LQP / Betting Exchanges

It's a long time since we last raised the topic of betting exchanges. But the Queens' Plate made me wonder by how much racings' betting option development has been strangled by their absence. Might this be one of the reasons why the tech savvy younger generations are almost nowhere to be seen in horse racing and its related betting markets?

The 'banning' of betting exchanges dates back to a time when the operator had a vice like grip on the sport and acted with impunity and arrogance. No change there! I also understand that there was a foreign exchange issue which came into the equation.

But what I was surprised to learn at the time was that there was already a financial arrangement in force between Betfair & the operator when the ban was instituted.

Why do I mention all of this ?

Because the LQP was a classic example where limited betting choices compromise the punter. Let's unpack the race :

Hawwaam was quoted at between 5/10 - 6/10. Only mugs (no disrespect intended) will back a horse at that price against a field made up of high quality opposition. In a maiden plate against the blind school - perhaps. But certainly not in a Grade 1 race where the opposition doesn't line up 'just to take part'.

Assuming the punter displayed a degree of circumspection then the only way in which he/she could benefit if Hawwaan were to win was by using so called 'exotics' or multiples.

But more importantly - what if the punter just did not fancy Hawwaam and wished to take him on? He/she then had to construct a wide range of exotics or back a number of other horses to win or place. This would have been both wasteful and expensive if the punter wished to cover all bases against the favourite.

With a betting exchange all the punter had to do was lay Hawwaam. You would then discover what bookmakers have known for centuries - everything has to go 100% right for your horse to end up in the winners' enclosure. ANYTHING that goes wrong usually ends up as bus tickets for the punter. Which is precisely what happened on Saturday. This is why racing is a fundamentally flawed and unappealing activity to bet on under any circumstances as the imponderables vastly outnumber those in many other betting opportunities.

In the case of betting exchanges both bookmakers and the operator are unusually in accord. Bookmakers believe they have bought the right to lay horses and don't want the competition whilst the operator would rather you bet on the tote - where you can regularly suffer the insult of a 17% (or greater) deduction from your stake in return for a so called 'dividend' of 0. Succinctly put - you pay them a fee to risk your money for no return. Even when you win! (Note the deafening silence).

Racing has a long and proud record of resisting change. This is one of the worst examples.

I would really like to see betting exchanges here in SA.
Even if not for our racing but for overseas racing.
HK and Singapore I can see it work as the rules and stipes are strict and not much skullduggery goes on.
I often read the betfair forum and there are plenty of threads stating how a horse drifts remarkably in the exchanges and duly runs a terrible race,either been given a terrible position in the race by a jockey,jockey not trying to win or horse blatantly not fit.
There are punters who get inside information about the horse not trying to win and they lay that horse for double sometimes three times the bookies prices.
The stipes in the UK are mostly too scared to open inquiries into these things as they think the public would think the game is rigged so they don't do anything.
Can you just imagine the devious things that would go on in this country if we where allowed to lay horses with our stipendiary stewards in charge of keeping horse racing clean.

Exchanges in SA are a pipe dream. Bookmakers will be out of business because they wouldn't be able to print as much money any more by being the only ones able Lay.

Exchanges have not killed the bookies in the UK, in fact there is more than ever

95% Punters don`t want to play the bookie, they want to beat the bookie

Try using the mighty Betfair sports book and they won`t lay you two bob on a horse