Diving Deeper

• We are ready to go.
• Bill Bentor is a billionaire
• 2nd biggest in the horse racing industry
• Guys running the industry are all old people
• He digitized it and joined with this buy Paul Woods... learned         how to make money on horses
• No one really makes money on horses...
• Technology changes things.
• Bill has 2 jets, multiple homes
• 28 employees, bets approx 1 billion per year
• Have you ever been to a race track?
• What people do there... is get a racing form....  so people         know all of the heritage of the horse and history of the horses         race records... its called handicapping
• What Bill Benter does... he digitized all of that stuff  ...         and that's how he and and woods started making money
• Now we're ready to go... all of our stuff is proven..
• Lets assume all we're saying is true....  we came up with a         different way of betting... we believe we can beat Bill Benter
• Larry has promised me a jet if i would join us.
• So from 100,000 feet would Roger be interested in betting         involved in some small way?
• Time is not important....
• Larry would not have spent this time and money if he didn't         think we could beat Bill
• We need talent....  all of our guys who worked long and hard         are kind of burned out.
• We need 1 or 2 guys as we move forward.
• Larry is in it because he believes we can beat Bill Benter.
• The only commitment we'd be looking at now is to look at the         Bill Benter vids.
• We're just interested in new blood... not interested in a lot         of time.... it's all pretty much done.
• Don't worry about time.
• 1 in 3 chance we will beat Bill Benter
• When we do talk we never want to call him when we're boxed         in... on time.
• We'd like to have an hour... not boxed in...
• We don't need much... just new blood... don't worry about time
• Would this be good for you and your wife?

• Starts off by saying he's one of the top 5 people we've worked         with.
• Asked if he's watched Gold Rush.
• Does he know anything about gold mining.
• What Bill Benter does.... as far as we know there's 10 of these guys like Bill....
• They all do the same thing.
• Send a Racing Form to Roger.
• Everyone who's a handicapper....  uses the Racing Form.
• Larry's sure when Roger went to the track he purchase one so         he could have the information to make the the bet.
• Larry believes that Bill Benter and these guys have additional         information and have guys at the track.
• If one could find out and watch the horses work out and time         them... they are called Clockers.
• Basically everyone has the same information from the same         book.
• What Benter and the guys do us use the Clockers and some         additional information... and they have their algorithms...
• and they know what they are doing...
• They are also cheating.. and Larry can prove it.
• Introduction of Moneyball.
• Oakland A's ... they new use new information and data for choosing players and change baseball.
• Benter is using data as well like Moneyball.
•  We have a completely different thing than the current handicappers are doing. We are not doing that at all... we found  another way...
• Stock trading... does he know the difference between fundamental and technical analysis?  
  • Fundamental analysis attempts to identify stocks offering strong           growth potential at a good price by examining the underlying           company's business, as well as conditions within its industry           or in the broader economy. Investors have traditionally used  fundamental analysis for longer-term trades, relying on  metrics such as earnings per share, price-to-earnings ratio, price-to-earnings growth, and dividend yield.
  • Technical analysis, on the other hand, bypasses the underlying company's fundamentals and instead looks for statistical patterns on stock charts that might foretell future price and volume moves. The idea here is that stock prices already reflect all the publicly available information about a particular company, so there's nothing to be gained from poring over a balance sheet. Given the focus on price and volume moves, traders have traditionally used technical analysis for shorter-term trades.
• No one that we know of is using Technical Analysis.
• We're looking at things a completely different way.  Like         Moneyball.
• Then I speak about Moneyball. 
• Roger promises to watch Moneyball.

• To watch Moneyball:
• https://www.vudu.com/content/browse/details/Moneyball/210044
• Click "Sign In" on the upper right corner.

Email: moneyball477@gmail.com

 Password: Moneyball1 (case                             sensitive)

• Discussion of Money Ball
• Why did we have him watch Money Ball?
• Roger felt it's because we want to make the point we are doing things differently.
• Larry explains that this movie is a good analogy as to what we are doing.
• The baseball guys were doing it the old way, and now using a database they do it a modern way.
• There's good scene with all of the old coaches sitting around and  they believe in what they are doing.  We are quite certain that people  are making money..
• however...  there's several different inventions in what we are doing...
   
• We think that our stuff is better than their stuff and we are coming at it a completely different way.
• Is this something that could enhance your life?
   
• The one thing we can guarantee is that we've got it to a point where it doesn't lose money.
• We don't make a lot of money, but we have the concept all figured  out...  and so what we need to do is to take it and move forward.
• We still have to set it all up...  we have 1.2 mil cash and like 5 mil sweat equity.
• We have to a point where it works, but we need to take  and try to make some real money.
• We are not looking for charity.
• My question is...  Is this something that could help you out in your life?
• If this does work we are talking about an unbelievable amount of money.
   
• Review that I've got 300 k and Larry's got 1 mil and there's a little extra cash that's been thrown in.
• Larry can give you his word that in the coming weeks he'll see  that we will have this thing to a point where it's going to make some  money... but if it doesn't make a huge amount then we'll have some kind  of annuity, which will always pay some money.
• The reason Larry is in it because he believes we can beat Bill Benter.
   
• If we can beat Bill Benter who is making between 4-500 million a year, then we can get Jim a jet.
• Larry believes we will be able to afford this.
• Larry wants to hit one out of the ball park be for he dies.
• Roger asks if we are looking for a monetary investment, or just purely seat equity.
• Larry says not from him but we may go out and raise some.
• Roger asks if we're going out the public or just for ourselves.
• larry:  We have incredible potential....
• Larry asks me ...What is the best we can do?   From 1 to 100 with 100 making more money than Bill Benter after expenses?  
   
• Let's say he's making 250 mil...
   
• What's our chances at making 1/2 way to Bill Benter...   I answer 80-90%
• We're at now... 80% is using technical analysis... we have 5  inventions...  Bill has got 150k in salary to which he has to pay his  emplyees... we don't have those people
• Haven't tapped the full potential... right now we're only doing 1st favorite.
• There's so much potential... there's exotic bets, exactas, etc....
• That's the proven market already with the 1st favorite and we  haven't tapped the other potentials....  which is where the real money  is. 
   
• using just the current 1st favorite... I'd say 80-90%... using the  other potential.... why not 100 % we'll match or beat Bill Benter?
• Asks if we're running in simulation mode... I answer no, it's real money.
• I explain backtest and phoney system.
• Roger explains : he has a background in stocks.
• He uses statics in his stock trading.   He actively does this.
• Larry says to think of IBM as a track.
• Roger tweaks algorithms for his trading.
• We're not interested making money on winning races, we make money on commissions.
• We get rebates.
• We do not plan on making money on betting on winning on horses.  Only on volume and commissions.
   
• Bill Benter just want's to put in volume.
• Roger gets this.
• Larry explains that we're having problems with the exacta technology and this is where Roger comes in.
• At the end of the day there's no philosophical difference between  Roger getting 1 share of IBM and selling it an hour later.  It's the  same thing we do.
   
• Wouldn't it be nice to getting paid a commission instead of paying a commission?
• Now Roger knows what we have.
• Roger asks what would be his involvement if we went with us?
• Larry just want's him as a partner.   We want him to do what he can. Not get a divorce or move... just start small.
• Roger just needs to be himself.
• We're not really looking for him to pound code.
• He can speak the language... he has a new perspective... and then it's trial and error...