Magic Johnson, a former basketball player, became just the fourth athlete to be inducted into the exclusive club of billionaires when Forbes announced his status.
According to business magazine, Johnson is worth approximately $1.2 billion (£990 million).
The NBA players Lebron James and Michael Jordan, as well as the golfer Tiger Woods, are the other billionaires among athletes.
Johnson owns shares in a number of businesses in addition to his investments in sports teams.
But according to Forbes, the majority of his wealth comes from a stake he has in a life insurance company.
Before retiring in 1996, the 64-year-old had one of the most iconic NBA careers, but the majority of his wealth came from sources other than sports.
According to Forbes, Johnson earned $40 million during his NBA career.
Three Los Angeles-based sports teams, including the MLB’s Los Angeles Dodgers, are owned by Johnson.
Away from athletics, he owns stock in EquiTrust Life Insurance, Burger King, Starbucks, and 24 Hour Fitness.
Johnson claims that if he hadn’t declined Nike stock as he was starting to play in the NBA in the 1970s, he might have become a billionaire sooner. Instead, he accepted a contract with Converse that offered him $100,000 annually.
“One thing that occasionally caused us pain was the fact that my family is not wealthy. You never know when you’re not from a wealthy background. In an interview with All The Smoke earlier this year, Johnson said, “I had no idea what stocks were at all at that point.”
I decided not to buy the stocks. Could you envision? In forty-five years, the stock’s current value would have been $5 billion.”
