How Elon Musk, Mark Zuckerberg and the world’s 500 richest billionaires lost US$1.4t

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A lot of wealth generation that happened during the last 3 years was proven to be ephemeral in 2022. One defies gravity until it doesn't and then getting crushed by it.

Of course, there are a lot of exceptions. Most of these exceptions did not "rocket to the moon". 

I think as OPMIs playing the long game, which most VBs are doing, it is about finding the most sustainable way to create wealth. One might have a low annual IRR but if this stretches over decades with WB-like longevity, we will get what we deserve. Everything all goes back to value investing rule number one "Don't Lose Money".

How Elon Musk, Mark Zuckerberg and the world’s 500 richest billionaires lost US$1.4t in a year

It’s not just the money that was lost, though it was staggering — almost US$1.4 trillion was wiped from the fortunes of the richest 500 alone, according to the Bloomberg Billionaires Index. Plenty of the pain, it turns out, was self-inflicted: The alleged fraud by onetime crypto wunderkind Sam Bankman-Fried; the devastating war waged by Russia on Ukraine that spurred crippling sanctions on its business titans; and, of course, the antics of Elon Musk, the new owner of Twitter who’s worth US$138 billion less than he was on Jan 1.

Combined with a backdrop of widespread inflation and aggressive central bank tightening, the year was a dramatic comedown for a group of billionaires whose fortunes swelled to unfathomable heights in the Covid era of easy money. In most cases, the bigger the rise, the more dramatic the fall: Musk, Jeff Bezos, Changpeng Zhao and Mark Zuckerberg alone saw some US$392 billion erased from their cumulative net worth.
I would think Adani also peaked this year and will go through some normalisation on their leveraged growth
Before you speak, listen. Before you write, think. Before you spend, earn. Before you invest, investigate. Before you criticize, wait. Before you pray, forgive. Before you quit, try. Before you retire, save. Before you die, give. –William A. Ward

Think Asset-Business-Structure (ABS)

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