I'm looking at a simple coin game where I have \100, variable betting allowed, and 100 flips of a fair coin where H=2x stake+original stake, T=lose stake.
- If I'm asked to maximise the expected final net worth N$, am I meant to simply bet a fraction of $\frac{1}{4} (according to the Wikipedia article on the Kelly criterion)?
- What if I'm asked to maximise the expectation of \ln(100+N)$? Does this change my answer?
Thanks for any help.