Staking Situation/Math Problem/Maybe I'm just stupid.

[stealthmunk]

This situation just came up and I'm thinking...

My friend has a makeup of -8.7k and wants to play a 500$ PLO donkament. Pretty sure he is probably slightly -EV. However, is it possible for a -EV investment (say he has a -5% ROI) to be +EV given the fact of the makeup? I can't make mathematical sense of it in my head if you think in terms of expectation, but if you think of it in term of sample size/results (i.e. he gets 1st place X% of time, 2nd place X% of time and so on and so on) can it be a +EV investment?


So should he be staked? Someone smarter than me tell me if I'm completely off or spot on?

[djk123]

Maybe because the makeup means u get 100% of his profits up to 8.7k and then the standard 50% or whatever on the rest? I'm not sure if that makes sense.

But when you say you think he is -ev, do youmean his actualy expectation is negative in the tourney or that it is -ev for you to stake him in it since his edge isn't big enough? If he's actually -ev in the tourney I don't see how it can be +ev even with make up

[Double Ice]

Think of it this way. You get 100% of his first 8.7k and then a % of the rest. But even if you got 100% of his cash, him being a losing player makes it -EV for you.

So stop staking your friends who are bad poker players.

Dice

[Bakes]

ONE TIME!

[NHFunkii]

yep just stupid
this is why makeup is retarded though (actually it's not why makeup is retarded, but makeup is retarded)

[Bakes]

I dont think makeup is retarded, if its not in there they could easily go through half the stake, take shots / play bad and then go lol [censored] you afterwards because it doesn't matter to them. I'd say makeup is pretty mandatory in most staking deals just for the psychological factor.

[Exitonly]

if he's -EV... it's -EV for you. You have 100% of him until he makes $8k. And if it's -EV for you if you ahve 100%, it's certainly -EV for you if you have to give 40% away over $8k.

[Bakes]

but....

[ QUOTE ]
ONE TIME!!

[/ QUOTE ]

[KneeCo]

SM,

Is this the guy trying to get a stake? How much back and fourth double talk did it take for him to convince you any of this can possibly make sense?

[Double Ice]

wait, so you give -ev players 40% in stakes? sick