Posted on 09/23/2023 4:19:30 AM PDT by Libloather
For many kids, playing in the National Basketball Association (NBA) is a dream come true.
But for many ballers plucked out of high school or fresh out of college, getting drafted and earning millions of dollars isn’t the fast break they think it is.
**SNIP**
Kenny Anderson
Chris Washburn
Delonte West
Rick Mahorn
Tim Duncan
Erick Strickland
Glen Rice
Gilbert Arenas
Larry Johnson
Randy Brown
Dan Issel
Derrick Coleman
Jason Caffey
Antoine Walker
David Harrison
Latrell Sprewell
more...
(Excerpt) Read more at moneywise.ca ...
Yes, Larry Bird, he was a well grounded, blue collar guy. He grew up poor and didn’t want to go back.
The point I am making is that you cannot just spend the money. You have to do something with the money, that is the purpose of money. If you just spend it, you can only use it once. If you invest in some fashion, you might be able to use it repeatedly until you possibly lose it.
The athletes who aren’t broke, understood that you have to do something with the money, other than just spend it.
Athletes are trained monkeys, viz. they exist solely to entertain the masses. Sports "unions" could not care less about athletes financial well being after sports. Why would they?
If you had a dad who kicked you square in the a** and told you the world doesn’t owe you a damn thing, you will appreciate him all the more reading this. Those that are working are charity cases, and still haven’t learned that leasson.
“I love money. I love everything about it. I bought some pretty good stuff. Got me a $300 pair of socks. Got a fur sink. An electric dog polisher. A gasoline powered turtleneck sweater. And, of course, I bought some dumb stuff, too.”
― Steve Martin
Rob Gronkowski put every penny he was paid through his contracts into investments. He lived off of his endorsement money. Plus he made a ton flipping houses.
Pretty smart guy.
I probably wouldn’t flip houses, but I would open a business or buy an established business and work that way. That’s the way to do it, imo.
College basketball powerhouse UCONN has produced a more than a few NBA players. I’m going from memory but one of them showed a lot of maturity. He asked that his 24 million dollar contract be paid out a million dollars a year. He said he never wanted to be poor again.
< i> Many of those go broke, too.
If folks just bought a basic index fund they'd get an average return of 8%. Not too bad.
If it were that easy everyone would do just that. Investments do go south, more often than they go north.
When Elvis bought Graceland he gave his mother free reign to decorate the entire place. That probably explains what you saw because Mama Presley had been dirt poor her whole life until Elvis hit it big.
The saddest day of his life was when his Mama died. Elvis was a Mama’s boy.
A few years later his dad remarried and while Elvis was away, either on tour or shooting a movie, Papa let his new wife redecorate the place to her liking.
When Elvis returned home he literally exploded. He grabbed his daddy and daddy’s wife by the collars and threw both of them out of the house.
Fortunately for Elvis a couple of the boys in the Memphis Mafia had put everything in storage and paid for it themselves. Elvis took everything that had been put in the house while he was gone and gave it to charity. He got his guys to bring back everything his Mama had bought and put it right back where it had been.
So what you saw was Mama Presley’s decorations.
Graceland is still furnished the way Mama Presley did it so long ago.
Apparently....
I think he got into flipping houses because it was physical labor that he could do in the off-season and he enjoyed it. He probably invested in some businesses but as a silent partner.
The problem with the stock market is that financial advisors use averages over time to predict future performance.
They often deny doing it—but they are doing it.
I am hearing a lot of stories of professional financial advisors convincing the elderly (70+) to put most of their cash in the stock market.
This is a horrible idea—because the odds are very reasonable that the market could have a major (as in panic/capitulation) crash in the next five years—and the senior will not have time to make back their losses.
Seniors should be in the business of preserving capital as best they can—with an absolute minimum of risk.
For professional athletes they have major challenges—their “friends” and family often become their biggest problem. Financial advisors are not that trustworthy either—I think if I were in that situation I would split my wealth into several pots and have several different financial advisors helping me manage it.
True to a degree.
I am hearing a lot of stories of professional financial advisors convincing the elderly (70+) to put most of their cash in the stock market.
Then that person should be out of the business. No way someone over 70 should be majority stock.
For professional athletes they have major challenges—their “friends” and family often become their biggest problem. Financial advisors are not that trustworthy either—I think if I were in that situation I would split my wealth into several pots and have several different financial advisors helping me manage it.
Very true. Many of these kids come from nothing and suddenly have a lot of money. They see the rappers with the bling and the rides....and of course...the girls who will be theirs as long as the money olds out.
It's sad to see.
Then, I recommend for you is to never invest. That’s the safest thing for you. Make sure to never save money either, because money is guaranteed to be lost through inflation.
Tom Brady lost millions on what he thought was a good investment, and it was, until it wasn't.
IBM used to be a rock solid investment, with the advent of the microcomputers they have lost a lot of market share.
There is more to it than just investing. But hey, if you think it is all just about investing, best of luck to you.
I trust the survival instinct of people. Nobody wants to grow broke. It’s always better to own part of a company than not. Of course there is no guarantees, but if don’t want to do anything because of the risk of loss, then the only safe investment for such a person is to buy something that is useful to them to own it, like kitchen pots and pans.
There are people like that and they aren’t totally wrong, but even to the most ignorant investor, the key is to keep investing. Even if have a loss of 99%, you still make a net gain of 1% everytime.
That’s good advice.
I recall I saw an interview with a sports agent some years ago, and he dealt with some players and multi-million dollar contracts.
He said he also was something of a financial advisor for these guys. And his advice which helped a lot of his guys was to make sure that they took half of the money they got and invest that and save it so that they would have money to live on in retirement.
Hel said he advised them to have some fun take the wife or girlfriend on A cruise , buy a luxury condo, buy their mother a house ,and do different things like that , but only do it with half of the money they got.
This guy advised his players that professional athlete careers are relatively short , and then when that time is done you still have the rest of your life to live.
And then if you have stashed away half of the multimillion dollar paydays you’ve had you still will have plenty of money to live on for the rest of your life after Sports
Well, it mostly went back into the economy, didn’t it?
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