Any Smart ones?

[Allan]

One of the proposed bills passed by a NJ Senate Committee is the following.



1. Notwithstanding the provisions of any other law to the contrary, in order to create larger parimutuel pools capable of handling a greater variety of wagers and in order to reduce the adverse effect of large wagers, the New Jersey Racing Commission may authorize permitholders to combine all wagers placed on the results of one or more running or harness horse races into a single parimutuel pool, provided that all take-out percentages for wager types from this combined pool are consistent with the percentages provided for in P.L.1940, c.17 (C.5:5-22 et seq.).
The New Jersey Racing Commission shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as may be necessary to effectuate the purposes of this section.


2. This act shall take effect immediately.


Huh?:confused: Anyone care to try to explain this? I've talked to some serious gamblers and they have no clue.

[admin]

Do you have any info on P.L.1940, c.17 (C.5:5-22 et seq.)?

Seems to me - and I'm basically guessing, that:

As long as it doesn't conflict with any other laws, permitholders (betting outlets? - not sure how it works in NJ) may combine the total $ bet from a single race with other $ bet from other races, in order to reduce the adverse effect of large wagers. This would only be allowed in races/bet types/tracks where takeout is consistent.

Here's the crux of it paraphrased from their own words: The NJRC may authorize permitholders to combine all wagers placed on the results of one or more running or harness horse races into a single parimutuel pool in order to create larger parimutuel pools capable of handling a greater variety of wagers and in order to reduce the adverse effect of large wagers.

...maybe? ;)

[Allan]

I was finally able to get the information as to what this is all about.

Single pool wagering was developed by a company called Longitude, LLC. and is a a modification of a product used for trading options. From what I can tell, this may bring parimutuel racing to a brave new world. Apparently, adoption of single pool wagering would result in "larger, deeper, and more liquid" wagering pools which would be able to display accurate odds for all wager types. The company claims it provides accurate recordkeeping and audit trails and allows for new wagering types, such as betting for a horse to come in second and only second; not to be confused with a traditional place or show wager.

Odds supposedly would be more accurate by looking how a horse was being supported in Win, Place, Show and exotic pools. Since this is propriety software, the specifics on how the odds would be calculated is not known at this time, but payouts would be calculated the same way as they are done now.

Here is where it gets a little murky. The following is conjecture based on what they are saying.

If payouts are going to be calculated the same way as they are now, but as some stories indicate it will allow large bettors to wager without crushing the odds, my guess is the odds shown must be forecasting the odds based on how the horse is being supported in other pools, changing the weight given to alternate pools as time goes on.

Let's try a simple example. Let's say track New Era Downs only offers win and exacta wagering. Under the old system, the win odds would be calculated based only on how the money is bet in the win pool. So lets say the horse The Crusher has only $10 bet to win yet there is $1000 bet in the exacta pool with The Crusher on top. Their system must forecast a lot more win money will be coming in on The Crusher to Win. Initially under the single pool model, there is more weight given to the exacta pool than the win pool when calculating win odds. As time goes on, more weight is given to the money wagered in the win pool than the exacta pool on each cycle until at the end, the odds for the win pool are determinded exclusively by the actual money in the win pool.

The big bettor benefits because this new model more accurately predicts what the odds will be at off time because the model anticipates the late money coming in so they can wager with more confidence. Odds will change, but you should not see the situation where the 6-1 at 1 minute to post time goes off at 2-1. The last minute change would probably be more like a 6-1 going off at 5.70-1. The small bettor benefits because they don't see the odds get crushed either.

Here is a link for more http://www.businesswire.com/news/ho...nities-Patented (http://www.businesswire.com/news/home/20101108006720/en/Longitude-LLC-Announces-Exploring-Business-Opportunities-Patented).

[niblick]

You mean I'm not going to be able to experience the thrill of seeing the top half of my exacta reach the gate at 9:1 only to leave the gate at 3:5?

[Thad Brzoska]

I liked what Assemblyman Caputo blogged. Hopefully someone will listen.