Joe Smith is broke
- Thread starter mamba
- Start date
Art Barr
INVADING SOHH CHAMPION
pimpineasy
Superstar
Perhaps I can be of help.
Art Barr is highlighting principal protection.
A CD is insured up to $250k by the FDIC so that amount is protected.
There are a tonn of investments that boast to be absolutely safe except when you end up losing your money and find out they aren't.
If I had $60m and was a professional bball player .
Immediately the real gangster takes half so really $30m.
I would put majority of it in fixed
income and or CDSas the base. A $10m I could invest in stocks/ real estate etc.
Another great point that is really really really important.
Today's cash flow is not tomorrow's.
Your current earnings don't mean you will command the same or even close to it in future.
LV Koopa
Jester from Hell
underground means off Wall Street, not literally a shady operation. You're dumb as fukk
If you have millions of free cash you DO NOT lock your money up through a commercial bank giving you a shytty interest rate. You can shop your money around and get much, much more. Hell, you might as well buy treasury bonds if you're worried about protection with little gain. You don't even need to be a millionaire - take a $100K in free cash to any investment bank or equities shop. Tell them you wanna buy CDs - they'll look at you like a moron. Why are you selling your money for at best 2% when if you want to be lazy you just throw it in an index or a PE fund and make far more? You buy CDs when you want to lock money away and don't think you can control yourself or need a penalty based investment to lock capital off for a future project. Otherwise it's a ridiculously stupid financial instrument especially if you have millions.
pimpineasy
Superstar
Piff Perkins
Veteran
The NBA has a lot of resources to help guys financially in terms of learning how to invest, but ultimately any pond full of young black men from poor communities with zero financial IQ is going to be populated by sharks. That's not to say the players don't make bad decisions...they do. A lot of bad decisions that revolve around maintaining an image or matching the image of players who make more than them. But lets be real, there is a full blown market of financial advisers who prey on these guys.
Friend of mine (who is white) works in financial management for entertainers, including athletes. Some of the stories he's told me are wild. By the time an athlete stumbles across a legit/honest firm like the one my friend works for, they have already been swindled out of millions. And lets not forget, they start out the gate losing money: you gotta pay your agent a percentage, then you have to move to a new/expensive city, then you have to help your family, then the season starts and you're getting taxed by each state you play a game in. You're getting hit before you even have time to make an irresponsible decision like buying a half million dollar Rolls Royce in cash.
The only way to do this is to keep it simple. Get a Vanguard index fund. Throw millions of dollars in it. Maybe buy some bonds and treasuries. Stay away from anyone promising you major returns if you invest in xyz. Basically unless it's some major investment firm like Hightower Advisers, stay the fukk away. The orbit of the NBA is full of "finance guys" who don't work at any major firms and instead make their living bilking rappers, rock stars and athletes. Stay way. If they aren't managing billions of dollars worth of wealth, stay away.
Friend of mine (who is white) works in financial management for entertainers, including athletes. Some of the stories he's told me are wild. By the time an athlete stumbles across a legit/honest firm like the one my friend works for, they have already been swindled out of millions. And lets not forget, they start out the gate losing money: you gotta pay your agent a percentage, then you have to move to a new/expensive city, then you have to help your family, then the season starts and you're getting taxed by each state you play a game in. You're getting hit before you even have time to make an irresponsible decision like buying a half million dollar Rolls Royce in cash.
The only way to do this is to keep it simple. Get a Vanguard index fund. Throw millions of dollars in it. Maybe buy some bonds and treasuries. Stay away from anyone promising you major returns if you invest in xyz. Basically unless it's some major investment firm like Hightower Advisers, stay the fukk away. The orbit of the NBA is full of "finance guys" who don't work at any major firms and instead make their living bilking rappers, rock stars and athletes. Stay way. If they aren't managing billions of dollars worth of wealth, stay away.
Art Barr
INVADING SOHH CHAMPION
you have never had an individual large amount of money to take in one time to a bank to know.
I know so because you talking about advertised rates and being scared of being locked in.
not to mention you not talking about the fastest most profitable least risk based return consistently.
you ain't did none of this shyt.
you are not fully actualized.
or personally experienced in this matter at all.
you are talking like you jones'n to race and it is not a race at all.
you are speaking from someone who has no real self esteem as well.
as you are speaking from someone who is not secure.
To recognize financial security and know/respect what that is.
art barr
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They will though
It’s harder than ever to stick around in the nba and nfl
back in the day being rookie you were pretty much guaranteed like 5 years now after 2 that may be it if they don’t pick up your deal
Bledswole
Slappin and clowning chumps for fun.
I mean I think athletes of all eras will still go broke once they done playing. But those guys who flame out the league usually don’t be the went broke stories it be the guys who you’d never think would go broke. So that’s who I think we’re discussing
More you make, the more you spend. Plus with social media, everything is a show, u tryna floss for the gram and show u got something others don’t. Past generations didn’t have to deal with that.
Bledswole
Slappin and clowning chumps for fun.
Yea you right and I was thinking that as well. The more you make the more you spend and the more your cost of living will be and harder to maintain once those checks stop rolling in if you don’t downgrade your lifestyle close to retiring
If you have the mindset that blows through $60M, having $100-200M won't make a difference. Just more money to blow. Gilbert Arenas really breaks down how NBA players blow their money (starting 50:53)
SadimirPutin
Superstar
Mink floors suede roofs drop down tvs 