What are betting odds?
Odds are numerical factors that expresses the probability of an event in a sport and includes the margin of the bookmaker. The odds make it clear to the player what the potential bet win is.
An important factor influencing the formation of odds is the margin of the bookmaker. Margin is the percentage that the bookmaker takes. In other words, this is the net earnings of the bookmaker, which does not depend on the outcome of the event: the player won or lost. Putting on one or another coefficient, consider that you have already paid the margin of the bookmaker, as the margin is taken into account in it.
The simplest example to illustrate the concept of margin would be a meeting of equal strength competitors. The probability of victory of the first and second teams is divided equally, i.e. 50 to 50%. For convenience in the calculations, we translate it into a dimensionless quantity (we denote the probability by the letter P):
P = 50% / 100% = 0.5
The probability of victory of both the first and second teams will be equal to 0.5We consider the coefficient. Mathematically, it is equal to:
Odds = 1 / P = 1 / 0.5 = 2
Logically, bookmaker should have set a coefficient of 2.0 for this event. What does the bookmaker do? It introduces the so-called margin, for example, 5%. These five percent are laid by the bookmaker on both shoulders, and the probability of outcomes will already be in percentages not 50%, but 55% or, accordingly, not 0.5, but 0.55 in dimensionless units. The margin adjusted ratio will be:
Odds = 1 / 0.55 = 1.82
According to the calculations, it turns out like this:
- a bet with a probability of outcome of 50%, you must buy with a coefficient of 2;
- a bet with a probability of outcome of 55%, you must buy with a coefficient of 1.82.
But in reality, you place a bet, the probability of the outcome of which is 50%, on a reduced coefficient of 1.82, in which the bookmaker has already taken into account the margin, in our case 5%.
How to read odds
What Are Decimal, American & Fractional Odds?
Odds are shown in American, Decimal, or Fractional formats, and serve two different functions:
- They indicate that the implied probability of the outcome they’re connected to
- They signify just how much money you can win betting on that result
Your sportsbook may control the odds to incentivize bets on a specific side, and the sum of the probabilities for a single event will constantly surpass 100 percent because the sportsbook takes a cut that is baked into your odds.
What About Decimals?
In Europe, in some Asian countries, the Australia, Europe, Canada, Russia and the CIS countries, and most think they’re the most easy format. Almost all online sportsbooks will offer the choice of displaying their odds in the chronological arrangement, that is sometimes known as European Odds.
The figure is. Chances are comparable to the decimal value of the odds, plus one.
Example:
You bet an Chicago Bulls team with decimal odds of 2.00
An effective bet of $100 on the staff results in a win of $100
Total payout = $200 (2.00 x your original wager of $100)
Understanding American Odds
American Odds are mostly popular in the USA here with Sports books as the name suggests. American sports gambling odds work differently for both favorites and underdogs, and are occasionally known as Moneyline Odds.
American chances for gambling on a favorite job by revealing how much you would need to risk in order to win $100. Let’s exemplify that concept with a few football chances. In American Chances, the + and – symbols until the quantity signify if a team is an’underdog’ or a’favorite’ and the calculation to determine the payout is different for the two cases.
Example:
The Chicago Bulls are -110 to win Sunday’s game
Placing a successful $110 bet on them yields $100 winnings
You also get you original $110 bet back
Total payout = $210
Things are a little different when gambling on an underdog, because the positive number shows just how much you’ll win should you risk $100. You may observe that this is comparable to’odds-on’ stakes in UK markets.
Example:
The Chicago Bulls have chances of +240 that this Sunday
Putting a successful $100 bet will yield $240 winnings
Additionally you get your $100 bet back
Total payout = $340
Finally, Fractional Odds
Called British Odds, UK Odds, or Conventional Odds, Fractional Odds are popular in the Great Britain. UK is a country where bookmakers first appeared. And to this day, she is a trendsetter. The coefficient here has a fractional spelling. Chances quote the total which will soon be paid out – if they win – comparative with their own stake.
Example:
Bournemouth takes on Manchester United from the EPL
Bournemouth’s odds are 5/1, or so the payout will be X 5 in the Event That You back Bournemouth and they win
A $20 bet yields winnings of $100 (20 x 5 = 100)
Additionally you get your $20 wager back
Total payout = $120
On the other hand, a gambler backing Manchester United, that will have odds of 1/5, will observe a payout rate of just $1 for a $5 stake. That means a total payout of 6 to get someone.
Comparing Odds
It isn’t unusual for the chances to appear repeatedly to events or games with regard. This is sensible once you consider it, as the disparity between teams/competitors’ skill levels can be really large in front of a competition gets unfair.
Online sportsbooks in 2019 will allow you to switch between American Fractional or plagiarize Odds however we’ve provided a straightforward graph to convert between a number of their Decimal. Consider it like a reference guide to sports betting!
Obviously, this does not imply that you may not find chances dissimilar to all people. This graph should provide you with a fast and effortless leg upward you are setting your stakes.
It’s somewhat harder to switch between Fractional or Decimal Odds and Moneyline/American Opportunities due to their capacity to select the kind of negative and positive amounts.
Odds Converter Calculator
Decimal to Fractional
Remove 1 from the decimal and convert to a fraction, then reduce to simplest form:
Examples:
1.75: 1.75 – 1 = .75 = 75/100 = 3/4
2.20: 2.20 – 1 = 1.20 = 120/100 = 6/5
Decimal to American
To convert a decimal of 2.00 or higher:
moneyline = (decimal – 1) *100
Examples:
2.00: (2.00 – 1)*100 = 1*100 = +100
3.35: (3.35 – 1)*100 = 2.35*100 = +235
To convert a decimal of less than 2.00:
moneyline = (-100) / (decimal -1)
Examples:
1.9091 : (-100)/(1.9091 – 1) = (-100)/(0.9091) = -109.99 = -110
1.6579 : (-100)/(1.6579 – 1) = (-100)/(0.6579) = -151.98 = -152
Fractional to American
Over 1/1: Convert Fraction to Decimal and multiply by 100.
Moneyline = (fraction value)*100
Examples:
7/4: (7/4) * 100 = (1.40) * 100 = +140
6/5: (6/5) * 100 = (1.20) * 100 = +120
Under 1/1: divide -100 by the Fraction as a Decimal.
Moneyline = -100/(fraction value)
Examples:
1/4: -100/(1/4) = -100/.25 = -400
1/10: -100/(1/10) = -100/.1 = -1000
Fractional to Decimal
Convert the fraction to a decimal and add one.
Examples:
3/4: (3/4) + 1 = (.75) + 1 = 1.75
6/5: (6/5) + 1 = (1.20) + 1 = 2.20
American to Decimal
Positive Odds (“+”): Divide the moneyline by 100 and add 1.
decimal = (moneyline/100) +1
Examples:
+100: (100/100) + 1 = 1 + 1 = 2.00
+235: (235/100) + 1 = 2.35 + 1 = 3.35
Negative Odds (“-“): Divide 100 by the moneyline, then add this value to 1.00.
decimal = (100/moneyline) + 1
Examples:
-110: (100/110) +1 = 1 + 0.9091 = 1.9091
-152: (100/152) +1 = 1 + 0.6579 = 1.6579
American to Fractional
Positive Odds (“+”): Divide the moneyline by 100 and reduce to simplest form
(moneyline/100) -> simplest form
Examples:
+120: (120/100) = 6/5
+250: (250/100) = 5/2
Negative Odds (“-“): Divide 100 by the moneyline and reduce to simplest form
(100/moneyline) -> simplest form
Examples:
-120: (100/120) = 5/6
-300: (100/300) = 1/3