The likelihood or probability of a specific outcome occurring in a game. They are used to determine the potential payout a player can receive if their bet is successful. Odds are typically expressed as a ratio or fraction, such as 2:1 or 1/4, and can be interpreted in different formats, including decimal, fractional, and moneyline (American) odds.
Odds represent the ratio of the probability of an event happening to the probability of it not happening. For example, if the odds are 1:1 (even odds), it means there is an equal chance of winning or losing.
There are three different types of odds that you will encounter.
- Decimal Odds: Commonly used in Europe, these odds represent the total return on a bet, including the stake. For example, a decimal odd of 1.4 means you would receive £1.40 for every £1 bet.
- Fractional Odds: Used in the UK, these odds show the potential win relative to the stake. For example, 6/1 means you win £6 for every £1 bet.
- Moneyline Odds: Used in the U.S., these odds are represented as a positive or negative number indicating how much you need to bet to win £100 or how much you would win if you bet £100.
To calculate the probability of an event using fractional odds, you use the formula: Probability (%) = B / (A+B), where A is the number of times you lose and B is the number of times you win. The payout is determined by multiplying your stake by the odds. For decimal odds, you multiply your stake by the decimal number to get the total return, including your stake.
