Proof that no one is immune to the effects of the global economic slump comes in the latest Forbes rich list. They say that anyone can make a fortune during a boom time, so it seems fitting that when it comes to bust, the world’s wealthiest entrepreneurs have seen an average 23% wiped from their fortunes.
In fact, the number of billionaires has shrunk by almost 30% during the last twelve months, with last year’s all important rich list being made up of 1,125 dollar billionaires and this year’s featuring just 793.
Many bankers and fund managers have fallen off the bottom of the list, whilst Warren Buffett, the revered investor, has been overtaken by Bill Gates to the number one spot. Mr Buffett watched his wealth contract from £44 billion to £26.7 billion in 2008 as his empire Berkshire Hathaway did some “dumb things in investments.”
For the 28 billionaires living in London, times are just as volatile. Sir Richard Branson has lost over £1.4 billion, to bring his bank balance down to £1.8 billion, whilst retailer Sir Philip Green has been left with £3.5 billion, suffering a loss of £2.6 billion.
Other losers in the capital include Chelsea football boss Roman Abramovich and Indian steel tycoon Lakshmi Mittal, who have lost £10.9 billion and £18.1 billion, respectively.
Editor-in-chief of business magazine Forbes, Steve Forbes, said: “The global economy has been battered by a financial hurricane which has brought devastating damage. It's no surprise that billionaires are being battered along with everybody else.”
However it remains to be seen whether the billionaires have been battered so much that they’ve switched from Harrods Food Hall to Tesco’s Value range… maybe by next year.
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