Using This Tool

What is Arbitrage Betting?

Arbitrage betting is a gambling method in which individuals use differences in odds supplied by various bookmakers to ensure a profit regardless of the outcome of an event. They can secure a positive return on their investment by placing bets on all conceivable outcomes with different bookies, essentially removing the chance of losing money.

How do I Use This Tool?

Using this tool is simple, identify an event (such as a football or tennis match) that you think has an arbitrage profit opportunity. Input the (fractional) odds of each outcome (win A / win B / draw) into a new row, specify your budget for the event, and let the calculator do the work.

(column 1) Fractional Odds

Input the fractional odds of a single outcome of the event. Each row is a different outcome of an event, for example, for a football match you would need 3 rows (odds for win of team A, odds of draw, odds for win of team B). Fractional odds are always in the form of an integer divided by another integer (a/b).

(column 2) Decimal Odds

From the fractional odds inputed, respective decimal odds are calculated.

(column 3) Optimal Ratio

After all fractional odds have been keyed in, optimal ratios are calcualted, these specify the perfect way of splitting you total stake in a way to minimise risk and maximise profit.

(column 4) Placement / Stake

Using the optimal ratios and your specific total stake, the amount you should place on each respective outcome is calculated.

(column 5) Payout / Winnings

This column shows how much you will win if outcome occurs. Mathematically when risk is minimised and profit is maximised all winnings will be equal.

(result 1) Total Profit

Total profit is simply the amount of profit you will make if you make the optimal bets. The winnings subtract the total placements (budget inputed).

(result 2) Return

The ROI, return on your initial investment. For every unit of currency (pound, dollar, etc) you put in how many 100ths (pennies, cents, etc) will you profit. Obviously if this value is negative, you will be loosing money.

How This Tool Works

To view the full mathematical proof of this tool click here.