The Two Sides of ROI: Gary Contessa’s Vision of Training Juveniles, and Bettors’ Insights
Written by Marion E. Altieri Photos by ADAM Coglianese/NYRA
ROI
—Return on Investment—is commonly discussed in the business world, but virtually unknown to the casual fan of horse racing. But every day, at least one horseman and millions of bettors have it uppermost in their minds. Thoroughbred Trainer, Gary Contessa, has been a horse lover for life, and a respected member of the racing community for 30+ years. The key to his longevity is a factor that’s not discussed often in horse racing circles, primarily because it’s a bit of an unknown: ROI. ROI means, “Return on Investment,” of course, and is a major factor in business circles. The definition of ROI, according to Investopedia, is: A performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different
62 | Equicurean | July 2015
investments. To calculate ROI, the benefit (return) of an investment is divided by the cost of the investment; the result is expressed as a percentage or a ratio. The return on investment formula: ROI =
(Gain from Investment - Cost of Investment) Cost of Investment
The concept of value investing really is rather simple: see something that has potential, and acquire it before others realize the value of that wise purchase. It’s really a matter of keeping your thoughts to yourself: if you see a horse and realize that said horse has tremendous potential—don’t tell everyone else about your great find. Simply move forward: see the horse, get the horse.
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