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Managing losses in exotic horse race wagering
Preprint

Managing losses in exotic horse race wagering

Abstract

We consider a specialized form of risk management for betting opportunities with low payout frequency, presented in particular for exotic horse race wagering. An optimization problem is developed which limits losing streaks with high probability to the given time horizon of a gambler, which is formulated as a globally solvable mixed integer non-linear program. A case study is conducted using one season of historical horse racing data.

Authors

Deza A; Huang K; Metel MR

Publication date

March 23, 2015

DOI

10.48550/arxiv.1503.06535

Preprint server

arXiv
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