What are the main types of odds?
The representation of the probability, in this case of the odds, change depending of the country and there are different types of odds that make more sense in certain countries. The calculation of the probability always happens apart from the type of odds, but there is several types of representation on the interpretation of the market. The main types of odds are:
- Fractional odds (British odds)
The fractional probabilities are mostly used in United Kingdom and Ireland, the probabilities are based on fractions. The odds are a bit complicated when it comes to profit calculations, but not hard to understand. We explain in the following example:
If a British bettor bets on Cardiff win, that presents us an odd of 9/5, with £100, if the bet wins, the bettor will have a profit of £180. The first number of the fractional odd format it’s the value of the profit and the second one is the investment (there is a division of 9/5 which is 1.8 that multiplies by the stake invested).
- Moneyline odds (American odds)
The American odds have a different model from the fractional, they also have a format but is represented by “+” or “-“.
Los Angeles Lakers -160$
Los Angeles Clippers +150$
By the odds we can see that the Los Angeles Lakers are the favourite. And why? The minus sign represents the responsibility, that is, it’s necessary to place 160$ to win 100$, so your responsibility is greater than the profit and the probability to win is also greater. For the Clippers, it’s necessary to bet 100$ to win 150$, so the responsibility is smaller than the profit, but the win probability is smaller too. In case the odd is, for example, +/- 100$, that means you would win 100$ for each 100$ placed.
- Decimal odds (European odds)
It’s the most used format in the world. There are several experienced bettors that use this kind of odds, they are very popular in Europe and Australia. It’s the easiest format to understand and calculate. See the following example:
By the odds we can see that Hammbarby is the favourite, with an odd of 1.46. The value is pretty low, but the lower is the odd, the smaller is the offered prize (higher is the responsibility). If you bet on Orebro with an odd of 7.5 and if the team wins, the profit will be 7.5 times your stake, but your responsibility will be much smaller. That’s why decimal odds are the easiest to read and understand.
It will always depend on the taste of the bettor and what he pretends. In our homepage you can analyze and compare the best bookmakers in the UK.
The most used odd format in the world are the decimal odds (European odds).
It’s simple, you just need to multiple the odd value with your stake. For example, if you bet £10 in Team A with odds at 1.80, you have to multiply £10 * 1.80 = £18. In this bet, if it wins, you’ll have a total of €18.