Posted by Steve Heston on July 02, 1997 at 21:28:33: In Reply to: Absolutely!! Questions?? posted by Richard Reid on July 02, 1997 at 18:24:50:Richard wrote:
>G = ((1+f)^(p*N))*((1-f)^(q*N)).
This is your bankroll only if you get exactly the expected percentage of wins. If your actual percentage is slightly higher than p then your return will be much bigger. The expected bankroll is higher than G by a factor of roughly exp(.5*N*variance). The expected value of the logarithm of bankroll is the logarithm of G.
You might play with simulations, or just let p = .6 and N = 2 to examine the results.
- Re: Answers David D'Aquin 07:03:24 7/03/97 (0)
- Thank you !! Richard Reid 22:43:53 7/02/97 (0)