Entertainment Sports Magic Johnson Is Now a Billionaire The former NBA star amassed his fortune through majority ownership of EquiTrust, according to reports By Michael Lee Simpson Michael Lee Simpson Michael Lee Simpson is a Digital News Writer at PEOPLE. He has been working at PEOPLE since 2023. His work has previously appeared in Entertainment Weekly, Variety, BuzzFeed, Reader's Digest, Backstage, Creative Screenwriting Magazine, The Drill Mag, Script Magazine, Ocala Magazine, and The Kansas City Star. People Editorial Guidelines Published on October 30, 2023 01:40PM EDT Close Magic Johnson. Photo: Nathan Congleton/NBC via Getty Magic Johnson has crossed the line from millionaire to billionaire. The former NBA star and business mogul, 64, amassed most of his fortune from his majority ownership of EquiTrust insurance company, Forbes has reported. Since Johnson took over the reins about ten years ago, the company’s assets have increased from $16 billion to $26 billion, per the outlet. Magic Johnson in October 2023. Allen J. Schaben/Los Angeles Times via Getty His investments in sports teams, such as the NFL’s Washington Commanders, the WNBA’s Los Angeles Sparks and the MLB’s Los Angeles Dodgers, also helped him reach billionaire status, CNN reported. He had previously owned a stake in his former NBA team, the Los Angeles Lakers, from 1994 to 2010, per the outlet. He made around $40 million while playing 13 seasons for the Los Angeles Lakers — or roughly $110 million when adjusted for inflation — before he retired suddenly in 1991 due to his HIV diagnosis, per CNN. Magic Johnson Tears Up Discussing New NFL Ownership as ‘Proud Black Man’: 'This is a Great Opportunity' Magic Johnson Playing for the Lakers in 1985. Andy Hayt/NBAE via Getty Earlier this year Johnson revealed on All The Smoke podcast that he missed a chance to become a billionaire in 1979 when turning down an offer from Nike to be paid in shares. "My family didn't come from money, that's one thing that hurt us sometimes. When you don't come from money, you don't know. I didn't even know what stocks [were] at that time," Johnson said on the podcast. Never miss a story — sign up for PEOPLE's free daily newsletter to stay up-to-date on the best of what PEOPLE has to offer, from celebrity news to compelling human interest stories He chose to sign a deal with Converse that gave him $100,000 annually in advance instead, Johnson said on the podcast. Magic Johnson Thanks Yacht Staff for a ‘Tremendous Six Weeks’ as He Wraps Up European Vacation The agreement with Nike would have compensated Johnson with $1 for each pair of sneakers sold and provided him with 100,000 shares of the company’s stock, according to Business Insider. "So I passed on the stocks. Can you imagine? 45 years, $5 billion that stock would have been worth today," Johnson said on the podcast. According to Forbes, Johnson is the fourth athlete to have joined the $1 billion club, which also includes Tiger Woods, Michael Jordan and LeBron James.