1. What are 'fractional' odds?
• Traditionally favoured by bookmakers, fractional odds quote the
net amount that a punter can win relative to his stake.
• Odds of 4/1 ("four-to-one") would imply that the bettor stands to make a
_____ profit on a R100 stake.
• N.B. All winning bets on horse racing are subject to a 6% Betting Tax. E.g.
on a winning bet of 400/100 you will receive R400 - (6% of R400) + R100 =
R400 - R24 + R100 =
1
R400
R476

2. 1.1 If the odds are 1/4 (read "one-to-four"), how much will the customer
win on a R400 stake?
______________________________
1.2 If this is a winning bet, calculate how much the customer will receive
back.
_________________________________________________________
________________
2
Exercise 1
R100
R100 – R6 (6% tax) + stake R400 = R494

3. Example 1:
• 0.4 is the same as 0.4/1
• To get rid of the decimal (.4) we multiply both sides by 10
• Then 0.4 x 10/ 1 x 10 =
Example 2:
• 0.25 is the same as .25/1
• To get rid of the decimal (.25) we multiply both sides by 100 (there are 2
decimal places)
• Then 0.25 x 100/ 1 x 100 = 25/100
• Simplify 25/100 by dividing both sides by 25
• Then 25/100 becomes
3
Remember how to convert the computer odds into fractional
odds:
4/10
1/4

4. Firstly, we convert 5.5 (computer odds) into 11/2 (fractional
odds), then this is what you do:
• 5.5 is the same as 5.5/1
• However, we can't use decimal places and so we must
get rid of the .5
• Multiply both sides by 10: (5.5 x 10) / (1x10) = 55/10
• which we simplify Well, 55/10 can be simplified by
dividing both sides by 5
• (55 divided by 5/10 divided by 5)
• = 11/2
4
Remember how to convert the computer odds into fractional
odds:

5. • Now a punter who wants to spend a R1 000 at odds of 5.5,
what will the bet look like?
• Take 5.5/1 and multiply both sides by 1000 = 5500/1000 (this
is the bet structure).
• The punter will win R5 500 (plus his/her R1 000 stake back
and so they will get R6 500 back).
• If the punter wants to spend R1 000 what will the bet
structure be? Yes, of course, 5500/1000
(R5 500/R1 000).
• Spending R1 000 on the horse means that the
punter will win R5500 and take home
R6 500 (minus betting tax).
5
A punter wants to back Macchiato to win at odds of 5.5:

6. Or they may ask “How much will I win for a stake of R10?” At 11/2 = R55/R10
= R55.
The bet structure is 55/10
• ALWAYS REMEMBER: 55/10
6
Now let us go back to the example of Macchiato:
WHAT THE PUNTER WILL PAY
= STAKE
WHAT THE PUNTER WILL WIN
= TO WIN

7. • N.B. All winning bets on horse racing are subject to a
6% Betting Tax.
• E.g. on a winning bet of 400/100 you will receive
R400 - (6% of R400) + R100 = R400 - R24 + R100 =
R476 (6% of R400 = R24).
7
Winning bets pay a 6% Betting Tax

8. Exercise 2 (page 3)
• Convert the following computer odds into fractions
a. 0.25 _____________________
b. 0.3 _____________________
c. 1.5 _____________________
e. 2.5 _____________________
f. 5.0 _____________________
8
1/4
3/10
15/10
5/2
5/1

9. • In South Africa, on the Turfsport system the decimal odds of an outcome
are equivalent to the decimal value of the fractional odds but do not
include a stake unit of 1.
• Thus even odds 1/1 are quoted in decimal odds as 1 and 2/1 as 2. The 4/1
fractional odds discussed above are quoted as 4, while the 1/4 odds are
quoted as 0.25, 11/2 fractional odds are quoted as 5.5.
9
What odds do we see?

10. Exercise 3 (Page 4)
What is the odds price of the horse for the following bets? Give the fractional
odds.
3.1 1000/3000 ______________
3.2 1000/200 ______________
3.3 1000/250 _______________
10
1/3
5/1
4/1