Editorâs note: This article first appeared in Money Matters, a newsletter from Britannica Money, on July 26, 2026.
How stars invest their fortunes.
© Robert DalyâKOTO/stock.adobe.com; Photo illustration EncyclopĂŠdia Britannica, Inc.
Itâs a pairing as old as Hollywood itself: celebrities and money. Some simply enjoy their wealth, while others begin thinking about their next move. Rather than relying solely on endorsement deals and appearance fees, theyâre building businesses, taking ownership stakes, and looking for ways to grow their wealth long after the spotlight fades.
Increasingly, that means launching venture capital or private equity firms to back promising young companies. Chances are you wonât have the opportunity to invest alongside them, but the way many celebrities approach investing can offer useful lessons about long-term wealth building.
Why celebrities are launching investment firms
Celebrities have long looked for ways to turn fame into lasting wealth. Whatâs changed is the scale. Instead of investing their own money in a handful of start-ups, more celebrities are creating venture capital and private equity firms that raise money, hire experienced investment professionals, build diversified portfolios, and take a long-term approach to investing.
Jake Paul, the social media influencer turned boxer and entrepreneur, is among the latest celebrities to turn investing into a business. His venture capital firm, Anti Fund, recently raised $100 million from outside investors for a new fund that invests in more established start-ups. Its portfolio includes companies such as OpenAI, SpaceX, Anduril, and Helion. Paul says his fame grants him access to entrepreneurs and investment opportunities that might otherwise be out of reach.
The strategy isnât unique to Paul. Rapper Nasâs venture capital firm has invested in companies such as Coinbase, Robinhood, and Ring, while actress Gwyneth Paltrow cofounded Kinship Ventures to invest in consumer products and wellness companies. Ashton Kutcherâs Sound Ventures grew into a multibillion-dollar investment firm before he recently departed to launch a new venture investing in artificial intelligence.
85%
Serena Williamsâs venture capital fund, Serena Ventures, has mostly invested in companies that are led by women or other founders who have historically received less venture capital funding.
Thinking beyond the paycheck
Many financial advisors encourage building multiple income streams. For some people, that means owning a rental property, starting a side business, or investing in stocks that pay solid dividends. Celebrities often have the resources to take that idea much further, creating venture capital or private equity firms that invest in dozens of businesses.
The goal, however, is remarkably similar: reducing reliance on a single source of income while giving assets time to grow. Instead of depending solely on endorsement deals or acting roles, celebrity investors use their wealth to buy ownership stakes in businesses they hope will appreciate over time.
Although you may not have the means to launch an investment firm, you can adopt the same mindset in your own investing. Diversification, patience, and choosing assets that can grow in value are principles that can apply whether youâre building a retirement portfolio or looking beyond a single paycheck.
Who gets in?
Celebrity venture capital firms often invest in start-ups years before they reach the public stock market. That raises an obvious question: Who gets to invest in those funds?
- Accredited investors. Most venture capital funds accept money only from accredited investorsâthose who meet certain income or net worth thresholds established by securities regulators.
- Institutional investors. Pension funds, university endowments, insurance companies, and family offices (which manage investments for wealthy families) supply much of the capital that venture firms use to invest in start-ups.
One more thing: Even when individuals qualify as accredited investors, many venture funds require minimum investments of hundreds of thousandsâor even millionsâof dollars.
You probably wonât invest alongside Jake Paul or Serena Williams. But the principles behind their investment firms can help shape the way you think about building wealth.
- Think ownership. Whether itâs stocks, a rental property, or a small business, owning assets that can appreciate over time is one way to build wealth beyond a paycheck.
- Start small. You donât need millions of dollars to think like an investor. Understanding risk, recognizing opportunities, and building your financial knowledge can pay dividends over a lifetime.
- Stay diversified. Celebrity investment firms spread their bets across many companies. Most investors can apply the same principle through diversified stock and bond funds rather than relying on a few individual investments.
- Be patient. Venture capital firms often wait years for investments to pay off. Successful investing in public markets also tends to reward a long-term perspective rather than chasing quick gains.
Most of us will never have the chance to invest in private start-ups. Fortunately, you donât have to. The same habits that help successful investors build wealth can help guide the decisions you make with your own portfolio.
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This article was most recently revised and updated by David Schepp
