This hedging calculator works out how much you need to back or lay to guarantee a profit or reduce your loss - whether your bet wins or loses - on a betting exchange by trading out of a market - leaving you with an equal profit or loss across all selections in that specific market.
How to use the hedging calculator
- Select either back or lay depending on what your initial bet on the market was.
- Enter your original stake and the decimal odds you bet with.
- Enter the opposing odds which are now available on your selection.
- Enter the commission for the betting exchange you bet with.
- The hedging calculator will then display the amount you should back or lay to lock in a guaranteed market position, irrespective of the result.
- You can use the slider to partially hedge a market, allowing you to trade out only a set percentage of your original bet.
Why use the the trade-out calculator
The Smarkets hedging calculator - also known as a green-up calculator or trade-out calculator - is the perfect tool for traders to quickly know how much they need to either back or lay to hedge a betting market.
Hedging your bets involves placing bets on a different outcome to your original bet to secure a guaranteed profit regardless of the result, or reduce your risk on a market whereby the odds have moved against you.