billionaires: emerging trends - family office club · billionaires in bloomberg’s billionaire...
TRANSCRIPT
Billionaires: Emerging Trends
By Richard C. Wilson
Sponsored by Family Office Club
Visit FamilyOffices.com for membership options or call (305) 503-9077.
The Family Office Club is the #1 largest family office association globally with Over 1,000 registered family offices. We have the #1 most attended U.S. family office conference series, and the bestselling book in the industry.
Our platform business model approach allows us to provide family office training, conference, investor data, executive search, and single family office creation andmanagement services all through the Family Office Club brand and relationships.
Today’s Webinar
• Billionaires
• Fundamentals of Billionaires
• Estimates of the Number of Billionaires
• How Billionaires Made Their Fortunes
• What Billionaires Invest In
• Billionaire Case Studies
Who are the Billionaires?
You’ve Never Heard of Most Billionaires…
Pierre BellonFrench Food Services - $4.4B
Dmitry Rybolovlev,Russian Fertilizer - $7.7B
Harry Stine,Agriculture - $3.5B
The U.S. has 540 billionaires, more than any other country in the world. It’s followed by mainland China with 251 (Hong Kong has another 69) and Germany with 120. Russia has 77, ten-figure fortunes, 11 fewer than last year, while Brazil is down 23 to 31.
Forbes 2016 Billionaires Report: http://www.forbes.com/sites/luisakroll/2016/03/01/forbes-2016-worlds-billionaires-meet-the-richest-people-on-the-planet/#152d2d1141cb
How Billionaires Made Their Wealth
1. Investments: 148
2. Fashion and Retail: 146
3. Real Estate: 129
4. Diversified: 125
5. Food and Beverage: 100
6. Technology: 95
7. Manufacturing 89
8. Energy 83
9. Finance 78
10.Media 69
Source: http://www.forbes.com/sites/erincarlyle/2013/03/07/how-the-worlds-billionaires-got-rich/#e7c7eb14a0b3
Mobile Ultra-Wealthy
Chart Source: 2016 Knight Frank Wealth Report
Source: Knight Frank 2015 Wealth Report
Billionaire Producing Industries (By Region)
Asia-PacificReal Estate: 71Diversified: 52Manufacturing: 41Fashion and Retail: 29Technology: 26EuropeFashion and Retail: 62Investments: 31Metals & Mining: 30Energy: 26Food and Beverage: 26Middle East & AfricaDiversified: 36Construction & Engineering: 9Finance: 8Metals & Mining: 7Food and Beverage: 6
Source: http://www.forbes.com/sites/erincarlyle/2013/03/07/how-the-worlds-billionaires-got-rich/#e7c7eb14a0b3
The AmericasFinance: 21Fashion and Retail: 19Food and Beverage: 16Diversified: 14Media: 11USAInvestments: 102Technology: 53Media: 34Energy: 33Food and Beverage: 33
Billionaire Citizenship
Visual Capitalist: http://www.visualcapitalist.com/visualizing-worlds-top-50-wealthiest-billionaires/
Average Billionaire Age
Visual Capitalist: http://www.visualcapitalist.com/visualizing-worlds-top-50-wealthiest-billionaires/
1. New York Billionaires: 79Combined net worth: $364.6 billion2. Hong Kong Billionaires: 68Combined net worth: $261.3 billion3. Moscow Billionaires: 60Combined net worth: $217.6 billion4. Beijing Billionaires: 51Combined net worth: $149.9 billion5. London Billionaires: 48Combined net worth: $187.7 billion6. Mumbai Billionaires: 32Combined net worth: $115.1 billion7. Shanghai Billionaires: 31Combined net worth: $66.1 billion8. Seoul Billionaires: 30Combined net worth: $73.9 billion9. Shenzhen Billionaires: 30Combined net worth: $78 billion10. San Francisco Billionaires: 28Net worth: $74.5 billion
Billionaires by City
Source: Forbes 2016 Billionaires Report: http://www.forbes.com/sites/katiasavchuk/2016/03/01/new-york-most-billionaires/#2120dd9e2565
Billionaires by Citizenship
Source: http://www.bloomberg.com/billionaires/2016-05-02/aca
Billionaires by Gender
Source: http://www.bloomberg.com/billionaires/2016-05-02/cya/aqaaa
Inheritance
Some of the largest billionaires in the world inherited their wealth, as family businesses are passed down through generations. The total inherited wealth of billionaires in Bloomberg’s Billionaire Database was $866.3 billion, showing that there is significant wealth inheritance driving the growth of billionaires.
Source: http://www.bloomberg.com/billionaires/2016-05-02/aaa/faaaa
But Most Billionaires are Self-Made
More billionaires in the Forbes 400 are self-made than ever before. In 1984, the majority of members of the Forbes 400 had inherited their wealth in some way. Forbes has scored their list on a 10-point scale with those who inherited all their wealth as a 1 (think Christy Walton) or those who benefited in some way such as inheriting a small or medium-sized business as a 5 (think Donald Trump) all the way to entirely 100% self-made billionaires at a 10. You can see how things have changed since 1984.
Source: Forbes Link.
Lasting Billionaire DemographicsFrom 1995 Study by PWC those surviving as Billionaires had following demographics:
Source: https://www.pwc.com/gx/en/financial-services/publications/assets/ubs-billionaires-report-2015.pdf
Billionaires Starting Single Family Offices
Chart Source: 2016 Knight Frank Wealth Report
Example Billionaire Family Offices
Bill Gates: Cascade Investment
Sergey Brin: Bayshore Global Management
Mark Zuckerberg: Iconiq Capital
Paul Allen: Vulcan
Eric Schmidt: Hillspire
Billionaire Philanthropy
Source: Wealth-X 2015 Philanthropy Report
Source: Wealth-X 2015 Philanthropy Report
Governance & Family Communications
Billionaire Case Studies
• Real Estate Billionaire Client: 35 Entities 90% Real Estate - $5B a year in revenue
• Food Industry Billionaire Client: 50 Professionals – only investing in food and real estate
• Food Industry Billionaire Family: 20 Professionals Lifted out of Private Equity – Consumer Products & Food Focused
• Soon to be Billionaire Client – 100+ LLCs in 10 Industries – only 6 professionals at the core
• $880M Florida Family – Staff of one, the son. Everything else outsourced
Billionaire Real Estate Investing
Billionaire Investment Focus
UBS/PWC 2015 Billionaire Report: https://www.pwc.com/gx/en/financial-services/publications/assets/ubs-billionaires-report-2015.pdf
Full Chess Board Portfolio
Making Billionaires Richer
• Grow Value of Holdings• Identify Acquisitions• Get Them Insight• Make Introductions
• Wine & Property Management Examples
The Brian Tracy Character Test
28
Expedient or Done Right?
Attracting Billionaires
100+ Billionaire & Billionaire Family Office Clients & Relationships
$100M+ and $300M+ Reality
Peter Thiel - The Future of the Billionaire Space
Connect Directly
Richard C. WilsonCEO/Founder
Wilson Holding CompanyDirect Line: (305) 333-1155
328 Crandon Blvd. Suite #223Key Biscayne, FL 33149
Disclaimer