Kelly criteria question

Forum: Systems & Strategies
Author: [Systems & Strategies] Topic: Kelly criteria question
Stake24 PM Stake24
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Posted: 12/22/2011 2:51:33 PM
Forgive my ignorance but will kelly betting work with underdogs? I think the answer is yes but everytime I calculate a kelly bet with an  underdog I come out with a negative number.
dj_destroyer PM dj_destroyer
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Posted: 12/22/2011 3:30:05 PM
Kelly works for anything that you can set probabilities to... so yes, underdogs are fine.
Stake24 PM Stake24
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Posted: 12/22/2011 4:29:26 PM
I'm a moron I had the odds backwards.

How many people currently use this system? And how much success have you had?
dj_destroyer PM dj_destroyer
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Posted: 12/24/2011 3:01:43 PM
Kelly is a bit aggressive for most people... quarter Kelly or half Kelly is a bit better suited for long term results. But yes, overall, Kelly is the best money management system if you're good at finding edges.
Diamondjake PM Diamondjake
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Posted: 12/26/2011 11:12:06 AM
Kelly only works if you have an advantage. Good ways to manage your money regardless but still need 53% winners.
Forum: Systems & Strategies
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