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Greater Sports Wealth Creates Advisory Opportunities, Responsibilities – Rockefeller

Tom Burroughes

8 July 2025

The 2021 law introducing “name image likeness” in collegiate sports has revolutionized the sector, and it’s certainly creating a potential ton of work for wealth advisors. 

NIL deals have “created incredible wealth-building opportunities for young athletes, but…also introduced a great responsibility to manage that money wisely,” James Beale, Global Family Office, Rockefeller Capital Management, told this news service recently. 

Four years ago, when the United States Supreme Court unanimously decided that the limits the National Collegiate Athletic Association placed on compensation for college athletes violated US antitrust laws, it opened new opportunities. It did so for athletes in sports that traditionally lacked professional pathways, including many women’s and Olympic sports. 

“The ability to monetize their personal brand while still in school has created a need for holistic, values-aligned financial guidance, which is where we come in,” Beale said.  

“As no federal regulations regarding NIL exist, certain states and schools have enacted their own specific policies, collegiate athletes face an increasingly complex environment. In addition to our suite of advisory services, we also focus on financial education for these athletes, and provide tailored programs designed to give them the tools and knowledge they need to begin building long-term wealth,” he said. 

FWR has been exploring the intersection of sports and wealth – as seen by its interview with Citi Wealth. And the particular shape of how sportsmen and women earn money, invest it and handle life when the game is over draws on exactly the sort of expertise that wealth advisors say is their value proposition. It certainly seems to be an area where the need for in-person contacts and advice is as important as ever, notwithstanding modern technology like AI.

“There is a deep appreciation that they earn in reverse to the rest of the world,” Beale said, referring to the short earnings windows that they have.

The sums involved are high. Top performers in leagues such as the NFL, NBA and others can earn tens of millions of dollars per annum. There are also significant numbers of such athletes in the secondary and tertiary leagues.

As noted here in this report by FWR’s US correspondent, Charles Paikert, around 450,000 athletes have received NIL deals worth well over $1 billion to date. NIL deals for elite quarterbacks in big time football conferences average around $550,000 a year. Even role players who aren’t stars are earning strong sums. NIL deals for college football starters in major conferences average around $100,000. The average men’s basketball player with a collective contract at a major school is paid $63,450, according to Opendorse, which processes those payments. 

While not at parity with men, women athletes are also receiving lucrative NIL deals. Caitlin Clark, the University of Iowa women’s basketball superstar, will earn an estimated $3.2 million in NIL endorsements this season. And Louisiana State University gymnast Olivia ‘Livvy’ Dunne has a $3.3 million NIL valuation, according to On3, a digital media company that tracks NIL developments.

Experience on field of play
Beale brings first-hand experience to his side of the table: He used to be a professional hockey player. Elsewhere in Rockefeller, Derek Jeter – a former top-level baseball player – is on its board of directors; he established a second career leading a variety of successful business ventures and entrepreneurial investments. Jeter is a five-time World Series champion and member of baseball’s exclusive 3,000-hit club; he retired from pro baseball in 2014.

“It is definitely somewhat comforting…to have someone in your network who has experienced it before,” Beale said. 

Looking after sports, media and entertainment clients makes sense as the sophistication of these sectors’ financial affairs grows.

“The wealth that these people earn can and should be multi-generational. Their needs go beyond just investments,” Beale continued. 

Such sports and entertainment figures may already have several people – lawyers, tax attorneys, accountants, etc – with whom they work. What the Rockefeller family office side does is to concentrate on their holistic financial planning, Beale said.

And it is not just advising actors or athletes that Rockefeller sees as a way to cut a dash. The US firm provides advisory services for those interested in buying or selling sports franchise ownership through its investment banking division – Rockefeller Global Investment Banking, Beale said.  

“For clients interested in investing in leagues, teams and sports-adjacent businesses, Rockefeller offers opportunities, many of which are exclusive to our clients, in private equity and private credit for qualified investors through its open architecture investment platform,” he said. 

The private equity model of sports investing and ownership has widened access to investing in sports teams beyond what used to be the case when ownership was mostly direct.

“Where there is more appreciation from the investor population is that there are multiple revenue channels, such as real estate and media deals beyond just the team,” Beale said. “It is still the only thing that still catches live audiences.”

Jock tax
Beale delved into the details that aren’t necessarily apparent to the uninitiated. He gave the case of showbiz and also drew on the earnings situations that sports professionals face. 

“Entertainers work in unpredictable environments and may wait months between projects and pay checks. Like athletes, they may earn in reverse: income peaks early, then declines as priorities shift, trends evolve, or they choose to retire. The advice we provide is much the same, handling the noise in their lives from bills and taxes to trust and estate planning – it's all critical to making the wealth last for generations to come.

“Athletes are subject to the `Jock Tax,’ wherein they are obligated to pay income taxes in the individual states they play in, which can have significant implications on their overall tax burden,” Beale said. “Entertainers are no exception and may be obligated pay income taxes in the states they perform. Our private advisors work closely with clients in these spaces to take proactive steps to minimize their tax exposure. We also provide guidance to help them manage cash flow, invest strategically, and pursue their goals outside of their primary careers, whether that includes new business ventures or philanthropic giving.”  

An actor or athlete will, by the very nature of their competitive field or need to work in front of the camera or live audience, not be open to the very different thinking that money management requires. 

“Much like entrepreneurs building a business, athletes, actors and musicians spend nearly all their time focused on their craft, and thinking long-term can be difficult,” Beale said. “Our role is to serve as a trusted partner to help them zoom out and think bigger picture through the arc of their career, and plan for the unexpected like future injuries or health issues so they can focus on what matters. We work closely with those in their network – from their agents and managers to their legal teams, to ensure their financial strategy aligns with their current career and long-term goals.”