cvcx ?

[RS]

Got it. Is 1/3 typical? I'm asking because 1/3 of a 10k bankroll gives a pretty lame hourly return.

Perhaps the obvious needs to be stated as it is oftentimes overlooked -- the choice is yours, risk more to win more, or risk less and win less. Are you comfortable with a 13.5% ROR on that $10K? On the flip side, is your time worth the hours invested if you played on a 0.25% ROR? Can you reinvest if you hit a negative swing or are your finances pretty tight right now?

[bigplayer]

For Kelly sizing you divide by the edge by the variance, not the standard deviation. I used $800 for illustrative purposes non-specific to any particular game.

Got it. Is 1/3 typical? I'm asking because 1/3 of a 10k bankroll gives a pretty lame hourly return.

Small replaceable bankrolls the key is growing the bankroll with frequent bet resizing. f you don't grow the BR fast enough expenses will eat your bankroll up).

Large irreplaceable bankrolls are best used for income generation so you want a lower risk of ruin and infrequent resizing because smaller Kelly fractions can still generate enough income to overcome the drain of profit taking and living expenses.

[Nikky_Flash]

Great thread, thanks for the replies BigPlayer , DSchles and everyone

[Three]

Yes. All the money management stuff is at least as important as what you use to get an edge. Too many don't even bother with learning how to make money with the edge they can generate through proper money management. In many cases they all but ensure they will go broke while playing with an edge.