Professional Athletes who have built a Financial Legacy  

Our Group CEO, Andy, shares his insight on the importance of financial planning for athletes and some successful proven techniques that wealthy athletes have implemented to build their financial empire.

“I have always been a huge sports fan and follow English football avidly watching every televised Liverpool game and go to watch the NFL and NBA when I get the chance. Having worked in the private wealth sector for twenty years, I’ve also had exposure to working with athletes and know they are a certain type of High-Net-Worth Individual. 

Athletes require a unique approach to financial planning, and this became even more apparent to me when I launched Affinity Sports. The number of case studies depicting an athlete’s financial downfall is alarming, and it became clear to me that there is an issue contributing to poor financial mismanagement in athletes, which for some leads to financial hardship.  

A lack of planning from professional advisor that prioritises the interests of athlete 

Statistics reveal that over 70% of athletes find themselves bankrupt within just 3 years of retirement, despite their huge salaries and additional endorsements. So how is this case? Because they haven’t received proper guidance on how to effectively manage their wealth.  desi

Invested properly, an athlete can conservatively grow their wealth 6% per year over a long period of time.  

Unfortunately, there is a culture amongst professional athletes that encourages excess and a flashy lifestyle. Instead of splurging on luxury cars, investing puts the money to work and creates building blocks for lasting financial freedom.  

Instead of outlining why athletes fail to maintain their success, I’m going to share some case studies of professional athletes who have created impressive portfolios that transformed their initial earnings into generational wealth.  

Magic Johnson  

One of NBAs wealthiest athletes of all time is Magic Johnson with a net worth of $1.49 billion USD. Magic Johnsons business acumen is demonstrated in his ability to spot lucrative investment opportunities.  

Magic built his billion-dollar empire from $40 million USD after playing for the Los Angeles Lakers for 13 seasons. His diverse investment portfolio is made up of sports, real estate, insurance, and consumer-facing businesses, and increased by $400 million during 2024 and the start of 2025. This includes ownership stakes in three Los Angeles-based sports franchises, Major League Soccer’s Los Angeles Football Club (LAFC), Starbucks, Burger King and 24-Hour Fitness centres. 

A more niche investment which significantly paid off Magic’s 70% stake in EquiTrust Life Insurance, a Chicago based firm managing $17 billion in annuities and life insurance. Having acquired a 60% stake in 2015, the fruitful investment has been recognised as the key driver behind his overall wealth.  

Johson’s journey into the business world was supported by Jerry Buss, former Lakers owner who acted as a mentor and introduced him to several connections back in 2013. Through his smart investments, Magic has more than tripled his net worth since retiring from his career and has demonstrated how to capitalise on growth in niche markets by supporting minority owned businesses.  

Shaquille O’Neal 

Another athlete considered to be one of the wealthiest of all time is Shaquille O’Neal, with a net-worth of $500 million. Like Magic Johnson, most of his wealth has been generated from investments, and since playing on the court, he has become a successful entrepreneur, recognised television personality, and philanthropist.  

Shaq’s diverse investment portfolio has involved various franchises including Five Guys, Kristy Kreme and Big Chicken, and his business savvy mindset is demonstrated in his ability to leverage his status. Shaq accumulated over $200 million USD in brand endorsements during his playing years and receives up to $60 million per year in present day, which is a testament to the long-term success of his personal brand.  

Shaq has built an outstanding personal brand and is known for his magnetic personality and his authentic nature. The athlete came from humble beginnings, without a father figure and lacked financial literacy. He fortunately received support from a friend’s dad who gave him the book, ‘The Dummies’ Guide to Starting Your Own Business’, which Shaq credited to forming his business acumen.  

Shaq’s successful strategy in fostering long-term growth through franchises has encouraged this in other athletes and by sharing his learning curve in business and authentic journey, he spreads awareness on the significance in long-term financial planning for athletes.  

Serena and Venus Williams   

Two world-class athletes who have built financial legacies off the court are the Williams Sisters. Renowned for their successful entrepreneurship ventures and smart investment strategies, they have both generated substantial wealth by leveraging their fame and breaking into new industries.  

Serena, holding a net worth over £$200m, and Venus, close to $100m, have become recognised figures in the fashion industry and both completed fashion degrees before establishing clothing brands. Venus also founded interior design and jewellery companies, whilst Serena entered the world of venture capitalism and has invested in over 120 companies across a diverse array of industries.  

Both sisters are also shareholders in various technology and finance companies, and share part ownership in the Miami Dolphins, a nod to their sporting background. In the mix of all this, the sisters are recognised philanthropists and have supported a wide array of charities.  

The Williams sisters successfully demonstrated not only how to establish a reputation in a new industry after their sporting career, but impressive investment strategies that every athlete should emulate.  

So, what essential components made up their successful financial strategy?  

The athletes mentioned all demonstrate clever business acumen by generating multiple income streams and investing their wealth in a diverse array of industries. This technique is fundamental to spreading risk and making substantial, long-term gains. The key is to create a balance between niche, lucrative investments and stable investments with a track-record of consistent growth.  

They also demonstrated how to successfully leverage their personal, sporting brands in the sporting world to establish a reputation in new industries, which laid the foundation for their successful entrepreneurship ventures. 

It is also interesting to note that it was not all plain sailing and some of the wealthiest athletes of all time. Shaquille O’Neal lacked guidance from a professional advisor and was fortunate to receive the right support at the time, however this is often not the case.  

How can we help at Affinity Sports?  

We established Affinity Sports to provide athletes with comprehensive support in all aspects of their financial and lifestyle needs. Provided by a regulated Corporate and Trust company, which is regulated in multiple jurisdictions, we prioritise operating with integrity and compassion and focus on building long-term relationships with our clients based on trust.  

Our core services at Affinity Sports are bespoke wealth structuring and with over 20 years in the wealth management space, we have gained an in-depth understanding of the bespoke requirements of High-Net-Worth Individuals.  

Our solution at Affinity Sports is also made up of an established range of partners that we trust, to ensure that all parties are working in the best interest of our client.  From tailored investment advice to media management, we provide bespoke services that meet the unique needs of the athlete.  

If you would like to chat about our services at Affinity Sports or would like to discuss your goals, feel free to contact me directly, I would be delighted to support you. “

Get in touch with Andy here.