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Learn How To Calculate Arbitrage Betting
Written by, Kristel Gil Mon 02 Sep
Learn How To Calculate Arbitrage Betting

## Master The Art Of Calculating Arbitrage Betting

Arbitrage Betting is a system that enables a punter to limit the risk they’re exposed to in a single wager. For example, a punter decides to wager on a football match between Sunderland and Leeds United FC. A punter can bet on both teams since they have bad defenses. A punter can also bet on neither team to score since both teams are evenly matched. Based on all the possible results, the match can end goalless, the game can end with both teams scoring, with only Sunderland scoring, or only Leeds United scoring. Out of 4 possible outcomes, a punter hedges against two highly viable products.

## How To Calculate Arbitrage Betting?

Punters can take advantage of arbitrage bets on price differences between bets of less than a few cents. A few cents assured each time can rack up, especially considering a punter is undertaking a lower level of risk by increasing the number of outcomes.

For example, a punter decides to make a wager on BTTS and no team to score. If only one team scores, then the punter loses the bet. However, if neither team scores nor both teams score in a football match, a punter wins the wager. In the first case, the punter stands to win \$50, and in the second case, the punter stands to win \$53. In both cases, the punter makes a profit but a slightly higher yield in the latter.

Formula: (1/odds for A)*100+(1/odds for B)*100

A punter needs to divide the odds for A and B and combine the product to calculate the difference. Punters can use the formula in Excel to automatically calculate the arbitrage wager results. Several arbitrage calculators online can also help punters quickly access and calculate different arbitrage opportunities after considering risk and reward.

Some of the advantages of arbitrage betting and wagers include a lower level of risk, the difficulty involved in learning arbitrage betting, lower level of profits, assumptions of no other costs, and best suited for conservative bettors.

### 1. Lower Level of Risk

Arbitrage wagers are considered lower risk because punters are exposed to a lower level of risk when making and laying the same bet. Punters forgo a higher profit level in exchange for a lower level of risk associated with the wager.

### 2. Difficult To Learn

Mastering arbitrage wagers is the biggest challenge faced by regular and novice punters because arbitrage requires different components such as betting against and betting for different outcomes with other odds, probabilities, and payouts. However, the difficulty isn’t the same as impossible, and punters can utilize resources on the Wewin platform to learn how to make better arbitrage wagers.

### 3. Lower Profits

Arbitrage wagers result in lower profits for a punter versus making a wager on only one outcome. Lower profits mean a lower level of risk or possibility of losing very little money (if any at all). A lower profit comes with profit being assured irrespective of the outcome of the fixture or betting event.

### 4. Assumes No Other Costs

Arbitrage betting assumes that no other costs are included when using an arbitrage wager. However, punters face different charges when making wagers across different countries, such as transaction costs, fees, taxes, and other expenses. These costs reduce the overall profit a punter could potentially win and should be considered when making a betting wager.

### 5. Best Suited For Conservative Bettors

Conservative punters or bettors who don’t like taking excessive risks should consider learning to spot and make arbitrage wagers. Arbitrage wagers come with a lower level of risk, and a lower level of risk also means a lower level of profit. Punters that prefer to secure their betting funds and limited access risk at the cost of little profits are best-suited to making arbitrage wagers. However, punters also need to have considerable betting funds to profit from an arbitrage wager effectively.

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