People are very emotional when it comes to Sports Betting.
They bet on instinct on their favourite team for a good feeling, a superstitious act, a revealing dream.
All these behaviours aim at an immediate reward through the low odds of a favourite or seek an adrenaline rush thanks to the high odds of an underdog.
Such behaviours protect the value of draws just as a wide moat protect a castle.
Punters’ habit of betting on winners is like the belief in historic brands like Microsoft, Google, Ferrari.
It represents a wide moat, a long-standing landmark very difficult to replace in their minds.
Chains of habit are too light to be felt until they are too heavy to be broken. – W. Buffett
It is very hard to pass from one thing to another when the first one is so rooted.
Many people supporting a company also increases the strength of the company itself and of those who do not will feel obliged to do it.
That is not all.
The moat is reinforced by the Big Spenders and Pro Tipsters, too.
They can bet so much money and attract so many followers on winners to make their odds drastically dropping as much as the draw ones growing.
Even the Bookmakers play their role to make the castle of draws inviolable.
Occasionally, miscalculating the fair odds out of necessity or by mistake, they create value for a profitable bet on the draw.
Amateur Bettors, Big Spenders, Pro Tipsters and Bookmakers can make the football draws a value investment.
Thanks to their behaviour patterns, all of them feed the Draws business.
They unknowingly act as that management with a lot of integrity and talent within a company capable of attracting investors.
Value Investors like billionaires Warren Buffett and Charlie Munger are only looking for three qualities in management: integrity, intelligence and energy.
First of all, integrity.
Because if you don’t have it, intelligence and energy will kill you.
Indeed, an able and trustworthy management is one of the 4 filters of their winning formula for investment decisions.
In this case, such good management allows the price of Football Draws to flourish, widens the moat that surrounds them and makes the business durable over time.