The sports betting market has seen dramatic changes in recent years, providing gamblers with an unparalleled variety of wagering options (as well as an abundance of tools to find the bets that offer the most value).
The Kelly criterion is a method wherein a bettor evaluates the payoff odds offered by a bookmaker in relation to his or her own estimation of the likelihood of winning a bet. In the next post I will explain the Kelly Criterion in further detail. What is it that we want to accomplish here, exactly? Look for bets that provide you an edge over the competition.
It has been relied on for decades by educated sports bettors, and for good reason. If you’re having trouble deciding how much of your bankroll to stake on a given gamble, the Kelly Criterion may help. This is because the Kelly Criterion’s origins may be traced back to value bets, which often provide above-average returns.
The significance of sound financial management, in addition to Kelly’s standards
In order to provide an accurate appraisal of your success or failure at a sportsbook, it is crucial that you put into practise fundamental tactics for managing your bankroll. If you don’t know what a bankroll is or why it’s so important to maintain it well-managed, the Kelly criterion will make no sense to you.
Good money management in sports betting involves keeping track of your wagers in an orderly fashion, betting just what you can afford to lose, and keeping a level head under pressure. And instead of money, bets are made in units in 777 Sports Betting.
Unit price expressed graphically
There will be a direct correlation between the amount of money invested at the outset and the eventual value of each token. Each unit loses value at the same rate as the player’s bankroll is predicted to deplete during the duration of the tournament. The amount of your bankroll will certainly fluctuate as the game progresses, but knowing how many units it is worth will help you decide how much to risk on a value bet if you happen to find one. Why? Because your money is measured in units.
The challenge, though, is in determining how many units to invest on a value bet. The Kelly criterion may prove to be an invaluable tool in this area, helping you make more informed wagers and increase your chances of success.
A Look at the Kelly Criteria Bell Labs physicist John Kelly Jr. created the Kelly Criterion in the ’50s. High-stakes gamblers have shown strong support for the Kelly Criterion ever since it was first proposed.
When combined with your preferred sports analytics and modelling tools, the Kelly Criterion algorithm may be able to help you find value on the odds board and provide guidance for the appropriate amount of units to invest in a given bet.
Conclusion
Fortunately, the Kelly Criterion can be written as a simple equation, as the illustration to the right shows. The coin-tossing analogy is often used because it facilitates clear communication. Think about these things: If you believe the coin has a 55% chance of landing on its head, you may make a bet with decimal odds of 2.00 (+100 in moneyline bets).