The wealth of the world’s richest group has evaporated trillions of dollars this year, of which on June 14 alone, they lost $206 billion.
According to the Bloomberg Billionaires Index, billionaires have seen their fortunes decline as global financial markets plunge amid fears of inflation and rising interest rates. In total, the world’s 500 richest people have lost $1.4 trillion since the beginning of the year.
Changpeng Zhao, the founder of the world’s largest cryptocurrency exchange – Binance, has lost the most money on the planet this year, with $85.6 billion. He first appeared on Bloomberg’s billionaire rankings in January with a fortune of about $95 billion.
Elon Musk saw the second biggest drop, with more than $ 73 billion, as Tesla’s capitalization continuously evaporated. Investors fear Musk will sell off shares of this electric car company to raise money to buy back Twitter.
This is in stark contrast to last year, when the wealth of the world’s richest group increased by 8%, according to the recently released Capgemini World Wealth report. The data shows that Asia-Pacific billionaires have a 4.2 percent increase in wealth, lower than Europe and far behind North America. Part of the reason is that China tightens control of technology companies and the real estate market is starting to cool.
The data also reflects strong gains in the US stock market, inflating everything from cryptocurrencies to real estate. However, this is reversing rapidly as inflation accelerates, raising concerns about the Fed raising interest rates aggressively.
According to Capgemini World Wealth, the US, Japan, China and Germany are still the places where the majority of the world’s rich live. Nearly 64% of the world’s richest billionaires live in these four countries.
Tu Anh (according to Bloomberg)