Part V: Regional & Cultural · Casino Slang & Historical Terms

7.19 House Edge

Industry — Mathematics

The house edge (also known as house advantage or vigorish) is the mathematical advantage that the casino has over players in any given game, expressed as a percentage of each bet. The house edge ensures that, over the long run, the casino will retain a predictable percentage of all wagers. For example, baccarat’s Banker bet carries a house edge of approximately 1.06%, meaning the casino expects to win $1.06 for every $100 wagered. Different games carry different house edges — blackjack (0.5% with basic strategy) to keno (25-40%).

In practice

The house edge is the fundamental economic engine of the casino industry. Asian gaming markets heavily favor baccarat (low house edge, high variance) over other games, which explains why baccarat dominates Macau and Singapore casino revenue.

One entry from the Casino Industry Glossary — 1,157 terms written for surveillance, compliance and operations professionals rather than for players. Definitions describe industry usage; where a term carries a regulatory meaning, verify against the instrument that governs your jurisdiction.