Riskfreeprofit’s Sports Arbitrage Trading - Gambling or Investing?
In the world of financial markets, arbitrage trading is a technique where the trader buys a security at a low price and sells it in another market at a higher price. The trades usually occur at the same time so the trader makes a profit from the discrepancy in pricing on two separate markets. Arbitrage situations are not restricted just to the financial markets. It can happen with the buying/selling of physical goods and with sports wagering.
Arbitrage situations in sports betting occur frequently because different bookkeepers post different odds on the outcome of the same game. If an arbitrage is identified, it is usually a “risk free” or a “can’t lose” situation.
Let’s imagine a football game between Team A and Team B. Bookmaker #1 is giving even odds, so a $100 dollar bet wins $100 if you pick the winning team. Bookmaker #2 has Team A at +200. If you bet $100 on Team A with bookmaker #2, you collect $200 if they win and lose $100 if Team A loses. This is an arbitrage situation where you can make a profit and not lose any money no matter the outcome if you place the following bets.
- 1. Place a $300 wager on Team B at even odds with Bookmaker #1.
2. Place a $200 bet on Team A with Bookmaker #2 a +200.
If Team B wins, Bookmaker #1 pays you $300, but you lose $200 with Bookmaker #2. This leaves you with a $100 profit. If Team A wins, Bookmaker #2 pays you $400 and you lose $300 to Bookmaker #1. This also leaves you with a $100 profit, so no matter who wins, you are in profit.
This system appears very easy to do; however, identifying the arbitrage situation takes some skills and manual labor. The situation can appear quick, and you will have to do the math to secure the outcome and place the bets.
Riskfreeprofit.com has come up with an automated arbitrage trading software call SureBetPro that can make this process easier. The SureBetPro software checks every few seconds for arbitrage situations and delivers it directly to your desktop. You then place your bets and collect your profits.
Numerous arbitrage situations, also referred to as “sure bets”, “scalps” and “risk free bets”, are created every day in sport’s-betting markets amongst the increasing number of bookmakers operating worldwide. These are terms attributed to a minor flaw in the betting system and YOU can take advantage of them! Earning from this flaw is perfectly legal and is tax free in most countries. The difference in the odds determines the amount of risk-free profit to be made by the Sport’s Arbitrage Trader.
Arbitrage is not to be confused with gambling, which carries a risk! It is a system where you trade with TWO different bookmakers who have opposing views on the outcome of an upcoming event on the same event. The result is a profit to you, no matter who wins the event. There is more to arbitrage than this but all the considerations have been built into our state-of-the-art software, so you don’t need to worry!
If you are new to sport’s arbitrage trading, just take a moment to imagine yourself placing a trade that ALWAYS wins, regardless of the outcome of the event. Because you don’t lose when you place an arbitrage trade, you’re not betting at all - you are trading.
There are many systems offered on the Internet for arbitrage trading, some good and some not so good… Most of the services rely upon manual searching for arbs, which is very time consuming and inefficient. Our software eliminates that inefficiency.
Keep in mind that there will be a time consuming initial setup of the software to be done before you can use the software. Before you can place any bets, you will have to open up accounts with bookmakers that the software tracks. There are many bookmakers (about 70 in the software), so you can not place a bet in an arbitrage situation if you do have an account with the bookmaker. You may need to have a significant amount of startup capital as well for initial betting deposits. The software itself is not a one time purchase, but a recurring subscription of $139.00 a month.
The question we have to ask ourselves is if sports arbitrage trading is really gambling or investing if you can never lose. Hmmm?
For more information, please visit www.riskfreeprofit.com
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October 5th, 2007 03:40
I did arbitrage sports betting for about a year, and yes I did make money but it was hard work and very stressful. And you do lose money on some bets so let me tell a few of the pitfalls which those selling the idea don’t mention. I used some free websites which highlighted the opportunities to place bets on. (I did subscribe to a service for a while but even then I found the odds had changed by the time I got to the site, and the subscription reduced the gains).
1. You need to keep money in all the accounts you use most. Odds change very quickly and there is usually no time to load your account when an opportunity arises.
2. Some bookmakers limit the amount which can be placed on particular events. Unfortunately you don’t know what the limit is until you place the bet. This can result in a big loss if your second bet cannot match the first bet. With experience you know which bookmakers will do this and you place the first bet
with them to test the water.
3. Odds change very quickly once a bookmaker realises he is getting a lot of bets (remember there are lots of people doing the same thing). So your arbitrage disappears after you have placed the first bet and you can be left with a loss.
4. Bookmakers have different rules for different sports. For example in tennis in the event of a retiral by one player some bookmakers accept the winner at that time as the final result. Other bookmakers declare the game void and return your stake. Although you can be on the winning side with these rules I lost a lot of money because I was always on the losing side! You would be surprised at how often games are not completed. It takes a lot of arbitrage gains to make up a loss like that.
5. Most arbitrage situations give 0.5% - 1.00% gain, which you can make money with. You do get bigger gains from time to time if you get in before the odds change.
The main reason I stopped arbitrage betting was because the bookmakers who provided the most favourable situations reduced my maximum bets to a value which didn’t make it worthwhile to continue. Despite everything I have said above I still made money, but it took a lot of hours checking the computer throughout the day. It is not as easy as the ads suggest!
October 6th, 2007 07:06
I’ve thought of trying it out, but opted not to realizing that it would take alot of dedicated time in from of the computer in addition to all the setup time. It is analogous to the Gold Rush; people making money selling the tools and equipment and not the prospectors.