When LeBron James signed up to lead the Los Angeles Lakers to NBA glory with a $154 million contract in 2018, it wasn’t the biggest deal he did that year.
Just months before he joined, a limited liability company he controls borrowed almost $300 million from a pair of Midwestern life insurers advised by an arm of Guggenheim Partners, according to insurance industry records reviewed by Bloomberg.
The previously unreported bonds, which are due in 2049, were structured to provide immediate cash to James and backed by a stream of future revenue tied to his earnings outside basketball such as a lifetime Nike Inc. sponsorship, people with knowledge of the matter said.
The burst of lending began before Guggenheim leader Mark Walter started acquiring the storied basketball team. In an abrupt turn this month, the billionaire mogul agreed to sell the Lakers amid a federal probe into parts of his business empire. There’s no indication that the loans to James have anything to do with those inquiries.
Athletes and artists are increasingly using future earnings like royalties and licensing deals to structure deals that help them unlock immediate capital. David Bowie was famously the first recording artist to go to Wall Street to tap the future earnings of his music, paving the way for a thriving market for esoteric securities.
But James’ deal offers another look at how Walter and fellow Wall Street money managers have tectonically shifted the once-boring business of life insurance, steering policyholder premiums into more unusual investments. Guggenheim has moved insurers’ money deeper into private credit, sports franchises and — with James — financing for a star player. That’s far outside the industry’s traditional focus on plain-vanilla assets to reliably pay out future claims.
The two insurers — North American Company for Life and Health Insurance and Midland National Life Insurance Co. — are both owned by Sammons Financial Group. During a call with investors this week, Sammons said Guggenheim was the sole manager in charge of picking assets for the firm’s portfolios until 2021, according to people who heard the remarks and, like others in this story, asked not to be identified describing confidential dealings.
Sammons has been distancing itself from Guggenheim recently. Walter’s firm had long counted Sammons’ parent company among its biggest investors. During the call, though, Sammons’ representatives said it has been selling down that stake, the people said.
The “transactions were a securitization done by Mr. James with his personal, non-NBA salary, assets and income which is a very common financial structure for an individual with this level of earnings and assets,” a spokesperson for James said.
Spokespeople for Sammons and Guggenheim declined to comment.
The scrutiny of Walter’s empire by the Justice Department and Securities and Exchange Commission has turned up the spotlight on the intermingling of asset managers and insurers.
Wall Street power players have used insurance balance sheets to pursue their quest for higher returns, steering the savings of everyday Americans into more opaque and complex investments. The approach lets asset managers originate and structure deals, and then find uncomplaining buyers by parking such investments on the balance sheets of insurers they influence.
James’ borrowing from the two Midwestern insurers — structured as sales of asset-backed bonds — began when he was at the Cleveland Cavaliers and his career was poised for new heights.
The two companies bought almost $300 million bonds issued by an LLC he controlled called King James Funding, the records show. Within a few years, the LLC paid down some of that debt, then sold more bonds to the insurers, leaving them with about $245 million on their books by the end of last year, the records show.
The initial bonds from 2018 had a 4.8% interest rate and aren’t due until late 2049, the industry filings show. Terms are otherwise scant in the records reviewed by Bloomberg.
A few months after the deal, James started looking for another team as a free agent, ultimately picking the Lakers. In an oft-retold moment, he received a visit at home from Walter’s longtime business partner Magic Johnson, then a top executive for the Lakers. James ultimately signed a four-year contract.
Then in mid-August 2022, James signed a $97 million contract extension with the Lakers. Around that same time, the same Midwestern insurers provided his LLC with more cash, buying almost $60 million of 34-year bonds with a 5.75% interest rate, the insurers’ records show.
“Both transactions were independently credit rated by a third party and the 2022 transaction was fully approved by NBA,” James’ spokesperson said, noting the athlete had no affiliation with Guggenheim, Sammons, North American Co. or Midland National beyond their participation in the transactions.
Guggenheim also got involved in some of James’ other personal ventures. As the Covid pandemic took hold in 2020, he and his childhood friend and business partner, Maverick Carter, announced that they had raised $100 million for their media venture called SpringHill Co. Guggenheim was listed among investors in that company.
Leaving the Lakers
For more than a decade, Walter has mixed money from insurers with investments in sports. His 2012 acquisition of the Los Angeles Dodgers with business partners including Johnson relied heavily on the insurance industry.
Afterward, the new team’s owners ramped up spending on players to turn the franchise into a jewel of professional baseball, appearing in five of the past nine World Series. But that playbook isn’t as feasible in the NBA, which has stricter caps on team salaries.
Walter’s acquisition of the Lakers began in 2021 when he purchased a minority stake, granting him rights that paved the way for him to take a majority stake last year.
The sale of the team came as Walter has been reshaping his empire to unwind more than $20 billion of loans on his insurers’ books that should have been marked as funding affiliated businesses, but weren’t. While regulations allow insurers to lend money to such parties, they require that the dealings be disclosed.
James, meanwhile, announced that he’s leaving the Lakers and he signed a two-year deal with the Philadelphia 76ers. His new team is co-owned by Josh Harris, whose 26North Partners invests across middle-market private equity, credit and insurance.
Li, Sridhar Natarajan and Rajbhandari write for Bloomberg.
The SEC announced on Tuesday that it had filed a proposal titled “Regulation Crypto Assets”, giving crypto entrepreneurs a clearer, considerably lighter route to raising capital under federal securities law, according to the press release published by the regulator.
It is the agency’s first formal rulemaking dedicated to crypto asset offerings, building on broader interpretive guidance the SEC issued in March, and would spare qualifying issuers the costly registration process required of most public offerings.
At the centre of the proposal sit two new exemptions.
The “startup exemption” would let an issuer raise up to $5 million (€4.3mn) over a four year period without registering the offering.
A second, the “fundraising exemption”, would permit raises of up to $75 million (€64.7mn) within any 12 month stretch, though issuers relying on it would still need to publish financial statements and meet ongoing reporting duties.
Both routes ask companies to give investors narrative, principles based disclosures, rather than the dense legal filings typically demanded of public listings.
The proposal also sets out a conditional safe harbour that could eventually place certain tokens outside the legal definition of a security, once an issuer has finished, or permanently abandoned, the managerial efforts it promised investors.
It would also override conflicting state registration rules for offerings made under the exemptions, sparing issuers from having to comply separately with individual state securities regimes.
SEC Chairman Paul Atkins described the package as a “minimum effective dose” of oversight, protecting investors while leaving builders maximum room to innovate.
The reception of the proposal has been largely warm.
Summer Mersinger, CEO of the Blockchain Association, said the move finally delivers the tailored regulatory clarity the sector has sought for years. Cody Carbone, CEO of the Digital Chamber, likewise praised the plan, pledging support in helping the industry expand within the US rather than abroad.
However, the proposal is far from final. It stays open for public comment for 60 days once published in the Federal Register, meaning its provisions could still change, or be scrapped, before any final rule is adopted.
The SEC’s move comes roughly a week and a half after the US Senate left Washington for its summer recess without advancing the Digital Asset Market CLARITY Act (H.R. 3633), the industry’s flagship bill, which would split oversight of digital assets between the SEC and the US Commodity Futures Trading Commission.
US Senate Majority Leader John Thune filed a cloture motion on the bill on 7 August, but lawmakers departed before a vote was held. That motion is now due to come up again on 15 September, a procedural hurdle rather than a final vote, once senators return.
SEC Chairman Paul Atkins has argued on more than one occasion that only Congress can deliver a lasting, “future-proofed” framework able to survive changes in political leadership, and the Commission says it still backs the bill’s passage.
Even so, with its timetable slipping into autumn, the regulator appears to have decided not to wait, instead using powers it already holds to offer the industry some certainty while lawmakers prepare to resume the debate next month.
President Trump’s $1.4-billion crypto windfall has become the biggest obstacle to passing his sweeping digital-asset legislation as Democrats demand tougher language to prevent the president from profiting off an industry his administration regulates.
Senate Republicans released a proposal this week intended to break a months-long impasse over the bill, known as the Clarity Act. But Democrats and consumer watchdog groups dismissed the terms almost immediately, complaining the bill would not stop Trump or his family from continuing to profit from his meme coin and other crypto ventures.
Trump needs the support of at least seven Senate Democrats to pass the legislation, which would set rules for digital assets. Ethics has emerged as the biggest, though not the only, sticking point.
“It’s the linchpin,” said Sen. Angela Alsobrooks, a Maryland Democrat and key negotiator who has been supportive of the crypto industry.
A spokesperson for the White House didn’t immediately respond to a request for comment. The White House has consistently asserted Trump is not involved in managing the family’s crypto ventures and has denied conflicts of interest.
Democrats have specifically taken issue with a provision that would leave Trump’s Justice Department as the primary enforcer of the new ethics regulations, preventing state attorneys general from acting as an independent check.
Another Democratic negotiator, Sen. Ruben Gallego of Arizona, and Republican Sen. Thom Tillis of North Carolina said they’re working on a compromise ethics proposal to send to the White House but didn’t provide details.
Senators in both parties said they see the negotiations in the coming week as key to whether a bill reaches Trump’s desk this year. But after the chilly initial reception to the latest White House offer, Senate Majority Leader John Thune (R-S.C.) said he didn’t think the Clarity Act would pass the chamber before the month-long August recess.
“We’ll see where the votes are,” Thune said.
Alsobrooks, Gallego and other crypto-friendly Democrats are demanding changes to other pieces of the massive bill, including consumer protection and illicit finance measures.
The bill has other issues, including opposition from banks intent on tightening restrictions on stablecoin rewards. Tillis and several other Republicans said they are considering backing changes to reflect banks’ concerns that their deposits could shift to stablecoin accounts, crimping their profits and customers’ access to credit.
Tillis has floated adding “circuit-breaker” language empowering the Federal Deposit Insurance Corp. or other regulators to step in if bank deposits drop — an idea opposed by GOP Sen. Cynthia Lummis of Wyoming, the crypto industry’s biggest backer in the chamber.
Critics said the draft’s ethics protections are porous. It would let Trump divest a large stake in his crypto venture or move it into a blind trust for the rest of his term, but stops short of requiring him to sell.
“It’s going to allow him to keep making money the way he has in the past,” said Scott Greytak, deputy executive director of Transparency International US, an anti-corruption advocacy group.
The restrictions also hinge on whether an official has a “direct interest” in a crypto asset — a threshold that may not apply to Trump.
The president is a significant owner of World Liberty Financial, the Trump family’s crypto venture, through an entity called DT Marks DEFI LLC, which holds about a 38% stake. Whether that counts as a direct interest “isn’t clear,” said Zach Everson, research director for Public Citizen’s Trump Accountability Project. “Does direct interest describe how he holds the crypto?”
Because the bill wouldn’t apply to the children of government officials, Donald Trump Jr. and Eric Trump could continue their own crypto business interests. And much of the family’s fortune has already been made: Trump and his affiliates have earned a huge windfall from meme coin and token ventures, income the legislation would not claw back.
Critics also decried a provision that would sunset the ethics requirements on Jan. 20, 2029, the day Trump’s successor would be inaugurated. That could prevent the next administration from holding Trump accountable.
The White House and Republicans argued that Trump had gone further in backing ethics restrictions in law than any previous president.
“History will remember this as the moment a president chose a higher standard of ethics than the law required of him,” Lummis, a key architect of the bill, said on X.
Democrats were skeptical even before the language was released. “Any meaningful ethics provision would be shot down by the White House,” Sen. Chris Murphy of Connecticut said.
The politics of crypto have long divided Democrats, and a bipartisan deal on the legislation risks provoking a backlash from progressives. Failure to reach a deal, however, could make the party the target of a torrent of crypto campaign cash.
Crypto group Fairshake and its two affiliated super PACs have raised $164 million for the midterm elections, Federal Election Commission filings show, and have spent $66.6 million so far.
It’s the kind of political arsenal that Senate Democratic leader Chuck Schumer of New York can ill afford to have aimed at his candidates as the party seeks to regain Senate control.
But others, like Murphy, have warned that blessing Trump’s big crypto bill would undermine Democrats’ midterm message.
A potential presidential candidate, Murphy said Wednesday while addressing the left-leaning Center for American Progress that the bill is before the Senate “because the industry paid for it” and urged Democrats to instead turn fighting crypto corruption into a potent campaign issue this fall.
Markets have grown less convinced a deal gets done. On Polymarket, the odds of the Clarity Act passing this year fell to about 1 chance in 3 earlier this week after Republicans released the new draft.
That’s about half the odds the prediction market gave passage after the Senate Banking Committee backed an earlier version of the bill on May 14.
Dennis and Patterson write for Bloomberg. Bloomberg writers Yash Roy, Lydia Beyoud, Aidan Williams, Bill Allison and Olga Kharif contributed to this report.
Earnings Call Insights: Ally Financial (ALLY) Q2 2026
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No asset manager had ever crossed the $15 trillion (€13tn) threshold before BlackRock confirmed the milestone in results published on Wednesday.
The rise was driven by market gains and new client money.
Clients handed the New York-based giant a net $192 billion (€167bn) in the second quarter of 2026, capping a record first half in which inflows reached $321 billion (€280bn), more than double the same period a year earlier.
To illustrate the sheer scale of BlackRock’s assets under management, the firm manages more money than the projected nominal annual economic output of every country except the US and China, and nearly three times that of Germany.
However, assets under management represent a stock of investments, while GDP measures economic output over a year.
The surge in assets came during a quarter that was lucrative too.
According to BlackRock’s second-quarter earnings release, revenue climbed 31% year on year to $7.1 billion (€6.2bn), while adjusted earnings per share reached $13.91, comfortably beating expectations.
BlackRock shares jumped about 7% on the day of the release.
“Market fundamentals are strong and well supported, with higher margins and earnings momentum catalysed by new technology,” CEO Larry Fink said in a statement.
“Our momentum is accelerating, and I’ve never been more optimistic about the growth ahead,” Fink added.
The first thing to understand is that this is not BlackRock’s money.
It is the pooled savings of pension funds, insurers, governments and ordinary investors, which the firm manages for a fee. Most of the money is invested in shares.
Equities account for $8.9 trillion (€7.7tn), or 58% of the total.
Bonds and other fixed-income investments make up a further $3.4 trillion (€2.9tn), or 22%. Multi-asset strategies that combine different investments hold $1.3 trillion (€1.1tn), or 9%, while cash-management products, such as Treasury bills, account for another $1.1 trillion (€960bn), or 7%of the total.
The headline-grabbing alternative investments, including infrastructure, private credit, private equity and property remain a sliver at $449 billion, roughly 3% of assets, but they generate about 15% of BlackRock’s base fees.
Commodity and currency products hold $152 billion (€132bn), while crypto-linked funds, launched in 2024, manage about $49 billion (€42bn).
The way the money is invested matters as much as the asset mix.
Some 41% of the total sits in exchange-traded funds (ETFs). Fink noted that the iShares ETF range crossed $6 trillion during the quarter, roughly double its size three years ago.
BlackRock’s scale has increasingly brought it into deals with geopolitical implications. The dispute over ports at either end of the Panama Canal is one of the clearest recent examples.
After US President Donald Trump claimed China was effectively running the waterway, Hong Kong’s CK Hutchison agreed in March 2025 to sell 43 ports, including terminals at either end of the canal, to a consortium led by BlackRock. The proposed deal was valued at $22.8 billion (€19.9bn) and welcomed by Washington as a step towards restoring US influence over the ports.
Beijing objected and pressed for state-owned Cosco to be included. The sale has yet to be completed.
Panama meanwhile annulled Hutchison’s canal concessions in February, handing interim operations to Maersk and MSC, whose terminals arm counts BlackRock’s infrastructure unit GIP among its shareholders, while talks on the wider portfolio continue.
Meanwhile, Panama’s Supreme Court annulled Hutchison’s concessions to operate container terminals at either end of the Panama Canal in January. The government transferred interim control of the ports to Maersk and MSC in February, while talks over the wider portfolio continued. BlackRock’s infrastructure business, Global Infrastructure Partners, is a shareholder in MSC’s ports division.
Larry Fink’s proximity to the White House was on display again in May, when he travelled to Beijing as part of the corporate delegation accompanying Trump during his meeting with Chinese President Xi Jinping.
Fink joined chief executives including Tesla’s Elon Musk and Apple’s Tim Cook on a visit dominated by trade and technology.
The firm’s reach extends into American retirement policy as well.
An executive order signed by Trump last year directed regulators to broaden access to private-market assets through the country’s 401(k) pension plans. BlackRock had championed the shift and stands to benefit as it develops private-market products for retirement savers, which typically carry higher fees than index funds.
A display shows notes and wishes for Korean unification at an event marking the third annual North Korean Defectors’ Day in Goyang on Tuesday. Photo by Yonhap
President Lee Jae Myung said Tuesday the experience of understanding North Korean-born citizens in South Korea will become a “special asset” to prepare for a future shared by the two Koreas.
Lee made the remarks in a written address delivered by Lim Woong-soon, the second deputy director of the National Security Office, in commemoration of the day for North Korean defectors, which falls on July 14.
“The experience of understanding and trusting one another in a new community will lay the foundation for social integration and serve as a valuable asset in preparing for a future in which South and North Korea live together,” Lee said.
“We will establish lasting peace on the Korean Peninsula and move steadily toward shared prosperity for the two Koreas,” the president said, adding that he will make all-out efforts to usher in a future of “coexistence and cooperation” beyond conflict and confrontation.
During the speech, Lee consistently referred to North Korean defectors as “bukhyangmin,” or people whose hometown is North Korea, a new term adopted by the unification minister earlier this year. The ministry is using “North Korean-born citizens” to refer to the North’s defectors.
Meanwhile, Unification Minister Chung Dong-young underscored at the event that it marked the first year to commemorate the third anniversary under the newly adopted reference, noting the term “North Korean defectors” implies discrimination and exclusion.
Tuesday’s event in Goyang, northwest of Seoul, was attended by some 1,000 people, including North Korean-born citizens and those who helped them settle into South Korea.
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N Rotteveel/iStock Editorial via Getty Images
The White House said the Trump administration is continuing to work on the best structure for a “U.S. strategic Bitcoin reserve” and “digital asset stockpile” to deliver on President Trump’s vision.
According to a Bloomberg report, the Bitcoin (