
October 1, 2020
How Mark Cuban Partied Hard, Got Rich & Stayed Rich | Mark Cuban on Capital University
Check out Capital University Podcast Episode Page. Subscribe on Apple Podcasts, and watch the Episode on YouTube.
Key Takeaways
- When investing in stocks, be careful of getting overconfident:
- “Everyone’s a genius in a bull market” – Mark Cuban
- Good investors can make money in good and bad times:
- “The great stock pickers aren’t only the ones who make money when things are going up, they make money all the time because they know what they’re doing” – Mark Cuban
- It’s important to have a direct relationship with your audience so you can go to your audience instead of your audience always having to go to you
- Mark recommends having an email list, text list, or community, where you can directly contact fans
- How Mark would invest $15 million:
- He’d put $1-2 million in an emergency fund
- Put most of the capital in low-index mutual funds and let it sit there for 40 years
- Put 25% of the capital for angel investments
- When making angel investments, look for companies that will help or leverage your existing company or brand
- Angel investing 101:
- Make sure it doesn’t suck time or energy from your core source of income
- Know why the company wants you to invest in them and what they expect from you
- Know the liquidity options
Intro
- Mark Cuban (@mcuban) is the owner of the Dallas Mavericks and investor on the TV show Shark Tank
- Cohost: Anthony “Pomp” Pompliano (@APompliano) is an investor, co-founder at Morgan Creek Digital, author of The Pomp Letter, and host of The Pomp Podcast
- Cohost: Bryce Hall (@BryceHall) is the founder of PartyAnimal Apparel, co-founder of Ani Energy, and a social media personality. Check out his Instagram and YouTube
Mark Cuban’s Background
- Mark has been an entrepreneur his whole life:
- As a kid he sold baseball cards and garbage bags
- He opened up a bar before he was 21
- He also worked as a software salesman
- He taught himself how to program and started his own company called Micro Solutions. He sold it for $6 million.
- Mark personally made about $2 million and used some of the money to buy a lifetime pass on American Airlines and partied like a rockstar.
- He taught himself how to program and started his own company called Micro Solutions. He sold it for $6 million.
- He also worked as a software salesman
- He opened up a bar before he was 21
- As a kid he sold baseball cards and garbage bags
- After that, Mark started a hedge fund that was bought 9 months later
- He then started the first streaming company called Audionet. The company then moved into video streaming and changed the name to Broadcast.com. The company later went public.
- The company was then sold to Yahoo for $5.7 billion
- He then started the first streaming company called Audionet. The company then moved into video streaming and changed the name to Broadcast.com. The company later went public.
Investing In Stocks
- When investing in stocks, be careful of getting overconfident:
- “Everyone’s a genius in a bull market” – Mark Cuban
- Good investors can make money in good and bad times:
- “The great stock pickers aren’t only the ones who make money when things are going up, they make money all the time because they know what they’re doing” – Mark Cuban
- You have to research the companies you’re investing so you know if it’s a good investment or not
Thoughts on Social Media
- TikTok gives anyone the ability to blow up and become a viral sensation
- Charli D’ Amelio gained 60 million TikTok followers in less than a year
- Most likely your audience on each social media platform is different and it’s important to know the demographics of the people who follow you on each platform
- It’s important to have a direct relationship with your audience so you can go to your audience instead of your audience always having to go to you
- Mark recommends having an email list, text list, or community, where you can directly contact fans
How Would Mark Invest $15 Million?
- He’d put $1-2 million in an emergency fund
- Put most of the capital in low-index mutual funds and let it sit there for 40 years
- Put 25% of the capital for angel investments
- When making angel investments, look for companies that will help or leverage your existing company or brand
Angel Investing 101
- Make sure it doesn’t suck time or energy from your core source of income
- Know why the company wants you to invest in them and what they expect from you
- Know the liquidity options
Additional Notes
- Bryce recently started his own energy drink company called Ani
- If you’re going to angel invest, you need to have an edge or expert knowledge in a specific industry