A money line bet is a form of fixed odds betting commonly taken by American bookies. Therefore, money line odds (or moneyline odds) are often known as American odds.
Because it is a fixed odds bet, no account is taken of the spread. It is a bet on the straight up result of a game or other event.
The odds are expressed in relation to either a stake or a win of $100. People unfamiliar with moneyline betting are often confused by the difference, which is of course very important. You can get around this by understanding how moneyline odds are calculated:
Positive Money Line Odds
The figure quoted is positive (more than zero) when the odds are better than even. In this case, the odds are telling you how much you would win on a stake of $100.
For example, in a situation where the fractional odds are 3/1, you would win $300 on a bet of $100. The moneyline odds will be displayed as $300.
Negative Money Line Odds
You will see a negative figure when the odds are shorter than even. Now the odds are telling you how much you would have to bet to WIN $100.
So if the fractional odds are 1/3, you would need to stake $300 to win $100. The moneyline odds will be displayed as -$300. Note the minus sign – it is very important.
Examples
Let’s imagine a boxing match where Smith, the favourite, is at 1/2 and Jones is at 3/1, with a draw offered at 4/1. The odds will look like this:
Smith -$200
Jones $300
Draw $400
You can clearly see the favourite marked by the minus sign.
In an event with more possible outcomes, for example a horse race, you might find all the contenders on positive odds. The favourite would still be very clear – it is always the one with the lowest number. For example:
Top Star $150 (3/2)
Good Runna $200 (2/1)
Fair Chance $400 (4/1)
Notta Hope $1000 (10/1)
Like decimal odds, money line odds are easier to read than fractional for most people, once you get used to them. It saves having to calculate whether 5/3 is more or less than 8/5 etc which is the kind of thing that stumps many people who are not used to fractional odds. Just remember to look out for the negative in the money line bet.
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September 2, 2008
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