The Basics: Asian Handicap
In this article, I will explain to you how Asian handicap works, when it is used, and why people use it. Once you understand the core concept, it will make complete sense to you and allow you to be well on your way in betting the Asian lines.
What is Asian Handicap?
At the end of the day, an Asian handicap is a slightly more advanced form of betting spreads. If you have not already checked out our article on the moneyline vs. spread, check it out here!
Similar to the spread bet, Asian handicaps are meant to increase the appeal of betting on games that are supposed to be blowouts. In soccer, if Manchester United is playing Cambridge United in an FA cup matchup, Manchester United at -2500 is not an appealing bet. And at the same time, you have a hard time throwing even a couple of bucks on Cambridge. So any line is meant to even the playing field and increase the betting appeal.
Asian handicap specifically is splitting your bet to cover two potential lines. If you bet $100 on Manchester United at -2.5/-3.0, $50 is being placed on Man U’s spread of -2.5 and $50 is being placed on the -3.0.
Let’s look at 3 outcomes with this example.
If Manchester United wins by 4 or more goals, you earn all possible winnings and obviously your initial $100, so it was the best outcome for you!
If Manchester United lose, draw, or only win by 1 or 2 goals, the bet does not hit at all, you lose your $100, simple as that.
If Manchester United wins by 3 goals, things get a bit interesting. Recall that your money is split into two pots, -2.5 and -3.0. Your -2.5 bet hits, congratulations! You receive that $50 back along with all winnings. The -3.0 pot, however, pushes. So, you do not win any money, but you also do not lose any. You receive that $50 back. Therefore, you’ve earned half of the possible winnings.
Hopefully this example demonstrated what the Asian handicap is. It’s two separate lines, incorporated into one.
When is Asian Handicap Used?
Asian lines are very prevalent in soccer and sometimes hockey, since the point system is on a lower scale than most other major sports. This allows for more options amongst betters. Very often the default spread will be an Asian handicap.
Think of it this way: Wolverhampton Wanderers are playing Newcastle United in a Premier League match. Wolves have a 60% chance of winning, Newcastle at 20% and a draw is a 20% possibility. The line will likely come out at Wolves -0.5/-1.0 because while they are expected to win, there is a very low percent chance they win by 2 goals or more, however it would not make sense to just throw the line out there at -1.0. The scoring is so compact that sports books had to get creative with soccer spreads.
Why Do People Use Asian Handicaps?
People like to bet Asian handicaps over straight spreads because it limits risk. The variance of a possible outcome is less than that if you bet a single spread. It is similar to diversifying an investment portfolio (very slightly, but nonetheless).
At the same time, people stay away from Asian handicaps because they either do not understand the bet, or do not like the concept of splitting a bet or potentially pushing. Hopefully after this article, you do not fall under the former!
Whichever boat you are in though, now that you’re informed, continue betting better, betting smarter with smartsportsbet!
