Spread Betting (general terms)
A form of betting derived from financial markets where the
punter bets on a 'spread' of numbers relating to the particular
event - for example, runs scored in cricket, points in Rugby
Union, or the number of lengths between named horses at the
end of the race. The bookmaker quotes the spread: say, regarding
the number of points to be scored by one side in a Rugby game,
28-30. If you think the side will score more than 30, you 'buy'
at 30; if fewer, you 'sell' at 28, and stipulate your stake
per point. If you buy the spread at £1 and the team scores
only 25, you lose £5 - 30 minus 25 leaves 5, which multiplied
by your stake is £5; if that team scores 35, you win £5.
The attraction of spread betting is that the more right you
are, the more you will win - and by the same token the more
wrong you are, the more you will lose. Note: you cannot have
a spread bet unless you have an account with the bookmaker concerned,
since you cannot stake the bet in advance as you do not know
how much you might lose.
