- Jul 20, 2016
- 6,572
- 20,209
A friend appraised several casinos when he lived in Las Vegas, and he said it was the most complicated work he ever did. He also saw from a numerical perspective that winning was pretty much an exercise in futility. (Personally, I don't really enjoy gambling - not opposed to it - but I have other things I would rather spend my money on.)
So this news item really caught my eye. The Palace resort on Macau showed a 10 million dollar loss in April from high-rollers at the baccarat table. The losses were large enough to push expenses over revenues for that month. Although some of the expenses are tied into commissions to the junket providers, the majority went to some fortunate players.
Robert Hannum, a professor of risk at the University of Denver who was interviewed by Bloomberg, explained that a string of losses of this magnitude is extremely unlikely in baccarat, though the game does have some of the best odds for players.
According to Bloomberg, the loss occurred at the Wynn Palace baccarat tables. The Palace is Wynn’s new $4.2 billion resort on Macau’s Cotai Strip, a market teeming with high rollers. Macau has a system where junket operators like Suncity bring high rollers to casinos, front them cash and pay for private rooms. The casinos then pay the operators a commission based on the amount their clients bet.
I find "black swan" events interesting probably because my life seems like an outlier.
http://www.zerohedge.com/news/2017-07-28/wynn-resorts-macau-casino-books-staggering-black-swan-gambling-loss
So this news item really caught my eye. The Palace resort on Macau showed a 10 million dollar loss in April from high-rollers at the baccarat table. The losses were large enough to push expenses over revenues for that month. Although some of the expenses are tied into commissions to the junket providers, the majority went to some fortunate players.
Robert Hannum, a professor of risk at the University of Denver who was interviewed by Bloomberg, explained that a string of losses of this magnitude is extremely unlikely in baccarat, though the game does have some of the best odds for players.
According to Bloomberg, the loss occurred at the Wynn Palace baccarat tables. The Palace is Wynn’s new $4.2 billion resort on Macau’s Cotai Strip, a market teeming with high rollers. Macau has a system where junket operators like Suncity bring high rollers to casinos, front them cash and pay for private rooms. The casinos then pay the operators a commission based on the amount their clients bet.
I find "black swan" events interesting probably because my life seems like an outlier.
http://www.zerohedge.com/news/2017-07-28/wynn-resorts-macau-casino-books-staggering-black-swan-gambling-loss
