Competition investment: maximize the probability of your profit being the best in the pool
Normal strategy: 100% chance of losing the competition.
Extremely risky strategy: 99.99% of losing - who cares by how much? There's this 0.01% of winning and it's all that matters.
Normal investment: maximize expected profit
Competition investment: maximize the probability of your profit being the best in the pool
Normal strategy: 100% chance of losing the competition. Extremely risky strategy: 99.99% of losing - who cares by how much? There's this 0.01% of winning and it's all that matters.