Gambling Profits by Colin L. Wolfenden - HTML preview

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Gambling is to some extent looked on as a negative thing and is often seen for the most part as a habitual problem among ironically the poorest people of the community. Although many political leaders and other notable leaders in the media have posed the questioned “why would the poorest people spend money they can ill afford to loose on a habit with such a small chance of winning?” the answer is quite simple. When you are poor and have little or no chance of making a good life simply by your hard work alone then the only chance you have is that small chance offered by a lottery, jackpot on the slots, long shot at the races, or some other form of gambling with a high return for a small outlay. Every one of us has a dream to live a good life and have nice things and this becomes even more so for the poor with such a wide gap between the wealthy and the poor of our society making the mental and emotional frustration from knowing that you can never have those things even more of a driving force for the poor to find some way of getting those things. Even if that chance is extremely slim.

Gambling Vs Investing

What is the difference between gambling and investing? Most people would think this is a strange question and respond by saying that investing is increasing your money by placing it into well known investment vehicles (such as banks, stocks, houses etc), whereas gambling is putting money into things such as games of chance that have little chance of returning anything. Would you agree with this analogy? I don’t, because it’s a simplistic explanation which is somewhat untrue.

This guys crazy I here you say, (well maybe I am just a little :-) but let me ask you this. What is the difference between someone who buys $1000 worth of stocks in XYZ company because Joe down at the local pub said he heard their stocks were about to go through the roof and a guy who places a sports bet on a football team because “the word is” that they have some secret game plan that cant fail? Answer, absolutely NOTHING. Both of these scenarios are GAMBLING plain and simple. Even though the stock buyer put his money into the stock market which is generally accepted as an “investment” vehicle, what he did is still gambling. Many people invest money on the stock exchange using methods such as their own ideas or feelings about a particular stock or company and consider this investing; however in reality they are gambling.

Can Traditional Gambling Mediums Be Considered Investing?

Given our previous scenario proving that traditional investments can be as much a gamble as the lotteries, horse race betting, slot machines etc; can traditional gambling mediums be considered as an investment? To answer this question let us consider why we think of the stock market as an investment. One reason is that there are many people who do make returns from investing in the stock market and some people who even make very lucrative incomes from investing in the stock market. So part of the reason we think of the stock market as investing is because there is proof available to us via the media, and even perhaps friends or relatives have made some money in the stock exchange.

When we think of traditional gambling mediums however most of us usually know many people who simply loose money via these methods and rarely have any form of return. Let’s consider the other aspect though. Are there people who make a full time income from traditional gambling mediums? The answer is, absolutely YES. Are these people exceptionally lucky in some way to the point where they can make a good income from traditional gambling? No, absolutely not. You’d have to be the luckiest person in history to be able to make an income from gambling simply by luck alone. So how does a professional gambler make an income from gambling if it’s not by some magical talent or luck? He does it in the same way that a professional stock market investor does it. To understand how though, we first need to understand the real distinction between gambling and investing.

The Real Difference between Gambling and Investing

So what is the real difference between gambling and investing? Firstly, gambling is placing money on a game of chance or activity with random outcomes using selection methods with no sound reasoning behind them or historical data to draw a conclusion about the particular selection method. These methods can be using favorite numbers or colors, birthdays, favorite jockey, name of a horse, or the “someone told me” system. There are an almost endless variety of methods that gamblers use to make selections. Gamblers almost always have another couple of traits as well. Namely they expect an enormous return for a small outlay, and they rarely manage there gambling money or set aside a bank of funds to gamble with.

A professional investor on the other hand uses proven data and research to make selection choices, works his investing as a business, sets aside a working bank of money for investing, expects to make small to medium returns which he then compounds to build his working bank, and uses common sense risk management to limit the risks with any single investment. Basically, an investor educates himself in the area he wishes to invest and then makes educated decisions when placing investments. An investor also does other things that a gambler doesn’t such as have a set “bank” of money to invest with and manages that bank in a business like manner. He also does a risk assessment to limit his liability on each investment.

In a nutshell a successful investor in anything does these things:

  1.  Educates himself about the investment medium.
  2.  Invests in his education by obtaining trusted and relative information.
  3.  Learns and applies prudent money management skills to limit risk and smooth out fluctuations in returns. (Every form of investing including stocks has fluctuating returns. A period of unusually high returns should not temp you to make risky choices any more than a period of low or negative returns should temp you to cease your strategy because of fear. Providing that you have a strategy based on proven results it is best to try to keep”*emotions” under control as fluctuations will invariably level over time providing the strategy is based on sound information and money management).

*Note – Another reason that some people fail to profit from quality strategies is that they retain a gambler’s mentality and allow emotion to unduly influence their decisions.

Example of an investing approach to gambling

Firstly, to give you a better idea of an investment type approach to gambling let’s say you have obtained a database of all the race results for a particular race track for the last three or four years. Let’s say two thousand races in all. You do some research with the results and find that in seventy-five percent of the races (that’s seventy-five races out of each one hundred) horse number one has run a place. Now that sounds like a profitable piece of information to have. Would you go out on the basis of this information and start placing place bets on number one in each race at that track? I hope not. While the information sounds promising there is still an important piece of the puzzle missing. The average return price for each placed horse. What if the average return price is only $1.28? Let’s take a look.

100 races = $100 out

75 returns at $1.28 = $96 returned

Total average return on each 100 races = a loss of $4 or 4%.

Not exactly what we are looking for. However what would happen if the average return was $1.50?

100 races = $100 out

75 returns at $1.50 = $112.5

Total average return on each 100 races = a profit of $12.50 OR 12.5%.

So our profit on turnover here is 12.5% which would be a great situation to have and certainly be an investment type situation if the results were proven over a significant number of races and we used proper money management skills to grow our starting bank and increase the amount invested inline with the growing bank and also use adequate risk management.

Know which form of gambling is for you

There are a myriad of different forms of gambling that you can choose from to throw your hard earned money into if you are the typical “hope for lady luck” style of gambler. Of these some are virtually impossible to make any money from because the odds favor the house (casino, club, bar, or venue) so much and there is no way of influencing or predicting the outcome. There are some forms of gambling however where anyone who studies and applies logical and proven strategies can bring relatively consistent returns similar to traditional investment. The games where you have little chance of making consistent returns include:

Slot Machines

The user has no control over any aspect of play with these machines except the size of their bets so you are at the mercy of lady luck. The house edge is usually considerable so this form of gambling should only be used for a little fun with spare change.


Another popular game particularly with retired people, this game is again a pure luck game. You purchase a game card and wait for numbers to be called and if you’re lucky you may win a prize but most people just do it for fun and rarely win anything.


Keno has become very popular in clubs, bars, and online casinos in recent years. The large payouts encourage gamblers with the dream of winning big but the miniscule odds are reflected in the payouts available.


Much the same as the keno story here although the game has a high participation rate because we all like to have a little go at the million dollars. We’d all love to win millions but sadly the odds are so small you wouldn’t bet your house on it or you will certainly end up living in a tent.

Games where it is possible to make a profit

Horse Racing

Horse racing is one form of gambling that the vast majority of people loose their money on, however it is possible to make a good income from racing given the proper skills and investment capital to work with. One problem here is that there are so many sources, ratings services and promoters of software that are complete rip-offs that it’s often hard to know what is genuine and what is not. I myself was the victim of one of the software rip- offs many years ago at which point I decided to educate myself about racing and gambling in general. Ironically what I did learn about staking in particular if applied to the selections from that software would have turned a big loss into a small profit. This proves how important money management strategies are in the grand scheme of a profitable investment approach as apposed to a gambling one.

Many approaches to profitable horse racing use ratings services etc, but there are less risky and more consistent ways of profiting by looking at horse racing in the same way as profiting from any sports betting. The member site (see last page for access) has details of the best method of sports betting for guaranteed profits by looking at opportunities in the market in the same way as a skilled stock market investor looks for opportunities in that market.


Roulettes were invented by Blasé Pascal, a French mathematician, in 1842. It is a simple gambling game where you have to bet on which number a small ball will hit. I have placed roulette in this section with a question mark because at the time of writing I am about to research several strategies that have become available to me. Until I research these methods I remain skeptical of being able to return consistent profits from this game however if one of the strategies proves effective I will place details on the book member site possibly as a free bonus for subscribers to the mailing list.


Poker is the most popular casino game and has become even more so in the form of Texas Holdem poker tournaments on television. Poker is believed to have originated from the game ‘as nas’, which is a Persian game. It uses a deck of cards for a series of betting rounds. The player with the best hand wins the pot. Poker is also regarded as a game of strategy and skill. By studying and applying quality strategies and skills a player can make good profits from this game. You can find more information about how to learn these skills on the member site for this book. Access details are on the last page.

Sports betting

Sports’ betting has boomed in the gambling industry in recent years mainly because the internet has given more widespread and convenient access to betting on any sport you care to mention. Common sports bets are: against the spread, against odds, against a combination of spread and odds, and head-to-head bets just to name a few. Sports’ betting is the other area where you can make good money risk free by taking advantages of opportunities in the market. You’ll find more information on these opportunities when you visit the book member site.


Online Gambling

To Gamble Online or Not to Gamble Online - That is the Question

Compared to a real casino experience, here are some of the considerable pros and cons of online gambling:

Pros of Online Gambling

1. Hot Offers

As a competitive business, online gambling can give so much to persuade gamblers. They could offer bonuses for new customers to sign up, i.e., additional 10-50% of their initial deposit to their bankroll, random deposit of money in customer accounts, and giving away vacations for particular levels of total money bet.

2. Better Rules

According to experienced online gamblers, online gambling has better rules compared to physical casinos.

3. Cozy Gambling

Of course, the online world makes online gambling another convenient way to have fun in the comfort of home.

4. Less Annoyances.

Troubles with drunken people, smokers and thieves. With online gambling these real casino troubles are avoided.

5. No Tipping Obligation.

Unlike playing in a real casino, you don't have to be obligated to tip the waiters and dealers.

Cons of Online Gambling

1. Patience is a Virtue

Cashing out can be a bit tedious with online gambling compared to real casino gambling. One may be prompted to wait for about 2-4 weeks for cashing out. With this in mind, the use of debit card is advised since with it, it is a lot faster to make your credit appear.

2. Customer Service Boo-Boos

Depending on where you play, you don't have that face to face confrontation power with the online gambling site. Some sites may offer toll-free calls and e-mail correspondence. But these are prone to delays compared to just talking to the casino manager or something to that effect.

3. Online gambling casinos call the shots.

With online gambling, the player may have to deal with the casino's word as the final word when any dispute surfaces.

4. Credit/Debit Card Overuse

Your ability to balance your credit or debit card statement might fail with online gambling because of the temptation to play at a lot of places.

5. Inaccurate transaction documentations.

Transactions don't usually have the name of the casino you played at but instead only the merchant bank is identified.

With this information, weigh the differences as to whether you prefer to do online gambling or not.  As long as you don't get too hooked up on it and you're enjoying yourself, go ahead get a feel of the online world of gambling.

Online Gambling Guide to a Better Game

When gambling online, select the casino site carefully to avoid being scammed. Review the site wisely. Don't just give your credit card number to the first site you find on the net. Take the time to ask yourself these questions:

  • Is the site authentic? Look if it is government licensed. If not, go locate another site.
  • Does the site have a twenty four hour toll free customer service support? If not, look for other sites.
  • For slot machines and pokers, what is their smallest denomination? Look for a variety in denominations. They should have nickels, quarters, dollar as well as five dollar machines.
  • How many versions of video poker do they offer? They should have at least three, because this will be your basis that the site has money for the software, therefore it can afford to pay you your winnings.
  • Does the casino site have a place to record and keep track of purchases and cash out?
  • What about customer care? Test them. By sending them an email with a question, you can assess their customer service.
  • Does this site have a good reputation? What software does it use? Know how to collect your winnings. They should have detailed information about this.
  • How many days will it take for you to claim your winnings? Certain sites require you to send them email stating your request. Others give payouts only once a month, and others every two weeks.
  • What are the rules about bonuses?

When gambling online, here are a few pointers that should be of help:

  1.  Do your homework. Play only at authentic sites.
  2.   Allot a budget for a day's game. Never go beyond that budget.
  3.  Gamble only with money that you can afford to lose. Don't gamble the money allocated for your home rental. You'll be needing help if you play this way.
  4.  Never mix alcohol and gambling. They simply don't work together.
  5.  Your data is to be protected at all times. When signing up, note that the casino should have a secure and data encrypted link. Identity theft is rampant on the internet.
  6.   Spend ample time reading to familiarize yourself with the game.
  7.  Play by statistics. Know the odds of the game. Study it by numbers. Hunches have no part in gambling.
  8.   Just stick to the game. Never mind the gimmicks. Side bets, insurance and the "crapless craps" are offered in order to lure you to spend more so that the casino will make more money.
  9.  Know when to call it quits. If you are already winning, stop. Don't try to win more; you may end up a big loser. If you are already losing more than your allocated daily budget, stop. There is always another day.
  10. Expect that you can lose the game. Casinos are in the business because they set the rules in such a way that the house's win is important. Generally, they have the edge over you.

A fact is that ninety eight percent of casino gambling is designed for recreation. Therefore, play to enjoy.  To be entertained, you spend money.  If it gets to a point where it is no longer fun to you, where you play beyond your means, then stop now, or else, you may not be able to stop later. Alternatively, if you’re tired of handing over your cash to casinos just to play for fun then study this book and more specific material on the member site to educate yourself on the skills and the games where you have a better chance of profiting.

The Best Gambling Spots Online

Gambling has always been akin to mentioning Las Vegas in one breath. Nowhere has gambling been as lucrative and as consuming as it is in Las Vegas. Thus, no one has called Las Vegas the gambling capital without due cause.

However, the introduction of the internet has proven that traditional gaming venues are becoming passé.

Instead of listing some of the reputable casinos here I have included them on the main page on the member site in order to ensure it remains up to date. You will get the login details at the end of the book for access.

Turbo Charge Your Betting Edge with Bonuses

Bonuses are offered by almost all casinos online. This too, enables the player to try gaming without a large initial investment. This attracts people to play at certain sites, and hopefully keep on playing. Trivias are also offered as incentives. The thing with bonuses is that if you are playing with an edge, then the bonuses help to turbo charge your returns because you are winning with money that you didn’t have to invest in the first place. By learning the strategies available from the member site you can certainly use these bonuses to turbo charge your own returns.

There are rules in bonuses or incentives. Try to familiarize yourself:

  • The maximum amount that a player may win which comes with a free account is limited.
  • For payouts on the amount won by a player that include free accounts will take a while to be cleared. Screening and checking of the individual's records is done meticulously.
  • Free account may be withdrawn only through certain methods of payment.
  • Before requesting payout, it is a must that free accounts be open for certain number of days beforehand.

Usually, you go though this process:

  1.  Choosing a safe and licensed casino with good payouts and offer bonuses is the right start for the amateur gambler. (This is the easy part because you can just select one from the list on the book member site)
  2.  Then you download the free software to start the online gambling process.
  3.   After which, you setup an account, providing all details where they can send you your winnings. So it is important that one should carefully type in all data as correctly as possible.
  4.   Then, you can try the different games to choose from. (Although at this point I would hope that you only have a game in mind that you have become skilled at through learning the strategies available through the member site).
  5.   The great part is you can practice as much as you like and when you are ready you can then play for real money. This requires payment though credit card, Western Union, Stormpay or NETeller. So choose your options well.
  6.   It is then time to claim your bonus. Try out whichever game you’ve decided to play.
  7.   Then, you can now claim your winnings! Check out your chosen casino site for details on how to claim it.

The sites listed on the member site main page all offer attractive bonuses.

Online Gambling Scams...How to Avoid Them

As the online gaming business flourishes on the internet today, so do online gambling scams. These scams are rampant.

There are many online casinos that are not "real". They look like casinos, offering games and prizes. Often many fall victim to such traps. People trust too much and are usually misled by such disguises.

Certain casino sites are a scam in itself. These sites offer pretty much the same as the authentic sites. Once you have deposited your money, you might be surprised that they have rules that prevent you from withdrawing your funds. It is always better to read and understand the rules before registering.

Bonus scams target players that have been banned or moved to other casino sites. This is the simplest and most effective of all scams. Casinos are in need of continuous flow of fund deposits from gamblers. Thus, bonuses attract players in. They do this by sending emails to prospects, stating that they are entitled to certain bonuses once they deposit money to their existing accounts.

After a deposit has been made, casinos will state that a player is not qualified to receive a bonus. Yet players still continue to play their deposits. This is what casinos are expecting to happen and they have achieved their goal.

If you do suspect that you are a victim of such a scam, do the following:

  1.  As soon as possible, stop making deposits.
  2.   If you can cash out, do it immediately.
  3.   Contact the site's customer care if your cash out attempt failed.
  4.   They should respond within forty eight hours to your inquiry. If not, contact them again.
  5.   If credit or debit cards were used to deposit funds, contact the establishment to inform them that you might have been a victim of internet fraud. So they could take all the necessary precautions. And as needed, cancel your credit card.
  6.   If you have used Neteller take out all funds left in that account.
  7.  If ten days have passed and still no contact was made by the casino site, contact them again. State your demand firmly.
  8.  The Online Players association can be of help in mediating to settle disputes between parties. Ask their assistance.
  9.   Wait and hope that all will be settled.
  10. Report to certain web portals the incident. So this won't happen to other players.

Here is a list of some blacklisted casino sites:


One would be surprised to see such a long list. Keep in mind, there are as many "fake" casinos as there are "real" ones. Always check the site carefully. Better be sure than sorry. You’ll find that the casinos listed on the member site are quality sites and some have even won awards from the online gambling magazine. Be that as it may still read all agreements and playing rules carefully as it is your money and a wise practice to know that you have carried out due diligence before handing over your hard earned cash.

Betting Exchanges New Kids on the Block

The most recent addition to a gambler’s options for sports betting is the betting exchanges. Betting exchanges represent a significant and increasing competitor and challenge to the gambling market-share of traditional online sports book sites. There are a few different exchanges around but the biggest by far is BetFair. Betting exchanges work differently to traditional bookmakers in that they are basically Peer-To-Peer (P2P) betting.

To explain what Peer-To-Peer betting is we’ll use an analogy of you and a friend sitting at the local sports bar watching the big football game. Let’s say you like Team A and your buddy likes Team B. You might have a friendly bet where you are so confident that you offer your friend 2/1 (Two to One means that if you agree to a $10 bet then if you loose the bet then you pay your friend $20). In essence the bet between you and your friend is the way that a betting exchange works with the following differences:

  1.  The other person or people you are betting with are anonymous.
  2.  The betting exchange makes its money by taking a percentage of winnings. (Normally this starts at 5% however if your betting volume reaches certain levels this percentage reduces).
  3.  The percentage taken by the betting exchange is ONLY taken from winnings; you pay nothing on top of your losses.
  4.   The percentage taken is also calculated on the net profit from the one market. (I.E. If you Dutch bet 2 or more horses in the one race, you only pay a commission on the net profit. Dollars won – total dollars out).

Laying Profiting by Picking Losers

Another aspect of betting exchanges that is appealing and also very powerful if you understand how it works is laying. Laying is essentially when you play the role of the bookmaker, meaning that you are betting that a particular horse or team will loose. Now I know what you’re thinking, “wow how easy can that be I can pick losers easy”? If you’re thinking like that at this point hold on there a minute. The intention of this book is to change your thinking from a gambler’s mentality to an investor’s mentality and in regards to laying there are some important points to consider before deciding if you can make a profit (“investor’s mentality”) from any strategy. Firstly, recall our scenario at the bar where you bet your friend 2/1 on the football game? Basically this is what you are doing when you lay on a betting exchange, so while in some instances your chances of winning may be higher, your risk is also higher.

If the betting exchange details for a particular horse or team show that someone wants to bet $100 on a horse at a price of 5.50 and you match that bet (i.e. you lay $100 at the 5.50 price). If that horse wins and you loose the bet, you have to pay out $450. Here’s how it works. In your bet with your friend at 2/1 where he won and you paid him $20, he risked $10 to win $20. When he won the bet he essentially got his $10 back plus $20 from you. So the price on the bet was really 3.0.

With our betting exchange example the price is 5.50 and when you loose, the other person takes back his bet and you have to pay the remainder. So your risk with any lay is (Odds-1) X Bet, which in our case is 5.50-1 (4.50) X $100 = $450. For this reason it is foolish and a pure gamble to randomly lay on long priced horses, as although they don’t win very often, there are times when they do. Also the probability of any one horse winning is generally reflected in its price, so unless you have some solid data that proves a certain strategy is profitable then you are back to the gambler’s mentality. Can you imagine the feeling of dread if you placed a $100 lay on a horse at a price of 51.0 that flashed home to win? You may have been real happy with yourself that you’d grabbed say ten of these 51.0 outsiders for the lay to have a bank of $1000 (less commissions) but you’ve just blown that plus an extra $4000 out of your own pocket in one mighty swoop using your “Gambler’s” mentality.

I hope at this point I have stressed to you the importance of changing your thinking to that of an investor as opposed to a gambler. Just ask yourself this question, would you rather pick winners or make profits? How many winners you pick doesn’t always mean you are successful or profitable as I’ve shown throughout this book, particularly in our example on an investing approach to gambling. I don’t know about you but I’d rather have twenty winners from one hundred at $6 than seventy winners at $1.4. A huge difference in winners but also an inverse situation when it comes to profits and that is what we want as investors, profits.

Why Laying Often Has More Opportunities than Betting

At present there are possibly more opportunities in the lay market on betting exchanges than in the bet market. The reason for this is twofold:

  1.  The vast majority of people understand “betting”, but don’t completely understand “laying”.
  2.  These gamblers are also risk adverse. They know that if they place a $10 bet then they are only risking $10 and a return will be much more than their outlay. With laying however, you essentially risk more than you stand to win in most cases which is too risky for most “gamblers”.

For these two reasons a skilled person can often see more opportunities in the lay market than the betting market. Let’s take just one scenario, say a football game in the head-to- head market (where you only have two options, Team A to win or Team B to win). Question, what’s the difference between placing a bet on Team A, and Laying Team B? Answer, NOTHING. By laying Team B you are saying that Team B will loose which is the same as saying Team A will win. At times the calculated return for laying one team is better than betting on the opposite team and once you are skilled in doing the calculations to compare the two returns side-by-side you can take advantage of a better return for your money. While an extra few percent may not sound like much for a single game it does become significant once it compounds your bank over time.

Note: Although I have covered some of the subject of betting exchanges it is a large subject area. Depending on the demand for such information I may place either articles, e-books or tools such as lay conversion calculators on the member’s site for download so check back regularly.

p.s. I have just added a link on the member site to a new package on the market which teaches you how to profit from Exchange Betting.

Final Word

I hope that this e-book has started you thinking in a vastly different way than you did before reading it, about gambling and how to look at it in a completely different way. A skilled stock market investor studies the market in every way he can using every source of information he can to make informed investment choices and limit his risk using good money management skills. You too can use the same approach with traditional gambling to make some extra money instead of putting your money into the pockets of the bookmakers or casinos. I think they’ve got enough flash cars and houses don’t you? Skilled stock market investors invest in their own education tools and constantly look for ways to improve, as I hope you will do to advance your gambling, let’s make that your investing skills.

On the member site you’ll find some of the best resources to turn your gambling into profitable investing, a resource list of trusted casinos which also provide those important bonuses to turbo charge your profits, helpful articles and much more to be added over time.

The member site details are:

Username: member

Password: profitsecrets

Feel free to use the email contact link on the member site to submit your thoughts on what you’d like to see available on the site or perhaps any resources that you think would be useful in learning more about profitable approaches to gambling. I may also add a mailing list at a later date so users can receive news and articles depending on requests from site members.

If you have any friends that are serious about learning how to think as an investor instead of a gambler then by all means you’re free to pass on a copy of this e-book to them if you feel they will benefit from it. The only thing I would say is that many gamblers don’t have any interest in “learning” anything new and will remain in the gambler’s mentality or the “my buddy gave me a good tip” mentality. I think it would be pointless to pass on a copy of this book to anybody like that. You know the old saying about leading horses to water :o)

I truly hope that this book has helped in your path of learning to become a profitable investor in traditional gambling, and no matter what direction you choose to take in your learning I wish you luck and hope you take more from the bookmaker or casino than you give them in the future.

Happy Gambling Investing

Colin L Wolfenden


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