In the sports world, a betting arbitrage, if done properly, can be very profitable. Making your profit will, however, involve work and research.
In a betting arbitrage, the bettor, or punter, places bets with two (or more) bookmakers, who have different opinions regarding the outcome of a sporting event. This results in both the bettor and the bookmaker profiting.
For instance, let’s say you wagered on two basketball teams, using two bookmakers:
Bookmaker Y has odds of 1.15 on Team A and 7.00 on Team B
Bookmaker Z has odds of 2.00 on Team A and 7.50 on Team B
You can place two separate bets with the two bookmakers-betting on Team B with Bookmaker Z, and on Team A with Bookmaker Y-and no matter the outcome, you will still profit, if you carefully calculate your wager amount.
If you are at all familiar with betting arbitrage, you may have heard rumors that it can make you into a millionaire. Unfortunately, this is only true in limited cases. Each trade will make roughly 3-4% on your initial investment. If you reinvest your winnings plus your initial amount, you can grow your funds, but it will take time. The online betting arbitrage systems can be complicated to learn, so don’t be greedy and rush into multiple trades at the beginning, because you want to become a quick millionaire. This method will only cause you to make mistakes and lose money. Be patient, and with time, your money will steadily grow.
Betting arbitrage can easily start out as a supplement to your income. Don’t quit your day job just yet, because you want to make sure that it is right for you. By the end of the first year, you will probably make a return of 8-12%.
While betting arbitrage is often touted as “easy”, it is not effort-free. There are websites which can help you find sporting events to bet on, but you still need to have a basic understanding of your sport, in case there are any oddball rules that may interfere. For instance, two different bookkeepers may vary in how they react to a pitcher change in a baseball game (some bookmakers will void your bet in this case). This also serves as a reminder to thoroughly investigate bookmakers before your bet is placed, so that there are no surprises.
Similarly, bookmakers have their own websites. You will find that you prefer some over others depending on ease of navigation, and a lot of this depends on personal preference. Keep in mind that these are websites that you will have to quickly use, so be sure you are very comfortable with them. Also, if your computer and web navigation skills are sub-par, you may want to practice using the internet before you start wagering real money.
Finally, once you think you’re ready for betting arbitrage, most people recommend that you start with paper trading. This involves writing down the trades that you would have made, but not actually wagering real money, just for the sake of practice. You may be disappointed, because you may lose some money in your paper practice rounds. But, remember that you are paper trading to protect yourself until you are sure you know what you’re doing.
When you feel you’re ready for the betting arbitrage world, open a few bookmaker accounts, and have fun!