Parlays are a popular form of sports betting that can offer substantial payouts by combining multiple individual bets into one. This type of bet, also known as an accumulator or multi-bet, is appealing to many bettors because of the potential for high rewards. However, parlays also come with increased risk, as all individual bets, or “legs,” must win for the parlay to be successful. Here’s a comprehensive look at what parlays are and how they work.
What is a Parlay Bet?
A parlay bet involves linking two or more individual bets into a single wager. Each individual bet, known as a leg, must win for the parlay to pay out. If any leg of the parlay loses, the entire bet is lost. Because of the increased difficulty of winning all legs, parlays offer higher odds and, consequently, higher potential payouts than placing each bet separately.
For example, a bettor might combine bets on three football games into a single parlay. If the individual bets are on Team A to win, Team B to cover the spread, and the total points in Team C’s game to go over, all three outcomes must occur for the parlay to win.
Types of Parlays
There are several variations of parlay bets, each offering different opportunities and challenges:
- Standard Parlays: These are the most common, combining multiple bets from the same sport or different sports.
- Teasers: A type of parlay where the bettor can adjust the point spread or totals in their favor in exchange for lower odds.
- Round Robins: These involve multiple parlays within a group of selected bets. For example, choosing three teams can create three separate two-team parlays.
- Progressive Parlays: These offer a payout even if not all legs win, but the odds are typically lower than a standard parlay.
How Parlays Work
To understand how parlays work, let’s break down a simple example. Suppose a bettor selects three NFL games with the following odds:
- Game 1: Team A (-110)
- Game 2: Team B (-110)
- Game 3: Team C (-110)
A $100 parlay bet on these three games would multiply the initial stake by the combined odds of all three legs. Since each game has -110 odds, the calculation for the payout (excluding the stake) would look something like this:
- Calculate the decimal odds for each game: -110 odds convert to 1.91 in decimal form.
- Multiply the decimal odds: 1.91 x 1.91 x 1.91 = 6.97.
- Multiply the stake by the combined odds: $100 x 6.97 = $697.
If all three teams win, the payout would be $697 plus the original $100 stake, totaling $797. However, if even one team loses, the entire parlay bet is lost.
Advantages and Disadvantages
Advantages:
- Higher Payouts: The main attraction of parlays is the potential for large payouts from a relatively small initial wager.
- Increased Excitement: Combining multiple bets into one can make watching the games more exciting as bettors have more at stake.
- Simplified Betting: For those who prefer placing fewer bets, parlays offer a way to bet on multiple outcomes without placing individual wagers.
Disadvantages:
- Higher Risk: The need for all legs to win makes parlays much riskier than single bets.
- No Partial Wins: Unlike some other types of bets, there is no consolation if only some of the legs win; it’s all or nothing.
- Complexity: Managing multiple legs and understanding how the odds work can be challenging for beginners.
Conclusion
Parlays are an exciting and potentially lucrative form of sports betting, but they require careful consideration and a thorough understanding of the risks involved. While the allure of high payouts can be tempting, bettors should be mindful of the increased difficulty of winning all legs of a parlay. By balancing the thrill of potential rewards with the realities of the risks, bettors can make more informed decisions and enhance their overall betting experience.
