Algorithm-Kelly
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lib/Algorithm/Kelly.pm view on Meta::CPAN
545556575859606162636465666768697071727374
say
optimal_f(0.5, 2);
# 0.25
=head1 FUNCTIONS
=head2 optimal_f ($probability, $payoff)
Returns the optimal L<fraction|https://en.wikipedia.org/wiki/Kelly_criterion> of bankroll to wager, using the Kelly Criterion, given the C<$probability> and C<$payoff>. Payoff should be the net odds of the wager, so the value of 3-to-1 would be 3. Th...
=head1 CONVERTING ODDS
Odds are usually presented in one of three styles: decimal, fraction or American. The C<optimal_f> sub requires the net decimal odds. These odds are all equal:
Type Example Net Odds
---- -------- --------
Decimal 4.0 3.0
Fraction 3/1 3.0
American +300 3.0
The different odds representations are also explained L<here|http://www.olbg.com/school/lesson10.htm>.
=head1 AUTHOR
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