What makes a good trading strategy on Betfair?
Well, there are a few things to consider.

1. Does it make profit?
Probably the most obvious criteria for a successful strategy is whether or not it makes money!
I mean who wants to follow a strategy that loses money?!
I think you know this one so I won’t dwell on it but obviously we want strategies that make a profit in the long term.

2. What is the Return on Investment? Or ROI?
So, one things that’s worth considering when you are sizing up a Betfair trading strategy is how much money does it make per trade.
If you have to stake £100,000 over a series of thousands of bets for an overall profit of £100 it’s probably not worth it right?
The truth is ROI is important in Betfair trading as you want a good return on your money in the long term.
When you invest your money work out your ROI.
The sum is this: (Profit Minus Cost)/Cost
As a rule of thumb anything above a 2% ROI is considered good, if you are getting anything around 10% or above you are laughing!

3. How many selections per year does the strategy generate?
If I said to you I have a trading strategy that makes good money and has an roi of 10% you would probably love to hear about it right?
But what if that Betfair strategy only has 1 selection per month.
Say you bet £100 for a year per trade (£1200) and make £120, sure it’s nice to profit but it’s hardly going to make you good money long term.
We need strategies that give a good amount of selections per month.
As a rule of thumb I look for trading strategies that give 1+ selections a day on average.
You could use some that have 15-20 per month but I would not want to go any lower than that!

4. How does the strategy hold up over time?
You want a Betfair trading strategy that has been thoroughly tested, ideally with hundreds of results before thinking about making any conclusions.
If you only have 100 results you don’t really know if the strategy will stand the test of time.
I actually like to get to 2000 results before drawing any definitive conclusions!

5. Does the strategy suit your style of trading?
Not every strategy will suit your style of trading.
Just because a strategy is profitable it does not mean it will be right for you.
What if the strategy says to lay horses at odds of 10.0 (9/1)?
Would you be able to take a downswing if you had three horses win the race in a row (-27pts to 1pt lay stake).
These are the kinds of questions you should be asking to see if a strategy will suit you as a Betfair trader.

So there you have it!
Some key pieces of advice on how to know whether a Betfair strategy is right for you and worth investing your hard earned money in.
Hopefully they will help you become a more profitable Betfair trader.
Thanks for reading!

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