Double or Zero

[clylbw]

Maybe you have heard about the following story:

http://uk.news.yahoo.com/040411/80/eqt5w.html

To sum up, a man from London sold all his belongings, including his clothes, and bet everything on a single spin of the roulette wheel in Las Vegas. If he would win, he would double his money; if he would lose, he would be left without even clothes. He won and doubled his money.

I must admit I would not do the same thing. The risk/reward ratio was not right for me; more importantly, I would never risk all my capital in one go. Maybe that is why I am a trader, not a gambler.

Since different people may see things differently, what do you think of this story? Would you also take the double or zero approach?

 

[Trader333]

Lynn,

No never, I have worked too hard to achieve what I have to gamble everything on an evens or nothing shot. This person was also on TV so I would guess they got some cash for that as well.


Paul

 

[Mayfly]

He's not a gambler - my guess is that he's a businessman, having already agreed terms on an exclusive with one of the tabloids for a six figure sum? Small change for them at the end of the day.

He could probably double that figure if he bedded a celeb during his stay in Vagas - so either way he's seriously quids in if you ask me?

Strange times we live in!

Cheers

Mayfly

 

[euroderivatives]

Well whether he is a businessman or a gambler by profession, one thing is for sure, he does show a lack of brain cells or better yet IQ lol. He could have lost everything....

 

[clylbw]

Hi Paul,

According to the report, that man did not get paid for appearing on TV.

But as Mayfly says, there may be something going on under the cover...

 

[clylbw]

Hi euroderivatives,

Totally agree with you.

Interestingly, the reports says that man had recently turned professional gambler; I wonder whether he would continue gambling after this?

I know little about gambling, but I believe the pros also rely on taking bets with favourable odds, not just some wild bets as this one?

It may be interesting to know what his chosen career will be like in the future.

 

[Trader333]

A successful professional gambler does not take all or nothing bets as it is only a matter of time before they lose everything. I only knew of a couple and they would carve up a bank pretty much the same way as we do and only gamble a maximum of 1% on any given activity and ratio this to the odds they were getting against what they expected the true chance of the outcome in their favour. This guy cannot be a professional if this is how he carries on but again we dont know what deals he has with the media to gain income.


Paul

 

[Henry]

I have worked too hard to achieve what I have to gamble everything on an evens or nothing shot.

Pedantic I know, but I think it's slightly less than evens on roulette? The number 0 doesn't pay out, thus giving the house it's edge.

H/

 

[TheBramble]

I'm surprised the casino let him in if he'd sold all his clothes.

 

[oatman]

No clothes! He could have lost his a*se :cheesy:

 

[Mayfly]

The Naked Truth? :cheesy:

 

[2468steve]

He also played by American rules,which includes a 00 as well as a 0....this effectively increased the house odds from over 2% to 5%...

 

[clylbw]

Hi Bramble, Mayfly, oatman

It seems he bet with a rented tuxedo, so no 'Naked Truth' I am afraid... :cheesy:

But I do agree with Paul's point of view about pro gamblers. Maybe there has indeed been something fishy going on? Let along the RR, the odds were much against him, as Henry and 2468steve have explained.

 

[juanbyte]

I was hoping he would lose as winning gives false hope to the gambling masses.

Trader333, regarding the amount you risk on each trade, 1% is very small.

There was a good article in traders mag giving a formula depending on your win ratio.

 

[BBB]

I used to know a gambling addict. He used to go to GA meetings and was full of stories like this bloke. People who re mortgage (if not done so already), sell all their possessions and fly out to Las Vegas.

He says they get a buzz from putting on the biggest bet. It's not so much the winning, but the adrenalin buzz they get from such activities. This bloke aint the first and won't be the last. He just had his 15 mins of fame to boot.

 

[Trader333]

Juanbyte,

The 1% was the amount risked by a couple of professional gamblers that I knew of and not what I risk per trade.

The amount I risk is much less than that at between 0.26 and 0.5 of 1% of my account.


Paul

 

[BBB]

....obviously a trend follower (?)

 

[donaldduke]

Well the guy was young, free and single, so good on him to do
that, people lose money all the time, no big deal.

Would be different if he had a family then he couldnt do it.

It was suprising that he found it very hard to find a casino that
would take the other side of the bet.

It was good TV, although i wanted him to lose so it would set
the right example you couldnt help but want him to win, would
have been too depressing if he lost..

 

[goldfish]

Hi trader333

Is that the total percentage of your account you're prepared to risk on whole trade?

 

[TheBramble]

I wonder why he didn't go double or quits?

Now, THAT would have been a gamble.