Decimal Odds Explained – A Complete Guide

the level of return you will make when you win a bet

Odds are a way of setting the level of return you will make when you win a bet. They are set by the bookmaker or sportsbook to reflect a mathematical way of calculating the likelihood of an occurrence in a sporting situation.

Prior to explaining decimal odds, we shall consider one of the most common methods of placing a bet. Fractional odds are the most commonly used odds, particularly in the UK and Ireland. When you place a bet using fractional odds, it will show you what you will win from the level of your stake placed.

Fractional odds are set out with the first number being the winnings you will obtain with a successful bet. Separated by a hyphen the second number reflects the theoretical stake placed. For example, you may be placing a bet at 4/1 and this means if you bet$1 and win the bet, you will win$4. By using the same odds, if you place a bet of$2 you will win$8. Do not forget that in addition, you will also receive back your original stake together with the winnings.

Despite the widespread use of fractional odds, decimal odds are also becoming more popular. Like fractional odds, decimal odds are a simple way of presenting the odds and it is not difficult to understand them. For example, if the provided odds are set at 7/1 the decimal odds will be presented as 8.0 because if you place a$1 stake you will win$7 plus the return of your initial stake, meaning you receive$8.

Despite fractional odds being more widespread in the UK and Ireland, decimal odds are far more popular in continental Europe. They really are easy to understand as they always provide the total win that will be returned to the bettor for every single unit staked.

Let us make one further example where the set odds are 7/2. In this instance a single unit stake will win 3.5 units. Therefore, the decimal odds will be 4.5 with a 3.5 unit return plus the original one-unit bet.

So now, you can understand the simplicity of decimal odds and the advantages they have when compared to other methods. It is much simpler to understand your return against a$1 stake when using decimal odds. Sometimes fractional odds can create some interesting examples, such as a horse being tipped to win a race at 11/4. In this case the decimal odds would be presented as 3.75 so you understand quickly what a$1 stake will return.

There is only one method required to communicate a decimal odd where fractional odds can create an element of confusion. With fractional odds, the first number is not always higher than the second number. For example, a horse could be priced at 10/3 where a$3 bet will win$10 plus the return of the stake. However, a horse could be priced at 10/11 where a $€ bet will return a profit of$0.91 and a total return of$1.91. This reversal of numbers with fractional odds can be a little difficult to understand for beginners.

When you decide to gamble it is hugely important that you have a full understanding of different types of odds and their meaning. Being able to understand odds will help you to know exactly how much you stand to win and create a better betting environment. The use of decimal odds is increasing worldwide due to its simplicity and many bettors are now using this method to understand their potential returns. Decimal odds really are a simple and easy way to understand your bet and reduce the need for more complicated mathematics.

It might be that you are comfortable to make your bets using fractional odds; however, you may decide to try using decimal odds just to see how easy they are to understand. Decimal odds are now becoming more common when betting on the internet. Here at Galera you can have the option of using decimal odds. All you will have to do is go to our settings menu and select the method of odds you prefer to use.