Â This is the transcript, chapter 2Â of 5, for the PaceMakesTheRace Podcast: Interview With The Gambler – Part 2, which originally published in 2015!
Dave: I want to go back a second. We talk about this counter culture lifestyle and how it impacts your family.
I used to be a guy that had a tendency to work all night. One day, I realized that my children often did not see me work and they might get the wrong idea about what it takes to succeed in the world.
What they saw was that I took part in a lot of leisure time activity because that is how I arranged my time with them. Can you validate that statement in your own life a little bit?
Gambler: My kids know how hard I work. I have always been the type of person
who, whether I worked for someone or owned my own business, put in twelve to fourteen hour days. That is just my nature.
I have to force myself to take off two days a week.
If I was left to my own devices, I would self-destruct by working every day and never taking a day off. I have learned I cannot do that. My kids see me work and they see the benefit of it, too.
One of the things that I find funny is that when you say counter culture lifestyle that stands out for me. Just last year my son, who is in middle school, in his pre-AP math class, was talking with his math teacher about probabilities.
His math teacher said no one can win at gambling and my son raised his hand and said, â€œI want to tell you about my dad!â€
I ended up having a conversation with that teacher when he called me.Â It was funny to learn that a math teacher had such a perception about gambling and gamblers.
So, now my son is questioning some of his other teachers because he has heard one of them make a statement that is generally true. The fact is that most people do not win.
The other thing I find interesting is that I have gotten to the point where when I go to one of my kids’ ball games or school events and meet someone I do not know, I try to avoid getting into a conversation about how I earn my living.
I know that what I do is so unique to people that they end up with a quizzical look on their faces.
Then the questions that come from them are always the same. I really donâ€™t mind, but sometimes I get tired of having to answer why I live the way I do. Actually, I think I live pretty well.
Dave: You have control of your time, which is huge. Assuming you are making enough money to meet your lifestyle needs. That is really when the money you earn and your lifestyle mesh and work together. Isnâ€™t that also where freedom comes from?
I think that takes us to another question. What do you say to the person who says no one wins at anything? I do not mean a math teacher who is uninitiated.
There are a lot of people, especially on the Pace Advantage border forum, horse and poker players who simply say that they do not believe anyone wins at anything.
If you met one of those people, one on one, what would you say to them?
Gambler: Someone has to win because the takeout is not 100%. Someone wins something because the house does not take all the money. Is it easy? No.
There is some stuff with gambling now where I think a really smart player can have a really large edge. For the most part, however, the edges are small and it is a matter of putting in the volume to exploit that edge.
Dave: That is really excellent. I agree with you and we hear that again and again where you exploit your advantage into a large income.
I want to go back to one of the other questions that came from Pace Advantage and I think you will be able to go through this quickly.
The question is: what do you do when there are some hidden obstacles to overcome? For instance, was there something you thought was going to be easy that turned into an unexpected challenge as you transitioned into the life of a professional gambler and poker player?
Gambler: I am trying to think of a reasonable answer beyond the things that might be obvious.
Dave: What is obvious?
Gambler: There are going to be swings. I think it is very easy for someone, although easy is not really the right word, that is young, single and not responsible for anyone else, to not have to worry about falling flat.
I had those same challenges in business. If my business failed my family failed. It is the same thing with this. But I think the advantage I have is my wife trusts me completely. She does not question me on a daily basis or make me worry and I am very fortunate because of that.
She does not say ‘how did you do today, you lost yesterday, how did you do today?’ She never says things like ‘you lost two days in a row, how did you do today?’ She does not put that pressure on me.
As long as it is the end of the month and the bills are paid that is all she cares about. I am very fortunate in that. If I had a different type of relationship with my wife there is no way on earth I could do this.
I could not do this without her support. If I had someone else as my wife, it would not work. I would need to be without a wife.
Dave: You bring that question up. How often do you take withdrawals? In other words, you have a business you are running here. I do not know about you, but my house is a money-eating machine.
The question is do you take money out weekly or monthly or at some pre-determined point, some kind of session? How do you do that?
Gambler: I pay myself on a weekly basis.
Dave: Do you have weeks where you cannot draw? Do you draw short or long? Do you try to take a specific amount of money a week or do you take some money out as you need it? In other words, do you have some firm methodology for doing this that you found works for you?
Gambler: I am not the best by any stretch of the imagination at bankroll management because I think it would be hard to define my bankroll.
I have a bankroll that I play with on a daily basis and at the end of every week I take out whatever amount of cash that is over my starting stake.
If it gets below that, I either add to it or I take another week to try to build it back up without having to put money into it. But then I have savings and, theoretically that could be my bankroll too, even though I do not want it to be.
Dave: Obviously, then, sometimes you have weeks when there are no withdrawals.
Gambler: And sometimes I have weeks where there are large withdrawals. It is a goal. It is not something where I get worried if I go one, two, three or four weeks without a withdrawal.
After four weeks, I have to put money back into it. But I donâ€™t worry about it at that point because I know that is the nature of it.
Chapter 3 coming soon..
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