Open Access Repository
Risk equivalence as an alternative to balancing mean value when trading draft selections and players in major sporting leagues
Downloads
Downloads per month over past year

|
PDF
132905 - Risk e...pdf | Download (1MB) | Preview |
Abstract
In sports leagues that use an annual draft to assign eligible players to clubs, having a valueassociated with a draft selection can allow clubs to anticipate future growth of players and, ifa trading period exists, assist negotiations when exchanging draft selections and players.Typically, mean draft values often decline in either an exponential or geometric manner withincreasing draft selection number. Aggregate mean values have been used to comparetrade packages. However, clubs may also want to ensure that a trade does not increase theprobability of obtaining poor players in the draft. This paper therefore considers equivalenceof risk as an alternative trading strategy for club list managers. Here, risk is defined as theprobability of the aggregate value of the received draft selections being below a minimumacceptable level. For risk equivalence, a premium over and above mean market value mayneed to be provided when trading to secure higher draft selections.
Item Type: | Article |
---|---|
Authors/Creators: | Tuck, GN and Richards, SA |
Keywords: | risk, Australian Rules Football, draft |
Journal or Publication Title: | PLoS ONE |
Publisher: | Public Library of Science |
ISSN: | 1932-6203 |
DOI / ID Number: | 10.1371/journal.pone.0217151 |
Copyright Information: | Copyright 2019 Tuck, Richards. Licensed under Creative Commons Attribution 4.0 International (CC BY 4.0) https://creativecommons.org/licenses/by/4.0/ |
Related URLs: | |
Item Statistics: | View statistics for this item |
Actions (login required)
![]() |
Item Control Page |