Tim Duncan files lawsuit against Financial Adviser

Spurs’ Tim Duncan Said to Lose $20 Million to Bad Investments

http://www.bloomberg.com/news/articl...nts?cmpid=yhoo

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Better leave the money in the bank those rats are greedy and not trust worthy, oh you wanna invest 20 mil? invest from your own pocket you piece of shit.

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Originally Posted by cjw

I'm astounded that athletes trust anyone outside of top financial institutions with their money. I see my industry tarnished by so many empty suits and even worse frauds. It's not all that hard to cram for a few exams and get licensed unfortunately.

Anyone who puts more than a percentage of their assets with any one institution / investment that they wouldn't mind taking as a total loss is insane. Hopefully for Tim this was just that - a small percentage gone sour.

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I agree with you, and have made sure that my portfolio is spread among three different investment firms. Because I just flat out don't trust any one of them to have all of my money.

But bear in mind that these players are awfully young when they are handed HUGE amounts of money, and people are being soooo nice to them, and they promise this and that, and most young folks don't have the sophistication or maturity to fend off that sort of attention and scam artistry.

What surprised me most is that the Spurs' organization doesn't make institutional financial planners available to these players as part of their package. Maybe they do and players only use them for a portion of their assets.

Even Pop lost money on a restaurant, Bowen lost money on a spa business for his wife, Tony lost money on a bar business for his brothers, etc. etc. etc. Tim may lose money on his vehicle-outfitting business.

Basketball smarts don't translate into business smarts and vice-versa (see Cuban, Mark).

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Originally Posted by EVAY

I agree with you, and have made sure that my portfolio is spread among three different investment firms. Because I just flat out don't trust any one of them to have all of my money.

But bear in mind that these players are awfully young when they are handed HUGE amounts of money, and people are being soooo nice to them, and they promise this and that, and most young folks don't have the sophistication or maturity to fend off that sort of attention and scam artistry.

What surprised me most is that the Spurs' organization doesn't make institutional financial planners available to these players as part of their package. Maybe they do and players only use them for a portion of their assets.

Even Pop lost money on a restaurant, Bowen lost money on a spa business for his wife, Tony lost money on a bar business for his brothers, etc. etc. etc. Tim may lose money on his vehicle-outfitting business.

Basketball smarts don't translate into business smarts and vice-versa (see Cuban, Mark).

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Translation, don't put it to work in ventures which you have little to no experience. Hell, a better investment would have been to buy a few houses and rent them out...with a management company handling all of the day to day business. That's gold Jerry, gold!

uhhh im pretty sure anybody with a lot of money has lost some in a bad investment somewhere.....not everything works out perfectly, but you stay rich by making mostly good imvestments.

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Originally Posted by ploto

Athletes and physicians are the dumbest people about money. Basketball stars who make millions and millions, but somehow that is not enough. Instead of putting their money in safe investments or fairly low risk mutual funds, they invest in night clubs, hotels, and restaurants.

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So true.
The God complex.

Forgery and lost $20 million? No wonder Duncan sold that "lake" house

Yikes

Damn that sucks for Tim but wtf was he doing giving so much money to a skeezy solo investor guy. Shit he could have gone with DRob's investment company.

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Originally Posted by cjw

Hopefully for Tim this was just that - a small percentage gone sour.

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Net worth at $150M so he'll be fine, still $20M is a big chunk of money to lose.

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Originally Posted by EVAY

Even Pop lost money on a restaurant, Bowen lost money on a spa business for his wife, Tony lost money on a bar business for his brothers, etc. etc. etc. Tim may lose money on his vehicle-outfitting business.

Basketball smarts don't translate into business smarts and vice-versa (see Cuban, Mark).

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When you have money to the degree these guys do, it's perfectly reasonable to throw a small percentage at riskier ventures or at hobbies (wine, car shops, nightclubs in strip malls). The guys who run into trouble either spend big without ever seeing massive guaranteed contracts, spend ungodly sums or allocate way too high a percentage to "advisors". As a general rule of thumb, NBA players should put away $2-3 million for each person they have to support into less risky investments that will worst case spit off $100k of income in perpetuity. Won't live like kings, but at least provides a baseline.

And you're totally right on kids coming into the league and being preyed upon. Another argument in favor of age limits in the NBA and part of the freshman curriculum at every college should be personal financial management classes for athletes and non-athletes alike.

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Originally Posted by cjw

Another argument in favor of age limits in the NBA and part of the freshman curriculum at every college should be personal financial management classes for athletes and non-athletes alike.

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Totally agree.

That is the problem with private equity firms.

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Originally Posted by ploto

That is the problem with private equity firms.

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"the" problem ? there's lots of problems with p/e

after seeing ROCKY V about 25 years ago, if I were a millionaire, I wouldn't be trusting other people to invest for me. Felix Trinidad lost over $60 million having someone invest for him