Bankroll Management:
The Pro's Guide

The difference between a gambler and a professional is not luck—it's capital preservation. Bankroll management is the art of protecting your funds to survive losing streaks and capitalize on winning ones.

Rule #1: Define Your Bankroll

Your bankroll is money specifically set aside for gaming. It is not your rent money, your grocery money, or your savings. It is money you are functionally prepared to lose as the "cost of entertainment."

Once this amount is separated, it becomes a tool. A carpenter doesn't throw his hammer away because he hit his thumb; a smart player doesn't bet their entire bankroll because they feel "lucky."

The 1% Rule

A standard rule among professionals is never to risk more than 1-2% of your total bankroll on a single wager.

• Bankroll: $1,000
• Max Bet: $10 - $20

This strategy ensures you can sustain a losing streak of 50+ bets without going broke (Risk of Ruin protection).

Stop-Loss and Take-Profit

Before you start any session, you must have two numbers in your head:

1. Stop-Loss Limit: The amount where, if lost, you walk away immediately. No "chasing losses."
2. Take-Profit Goal: The amount where, if won, you lock in profits.

The Kelly Criterion

For advanced players who know their exact edge (e.g., card counters), the Kelly Criterion offers a mathematical formula for optimal bet sizing.

However, for beginners, Kelly can be dangerous because it suggests aggressive betting. Using "Half-Kelly" (betting half the recommended amount) provides a safer growth curve with less volatility.

Chasing Losses: The Fatal Mistake

"The Martingale System"—doubling your bet after every loss—is the fastest way to bankruptcy. Table limits and exponential math ensure that you will eventually run out of money or hit the max bet limit before you can recoup your losses.

If you lose your session limit, accept the defeat. The games will still be there tomorrow. Your bankroll might not be if you chase.