Arbitrage Hedge Calculator

Budget allocation, not an existing bet

This tool divides a new budget across both outcomes. Use the main hedge calculator when the original bet is already fixed.

Stake A is rounded to the cent and stake B receives the rest of the budget, so the two stakes always add up to exactly what you entered.

The reciprocal-odds test

Add 1 divided by each decimal price. Below 1 indicates a theoretical positive margin before fees; above 1 produces a modeled loss.

At 2.10 and 2.10 the total is 0.9524, a theoretical margin of about 5% of the budget. At 1.90 and 1.90 it is 1.0526, and the same split loses about 5%.

Arbitrage and hedging in sports betting

Both use the same equal-return idea. A hedge starts from a bet you already hold and adds a stake on the other side; arbitrage starts from a budget and places both bets together, only when the combined prices leave a margin. To hedge a bet you have already placed, use the hedge bet calculator.

Execution can change the result

Odds movement, limits, fees, unmatched bets and differing settlement rules can remove the modeled margin. This tool does not place bets.

Worked example

1. Budget $1,000 across two outcomes priced 2.10 each.
2. Each stake is $1,000 × (1 ÷ 2.10) ÷ 0.9524 = $500.
3. Either outcome returns $1,050, so the modeled net is $50, a 5.00% return on the budget.