by Freddy J. Nager, Founder of Atomic Tango LLC
Here’s expensive proof that I should stick to marketing and steer clear of the stock market: I invested in two radio companies.
The first, Westwood One (WWON.OB), seemed like a stable cash flow deal. Westwood One produces radio programs for syndication, including broadcasts of NFL games. The way I saw it, demand for pro football is insatiable, and since we mere mortals can’t invest in the NFL, this is the next best thing, right? Well, apparently not. As advertisers fled from radio, so did investors. Westwood One was delisted from the New York Stock Exchange.
The second, Sirius satellite radio (SIRI; now called Sirius XM — at least for the time being…), is somewhat better. I was looking for some wild risk to balance out my boring bank CD’s. (Yay, excitement.) Since my friends who have Sirius love it, I thought it might have a future. Of course, I violated my own personal rule: don’t invest in anything that I don’t personally use. If I wasn’t willing to shell out $13/month for radio, what made me think the rest of America would flock to it?
But Wait, There’s More… keep reading