With the growing popularity of UFC, more and more investors are interested in investing in this sport. Investing in UFC can be lucrative but also risky without the right strategies. This article will provide key information on how to invest in UFC successfully. I will elaborate on the investment vehicles like stocks, funds, and NFTs, analyze the major players in UFC’s business landscape, and offer actionable tips for investing in UFC.
Purchase stocks of UFC’s parent company Endeavor
The most direct way to invest in UFC is to buy stocks of its parent company Endeavor Group Holdings Inc. As the owner of UFC, Endeavor’s stock price is closely tied to UFC’s performance and value. Endeavor went public in 2021, so investors can easily trade its stocks on NYSE under the ticker EDR. Although Endeavor’s revenue declined during the pandemic in 2020, it has strong growth potential with UFC being its cash cow. The company is also expanding UFC’s presence, especially in China. With UFC’s continuous success and Endeavor’s globalization efforts, EDR’s stock price could enjoy steady growth.
Invest in funds focusing on sports and entertainment assets
Another avenue is investing in funds that include UFC assets as part of their portfolio. Many private equity and venture capital funds have allocated investments into UFC’s parent Endeavor. For retail investors, some publicly traded funds provide exposure to sports and entertainment assets like UFC. For example, the Sports Entertainment Acquisition Corp is a special purpose acquisition company focusing on sports and entertainment sectors. Investing in these funds allows investors to gain exposure to UFC while also diversifying their risks.
Purchase officially licensed UFC NFTs
NFTs are a new way for UFC fans and investors to own UFC assets. UFC has launched NFT marketplace UFC Strike, where fans can purchase NFT moments of iconic UFC events and fighters. These licensed NFTs gain value from UFC’s brand effect. Investors can buy and sell UFC NFTs for profits. However, this market is still nascent, so investors need to be cautious and only purchase NFTs of true significance.
Strategically invest at key events and milestones
UFC’s major events like McGregor vs. Poirier are important milestones that captivate fans worldwide. These events can directly boost UFC’s revenue and brand value. Savvy investors should take note of upcoming mega events and consider investing in UFC-related assets around these catalysts when valuations are still attractive. The hype and media attention surrounding these events will likely push UFC-related investments higher.
In summary, investing in UFC requires understanding its business landscape and key growth drivers. Purchasing UFC parent company Endeavor’s stocks, sports entertainment funds, and official UFC NFTs are some viable investment options. Meanwhile, proper timing around UFC’s major events can help boost investment returns.