Video: How Did These NFL Players Lose $43 Million?

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Oct 24, 2016
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Behavioral Finance, Question of the Day, Investing, Current Events, Video Resource, Financial Scams, Ethics

From 60 Minutes (14 minute video):

Questions:

  • What was the investment idea that burned so many NFL players?
  • Why do you think the NFL players were so attracted to this idea?
  • How much money did Mr. Rubin raise for the Country Crossing project?
  • What were Mr. Rubin’s incentives? Did he make money even if the investment failed? How?
  • Why did the investment fail?
  • Based on the fact that some players lost their homes after this investment failed, how much of their wealth do you think they invested in Country Crossing? Why would they take such risks?
  • Why is the timing of the subscription agreement suspicious? Would you agree to invest without information about the investment?
  • What steps has the NFL taken to try and prevent losses like this? Why didn’t it work in this case?
  • What lessons can you take from this debacle?

 

About the Author

Tim Ranzetta

Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.