Accumulators allow you to combine multiple bets, and potentially win big when all your selections win. Accumulators may seem great news to casual gut instinct bettors. After all, they offer the chance to win a lot of money for a small amount gambled. However, for the value bettor who is looking to potentially make a long term profit from betting, accumulators pose a great problem! We have already discussed the notion of overround – bookmakers will want to build in a profit margin on the markets they offer. However, when overrounds are multiplied it can be a big problem for the bettor! Hence, we are posting this Mitigating accumulator overround disaster article.
Let’s say you place a double (2 selection accumulator), with both bets having an overround of 12%. To calculate the combined overround:
[(1.12 x 1.12) multiplied by 100] minus 100 = 25.44% overround
Bookmakers would love you to place this accumulator, rather than 2 single bets. As an accumulator the total overround is more than double the individual overrounds.
Let’s say you place a 4 selection accumulator, and all four bets have a 12% overround. To calculate the combined overround:
[(1.12 x 1.12 x 1.12 x 1.12) multiplied by 100] minus 100 = 57.35%… Read the rest