again misleading title. she won 250k but gained 10k during the year.
What Winning $250k at Poker Taught Me About Money
131–136 of 136 posts
Re: What Winning $250k at Poker Taught Me About Money
#132Great article with many insights that I never would have expected! This quote in particular gave me an interesting thought: >> Trust everyone, and people will take advantage of you. >> Distrust too much? That’s just as bad — you’re going to be the one calling every hand, thinking everyone’s always bluffing you, out to get you. >> You need to figure out when to distrust and when to trust. That last line is interesting…
I'm not super familiar with how ETFs work, but I'm guessing the parallel would be ETFs as ABC players making safe, low variance plays, while the actively managed funds would be a pro looking to capture all of their equity edges, regardless of the assumed variance. It is well known how they respectively fare in tournaments - the ETF players make it into the money at a somewhat higher rate, but will typically have a mi…
Sounds like you just described "MoneyBall" :)
Seriously, though - thanks for the insight. Hadn't thought of comparing to a hedge fund, and after reading your description, it seems obvious.
To add some color to an ETF analogy, an ETF in the financial markets is basically just following an index, which is often created by a firm like S&P (and there are over a thousand of those indices). So, one index may just be "buy all the companies that have dividends", or "buy all companies that have a price to earnings ratio greater than average", or "buy all companies listed on the US stock market".
I guess in poker it could be "call on everything", or "fold unless you have at least a three-of-a-kind". Basically, it would be mechanical. Of course, you can have reasonably complex ETF algorithms that have multi-pass filters (such as P/E ratios, Debt/Equity ratios, Dividend minimums, etc.) all in some combination. So maybe there could be something complicated like "bet 1% of your holdings whenever you had a pair, and bet 2% if at least one player folds." This is just a made-up example, but the rules could probably get intricate based on the math and different situations.
Re: What Winning $250k at Poker Taught Me About Money
#133Earlier quoted context omitted.
Regarding your last paragraph, that would be a bad beat. A cold deck is a string of poor cards, perhaps an entire sitting without getting any strong hands.
You're not wrong about it being a bad beat, but I think he was thinking of a "cooler".
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Re: What Winning $250k at Poker Taught Me About Money
#134Earlier quoted context omitted.
The variance is also what allows poker to thrive and pro players to have an income though. Since poker is zero sum (really negative because of the casino's take) there has to be a steady supply of losing money playing. That means bad players have to believe they have a shot. If they never or very rarely won against higher skilled players, they'd dry up. Imagine casinos that had cash chess tables or basketball courts.…
This is true for newbie investor after reading a book and investing in Wall-Street. They almost always lose the money and again Wall Street releases a new easy book on investing. I find a huge co-relation between how poker and wall street is aligned.
The difference between poker and the stock market is that the odds are in your favor in the stock market. This plays out to between 6-8% per year. Visit this highly upvoted HN link to learn more and not lose: https://training.kalzumeus.com/newsletters/archive/investing...
Re: What Winning $250k at Poker Taught Me About Money
#135Earlier quoted context omitted.
Dear god... that means that the government will win more from your poker playing than you _ever_ will!
"And this is how Republicans are made...." :-D
I used to believe this sentiment about 8 years ago, but after many republican presidents, our nation is only further in debt. Only Bernie Sanders seems to care about our nation’s increasing debt and he’s a registered independent.
Re: What Winning $250k at Poker Taught Me About Money
#136Earlier quoted context omitted.
I used to be profitable in the golden days being a nit and just letting the huge swaths of players pay me off. So many all-ins to bluff me off while holding top set, nut straight, or nut flush. Just recently got back playing and am trying to learn to play against real players. I'm down overall after about 50 hours of play, but not very much. Any advice?
Poker has changed radically now a days. It's all about ranges. You're never going to succeed with a nitty style simply because it's going to immediately show up in a million different ways on peoples HUDs. People are going to push you hard and immediately give up immediately whenever you fight back, unless they have the nuts. Let's take a very simple toy game. You are dealt a 1 to 3 in order of increasing strength. T…
That was a very interesting read. Thanks!