Morgan Stanley courts athletes, entertainers with new wealth unit

Brokers take a three-day training program on how to cater to those clients.
NOV 20, 2014
By  Bloomberg
Morgan Stanley, whose brokerage helps manage more than $2 trillion of client assets, started a new unit that focuses on professional athletes and entertainers. The division has 69 advisers and will add a few more within the next year, Drew Hawkins, head of the Global Sports & Entertainment group, said Thursday. Many of them already had been working with celebrities, and brokers took a three-day training program on how to cater to those clients, he said. Athlete pay has surged in recent years, with Giancarlo Stanton, a Miami Marlins outfielder, poised to sign a $325 million contract over 13 years, a Major League Baseball record, according to CBSSports.com. Kevin Durant, the National Basketball League's reigning most-valuable player, re-signed as a Nike Inc. endorser with a contract worth $300 million over 10 years, Bloomberg News reported in September. “The size of these contracts and the amount these individuals are earning tends to increase on a daily basis,” Mr. Hawkins said. “Celebrities and entertainers and those connected with those industries in a lot of cases make a lot of money, but they also have a lot of unique circumstances.” Morgan Stanley will provide customized loans to the individuals and their outside businesses, offer insurance against injuries or voice damage and give advice on philanthropic endeavors, Mr. Hawkins said. He declined to identify any of the firm's celebrity clients. Morgan Stanley is also teaming with PricewaterhouseCoopers to offer financial literacy education for major college athletes next year, Mr. Hawkins said.

Latest News

Integrated Partners, Kestra welcome multigenerational advisor teams
Integrated Partners, Kestra welcome multigenerational advisor teams

Integrated Partners is adding a mother-son tandem to its network in Missouri as Kestra onboards a father-son advisor duo from UBS.

Trump not planning to fire Powell, market tension eases
Trump not planning to fire Powell, market tension eases

Futures indicate stocks will build on Tuesday's rally.

From stocks and economy to their own finances, consumers are getting gloomier
From stocks and economy to their own finances, consumers are getting gloomier

Cost of living still tops concerns about negative impacts on personal finances

Women share investing strengths, asset preferences in new study
Women share investing strengths, asset preferences in new study

Financial advisors remain vital allies even as DIY investing grows

Trump vows to 'be nice' to China, slash tariffs
Trump vows to 'be nice' to China, slash tariffs

A trade deal would mean significant cut in tariffs but 'it wont be zero'.

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.