I created this Kelly criterion calculator guide so you can use one effectively to work out the right size for your next bet. This will allow you to make the most of your bank and help you perfect bankroll management.
I’ll take you through how they work - don’t worry I won’t get too technical - and cover how you might use one to improve your sports betting experience. I’ll look at how you can tailor the Kelly formula calculator to closely match your betting style, and also some key tips for using it effectively.
Go to BetMGMA Kelly criterion calculator is an effective tool for savvy bettors to use, but just like everything it has some good and bad points:
How much should I bet? This is a common question you’ve no doubt asked yourself, and apart from ‘not more than you can afford to lose’ the answer will vary from person to person. Some people have a big bank and a more open betting style and others a smaller bank and a more measured attitude to risk. Using a free Kelly betting calculator like the one you see on this page will give you some guidance which can be useful if you are uncertain what to do, or feel like you are a bit lax when it comes to bankroll management. It will give you the optimum percentage of your bank you should use for any given wager, provided you put the right information in. While it’s not as intricate as a betting roi calculator to use, having just a few fields to enter - there is quite an intricate calculation behind it - which is another reason why a Kelly criterion calculator is so important: you wouldn’t want to do this manually.
The actual Kelly criterion is a calculation that works out the percentage of your bank you should be using for your nest wager based on three data points:
| Data point | What is stands for |
|---|---|
| O | The odds in decimal format - coveted from American or functional odds if necessary |
| W | The win probability as number - so a 25% probability gives you 0.25 |
| L | The loss probability in the same format - 75% would give you 0.75 |
And the actual formula looks like this: [(O X W) – L] / O = the percentage of your bank you should wager. As you can see, it’s a whole lot easier to just input these numbers into our free Kelly betting calculator and let that do the hard work for you. All you need to do is
There are some other factors here you need to be aware of. First of all the estimated win probability is only as good as who is doing the estimating, so pick your sources carefully or do it yourself. Secondly, like the ROI or arbitrage betting calculator you’ll also find at this betting school, the biggest problem is human error, so always check you have entered your numbers correctly. This includes entering the odds in the right format, and if you don’t have them in decimal format you can find an odds converter here too.
Using the calculation above, if you had odds of 1.7, and an estimated win probability of 65%, you’d find that the figure you’d be presented with would be 15% of your bank. While this has been correctly calculated, betting this much at once might not fit your betting style, and you’d typically favor a more measured approach. This is where the fractional Kelly criterion comes in. It’s not another big equation, it’s just selecting a fraction of the amount. In calculators the full amount is represented by 1, and if you only want to use half, change it to 0.5, and your results will reflect this - in the example turning 15% into 7.5%
Working how much you should be betting to get the optimal use out of your bank sounds complicated and it is. By using a calculator to do the hard work for you, you can use your funds effectively and not worry if you have over or under wagered on your favorite sports. Depending on your betting style, you can also tweak the output to closely match your preferred approach. Like all of the betting calculators you’ll find here, our Kelly formula calculator is free to use, as are all of the guides in this betting school. They can fill in any important gaps in your knowledge, and if you want to become a more savvy bettor I recommend you check them out.
A Kelly criterion calculator is used to determine the optimal percentage of your bankroll to bet on a wager based on the odds and your estimated win probability. It helps bettors maximize their potential returns while managing risk effectively.
Yes, Kelly formula calculators are legitimate and based on a mathematical formula. They calculate the optimal stake for a wager but do not guarantee winning. The effectiveness depends on the accuracy of the input information.
Yes, like the Dutching calculator, anyone can use a Kelly criterion calculator. It's particularly useful for bettors with strategies aiming to optimize their bets and for those with a smaller bankroll looking to maximize their funds effectively.
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