Investing vs. Endorsing: The Market Is Open For Athletes
/Estimated reading time: 1 minute 36 seconds
Image via TechCrunch/TheMercury News
Look, I won't bore you with the technical aspects of how athletes are investing and their financial portfolios. I will save that for a later post. However, I will tell you that more athletes are looking at more meaningful and more sustainable solutions other than your typical endorsement deals.
In a recent interview with ESPN's Darren Rovell (linked below), Kevin Durant discusses his fondness for business, investing, and learning how to make the right moves off the court; "You have to remove the ego of it and realize that you don't know it all... So I've got to ask questions, and I've got to have an open mind to it all." Having an open mind is needed when stepping into the world of investing. Much different from endorsement deals, many athletes are focusing their attention and their money on owning a piece of a company by investing in start-ups and starting their own companies.
Earning over $55 million annually in off-court investments and endorsements, LeBron James seems to be the go-to guy for sustainable investing. Similar to Kevin Durant, LeBron James has invested in start-ups such as Beats by Dre, Blaze Pizza, and is a co-founder of the media company Uninterrupted and the production company Spring Hill Entertainment.
Image via TechCrunch/TheMercury News
A glimpse into Kevin Durant portfolio gives us a look at investments in his Thirty-Five Media production company, Coinbase, Acorns app, and Postmates. His presence in Silicon Valley alone has grown his portfolio and has allowed him to build meaningful relationships outside of basketball. Although many fans and media personalities were not in favor of Durant taking his talents to the Golden State Warriors, it seems that it was the best off-court move he could have made.
For the entire article and interview check out the link below.
From My Perspective:
I am all for sustainability in branding, marketing, and general business practice. Athletes who invest their money for long-term gain are more likely to see an increase in brand awareness and brand equity for years after they have ended their professional sports careers. Athletes such as LeBron James, Kevin Durant, Steph Curry, Serena Williams and many more who are investing their money in start-ups and their own venture capitalist companies and production companies, get the bigger picture.
"Don't do things just for money. Don't do things just for fame. Do things because you feel right and it feels true." - Kevin Durant
ESPN: Inside Kevin Durant's Growing Empire