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Old 08-11-2004, 09:19 PM
AleoMagus AleoMagus is offline
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Join Date: Oct 2003
Location: Victoria BC
Posts: 252
Default Re: Diff b/t ROI + ROR???

Risk of Ruin

R=EXP(-2HB/S^2)

where:

R=Risk of Ruin
B=Bankroll
S=Standard deviation/tourney (or per hour in ring games)
H=Win rate. Avg profit/tourney (or hourly rate in ring games)

B=-(S^2/2H)LN(R)

is to determine bankroll requirements for a given risk of ruin

Regards
Brad S
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