Betting market: analysis of arbitrage situations
- 228 Downloads
An arbitrage practice and its various applications to the betting market are considered. The ratio of profit and commitments and brake-even value of the market are proved. The concepts of speculative and systematic probabilities, conditional profit and conditional loss from a market event, and the efficiency of game strategies are analyzed. A typical two-position model of trading at an exchange is considered.
Keywordsbetting market arbitrage probability betting trading model
Unable to display preview. Download preview PDF.
- 1.E. O. Thorp, “The Kelly criterion in backjack, sports betting, and the stock market.” in: 10th Int. Conf. on Gambling and Risk Taking, Montreal, June (1997).Google Scholar
- 3.O. P. Mar’in, Mathematical Encyclopedia of Sports Betting [in Russian], Moscow (2007) (www.livelines.ru V. 1.1).
- 4.A. Smirnov, Determining the Efficiency of a Game System using Probability Theory [in Russian], http://www.stavochka.com/view.php?contentid=142.
- 5.R. Umarov, Mathematics in Trading [in Russian], http://articles.mql_4.com.Google Scholar
- 6.Bookmaking for Beginners [in Russian], ProBettor, Danger, http://subscribe.ru/catalog/sport.news.prostavki (2004).
- 7.M. Pokrovskii, Sports and Money [in Russian], http://bet-on.ru/ (2005).
- 8.S. Galkin, Hunting for a Bookmaker [in Russian], http://kill-bet.com/ (2007).
- 9.J. R. Miller, How Professional Gamblers Beat the Pro Football Pointspread, Flying M Group (2004).Google Scholar
- 10.J. Duncan, Betting Exchange Guide, Teamtask Direct Marketing (2009).Google Scholar