The problem here is quantifying risk. When people use "gamble" or "take a chance", then that is not investing. Anecdotes about big winners in the draft are heartwarming, but do little to come to a realistic assessment of the utility of getting decent draft picks.
I write in this stentorian tone because of frustration with trying to figure this out. In some ways, this is perhaps one of the more realistic aspects of the game, because I can easily envision where my $5000 a week goes: for Joe Slobovich's expenses and hotel rooms as he follows his wizened old nose about the countryside tracking down rumors about the Next LeBron James. He could get lucky, or maybe he does know what he is doing, or he could be drinking my salary in hotel bars talking to bitter floozies who recognize an easy mark, flirting with low, husky voices damaged by too many cigarettes and looking good only because the lights are low, pretending to be entertained by Joe's stories about how he was the first person to see Oscar Robertson.
So if I hire ole' Joe, will he deliver? Who knows? It's not like hiring a doctor or trainer or PR man. What are Joe's chances of bringing me something of value? One chance in five? ten? twenty? Or another way: for $70,000, what are my chances of getting a decent player valued at $150,000? or getting that PF I need? or of getting three 19 year olds whose best days are already behind them?
For these reasons, I have decided I am not going to spend a penny on that boozehound Slobovich, I don't care what his reputation is. (I've heard he was the first to see Hakeem Olajuwon in Lagos!) Draft day is like opening presents on Christmas Day, mysterious gifts that show up on my roster, with the occasional keeper. If I need a PF, I'll will go where I have a bit more control and discretion and can evaluate the risks a bit more clearly, the Transfer List (although the pitfalls of that is worth a separate thread altogether).