Bloomberg: Joe Tsai diversifies assets, investing in sports, hotels and real estate

It’s always difficult to estimate a billionaire’s true net worth. Especially when it comes to far-reaching investors headquartered abroad, like Joe Tsai and his predecessor Mikhail Prokhorov. In Prokhorov’s case, NBA auditors reportedly found his fortune far exceeded what Forbes and Bloomberg analysts had suggested in their estimates.Tsai’s Wealth Estimate Has His 25% Difference Between Two Wealth Tracker Figures

Bloomberg’s Benjamin Staples reported on Tuesday that Tsai appears to be moving into a new phase of investing. Stupples said Tsai’s “family office,” his personal investment vehicle, Blue Pool Capital, has expanded from U.S. stocks to five-star hotels, New York real estate, and a growing number of other sports and their derivatives. It suggests that it is migrating to the assets of His his NBA his team and his Brooklyn his arena balance that risk and stability.

The situation presented is that Tsai continues to see the Nets as a big part of his long-term portfolio.

Stubbles also reported in September that Hong Kong-based Blue Pool had sold much of its US equity portfolio. Bloomberg reported at the time that Tsai had “sold stakes in more than 30 U.S.-listed companies, mostly in the tech sector, since the beginning of last year.” These include Alphabet, Microsoft and Twitter, according to regulatory filings. In fact, this is the trend among the largest retail investors, reports Bloomberg.

According to Stupples, the company’s only U.S. holding at the time was financial investor Blue Owl Capital (one of which subsidized the Phoenix Suns and Sacramento Kings’ small stakes, which sparked some controversy last year). owns shares). Up to date corporate filings.

instead of US stocks. Tsai’s investment vehicles include real estate-based properties such as hotel investments and Manhattan real estate, as well as venture capital holdings such as sports, healthcare, pharmaceuticals and fitness. Bloomberg did not give details of how much Ms Tsai has invested in publicly traded companies…

According to Stupples, the latest investment is in the hotel sector, with Blue Pool acquiring a large stake in a portfolio of Spanish and Portuguese hotels that specialize in transforming historic buildings into five-star hotels. Stupples suggests that Blue Pool owns the majority of the portfolio.

Bloomberg also cites Blue Pool’s famous investment in Manhattan and its lesser-known investment in Lisbon, the Portuguese capital.

The company purchased Dan Ok’s formerly owned penthouse at 220 Central Park South on Billionaire’s Row in New York for $188 million in January. This comes just months after Tsai, 58, acquired her two full-floor apartments in the same building for around $157.5 million. He has also set up a real estate company based in Lisbon, the capital of Portugal, and the application lists his personal address as being in one of Hong Kong’s most exclusive residential areas.

Then there are the Nets of the NBA, the Liberty of the WNBA, the Long Island Nets of the G League and Barclays Center, and the Las Vegas Desert Dogs and San Diego Seals of the National Lacrosse League. primary owner.

In fact, sports are a big part of his personal fortune, with the Nets and Barclays Center alone worth $3.5 billion. As Stupples reports, the stability of your Nets investment is critical to wealth preservation, which Tsai said is a priority for his Blue Pool.

“NBA teams don’t lose property value,” Tsai said in a 2020 Bloomberg Businessweek article about investing in basketball. “It’s like owning a penthouse apartment on Park Avenue. ”

Of course, most of Tsai’s fortune is in Alibaba shares, which have fallen dramatically over the past year. His Alibaba stake is not held by his Blue Pool, according to company records.