Cristiano Ronaldo became the first football player in the world whose capital reached $1 billion during his career, moreover, he is the first player in all team sports who was able to earn such a sum. But in addition to Ronaldo's football career and fulfilling advertising contracts, Ronaldo is also engaged in investing in his own business, which covers various spheres of life.In this article, we propose to discuss how Ronaldo entered the list of billionaires and what investments he makes. Will it turn out that after some time Cristiano will enter the list of the richest people in the world, having succeeded not only in sports, but also in running a business?BusinessCristiano Ronaldo is a public figure, and we know that he spends his millions of royalties not only on luxury real estate and cars, but also invests money in business, which is absolutely right. After all, even the best football player in the world must retire sometime, and this does not mean that he will no longer be able to earn money.Here's what we know about his business empire. As of the summer of 2020, he officially became a billionaire. Ronaldo is the third athlete in the world after golfer Tiger Woods and boxer Floyd Mayweather, who managed to make such a fortune during his career. And at the same time, he is the first in the world to achieve this in team sports.Ronaldo's current salary is $31 million a year, which is quite good.But he became a billionaire thanks not to these fees, although they certainly affected, but at the expense of 323 million subscribers in social networks, on which the football player makes a lot of money.He has contracts with various brands, one of them is the well — known Nike. Facebook instagrammers pay for every advertising post on Instagram or Facebook, according to the terms of these contracts.The contract specifies how much each post is evaluated depending on the number of views, likes and other reactions of users of social networks. And the real price of one advertising publication is measured in tens and hundreds of thousands of dollars.According to various estimates, a football player can receive about $400,000 for one such placement.There are a lot of brands that Ronaldo advertises, there is even a metallurgical company from Egypt in this list. But the main source of income is still Nike, with which a lifetime contract has been signed since 2016, on the basis of which Ronaldo will remain the face of the brand even after the end of his football career.And during the validity of the contract, the football player should receive about one billion dollars.It was income. And now let's talk about how Ronaldo is trying to increase his funds. He probably does not invest in the stock market, well, or does not do it for large sums, otherwise we would know about it.By the way, $100 million invested in the S&P 500 in 2018 could give $25 million in profit, and the NASDAQ index would increase the initial amount by 56%. But the football star chose a different path — he creates his own businesses, and there are the following areas in his track record.Personal brand CR7, under which a line of perfumes, underwear, clothing and shoes is released. It is clear that Ronaldo is the face of these companies and personally advertises his own products.In addition, under the same brand, Cristiano operates his personal museum, there is a restaurant, a gym, two mobile games, but the main investment was hotels in different cities of the world, such as Paris, Madrid, New York and others.The investment amounts are impressive. So, $16 million was invested in Madrid, $44 million in Marrakech and as much as $66 million in a Paris hotel.It can be argued that the hotel business is the main bet of Ronaldo.Messi also has three hotels, but in resorts such as Ibiza. And we add that Ronaldo entered the hotel business as a 50-50 partner, but Messi owns 100% of his hotels.Ronaldo also has a separate rental business. He rents out elite aircraft.ConclusionsLet's start with the answer to the question why does Ronaldo produce clothes, buy hotels and rent luxury planes? Here he follows the first rule of the investment checklist from Warren Buffett, according to which you need to invest money in the business that you understand. It is obvious that Ronaldo, being a famous football player, constantly traveled and stayed in various hotels, while often using the services of airlines and advertising clothes. And it was in these areas of business that he decided to invest his money.But there was one extremely big puncture in Ronaldo's business strategy: all these activities were created for carefree times when the economy is growing, incomes are increasing and people are spending money on travel, clothing and air travel. But the coronacrisis broke this trend, and according to UN estimates, the tourism sector lost about $ 320 billion. And as we can see today, more than six months have passed, and the world has not returned to the usual pace of life and you can not even dream about another year.In addition, the problem of the coronavirus has led to the fact that people simply began to spend less. It was as if a veil was lifted from many people's eyes and they realized that they really needed much less in reality, and most of the spending was a tribute to the consumer economy.We don't know the statistics on Ronaldo's hotels, but the large international chain Hilton has laid off 22% of its employees, and the remaining staff are working reduced shifts or are on unpaid leave. It is obvious that the coronavirus went through Cristiano's business in a similar way.In defense of Ronaldo, it is worth saying that no one except the reptiloids had any idea about the coronacrisis. But if his business was more diverse, the same mobile applications — he was also engaged in them, then we would start the article with the words that the football star will very soon enter the top richest people in the world and will push Warren Buffett there. But it seems that this is not the case, and the further growth of Ronaldo's fortune will be associated with his sports career, and not with investments, which are now under very great threat.For those who believe that it is wrong to compare Ronaldo and Buffett, we note that although old Warren was never an outstanding athlete, and during his youth these same athletes did not have millions of royalties, but he had a father who was a politician and an entrepreneur, thanks to which, at the age of 11, little Warren bought his first shares. Back in 1941, this was a very important bonus for further development, so it is still unknown who had the best starting positions. And in fact, the moment is much more important, not how you earned money, but how you used it to increase your fortune.The essence of this article is that when you are going to invest in some industry and invest the bulk of your capital in it, you definitely need to consider a negative scenario.Ask yourself the question whether it may happen that tomorrow this product or service will be useless to anyone. And even if the answer option seems impossible, it should still be taken into account. After all, the history of 2020 clearly showed how the tourism and aviation industries at one point became unprofitable from the most promising investments. But the world has moved even more towards digitalization of everything, because online is at a distance, and, therefore, it is ...
USA: awaiting reports on the labor market and consumer sentimentTwo important macroeconomic reports will be released in the United States today — the March JOLTs on hiring dynamics and the April consumer confidence index from the Conference Board. Job vacancy data is a key indicator of the state of labor demand for the Fed. Despite the uncertainty caused by the tariff policy, stable data on daily job advertisements suggest that demand remains at an acceptable level.The Eurozone: Spanish inflation and business activityOn European platforms, attention will be focused on the publication of inflation data in Spain for April. This release precedes the general report on inflation in the eurozone, which will be released on Friday. The HICP index is expected to slow growth from 2.2% to 2.1% in annual terms.Of additional interest are data on lending and business sentiment in the eurozone for April, which will be able to reflect the first effects of the new US tariffs.China: expectation of a decline in manufacturing activityIn Asia, the PMI indices for April from NBS and private Caixin will be published. According to expectations, both indicators will show a decline, confirming the negative impact of the ongoing trade war. The previously published Emerging Industries PMI dropped sharply from 59.6 to 49.4 points.Sweden: macroeconomic releases and growth prospectsSwedish statistics today are rich in publications. At 08:00 CET, reports on retail sales and consumer lending for March are expected. The GDP indicator for the first quarter will attract special attention, however, due to its volatility, analysts prefer the NIER economic sentiment index, which will be released at 09:00 CET. Its further decline may signal a slowdown in the Swedish economy.Norway: retail sales remain questionableRetail sales statistics for March will be published in Norway. Despite the global instability, it is unlikely to be reflected in these data. Sales growth is forecast to slow to 0.1% month-on-month, although the effect of postponing holidays makes it difficult to assess the real state of consumer activity.Economic and market news: key eventsCanadian Elections: liberal victoryIn the last parliamentary elections in Canada, the Liberal Party under the leadership of Mark Carney retained power. Although the results had not yet provided them with a full majority in parliament at the time of publication, the victory marks the restoration of the party's position after the resignation of Justin Trudeau. Carney relied on his reputation, formed during the crisis of 2008 and the Brexit process.Macroeconomic data from Denmark, Sweden and NorwayIn Denmark, retail sales in March unexpectedly decreased by 0.1% compared to February, mainly due to lower food costs. However, clothing sales increased by 2.7%.In Sweden, the producer price index decreased for the second month in a row (-3.0% mom, -0.3% YoY), which reduces inflation risks and supports the Riksbank's position.In Norway, the unemployment rate rose to 4.4% in March, but the adjusted data remained unchanged at 4.1%. More recent unemployment statistics will be published on Friday.Geopolitics: the Truce in UkraineRussian President Vladimir Putin announced a three-day truce from May 8-10 in honor of the anniversary of the end of World War II, inviting world leaders to events. Ukraine has criticized, insisting on the need for an immediate and full-fledged ceasefire. The White House supported the idea of a truce, but stressed that the goal should be a long-term peace initiative.Stock markets: stabilization and local successesThe trading session in the American markets passed without significant changes, while the European indices showed growth: the Stoxx 600 added 0.5%. Shares of companies in defensive sectors such as real estate, utilities and healthcare rose against the background of lower bond yields. The VIX volatility index has stabilized around 25 points, which may indicate prolonged uncertainty due to tariff policy.Debt and currency markets: declining yields in the United StatesAt the start of the week, US Treasury bonds continued to rise in price: the yield on 2-year securities decreased by 6 basis points, 10-year — by 3 bps, and 30-year— by 2 bps. European yields, on the contrary, rose slightly. The EUR/USD pair remained stable in the range of 1.13–1.14. The victory of the liberals in Canada led to a moderate strengthening of the Canadian dollar, and a further decline in the USD/CAD pair is expected to reach 1.37. The Norwegian krone also showed good results at the end of yesterday's ...
The beginning of the week promises to be relatively calm on the macroeconomic front. In Denmark, the retail trade index for March will be published today at 08:00 Central European time. According to its own expense monitor, real retail sales decreased by 2.5% year-on-year. However, the decrease is due to the calendar effect: Easter last year fell in March, and this year in April. Seasonally adjusted, real sales increased by 1.8% compared to February, and official statistics are expected to reflect this positive trend.In Sweden, the producer price index for March will be published at the same time. These data, as well as the results of the NIER price Expectations survey published earlier this week, will be important for shaping inflation expectations and, consequently, for further actions by the Riksbank regarding changes in interest rates.Main events of the weekDuring the week, investors' attention will be focused on a variety of key publications. On Wednesday, PMI data from China and a preliminary estimate of US GDP for the first quarter are expected. On Thursday, attention will turn to the Bank of Japan's monetary policy meeting. On Friday, preliminary data on inflation in the eurozone and the US employment report for April will be released.Friday and weekend eventsIn the United States, the University of Michigan consumer sentiment index for April was revised upward to 52.2 points from an initial 50.8. Despite the revision, the index continues to decline for the fourth month in a row and is at its lowest level since July 2022. Uncertainty in trade policy and fears of rising inflation remain the reason for the deterioration in sentiment. Inflation expectations for the year ahead jumped to 6.5%, due to recent tariff initiatives, although the preliminary estimate was even higher — 6.7%.In Japan, Tokyo inflation (excluding fresh produce) accelerated to 3.4% in April, exceeding forecasts. This confirms the existence of stable inflationary pressures. The head of the Bank of Japan, Ueda, confirmed that further rate increases are possible if inflation approaches the target level of 2%. However, he noted that a trade war could weaken inflationary trends. Following this, we expect one of the two planned rate increases to be postponed to the fall and another to the first quarter of 2026.In China, industrial profits increased by 0.8% year-on-year in the first three months of 2025, which is a recovery from the recession at the beginning of the year. At the same time, private sector profits decreased by only 0.3%, which is significantly better than the previous drop of 9%.The US-China Trade War: conflicting signalsDespite President Trump's statements about the ongoing negotiations with Chinese President Xi Jinping, Beijing has denied the fact of such negotiations. The US Treasury Secretary announced cooperation with Chinese representatives at the IMF meetings, but without discussing tariff issues. The Minister of Agriculture, in turn, noted the daily contacts on the topic of tariffs.Geopolitics: the meeting between Trump and ZelenskyIn Rome, as part of the funeral of Pope Francis, the first meeting between Donald Trump and Vladimir Zelensky took place since February. The negotiations were described as "very productive." Trump condemned Russia's recent attacks on civilian facilities in Ukraine and stressed the need to find alternative methods of pressure, including secondary sanctions. At the same time, US Secretary of State Marco Rubio announced the possible curtailment of peace initiatives if Russia and Ukraine do not show progress in negotiations.Greenland and Denmark strengthen their allianceAmid renewed U.S. interest in acquiring Greenland, autonomy's Prime Minister Jens-Frederik Nielsen visited Copenhagen. The meeting with Danish Prime Minister Mette Frederiksen ended with a joint statement of unity: the fate of the island will be decided solely by the Greenlanders.Equity markets: recovery continuesThe past week has brought significant growth in the stock markets: the S&P 500 index has gained 5%, and the European and Scandinavian indexes — about 3%. Cyclical securities grew especially strongly, outperforming defensive assets by more than 5%. On Friday, the growth continued: the S&P 500 gained 0.7%, the Stoxx 600 - 0.4%. Asian markets are showing neutral dynamics this morning, and futures on US indices are slightly declining.Debt and foreign exchange markets: moderate movementsLast week ended with a decline in US government bond yields: yields on 2-year securities fell by 5 basis points, while 10- and 30-year yields fell by 8 points. The yield curve has straightened somewhat. In Europe, yields, on the contrary, rose slightly, despite the soft comments from ECB representatives. In the foreign exchange market, the EUR/USD pair consolidated in the range of 1.13–1.14. The franc and the yen weakened slightly amid an improvement in global risk appetite. This week, the focus will be on data on inflation, GDP and the labor market in the United States and the eurozone, as well as the meeting of the Bank of ...
The week ends with a fairly modest volume of macroeconomic statistics, and investors' main attention is focused on the revised University of Michigan consumer sentiment data for April. The preliminary estimate has already alarmed the markets due to a new surge in inflation expectations, which increases uncertainty about the trajectory of interest rates in the United States.Inflationary signals from JapanThe published inflation data in Tokyo for April exceeded expectations: the overall indicator accelerated to 3.5% in annual terms (the previous value was 2.9%), and core inflation rose to 3.4% (against the forecast of 3.2%). The main reason was the rise in prices for a wide range of goods and services. The beginning of a new fiscal year in Japan is traditionally accompanied by a review of companies' pricing policies, and this year rising costs have become the main reason for the increase in consumer prices. Taking into account the expected acceleration of wages, the Bank of Japan is likely to continue its course towards a gradual normalization of monetary policy, unless trade restrictions from the United States turn out to be critical.US data: short-term surge in ordersIn the United States, data on durable goods orders for March turned out to be significantly higher than expected, with an increase of 9.2% compared with a forecast of 2.0%. However, such a strong result is largely due to temporary factors, in particular, a sharp increase in aircraft orders (primarily Boeing). Excluding the aviation sector, the growth in orders was minimal, which caused a weak market reaction.Comments from the Fed representativesThe speeches of representatives of the Federal Reserve System demonstrated a divergence of opinion. The head of the Federal Reserve Bank of Cleveland spoke out with harsh rhetoric, insisting on a wait-and-see attitude regarding the impact of duties on the economy. At the same time, Christopher Waller, a member of the Fed's Board of Governors, took a softer stance, not ruling out an increase in unemployment. Neel Kashkari, who heads the Federal Reserve Bank of Minneapolis, said that the US trade policy causes him concern about possible mass layoffs in the future. On Saturday, the so-called period of silence begins before the May Fed meeting. The probability of a rate change is extremely low, and the baseline scenario assumes a decrease in June with subsequent steps of 25 bps each quarter to the level of 3.00–3.25% by mid-2026.Trade tensions: China is not backing downChina made a harsh statement yesterday, demanding that the United States completely abolish unilateral tariffs as a condition for starting negotiations. Despite Washington's statements about its desire to reduce tensions, negotiations are not underway yet. Moreover, the Chinese authorities have denied any rumors about current contacts.Companies are also responding to trade instability. According to the Financial Times, Apple plans to move iPhone production for the American market from China to India as early as next year.Germany: positive surprise from the Ifo indexThe Ifo business climate index for April in Germany surprised with growth. The indicator of the current situation rose to 86.4 against the expected decline, and the component of expectations decreased only slightly to 87.4. The construction sector and services made the largest contribution to maintaining positions, while signs of pressure were recorded in the manufacturing sector, including against the background of trade barriers. However, there has not yet been a large-scale negative similar to the PMI data.Stock markets: the positive remainsU.S. stock indexes continued to rise, with stocks of cyclical and technology companies particularly strong. The Nasdaq index gained 2.7%, the S&P 500 — 2.0%, and the Dow - 1.2%. Market participants continue to ignore the current economic data, focusing on the prospects for de-escalation of the trade conflict. Signals from the United States yesterday also indicated a softening of the position.In Asia, trading opened in the "green zone", which was facilitated by rumors about a possible cancellation by China of some tariffs on American goods. Stock index futures in the United States and Europe are also showing growth on the back of positive corporate reports.Debt and foreign exchange market: fluctuations without a clear trendDuring yesterday's session, there was an increase in bond prices and a decrease in yields in both the United States and the eurozone. The US dollar weakened slightly against the euro, but managed to regain its lost ground in the early hours of Friday morning. In conditions of a shortage of important macro statistics, market participants will monitor geopolitical statements and signals from ...
Germany: Ifo Index and expectationsToday, the key indicator in the eurozone will be the publication of the German Ifo index, which investors are carefully comparing with yesterday's PMI data. Of particular interest is the component of expectations present in the Ifo and absent in the PMI, as it is able to better reflect the impact of trade conflicts, in particular, between the United States and China.USA: moderately positive signals and political noiseDespite weak regional reports from the Fed, the index of business activity in the US industry unexpectedly rose to 50.7, surpassing expectations of 49.1. At the same time, the services sector weakened to 51.4, but remained above the threshold of stagnation. The composite index decreased from 53.5 to 51.2, which still indicates moderate growth. The weakening of export orders in both sectors was offset by steady domestic demand: new orders increased in industry, while they decreased slightly in the service sector.However, against the background of macroeconomic statistics, the political factor has become more active again. There were reports that it was the ministers of finance and trade, Bessent and Latnik, who dissuaded the president from firing Fed Chairman Powell. Bessent also commented on the situation regarding trade negotiations with China, saying that a full-fledged agreement may take 2-3 years, and the resumption of dialogue is impossible without reducing tariffs, which now reach 145% on Chinese goods and 125% on American goods. The possibility of tariff cuts of up to 50% is being discussed on the sidelines, but the White House has not yet confirmed these rumors. This news caused cautious optimism and increased the probability of a deal with China to 38% from 34% previously.An additional boost to the market was given by information from the Financial Times, according to which the US administration may consider the possibility of partially exempting automakers from import duties after appropriate lobbying efforts by the industry.Eurozone: weakness in the service sectorThe combined eurozone business activity index fell to 50.1 in April, while the drop in the services sector to 49.7 was unexpected. On the contrary, the manufacturing PMI showed positive dynamics, exceeding forecasts and reaching 48.7. Despite this, pressure on the ECB towards additional easing remains, especially since the price components also indicate a weakening of the inflationary pressure. The employment rate in the service sector, however, remains positive at 50.8, which mitigates the negative effect of the decline in the overall index.The update of the ECB wage index also indicates a slowdown in wage growth in 2025, which strengthens the case for lower rates. According to current expectations, the deposit rate may be lowered to 1.5% by September 2025.UK: alarming signs of stagflationThe PMI figures for April in the UK turned out to be worse than expected across the board. The composite index fell to 48.2, signaling a reduction in business activity. The indices for services and production were 48.9 and 44.0, respectively. At the same time, there is an increase in both incoming and outgoing prices, and employment continues to decline. This combination indicates the risk of a stagflationary scenario, which significantly complicates the task of the Bank of England in terms of monetary policy.Energy market: uncertainty over OPEC+ quotasOil prices fell by 2% after reports that several OPEC+ countries called for an additional increase in production in June, similar to the decision taken in May. Kazakhstan, in turn, stated that it was not ready to compensate for the excess production of the previous period with cuts. Eight OPEC+ countries will meet on May 5 to discuss the future quota. Due to continued pressure on prices in the second quarter, the average Brent price is expected to be around $70 per barrel, with a subsequent recovery to $85 in the fourth quarter.Stock markets: rising amid political optimismBuyers prevailed on stock markets, despite contradictory macro data. Cyclical sectors led the way, both in the USA and in Europe. The market continues to live under the influence of paradoxes: rising bond yields, a strengthening dollar, and a simultaneous rally in risky assets. The profitable reports of the companies also added to the positive. Indices in the USA ended the day with growth: Dow +1,1%, S&P 500 +1,7%, Nasdaq +2,5%, Russell 2000 +1,5%. However, Asia has been showing a decline since this morning, and futures for the United States and Europe also point to a correction amid cooling political optimism.Bonds and the foreign exchange market: caution returnsWhile Finance Minister Bessant acknowledged the excesses of the current tariffs on Chinese goods, he emphasized the strategic task of redefining U.S. global economic relations. His speech cooled the euphoria of the markets: the yield on 10-year US Treasury bonds rebounded from daily lows and reached 4.39%, indicating an increase in expectations for inflation and interest ...
Lilium – do not be overly optimisticLilium is a German startup that is developing an air taxi-a fully battery-powered vehicle with a vertical take-off and landing function, whose speed will reach 281 km/h at an altitude of 3 km. The flight range is 250 km, so the company aims to completely change the current situation in the field of intercity communication. The carrier's shares appeared on the market on September 15 through a deal with SPAC. It was possible to collect only $584 million instead of the expected $830 million, as 65% of the holders of SPAC shares returned securities that began trading below $10. After Lilium distributes the debts and pays all the commissions, only about $400 million will be on the balance sheet. The first launch of the product is planned for 2024. It should be a seven-seat eVTOL jet, after which a 16-seat model should appear. The number of seats distinguishes Lilium from other companies that focus more on intra-city transportation using 2-4 local vehicles. In August, Lilium entered into a strategic partnership with the leading Brazilian air carrier Azul S. A, under which it undertakes to deliver 220 aircraft worth $1 billion. In addition to partnerships with major carriers, Lilium plans to develop its own network: management expects revenue of $1.7 billion in 2026 and $3.2 billion in 2027. The shares from vehicle sales and from network management should be approximately the same – 50% each. According to preliminary calculations, each aircraft should bring partners about $5 million a year, at a cost of $2.5 million. A ticket for a flight from Philadelphia to New York will cost about $170. Buying shares of a company that will start receiving revenue only in 2026 looks too risky. Especially against the background of the failure of many other players who promised to bring revolutionary ideas to life, like Nikola Motors.Asana shares are the most overbought securities on the marketSince the beginning of the month, Asana shares have risen by more than 55%. Recall that the company is developing solutions for managing team projects, and its founder is one of the first Facebook developers – Dustin Moskowitz. The main consumers of Asana services are programmers who work on a large task, as well as sellers and marketers. Of course, the transition to remote work had an extremely positive impact on financial results. It is important to understand that the Asana product is not unique at all. There are many competitors on the market from Salesforce to Airtable, Trello and SmartSheet. At the same time, the EV/S ratio exceeds 45x – these are simply unrealistically high values, even taking into account today's huge demand for “growing” stocks. It is incredibly risky to hold ASAN shares in an environment where there is more and more talk about the overheating of the market. In the second quarter of 2021, revenue increased by 72% YoY, to $89.5 million. Even more impressive is that the rate of revenue growth has been increasing since the third quarter of 2020. For example, in the previous quarter, revenue increased by 61% YoY. The number of ”paid" customers increased by 7 thousand, to 107 thousand, while the number of users spending more than $50 thousand a year doubled and reached 598. The ARR indicator is 118%, which means that existing customers started paying 18% more than a year ago. Among users with expenses above $50 thousand, this figure is even higher – ...
