If you’re new to betting or want to sharpen your strategy, this Arbitrage, Hedging & Prop Bet guide will help you understand three powerful tools to manage risk and increase your chances of profit. Whether you’re placing a prop bet on the AFL or hedging during live NRL odds, these tactics are widely used by smart punters — and even professional traders.
And yes — they do work in Australia. Let’s break it down.
What is Arbitrage Betting?
Arbitrage betting, or “arbing,” is when you place bets on all possible outcomes of an event across multiple bookmakers to lock in a guaranteed profit — regardless of who wins.
How It Works in Australia
- You find odds differences between Aussie bookmakers.
- You calculate the stake for each outcome using an arb calculator.
- You place each bet with precision and speed.
- You pocket the difference in the odds.
Example:
Outcome | Bookmaker A | Bookmaker B | Stake (AUD) | Outcome |
Team A wins | 2.10 | — | $510 | $1,071 |
Team B wins | — | 2.05 | $490 | $1,004.5 |
Total profit | — | — | $1,000 | $71 guaranteed profit |
⚠️ Pro Tip: Arbitrage is legal in Australia, but many bookies don’t like it. Some may limit or restrict your account.
What is Hedging in Betting?
Hedging is a way to reduce your risk or lock in a profit — especially useful for live betting.
Common Hedging Strategies:
- Hedge mid-game: Place a second bet once the odds shift.
- Cash out partially: Lock in a win or reduce your loss.
- Use multi-bookmakers: For better price and liquidity.
Voice Search–Friendly Example:
“How do I hedge a bet in the NRL?”
Start by betting on one team pre-game, then place a second bet on the other team live when their odds improve.
What Are Prop Bets?
Proposition bets, or prop bets, are wagers on events within a match, not the final result.
These are extremely popular among Australian bettors for the AFL, NRL, cricket, and tennis.
Examples of Prop Bets:
- Who scores the first try?
- How many goals will be kicked in the first quarter?
- Total match points over/under 160.5
- Number of aces by a player
Prop bets often have higher margins but offer great entertainment and creative strategy.
Comparison Table: Arbitrage vs Hedging vs Prop Bets
Feature | Arbitrage | Hedging | Prop Bets |
Risk Level | Very low (if done right) | Moderate | High |
Bet Type | Multiple outcomes | One or more outcomes | Event-specific |
Time Sensitivity | Fast & precise | Flexible, often live | Pre-game & in-play |
Payout Guarantee | Yes (small profits) | Sometimes | No |
Skill Level | High | Medium | Beginner to advanced |
Popular in AU? | Niche but growing | Yes | Very popular |
How to Get Started in Australia
If you’re serious about betting smarter, we recommend starting here:
👉 BookiesPedia Bet 101 Guide
This covers the basics, choosing Australian-friendly bookies, and avoiding common rookie mistakes.
FAQs – What Aussies Want to Know
Yes, arbitrage betting is legal. However, Aussie bookmakers may limit your account if they detect arbing activity.
Absolutely. Hedging is often used during live betting to protect your stake or secure partial profit.
They can, especially if you understand the sport well. But they often carry a higher house edge.
It’s difficult. Margins are slim, and bookmakers watch for it. But some experienced punters do it part-time.
AFL and NRL are top choices due to the number of bettable in-game events.
Usually, yes. Cash-out options give you less value than placing your oedge.
Final Thoughts
Mastering arbitrage, hedging, and prop bets can seriously up your game as a punter in Australia. Whether you want to profit slowly and safely or get creative with your wagers, this guide is a great starting point.
🎯 Want to learn more or start smart?
Check out the complete beginner guide at BookiesPedia Bet 101
