Arbitrage Betting
How can Arbitrage occur?
- Differing bookmaker opinions
- Bookmakers taking a particular position
- Bookmakers accepting large wagers on one side and then needing to balance their book
This can be particularly difficult to monitor across a range of markets but there are betting software providers which can support sports arbitrage.
Bookmaker Promotions
Arbitrage Betting is not Gambling Arbitrage betting or sure betting has nothing to do with gambling despite what the word “betting” would suggest. Betslayer teaches you how to place arbitrage bets that.
- Arbitrage betting – also known as arbs, surebets, miraclebets and surewins – is a technique in which you place bets with different online betting companies in order to cover all of the outcomes of a sporting.
- An Arbitrage bet, commonly referred to as an ‘arb’, is where a player exploits price discrepancies between different betting companies, betting on all possible outcomes of an event, guaranteeing a profit.
- Arbitrage is an advanced sports betting strategy that comes from the financial world. This strategy involves multiple wagers on the same game in order to guarantee a profit. An opportunity to arbitrage.
Sign up bonuses and boosted fixed odds promotions can produce arbitrage in betting and matched betting opportunities. Boosted fixed odds with bookmakers allow Betfair users the ability to Back with the bookmaker and Lay the same selection on the exchange to secure a possible profit no matter the result of an event. Bookmaker sign up free bet bonuses can also enable similar arbitrage betting propositions but can often have restrictive turnover conditions required.
Arbitrage Betting Example
If we look at this table with multiple odds from two wagering providers we can try and determine an arbitrage opportunity and also work as a matched betting calculator.
Looking at Wagering Provider 1 independently we see the total market percentage is greater than 100% (100.08%). The same applies for Wagering Provider 2 (104.44%).
| Wagering Provider 1 | Wagering Provider 2 | |
|---|---|---|
| Djokovic Price | $2.12 | $1.72 |
| Nadal price | $1.89 | $2.16 |
| Market % | 100.08% | 104.44% |
This means that by looking at these two providers independently there is no arbitrage betting opportunity present.
By taking the best prices (highlighted in green) from each Wagering Provider and summing the probabilities we get a percentage less than 100%. Sum of probabilities = 93.47%.
Provider 1 Djokovic Probability – 100 / 2.12 = 47.17%
Provider 2 Nadal Probability – 100 / 2.16 = 46.29%
By betting to pay out the same profit regardless of the outcome, the profit margin achieved is 1 divided by the sum of probabilities (1/.9347) which = 6.98%.
Utilising Multiple Wagering Providers
By taking the best prices (highlighted in green) from each Wagering Provider and summing the probabilities we get a percentage less than 100%. Sum of probabilities = 93.47%.
Arbitrage Betting Software Usa
Provider 1 Djokovic Probability – 100 / 2.12 = 47.17%
Provider 2 Nadal Probability – 100 / 2.16 = 46.29%
By betting to pay out the same profit regardless of the outcome, the profit margin achieved is 1 divided by the sum of probabilities (1/.9347) which = 6.98%. To determine how much to stake on each outcome to return the same amount, use the below matched betting calculator:
Firstly determine the total amount you want to invest into this sports arbitrage. For this example we are going to use $200. Now utilise the probabilities available to determine the stake.
Djokovic stake: $200 * .4717 = $94.34
Arbitrage Betting Formula
Nadal stake: $200 * .4629 = $92.58
Arbitrage Betting Software
Total outlay: $94.34 + $92.58 = $186.92
Djokovic wins: $200 – $186.92 = $13.08 profit
Nadal wins: $200 – $186.92 = $13.08 profit
For more information on arbitrage in betting, check out our Match Betting Mini Hub.
You’ll find plenty of relevant resources, particularly the great articles from Bonus Money.
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Arbitrage Betting Calculator
