Without getting into exact numbers, let's talk about the concept of hedging.

Let's say you made a long term bet that's Risk 100 to win 1000 on a team to win a championship. Nearing completion of the bet, that team is in the finals vs another team. How do you go about determining whether to ride out the bet or to hedge on the opposing team in the finals to guarantee a profit? If the original bet was a smaller percentage of your bankroll, or if the original bet was fairly short term I would lean towards letting it ride out assuming hedging reduces our ROI (which it almost always does). BUT If the original bet is a large-ish part of your bankroll or if the winnings of the original bet would make a big difference in your bankroll I would learn towards hedging to get a 100% profit even if the long term profit gets cut a little.

How do you handle hedging? What is the formula you use? I'll give an example to help you visualize. You win $100 50% of the time, and win $0 the other 50% of the time. If you hedge bet, you'll win $40 100% of the time and never lose a profit... In this case, when you let it ride out you're going to make $50 on average. When you hedge you make $40 on average. So you lost a little on the hedge. But if your entire bankroll was on the line of course you would hedge here so you don't risk losing it. But if you were doing these types of bets everyday and it was only 2% of your bankroll you'd probably go for the one that gives you the most amount of return long term...

kelly

Thorp has alot on hedging, generally it is based on the % , you most compute into your general frame shown the odds , first you must find an indicator of the true probl.
So simply if team A you have backed first is in game seven as say OKC , was, they have a small change of going on. You change there to GS for the last game to cover your 100 , that is all . To profit now on another you most refer to all the potential markets being your original type wager is lost. Say then apply a series win wager on GS, ... The math etc is best worked iut your self, which leads to higher understanding, I. The only figure you need is the true chance of winning, which is the whole secret to gambling. (Look up old "Gambling Times" magazine s) under Ed Thorp also Sklansky etc at 2+2 has all that as good rules of thumb, but a good program will do that to the tee.