European Handicap Meaning

Are you new to sports gambling? If so, you may struggle to understand the terminology. Lacking knowledge of common betting terms can make it challenging to select appropriate betting markets. Well, let's take one out of your way. 

Have you heard of ‘Handicap' bets?

We'll explain the ‘European Handicap' and compare it to its counterpart – the ‘Asian Handicap.' Our guide explains both betting options in great detail. Read on to learn more. 

What does European Handicap Entail?

Ever heard of a 3-way bet or 1×2 handicap? That's just another way of saying European Handicap. It's like an Asian Handicap, but with one key difference: you can also bet on a draw.

In European Handicaps, the underdog gets a head start, making things more interesting for those who want to back them. We will use football as an example to explain how it works, but this betting system is also applicable to other sports. Let's jump into an example to make things clearer.

The picture above conveniently describes the European Handicap bet options for a match between Arsenal and Chelsea Football Clubs. 

The home team, Arsenal FC, is definitely the favorite to win this match. So, let's analyze each of the European Handicap bets. Remember, Handicap 1 is for Arsenal FC, and Handicap 2 is for Chelsea FC.

European Handicap (0:1)

• Handicap 1 (0:1): You'll win if Arsenal wins with two goals or more.
• Handicap X (0:1): You'll win if Arsenal wins with one goal.
• Handicap 2 (0:1): You'll win if the match ends in a draw or Chelsea wins. 

European Handicap (0:2)

• Handicap 1 (0:2): You'll win if Arsenal wins with three goals or more.
• Handicap X (0:2): You'll win if Arsenal wins with two goals. 
• Handicap 2 (0:2): You'll win if Chelsea loses with less than two goals, draw, or win.

European Handicap (0:3)

• Handicap 1 (0:3): You'll win if Arsenal wins with four goals or more.
• Handicap 2 (0:3): You'll win if Arsenal wins with three goals.
• Handicap 3 (0:3): You'll win if Chelsea loses with less than three goals, draw, or win. 

European Handicap (0:4)

• Handicap 1 (0:4): You'll win if Arsenal wins with five goals or more.
• Handicap 2 (0:4): You'll win if Arsenal wins with four goals.
• Handicap 3 (0:4): You'll win if Chelsea loses with less than four goals, draw, or win. 

European Handicap (0:5)

• Handicap 1 (0:5): You'll win if Arsenal wins with six goals or more.
• Handicap 2 (0:5): You'll win if Arsenal wins with five goals.
• Handicap 3 (0:5): You'll win if Chelsea loses with less than five goals, draw, or win. 

How do European Handicaps Compare with Asian Handicaps?

Now that we've explained the European Handicap concept let's take a look at Asian Handicaps.

How do Asian Handicaps Work?

It could be a little tricky – especially if you are not familiar with the Asian Handicap lines. These lines show bet results based on the outcome of sports matches. For this type of handicap bet, the stronger team gets a handicap, while the weaker one gets a headstart.

Unlike European Handicaps, there are just two bet options here. Asian Handicaps exclude the ‘Draw' option. 

Asian Handicap Line Table

For reference, check out the Asian Handicap lines for football bets in the table below:

Handicap (Favourite)	Team Result	Bet Result	Handicap (Underdog)	Team Result	Bet Result
-0	Win	Win	+0	Win	Win
	Draw	Stake refund		Draw	Stake refund
	Lose	Lose		Lose	Lose
-0.25	Win	Win	+0.25	Win	Win
	Draw	Half lose		Draw	Half lose
	Lose	Lose		Lose	Lose
-0.50	Win	Win	+0.50	Win	Win
	Draw	Lose		Draw	Win
	Lose	Lose		Lose	Lose
-0.75	Win by 2+	Win	+0.75	Win	Win
	Win by 1	Half win		Draw	Win
	Draw	Lose		Lose by 1	Half Lose
	Lose	Lose		Lose by 2+	Lose
-1.00	Win by 2+	Win	+1.00	Win	Win
	Win by 1	Stake refund		Draw	win
	Draw	Lose		Lose by 1	Stake refund
	Lose	Lose		Lose by 2+	Lose
-1.25	Win by 2+	Win	+1.25	Win	Win
	Win by 1	Half lose		Draw	Win
	Draw	Lose		Lose by 1	Half win
	Lose	Lose		Lose by 2+	Lose
-1.50	Win by 2+	Win	+1.50	Win	Win
	Win by 1	Lose		Draw	Win
	Draw	Lose		Lose by 1	Win
	Lose	Lose		Lose by 2+	Lose
-1.75	Win by 3+	Win	+1.75	Win	Win
	Win by 2	Half win		Draw	Win
	Win by 1	Lose		Lose by 1	Win
	Draw	Lose		Lose by 2	Half lose
	Lose	Lose		Lose by 3+	Lose
-2.00	Win by 3+	Win	+2.00	Win	Win
	Win by 2	Stake refund		Draw	Win
	Win by 1	Lose		Lose by 1	Win
	Draw	Lose		Lose by 2	Stake refund
	Lose	Lose		Lose by 3+	Lose

 

Examples to Explain How Asian Handicaps Work

Let's take a look at a list of Asian Handicap bets to explain its concept further.

The above Asian Handicaps are for a match between Arsenal FC and Chelsea FC. Remember, the favorite gets a negative value, while the underdog gets a positive. 

Arsenal FC (+0.5) vs Chelsea FC (-0.5)

The sportsbook sees Chelsea as the favorite to win. Your 1.15 odds stake will come through if Arsenal wins or draws the match. For the 5.40 odds, the payout only comes from Chelsea winning.

Arsenal FC (-0.5) vs Chelsea FC (+0.5)

The reverse of the above explanation applies here. Betting on the 1.44 odds will only be successful if Arsenal wins the game. For the +0.5 bet to win, Chelsea has to either win or draw.

Arsenal FC (-1.5) vs Chelsea FC (+1.5)

For the -1.5 bet, Arsenal has to win by two goals or more for it to result in a win. Staking on the 1.68 odds will turn into a win if Chelsea wins, draws, or loses by just one goal. 

Differences that Exist Between European and Asian Handicaps

These two bet concepts are quite similar but are even more different in a number of ways. Read more below.

Representations

European Handicap bets use ratio representations such as 0:1, 0:2, and 0:3. These bets can also have whole number representations on some sports betting sites. Let's look at a simple demonstration of a match between Leicester (1) and Southampton (2):

• European Handicap 1 (-1) – 1.65: Leicester must win by two goals or more.
• European Handicap X (-1) – 3.90: Leicester must win by one goal.
• European Handicap 2 (+1) – 4.10: Southampton has to draw the match or win.

Given this explanation, Leicester is the favorite team to win, while Southampton are underdogs. On the other hand, Asian Handicaps use a combination of integers and decimals, including 0.5, -0.5, 1, and -1.

Outcomes

For European Handicaps, you've got three choices of outcomes – 1, X, and 2. It is very similar to 1X2 bets in this regard. For Asian Handicaps, there is no room for a third outcome in ‘Draw.' 

Explanations

It is easier to make sense of European Handicaps once you know the goal ratio. On the other hand, Asian Handicaps can get really complicated. Hence, you must have access to your favored sportsbook's Asian Handicaps line table. The reason is that some bookmakers may deviate from the general one.  

European or Asian Handicap: Which One is Better?

It is a fact that players tend to grasp the concept of European Handicaps better and faster. On the other hand, the Asian Handicap market has seen a staggering growth in its use recently. It all comes down to which one works for you. So, we'll not be judging this case; we will leave that to you. 

The Combination of European and Asian Handicaps

Combining both European and Asian handicap markets can be an effective strategy in Arbitrage betting. This strategy involves looking at more than one bookmaker and identifying disparities in the odds of different outcomes on the same event.  

For this illustration, the European Handicap is now ‘EH,' and the Asian Handicap will be ‘AH.'

Let's consider the odds on three outcomes of Arsenal (1) vs Chelsea (2) from two different sportsbooks, 1 and 2. We'll be referencing ‘Picture 1' for Sportsbook 1. 

1. Sportsbook 1:
   1. EH 1 (0:2): 3.75 (outcome 1).
      1. Arsenal must win with three goals or more.
   2. EH X (0:2): 4.40 (outcome 2).
      1. Arsenal must win with two goals.
         
2. Sportsbook 2:
   1. AH 2 (+1.5): 1.98 (outcome 3). 
      1. This Asian Handicap bet is the same as EH 2 (0:2) on Sportsbook 1. 
      2. On Sportsbook 1, EH 2 (0:2) has 1.65 odds. Thus, 1.98 odds on Sportsbook 2 show a discrepancy, thus creating an avenue for profit.
      3. Chelsea has to win, draw, or lose by one goal, or Arsenal has to win by one goal, draw, or lose. 

With these three selections, we have been able to cover all possible outcomes in this game.

Checking to See if the Combo Presents an Arbitrage Opportunity

There is a formula for ensuring this opportunity. Our calculation must result in a percentage below 100. The formula and calculation are as follows:

= ((1 / outcome 1 odds) x 100) + ((1 / outcome 2 odds) x 100) + ((1 / outcome 2 odds) x 100)

= ((1 /3.75) x 100) + ((1 / 4.40) x 100) + ((1 /1.98) x 100)

= 26.6 + 22.7 + 50.5 

= 99.8%.

From our calculation, outcomes 1, 2, and 3 have arbitrage percentages of 26.6, 22.7, and 50.5. Altogether, the total is 99.8%, which is below 100%. Hence, we have an Arbitration opportunity. 

Calculating Profits and Stakes for these European/Asian Handicap Odds

Now, let's assume our total bankroll is N5000. So, let's find our potential profit using the formula:

Profit = (Stake / Arbitrage %) – Investment

= (5000 / 99.8%) – 5000

= 5010 – 5000

Profit = N10. 

Now, let us calculate the bet amount we must place on each of these outcomes to generate N10 profit using the formula:

Individual wagers (total stake x Individual Arbitrage %) / Total Arbitrage %.

• Outcome 1 = (5000 x 26.6%) / 99.8% = N1333
• Outcome 2 = (5000 x 22.7%) / 99.8% = N1137
• Outcome 3 = (5000 x 50.5%) / 99.8% = N2530

By placing these exact wagers, you can always guarantee a profit of N10 if only one of these bet outcomes comes through. 

Final Thoughts

In comparison to Asian Handicap, European Handicap gives more bet options. Also, European Handicaps raise odds values, thus creating avenues for improved winnings. Research the handicap history of the teams involved in your bet, and you might just pull off a win. 

FAQs on the European Handicap