Balancing New Risks and Rewards In Poker

August 15, 2009 :: Posted by - scott :: Category - Poker

Balancing is important in playing poker. You must know if a risk your taking is worth the reward. Sometimes odds are surprisingly good but the consequences are not as good. Check out the following examples:

Example 1 – One day a rich man approach you and gives a gun with six chambers. Then he told you that he’s going to give you $1,000,000 if you play a round of Russian Roulette.

One million is a very good reward in this game because you have 5 out of 6 chances that you’ll get it. But one million is not good enough if you end up dead. Even 1 out of 6 chances of taking a bullet in your head is big enough reason not to take the offer of the rich man.

Example 2 – You won the lottery and you took five million dollars. The same man propose that he’s going to give you $10,000,000, if its head in flip the coin game. If its tails then you’ll give him $5,000,000.

Ten million dollars is a big rewards but the risk that comes with it is so high. If the coin is flip and end up being tail then you lose the $5,000,000 that you should enjoy for the rest of your life. Think about it.

It has a very limited chance to you’ll encounter the same odds in poker as the two examples above but there will be a time that you will give up a positive expected value bet because of the risk involve.

Check this out.

You’re one fortunate person because you got a free entrance to the WSOP (World Series of Poker). You find yourself in a situation wherein you don’t have enough chips in the table and you’re also one player away from the bubble. If you’ll make the money you’ll get $50,000 – quiet a big amount for you. Another player has been eliminated from the tournament but if you lose the present hand you will be out of the money since you are short stack compared to the other player.

Your hole card is a pocket of Aces. If you decided to fold you’ll win $50,000. But if you play and lose you’ll get nothing. But if you play and win you got triple winnings.

The dilemma here is that even there is a reward triple or double your chips, its not enough if you lose $50,000 dollars if you lose the hand. Another thing to consider is that even if you win, you still don’t have the chance of increasing your stat into the tourney ladder.

Your knowledge of EV is not enough to justify risking everything you have in order to gain the reward. Before making any decision think about it twice before finalizing it.

Think about this, there are actually a time where you’ll be given a hand that will bring forth more rewards to you. Live to fight for another day.