The House That Blackjack Built
(Dead link: http://www.mbajungle.com/main.cfm?chID=0&schid=0&inc=INC_article.cfm&artid=2216&template=1)
MBA Jungle Sept'02
How card whiz Blair Hull parlayed a $25,000 casino stake into a trading empire worth more than $500 million.
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On a Monday afternoon in 1975, Blair Hull walks into the MGM Grand and draws a $5,000 marker. From all appearances, he's nothing more than another tourist in Las Vegas looking to try his luck at blackjack. While other players are thinking about which show they might want to see or debating where to go for dinner, Hull is focused on the state of the deck: He keeps track of the cards that have been played and uses that running tally to assess those that remain. He's calculated that a deck rich in aces, face cards, and tens will give him a statistical advantage over the dealer.
Following a few dull hands, the count of 10-value cards left in the deck increases. Hull has his edge. He begins playing $1,000 chips. Dealt a five and a six to the dealer's nine, he doubles down, draws a five; the dealer's got a seven underneath and goes bust with an eight. The $2,000 win is nice, but just as important, the ratio of high cards in the deck has gone up significantly. Hull's advantage has increased still more. He lays down thousand-dollar chips at two of the table's positions. He gets four picture cards and splits both hands against the dealer's six. More highs come his way, and he wins all around. But now, after so many rapid-fire 10-value cards, the deck is burned out. Hull takes his winnings and looks for opportunities at other tables.
continued - (Dead link: http://www.mbajungle.com/main.cfm?chID=0&schid=0&inc=INC_article.cfm&artid=2216&template=1)
(Dead link: http://www.mbajungle.com/main.cfm?chID=0&schid=0&inc=INC_article.cfm&artid=2216&template=1)
MBA Jungle Sept'02
How card whiz Blair Hull parlayed a $25,000 casino stake into a trading empire worth more than $500 million.
-------------------
On a Monday afternoon in 1975, Blair Hull walks into the MGM Grand and draws a $5,000 marker. From all appearances, he's nothing more than another tourist in Las Vegas looking to try his luck at blackjack. While other players are thinking about which show they might want to see or debating where to go for dinner, Hull is focused on the state of the deck: He keeps track of the cards that have been played and uses that running tally to assess those that remain. He's calculated that a deck rich in aces, face cards, and tens will give him a statistical advantage over the dealer.
Following a few dull hands, the count of 10-value cards left in the deck increases. Hull has his edge. He begins playing $1,000 chips. Dealt a five and a six to the dealer's nine, he doubles down, draws a five; the dealer's got a seven underneath and goes bust with an eight. The $2,000 win is nice, but just as important, the ratio of high cards in the deck has gone up significantly. Hull's advantage has increased still more. He lays down thousand-dollar chips at two of the table's positions. He gets four picture cards and splits both hands against the dealer's six. More highs come his way, and he wins all around. But now, after so many rapid-fire 10-value cards, the deck is burned out. Hull takes his winnings and looks for opportunities at other tables.
continued - (Dead link: http://www.mbajungle.com/main.cfm?chID=0&schid=0&inc=INC_article.cfm&artid=2216&template=1)