Mark Cuban Did These 2 Things To Protect His Wealth After Becoming a Millionaire
Written by
Jennifer Taylor
Edited by
Zuri Anderson
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Mark Cuban didn’t become one of the richest people in the world by accident. The now-billionaire has been taking strides to safeguard his wealth since he made his first million.
When he was 32 years old, Cuban sold his first company MicroSolutions for $6 million. This left him with approximately $2 million in after-tax profit.
Instead of going on a wild spending spree, he opted to protect his assets. Keep reading to find out what two things he did that ultimately helped get him to a place of unimaginable wealth.
Invested Like a 60-Year-Old
Generally speaking, a 32-year-old — i.e., Cuban’s age when he became a millionaire — would invest using an aggressive growth strategy. On the other hand, someone in their 60s would take a more conservative investment approach.
However, following a traditional path clearly isn’t Cuban’s style. When he received his $2 million payday, he wanted to hold onto it.
In an interview with social media personality Jules Terpak, he said he told his broker to invest his money as if he were a 60-year-old. He said he did this to ensure he would be able to live off the money for a long time.
Lived Like a Student
After earning $2 million, many people would buy a fancy car, get a sleek new home and fill their closets with designer clothing and accessories.
Unlike those people, Cuban realized wealth can be fleeting. He made one extravagant purchase, but even that had a practical element to it.
In an interview on the “Club Shay Shay” podcast, he said he bought two American Airlines lifetime passes, which allowed him and a companion to fly first class anywhere in the world for $125,000.
Beyond that, he enjoyed a modest lifestyle. In the interview with Terpak, he said he continued living like a student, even after he had the means to enjoy an upgraded lifestyle.
Cuban bought a house around the time he became a millionaire, but not a flashy mansion. He told Terpak his residence was the worst house in the best neighborhood.
Never one for fancy cars, he kept this outlook after becoming a millionaire. In keeping with his mentality of living like a student, Cuban told Terpak he continued to own cheap cars even after he could afford something more expensive.
It might not have been the most exciting entry to the million-dollar-club, but this approach clearly paid off as Cuban is now a billionaire nearly six times over.
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