Serving famous athletes and entertainers poses unique challenges for advisers
Being an 'adviser to the stars' is exciting, but requires marching to a different drummer
Feb 14, 2016 @ 12:01 am
By Greg Iacurci investmentnews.com
Advisers describe how they often have to rein in celebrities' unfettered spending, affirming that many of the stereotypes relative to celebrities buying luxury items at will — cars, boats, planes, houses, art, you name it — are accurate.
Stars are often plagued by short-lived, unpredictable income streams. They come into huge pots of money very suddenly at an early age and often find themselves without a source of income only a few years later.
“These athletes are so trusting, that when it comes to private deals they're very susceptible.”
— Ed Butowsky, financial adviser
"They outspend their way in life; [they] think they're invincible," Mr. Waxman said.
Nearly 16% of players in the National Football League, for example, have filed for bankruptcy 12 years after retirement, according to a recent paper from the National Bureau of Economic Research.
..."Everyone wants to be their adviser, because they think it's sexy and interesting," he said. "But it's really not. [Celebrities] are the worst clients, especially athletes." Not everyone is as jaded as Mr. Office.
David Adams, founder of David Adams Wealth Group, works predominantly with musicians and entertainers in the Nashville area, and finds it extremely rewarding.
"I realized it was a niche I really enjoyed. I enjoy the people, the creativity, the mindset," Mr. Adams said. He caters most of his marketing and branding toward musicians and entertainers, and wants to become one of the go-to advisory shops for Nashville musicians.
http://www.investmentnews.com/article/20160214/FREE/160219991/serving-famous-athletes-and-entertainers-poses-unique-challenges-for
Comments
Kanye West asks Facebook's Zuckerberg for $1 billion for his 'ideas'
Technology | Mon Feb 15, 2016 5:13pm EST (Reporting by Subrat Patnaik in Bengaluru; Editing by Jeffrey Benkoe) .reuters.com
Rapper and fashion designer Kanye West, who says he is $53 million in debt, has asked Facebook Inc's Chief Executive Officer Mark Zuckerberg to invest $1 billion into his "ideas."
West asked his Twitter followers to urge Zuckerberg to support him. "World, please tweet, FaceTime, Facebook, instagram, whatever you gotta do to get Mark to support me ... West tweeted. (@kanyewest) (bit.ly/1Tj2nK9)
The rapper also asked Alphabet Inc CEO Larry Page to help him with his financial troubles.
West, who claimed he was "still 53 million dollars in personal debt," said that people do not give money to "real artists" like him but rather open schools in Africa.
http://www.reuters.com/article/us-music-kanyewest-twitter-idUSKCN0VO1Y0