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Is it too good to be true?
Everyone is sceptical when the
opportunity of risk free profit is introduced.
First of all, let's confirm that ArbTracker isn't a magical system
where you just sit back and relax while money flow into your
account. ArbTracker is on the other hand a necessary and unique
tool that helps you take advantage of an exceptional opportunity
to make money risk free. To take advantage of this opportunity it
requires some effort and spare time. As soon as you have opened
your eyes and disovered what arbitrage trading will mean for you
and your economy, we promise that you have never had a more
exciting and profitable hobby.
The problem often is that people compare betting with gambling.
Ironically the same people say they make an investment when
placing money in the stock market. They actually gamble their
money and risk losing all or part of it. You can call it an
investment if you are guaranteed to have your money back,
including a sensible profit.
The big difference between playing the stock market and arbitrage
trading is that arbitrage trading is risk free. You are guaranteed
a risk free profit on your investment.
Arbitrage traders don't seek the thrill in the elements of
uncertainty that occurs when you gamble. They place their money on
an event where they already know the economic outcome.
There's no such thing as a free lunch...?
No, unfortunately there isn't. Where there are winners there have
to be losers, and the losers are the bookmakers. Remember; Both in
gambling and in arbitrage trading you are always playing against
the bookmaker. So there's no free lunch for the bookmakers but we
do have one for you. Actually, the bookmakers don't lose money as
a consequence of arbitrage trading, but their profit margin
decrease. Hence the "losing bookmaker" will not make as much money
on the game as they would have if there wasn't an arbitrage
situation for you to take advantage of.
The secret: Constructing your bet
The hardest part to understand about arbitrage trading is how you
can make money when you place your bets on all possible outcomes
of an event. The key to this is how your stake is proportioned
between the possible outcomes. ArbTracker will construct your bet
in a certain way so that you already know your profit before the
end result is announced. ArbTracker makes sure your economic
outcome is a mathematical certainty. So, you don't bet an equal
amount of money on each possible outcome, but your total stake is
constructed in a way that make you able to take advantage of the
arbitrage opportunity.
If you would like to spice things up a little bit you can actually
construct your bet in such a way that you increase your profit but
still break even if the result doesn't go your way. By placing a
higher stake on the favourite to win and less on the outsider you
will increase your profit substantially if the favourite wins and
break even if the outsider wins. You can of course also construct
your bet the other way around. ArbTracker helps you do this.
Nothing revolutionary
Remember that arbitrage trading is nothing new and revolutionary.
In the finance market arbitrage has been going on for decades.
Actually, arbitrage trading goes on everywhere where there are
markets. For instance, the price of a stock or currency can be
lower in London than in New York. Arbitrage traders in the finance
market are taking advantage of situations like this every day.
The opportunity of arbitrage trading in the odds market has
emerged as an investment opportunity entirely due to the growth of
the Internet. These days, bookmakers are falling over themselves
in the fight to get on the Internet and offer tax free betting,
bonuses and the thrill of gambling to you and me.
Online betting
Gambling is the fastest growing business online and is actually
bigger than the sex industry. Not many months ago there were few
people who would have believed that. This is actually very
important for us arbitrage traders as the gamblers are providing
the all important cash flow to this market. Greedy bookmakers
exploit this situation for what it is worth and create great bets
from an arbitrage point of view.
All sports where there are a limited number of possible outcomes
gives good arbitrage opportunities. The best sports are the ones
where the outcome is limited to 2 or 3. That means usually home or
away, and home, away or draw. You can find arbitrage situations in
just about any kind of bet, but the profit potential is usually
not as high as where the outcomes are limited.
A typical arbitrage situation yields 3% - 10% but occasionally
they can go as high as 30%. Everyone understands that 7% - 10%
profit is a great deal but not everyone understands that even
arbitrage situations yielding 3% can be lucrative business. The
speed of your turnover is the key. Since you can turn over your
capital several times per month those 3% arbs will still make you
a lot of money.
Market activity
Some ask if our software will make the bookmakers adjust their
prices in response to market activity. It is true that bookmakers
in some cases move their prices. However this is not always the
case. If the bookmakers are already seeing two-way business on the
event in question, they don't have to move the prices since a
balanced book is an ideal scenario for them. Ironically, when they
occur, some of these market movements actually create new
arbitrage situations. Some times we see an arbitrage situation
starting off very good but then becomes more of an average
situation after a few minutes. This is usually a response to
market activity. Some situations can disappear quickly and it's
therefor important to grab these as soon as possible.
As a ArbTracker user you are already in the lead since the
software does all the preparation for you. While other traders
have to do manual and time-consuming preparations, ArbTracker has
already done this for you. Arbitrage traders doing all this work
manually won't even have finished their preparations before you
are done! Remember that other traders also have to find their
situations first. ArbTracker is scanning the bookmakers' web sites
constantly and delivers arbitrage situations to you with no human
delay.
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