sitting on Sea -2.5 +128, do you Arb?

[Believe_EMT]

arb out for the risk free 4% profit?

arb out half at Min +2.5 and half at Min +3?

let it ride?

is there a right answer?

[ClimbSomeRocks]

I was always taught to only hedge if it is a life changing amount of money.

Arbing is slightly different, so I guess, I'll defer to others on that answer. Did you place the SEA -2.5 hoping for an Arb opportunity? If not, My view is that you have a better than market value wager on this game. The more you wager, the more house edge you are fighting against.

[zorba74]

arb out for the risk free 4% profit?

arb out half at Min +2.5 and half at Min +3?

let it ride?

is there a right answer?

It depends as there is a difference between Expectation and Utility.

With Expectation, the right answer depends on the math.

With Utility, the right answer depends on the person.

Rocks is correct in that you typically only hedge, if:

1) Life changing $
2) Pre-planned

Otherwise, it's usually a regret minimization technique that typically costs you equity.