How to optimize stake strategy for long term betting profit?
Maximum drawdown shows you the downside risk of a strategy. It is the biggest fall that the balance has suffered in a period. I have taken it since the summer of 2017 (when SBM 2.0 was born)and avoiding the start of 2017 bias. The real biggest drop is 44 units, so I recommend splitting your bank in 50 parts for the most aggressive strategy, since you would never go bankrupt. Setting your unit stake on 1/100 is also a valid strategy.
I am aware that a common strategy is 1%-2% each bet, while I am suggesting 3%-6%, because bigdatatennis strategy is set from the beginning, strategy doesn´t change over time, so we can leverage backtesting to optimize stake strategy.
Feel free to download an excel sheet analyzing evolution with an initial bank of 50 units:
Reminder of the proposed strategy:
Set your stake unit up to 1/50 (AGGRESSIVE STRATEGY) of your bank knowing that there will never be a bankruptcy. Our recommendation is to have the unit somewhere between 1/50 and 1/100 of the bank (most CONSERVATIVE strategy).