Almost every statistical measure for gambling assumes 100% reinvestment of all profits. Risk of Ruin and maximum possible downswings are highly dependent on the frequency of win distributions. Distribute profits too quickly or frequently and the investors are basically getting free-rolled by their players in the current bank and by the investors in the previous banks. The key to success in any team banking arrangement is having relatively infrequent final distributions to assure that the team gets very solidly into the long run so that at least 50% of the downswings occur while the team is substantially ahead rather than only while even or behind.
The solutions are always one of two: 1> Very infrequent distributions of profits and/or 2> Playing to a virtually 0.0% risk of ruin either through gigantic bet to bank ratio OR very frequent proactive downsizing of betting during downswings. (rather than waiting to lose 50% of the bank you should downsize after 25% and then not resize back up until at least 66.7% of the loss has been recovered).
While this is more of a blackjack off-topic, the problem with VP is that going to a lower denomination and still playing the desired game for achieving coin-in and theoretical targets can be problematic.
Posted by: vpbp2002@yahoo.com
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