(Fortune Magazine) -- Brad Duke, 34, a manager for five Gold's Gym franchises in Idaho, pocketed a lump sum of $85 million after winning a $220 million Powerball jackpot in 2005. He spent the first month of his new life assembling a team of financial advisors. His goal: to use his winnings to become a billionaire. Here's what Duke has done with his money so far. * $45 million: Safe, low-risk investments such as municipal bonds * $35 million: Aggressive investments like oil and gas and real estate * $1.3 million: A family foundation * $63,000: A trip to Tahiti with 17 friends * $125,000: Mortgage retired on his 1,400-square-foot house * $18,000: Student-loan repayment * $65,000: New bicycles, including a $12,000 BMC road bike * $14,500: A used black VW Jetta * $12,000: Annual gift to each family member http://money.cnn.com/2007/02/20/mag...ings.fortune/index.htm?postversion=2007022807
That was cool. $33 mill on tonight, hehe... Ive heard of people using various systems, and doing pretty well- but they all spend shitloads on tickets, wonder how many he was working with?
????-----(1) He would get crushed in a deflationary scenario. The munis, oil & gas and real estate would all get trashed. (2) Each of those asset categories is very illiquid too. He ought to have more money in treasuries and/or a money market account.
I would just put it in a bank account and get paid 5% a year and go and enjoy life. You can live very decently for $4m a year.
This lucky guy actually thinks his system had something to do with winning. And he wants to parlay it into a billion... Classic gambler attitude.
I read an article some time ago where close to 80% of lotto winners end up bankrupt or dead within only a few years time. This due to the overwhelming amount of family and friends that come out the woodwork and the exacerbation of any pre-existing vices (drugs, alcohol, gambling, etc.) $12K bikes?!?! Used Jetta!?!?! There's a screw loose somewhere when a bicycle costs more than your car.