Merrill Wealth Management and IMG Academy this week launched a three-year partnership to help student athletes and their families make sound financial decisions for life on and off the field. 

The companies said in a press release that they intend to provide “actionable financial education” to IMG Academy student athletes to guide them throughout their athletic journey and beyond.

“Athletes today are navigating an increasingly complex financial landscape and are expected to make decisions at an early age that can have a significant impact on their futures,” said Greg McGauley, head of Merrill Private Wealth Management, International and Institutional Groups. “That is why this partnership with IMG Academy is so important and timely. It offers students and their parents the education and resources to help them make informed financial decisions now and in the future.”

The Merrill-IMG financial education partnership came one day before the opening ceremony of the 33rd Olympics in Paris and soon after Florida became the 33rd state in the U.S. to allow high school athletes to profit from their names, image and likeness. College athletes were given this right to get paid in 2021 following a Supreme Court ruling.

Student-Athletes Getting Paid
Indeed, the money floating around the sports world, especially for young athletes, both in college and in professional leagues, is astounding. Twenty-two-year-old basketball sensation Caitlin Clark inked a $28 million endorsement deal with Nike earlier this year, and the No. 1 pick in the recent National Basketball Association draft is expected to haul in $57 million over four years. There’s no guarantee, however, that these overnight multimillionaires will hold onto their lottery-size payouts as their playing days fade; there are countless sad sagas of once-wealthy athletes going broke.

The importance of making savvy financial decisions that last a lifetime is the essential message of the Merrill-IMG partnership. The program aims to guide student athletes on the same path as LeBron James, the 39-year-old Los Angeles Lakers superstar who recently became the first active player in the NBA to become a billionaire.

In a virtual press conference last week announcing the partnership, McGauley and an IMG official also explained that the education program will help young students avoid the many financial potholes on social media. They also noted the international racial diversity of the student athletes who’ll have access to the program. Furthermore, the officials stressed that the program is also geared toward young athletes whose paths might lead to the corner suite, scientific lab or office cubicle rather than packed sports arenas or courts, as only 2% of college athletes ever play professional sports, according to the NCAA.

“We’re here to empower student-athletes to win their future,” Brent Richard, chief executive officer of IMG, told reporters.  “We’re preparing them for college and life.”

The companies noted that Merrill upped its sports investment game three years ago when it launched its Sports & Entertainment group. They said these Merrill advisors will provide “specialized personal financial education” to IMG Academy student athletes and families through a curriculum that incorporates Bank of America’s free financial education resource, Better Money Habits."

The curriculum covers topics such as the basic of savings and spending, introduction to credit, and general Investing information from Merrill.
Founded in 1978, the press release describes IMG as “the world’s leading sports education brand, providing a holistic education model” that prepares student athletes for college and for life.

The academy, across its boarding school, digital products and other efforts, has helped place more than 30,000 student athletes onto college athletic rosters annually. The academy boards 1,500 student athletes from middle-school and high school, from 40 countries.

“IMG Academy is one of the most racially diverse campuses in the world,” IMG CEO Richard said.

Merrill Advisors to Provide Advice
According to the release, the Merrill-IMG financial education program will be offered to students and their families attending IMG Academy’s onsite boarding school in Bradenton, Fla., and through the school’s online program, IMG Academy+. The curriculum will go into effect during the 2024/2025 academic year and include educational sessions, campus-wide assemblies and self-study materials. Students and their families can also hold one-on-one meetings with Merrill advisors.

“Given the modern high school and collegiate student-athlete landscape, it is becoming increasingly important to develop financial literacy at a younger age,” Richard said in a statement. 

On the call, the official added, “Financial education is the next frontier for us in intentionally developing life skills” for today’s student athletes.
The official also explained that the motivation for creating the Merrill-IMG financial literacy program was sparked by interest from students and parents. “In this particular area of financial literacy, financial and college opportunities, we’re not having to pull students there,” Richard said on the call. “They’re pulling us.”