Parlay

Definition:

In sports betting, a parlay is a single wager that links two or more bets together. For the parlay to win, every bet (called a “leg”) must hit. If even one leg loses, the entire parlay loses. Because of the increased risk, parlays offer much higher payouts compared to betting each outcome individually.

They serve two main purposes:

1. Allow bettors to combine multiple picks into one wager for a larger potential payout.

2. Increase the risk/reward tradeoff - higher risk since all legs must win, but higher reward if successful.

Real-World Example

NFL Sunday Parlay:

• Leg 1: Chiefs to beat the Broncos (–150)

• Leg 2: 49ers to beat the Seahawks (–200)

• Leg 3: Raiders vs. Chargers Over 45.5 points (–110)

A $100 parlay on all three would return about $460 total ($360 profit) if every leg hits. But if even one bet loses, the whole parlay loses.