Arbitrage Calculator Guide
Master arbitrage calculations with our comprehensive calculator guide. Learn stake sizing, profit optimization, and advanced techniques for maximizing your arbitrage profits.
The Mathematics Behind Arbitrage Betting
Arbitrage betting relies on precise mathematical calculations to determine optimal stake sizes and guarantee profits. Understanding these calculations is crucial for successful arbitrage betting, whether you're using automated tools or calculating manually.
Basic Arbitrage Calculation Formula
The Arbitrage Formula:
Stake 1 = Total Stake × (Odds 2 / (Odds 1 + Odds 2))
Stake 2 = Total Stake × (Odds 1 / (Odds 1 + Odds 2))
Profit = (Stake 1 × Odds 1) - Total Stake
Step-by-Step Calculation:
1. Convert Odds to Decimal Format
American odds: +110 = 2.10, -110 = 1.91
2. Calculate Individual Probabilities
Probability = 1 / Decimal Odds
3. Check for Arbitrage Opportunity
Sum of probabilities must be less than 1.0
4. Calculate Optimal Stakes
Use the arbitrage formula to determine bet amounts
Real Example: Step-by-Step Calculation
Example: Lakers vs Warriors
Sportsbook A
Lakers: +110 (2.10 decimal)
Warriors: -110 (1.91 decimal)
Sportsbook B
Lakers: -105 (1.95 decimal)
Warriors: +105 (2.05 decimal)
Step 1: Identify Best Odds
Lakers: +110 at Book A (2.10) vs Warriors: +105 at Book B (2.05)
Step 2: Calculate Probabilities
Lakers: 1/2.10 = 0.476 (47.6%)
Warriors: 1/2.05 = 0.488 (48.8%)
Total: 0.964 (96.4%) - Arbitrage exists!
Step 3: Calculate Stakes ($1000 total)
Lakers stake: $1000 × (2.05 / (2.10 + 2.05)) = $494
Warriors stake: $1000 × (2.10 / (2.10 + 2.05)) = $506
Step 4: Calculate Profit
If Lakers win: ($494 × 2.10) - $1000 = $37.40 profit
If Warriors win: ($506 × 2.05) - $1000 = $37.30 profit
Guaranteed profit: ~$37 (3.7%)
Advanced Calculator Features
Automated Features:
- Real-time odds monitoring
- Instant arbitrage detection
- Automatic stake calculations
- Profit margin optimization
Manual Calculations:
- Step-by-step formulas
- Multiple outcome scenarios
- Bankroll management
- Risk assessment tools
Ready to Master Arbitrage Calculations?
Our advanced arbitrage calculator handles all the complex math automatically, giving you instant stake calculations and profit optimization.