Athlete Equity 🥊
Hey everyone,
I wrote a few weeks ago about equity and ownership, namely that equity in some type of business is important for eventually divorcing your inputs (and more importantly, your time) from wealth generation.
Since then, I’ve come across a few different examples (all from Joe Pompliano) of athletes who are opting for equity rather than traditional endorsements, or otherwise using their money and influence to make shrewd business decisions. Here are three examples:
Stephen Curry launched the Curry brand this week, similar to the Nike/Air Jordan deal. Jordan makes $130M a year from royalties.
On the advice of friend Mav Carter, Lebron walked away from a multi-million dollar contract renewal with McDonald’s for 10% of little-known Blaze Pizza. His stake is now worth 10X. Lebron also owns 2% of Liverpool F.C., which is now worth 6X his initial investment of $6.5M.
WR DeAndre Hopkins has shown off his investment acumen since joining the NFL, including stakes in Therabody, Beyond Meat and BioSteel, as well as negotiating his recent contract extension. His advice? "Equity deals only."
I find it encouraging that athletes are taking a more active role in managing their finances, and they’re driving home the key takeaway from my recent money discussions:
Ownership is important.
Pete’s Picks ✅
What I’m Reading: I picked up Mastery this week and can already tell I’m going to love it. The book intertwines stories from masters (da Vinci, Einstein, etc) with an analysis of what it takes to achieve mastery in any given field.
What I’m Watching: I saw a commercial for Murder on Middle Beach while on my HBO app, and I’ve been hooked since. The 4-part documentary series follows the filmmaker as he investigates his mother’s mysterious murder several years afterwards. If any indication of how good this is: the last episode comes out tonight at 10PM and I’ll likely stay up to finish it.
What I’m Listening To: I grew up listening to a lot of James Taylor via my parents and have rediscovered him recently. I’ve enjoyed listening to his greatest hits in the morning as I’m starting work.
Tweet of the Week 🐦
Cheers,
Peter