Schnytzer, Adi; Lamers, Martien; Makropoulou, Vasiliki - 2009
This paper considers the impact of insider trading on forecasting in a betting market when prices are set by bookmakers …, forecasting of race outcomes should take into account an estimate of the extent of insider trading per horse. We show that the … added value of a measure of insider trading for profitable betting is sufficient to reduce the losses when only prices are …