The NBA sports franchise known as the Los Angeles Clippers is expected to increase in value over time. Just as the price paid for other professional sports franchises has continued to appreciate over the years, so too are the new investors in the LA Clippers expecting to make a profit when the franchise is sold at some unspecified time in the future. Some sports franchises generate a profit for their owners during the period those investors hold the franchise, while others do not. Most investors do not require profitability during the holding period, but anticipate the franchise will sell for a higher price later. In the interim, they receive intangible but valuable “psychic returns” (similar to the benefit of owning a “trophy” real estate property) from the experience of participating in the membership of a very small, rarefied fraternity. This non-financial return on investment may be accompanied by collateral business opportunities or non-economic lifestyle benefits. Why do the current investors expect this sports franchise to be purchased at a high price in the future? Because sports franchises typically appreciate commensurate with the growth in the following: the number and enthusiasm of team fans; advertising revenues; ticket sales and prices; merchandise sales; concession prices; and expectations for continued growth in the future. The LA Clippers could be worth two billion dollars today provided that the demand for ownership of professional sports franchises remains robust and the demand from sports fans continues to drive franchise revenues and profits ever higher.