Bases for Bankroll Recommendations?

[Paul2432]

A couple of additional points to consider:

1) The 300BB rule assumes you bankroll accumulates. If you consistantly cash down to 300BB you will eventually go broke. Think of flipping coins and counting tails as down swings. If you flip a coin 100 times, 10 tails in a row would be unusual. If you flip a coin one million times, you would expect multiple runs of 15 tails or more. The effect of growing your bankroll is that by the time the larger downswings come, you'll have the bankroll to withstand them.

2) Another point is that you risk of ruin only depends on your current bankroll (assuming win rate and standard deviation stay the same). If you start with 300BB and lose 100BB, you have exactly the same risk of ruin as if you started with 100BB and won 100BB. The consequence of this is that if you want to play with a certain risk of ruin, you need more than you think unless you plan to quit as soon as your bankroll drops.

Paul