Growing up in the 1980s and 90s, I’d stop channel surfing to catch a few minutes of a Chicago Bulls game… even though I was never really interested in sports.
Why?
Like any other kid, I was awed by Michael Jordan.
He defied conventions. And played at a whole different level than other players.
The NBA declared Jordan as the greatest basketball player of all time by pure acclamation.
It’s not even close. Jordan dominated the courts over a 15-year career.
He averaged 30.1 points per game over his 15 seasons… played in 15 All-Star Games… was league MVP six times… and was named among the 50 greatest NBA players of all time.
Most importantly, Jordan helped the Chicago Bulls win six championships.
So it’s no surprise that – the kids who grew up watching Jordan when they were young – now want to own a piece of that magical era as they grow older and wealthier.
That’s because collectibles like Jordan’s jersey are the ultimate Maverick Investment. I’ll get to what these investments are in a moment.
But here’s why I’m telling you about Michael Jordan…
The “Last Dance” is a Netflix documentary recounting Jordan’s final season with the Bulls. It culminated with Chicago’s win over the Utah Jazz in the 1998 NBA Finals.
Just last month, a jersey worn by Jordan during the 1998 Finals set an auction record of $10.1 million.
That sale of the “Last Dance” jersey nearly quadrupled the record for the most expensive Jordan memorabilia, previously set by a 1997 autographed card that sold for $2.7 million.
In fact, the jersey is the most expensive piece of game-worn sports memorabilia ever bought at an auction.
For the past two months, we’ve been telling you that high net worth individuals (HNWIs) are pouring their money into Maverick Investments like collectibles… despite the volatility we’re seeing in the stock and bond markets.
It’s the clearest sign yet that you need to gain exposure to this trend. And in today’s issue, I’ll show you how.
While Stocks Sell Off, Sports Memorabilia Takes Off
While stocks and bonds crash this year, we’ve seen record-setting sports memorabilia sales. For instance:
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On August 27, a Mickey Mantle rookie card sold for $12.6 million. That’s the most ever paid for any sports memorabilia (so far).
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On August 4, a Honus Wagner card sold for $7.25 million in a private sale.
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On May 4, Diego Maradona’s “Hand of God” Argentina jersey from the 1986 World Cup finals sold for $9.28 million.
What do these record-setting sales have in common?
They’re what Daily editor Teeka Tiwari calls Maverick Investments.
Maverick Investments exist outside the standard “60/40” model of equities and bonds. We like them because they contain three important traits…
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Real: These are generally (but not always) tangible assets like art and real estate, or intangibles like certain cryptos and music royalties.
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Rare: These are assets with low supply.
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Enduringly desirable: These are assets with a history of having high demand from wealthy people.
Because they have these three traits, we believe they’ll provide market-beating returns… while also outpacing inflation. And that’s why HNWIs are turning them.
And as you can see below, Jordan’s “Last Dance” jersey ticks all three boxes.
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It’s real: The legendary Sotheby’s auction house authenticated the jersey.
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It’s rare: While there are plenty of licensed (and unlicensed) “Last Dance” jerseys on the market… only a few remain that Jordan actually wore during his final run with the Bulls.
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Enduringly desirable: Michael Jordan is a living legend. Understandably, those who grew up watching him play want to own his memorabilia. And that’s why Jordan’s collectibles are in such high demand.
This sale may set a high mark for Michael Jordan memorabilia… for now. That’s because sports collectibles as a whole are seeing massive new demand.
Sotheby’s says that there’s “a new generation” of sports memorabilia collectors who are coming into the market.
And they have deep pockets.
Since 2006, sports memorabilia has returned 7x more than the S&P 500, according to investment platform Rally.
Returns spiked higher in 2020 and 2021 when the government handed out stimulus checks like a drunken sailor. That out-of-control money printing directly fueled the record-high inflation we’re seeing now.
Teeka calls it the New Order of Money. In this new order, you’ll need to find assets that outpace inflation… And that’s where collectibles come in.
As more folks of my generation build wealth, they’ll want to own memorabilia from their childhoods. And because they’re looking for assets that will beat inflation, they’ll turn to collectibles in droves.
It’s a trend that will drive the collectibles market even higher.
Fortunately, you don’t need a cool eight figures lying around to own trophy assets like Jordan’s “Last Dance” jersey.
There are growing number of platforms that allow investors to buy “shares” of best-in-breed collectibles for a few dollars.
The Top Investment Platform for Sports Memorabilia
If you’re interested in the sports memorabilia market, you should consider Collectable.
Collectable is a platform that offers investors access to cards, jerseys, sneakers, and other sports memorabilia.
Founded in 2020, the platform already boasts over 80,000 members who have invested over $50 million. And you can buy “shares” in some collectibles for as little as $5.
Collectable focuses on rare and valuable pieces with a high potential for price appreciation.
The platform has an average return on investment (ROI) of 60%. By comparison, the average annual return on the S&P 500 is 9.2%.
Some collectibles it’s resold include a LeBron James rookie card and Luka Doncic’s game-worn sneakers.
Signing up on the platform is easy. Simply go here and get started.
As with other collectible platforms, you’ll need to link a bank account to get started.
By signing up for platforms like Collectable, you’ll gain exposure to the rapidly-growing sports collectibles market.
As a bonus, they’ve even got a some Michael Jordan memorabilia available. So check it out today.
Good investing,
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Andrew Packer
Analyst, Palm Beach Daily