1© Unibet Group plc 2009. Lennart Ehlinger Group Compliance & Security Officer Brussels 17 February...

1© Unibet Group plc 2009

Lennart EhlingerGroup Compliance & Security Officer

Brussels 17 February 2009



Pool Betting

Betting Exchanges

Fixed Odds Betting

All types of companieshave a love of andpassion for sport

Pool betting is provided by Company A.All stakes add up to the total turnover for the event.

There is a deduction, a part of the turnover is not paid back as winnings.

The pot is the part of the turnover paid back as winnings.

The final odds are not known until the betting is closed.

The winning odds is calculated as the pot divided by stakes on the winning participant.


Total turnover € 100,000 Deduction 15 %

Pot € 85,000

Stakes on winner € 50,000

Odds: 1.70 (€ 85,000/€ 50,000)My bet was € 50so I get € 85

The deduction cover the expenses for Company A as taxes and other fixed and variable costs

Company A gain profitfrom a fixed percentage of the turnover for every single event it offers pool betting for.



Company B act as a market place comparable with the stock market where sellers and buyers meet.

Company B gets its commission from every matched deal and the commission is taken from the winner

As a punter I can place a bet if I find an attractive offer, ex € 50 for Nadal to beat Federer to the price 1.80. If Nadal wins I get € 88 (Commission of 5 % of my net win of € 40)


I can also act as a bookmaker at the exchange, for example I offer someone in the market to place € 50 at Federer to the price 2.10.

If Federer wins my net loss is € 55 as I had to pay the winner that accepted my offer.

As in the stock market you do not know who you are buying from or selling to.The betting exchange knowthe identity of the users though.


Company C is a bookmaker that offers fixed odds.

The prize for Nadal to beat Federer is 1.90and I as customer place a bet for € 50and if Nadal wins I get my € 95.

Company C takes a risk every time it accepts a bet, in this example Company C would either win € 50 from me if Federer wins or lose € 45 if Nadal wins.

Over time Company C makesa steady profit as the offered prices are not 2.00 for both Nadal and Federer, instead 1.90, e g payback 95 %


Q2 Q3 Q4 YR Q1 Q2 Q3 Q4 YR Q1 Q2 Q3

2006 2007 2008

0

2

4

6

8

10

%12


Only accept bets in line with an approved risk policy

There is always a balance between an attractive bet offer and exposure

Changes odds upon new information, ex injured key player

Suspend events if there is an indication of irregular betting or just a need to control rumours

ESSA Early Warning System

Manual and automated 24/7 supervision of all placed bets and of world market movements.

Internet players are not anonymous

If an event is fixed the bookmaker risks losing money

1© Unibet Group plc 2009. Lennart Ehlinger Group Compliance & Security Officer Brussels 17 February...

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