Tennis great Roger Federer's most lucrative financial move wasn't made on a tennis court — it came through a strategic investment in a Swiss sneaker company, On Holding AG (NYSE:ONON).
According to Bloomberg's Billionaire Index, Federer has amassed a net worth of $1.3 billion. While he earned $130.6 million in prize money during his 24-year career — including 20 Grand Slam titles — his wealth primarily stems from endorsements and investments.
Don't Miss:
- Accredited investors can claim pre-IPO shares of Mode Mobile for just $0.30—with up to 120% bonus shares—before this Uber-style disruption hits the public markets
- Named a TIME Best Invention and Backed by 5,000+ Users, Kara's Air-to-Water Pod Cuts Plastic and Costs — And You Can Invest At Just $6.37/Share
From Grand Slams To Billionaire Status
Federer joins the ranks of billionaire athletes, including Michael Jordan, LeBron James and Tiger Woods. His net worth reflects a combination of endorsements, equity stakes, and earnings, adjusted for Swiss tax rates and market performance, according to Bloomberg.
Many of his partnerships have spanned decades. Federer earns $8 million annually from Rolex and $5 million from Mercedes-Benz, and also received $20 million from Swiss chocolatier Lindt, Fortune reported. However, his biggest financial wins came in the later stages of his career.
The Uniqlo Deal That Led to a $500 Million Sneaker Bet
In 2018, Roger Federer ended his long-standing apparel partnership with Nike (NYSE:NKE) and signed a $300 million, 10-year deal with the Japanese clothing brand Uniqlo. Unlike Nike, Uniqlo doesn't produce footwear, giving Federer the freedom to explore new opportunities in the shoe market.
Trending: $100k+ in investable assets? Match with a fiduciary advisor for free to learn how you can maximize your retirement and save on taxes – no cost, no obligation.
That opening led to a pivotal investment in On Holding, then an emerging sneaker maker. Federer first came across the brand after his wife bought a pair and introduced him to its founders. Impressed by the product and vision, he met with the team and later collaborated on developing his own line of performance shoes, Bloomberg reported.
Federer ultimately purchased an estimated 3% stake in On. The brand's popularity has surged, particularly in the U.S., and it now has a market capitalization of more than $17 billion. Bloomberg estimates Federer's stake is worth at least $500 million—nearly four times his total tennis prize earnings over two decades.
From Athlete to Investor: A Shifting Playbook
Jordan, James and Woods are all part of the billionaires club, not just through sports performance but through savvy business decisions.
Federer joins that group by taking a longer-term approach. While many athletes today expand their influence through social media and brand visibility, Federer has taken a different route.
See Also: This AI-Powered Trading Platform Has 5,000+ Users, 27 Pending Patents, and a $43.97M Valuation — You Can Become an Investor for Just $500.25
He has remained selective about his public presence and commercial commitments, avoiding commentary roles and short-term sponsorships. Instead, Federer works with long-term advisors, including his management company Team8 and investment firm Format A, to focus on brand partnerships and philanthropy that align with his personal values, according to Bloomberg.
A Legacy Beyond the Court
In a commencement speech at Dartmouth College last year, Federer urged graduates to look beyond their careers and focus on meaning and impact. "All of you have so much to give, and I hope you will find your own unique ways to make a difference, because life really is much bigger than the court," he said.
Read Next: Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die." Here’s how you can earn passive income with just $10.
Image: Shutterstock
