3 ms·

This is an interesting way of looking at it that I hadn't thought of--turning the Kelly criterion around to ask "what would my bankroll have to be to make this

This is an interesting way of looking at it that I hadn't thought of--turning the Kelly criterion around to ask "what would my bankroll have to be to make this bet worth it" rather than "what size bet should I make given the bankroll I have." It's worth noting that it can often make sense to be more conservative than the Kelly criterion would suggest, depending on your risk tolerance. So I would consider your calculation a lower bound.

ghaff 4y ago
That feels about right. Depends on age, future earning potential, objectives, circumstances, etc. But it seems like somewhere in the $3-5 million net worth range is where most people would seriously start considering rolling the dice but you could probably imagine it as low as $2m if someone were confident that $1m today wouldn't really be life-changing.