A man who won a $220.3 million Powerball lottery jackpot - the second-largest single-ticket Powerball winning - plans to invest the money and become a billionaire.
Brad Duke, 33, a regional fitness director for a health-club chain, said he hopes to build a $1 billion portfolio within 15 years.
"What better opportunity to have than me at my age with this money to build a billion-dollar empire to take care of my family and to give opportunities to the people who have given me opportunities," he said.
Duke chose to take a one-time payment of $125.3 million, rather than 30 annual installments of $7.4 million. He will get about $85 million after taxes.
Duke said he told his father and sister about the jackpot, but the rest of his family was unaware until Sunday, when he asked them to meet him in Sun Valley. He said they had assumed he was going to reveal a terminal illness, a multilevel marketing scheme or a wedding engagement.
Duke has assembled legal, financial and public-relations advisers to make business investments and charity donations, and is considering appearances on a reality-television program.
Other than a high-end racing bicycle, Duke has no plans for any large purchases.
"One of my goals is keeping my feet on the ground, not forgetting who I am and where I came from and staying active in the things I like now, like biking, the fitness industry, camping and rafting with my friends," he said. "Keeping my feet on the ground does not include going out and buying a yacht."
The state of Idaho will get an immediate $10 million boost to income tax revenues as a result of Duke's win, while the convenience store where he bought the ticket will receive $50,000.
Powerball is a Des Moines, Iowa-based lottery played in 27 states, plus Washington, D.C. and the US Virgin Islands. Duke bought the winning ticket at a Boise convenience store.
Congratulations Brad!
This guy sounds like he won't turn out to be a Jack Whittaker!
Only time will tell if he turns into a "Jack Whittaker"
He sounds serious...since he took the lump sum.
"Other than a high-end racing bicycle, Duke has no plans for any large purchases."
If anyone can find out what model and make of bike he bought, please post here. I have a bet I am trying to settle.
Thanks,
Jake
He would have to have the $85 million compounding 16.6% interest tax-free each month for 15 years to reach a billion. That rate of return for 15 years straight seems unlikely to me, but then I'm not a businessman.
Far be it for me to be negative. With luck, he could buy crashed stocks and be a billionaire in a couple of years. You only need one hit out of about 5 to get rich. (nanotech?) Wish I was him.
He would have to have the $85 million compounding 16.6% interest tax-free each month for 15 years to reach a billion. That rate of return for 15 years straight seems unlikely to me, but then I'm not a businessman.
Who says he would have to get 16 percent interest and only have to do it for 15 years? He could only get 7 percent interest and have that money collect interest for 40 years and he would have it. He would be just into his 70s and still would probably have time to do it.
The rule of 72 says that he would double his money roughly every 10 years invested at 7 precent. Even if he blew $15 million right off the bat, he could start out with $70 million and after roughly ten years he would have $140 million; after 20 years $280 million; after 30 years $560 million and after 40 years $1.12 billion.
With all that said, this is a best case scenario. This assumes he doesn't touch the principal (he will need money to live off of.) It would be hard not to have that kind of money sitting there and not touch it and don't even get started with any taxes he would have to pay. It is possible but I doubt he would be able to do it.
I'd say he could try to hire JAP69 as a lottery consultant and put a thousand or so per draw into the lotteries...... stand a pretty fair chance at that billion until the lotteries collapsed.
Jack
Who says he has to buy stocks? He said he was going to start a business empire, so he's probably going to start businesses, rather than just investing in stocks and bonds.
The right decision is to take the lump sum, no matter how much the prize.
The right decision is to take the lump sum, no matter how much the prize.
I dunno, CO. I'd have to think about it, probably take the annuity, just to have on record that I did. Any time that many people care as much as the people here do about whether someone takes the lump or the annuity, I'd say there's almost a moral obligation to run against the current. Even though I'm reasonably sure I wouldn't come within 15 years of living long enough to draw all of it.
I just hate people getting into my business enough to be saying what I ought to do.
Jack
If I won more than $100 million it would be annuity for me. Anything less cash. (Bring on your knives and pitchforks I said I would take annuity.)
If I won more than $100 million it would be annuity for me. Anything less cash. (Bring on your knives and pitchforks I said I would take annuity.)
Bravo! Whether it's true or not, it's music to my eyeballs seeing the words.
Jack