RT Journal Article
SR Electronic
T1 Knowing the Score: <em>Wealth Planning</em>
               <br/>
               <em>for Professional Athletes</em>
JF The Journal of Wealth Management
FD Institutional Investor Journals
SP 32
OP 41
DO 10.3905/jwm.2011.14.2.032
VO 14
IS 2
A1 Cory M. Dowell
A1 Gregory D. Singer
YR 2011
UL https://pm-research.com/content/14/2/32.abstract
AB Professional athletes may suddenly find themselves well off, but often their spending, saving, and gifting goals pull them in many directions simultaneously. Systematic, quantitative wealth planning that matches objectives with individual circumstances is critical in defining, evaluating, and realizing the athlete’s financial blueprint. The preferred methodology is combining behavioral goals-based investing with the efficiency of “modern portfolio theory,” which can reinforce each other symbiotically: The key is to separate core-capital requirements—what the athlete will need to support his lifestyle—from excess capital, which can be put to discretionary uses. Working with an advisory team of professionals that includes an investment expert will increase the likelihood of the athlete satisfying both his needs and wants—or, conversely, deferring some of his goals until certain milestones are met.TOPICS: Wealth management, portfolio theory, in wealth management