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What are Pot Odds & Pot Equity? How do you calculate Pot Odds and Pot Equity? Source: Popular Games of Poker

##### Understanding Pot Odds and Pot Equity

Pot Odds are the ratio between the size of the pot and the size of the bet faced by the player. E.g., if there is ₹100 in the pot and your opponent bets ₹20, you will have to bet one-fifth of the pot in order to get the chance of winning it. A call of ₹20 to win ₹100 represents pot odds of 5:1

Odds are most commonly expressed as ratios, but converting them to percentages often make them easier to work with. The ratio has two numbers: the size of the pot and the cost of the call. To convert this ratio to the equivalent percentage, these two numbers are added together and the cost of the call is divided by this sum. For example, the pot is \$30, and the cost of the call is \$10. The pot odds in this situation are 30:10, or 3:1 when simplified. To get the percentage, 30 and 10 are added to get a sum of 40 and then 10 is divided by 40, giving 0.25, or 25%.
Source Source: Udemy

Pot Equity is basically your odds of winning the pot. To calculate your pot equity, you have to count how many outs you have to make your hand. then multiply your outs by four (on the Flop) or multiply your outs by two (on the Turn). E.g., if you have an open-ended straight draw (where you have 8 outs), you have a 32% of making your straight with two cards left to be dealt on the table. [8 Outs x 4 = 32]

You hold As Ah and you have a single opponent with what could be any hand. Your pot equity against a random hand is about 85%, meaning that if you both pushed all-in and the hand went to the showdown you can expect to win about 85% of the time. Notice that this is for a run all the way to the river with no strategy discussion and no chance of anyone folding to scare cards. The effect is the same as if both players agreed to check all the way. Pot equity does not tell you anything about numbers of bets you can expect to win.
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It’s only by knowing how to master the basics do you become a poker player who is taken very seriously by his/her opponents. Learn more about Texas Holdem Poker and Pot Limit Omaha Poker.