20 say they lost $1m in investment scam Victims were told the betting programme was legal as bets were not placed in Singapore.The victims have started a WhatsApp chat group to share information.
Bank employee Jeffrey Tan considers himself to be savvy in making financial investments.
But last December, the 30-year- old began putting $20,000 in an offshore sports arbitrage betting company and went on to lose half of it.
He also persuaded about six friends and his parents to invest about $200,000 in all. They lost all their money.
"He promised returns of 2 to 10 per cent every month"
How does sports arbitrage betting work?
Punters place a series of bets that will either win or minimise their losses, regardless of a game's outcome. They take advantage of different odds offered by bookmakers, who are sometimes based in different countries.
For example, countries A and B could be facing off in a World Cup match. Each team is favoured to win in its own country, so bookmakers on the home turf of each offer different odds. It is thus possible for a punter to place bets in both countries in such a way that, whatever the outcome, the winning bets will offset the losses.
Experts say it is about spreading risk through multiple bets. "You just need to find the right bookmakers with the right combination of odds,"
Source: Asia One
http://news.asiaone.com/news/singapore/ ... tment-scam
It's all about "how much you made when you were right" & "how little you lost when you were wrong"