How betting odds show the money you win2017-09-08
There are three main types of betting odds:
3) Money line odds.
Betting odds is of critical importance because it allows you to understand what your winnings will be.
The expression of this type of odds is A/B. For every value of B that you bet, you will win A, plus the return of your stake.
Fractional odds 2/1 means that for every 1€ you bet, you will win 2€.
The expression of this type of odds is:
Returns = (odds * stake)
Net Profit = (Returns) – (stake)
Net Profit = (odds-1.00) * stake
Decimal odd = 3.0
Stake = 10.0€
Returns = (3.0 * 10.0€)= 30€
Net Profit = 30€-10€=20€
Decimal odds are a simple reflection of the return you will receive for each single unit placed.
For example, odds 1.65 for an event to win, means that for every 1.00€ you bet on that particular outcome, you will receive a profit of 0.65€.
Money line Odds
These are by far the most common form of odds in North America for sports betting. They are expressed as numbers greater than 100, and they can be either a positive or negative number.
Positive money line:
When a money line is a positive number then the odds are the amount you would win if you were to bet $100 and were correct.
For example, a money line of +200 would mean that you would make a profit of $200 if you bet $100 and were correct. That's also equivalent to fractional odds of 2/1 and decimal odds of 3.
Negative money line:
A negative money line represents the amount that you would have to bet in order to win $100 if you were correct.
For example, a -200 money line means you would win $100 if you bet $200 and won. It is also equivalent to fractional odds of 1/2 and decimal odds of 1.5.
2. How betting odds show the probability to win
Betting odds in not only a reflection of how much you win, but they also show you the probability to win the event.
To convert these odds to their respective implied probabilities we make a simple calculation.
Implied Probability = 1 / (decimal odd).
Decimal odd = 3.00
Implied Probability = 1 / 3.00 = 0.33 or 0.33 * 100 = 33%
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