Attended a meeting last night - investment presentation

[blion72]

I attended a meeting last night meant for "seniors" who were looking to diversify retirement accounts through new investments. It was run by a well known money management firm that has PE arm. many of the investments were a bit risky if we are focused on capital preservation. One came up as a PE fund for investing in athletic departments to help cover the "investment" in athletic pay for play (compensation). They referred to it as NIL front end but this was salaries and running cost. People asked if this was funding operating deficits then HOW do you get a return. This was a snake oil sales pitch. This was nothing but a loan and the school was not the guarantor.

It then pivoted to NIL front end. I thought okay we are going to invest in a group of players who if they hit and get big NIL from say Wendys, we get a piece of that action. The player gets front end $$$ from the fund and then has to pay back with high interest if hit. The answer was no we would get $$$ from TV.

Not sure if there are other kinds of deals, but if this is it, I am not seeing how private investment fits. The presenter said there is a large need by the school AD. I accept that but not sure why i want to cover their operating losses.

Anyone else encounter this type of "investment"?

 

[s1uggo72]

I attended a meeting last night meant for "seniors" who were looking to diversify retirement accounts through new investments. It was run by a well known money management firm that has PE arm. many of the investments were a bit risky if we are focused on capital preservation. One came up as a PE fund for investing in athletic departments to help cover the "investment" in athletic pay for play (compensation). They referred to it as NIL front end but this was salaries and running cost. People asked if this was funding operating deficits then HOW do you get a return. This was a snake oil sales pitch. This was nothing but a loan and the school was not the guarantor.

It then pivoted to NIL front end. I thought okay we are going to invest in a group of players who if they hit and get big NIL from say Wendys, we get a piece of that action. The player gets front end $$$ from the fund and then has to pay back with high interest if hit. The answer was no we would get $$$ from TV.

Not sure if there are other kinds of deals, but if this is it, I am not seeing how private investment fits. The presenter said there is a large need by the school AD. I accept that but not sure why i want to cover their operating losses.

Anyone else encounter this type of "investment"?

Have you heard of sub Prime loans?? On cars? Have I got a deal for you

 

[Woodpecker]

Sounds like you would be better off giving money to a Nigerian prince

 

[Nittering Nabob]

Did you at least get a free dinner?

 

[Tgar]

Sounds like you would be better off giving money to a Nigerian prince

Among other things, Tgar is a Nigerian Prince. Have your friends and neighbors hook Tgar up.

 

[Catch1lion]

Did you at least get a free dinner?

Kiss of death A financial planner will bite on your ankle like a rabid weasel and never let go . Only thing worse are time share sales pitches .

 

[Nittering Nabob]

Kiss of death A financial planner will bite on your ankle like a rabid weasel and never let go . Only thing worse are time share sales pitches .

I get 2-3 per week in the mail.

I once lost a wager to some ex-coworkers and thus owed them a dinner at a nice restaurant of my choosing. As the payoff date approached they were eager to learn the details of where I was hosting them. I decided to scan and email them one of the post cards I received in the mail that week offering a free dinner in exchange for free financial planning advice.

I told them I had their best interests at heart in selecting the location, menu and the obligatory post-dinner presentation.

Some thought I was serious before I confessed that it was just a joke.

 

[Bison13]

My dad had one of those financial planners drive down the almost half mile driveway to the farmhouse a few years ago. Younger kid trying to get his client list up I guess as he did this to all the local farmers.
Anyhow, my dad felt bad for him and said I’ll give you a certain percentage of my money to invest, but I want monthly updates and at the end of the year if I don’t feel you’ve done a good enough job I’m moving it back. After the first year, it was pretty good return same thing for the second but then eventually the kid didn’t care And had increased his rates for commission you should’ve seen that guys face when my dad drove into his office with a lawyer so that he could get all of his money back and make sure that the young guy wasn’t trying to pull any thing over on him.
Current guy that we use is an old high school teammate of mine and knowing how poor most of those old farmers are with regards to using technology, he drives out once a month and visits everybody with already printed out paperwork to see if they would like to change anything.

 

[s1uggo72]

My dad had one of those financial planners drive down the almost half mile driveway to the farmhouse a few years ago. Younger kid trying to get his client list up I guess as he did this to all the local farmers.
Anyhow, my dad felt bad for him and said I’ll give you a certain percentage of my money to invest, but I want monthly updates and at the end of the year if I don’t feel you’ve done a good enough job I’m moving it back. After the first year, it was pretty good return same thing for the second but then eventually the kid didn’t care And had increased his rates for commission you should’ve seen that guys face when my dad drove into his office with a lawyer so that he could get all of his money back and make sure that the young guy wasn’t trying to pull any thing over on him.
Current guy that we use is an old high school teammate of mine and knowing how poor most of those old farmers are with regards to using technology, he drives out once a month and visits everybody with already printed out paperwork to see if they would like to change anything.

I don’t understand what the kid did that would cause your father to have to take a lawyer w him? Was there money missing ?

 

[Bison13]

I don’t understand what the kid did that would cause your father to have to take a lawyer w him? Was there money missing ?

That’s just what those old farmers do, they don’t wanna mess around and waste their time so he just took the lawyer to make sure that the investment guy didn’t do anything he shouldn’t have.

 

[s1uggo72]

That’s just what those old farmers do, they don’t wanna mess around and waste their time so he just took the lawyer to make sure that the investment guy didn’t do anything he shouldn’t have.

Otoh a telephone call would have been sufficient

 

[Nittering Nabob]

Otoh a telephone call would have been sufficient

You apparently don't understand. It was probably a $150 - $250 expense to ensure there was no f(u)ckery and to send a message.

 

[s1uggo72]

You apparently don't understand. It was probably a $150 - $250 expense to ensure there was no f(u)ckery and to send a message.

Youre correct I don’t understand when with a phone call you could save $150-$250 the only msg that is sent was good bye

 

[TiogaLion]

You don't have to tell your financial advisor "good-bye". Just give your new guy the account statements and they'll take care of transferring the money or do it yourself.

 

[s1uggo72]

You don't have to tell your financial advisor "good-bye". Just give your new guy the account statements and they'll take care of transferring the money or do it yourself.

I know but above they felt the need to take a lawyer and send a msg

 

[northwoods]

I would use the term "speculation" seminar, not "investment" seminar.

 

[fairgambit]

I attended a meeting last night meant for "seniors" who were looking to diversify retirement accounts through new investments. It was run by a well known money management firm that has PE arm. many of the investments were a bit risky if we are focused on capital preservation. One came up as a PE fund for investing in athletic departments to help cover the "investment" in athletic pay for play (compensation). They referred to it as NIL front end but this was salaries and running cost. People asked if this was funding operating deficits then HOW do you get a return. This was a snake oil sales pitch. This was nothing but a loan and the school was not the guarantor.

It then pivoted to NIL front end. I thought okay we are going to invest in a group of players who if they hit and get big NIL from say Wendys, we get a piece of that action. The player gets front end $$$ from the fund and then has to pay back with high interest if hit. The answer was no we would get $$$ from TV.

Not sure if there are other kinds of deals, but if this is it, I am not seeing how private investment fits. The presenter said there is a large need by the school AD. I accept that but not sure why i want to cover their operating losses.

Anyone else encounter this type of "investment"?

 

[manatree]

Sounds like you would be better off giving money to a Nigerian prince

What’s his 40 time?

 

[PSU Mike]

Sounds like you would be better off giving money to a Nigerian prince

You rang?

 

[Catch1lion]

Hey Eagles fans ! I have some investment quality snow from the Rams game . Buy now and the second purchase is 50% off . First 50 orders get free shipping! Don’t miss out !

 

[TheBigUglies]

I know but above they felt the need to take a lawyer and send a msg

I could see how taking a lawyer would be beneficial. Some financial planners can be a PIA to deal with and taking a lawyer would eliminate all the back and forth if the FP got wonky. I know as I get older I dont want to deal with any bullshiite and just want to get things done when I want them done. Its called peace of mind or however you phrase it.

 

[Bison13]

I could see how taking a lawyer would be beneficial. Some financial planners can be a PIA to deal with and taking a lawyer would eliminate all the back and forth if the FP got wonky. I know as I get older I dont want to deal with any bullshiite and just want to get things done when I want them done. Its called peace of mind or however you phrase it.

This is basically the reason. Just wanted to go in and get the job done without any BS. In and out in 20 minutes is worth the cost.

 

[s1uggo72]

I could see how taking a lawyer would be beneficial. Some financial planners can be a PIA to deal with and taking a lawyer would eliminate all the back and forth if the FP got wonky. I know as I get older I dont want to deal with any bullshiite and just want to get things done when I want them done. Its called peace of mind or however you phrase it.

ok whatever, but why not just try with a phone and see what happens? I think more times than not, you will get what you want.

 

[saturdaysarebetter]

I'm still holding on to my World Football League stock.

 

[Georgia Peach]

I attended a meeting last night meant for "seniors" who were looking to diversify retirement accounts through new investments. It was run by a well known money management firm that has PE arm. many of the investments were a bit risky if we are focused on capital preservation. One came up as a PE fund for investing in athletic departments to help cover the "investment" in athletic pay for play (compensation). They referred to it as NIL front end but this was salaries and running cost. People asked if this was funding operating deficits then HOW do you get a return. This was a snake oil sales pitch. This was nothing but a loan and the school was not the guarantor.

It then pivoted to NIL front end. I thought okay we are going to invest in a group of players who if they hit and get big NIL from say Wendys, we get a piece of that action. The player gets front end $$$ from the fund and then has to pay back with high interest if hit. The answer was no we would get $$$ from TV.

Not sure if there are other kinds of deals, but if this is it, I am not seeing how private investment fits. The presenter said there is a large need by the school AD. I accept that but not sure why i want to cover their operating losses.

Anyone else encounter this type of "investment"?

If my money management firm chose to even discuss that subject, especially to seniors, I would question their focus and goals.

 

[blion72]

If my money management firm chose to even discuss that subject, especially to seniors, I would question their focus and goals.

the media buzz keeps talking about Private Equity firms wanting to get into this "space" whatever it is. why would someone like Blackrock want to "buy" an athletic department? I can't see how they get their money back. these are all financial losers with the potential for massive losses.

 

[s1uggo72]

the media buzz keeps talking about Private Equity firms wanting to get into this "space" whatever it is. why would someone like Blackrock want to "buy" an athletic department? I can't see how they get their money back. these are all financial losers with the potential for massive losses.

naming rights to the Stadiums?

 

[Nittering Nabob]

ok whatever, but why not just try with a phone and see what happens?

Because you are "citified".

Rural agricultural folks think differently. They tend to be matter of fact...right is right, wrong is wrong and they don't mess around especially if they feel they've been wronged. Their time is too valuable.

 

[s1uggo72]

Because you are "citified". Rural agricultural folks think differently. They tend to be matter of fact...right is right, wrong is wrong and they don't mess around. Their time is too valuable.

A phone call is much quicker than firing up the old John Deere 2020
You never know when you’ll need the artificial man