Return on Investment (ROI)

Return on Investment (ROI)

Mathematics

Definition

A performance metric that measures profit or loss relative to the amount wagered, usually expressed as a percentage. It indicates how efficient a bettor’s investments (bets) are over time.

Formula

$ROI = \dfrac{\text{Net Profit}}{\text{Total Amount Staked}} \times 100\%$.

Example

If a bettor wagered a total of \$1,000 over several fights and made a net profit of \$150, the **ROI** is $150/1000 × 100% = 15%$. A positive ROI means you’re gaining money per dollar bet; a negative ROI means you’re losing money in the long run.