Understanding Hedged Positions on BettorEdge

A hedged position occurs when you've bet on multiple outcomes of the same market, guaranteeing you'll receive some value regardless of the result. BettorEdge lets you identify these situations and even cash out early on hedged positions without high fees like traditional betting platforms.

A hedged position happens when you've placed bets on different possible outcomes of the same market. For example, if you bet on both Team A to win and Team B to win in the same matchup, you've created a hedge.

There are two types of hedged positions:

• Your potential winnings exceed your total stake amount
• You're guaranteed to make a profit regardless of the outcome
• This is the ideal scenario for bettors

• Your potential winnings are less than your total stake amount
• You'll lose some money regardless of the outcome, but you've limited your potential losses
• This can happen when betting at different odds or times

Let's walk through a real example:

Vikings vs. Packers Game:

1. You bet $10 on Vikings to win at +110 odds (potential winnings: $21)
2. Later, you bet $10 on Packers to win at +110 odds (potential winnings: $21)

Your position:

• Total stake: $20
• Guaranteed winnings: $21 (regardless of which team wins)
• Net profit: $1

This is a positive hedge because your guaranteed payout ($21) exceeds your total investment ($20).

Using the same game with different odds:

1. You bet $11 on Vikings to win at -110 odds (potential winnings: $21)
2. Later, you bet $11 on Packers to win at -110 odds (potential winnings: $21)

Your position:

• Total stake: $22
• Guaranteed winnings: $21 (regardless of which team wins)
• Net loss: $1

This is a negative hedge because your guaranteed payout ($21) is less than your total investment ($22).

BettorEdge Premium allows you to cash out hedged positions before the event settles:

For a positive hedge:

• You can immediately receive your total stake amount ($20 in our example)
• After the event settles, you'll receive the additional profit ($1)
• If the event results in a no-bet (draw), you get your stakes back but no profit

For a negative hedge:

• You can immediately receive the guaranteed payout ($21 in our example)
• You won't receive additional funds after a graded result
• If the event results in a no-bet, you might receive the difference between your stake and payout

Read more about Delayed Cash Out with Hedging.

To identify and capitalize on hedged positions:

1. Check your open positions regularly for potential hedges
2. Look for the "Cash Out" option on positions that are successfully hedged
3. Consider whether immediate liquidity or waiting for the full settlement is more valuable to you

Hedging can be a useful strategy to lock in profits or minimize losses when your outlook on an event changes after placing your initial bet.