Pinnacle Arbitrage – Alternative to Laying on Exchanges
Pinnacle Arbitrage Is Well Known Technique Among Professional Punters.
Firstly, we do betting activities, but we don’t gamble. In other words we don’t count on luck or chance. Instead, we do advantage plays based on mathematical edge to beat the bookies. When it comes to the Sports Betting, we use Matched Betting / Sports Arbitrage / Value Bets On Proven Tipsters to lock-in profit or consistently earn extra income. As our name Global Extra Money (GEM) implies, we would like our readers to exploit such opportunities in worldwide. Pinnacle Arbitrage is something that punters from many countries can do and it can create even matched betting opportunities for people who can’t access to bet exchanges.
Pinnacle Super Competitive Odds Can Beat Not Only Peer Bookies But Also Bet Exchange Both Back & Lay Odds.
We Will Share How You Can Make The Best Use Of It!!
By the way, if you don’t know Pinnacle, Pinnacle is Best of The Best Sportsbook in the world for Sharp / Professional Punters. Suggest check our Full Review “Pinnacle Sports Exclusive Review – True Voices of Insiders”
Pinnacle Arbitrage Rationale
We show how to do Pinnacle Arbitrage & Matched Betting by starting up with the excerpts of 2 Pinnacle Articles. These information explain the rationale or verify if Pinnacle odds enable people to do such advantage plays.
Back Bet: How to Calculate Commission-Free Odds
Calculating an exchanges hidden commission
Unlike regular bookmakers, exchanges charge commission on your winnings, i.e. net profit on the market. Base commission is often at 5% of your winnings, but increased to 6% or 7% for many countries. With an exchange like Betfair you place bets, you collect points that will discount your commission, but the points are subject to decay every week, and if you are really successful, you will find yourself caught in the so-called Premium Charge, that may take as much as 60% of your profit.Pinnacle.com
Just in case, you’re not familiar with Bet Exchange, see All About 4 Big Betting Exchanges;
Pinnacle offers 1X2 odds of 1.84 for Swansea to win against Crystal Palace, while that same bet is available at 1.86 at a betting exchange. And you wonder which one offers better value – is the exchange’s 1.86 after commission still better than Pinnacle’ commission-free 1.84?
Decimal odds represent an inversion of probability of an event to happen (e.g., probability of landing on a head when tossing a fair coin is 50%, or 0.50, so equivalent odds are 1/0.50 = 2.00), but also a ratio of your possible return and your stake. For example, if you staked £100 at odds of 1.86, you hope to pocket £186, which consists of the £100 you staked earlier and £86 that you won.
Decimal odds = return / stake
Decimal odds = 1 + (profit / stake)
As we have explained, betting exchanges charge commission on net profit on the market. That means, in this example above, you will get your £100 back untouched, but the £86 that you won will have commission taken off first.
Betting Exchange Commission
Unlike regular bookmakers, exchanges charge commission on your winnings, i.e. net profit on the market
Let’s suppose that you live in a country that has not been affected by commission increase, but unlucky enough to collect sufficient points for commission discount; that means betting exchanges like Betfair will charge 5% of your winnings, or 0.05 * £86 = £4.3; you will pocket the remaining 0.95 * £86 = £81.70.
To summarize, you risked £100 to win £81.70; therefore, you effectively got your bet at 1.817 – or some 3% worse than the odds available at Pinnacle.
By now, you understand how to calculate net odds after commission; if COMM is your exchange commission in %, and ODDS available back odds, then your actual odds, in decimal format, are calculated as:
Actual odds = 1 + (1 – COMM/100) * (ODDS – 1)
Exchanges are a useful weapon in a bettor’s armoury but the way that commission is deducted after the bet often leads them to misinterpret the extent of their value. Now you have the tools to make the calculations yourself it is up to you to decide where to bet, but we think smart bettors will choose Pinnacle.
Lay Bet: Pinnacle Also Could Be Better than Bet Exchange
Think that you have to use an Exchange to lay a bet? Pinnacle Sports can provide an alternative. Find out how. Value when laying odds
In the above article we highlighted how to calculate commission-free odds and explained how the odds offered on Exchanges initially appear better than Pinnacle Sports. However, once their commission is taken off to reveal the true value of the bet, Pinnacle Sports remain the smart bettor’s choice.
But what about when you lay odds? Exchanges enable you to act as a bookmaker and lay the bets, in which case you are betting against the outcome happening. Sometimes a lay bet with an Exchange is equal to another bet at Pinnacle Sports
If you lay an Away team at an Exchange expecting a draw or home win, you then do the same by betting on the Home team +0.5 at Pinnacle Sports. In both cases, you win if the Home team wins or the match ends as a draw, while you lose if the Away team wins. Similar logic applies for betting on the Away team +0.5 at Pinnacle Sports, which is equal to laying the Home team on a betting Exchange.
Other bookmakers offer this bet as “double chance” – home win or draw, away win or draw and home win or away win. For top tier matches, double chance is available on Exchanges too, but liquidity is much lower than on the 1X2 market, so you will struggle to get your bet matched at the desired odds.
You believe Chelsea won’t lose away to Liverpool. Pinnacle Sports offers Chelsea +0.5 at 1.971. (My Note: +0.5 is AH – Asian Handicap, which is exactly the same as double chance, so you will win if Chelsea win or draw) Alternatively, you can click the pink boxes at the Exchange and lay Liverpool at odds of 2.02, or bet on Chelsea or the draw with other bookies at odds between 1.80 and 1.95.
Obviously, Pinnacle Sports’ Chelsea +0.5 easily beats the double chance of other bookmakers, but does it offer better value than laying at the betting Exchange?
As we noticed earlier, when laying, you’re actually acting as the bookmaker, and Exchange member(s) who matched your lay bet is/are the punter(s), or backer(s).
In the previous article example, the backer bets £100, while the bookmaker offers £86, which appears to be the below equation, with the winner taking £186:
Stake * (Decimal odds – 1) or £100 * (1.86-1)
Therefore, when laying, you are risking the amount of money calculated using the formula above, which is known as “Liability”, and you can possibly win the backer’s stake, minus the commission, of course.
So, you lay Liverpool at odds of 2.02 and stake of £100. Your liability is:
100 * (2.02 – 1) = £102
Your possible winnings are the backer’s stake, or £100; if your commission is 5%, your net profit will be £95. So effectively you risked £102 to win £95 i.e. for a return of £197; hence, you got this bet at
decimal odds of 197/102, or 1.931. Obviously, the profit you can achieve at Pinnacle beats the one at the Exchange by some 4%.
From this example above, it is easy to work out the formula to convert lay odds into effective back odds, i.e. odds that easily show your profit after commission. Again, if COMM represents your Exchange commission in %, and ODDS available signify your lay odds, then your actual odds, in decimal format, are calculated as:
Actual odds = 1 + (1 – COMM/100) / (ODDS – 1)
Exchanges are a useful weapon in a bettor’s armory but the way that commission is deducted after the bet often leads them to misinterpret the extent of their value. Now you have the tools to make the calculations yourself it is up to you to decide where to bet.
The above articles suggest that Pinnacle’s Super Competitive Odds usually beat
- Not Only Conventional Bookmakers (this is already known & proven)
- but also Bet Exchange Both Back & Lay After Taking The Commission Into Account
Consequently, we can enjoy the following 2 advantages;
The above is the reason why Pinnacle is the most popular bookmaker being used in Sports Arbitrage. As an evidence of that, the world No.1 Sports Betting Software provider RebelBetting praised Pinnacle as;
For further details of RebelBetting, take a look at our RebelBetting Full ReviewYes, as Rebelbetting comment, unlike almost all other bookies (they are called Soft Bookies) that restrict account of arbers, Pinnacle Promotes Arbitrage
So, you see Pinnacle is MUST Bookmaker for arbers.
Just in case you’re not familiar with it, suggest you take a look at matched betting for dummies;There are countries where people can access to decent number of soft bookies that provide welcome & reload offers, but can’t access to betting exchanges. Then, you may use Pinnacle as an alternative.
As demonstrated in the above example, instead of laying at exchange you can chose;
- Asian Handicap +0.5
- Or Double Chance
In case for those who can’t access to Pinnacle as well, you may consider using Bet Broker. But you need to take a cautious approach if you use the brokerage, suggest read Honest Opinion About Bet Broker & How To Use Them Safely & Smartly