Playing To Win

MONEY MANAGEMENT

Playing the horses is all about managing risk. When we buy a ticket we are accepting the inherent risk that it will wind up in the trash. We do so because we believe that the reward offered should our ticket win justifies that risk. There is more to it than that, however. We must also manage our funds effectively throughout the day, if we are to give ourselves the best chance to do well financially while having a pleasant afternoon.

It is almost impossible to manage our money effectively unless we have a plan. The best plan in the world, however, won't do us much good unless we follow it. That means that it must have some flexibility and take our personality into account. It should a guideline; not a noose. There are several principles that it should incorporate, however.

1. Our risk should be spread our over several, if not all, of the races.
2. When things aren't going well we should never 'double up to catch up. Doubling up is more apt to lead to a financial disaster, and preventing disasters is a major reason for having a plan. The time to 'catch up' is tomorrow!
3. Should we get off to a good start we must resist the temptation to increase our betting level on the grounds that we are 'playing with their money'. Trust us. Title passes once we collect! It won't become theirs unless we give it back to them. Raising our betting level simply increases the chances that a potential good day will be squandered away.
4. Never bet a lot to win a little.
5. Don't be afraid to lose. Losing is part of winning. It is the price we pay for the winners that come our way.

A simple but effective plan can be devised by following the following steps:

1. Decide how much the afternoon's entertainment is worth. So long as we limit our betting to that amount (less expenses such as the program, etc) we can't lose. Even if we don't cash a ticket all day we will have gotten our monies worth.
2. Determine a potential betting level per race. Whether that is $2 or $100 doesn't really matter, but it should be high enough to hold our interest while not being so high that we will feel any compulsion to win.
3. Create a contingency fund by adding two to the number of races we intend to play. This gives the plan some flexibility so that we can take advantage of any unexpected betting opportunities that might develop.

Play a Game

• -Life Cycle