Bought for $12 million in 1981 Sold for $2 BILLION in 2014
Before Donald Sterling’s racist remarks were exposed to the world, some analysts valued his team at $500 million dollars, an incredible return on an initial investment of $12 million dollars.
However, the value of the LA Clippers skyrocketed once Donald Sterling’s racist remarks were exposed and the NBA decided he must sell the team.
Offers for the team started pouring in from millionaires and billionaires who wanted the team, thus driving up the value and sales price.
Today it was announced that the LA Clippers will be sold to former Microsoft CEO Steve Ballmer for $2 Billion dollars. This is a perfect example of how the value of an asset can quickly skyrocket when people see value in that asset and flock in and start trying to outbid each other to gain ownership of that asset. Reports stated that the next highest bid for the LA Clippers was $1.2 Billion dollars.
While most people don’t have $12 million dollars or $2 Billion dollars to buy an asset, they can buy and sell stocks to make money. The same way the price of the LA Clippers increased over time is the same way a stock can increase over time. Stocks come in price ranges from a penny to hundreds of thousands of dollars, so anyone can buy and sell stocks. However buying and selling stocks without the proper education is extremely risky, just as driving a car without going through driver’s education is extremely risky. Once properly educated, you can make money buying and selling stocks and the best part about it is that you don’t have to rely on a BOSS or a job to do it and you can do it from anywhere in the world with a laptop, tablet or smartphone.
People who know how to buy and sell stocks definitely have an advantage over people who do not know how.