Quite often we hear questions from newbies like “How to make money with arbitrage betting?” “What bankroll I need to start from?” etc. These questions are logical as financial framework is the key point in arbing.
Today I’d like to touch upon the issue of finance, specifically initial bankroll.
Where to start?
Today’s players are afraid to arb as they believe it requires large financial investments. At some point, it’s true. The more you invest, the more you get.
But it doesn’t mean you have to pour thousands into your bookmaker accounts. Initial bankroll can amount to $60-$100 or even less. The only thing that matters is to have a minimum deposit on your regular bookmaker accounts.
For start, several bookmakers for work will do. On your list should be the bookie which is loyal to arbers (Pinnacle or Sbobet) + one more bookie which is rich in arbs (like Bwin).
Prematch is a good way to start. Live is pretty profitable but difficult in use for a newbie.
How to make money with arbitrage betting?
If you decide to entrust the process of abr search to pros and use abr services, you’d have to set your sorting right.
We have two options here: chase high percentage arbs or bet on rapid turnover.
Personally, I’d recommend the second variant. You have to understand that the more you bet, the more you get. An arb with high percent is more profitable at first sight, but the event can be held only in a couple of days. During this time you can bet several lower-yield arbs which will give you much more profit in total.
In other words, better to bet 5 times $50 each on 2% arb (total profit $5), than $50 on one 5% arb (total profit $2.5).
It makes no sense to bet on events that’ll start in several days as money will just wait all this time for the match to be started.
Investment return rate (ROI)
Some scanners have a very interesting function like sorting by ROI — investment income rate for a specific period.
This option enables you to include two important indicators like arb’s yield and time after which the money are returned to your account. Due to ROI you can efficiently manage your bankroll which promise large returns.
Perhaps, in theory, it sounds a bit confusing, so let’s proceed to the example:
As of today (27.04.2017, 10:30) the scanner gives out the arbs:
- 5.17% — beginning time 27.04; 19:00
- 3.04% — beginning time 27.04; 22:30
- 2.69% — beginning time 27.04; 16:45
- 2.40% — beginning time 27.04; 18:00
- 2.19% — beginning time 27.04; 19:00
- 1.24% — beginning time 27.04; 11:00
Here I have sorted arbs by yeild like others do. But if you sort them by ROI, it will look a bit different:
- 1.24% — beginning time 27.04; 11:00
- 5.17% — beginning time 27.04; 19:00
- 2.69% — beginning time 27.04; 16:45
- 2.40% — beginning time 27.04; 18:00
- 3.04% — beginning time 27.04; 22:30
- 2.19% — beginning time 27.04; 19:00
The scanner included two parametres: arb’s yield and beginning time that increase your turnover.
Thus, a 1.24% arb is first on this list for a reason. The time the match begins is the earliest among the others. Therefore, it will end approximately at 1 p.m., calculation will be made and you can easily use the money you win for your next bets.
Distribution of funds
It’s not hard to understand, how to make money with arbitrage betting. It is more difficult to learn how to use your knowledge in practice. If you manage your money in the way it will not be wasted but will constantly be in turnover, you can get up to 80% gain (but often this indicator is lower). When your bankroll is going to grow, it would be hard to keep the yield on the top.
Having high bankroll, you will not be able to stake all money you have. Some part of your funds would be left underutilized on your bookmaker account or payment system account.
Here the tip shows up: never keep all your money on your bookmaker accounts but leave some on your payment system account so you can easily fill up the account if necessary.
Moreover, try to evenly distribute your funds at bookmakers (bookmaker you frequently use have more money, other have less).
Conclusion
You don’t have to wait till you have thousands of dollars on your account to start arbing. A hundred would be enough for 2-3 bookies which will help you get some practice. You can raise your bankroll after a while basing on your financial opportunities.
However, mind that most of bookies have limits, so you’d have to emphasize on the number of stakes but not on the value! The most important thing is to believe in yourself and you’ll definitely reach your goal!
