Why Invest in a Race Horse?

The Queen, Sir Alex Ferguson, Liz Hurley and Wayne Rooney, what do they all have in common? They all have investments in horse racing!

Owning a racehorse is not just for the rich and famous, in recent times it has been opened to the novice investor as well.

Investing isn’t for the faint-hearted though. The Racehorse Owners Association (ROA) says that for every 100 outlay (excluding the cost of purchasing the horse) a racehorse owner is likely to see an 80% loss. The ROA estimates it costs 20,000 a year to train a racehorse. If you add race entry fees, veterinary costs, and insurance you’re looking at more than the average salary in the UK.

All that is aside from the fact that one needs to provide the meticulous care and training that these majestic animals require. Racehorses are kept in state-of-the-art facilities designed to prioritize their well-being. Expert handlers oversee their daily routines, ensuring a balanced diet, regular exercise, and proper medical attention. The stables play a crucial role, in providing a secure and comfortable environment. From proper drainage and quality bedding to stable doors sourced from experts like Scotts of Thrapston (https://www.scottsofthrapston.co.uk/product/stable-doors/) or similar ones, only the best of the best is necessary if one is to see a profit on their investments.

Training regimens are tailored to each horse, combining cardiovascular workouts, strength training, and skill development. Trainers employ cutting-edge techniques to enhance speed, agility, and endurance, aiming for peak performance on the racetrack. Investing in a racehorse means investing in its holistic care, acknowledging the symbiotic relationship between a well-maintained, contented horse and its success on the racing circuit. It’s a commitment to excellence, where every aspect of the horse’s life is optimized for optimal performance.

However, purchasing a whole horse and training it usually isn’t the norm for an investment. Instead, you can purchase shares via syndicates of partnerships. These schemes allow you to visit training stables, watch your horse exercise, and even go in the parade rings.

A horseracing syndicate is any group of people who take a share in a racehorse – and enjoy the thrill of horseracing as a group. Usually, the standard investment is between 2.5% and 5% of the value of the horse. You can find listed racehorses online and their share value, making it easy to understand how many participants are needed in your syndicate. A typical investment might be around 1,500 for 4% ownership. Get your friends and family involved and it can amount to a payment of 250 each for a group of 6. Horses can earn more than 30,000 for winning a small race so imagine the potential of a Grand National winner!

These schemes are open to all if you have the money to invest. Sites like ownaracehorse.co.uk offer different levels of investment. Other companies include UK-based Elite, who have more than 10,000 members paying a yearly fee of 185. For this fee, you do not own any of the racehorse itself but you do get a share of any prize money. Not only is there a thrill of watching horses in competition but also the opportunity to win big bucks from horse racing odds.