A value betting strategy, which is just as well facilitated by the value betting tool of RebelBetting, is very similar to arbitrage in that the software again screens the market for those very same pricing errors resulting in positive value bets for you. However, here you completely skip the hedging bet. Skipping the hedging bet altogether has two very important implications.
First, you forgo paying the insurance price for stabilizing your returns and invest your money entirely in a positive value bet, therefore you maximize the expected return on your capital. Second, by completely giving up hedging your bet, on a single bet level you are at the mercy of lady fortune.
In the long run things always turn into your favor, courtesy of the positive value of your bets. Furthermore, your long run ROI is very predictable – it is a statistical certainty, that your return will closely match the positive value percentage of your bets, which is being neatly calculated and given to you by RebelBetting. But short term you are completely unhedged, should expect huge volatility and therefore take on the highest amount of risk possible.
Obviously, the most risk-avoiding punter will go for an arbitrage strategy and the most risk tolerant for a value betting one. You would be forgiven for not being able to spontaneously decide which of those two boxes you would put yourself into. After all, we are all different and most of us would find themselves somewhere in the middle of that scale. The good thing is that you can try both investment methods for free by joining the 14-day free trials for both sure betting and value betting.