Hi guys, How about a simple explanation like this http://www.dummies.com/how-to/content/the-optimal-f-money-management-style.html
Optimal f and the Kelly Criterion Article by Ralph Vince begins on page 21. Optimal f is even more ridiculous than I believed. How this bullshit gained traction is a mystery to me.
Too simple. That article doesn't actually explain optimal f and ends up saying the same thing they've all said before : "read Ralph Vince's book". Fortunately we can now bypass the book. I wonder if Ralph Vince paid the For Dummies people for that nice little plug.
It's only useful if your strategy has a remotely small chance of losing money. Otherwise, following the Kelly Criteria is just asking to blow up your trading account.