MJ: Blackjack vs Stock Market

[MJ]

Every now and again I notice on the boards people talk about BJ like it is an investment. Well my question is which one do you guys think is a better investment....BJ or the stock market? Does one have more earnings potential then the other? What are the pros of BJ vs stocks and vice versa?

For this post, let us take a case where somebody wants to put aside some money to invest for a 10 year period and whichever endeavor they decide to pursue(stocks or BJ) they do not want to exceed a 5% chance of losing all their money.

I realize there is probably no "right" or "wrong" answer to this question. I would just like to read some opinions for anybody that wishes to lend their 2 cents.

-MJ

[ES]

The historical long term return on the S&P 500 with dividends reinvested is about 10.4%. The market was down in 2000, 2001 and 2002. The last time it had 3 bad years in a row was during the great depression! If I could cash in my IRAs and 401(k) and "invest" it in blackjack, while keeping it income tax deferred, I would never do it.

[Parker]

I don't think that they're really comparable, at least not when you are talking about "investing" in blackjack by bankrolling your own play. It's more like a job than an investment, since, as we have harped about incessantly on these pages, you must put in the hours in order to reach the long run.

Now, if someone were to put together a large, disciplined, well-managed team of highly skilled AP's and solicit investors, that would be a different matter entirely.

[Sun Runner]

> If I could cash in my IRAs and 401(k) and
> "invest" it in blackjack, while keeping it
> income tax deferred, I would never do it.

... why not?

Based on the only reason you gave above .. blackjack, played by a competent AP, beats the S&P 500 to death.

10.4% per year, over the long run or, as a blackjack team investor, maybe 40% of 1% per hand over the long run.

[landyacht]

We have over 6 figures in the market. We take a conservative approach, selling covered calls and holding the underlying stock, 500-800 shares in each issue. This has been netting us 10.5 % for the last two years.

AP BJ is a recreational hobby with us. Each season, starting mid April and running through mid November, we start with $1000 each. For 4 years, we have annually doubled our stake. We play reds, 1-5 spread because we don't want to wear out our welcome. We will play at 4-7 indian casinos during a season.

This approach because we are both over 70 and totally retired. Capital preservation is important.