money is dead money. It's also scared money. A scared poker
player can serve as a perfect example of the type of person
that fears to lose money.
Take the time
to sit at any $1-$2 no-limit hold’em game at any casino
in Australia and you will quickly realise who fears money
and who plays without fear.
Good players may continually lose because they fear the
dollar and fail to play according to their strategy.
In any casino
game of poker you'll see several bad players win lots of
money at the tables because they bully the scared players
out of their hands.
They essentially make suckers out of the better player so
in the end; the better player goes HOME broke and emotionally
How many times
have you heard a person say: ‘if I only put my money
into that piece of real estate”? These same people
are also the ones that continue to pass up on potential
opportunities today because they are scared to lose.
Nothing comes easy and life rarely serves up a free pass
without some form of risk attached. This is not to say that
risk shouldn't be considered but it should be considered
in the context of "part of the deal" with the
acceptance that some losses will be made along the way but
every loss should not be a mentally disastrous setback from
which you never can psychologically recover.
to be losses to make gains. Don't accept that? Well, consider
the business plan of any casino in the world. They make
tens of thousands of losses every day BUT in "the long
term" the odds are always in their favour and they
simply must come out in front.
They have a
substantial "bank" to sustain the inevitable losses
knowing full well that in the fullness of time and countless
millions of transactions they must finish in the positive
side of the ledger.
now and then a big punting player will sail through and
have a magic run and clean them out for a couple of "big
ones" and it will be written up in the media and the
losing casino will love it - because they know the free
advertising will get more losing punters flocking through
the doors to try and emulate the "Kerry Packers"
of the world and will more than make up for the one off
Do you think
the casino owners lose sleep over these occasional big losses?
Of course they don't because the odds formulas are ALWAYS
in their favour.
Casinos never punt with scared money. Casinos don't punt
with money from credit cards!
So, like any
casino, if you don't want to punt with scared money - translation:
must lose - here are the two things you MUST do.
You have to
have a large enough bankroll so that the "bad beats"
don't spell disaster and you must have a strategy that capitalises
on long term trends. The bank roll must not be funded by
American Express or Mastercard,
simply fail because of their fear of losing money. It becomes
a self-fulfilling prophecy. Those fears become magnified
if you don't have a plan, or method, or system, (call it
whatever you like), that you believe puts you in the "casino
position" - that is, in the long term you think you
have the long term advantage.
If you don't
have this mental confidence and sense of purpose in application,
you will always be betting with scared money and therefore
condemning yourself to loss after loss after loss.
This negativity then breeds more negativity and so the cycle
continues. If you really are betting with money you can
afford to lose, the mental stress of winning diminishes
and the decisions you make from one race to another become
clearer and easier to make and the results follow accordingly.
Don't bet with
"scared money". Take the time to develop a long
term strategy that you believe in and turn "scared
money" in to the "educated money" we constantly