Guest post written by Brian from U Can’t Lose
My name is Brian and I have been working in the world of Sports Arbitrage for longer than I care to admit…as this would confirm that I’m actually much older than I feel and that can only lead to depression at my lost youth (and hair!) 🙂
I will be making monthly posts here at The Race Advisor to try and ease newbies into the exciting (but equally daunting) world of Sports Arbitrage.
First things first…full disclosure. I work for UCantLose.co.uk and so some of the examples and links I use will probably link back to our website. There will be no hard sell in my posts. I am here to offer free and friendly advice, not sell our services. There really is no hidden agenda.
The term Arbitrage has been around for a long time in the financial world and is the practice of taking advantage of price differences. For example, buying currency on one market and then selling it for a bigger price on another market.
I’m sure you are all familiar with the phrase “The House Always Wins” and this is true with sports betting. Bookies will price their books in such a way that it’s impossible to back all outcomes to guarantee a profit.
Most bookies will try to balance their books so each event gives them an approximate edge of around 10%. This means that if you backed a total of £100 on all outcomes of a football match you would be guaranteeing a total return of £90. Now, I’m sure you don’t need me to tell you that, as far as betting strategies go, losing 10% a time is not the best!
This is where the internet and the vast number of online bookies come into play. If you shop around and find the best possible odds on all outcome of a sporting event it is possible to lock in a small profit…regardless of the outcome.
This is known as Sports Arbitrage (Arbs).
An arb occurs when bookies have different opinions on the result of a sporting event or they simply make an error when calculating the odds they should offer. When this happens you can benefit by betting on all possible outcomes to guarantee a profit.
An example of how this works can be found at the link below.
Betting on arbs is totally legal and any profits you make are tax free. This said, you must double check that online betting is allowed in the country you reside in.
I feel I must point out that arbs are not a get rich quick scheme and anyone who tells you otherwise is simply misleading you. It takes dedication and time to become a proficient arber. However, once you master the skills needed, and avoid the potential pitfalls, your time and effort will be handsomely rewarded.
Well that’s pretty much it from me this month I think. I will be popping back to this forum on a regular basis so please feel free to post a reply and I will try to answer as many questions as possible.
I have a number of ideas for next month’s topic, including…
Breaking the myths of arbitrage.
Bankroll requirements and how to manage it.
What are the realistic returns and bankroll growth.
Finding arbs manually.
Finding arbs automatically.
How to use an arbs service.
How many bookie accounts do I really need?
Potential pitfalls and how to avoid them.
I would like you to get as much as possible from these monthly postings so if there is a topic you would like to see covered please ask and I will try to add it.
Brian Edwards has been making profitable arbs for many years now. His website U Can’t Lose provides an Arbitrage Sports Betting and Trading Service that has been designed to provide arbitrage opportunities to newcomers to the world of arbing, teaching you how to build up a bankroll using a stress-free and low risk method.