I'm currently experimenting with small stakes, and I'm going to be monitoring my profit compared with my stake to see how I'm progressing.
To give me a benchmark, if a professional were to trade 20 markets with a liability per trade of (say) £1000, what would their typical profit be?
Thanks
Jeff
Profit vs stake
It's a bit subjective though as it assumes that you are profitable? It also assumes you know what your turnover is?
I think this is the best answer: -
viewtopic.php?f=2&t=2599
I think this is the best answer: -
viewtopic.php?f=2&t=2599
Thanks Peter
I guess what I'm asking is this: 'If I start the day with (say) £100 in my account, and trade 20 races using my full bank on each trade, what would a good result be?'
You've answered that question in the link you referred to.
BTW, when you were doing the £10 experiment, how quickly did it grow?
Jeff
I guess what I'm asking is this: 'If I start the day with (say) £100 in my account, and trade 20 races using my full bank on each trade, what would a good result be?'
You've answered that question in the link you referred to.
BTW, when you were doing the £10 experiment, how quickly did it grow?
Jeff
Euler wrote:It's a bit subjective though as it assumes that you are profitable? It also assumes you know what your turnover is?
I think this is the best answer: -
viewtopic.php?f=2&t=2599
Starting on small stakes I can grow a bank exponentially, but you run into issues of scale very quickly. I am writing something today and needed some screen shots so I used a £50 stake value and had made £40 after five races. The market suits smaller stakes. It's really a question not of bank or stake size but turns IMHO.
Wow!
Is that kind of return on stake of about 10% per race typical?
If so, then liquidity permitting, you could turn £10 into well over £100K in just 100 races!
OK, I know that limited liquidity means it wouldn't work that way in practice, but the growth potential is still incredible!
Jeff
Is that kind of return on stake of about 10% per race typical?
If so, then liquidity permitting, you could turn £10 into well over £100K in just 100 races!
OK, I know that limited liquidity means it wouldn't work that way in practice, but the growth potential is still incredible!
Jeff
Euler wrote:Starting on small stakes I can grow a bank exponentially, but you run into issues of scale very quickly. I am writing something today and needed some screen shots so I used a £50 stake value and had made £40 after five races.
No, I am writing up notes for a course in January. I need to drop stakes to show it can be done using smaller amounts. I traded on two accounts yesterday.Ferru123 wrote:I take it that wasn't with your usual stake!
Jeff
Euler wrote:33 trades on the 14:15 netting £14.50
Hi Peter
Do I take it from your other post that your liability per trade was £50?
How did you finish the day with that account?
Jeff
Do I take it from your other post that your liability per trade was £50?
How did you finish the day with that account?
Jeff
Euler wrote:No, I am writing up notes for a course in January. I need to drop stakes to show it can be done using smaller amounts. I traded on two accounts yesterday.Ferru123 wrote:I take it that wasn't with your usual stake!
Jeff
Euler wrote:33 trades on the 14:15 netting £14.50
Don't forget about losses when you can achieve similar downside!Ferru123 wrote:Wow!
Is that kind of return on stake of about 10% per race typical?
If so, then liquidity permitting, you could turn £10 into well over £100K in just 100 races!
OK, I know that limited liquidity means it wouldn't work that way in practice, but the growth potential is still incredible!
Jeff
Euler wrote:Starting on small stakes I can grow a bank exponentially, but you run into issues of scale very quickly. I am writing something today and needed some screen shots so I used a £50 stake value and had made £40 after five races.
I only had three losses yesterday, but managed to turn £72.95 from using a maximum of £50 stakes. I don't think I could do as well today.
Even so, that equates to a 146% daily return!
If there were unlimited liquidity on Betfair, this is what you could expect to achieve in a week at that rate of growth:
1 £124.50
2 £310.01
3 £771.91
4 £1,922.06
5 £4,785.93
6 £11,916.98
7 £29,673.27
Jeff
If there were unlimited liquidity on Betfair, this is what you could expect to achieve in a week at that rate of growth:
1 £124.50
2 £310.01
3 £771.91
4 £1,922.06
5 £4,785.93
6 £11,916.98
7 £29,673.27
Jeff
Euler wrote:
Don't forget about losses when you can achieve similar downside!
I only had three losses yesterday, but managed to turn £72.95 from using a maximum of £50 stakes. I don't think I could do as well today.
[quote="Ferru123"]If there were unlimited liquidity on Betfair[quote="Ferru123"]
And therein lies the problem. Each day my return on total capital falls so I have to deploy that money elsewhere. I think Betfair works really well at small stakes but it's much harder to achieve things with larger amounts of money.
That's why I am always incredible sceptical when people ask for large amounts or set up 'funds' to do it. You don't need to, there is no requirement to do so and large amounts actually work against you. You can still earn very good returns using small amounts and there isn't a great need to raise more money to do so. If you look at racing there are 10,000 races a year. Even if you only earned a couple of quid a race on average that still adds up to a lot over a year.
And therein lies the problem. Each day my return on total capital falls so I have to deploy that money elsewhere. I think Betfair works really well at small stakes but it's much harder to achieve things with larger amounts of money.
That's why I am always incredible sceptical when people ask for large amounts or set up 'funds' to do it. You don't need to, there is no requirement to do so and large amounts actually work against you. You can still earn very good returns using small amounts and there isn't a great need to raise more money to do so. If you look at racing there are 10,000 races a year. Even if you only earned a couple of quid a race on average that still adds up to a lot over a year.