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ROI+, ROC ?

Discussion in 'HRSC Suggestions' started by BrianH, Jan 16, 2014.

  1. BrianH

    BrianH Highly Respected Member

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    I have been a member of Secret Betting Club for several years although I don't currently subscribe to any tipsters proofed by them. I list a couple of other measurements they use when comparing tipsters returns. Would it be possible to add a box in the HRSC results area for ROI+ and ROC based on a recommended betting bank of MaxDD x a suggested figure.

    UNDERSTANDING KEY TERMS
    Here you can find explanations for a number of key terms that are often referenced in our magazines.
    ROI (Return On Investment: This is a key metric to equating just how much you would had to risk to make a profit. The calculation is a simple figure of profit divided by total amount staked AKA profit on turnover. 10% ROI means £10 profit for every £100 put at risk.
    ROI+: This takes the ROI figure above to a second level as it gauges over how many bets it was generated via. The calculation is a simple figure of ROI multiplied by the number of bets. This rewards tipsters who maintain a solid ROI over a large number of bets.
    ROC (Return on Capital): This gauges just how profitable a service is in relation to the betting bank. I.E. 43% would mean a profit of £430 on a £1000 bank.
    Annualised Profit: This is one of our favourite calculations as it takes into account all elements of a service's results and reveals what you will make following each service on an average annual basis. To arrive at this figure we take the ROC and divide it by the number of months the service has been active. We then multiply this by 12 to get an annualised profit figure.
    12 Month Profit After Fees: Each tipster often charges a fee for their advice, so this calculation reveals the total profit over a 12 month period minus these fees.
    Closed To New Members: A number of services close down subscriptions to new members at various times. This can be to reduce admin or protect odds availability. Where possible we indicate these services with an * asterisk. Please note - many of these services do offer exclusive deals to SBC members including priority waiting list deals.
    Please note we use a £2,000 bank in our calculations, although this is used for illustration purposes only, such an investment may not be suitable for everybody.
     
  2. BrianH

    BrianH Highly Respected Member

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    ROI+ is the ROI% x total number of bets expressed as a number.

    ROC is the bank, say £100 divided by the recommended betting bank x total points of profit.

    An example, WHNI selections, Win Mkt, Hcp Hurdles, BFSP 9-70, 5 to 10 yr olds, male and female, UK & Irl, Class 0,3,4,5,6, min 6 runners. HRSC profit for recorded 9 mths is + 402.20 points from 1588 bets, ROI 25.33%, Max DD 116.4. Say recommended bank is 1.5 x MaxDD or 175 points.
    ROI+ would be 25.33% x 1588= +402.24
    ROC would be 100/175x402.20 = 229.28%. What this says is that, for a £100 investment bank, the stake per bet would be £100/175 = 0.5714 pence and over the 9 months to date, you would have made 402.2 points x .5714 pence profit = £229.81 or 229.28% return on your £100 capital over the 9 months.

    I think that I've got that right! ROC would be a handy figure to incorporate into the results table as it's critical to have a safe betting bank and we are interested in our return on capital
     
  3. Ratz4Racing

    Ratz4Racing Cheeky Monkey Does Stuff

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    Hi Brian,

    Thanks for that. As you know, HRSC already calculates ROI.

    But of the others there the ROI+ figure looks the most interesting and something I would definitely like to incorporate.

    The ROC also doesn't seem to be too difficult to do.

    Thanks for suggesting those, I'll try to have them on HRSC very soon.
     
  4. Stokie

    Stokie Super Poster

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    interesting idea thanks Brian and of course to Andy when the deed is done looking forward to it
     
  5. Ratz4Racing

    Ratz4Racing Cheeky Monkey Does Stuff

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    Brian,

    I implemented ROI+ but I soon realised that, as it stands, it's a pointless figure. It is basically churns out the profit figure again.

    Your illustration above shows what I mean.

    I can't help but feel that there's something missing and that the calculation is more complex than you've been given there.

    ROI = profit/number of bets

    It stands to reason that ROI * number of bets = profit.
     
  6. BrianH

    BrianH Highly Respected Member

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    I see what you mean Andy but I'm sure that ROI+ tells us more that ROI. The ROC Calculation is corrct and depends on the betting bank allowed. I'll check with SBC and get back to you
     
  7. Ratz4Racing

    Ratz4Racing Cheeky Monkey Does Stuff

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    Cheers.

    I was also taking a look at the ROC thing and this is a little similar to something I've always wanted to include in HRSC (my name for it was Sensible Stakes) and it was an attempt to take a look at the PLR and MaxDD and come up with some kind of recommended stakes.

    The only snag with it is that it will always be calculated dynamically and so it will be changing from one bet to the next and I'm not sure that that is ideal or even helpful.

    I'm not dismissing the idea but I'm finding myself up against the same doubts about its usefulness again.

    If I did it, I probably wouldn't simply provide a figure, the output would be more like a couple of sentences of actual text with, perhaps, a range of figures contained within it.
     

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