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# What is fold equity?

Fold Equity is the bonus equity you gain by understanding how likely opponents will fold in a given scenario.

Assume that you are dealt 7c7h and your opponent is dealt AdJs. Both hands are very close in their Expected Value. BTW, these are the hands in my logo.

So, your odds of winning or losing are about 50 / 50. Fold Equity is the formula is the probability that your opponent will fold multiplied by the Equity in your opponents hand. In this case, about 50%. If there is \$10 in the pot, then your equity is \$5 and your opponents equity is \$5. If he will fold 50% of the time then your fold equity is \$2.50 This means that Your total equity is the \$5 plus the \$2.50 or \$7.50. The higher the probability that he will fold the higher your total equity is.

There are basically two reasons to raise:

2. Build the pot in case you win.

If you are playing against a Loose Aggressive LAG player and you don't have a good read, your fold equity is likely close to 0.

Short stacked players are less likely to fold because they have to accept a larger risk just to stay in the game.

This logic does not apply just to the preflop street. It may lead to you making a profitable semi-bluff on the River.

PeakHoldem can dramatically improve your win rate. Every future release of PeakHoldem will increase the accuracy of opponent play. Unique enough to be patent pending. 62/732,519.