How To Judge Just How Potent A Tipster Really Is

Those of you who have spent time researching and following different betting tipsters will know how difficult it can be at times to know exactly how much money they can make you. This is because tipsters (especially the Arfur Daley types) often use many different misleading calculations in order to show their own results in a good light.

The good news is that help is at hand as I want to unravel a few such dodgy tipster practices and also show you one calculation we use here at the Smart Betting Club, which gives you the straight facts on any tipster.

Let’s start off with the ugly side of tipster reporting with a few classic examples of misleading figures that some of the worst tipsters use…

  • Selective Results Reporting
  • Claiming the past 3 months results will have made you £5000, when the 3 months prior to that may have lost you £8000! 
  • Poor Return For Your Investment
  • Claiming to have made £1000 profit, however you would needed to have risked £100,000 in order to make that.
    Ridiculously High Stakes

    Tipsters that work to £500 per bet to try and make their profit figures look more impressive.

It can be a jungle out there trying to find the right tipster but one way to ignore these misleading stats is to use a simple calculation called Return on Capital.

Capital One

Return on Capital (or ROC) is a really effective measure that translates how much your money has grown in relation to its starting point. It is a simple percentage figure, which is very easy to calculate – even Robbie Savage could work it out!
Although if Robbie does join us here at SBC, he will see we also produce the ROC each month for every service we monitor.

To explain ROC, say for example you put £5000 into a high interest account and at the end of the year you had £6000. Well your profit is £1000, but your ROC is the percentage increase, which in this instance is 20%.

(To get this figure simply divide 100 by your starting amount – £5000 and then multiply by the profit – £1000).

Sadly, these days you are very unlikely to get anywhere near that amount of ROC from £5000 in traditional savings accounts.

This is why more and more people are turning to alternative ways of investing their money – such as through betting, where with the right people guiding you, the ROC can be very appealing.

The ROC From Our Best Services

To help explain how useful ROC is a bit further, I am going to show you the exact ROC amounts for each of the 9 top-rated racing tipsters we recommended in 2010. If you have yet to do so, you can see all the profit figures for each of these tipsters at this blog post, but in the table below are the exact ROC figures.

To unpack this table further, we recommend a betting bank figure for each service (2nd column) and next to that you can see the points profit for 2010 that this service made. In the final column is the exact Return on Capital amount in percentage terms.

The top performer was Service 7, with a whopping 455% increase in 2010. To put that in financial terms, if you had started the year with £5000, this would have become £27,552 by the end of it.

Of course they are by far and away the top performers, but still any of Services 3 through to 9 would have made at least 23.72% up to 147.27% ROC.

Much more than any bank is going to offer you in the current economic climate!

And if you find yourself approached by a tipster claiming results that look too good to be true, be sure to ask them about their own Return on Capital. If they don’t know what this is or refuse to answer, then you may well have dodged a bullet!

Find out More

If you find these kind of stats helpful then you will love our monthly Tipster Report, which gives you the latest ROC for around 35 of the very best tipsters out there. We also calculate other useful figures for you, such as Strike-Rate, ROI and our very own power ranking, which we call ROI+.

All of these stats are provided for the most recent month, past 6 and 12 months as well as all-time performance. You have every possible stat to make the most accurate and informed choice as to the tipster(s) that will make you the most money!

Sign up today for instant access with a Smart Betting Club membership.