Sick of Making Lousy Sports Bets? Now You Can Outsource Them

[Tugg Speedman]

Nice history lesson on who invented the point spread.

The Wall Street Journal
Sick of Making Lousy Sports Bets? Now You Can Outsource Them
Hapless bettors invest in ‘entity wagering’ funds in Las Vegas that make picks on their behalf; ‘Really, the Browns again?’
By BRAD REAGAN
Updated Jan. 30, 2017 8:52 p.m. ET

https://www.wsj.com/articles/sick-of-making-lousy-sports-bets-now-you-can-outsource-them-1485817528?mod=e2fb

Since at least the 1930s, when a Chicago securities analyst turned bookmaker named Charles McNeil first popularized the point spread, sports betting has been one of the few areas where people were legally required to make their own boneheaded decisions. For years, Nevada law forbade any entity from making sports wagers on behalf of investors.

Last year, after the legislature dropped the ban, a handful of these so-called “entity wagering” funds popped up, attracting stakes from a few hundred investors.

Entity-wagering funds are tiny by Wall Street standards—the largest has just over $1 million under management. By comparison, Sunday’s Super Bowl between the New England Patriots and Atlanta Falcons alone is expected to generate more than $100 million in bets at Las Vegas sports books.

[Benny B]

People have been likening the stock market to gambling for decades; now that the shoe is on the other foot, it will be interesting to see whether this is just another fad in the alternative investment universe or something that has legs.

Whether or not it catches on pretty much comes down to whether extensive, in-depth analysis will allow you to exploit the inefficiencies in the market.  Or whether managers can devise a new way to shave points.