The Gambler’s Edge in Trading: Lessons from Poker, Blackjack, and Hedge Funds
Why knowing who’s on the other side of your trade matters more than luck.
I found a short video you’ll probably enjoy…
It’s from Bloomberg Originals… two hedge fund managers playing cards:
One at the Blackjack table, the other at Poker.
And the parallels to trading are, as you’d expect, excellent.
THE GAMBLER'S EDGE
Like…
Betting only when you have edge Accepting that luck plays a role Understanding game theory and opponents
But the standout quote?
From Liv Boeree:
“In poker, you always have to know where your money is coming from.
In our fund, every strategy we run has a specific player in the market we believe we’re making money off of.”
It all ties back to what we talk about often:
Who’s trapped?
Who cares?
And who’s on the other side of your trade?
Worth a watch.