Risk-Free Arbitrage in the Japanese Racetrack Betting Market

Research Project

Project/Area Number	24530197
Research Category	Grant-in-Aid for Scientific Research (C)
Allocation Type	Multi-year Fund
Section	一般
Research Field	Economic theory
Research Institution	Kobe University
Principal Investigator	Ashiya Masahiro 神戸大学, 経済学研究科(研究院), 教授 (10304057)
Project Period (FY)	2012-04-01 – 2016-03-31
Project Status	Completed (Fiscal Year 2015)
Budget Amount *help	¥4,160,000 (Direct Cost: ¥3,200,000、Indirect Cost: ¥960,000) Fiscal Year 2015: ¥1,040,000 (Direct Cost: ¥800,000、Indirect Cost: ¥240,000) Fiscal Year 2014: ¥1,040,000 (Direct Cost: ¥800,000、Indirect Cost: ¥240,000) Fiscal Year 2013: ¥1,040,000 (Direct Cost: ¥800,000、Indirect Cost: ¥240,000) Fiscal Year 2012: ¥1,040,000 (Direct Cost: ¥800,000、Indirect Cost: ¥240,000)
Keywords	裁定取引
Outline of Final Research Achievements	This research project has found arbitrage opportunities in the Japanese racetrack betting market, where risk-free profits are guaranteed. There are 175 thoroughbred races operated by Arao city in the period of September 30 through December 23, 2011. Among them, arbitrage opportunities are found in Race 5 on October 20 and Race 11 on November 25. This result is published in Ashiya, M. (2015) “Lock! Risk-Free Arbitrage in the Japanese Racetrack Betting Market.” Journal of Sports Economics, 16(3), April, pp.322-330.