A vast number of Canadians are sports fans or amateur players and many are enticed by the potential to turn their passion for sports into cash through investments. Watching sports and making money are two of the most glorious pastimes around, and combining them is often too tempting to resist. There are myriad ways in which you can invest in sports, and we have detailed several below.
Buying shares in a publicly traded team
Many North American teams that traded as a plc in the past failed to whip up the requisite investment, from the Boston Celtics to the Florida Panthers. But there are still some that are publicly owned, including the New York Knicks and the Green Bay Packers. If you look outside of North America, the potential is vast. Soccer club Man Utd has just overtaken Real Madrid to become the world’s most valuable sports team in the annual Forbes list, thanks to sharp marketing acumen and an extremely strong global brand that is loved by millions across the globe. Shares have soared in recent years and you could easily have made enough profit to fly over to Manchester for a few games. Rival teams like Arsenal are also showing share growth and can be invested in. You could alternatively invest in a firm like BCE, which part-owns the Toronto Maple Leafs and Raptors, but also has a world class telecom offering, or Rogers Communications, which owns the Toronto Blue Jays.
Owning a minor league team
Nothing can make you feel more part of sport at a grass roots level than owning a team, and it is not as expensive as it initially sounds. A summer-only, minor league baseball will set you back around $135,000 to $330,000, which many Canadians could afford, or you could go in with your friends or family on it. Popular sports like baseball are more expensive, but you could also purchase a soccer, lacrosse, rugby or hockey team.
Invest in collectible memorabilia
The industry for collectibles – including everything from autographed balls and uniforms to seat from old stadiums and baseball, football and basketball cards – is worth billions of dollars. Fans go nuts for the stuff and some eye-watering prices are fetched: Mark McGwire’s record-setting home run ball was sold for $3.3 million back in 1999. In 2012, a New York Yankees baseball jersey worn by Babe Ruth was sold for almost $5 million. An alternative to collecting yourself is to buy shares in Collector’s Universe, which pays a 6.5% dividend yield. The company authenticates and grades collectibles.
Own a health club or apparel firm
Fitness is big business in Canada and owning a health club can be very lucrative, as can owning a sportswear retailer or an apparel maker. You can make excellent dividends by investing in the likes of Nike and Adidas. Just make sure you do you due diligence before getting involved.
We saved the best for last. Sports betting is the simplest, most convenient and arguably the most exciting way to invest in sports. Watching a horse race can be dull, but watching a horse race where you have money on one of the runners is thrilling. The popularity of online sports betting continues to soar as Canadians pair their love of hockey, football and other sports with their statistical acumen to make big profits. Just make sure to select a reputable sports betting site that has the liquidity to pay you out and a long and trustworthy history that steams from a provable record of paying out punters on time and without fuss. Betway, Bodog, Pinnacle, William Hill, Betonline and Bet365 are among the best choices. Choose bookmakers that offer strong added juice bonuses and competitive odds, stick to the sports you know well, research like crazy using the manifold online tools available to you and approach it in a business-like fashion and you can make a serious profit.