OPTIMAL GAMBLING SYSTEMS FOR FAVORABLE GAMES

The following sections are included:INTRODUCTIONPART I. FAVORABLE GAMESBLACKJACKBACCARATROULETTETHE WHEEL OF FORTUNETHE STOCK MARKETPART II. A MATHEMATICAL THEORY FOR COMMITTING RESOURCES IN FAVORABLE GAMESINTRODUCTION: COIN TOSSINGMINIMIZING THE PROBABILITY OF RUINTHE KELLY CRITERIONTHE ADVANTAGES OF MAXIMIZING E LOG XnA STOCK MARKET EXAMPLEWARRANT HEDGINGPORTFOLIO SELECTION USING E LOG XTHE KELLY CRITERION AND DEFICIENCIES IN THE MARKOWITZ THEORY OF PORTFOLIO SELECTIONREFERENCES