Mutual funds, private banking, and AI: how the sports industry is changing

Luis García, fund manager at Mapfre AM

This Soccer World Cup is particularly significant from an investment perspective, as it is being held largely in the United States. There, in recent months, it has become increasingly common for major asset management firms to launch funds specializing in this sector, and for leading private banks to establish dedicated advisory teams to serve high-net-worth clients looking to invest in sports. As is often the case in finance, the U.S. market tends to anticipate trends that later emerge in Europe.

Since the Mapfre AM Behavioral Fund, we began investing in publicly listed companies within the sports sector, including specific businesses linked to football, shortly before the pandemic. Over time, many of the positive changes we had identified in the sector have fortunately been consolidated. I believe that in this upcoming World Cup, some of these developments will become particularly visible.

In addition, its timing coincides with a period in financial markets in which many investors are shifting towards real assets that can be protected by—or even benefit from—the AI revolution. In this context, few sectors appear as well positioned as sport, given that it is an activity inherently linked to human engagement, where AI can significantly enhance the consumer experience and optimize monetization far beyond what has traditionally been achieved.

On a personal level, the previous World Cup in the United States, held in 1994, is the first of which I have some memories (some not particularly positive, such as Tassotti’s elbow on Luis Enrique and Spain’s elimination against Italy). Coincidentally, this upcoming World Cup, also in the United States, will be the first I watch and enjoy with my two children. In particular, my eldest, who will already have turned seven, is beginning to enjoy and take an interest in football. For that reason, it will also be very special. Of course, I also hope there will be opportunities to get together with friends to watch some of the matches, especially those of the Spanish national team, which I believe is one of the favorites for the tournament.