The Pros & Cons of Exacta Wagering
Sure, buy low, sell high. No problem.
(Click on image to enlarge)
Below are the fair $1 exacta payoffs (based on the final win odds), with the actual will-pays listed in parenthesis. I’ve highlighted the overlays in green and the underlays in red:
A horseplayer that loses a $10 bet does not fork out an additional 15-20 percent to cover the takeout; instead, the designated percentage, including breakage (in horseracing), is deducted from the winning payouts. Hence, less winning equals less takeout paid. I realize this is a pyrrhic victory if there ever was one, but it does illustrate why grinding it out can be so difficult for the average player to do.