What Is Dutching?
Dutching is a betting strategy where you back multiple selections in the same event, calculating your stakes so that you win the same profit regardless of which selection wins. It's named after Dutch Schultz, a legendary gambler who popularized the technique.
The Core Concept
Instead of betting $100 on a single horse at +400, you might dutch $100 across 3 horses. If the combined odds are favorable, you'll win the same amount no matter which of your selections crosses the finish line first.
Single Bet Risk
Dutching Approach
Key Point
Dutching only guarantees profit when the combined implied probability of your selections is less than 100%. If it's above 100%, you're guaranteed to lose money.
Dutching vs. Arbitrage: What's the Difference?
While both strategies aim to reduce risk, they work differently:
| Aspect | Dutching | Arbitrage |
|---|---|---|
| What you bet | Multiple selections in same event | Opposing outcomes (back vs lay) |
| Profit guarantee | Only if combined prob < 100% | Yes, always |
| Risk | Lose if none of your picks win | Zero risk (guaranteed profit) |
| Typical use | Horse racing, golf, futures | Cross-sportsbook opportunities |
| Profit margin | 5-30%+ if odds are favorable | Typically 1-5% |
Bottom line: Arbitrage is risk-free but rare and low-margin. Dutching accepts some risk (none of your picks winning) but can offer much higher returns when you identify value.
The Dutching Formula Explained
The math behind dutching ensures each selection returns the same profit. Here's the formula:
Dutching Stake Formula
Each selection's stake is proportional to its implied probability relative to the total.
Step-by-Step Breakdown
Convert to decimal odds
+200 → 3.00, +300 → 4.00, +500 → 6.00
Calculate implied probabilities
1/3.00 = 33.3%, 1/4.00 = 25%, 1/6.00 = 16.7% → Total = 75%
Check if profitable
75% < 100% ✓ → Profit margin = 25%
Distribute stakes proportionally
Selection A: 33.3%/75% × $100 = $44.44 | B: $33.33 | C: $22.22
Pro Tip: Skip the manual math entirely. Our Dutching Calculator handles all conversions and stake calculations instantly.
Horse Racing Example: Kentucky Derby
Let's dutch the 2025 Kentucky Derby by backing four contenders we believe have a strong chance:
Scenario: $500 Total Stake
| Horse | American Odds | Decimal | Implied % | Stake | If Wins |
|---|---|---|---|---|---|
| Fierceness | +350 | 4.50 | 22.2% | $164.71 | $741.20 |
| Sierra Leone | +500 | 6.00 | 16.7% | $123.53 | $741.18 |
| Catching Freedom | +600 | 7.00 | 14.3% | $105.88 | $741.16 |
| Stronghold | +800 | 9.00 | 11.1% | $82.35 | $741.15 |
| Total | 64.3% | $500.00 | ~$741 | ||
Risk Assessment
If none of your 4 horses win, you lose the full $500. The combined implied probability of 64.3% suggests roughly a 36% chance of losing. Dutching reduces variance vs. a single bet but doesn't eliminate risk.
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Dutching works brilliantly for long-term futures markets where odds are generous and you can identify multiple contenders:
Scenario: $1,000 on AFC Contenders
| Team | Odds | Implied % | Stake | If Wins |
|---|---|---|---|---|
| Kansas City Chiefs | +400 | 20.0% | $327.87 | $1,639.35 |
| Buffalo Bills | +600 | 14.3% | $234.19 | $1,639.33 |
| Baltimore Ravens | +700 | 12.5% | $204.92 | $1,639.36 |
| Cincinnati Bengals | +1200 | 7.7% | $126.23 | $1,641.00 |
| Miami Dolphins | +1400 | 6.7% | $109.84 | $1,647.60 |
| Total | 61.2% | $1,000 | ~$1,640 |
If any of these 5 AFC teams wins the Super Bowl, you profit ~$640. Combined implied probability of 61.2% means ~39% chance none of them win.
When Does Dutching Work Best?
Ideal Scenarios
- •Horse racing - Many runners, generous odds
- •Golf tournaments - 150+ players, high odds
- •Conference futures - Narrow the field to contenders
- •Award futures - MVP, Heisman, etc.
- •When you find inefficient lines
Avoid Dutching When...
- •Combined implied probability > 100%
- •Two-way markets (better to arbitrage)
- •Heavy favorites dominate the field
- •You're including selections you don't believe in
- •Small profit margin (<10%) isn't worth the risk
5 Common Dutching Mistakes
Dutching when combined probability > 100%
You're mathematically guaranteed to lose money. Always check the dutch percentage first.
Including too many selections
Every selection you add dilutes your profit margin. Stick to 2-6 strong contenders.
Using different sportsbooks with different rules
Dead heat rules, void conditions, and payout timings can vary. Use one book when possible.
Not accounting for odds movement
If odds change before you place all bets, your stakes will be wrong. Use the calculator fresh each time.
Emotional selection
Adding your 'favorite' horse that has no real chance just inflates combined probability and reduces profit.
Related Calculators
Dutching Calculator
Calculate optimal stake distribution
Odds Converter
Convert between odds formats
Implied Probability Calculator
Calculate implied probabilities
Arbitrage Calculator
Find guaranteed profit opportunities
Hold/Vig Calculator
Calculate sportsbook edge
Expected Value Calculator
Find +EV opportunities
Frequently Asked Questions
What is dutching in betting?
Dutching is a betting strategy where you back multiple selections in the same event, calculating stake sizes so you win the same profit regardless of which selection wins. It's named after the legendary gambler Dutch Schultz.
Is dutching the same as arbitrage?
No. Arbitrage guarantees profit by betting both sides (back and lay, or opposing outcomes). Dutching backs multiple selections in the same event at odds that may or may not guarantee profit - it only works when combined implied probability is under 100%.
When is dutching profitable?
Dutching is profitable when the combined implied probability of your selections is less than 100%. For example, if three horses have odds of +200, +300, and +500, their combined implied probability is 33.3% + 25% + 16.7% = 75%, allowing for a 25% profit margin.
Can I dutch futures bets?
Yes! Futures markets like Super Bowl winner, NBA champion, or golf tournament winners often have enough selections with high odds that dutching a group of contenders can be profitable.
How many selections should I dutch?
Typically 2-6 selections works best. Too few and you haven't spread risk enough; too many and your profit margin shrinks to nothing. Focus on selections you genuinely believe have a chance.
What's a good profit margin for dutching?
Aim for at least 15-20% profit margin (combined implied probability of 80-85%). Below 10%, the risk of losing your entire stake probably isn't worth the small profit.
Ready to Dutch Your Next Bet?
Enter your selections and total stake into our Dutching Calculator to instantly see the optimal stake distribution and potential profit.