1109 ET - Flutter Entertainment's FanDuel being the first of the top sports-betting players to unveil a prediction markets strategy is surprising, given its historically lower risk tolerance, but it is being sensibly rolled out, Stifel analysts say in a research note. The company's joint venture partnership with CME Group is strategically the best way to break into the space, the analysts say. Licensing through the CFTC carries long lead times and high costs, making a 100% in-house strategy unattractive, they say. Getting into prediction markets through acquisitions is equally risky given the legal uncertainties at play, the analysts say. A joint venture with CME gives Flutter strategic flexibility with minimal upfront outlay, they say. (dean.seal@wsj.com)
(END) Dow Jones Newswires
August 21, 2025 11:09 ET (15:09 GMT)
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