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***Official Staking Discussion Thread: Use this thread for Selling Shares advice/questions*** ***Official Staking Discussion Thread: Use this thread for Selling Shares advice/questions***

07-20-2018 , 02:37 PM
i don't get the difference between av ROI and total ROI...
i mean every ROI is a total ROI by definition
WTF?
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01-11-2019 , 05:37 PM
Mmm

Sent from my SM-G900F using Tapatalk
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04-26-2019 , 07:51 PM
Yes, hello guys. I had a quick few questions regarding selling markup in tournaments. I've had numerous big tournament scores and deep runs. However, I've never charged markup before, until now. I just had a few questions.

What is a standard markup for a good or solid tournament player? 1.3%? And how does this work? Say your total package is $18K. Somebody wants to buy 10% of the package. That would be $1,800 without any markup added. So, if the markup was at 1.3%, then how much would it be total with markup added?

Any other helpful information would be great. Thanks a lot! And GL!
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04-27-2019 , 12:08 AM
2340. Also it is not 1.3% markup, it is a markup of 1.3 (30%).
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04-27-2019 , 09:14 AM
Quote:
Originally Posted by PokerPlayingGamble
2340. Also it is not 1.3% markup, it is a markup of 1.3 (30%).
Thank you very much! Is 1.3 standard? What do most good tournament players markup at? Thanks.
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04-27-2019 , 01:51 PM
Quote:
Originally Posted by PeterPan2018
Thank you very much! Is 1.3 standard? What do most good tournament players markup at? Thanks.


If you look at the marketplace here, there are many threads with players selling tournament packages at markup both live and online.
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04-27-2019 , 08:32 PM
Quote:
Originally Posted by PeterPan2018
Thank you very much! Is 1.3 standard? What do most good tournament players markup at? Thanks.
1.3 is a bit steep imo
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06-01-2019 , 03:45 PM
I'm likely that last one on the planet not to understand markup, but maybe answering a rookie question would help me out as I'm used to the old way of people advertising a 50/50 split or 60/40 if they were really good.

If someone sells 100% of their action at zero markup and they cash for $500 do they get anything or does all the money go to the backers?

I remember years gone by where you would sell 100% of a package and split the profit with backers, which is why I'm confused about markup.
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06-02-2019 , 01:13 PM
Quote:
Originally Posted by Pensfan
I'm likely that last one on the planet not to understand markup, but maybe answering a rookie question would help me out as I'm used to the old way of people advertising a 50/50 split or 60/40 if they were really good.

If someone sells 100% of their action at zero markup and they cash for $500 do they get anything or does all the money go to the backers?

I remember years gone by where you would sell 100% of a package and split the profit with backers, which is why I'm confused about markup.


No one is selling 100% of their action
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06-02-2019 , 01:29 PM
"If someone sells 100% of their action at zero markup and they cash for $500 do they get anything or does all the money go to the backers?"

They would not get anything, although why anyone would sell 100% of their action at zero markup is beyond me, because the whole exercise would be a waste of time for them.

In case of a 100% stake, a fair split between backer and investor would be an 80/20 split of any profits. This is for a one off, short term deal, whereas with a long term staking contract you would be looking at a 50/50 split of profits with makeup.
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06-02-2019 , 01:37 PM
Quote:
I'm likely that last one on the planet not to understand markup,
Markup is pretty simple. You get X% of action, but you pay Y, where Y = X * markup.

So, if I have a markup of 1.1 (10% markup), and sell $100 of action in a $1000 tournament, you would pay $110 for 10% of my action.

Or, if I have a markup of 1.2 (20% markup), and sell you $100 of action in a $1000 tournament, you would pay $120 for 10% of my action.

In both cases you would get a straight 10% of whatever I cashed. So if I bust, you get nothing. If I cash for $10,000, you get $1,000. If I cash for $500 you get only $50, losing $50 on the deal.


Selling action can be mutually beneficial for both the player and the backer. The backer will benefit if the player's true ROI is greater than the markup charged. The player will benefit because they achieve guaranteed ROI, albeit at a reduced rate, a reduction in variance, and the ability to play more and bigger events.
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06-02-2019 , 01:46 PM
Quote:
Originally Posted by The Apex
No one is selling 100% of their action
Quote:
Originally Posted by PokerPlayingGamble

They would not get anything, although why anyone would sell 100% of their action at zero markup is beyond me, because the whole exercise would be a waste of time for them.
I understand that, it was for the sake of me better understanding the process.

Quote:
Originally Posted by PokerPlayingGamble
Markup is pretty simple. You get X% of action, but you pay Y, where Y = X * markup.

So, if I have a markup of 1.1 (10% markup), and sell $100 of action in a $1000 tournament, you would pay $110 for 10% of my action.

Or, if I have a markup of 1.2 (20% markup), and sell you $100 of action in a $1000 tournament, you would pay $120 for 10% of my action.

In both cases you would get a straight 10% of whatever I cashed. So if I bust, you get nothing. If I cash for $10,000, you get $1,000. If I cash for $500 you get only $50, losing $50 on the deal.


Selling action can be mutually beneficial for both the player and the backer. The backer will benefit if the player's true ROI is greater than the markup charged. The player will benefit because they achieve guaranteed ROI, albeit at a reduced rate, a reduction in variance, and the ability to play more and bigger events.
I think I understand how the process works, I'm just trying to compare it to what I remember from staking years ago, pre Black Friday.

In those days someone would sell 100% of the "action" because they sold it at face value (no markup) but 50/50 split of profits after the original stake was returned.
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06-20-2019 , 05:51 PM
Trying to post a thread here, but TwoPlusTwo won't let me. Is there something I need to do first to be able to start a thread here?
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06-23-2019 , 12:27 PM
Quote:
Originally Posted by angel zera
Trying to post a thread here, but TwoPlusTwo won't let me. Is there something I need to do first to be able to start a thread here?
Disregard this, I somehow missed the (obvious) sticky
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07-26-2020 , 06:22 PM
Hey Looking to sell 50% of action on a WPT $1,050 ticket i won in a freeroll on Partypoker.

Would not like to risk full $1,050

Not looking for markup

Just looking to get half my action locked up.

Let me know if you need more info.

Thanks
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