Arbitrage Betting Strategy

Arbitrage Betting Strategy

The most enthusiastic punters of them all will often think of betting on sports as an adventure, an escapade of sorts, and a search for the elusive Holy Grail of winning that would make every bet a winning one.

We are sorry to burst their bubble as nothing comes guaranteed in the betting world except the fact you will spend your own money. The money you worked hard to earn as well. So it is no wonder punters are careful and curious, wondering how to enhance their chances of landing a win and turning their investment into long-standing profits.

Strategies are many. There is one, though, argued to be one of the most successful betting strategy which promises risk free returns by exploiting price differentials. To put it in simple terms, its’ your job to find the biggest differences in prices with different bookmakers and make them work in your favour. But, is it really that simple?

What is An Arbitrage Bet?

Let us tell you straight away that it is a strategy that splits the opinion. Some may look at is the Holy Grail of betting, whereas others think of it as a rigid financially-oriented tool that strips off emotion and exhilaration from betting.

Regardless of how you look at it, Arbitrage Betting is the art that should by definition be a bet that allows you to exploit the opportunity to place proportional bets on each outcome of a single event using the offers from differing bookmakers which ultimately should guarantee profit regardless the outcome.

Arbitrage Bet or Arb as it is also called requires scouring the network and is a tiring process. But with so much at stake and risk-free profits in sight, it is well worth all the pedestrian work.

Praise the never-ending advances of the online betting world and the limitless number of online bookmakers that in some cases offer such different odds that it sometimes makes Arbitrage Betting more fun that it normally is.

How Does Arbitrage Betting Work?

In order to best illustrate the Arbitrage Betting, we’ll take you through a simple example.

In order to eliminate needless variable from a football match, regardless of this sports betting reputation and popularity, we’ll take a tennis match as an illustrator. Let us imagine that Player A and Player B are offered by two hypothetical bookmakers 1 and 2 at the following prices:

Bookmaker 1: Player A (1.30) vs Player B (3.93)

Bookmaker 2: Player A (1.42) vs Player B (2.95)

A differential between odds on both players is big enough to create an arb and all you need to do next is to calculate the size of a required bet that would guarantee profit. You do it by dividing 100 by better decimal odds.

Bookmaker 1: 100/3.93 - £25.44

Bookmaker 2: 100/1.42 - £70.42

Choosing to spread the total amount of £100 stake between the two previously illustrated bets (£25.44 on Player B with Bookmaker 1 and £70.42 on Player A with Bookmaker 1) will both result in a £4.30 profit regardless of the outcome of the given match and that is what an Arbitrage Bet will give you.

A risk-free profit and a guaranteed win. However small it may be.