Odds compiler
Encyclopedia
An odds compiler is a person employed by a bookmaker
or betting exchange
who sets the odds
for events (such as sporting outcomes
) for customers to place bets
on. Apart from pricing markets, they also engage in any activity regarding the trading aspects of gambling, such as monitoring customer accounts and the profitability of their operations.
The odds are derived from a variety of factors through analysis of information. Certain markets are highly statistical
, whereas other markets require more intuition and insight. An odds compiler may be required to monitor the financial position the bookmaker is in and adjust their position (and odds) accordingly. They may also be consulted as to whether to accept a bet or not, usually in the case where a very large bet is being placed, so as to not incur dangerously-high liabilities. Odds are usually not set completely independent from other bookmakers but are influenced by what others are quoting. This is particularly important when the overround is below 100% and hence arbitrage betting
, where betters can make a profit regardless of the outcome, is possible (see mathematics of bookmaking
). In this case, the bookmaker with the most aberrant odds would usually alter their odds closer to other bookmakers' prices. The odds are influenced by betting volume so that a selection receiving a high volume of liquidity may have the odds for it cut.
In 2006, there were news reports that the only female odds compiler in the United Kingdom was a woman called Helen Jacob of Sky Bet
.
Bookmaker
A bookmaker, or bookie, is an organization or a person that takes bets on sporting and other events at agreed upon odds.- Range of events :...
or betting exchange
Betting exchange
A betting exchange is an entity which provides "trading" facilities for retail or bookmaker customers to buy and sell contracts. Contracts are structured as binary options. Some betting exchanges may also offer CFD products...
who sets the odds
Odds
The odds in favor of an event or a proposition are expressed as the ratio of a pair of integers, which is the ratio of the probability that an event will happen to the probability that it will not happen...
for events (such as sporting outcomes
Sports betting
Sports betting is the activity of predicting sports results and placing a wager on the outcome.-United States of America:Aside from simple wagers such as betting a friend that one's favorite baseball team will win its division or buying a football "square" for the Super Bowl, sports betting is...
) for customers to place bets
Gambling
Gambling is the wagering of money or something of material value on an event with an uncertain outcome with the primary intent of winning additional money and/or material goods...
on. Apart from pricing markets, they also engage in any activity regarding the trading aspects of gambling, such as monitoring customer accounts and the profitability of their operations.
The odds are derived from a variety of factors through analysis of information. Certain markets are highly statistical
Statistics
Statistics is the study of the collection, organization, analysis, and interpretation of data. It deals with all aspects of this, including the planning of data collection in terms of the design of surveys and experiments....
, whereas other markets require more intuition and insight. An odds compiler may be required to monitor the financial position the bookmaker is in and adjust their position (and odds) accordingly. They may also be consulted as to whether to accept a bet or not, usually in the case where a very large bet is being placed, so as to not incur dangerously-high liabilities. Odds are usually not set completely independent from other bookmakers but are influenced by what others are quoting. This is particularly important when the overround is below 100% and hence arbitrage betting
Arbitrage betting
Betting arbitrage, miraclebets, surebets, sports arbitraging is a particular case of arbitrage arising on betting markets due to either bookmakers' different opinions on event outcomes or plain errors. By placing one bet per each outcome with different betting companies, the bettor can make a profit...
, where betters can make a profit regardless of the outcome, is possible (see mathematics of bookmaking
Mathematics of bookmaking
In betting parlance, making a book is the practice of laying bets on the various possible outcomes of a single event. The term originates from the practice of recording such wagers in a hard-bound ledger and gives the English language the term bookmaker for the person laying the bets and thus...
). In this case, the bookmaker with the most aberrant odds would usually alter their odds closer to other bookmakers' prices. The odds are influenced by betting volume so that a selection receiving a high volume of liquidity may have the odds for it cut.
In 2006, there were news reports that the only female odds compiler in the United Kingdom was a woman called Helen Jacob of Sky Bet
Sky Betting and Gaming
Sky Betting and Gaming is a British-based gambling company, and a subsidiary of BSkyB, with offices at Sky's headquarters in Isleworth, London and in Leeds, West Yorkshire. The company consists chiefly of five websites and two TV channels...
.