horse ownership,a good investment ?

[john legend 744]

As its now winter and time to look at what is happening with our standardbred industry. One good thing is the info we can all now get on every horse in nz. I

 have been a TAB investor (ok gambler) since Cardigan Bay days and horse owner since Claudelands days (first winner Sun King 1970)

Analysis of the season is pretty dismal for the average owner. We generally are an optimistic group but profitable ownership is a somewhat rare commodity. Taking a figure of approx 2000 horses racing a season  and current ave. costs spread over 12 months of say $55 per day ($20000pa)(spelling- travel/vets etc+)The return for the season to date  shows a huge disparity among horses and owners. For example the top 20 lucky,wise,smart  owners have received from 100000 and 478000 dollars (less drivers/trainer %)The next 40  received from 60000 to 100000 dollars and the next group of say 60 are in the black . Looks good but say 150 horses paying their way is hardly encouraging with 2000 racing. Of course ownership  differs hugely with  costs for purchase and sale returns not included.However the picture is one of an elitist group spending big in most cases and getting a good Return on investment. The situation is dire at the other end with virtually no return or a good size loss for majority of owners.So why do we do it? 1. the chance we may get lucky and end up with a Bettor Twist (top this season) 2. can punt own horse 3 the thrill of a win(even a maiden at Tauherenikau) 4. the social aspect of involvement (although this over hyped in some cases) Many horses owned and raced by trainers can account for many horses and costs involve labour as well . My conclusion (and not the only one) is there is a growing feeling of a sunset industry where stakes have not kept up with costs and ROI on any Business scale is too risky for the investor.

[Hermione 77]

Your summing up is doesn't paint a very rosy picture, but,  apart from a handful of people, horse ownership I considered to be discretionary income spending, with living in hope?  My own classification is to call it (participation) a social club fund and returns on investment an absolute bonus

[DC9 203]

And thoroughbred ownership would be an even bleaker over all prospect. I've owned in all three codes. Dogs are the best return by far for me.

[tasman man 742]

I have had a small share in a number of harness horses and gallopers for many years...rarely a week goes by without a runner !

A few weeks back had an interest in 8 runners in one week !

Had quite a lot of winners BUT regard it as an EXPENSIVE hobby !

[eljay 1,720]

Think of all those free drinks in the Winners Bar!!

[Sickopunter 403]

On 6/25/2021 at 6:25 AM, john legend said:

As its now winter and time to look at what is happening with our standardbred industry. One good thing is the info we can all now get on every horse in nz. I

 have been a TAB investor (ok gambler) since Cardigan Bay days and horse owner since Claudelands days (first winner Sun King 1970)

Analysis of the season is pretty dismal for the average owner. We generally are an optimistic group but profitable ownership is a somewhat rare commodity. Taking a figure of approx 2000 horses racing a season  and current ave. costs spread over 12 months of say $55 per day ($20000pa)(spelling- travel/vets etc+)The return for the season to date  shows a huge disparity among horses and owners. For example the top 20 lucky,wise,smart  owners have received from 100000 and 478000 dollars (less drivers/trainer %)The next 40  received from 60000 to 100000 dollars and the next group of say 60 are in the black . Looks good but say 150 horses paying their way is hardly encouraging with 2000 racing. Of course ownership  differs hugely with  costs for purchase and sale returns not included.However the picture is one of an elitist group spending big in most cases and getting a good Return on investment. The situation is dire at the other end with virtually no return or a good size loss for majority of owners.So why do we do it? 1. the chance we may get lucky and end up with a Bettor Twist (top this season) 2. can punt own horse 3 the thrill of a win(even a maiden at Tauherenikau) 4. the social aspect of involvement (although this over hyped in some cases) Many horses owned and raced by trainers can account for many horses and costs involve labour as well . My conclusion (and not the only one) is there is a growing feeling of a sunset industry where stakes have not kept up with costs and ROI on any Business scale is too risky for the investor.

I cant bet my own horses (or anyone elses) for any decent amount anymore thanks to obscene TAB limits.

I believe the ROI is about 20c to the dollar.

Im out.

[tasman man 742]

42 minutes ago, Sickopunter said:

I cant bet my own horses (or anyone elses) for any decent amount anymore thanks to obscene TAB limits.

I believe the ROI is about 20c to the dollar.

Im out.

True......but your intentions are counter productive to NZ Racing.

On one hand you desire to have a sizeable WIN off the TAB which in effect will reduce stakes through code distribution which makes the ROI even less.

True....the ROI to owners is little more than 20%.

This is pathetic and disgraceful !

[Sickopunter 403]

3 hours ago, tasman man said:

True......but your intentions are counter productive to NZ Racing.

On one hand you desire to have a sizeable WIN off the TAB which in effect will reduce stakes through code distribution which makes the ROI even less.

True....the ROI to owners is little more than 20%.

This is pathetic and disgraceful !

Aren't the intentions of everyone having a bet to win that bet? Do you know anyone who tries to lose? It shouldn't be called gambling if only one side is allowed to win.

[tasman man 742]

2 hours ago, Sickopunter said:

Aren't the intentions of everyone having a bet to win that bet? Do you know anyone who tries to lose? It shouldn't be called gambling if only one side is allowed to win.

My point was if they let too many people win then there would not be money for stakes...in reference to your 20% ROI comment.

I've never had a bet declined ...betting on the tote !

My last sentence was referring to the 20% ROI .