Nichomacheo
old hand
Reged: 08/12/06
Posts: 1142
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Among most serious Heads Up players, there is a rule that you shouldnt play a particular buyin without 20 times that in your bankroll. This is usually said for the low-medium buyins and it is said you need more for the higher buyins, which makes sense since your variance will be a lot higher.
But why 20 buyins? Where does that number come from? Any math to support it?
Ignore the psychological aspects for now, because that can make the number significantly higher.
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MrWookie
Carpal \'Tunnel
Reged: 02/28/05
Posts: 17411
Loc: Treating my drinking problem
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Basically, this is modeled after the random walk problem. Look up some of BruceZ's posts on the subject in the probability forum. Basically, you have a 60% chance of moving forward and a 40% chance of going back. What's the probability that you end up 20 steps back?
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BruceZ
Carpal \'Tunnel
Reged: 09/03/02
Posts: 4078
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Quote:
Basically, this is modeled after the random walk problem. Look up some of BruceZ's posts on the subject in the probability forum. Basically, you have a 60% chance of moving forward and a 40% chance of going back. What's the probability that you end up 20 steps back?
1 in 3325 or about 0.03%.
Let r be the risk of losing a single bet.
r = 0.4 + 0.6*r^2
This says that we can lose it on the first hand with probability 40%, or win on the first hand with probability 60%, and then lose 2 bets after that, which has probability r^2 since we must lose 1 bet twice. Solving for r gives:
r = 2/3.
(Formally eliminating the other solution r=1 requires the more sophisticated derviation in this post).
The probability of losing a 20 bet bankroll is (2/3)^20 =~ 1 in 3325 or about 0.03%.
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ThePhenom919
newbie
Reged: 11/10/06
Posts: 49
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Just take the advice kaon. Don't doubt my BR mgmt skills!
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MrWookie
Carpal \'Tunnel
Reged: 02/28/05
Posts: 17411
Loc: Treating my drinking problem
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Huh. So it actually looks like for a 60% winner, a 20 buy in roll is a little on the conservative side. You could do pretty well with 15 (just a 0.2% RoR, or even 10 (1% RoR). Naturally, the more you suck, the more buy ins you need.
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frede89
member
Reged: 08/07/06
Posts: 177
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Am i the only one who would move down, in case i lost a big percentage of my BR?
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BruceZ
Carpal \'Tunnel
Reged: 09/03/02
Posts: 4078
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Quote:
Huh. So it actually looks like for a 60% winner, a 20 buy in roll is a little on the conservative side. You could do pretty well with 15 (just a 0.2% RoR, or even 10 (1% RoR).
10 would be a 1.7% RoR since (2/3)^10 = 1.7%.
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acidca
[censored]
Reged: 08/28/05
Posts: 1765
Loc: Manhattan
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BruceZ, I've got a bonus problem for you: I've got a br of $210. I'm going to play heads up until I either double my money or go broke. I'm going to start at the $20 matches on stars. If I drop down to $105 or lower, I will drop in stakes to $10. If I drop to 52.50 or lower, I will drop to $5. What are the odds I will go broke vs the odds I double up?
Bonus 2: Same thing, but including rake.
Bonus 3: At $500 I move up to $50. What are the odds I reach $1000 before going broke.
ASSUME 60% CHANCE TO WIN AT ALL LEVELS.
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Goldmund
enthusiast
Reged: 03/08/06
Posts: 303
Loc: Europe
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What the hell are you talking about? Haven't you studied Rob's rule of three? It's so annoying when people keep bringing up stuff that has already been analysed ad nauseam. Goldmund
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dboy23
Pooh-Bah
Reged: 02/18/06
Posts: 2231
Loc: HU forum 4lyfe imo
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I think moving down at 10 buyins for current level will make your ROR very very small.
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