non-self-weighter
Well-Known Member
I'm using the following RoR formula:
e ^ (-2 * WR * BR ÷ VAR)
WR = win rate
BR = bankroll
Suppose, since I don't require high liquidity with most of bankroll, I want to invest I% of BR in stocks. BR - I will either be in a savings account (considered 0% risk) or in cash.
I have estimates forVAR and "WR" of my portfolio.
How can I calculate my true / compounded risk of ruin?
Thanks.
e ^ (-2 * WR * BR ÷ VAR)
WR = win rate
BR = bankroll
Suppose, since I don't require high liquidity with most of bankroll, I want to invest I% of BR in stocks. BR - I will either be in a savings account (considered 0% risk) or in cash.
I have estimates forVAR and "WR" of my portfolio.
How can I calculate my true / compounded risk of ruin?
Thanks.