How to Invest Like LeBron James
FBLA NLC 2015 Workshop
LeBron’s Net Worth
2015 Earnings: $65.6M
The Decision
Not
THIS “Decision”
THIS “Decision”!
The Decision
With almost $65M in earnings this year alone, LeBron has some cash to invest.
BUT…
What should he invest in?
Well, here are his options:
Option A
Start a restaurant!
Option B
Create a sports agency!
Option C
Start a clothing line!
Option D
Invest in the stock market!
What Should LeBron Do?
(A) Restaurant | (B) Sports Agency |
(C) Clothing Line | (D) Stock Market |
What Should LeBron Do?
A - Restaurant
B - Sports Agency
C - Clothing Line
D - Stock Market
Make a Pitch
Convince us:
Why should LeBron invest in
A - Restaurant
B - Sports Agency
C - Clothing Line
D - Stock Market?
What Should LeBron Do?
A - Restaurant
B - Sports Agency
C - Clothing Line
D - Invest
Warren’s Advice
Start Early
| Kobe Bryant | LeBron James | Anthony Davis |
Age | 37 | 31 | 22 |
Years to 65 | 28 | 34 | 43 |
Salary | $23.5 M | $21.57 M | $7.071 M |
Monthly Contribution of 15% of Salary | $293,750 | $269,625 | $88,388 |
Start Early
Total Contributions:
Kobe: $98.7 M
LeBron: $110 M
Anthony: $45.6 M
Own a Piece of America
100% Bonds
100% Stocks
Bonds:
Stocks:
Own a Piece of America
Historical Returns by Asset Allocation (1926 - 2014)
Own a Piece of America
Own a Piece of America
Rule of Thumb ~ Asset Allocation
Age = Bonds
→ Bonds Stocks ←
100 - Age = Stocks
Contribute Monthly
Monthly Salary
Taxes & Deductions
Expenses
10 - 15% Investment
10 - 15% Savings
Contribute Monthly
| Marketing Assistant | Registered Nurse | Chemical Engineer |
Starting Salary (average) | $33,000 | $52,000 | $67,000 |
Monthly Contribution (10% of salary) | $275 | $433 | $558 |
$ at Retirement (22 - 65) | $818,000 | $1,287,000 | $1,659,000 |
What if you’re not in the NBA?
Your Next Steps
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