The Risk Takers Podcast Internal Market Making & Simulation Elitism w/ Louie from NoVig | Ep 135
32 snips
Dec 24, 2025 Louie Mastro, a veteran sportsbook trader and quantitative modeller, shares insights from his journey at FanDuel to becoming a key player at NoVig. He discusses the intricacies of internal market making, emphasizing the role of accurate simulations in predicting game outcomes. Louie reveals his philosophy on betting, highlighting the 'Five P's' of success. He critiques market inefficiencies and shares hot takes on NBA player rankings. The conversation also touches on the importance of sportsbook experience for budding traders.
AI Snips
Chapters
Transcript
Episode notes
From Curiosity To FanDuel Trader
- Louie discovered sportsbook inefficiencies after analyzing a friend's live betting edge and realized books manage risk, not perfect prediction.
- That realization led him to scrape odds, build simple models, and eventually get a paper head account and a job at FanDuel.
Trading Is Reaction And Risk Management
- At FanDuel traders mostly reacted to sharp flow and managed price discovery rather than originating perfect lines.
- Openers were fast weighted averages, prioritizing speed and liquidity over absolute correctness.
Derivatives Depend On Mainline Integrity
- Modern retail books act as high-quality derivative calculators built off parent inputs, which makes derivatives reliably priced when parents are correct.
- That also creates vulnerability: if a mainline is faked, derivative markets can be exploited at scale.