DamnLiesAndStatistics
Formerly ItsACanesThing7
- Joined
- Dec 11, 2018
- Messages
- 1,158
If A&M is really dropping $30 million per recruiting class, lets talk about what that means in terms of booster money backing up the program's recruiting. I don't mean overall net worth of the boosters, but money that they are, collectively, willing to blow on ensuring their college team has the horses to win a natty. A core assumption I'm going to make is that, if I was giving this money, I wouldn't just donate $30 million if I can't replace it. I would want to set up some sort of investment vehicle to fund my NIL bag creating machine, so I can do this year after year.
Assuming I can get an annualized return of 4%, conservatively, that means they have $750 million worth of investments from which they don't give a **** about seeing a return. They're willing to let that money sit and do nothing but help fund their team. If you assume 7% returns, that still means they're talking about $430 million working for their school instead of their personal accounts. If they assume a higher rate of return, they could also underfund and allow gains to make up the difference, but that hasn't worked well for government pensions in the past, so we'll assume this is "fully funded", at least in effect (even if there isn't actually a Texas A&M investment account out there). Since we're talking about wealthier people with access to better investments than my Vanguard ETF, I'd assume they can confidently get 7% returns, and the $430 million number is closer to what these boosters collectively have in money set aside for the program.
So what's the point of all this? I'm talking specifically to you Mr. Ruiz! Park $500 million in a blind trust, with the sole purpose of funding NIL deals for UM. Please? I'm in for a grand if you do the rest.
Assuming I can get an annualized return of 4%, conservatively, that means they have $750 million worth of investments from which they don't give a **** about seeing a return. They're willing to let that money sit and do nothing but help fund their team. If you assume 7% returns, that still means they're talking about $430 million working for their school instead of their personal accounts. If they assume a higher rate of return, they could also underfund and allow gains to make up the difference, but that hasn't worked well for government pensions in the past, so we'll assume this is "fully funded", at least in effect (even if there isn't actually a Texas A&M investment account out there). Since we're talking about wealthier people with access to better investments than my Vanguard ETF, I'd assume they can confidently get 7% returns, and the $430 million number is closer to what these boosters collectively have in money set aside for the program.
So what's the point of all this? I'm talking specifically to you Mr. Ruiz! Park $500 million in a blind trust, with the sole purpose of funding NIL deals for UM. Please? I'm in for a grand if you do the rest.