Betfair to become a bookie

[mattio]

I just logged into my account to get a run down on todays activity and I see there is a new T&C outlining that Betfair will now be offering fixed odds on sporting and racing events......I'm surprised it took this long!

[michaelg]

I wonder where they'll get their prices from, and how closely will they be monitored?

Too high, and there could be the opportunity to bet then lay on their exchange, and/or vice-versa. And too low (bookies' prices?), a better price might be obtained on their exchange or elsewhere.

And with the often volatile price fluctuations on the exchange especially with the horses, this could be risky for them.

However, I'd be surprised if they haven't got this all figured out.

[Chrome Prince]

They'll probably clone the major bookmaker early odds but with less market advantage.
When they get exposed on a runner, they will just bet back into the exchange because they have layed lower.
They will ensure that any back bets accepted can be layed off at higher odds.
Thereby not being a traditional bookie, but a conduit for them to trade large no risk margins.

[moeee]

And of course we all know that TabCorp will be licensed to commence operating a Betting Exchange in August.

[Chrome Prince]

Is that happening moeee?

[norisk]

Theres not a lot of info out there about a new betting exchange, but what I have read indicates Tabcorp is unlikely to start one, who knows

[jose]

Post moderated. You have been TOUd. Please do not refer to a business in this Forum as "thieving swine." Thank you. Moderator 3.

[moeee]

TAB cool on exchange

* by: Matt Stewart
* From: Herald Sun
* July 20, 2011 12:00AM

TABCORP is unlikely to establish its own betting exchange, despite securing Victoria's new 12-year wagering and betting licence.

Although a provision allows it, Tabcorp chief executive David Attenborough talked down speculation the TAB would venture into the controversial betting exchange market.

"We have always had concerns about the integrity of betting exchanges and we are yet to see a betting exchange operate successfully in Victoria," Attenborough said.

Napthine said the provision for a betting exchange was an exciting opportunity for Tabcorp to diversify and generate greater income but conceded the decision on an exchange rested with the wagering giant.

Victoria Racing Club chief executive Dale Monteith echoed most in the racing industry in welcoming the state government's nod to Tabcorp.

"I was present at the birth of Tabcorp in 1994, so in that sense it's great to see the relationship continue," Monteith said.

"We have been assured that Victorian racing will be no worse off, and for racing's confidence going forward that is a good thing."

[Mark]

Ah yes, the old "integrity" furphy.

[jose]

Fair enough Mod 3.
What is TOUd??

[UselessBettor]

They'll probably clone the major bookmaker early odds but with less market advantage.
When they get exposed on a runner, they will just bet back into the exchange because they have layed lower.
They will ensure that any back bets accepted can be layed off at higher odds.
Thereby not being a traditional bookie, but a conduit for them to trade large no risk margins.
Chrome,

I think your right on this. What does that mean though for us punters who like to play the exchange. Does it mean increased money on the lay side ?Will this push down prices on the exchange so that laying again becomes profitable ? Especially on the longer shots ?

I haven't thought through the complications with this yet. I guess it will depend on the money they put back intot he exchange. Maybe it will mean nothing.

[jose]

Mod 3, that was a genuine question, I wasn't being a smart****.
What does TOU mean??

[norisk]

jose, TOU stand for 'Terms of use' - getting TOU'd means you have violated a websites terms of use

[jose]

Cheers for that norisk.
Never had it done to me before so wasn't sure what it meant.