2 ms·
with drawdown on simple bets, the average compounding step per play, for a given edge and bet size, is ((1+bet)^(0.5+edge))*((1-bet)^(0.5-edge))) = ((1-b
by papln 7y ago
with drawdown on simple bets, the average compounding step per play, for a given edge and bet size, is
((1+bet)^(0.5+edge))*((1-bet)^(0.5-edge)))
= ((1-bet^2)^0.5 * ((1+bet)/(1-bet))^edge
For a given bet size, there's room to make your edge large enough (without exceeding 0.5) to make the (>1) right-side factor overwhelm the (<1) left side.
https://www.wolframalpha.com/input/?i=log%28%281-b%5E2%29%5E0.5+*+%28%281%2Bb%29%2F%281-b%29%29%5Ed%29%2C+for+0%3Cb%3C0.1%2C+0%3Cd%3C0.5 https://www.wolframalpha.com/input/?i=log%28%281-b%5E2%29%5E...