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6 Major Risks of Arbitrage Betting and their Solutions


(5) Money Management

It is normally an easy and straight forward process to deposit money in bookmaker accounts, but withdrawing may often be quite a challenge!

A good number of bookmakers charge fees for certain methods of withdrawal transactions, some pay out by cheque only, or allow only limited withdrawals over a period of time.

Frozen 200 Euro note in a block of iceImage: Bruce Rolff (Shutterstock)

Other bookmakers offer only a limited number of currencies, such as Coral who only accept British Pounds (GBP), but, of course, also happen to belong to the fraternity of largest, oldest and most trusted UK bookmakers, which we have already seen are a vital constituent to any arber’s portfolio of bookmakers.

Betting in different currencies may result in foreign exchange losses, but on the other hand also result in foreign exchange gains.

Another risk is that it is easy to lose track of funds when money is spread across a multitude of different bookmakers, each account perhaps having a different user name. Having to login using different IP addresses, makes accurate accounting not only necessary but ultimately increases the risk of human errors.

Possible solutions:

  • The only solution is excellent and very detailed accounting which has to be in place from the very first transaction and include every transaction made from that point onwards. Likewise, as previously mentioned, the terms and conditions of every bookmaker need to be known in every detail.

Arbitrage betting is therefore only suitable for people who find pleasure in bureaucracy and order.

(6) Inexperience and Lack of Discipline

Most of the above problems occur mainly due to inexperience and/or a lack of discipline. The largest losses occur because of ignorance in conjunction with impatience.

Possible solutions:

  • To become a professional arber, you have to accept that at the beginning progress will be very, very slow and tricky. The learning curve will be steep and only the most sure-footed will reach the peak.

    An apprentice arber needs to be willing to accept and commit to a long learning period, until everything is understood and the market becomes more and more transparent.

    It is said that professional arbers have a learning period of three to five years.

    It is vital to exercise patience for the duration and you should also not depend financially on any arbitrage profits, but have another day job until you can afford to make a possible switch.

  • Initially arbitrage trading is carried out without money. Get used to finding arbitrages and play through all the necessary steps with no money involved.
  • The first steps are setting up accounts with multiple bookmakers and organising accounts with electronic services such as Paypal, Neteller and Skrill (Moneybookers), as with all other payment providers bookmakers accept.
  • A good start in the art of arbitrage is to try matched betting for a while and cash in the various available bookmaker bonuses to increase your pot of money available for arbitrage.

    Matched betting will also teach you how to bet on both sides of an event and extinguish the risk of losing money.


Last Update: 15 February 2016

Categories:Arbitrage Betting Systems



9 Responses to “6 Major Risks of Arbitrage Betting and their Solutions”

  1. Aussiebettor
    17 May 2013 at 4:36 am #

    Hi Soccerwidow,

    Are there any arb software programs you have used or reviewed that are any good?

    AB

    • Soccerwidow
      17 May 2013 at 6:09 am #

      Arbitrage software which we think is pretty good:
      RebelBetting
      MathBet

      The latter, MathBet specialises on finding cross-market arbitrages, and may be there even the current market leader.

    • Leroy
      8 June 2016 at 3:03 pm #

      OddStorm is also good arbitrage software.

  2. Editor at LetsCompareBets.com
    29 July 2014 at 11:43 am #

    Good post. Being aware of the risks is very important IMHO. Get an arb trade wrong and the result goes against you, that can serious empty your arbitrage betting bank…. ouch!

  3. Carl
    2 November 2014 at 9:28 pm #

    It is also really annoying when the bookies limit your account before your bonus is unlocked.Personally I think surebetting is one of the safest way of making a long term profit. Also, I found this website: surebetadvice.com, which is full of useful tips.

  4. don rees
    12 September 2015 at 1:11 am #

    i would like to comment on “the time that an arb may last “, in my opinion no one knows how long an arb may last , i have heard 3/4 minutes , in the article above the author suggests 3 /15 minutes.
    i do know from experiences i have had in the development of my own arbs program that arbs can and do last for days and days , in my opinion it mainly has to do with the ” date the match /event is to be played ” , we find lots of arbs fin our arb tables for matches that may not be played for 3 / 4 /5 etc days , obviously there will be less activity in these matches than say one that is due to start in an hour and the bookies are adjusting their odds all of the time .
    to me i am much happier arbing those matches that are days away from starting , my biggest fear has alway been getting maybe 2 of the 3 wagers on , only to find the bookie has altered the odds on the third bet , so i am now out on a limb , i am now straight out gambler with the 2 bets i have already placed , of course to make arbs on matches that are days away from being played requires more capital but ,i am afraid nothing is perfect( i would like to say that NOW i will never be left out on a limb with 1 or 2 bets already placed and the odds changed for the remaining bet , i now know how to ” kill ” the firts two bets with the remaining one , it may not get me out of trouble 100% but it certainly ” will soften the blow ” enough for me to live another day, donar

  5. Right Winger
    12 September 2015 at 2:53 pm #

    Well said, Don.

    It takes an enormous amount of mature thinking and unemotional actions to become good at any form of gambling.

    The major factor governing arbitrage success is the size of the initial bankroll – the larger it is, the easier it becomes to make faster money in agreeable amounts.

    But it should always be remembered that the final outcome should pay for the time invested and provide a healthy profit on top.

  6. don rees
    16 August 2016 at 7:14 am #

    hi guys , i have previously mentioned a program i have that is much better than arbing ,the returns are heaps better , you can round off your wagers to hide from the bookie and the inevitable banning . the website is at www.saverberts.com, a free 12 day trial and then only $65.00 usd a month , have a look if you need any instructions email me i have 3 documents i can send to you explaining saverbets, but a simple explanation , you make a primebet then a saverbet (or saverbets ), if your primebet loses your saver must win and you will get all of your stake money back , you have had a free bet , donar@westnet.com.au

  7. Alex
    20 September 2016 at 10:02 pm #

    Some sportsbook software providers will allow customers to connect their trading software directly to their feeds so they can view market data in real time and place bets as soon as they find a trading opportunity:

    Example: sportsbooksoftware.com – they have a page with data feed information and example JSON file

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