How arbs can lose — and how to protect yourself
Arbitrage reduces variance, but it isn’t risk-free. Here’s what can go wrong, how it shows up on this site, and how to keep losses small if limits or voids hit.
- Limits or partial fills after the first leg is placed
- Price moves between legs that erase the edge
- Rule mismatches (void/push vs. action) between books
- Palpable error or bad line voided after the other side settles
- Wrong market/period or stale data leading to mis-graded bets
- Stale odds between refreshes: if one side moves after it’s shown, the edge can flip before both bets are placed.
- Stake mismatch from limits or manual sizing: if a book rejects or cuts a bet, the hedge ratio breaks and exposure remains.
The feed stays tight, but odds can move quickly—always confirm both sides before locking in.
Practical ways to minimize losses
Use these habits to keep arb risk small and avoid getting trapped with a single side.
Lock both sides fast: place the harder-to-fill side first (the longer price or tighter book) and confirm fills before moving on.
Size for limits: use realistic stakes per book; if a book often limits, size the opposite leg so a partial fill won’t overexpose you.
Match rules: confirm market/period, push rules, overtime policy, and pitcher/listed player rules before firing both sides.
Watch live movement: if odds are jumping, skip the arb or tighten timing; don’t chase a drifting number mid-place.
Use alternates cautiously: avoid alts or niche props that books void more often; prefer mainlines with healthy liquidity.
Have backups: keep 2–3 books funded so you can pivot if one voids or limits mid-build.
When books limit or void
How to react fast if one side doesn’t stick.