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Sportsbook Pricing And The Behavioral Biases Of Bettors In The Nhl, Rodney Paul, Andrew Weinbach
Sportsbook Pricing And The Behavioral Biases Of Bettors In The Nhl, Rodney Paul, Andrew Weinbach
Falk College Research Center
The betting market for the NHL is investigated using actual betting percentages on favorites and underdogs from real sportsbooks. Sportsbooks do not appear to attempt to price to balance the book as betting percentages are not proportional to set odds. As in the NFL and NBA, bettors are shown to have a strong preference for favorites and road favorites in particular. Simple strategies of betting against significant imbalances toward the favorite are shown to generate positive returns. Although not pricing to balance the book, sportsbooks do not appear to price to exploit known bettor biases in all cases. Clear bettor …