Centrebet Racing
ihorsebetting.com.au

How are horse betting odds calculated?

The amount you can win in a horse betting depends on the stake and the odds. The stake depends on the amount you’re willing to put on the table. Usually, the possible winnings are higher than the amount you stake and is determined by multiplying the odd with the stake. However, the odds are determined and controlled by the betting company. The odd for a particular horse race varies with time as it approaches race time.

But how are horse betting odds calculated? To calculate the horse betting odds, bookmakers consider some factors. Furthermore, each bookmaker has a team of horse race betting odds compilers working tirelessly to set the appropriate prices.

Factors that affect betting odds

 

A wide range of factors exists that affects the betting odds of a horse race and the betting odds compilers spend a reasonable amount of time gathering and analyzing all possible information before settling on an early price. Then, this price varies accordingly up to the beginning of the horse race, and at this instance ‘beginning price’ becomes fixed.

Odds compilers usually get assistance or feedback from some special people for instance from private handicappers, experts, and gallop watchers located at the different stables. They also usually take into consideration factors that might affect the number of people who support a specific selection, for instance, whether the jockey or trainer is currently famous or successful.

The previous record of how horses performed are used to tell the reputation of different horses. Reputation can be used to fairly judge how odds are to be set and it affects the wagering odds before they are influenced by other factors.

The condition of the horse race players is then studied by compilers in collaboration with other people prior to the race. This helps determine the real horse wagering probabilities on the actual day of the event and it includes the physical capability which reflects its possible efficiency and also the psychological fitness of a horse. This goes a long way to fairly determine how hard a horse will try to accomplish its capacity.

After all, this information has been gathered and compiled, the bookmakers determine the profit margin they want to operate with. This is called over-rounding. This is incorporated in the odds by making all or some of the prices shorter, worked out according to the determined chances of the competitors. This enables the bookmakers to be assured of making a profit.

Due to competition, bookmaker doesn’t over-round to an extent that it makes bettors want to shift to another bookie.Those who continue to increase their prices as compared to their competitors find that, with time, bettors start leaving for others with lower prices.

How various events affect horse betting odds calculation

 

The amount of data that a bookmaker can gather affects how the odds are determined. For instance, in a competition where the horses are all known well, bookie can effectively judge the form of the horses even in a race that is so likely to attract many bettors and the ones likely to attract a substantial number of bets. In this case, betting companies can be confident to some extent that they have set the prices right. Furthermore, in this scenario, even a small amount of bets before the race starts would not have a high effect on the set price and thus resulting in over-rounding being comparatively small.

In contrast, in a race of the same magnitude and length but involving comparatively unknown horses, for instance, a maiden, things are not the same. In this case, the bookmaker has a small form or none at all to go on. In addition, they can’t tell how bettors are likely to place bets. They go ahead to increase the over-rounding, as any considerable amount of bets on horses with longer betting odds will have an effect on the pricing.

Wherever you place a bet or bets, i.e. online, in the betting shop or at the racetrack, it is rewardable to look around and find the best odds for your bet. Usually, odds don’t vary drastically from bookmaker to another, but it still pays slightly more to look for the one offering the best odds.

Leave a Reply

Your email address will not be published. Required fields are marked *