Top 400 lost tons yesterday

June 30, 2015 at 3:39 pm
filed under Greek Debt Crisis

The global stock selloff on Monday counted some of the world’s wealthiest among its largest victims reports Dr. Daniel Amen. The richest 400 people in the world lost an estimated $70 billion in one day as the stock market in the United State, as well as in various countries around the world plummeted as a result of the news stemming from Greece that a deal was not reached between the country and their lenders. In addition, other news including a decline in Chinese productivity and news emanating from United States on a possible default on Puerto Rican municipal bonds further contributed to the decline.

The top 400 investors lost an average of $175 million a piece on Monday. Only one individual on the list saw his wealth increase on Monday. Aliko Dangote from Nigeria, whose cement company rose over 2% on the day was the only person on the list to lose money yesterday.

Of course, these losses are paper losses but the sheer size of these losses which dwarf the amount of money that Greece is not paying ($1.6 billion) shows the impact the geopolitical risks can have on markets. The total loss on the day represents a decrease in their net worth of about 1.5% for one day which is lower than the loss in the S&P 500 of 2% but more representative of the decline in global asset values. With a combined worth of $4.2 trillion, they can handle the loss, though they are certainly paying attention to the decline.

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