Hedging Calculator

How the hedging calculator works

You already hold a position — a stake at certain odds. The market has since moved, and the opposite outcome is now available at a price that lets you cover your bet. Hedging places a calculated amount on that other side so your profit is the same whichever way the event settles.

The math is simple:

• Potential return = your stake × the odds you took
• Hedge stake = potential return ÷ the opposite-side odds today
• Guaranteed profit = potential return − (your stake + hedge stake)

Worked example

You put $100 on an outcome at 3.00 (a 33% shot). It's now the favourite and the other side is available at 1.60. Your potential return is $300, so you hedge $300 ÷ 1.60 = $187.50 on the other outcome. You've now staked $287.50 total and will collect ~$300 whichever way it lands — a locked-in profit of about $12.50, risk-free.

When to hedge on Polymarket

Hedging shines when a market you're holding swings hard in your favour before it resolves — a candidate surges, a team goes up 2–0, a token pumps. Instead of gambling on the finish, you lock the gain. It's also useful to cut risk on a big position you're no longer confident in. To watch for those swings automatically, browse the alert and whale-tracking tools in the directory, or read our guide on trading and hedging live markets.