verything can be bet at the Olympic Games: from who will win and lose the competitions until if there will be a UFO sighting at the inauguration ceremony. But for those wishing to win a gold medal, Saxo Bank recommends investing in shares from the betting houses. This is the best option for investors, according to bank strategist Peter Bo Kiaer.
London 2012 will be followed by competitions that will attract the bettors’ attention, both traditionally and online, such as European Football Cup, Wimbledon and Tour de France. Three of the betting houses analyzed by Saxo Bank are stronly involved in sportsbooks, followed by four with a moderate presence.
The bank needs 888, which is a company with limited representation in the segment, but aims to grow taking advantage of the sporting situation of the year, while Ladbrokes case includes an important physical presence, unlike the other betting houses that just operate through their websites.
When investing, the bank recommends investors to be informed about the difference between online and traditional casinos. The latter face more cyclic market fluctuations, with services taking part of a bigger leisure chain.
“Probably, you have to travel (expense), book a hotel (expense), eat in restaurants (expense) to then be able to bet in those casinos. If you don’t have much money, you can always bet online and avoid the travel expenses. People that bet in Internet are less volatile, and keep on investing even when the economy is facing its worst moments,” said Danish analyst in a special report of Saxo Bank about investments in these Olympic Games 2012.
What shares will classify to the final? Considering the proportion between Price and Net Benefit (PER) and the ratio Price-Market Value, Ladbrokes, Bet-at-home, Unibet and Sportingbet call attract the attention of the analyst.
He does not recommend Betfair so much because “the benefit obtained is not high enough for the price paid.” He does not prescribe Bwin either, “because the benefit obtained is not enough.”
And although Betsson is also in the “economic zone,” its PER ratio makes the analyst be afraid that any setback may “take a great part of the investment.” Investors shouldn’t either avoid considering the “smartphone” and “fun” factors when making their bets.
According to Saxo Bank, the cell world has evolved considerably since Beijing Olympic Games in 2008: “Direct bets will have a great presence this time, and the benefit goals will be exceeded this year, because online betting is a service with very wide margins. When people bet, they usually gather with a group of friends, they can bet for fun or make creative bets and now they can also do it from their mobile phone and with real chances. Bets can be of just an euro for fun, but online betting companies receive with pleasure every euro bet,” the analyst added.