Professional Footballers: Engage Guide To Wealth Management…

Professional Footballers: Engage Guide To Wealth Management

Part 2: Investments.

The best investment decisions always start with the end in mind.

On the one side you have the advantage of the greatest superpower that exists with investing - time. On the other, you have the disadvantage of a list of unknowns – what does next year look like? What will your contract situation be? What would you do if your career stopped tomorrow?

Investing for professional athletes is a constant tug between a decades-long time horizon and a day-by-day career. That’s why we look at what you want to achieve long term before deciding on how to invest.

Ultimately, if your career ends, the perfect situation would be that your investments provide these three things:

1. The flexibility to choose what you want to do next.

2. The option to decide what that timeframe looks like.

3. A life after sport that has a lot to offer (yes, it is possible to love your next chapter as much as you have your sports career).

It’s about turning your future unknowns (an inevitable part of being an footballer) into something you can control.

But how do you get to this point? We like to focus on assets that provide rising growth against inflation and are income generating. We also like assets that have CONSISTENTLY worked, not just the ones that are working now. You will also need to have your investments divided into three distinct buckets:

1. Cash This is low risk but provides certainty, flexibility and instant accessibility.

2. Growth assets The investments that will build long-term wealth, such as stocks and property.

3. Other Investments A small proportion of assets go into higher-risk speculative investments, e.g. business ventures, private equity and venture capital.

Your core portfolio should consist of enough cash and growth assets to sustain your lifestyle forever BEFORE you go diving into the more speculative investments.

Investing Home Truths

Find a healthy rate of return that you can sustain for the longest period of time.

Time is your greatest superpower. To win the game of investing, you need to be in it for the long haul.

Compound interest is hard to see until it’s impossible to ignore.

8 + 8 + 8 + 8 + 8 + 8 + 8 = 56

8 x 8 x 8 x 8 x 8 x 8 x 8 = 2,097,152

Click here to download the full guide,