Vig Formula

[Halo]

Hello I was cleaning throw my links and I deleted the vig caluculator does anyone have a link to it. It was very simple you just punched in the ML odds and the bet and it would spit out the return.

Oh does anyone know the mathematical forumla it uses?

Thanks

[Ganchrow]

http://forum.sbrforum.com/players-ta...rary-home.html and click "Scalp Value".

[Halo]

http://forum.sbrforum.com/players-ta...rary-home.html and click "Scalp Value".

I tried that one it doesn't seem to give me the right numbers because its made for two bets.. 100 @ (-110) gets you 91.00 not 90.91

[Ganchrow]

I talk about calculating vig here.

In general the theoretical hold (the "vig ") is given by 1 - 1/overround where overround is the sum of the reciprocals of the underlying decimal odds. (This is equivalent to saying that the overround is the sum of the implied probabilities of the underlying odds).

So for example if the market were +200/-220 the theoretical hold would be 1 - 1/ (100/300 + 220/320) ≈ 2.041%.

This works for multi-way markets, too. For example, if the market were -150/+340/+400, the theoretical hold would be 1 - 1/(150/250 + 100/440 +100/500) ≈ 2.655%.

[Ganchrow]

I tried that one it doesn't seem to give me the right numbers because its made for two bets.. 100 @ (-110) gets you 91.00 not 90.91

You can use it for any number of bets up to 15. Change the drop down where it says "Number of Outcomes:".

I'm not sure I understand what you mean regarding the rounding issue. Could you elaborate? Would you like me to increase the number of significant figures of the output?

[Halo]

I talk about calculating vig here.

In general the theoretical hold (the "vig ") is given by 1 - 1/overround where overround is the sum of the reciprocals of the underlying decimal odds. (This is equivalent to saying that the overround is the sum of the implied probabilities of the underlying odds).

So for example if the market were +200/-220 the theoretical hold would be 1 - 1/ (100/300 + 220/320) ≈ 2.041%.

This works for multi-way markets, too. For example, if the market were -150/+340/+400, the theoretical hold would be 1 - 1/(150/250 + 100/440 +100/500) ≈ 2.655%.

Mother of god I have no idea what your talking about... One thing is for certain though the i'm mad I deleted my calculator link!

[Ganchrow]

Mother of god I have no idea what your talking about... One thing is for certain though the i'm mad I deleted my calculator link!

We'll get you through this. Just explain to me you're trying to figure out here.

Give me some specific numbers and I'll work you through it step-by-step using the scalp value calculator.

[Halo]

We'll get you through this. Just explain to me you're trying to figure out here.

Give me some specific numbers and I'll work you through it step-by-step using the scalp value calculator.

Nope I got it I was looking at the wrong numbers. Thanks for the help :-)

[Dark Horse]

Negative: divide 100 by.
Positive: divide by 100.

[Ganchrow]

Negative: divide 100 by.
Positive: divide by 100.

I think what DH is getting at is in relation to this:

In general the theoretical hold (the "vig") is given by 1 - 1/overround where overround is the sum of the reciprocals of the underlying decimal odds. (This is equivalent to saying that the overround is the sum of the implied probabilities of the underlying odds).

To convert US odds to decimal:

converting positive US odds to decimal:
divide by 100 and add 1 (so +250 in decimal = 250/100 + 1 = 3.500)

converting negative US odds to decimal:
remove negative sign, divide into 100, and add 1 (so -250 in decimal = 100/250 + 1 = 3.5000)

And similarly, as alluded to in the above quotation, probability is the reciprocal of (i.e., "1 divided by") decimal odds. So decimal odds of 3.5000 corresponds to a probability of 1/3.5000 ≈ 28.57%, while decimal odds of 1.4000 corresponds to a probability of 1/1.4000 ≈ 71.43%.

[Dark Horse]

Negative: divide 100 by.
Positive: divide by 100.

Negative:
-110
-120
-130
Divide 100 by:
100/110 = 0.91
100/120 = 0.83
100/130 = 0.77

Positive:
+110
+120
+130
Divide by 100:
110/100 = 1.1
120/100 = 1.2
130/100 = 1.3