The current trend in the financial markets, both fixed and variable income, is leading some small and medium investors to be looking for alternatives to make their available capital profitable. And one of them is based on sports betting as an innovative way to have a Extra money every year. However, this is a serious mistake made by these users because this activity cannot be understood as an investment in the classical sense of the term. If not, on the contrary, it is a game and nothing more.
On the other hand, you cannot forget and if you are faced with the dilemma of opting for a digital sports betting platform to invest your money that this alternative can generate a serious gambling or excessive dependence on gambling. In this sense, the data of the government of the Community of Madrid are very eloquent in showing that the betting houses are skyrocketing. And with them the addiction to this new type of game that is leading to gambling problems for some of the users.
According to these data, this type of premises have grown 320% in the last five years in Madrid, going from 4.227 in 2013 to 17.735 at the end of 2017. This is a trend that can be exported to other geographical areas of the country. Given this scenario, the greatest danger of these activities is taking these recreational activities as part of an investment. Because unlike other classic investment models, in this one you can lose even the last euro. That is, everything you play or invest in predictions in different sports competitions.
Sports betting: their differences
There are many differences between sports betting and investments in the literal sense of the word. For example, this kind of very special bets are based mainly on chance and not on an analysis of a product or savings models. Therefore, it has to do more than other kinds of games that are part of fun, leisure or even entertainment. Not surprisingly, in this segment there are no valuations or even price training. Just the variation of fees of sports betting that is the factor where the profitability of the player resides to the bettor.
On the other hand, different indicators reveal that the gambling business is spreading its wings in the economical crisis. That is, with a very well-defined user profile as it is a person with financial problems and who tries to solve their problems with their predictions in the sports sector or even other recreational activities. This is a small or big difference that you should take into account from this moment on. Because you are risking a lot if you take sports betting as an investment. Come on, almost equating it for example, with the purchase and sale of shares in the equity markets.
Bettor Profile
In this sense, the General Directorate for the Regulation of Gambling, dependent on the Ministry of Finance, prepares annual reports on the sector and the players. The profile is very well defined: the average player is a man between 18 and 43 years old, who lives with a partner and has a low income level and studies. In some cases, they choose it as an alternative to products intended for investment or the promotion of savings. For example, investment funds, purchase of shares, fixed-term bank deposits or high-income accounts, among some of the most relevant.
It cannot be forgotten that in sports betting there is no fixed or guaranteed return. At no time, if not, on the contrary, everything depends on the luck factor. Without other exogenous or endogenous conditioning factors. For this reason the risks are higher and can lead you to leave a good part of your savings in this class of products so special and dangerous at the same time. Beyond other considerations of a technical nature and perhaps also from the point of view of its fundamentals.
A high supply and expanding
It must also be taken into account from now on that the markets currently covered are almost infinite. Not only to all kinds of sports activities, but to other activities until recently unexplored by digital platforms of these characteristics. For example, chess, surfing, snooker, paddle, among some of the most important. As you will see, the possibilities are enormous and therefore the risks grow exponentially already to levels that can become very worrying for a large part of the users.
On the other hand, it not only offers users the possibility of betting on sports, but it is also open to other markets and modalities in the game. For example, match warnings, goals of a specific player, number of corners, trophy or league winner, team that will be relegated or any incident that takes place in some of the events scheduled on the international calendar. Everything is susceptible to be bet by the clients of the bookmakers.
Risks in actions
In any case, it should be noted that this class of activities should not be considered as part of the investment sector. Not much less because it can lead to serious complications from now on. It is part of what recreational activities are and that depends on luck or sometimes even chance. It is true that you can earn a lot of money in the operations carried out, without limits, and depending on the quota that the bet has and of course the amount that is played. But also losing the money, not only a part of it, but in this case it can be the total amount that is available in the account.
Another negative effect of this kind of activity is that encourages gambling. Not surprisingly, the profile of users who choose these games is that of people who have serious financial difficulties and hope to solve their problems with a little luck through their bets on different sports. Reaching a level that is doubtful can hook more than one user as warned by the authorities in charge of ensuring the interests of citizens. This is something you should consider before placing your first bet.
Income from the betting industry
Either way, this is a segment that carries many millions of euros into its operations every day. In this sense, it should be noted that the gaming business in general has grown for the third consecutive year, since in the last year 9.408 million euros were gambled. In practice, this data represents an appreciable increase of around 6% compared to the last year.
On the other hand, 94% corresponds to the face-to-face segment and 6% to online activity, that is, through digital betting platforms. However, the most growth has been in the online channel, with more spectacular increases of 30%, and the increases are relatively similar in all games, except for contests and poker. As can be seen, it is a sector in clear expansion and that does not understand the economic crisis. If not, on the contrary, it also benefits from these recessive scenarios.
Face-to-face and online formats
Face-to-face and online sports betting They are the form of gambling that has grown the most in Spain in the last year, along with the ONCE instant lotteries. While on the other hand, game rooms They are in third place, while casinos and bingo halls remain stable with a slight growth close to 4%. Although one of the most relevant data on this new trend in consumption lies in the fact that there are more than 800.000 people who bet money online on a recurring or regular basis. As one of the main novelties presented by this sector in clear strength in recent years.
While on the other hand, it should also be noted that face-to-face sports bets have grown by 10%, but that increase has been considerably exceeded because several communities have opened their market in 2017, especially in Asturias. In any case, these are data that are quite stable in all the autonomous communities of the state, with small differences from one to the other. Where, finally, other of the most relevant data on the Indian sector that in the last year there were more than three million people who have visited one of the 3.150 gambling halls.
In some cases for mere pleasure, but in other cases looking for an alternative to investment with the desire to make profitable their savings in a very fast and expeditious way.