit whether the original bet wins or loses. For example, say a $100 bet with even odds was placed on the Green Bay Packers to win versus the New England Patriots.

[01:50] A Packers win would net a $100 profit. The Patriots may have started as slight favorites to win hence the Packers having even odds But say the Packers hop out to a nice 17 halftime lead All of a sudden the odds are going to swing a major lead in the Packers favor

[02:07] Now, the better could ride out the original bet. Conversely, the better could decide to hedge, facing a 17-0 deficit against a good team. The Patriots are short of the underdogs. Maybe the line has gone up to plus 300 for the Patriots to win.

[02:21] Under this scenario, the better could throw $40 down on the Patriots to win. A $40 bet would net a $120 profit. So if the Packers won, this bet would win a $60 profit.

[02:33] If the Patriots won, this bet would win a $70 profit, creating a win-win scenario. Hedging can be incredibly profitable and risk-reducing. The Packers and Patriots example is just one easy way to explain what it is,

[02:46] and many more effective examples of hedging do exist. So when should you hedge your bets? Sports betting never stops, especially for sports betting experts. The old adage is, you should bet it and forget it, is far from the truth.

[03:00] So, when are the best times to hedge a bet? Futures. Future bets are the perfect opportunity to hedge a bet and limit risk, yet still can be profitable. Quite simply put, a hedge bet becomes more logical as the original futures bet gets closer to winning.

[03:16] Take, for example, a better place in a $100 bet on the Baltimore Ravens to win the Super Bowl before the season starts. This type of bet would obviously have a high risk, but would also have a high payout. In reality, a 2024 preseason $100 bet on the Ravens to win the Super Bowl would net about a $1,000 profit.

[03:34] If the Ravens don't make the playoffs or lose early in the postseason, the better is out of luck. But if the Ravens make it to the AFC Championship Conference game or the Super Bowl, it's time to consider hedging your bet.

[03:47] With about a $1,000 profit on the line, the better has some wiggle room. Say the better decides to wait until the Super Bowl to hedge. The better can then take any money from that potential profit and place it on the opponent knowing that one of the two teams has to win especially if the Ravens are favorites This guarantees the bettor has a very nice profit regardless of the outcome

[04:09] Parlay bets are the next most common type of bets to hedge. A parlay bet is a series of single bets that link together and is dependent on all the wagers winning. A much higher payout is received if all the wagers are won

[04:22] than would have been received if the bets were placed individually. They also might be the easiest type of bets to explain hedging with. The higher the risk versus reward for a parlay bet, the more likely a bettor should be using hedging.

[04:35] A small, low-risk parlay bet should not be hedged. On the other hand, hedging should always be taken into account with a high-risk, high-reward parlay. Obviously, the further along a parlay bet reaches, the higher the odds of winning become.

[04:50] Take a four-bet parlay, for instance, where the first three bets hit. Well, the bettor now has to win only one more wager to net the whole parlay profit. Under this scenario, a hedge bet placed on the opposite outcome than what the parlay needs to win makes sense.

[05:06] Changes in opinion can also constitute a time to hedge. The next bettor who has a change in heart will be far from the first or the last to ever have done so, especially in long-term bets. Opinions, preferences, and even players and teams can change.

[05:19] Sometimes these elements change before the odds do. A hedge is not smart if the odds are so bad that the bettor is still guaranteeing themselves a large loss either way. Again, things can quickly change in sports, as we all know,

[05:32] but if the odds are still there, hedging a bet based off a change in opinion can also be quite useful. Live betting is one final way hedging can be used. Any live in-play bet just means a wager on a game that is currently taking place.

[05:45] Let's use that earlier example of the Packers and Patriots. At any point in a live game wager where the odds of a hedge can be bet to guarantee the better profit, hedging should at least be taken into consideration.

[05:57] And if you want more information on how and when to bet live games well check out bettingpros because we offer articles and advice up odds everything you possibly need to make your in betting experience a profitable one

[06:11] Now, it isn't always a right or wrong way to use hedging, and that's why it's so tricky. It's perfectly acceptable to let a bet ride all the way to its completion, win or lose. It's also perfectly acceptable to hedge a bet and guarantee yourself a profit,

[06:24] albeit a smaller one, potentially. Tools like the Betting Crows app exist to help figure out the best times and opportunities to hedge. Some experts will say to hedge when a certain amount of percentage of a profit can be guaranteed.

[06:37] What's possibly the best advice? Judge each and every situation by its own characteristics. A bettor could hold off on hedging if they have the utmost confidence in their bet. On the flip side, a bettor could pounce on an opportunity to hedge if they feel that they've gotten lucky.

[06:54] Each and every bet has its own unique characteristics and should be treated as such. Regardless of the situation, the most experienced sports bettors always have hedging as an option on the table. And with almost any type of bet, hedging is a strategy that can not only help you get a solid return, but also mitigate some risk for you.

[07:12] So there you have it, everybody. I hope you enjoyed some of our work today about hedges. Of course, not the green type that go in front of your lawn area, but the green type that goes in your wallet. That's the type of hedge that I'm more concerned with.

[07:24] And if you like this video, subscribe to Betting Pros YouTube channel for more content like this. We've got incredible short-form, long-form videos and live action here right on Betting Pros YouTube. And don't forget also to go to BettingPros.com and download the Betting Pros app so you can start betting smarter and not harder.

[07:41] I'm Joey Ping, and that'll do it for me. Thank you.