Here is the second part of our series on successful money management for athletes.
- Don’t go with the flow
We have seen it time and again: an athlete that makes it to the big leagues will get enticed by his colleagues, friends and family to “upgrade” his lifestyle, in many cases – if not most of the times – to a level that he or she cannot really afford.
Just like in every family, there should be a budget, a plan, and a foundation first. Then, and only then, you can decide whether that big-item purchase deserves your attention.
- Let your advisor be the bad guy
Just like we said in part I, finding the right advisor is an athlete’s (and any wealthy individual’s) first great challenge. Once you have them though, use them wisely: they should be the ones turning away investment “opportunities” or having other money conversations with your loved ones.
- Delegate, don’t abdicate
Money and finance is a very delicate and complicated issue for many. It can even be puzzling and stressful. But if you want to be on the safe side, always be involved, ask questions, be proactive and just be aware of the numbers involved in every purchase, service and decision you make.
Keep your investments simple
As smart as complex financial instruments or investment opportunities may sound, it is always best to keep it simple. Try