Carl Nassib — NFL's First Openly Gay Player — Once Provided His Teammates A Lesson On Compound Interest, 10% Annual Returns

Carl Nassib made headlines Monday after being the first active NFL player to come out as gay. The Las Vegas Raiders defensive end is also being remembered by some as a “financial advisor” providing some advice to former teammates.

What Happened: Nassib announced he's gay on his Instagram account: "I've been meaning to do this for a while now, but I finally feel comfortable enough to get it off my chest."

He announced a donation of $100,000 to The Trevor Project, a crisis intervention and suicide prevention organization that works with LGBTQ youth.

Financial Advisor? Nassib was a member of the Cleveland Browns in 2018 when the team was profiled in the series "Hard Knocks."

“Who here knows what compound interest is?” Nassib asked his teammates while appearing in front of a dry erase board.

Nassib told his teammates that financial advisors are everywhere and they’ll take money from you, but if you learn how to invest yourself, you can make “millions of dollars.”

"This is the easiest equation to make you rich," Nassib said.

Nassib's equation was 1x1.1x1.1x1.1x1.1x1.1x1.1x1.1 showing that an average gain of 10% annually can double your money in seven years. Nassib said doing this same thing for years could turn $1 million into $64 million.

“It's called interest and it’s so easy.”

Nassib said you could put money in the bank and not touch it to gain interest on it.

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10% Returns: The compounded interest principal has been around for years and is a good benchmark for average returns.

“The magic of compounding works best the younger you are because that means you have more time for your money to grow,” Jim Cramer once said.

The easy benchmark and investment for investors to consider is the S&P 500 or the SPDR S&P 500 ETF SPY, which is a common benchmark of the market.

Investing $10,000 in the ETF for four decades and having 10% of annual returns could equal $450,000 over time.

Cramer said waiting seven years to double an investment may be difficult to understand but is "pretty incredible."

The SPDR S&P 500 ETF has returned 14.2% on average annually over the last 10 years. Since the fund’s inception, the ETF has posted average yearly gains of 10.4%.

SPY Price Action: The SPDR S&P 500 ETF is up 13.3% in 2021.