Fractional Odds – Understand Easily How Fractional Odds Work

Fractional odds are commonly used in the United Kingdom and Ireland and are sometimes referred to as traditional odds.  When you look at fractional odds for this first time, they may look confusing, especially as there are so many different numbers involved.  However, having read this guide, you will know exactly how fractional odds work, understand what they mean and be able to place your bets with increased confidence.

Fractional odds show you how much you will receive back, for the amount you have bet.  The number on the left side of the fraction, shows the amount of profit you stand to make, if you bet the amount on the right side of the fraction.

Example

Fractional odds of 4/1, which read as four-to-one, mean you will receive four times the profit for every one unit which you stake.  Therefore, in this example, if you stake £10, you will win £40 plus your £10 stake back, to make a total of £50.

 

A further example of a fractional odd is 5/2.  Although the number on the right side of the fraction has changed, the same principle applies.  So, if you bet £2 at odds of 5/2, you will potentially receive £5 in winnings, plus your original £2 stake.

 

Reversed Fractional Odds

However, there also times when you will see fractional odds, which appear to be reversed.  For example, you could see odds of 1/4 or 2/5.  These odds are referred to being ‘odds on’ and appear when an event is very likely to happen, such as a strong favourite to win in a football match.  Therefore, Arsenal would be 1/4 on, to defeat Colchester in the FA Cup.  In these circumstances, you would have to stake £40, in order to make a profit of £10, so you can see how this has reversed in comparison to the odds of 4/1, as discussed above.

 

Odds Against

By looking at the examples above, 4/1 means an event is less likely to happen than at odds of 2/1 or 1/4.  So, a good rule to remember with fractional odds, is that if the number on the left side of the fraction, is bigger than the number on the right side, the outcome from the bet is less likely to happen and this is known as ‘odds against’.

 

Evens

You may also see fractional odds quoted of 1/1, which is also known as ‘evens’.  Evens means you will make back the same amount of money as your stake.  For example, if placed a £10 bet on odds of 1/1, you will receive £10 winnings plus your original stake of £10, thus doubling your money.  Therefore, you can look at fractional odds of 1/1 and see this as a way of doubling the amount of money you stake.

 

Probability

In terms of working out the probability of events actually happening using fractional odds, there is an easy calculation we can use.

Take the odds of 4/1 as used in the above examples.  To calculate the probability of this event happening, you need to complete the following calculation: 1/(4+1) = 0.20.  In other words, there is a 20% chance of this outcome becoming reality.

Likewise, the probability of 1/4 can be calculated by using the following calculation: 4/(4+1) = 0.80.  In other words, there is an 80% chance of this outcome becoming reality.

 

Conclusion

You now how have a good understanding of how fractional odds work and what they mean.  Below is a recap of the key points to remember, which you can easily refer back to when required.

 

 

• The number on the left side of the fraction, shows the amount of profit you stand to make, if you bet the amount on the right side of the fraction

 

• Odds of 4/1 will return £40 profit for a £10 bet, plus your stake back

 

• Odds of 1 /4 will return £10 for a £40 bet, plus your stake back

 

• If the number on the left side of the fraction, is bigger than the number on the right side, the outcome from the bet is less likely to happen