Spread Betting
When I first got interested in the gambling scene, it was because of a magazine article on arbitrage betting. The article told of how easy it was to make small gains (e.g. 1%) without any risk, so long as you knew the differences between bookies rules that is and had a bit of wedge.
I’ve not been doing too well at it, mainly because there aren’t too many arbs about and because I’ve not got that much wedge to throw about.
I’ve now clicked on to the fact that bookies in different countries can sometime have quite different odds. Now this can increase the chance of an arb, and the profit from it, but it still requires quite a bit of coordination between on my part, and this has been another of my failings. What I might do instead is to back a runner at the foreign bookie and lay the same runner at betfair. This will reduce my chance of error (less bookies) and also takes down the risk (as odds can change before you have all the bets on). It’s know as spreading betting and as long as the odds at betfair are lower then I’m on a winner (otherwise it’s know as cutting your losses or laying your odds).
I’m going to play with this next, as soon as I’ve found a good bookie (low fees, good exchange rates, plenty of international/UK events). The US looks unlikely as they seem to be closely linked with UK odds and vice-versa, or they simply don’t offer the same sports. Australia is looking like a possibility, but for a lack of internet bookies.
Stay tuned for details.
