## Sports betting: How to calculate the odds?

To set quotas may need to assess the likelihood of bookmakers for the occurrence of a certain event in the future. Larger bookies work here with extremely large, statistical materials. They also employ for people with experience and sports knowledge. Smaller bookmakers adhere easily to the rates in the industry sizes and differ only slightly from it.

The European format of betting odds is expressed in decimal (e.g. 1.50). The ratio in this case indicates the ratio of use to potential profit. The amount payable is calculated by multiplying the use of the odd. Sets example to 100 euros a betting output which is offered with odds 1.50, the payout if successful, is EUR 150 (1.5 * 100 Euro). To calculate the net profit, you have to deduct from the amount paid, of course, the use – in this case, the gain is 50 euros (150 euros – 100 euros).

For the determination of the rate bookmaker first calculates the probability of each event. The sum of the probabilities of the possible outcomes is mathematically always 100% or decimal first For example, estimates one bookmaker enter the probabilities for the match against Hamburger SV Nuremberg as follows: Hamburg win: 50% (shown in decimal: 0.50) Draw: 30% (0.30) victory Nuremberg: 20% (0.20). Then it is calculated the fair rates by the following formula: Q = 1 / W (where Q is the ratio and the probability W). For the above example then results in the following ratios: Hamburg win: 2.00 (= 1 / 0.50) Draws: 3.33 (= 1 / 0.30) victory Nuremberg: 5.00 (= 1 / 0.20). These are fair odds from bookmakers multiplied by a factor, which is less than 1. This factor can influence his own profit greatly. Its theoretical goal is, that in the wake of all the bets Wetteilnehmer so on the 3 ways to distribute that in any case he makes his planned profit.

Will he e.g. 10 percent of the stakes withheld, it will multiply the fair odds with the value of 0.90, he wants to keep 15 percent, and he takes a factor of 0.85. Let us say, our bookmaker is very fair, then it multiplies the odds by a factor of 0.93. When real rates are then: Hamburg win: 1.86 (= 2.00 * 0.93) Draws: 3.10 (= 3.33 * 0.93) victory Nuremberg: 4.65 (= 5.00 * 0.93).