Please use this identifier to cite or link to this item:
https://www.um.edu.mt/library/oar/handle/123456789/44428
Title: | On developing a solvency framework for bookmakers |
Authors: | Cortis, Dominic |
Keywords: | Bookmakers (Gambling) Gambling industry Financial risk Gambling Financial risk management Finance, Personal |
Issue Date: | 2019-06 |
Publisher: | Casualty Actuarial Society |
Citation: | Cortis, D. (2019). On developing a solvency framework for bookmakers. Variance: Advancing the Science of Risk, 12(2), 214-225. |
Abstract: | The betting industry has grown significantly but there have been no developments in creating a regulatory framework akin to the EU Solvency and Capital Requirement Directives in the Financial Services. This work derives a modular method to calculate the profit and variance of a portfolio of wagers placed with a bookmaker by subdividing these into bundles according to their likelihood size. This calls for improved risk manage-ment and regulatory set-ups similar to those of the financial services industry, which should include a minimum capital requirement for bookmakers to accept a particular number of bets — “A passport for taking risks.” |
URI: | https://www.um.edu.mt/library/oar/handle/123456789/44428 |
ISSN: | 19406444 |
Appears in Collections: | Scholarly Works - FacEMAIns |
Files in This Item:
File | Description | Size | Format | |
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Published Version.pdf | 199.1 kB | Adobe PDF | View/Open |
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