Money Management & Bet Optimization
A) ROI and “advantage” are one and the same (I don’t think they are which I will discuss later).
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Notice that when we parlay, we are actually investing more money. Hence, the theoretical 44 percent ROI that Dave alluded to equates to just 5.9 percent in practice. (For the financially savvy among you, this is similar to the difference one sees when comparing a simple interest rate to a compound interest rate.)
OPTIMAL AMOUNT OF BANKROLL BET = WIN RATE – LOSS RATE / AVG. WINNING ODDS