I think it's more absurd that 500 people have enough money combined to have an unrealized loss of 35billion dollars within a day on the stock market. Headlines saying people 'lost' money in fluctuation of the stock market is annoying as well. Unless someone's company is tanking, they didn't lose shit.
Better cut back on the avocados.
Maybe we can start a GoFundMe for them?
They have a combined net worth of $4.9 trillion, up $455 billion in 2017.
If this wasn't just changes in valuation they could pay every person on earth $50 with just their earnings in 2017.
They haven't lost a penny....the market goes down, the market goes up. Until you sell, you haven't lost anything. When the market goes down, investors with cash on the side will, many time, invest more because of the cheap price. Giving them more money in the long run
This is why people are saying this system is so utterly broken. It doesn't require 'redistribution of wealth' to fix this. We just need a system where these super rich people only have like 10 000-100 000 times the wealth of a normal person, not millions of times. It'd still be insanely unethically too much.
"but they earned it! You're just lazy and want free stuff!"
Yeah this shit is just absurd.
"You wish your fathers grandfather worked as hard as mine did!"
Free shavaca do.
They take care of that. It's called interest.
"Oh no! My millions and millions of stocks aren't worth as much as they were yesterday but they'll be worth a lot again in a week!!!!"
That is the dumbest article ever saw in Blooomerang. In 2 days they gain 25 Billion, then they lose. The graph is RIGHT THERE
Yay! Imaginary wealth disappears!
Haha what a garbage article. I mean, look at this .
TURMOIL! GLOBAL MARKETS PLUMMET! (to where they were 3 business days ago)
Let's take a look at how our favorite celebrity billionaires are nominally affected by this normal market fluctuation.
I thought it was called Tax Loophole
The headline makes it sound as if they lost actual money, but really, they lost that much value. It also doesn't say that that value won't ever recover.
Aww. They will have to wait an extra month to get that gold plated shark tank. My heart bleeds.
I think its more related to your circumstances than actual brain power. Maybe they had a spare 50K lieing round and thought fuck it lets do this? Maybe the founder took out a loan from the bank knowing that if he failed he could always fall back on his family (not necessarily in terms of money but a place to stay if you lose your house for example).
Obviously its not just luck but being able to concentrate your brain power, however much it may be, to your business instead of worrying about what youre going to eat or where youre going to live if everything goes belly up a few weeks/months down the line.
Yeah, the concern shouldn't be about the millionaires loosing their money, it's the common person loosing his/her job, benefits, cut in salaries etc. The 500 richest people will just continue earning back their millions continuing to piss on the people below (with a few exceptions but they're far in between).
And just look at the graph in the article:
The money they 'lost' had been 'made' over the previous two days.
I ate one avacado toast once. Now homeless.
Avocado Toast, not even once.
It's avocado spread on top of toast, tastes nice, but you can't afford a house if you get it.
Adding Trump to any story sells.
I don't understand the stock market. No matter how many times it is explained to me. It just seems like its all built on bullshit. Pretend money.
1000/day with 500 trucks would be 500k a day or just about 180m a year.
Decent earnings for a company.
Then realize your company would have to make that same profit for five times the length of human civilization before it earned 4.9 trillion dollars.
Your company and everyone working for it would need to earn that every day for 27,000 years in order to equal what these 500 people currently have. And this isn't even counting the fact you're also paying taxes, salaries, overhead, etc.
Man will reach Alpha Centauri before your company makes a trillion dollars.
Half of it is pretend money, in a manner of speaking.
Imagine your friend has a company and he asks you to invest your money in his company. A first step might be to take a valuation of his company's tangible worth. Say you talley up all his assets i.e. equipment he has to run his company and come up with (for the sake of an easy example) $100. So if he sold everything he had to run his company, he would get $100.
Now lets say he is splitting his company up into 100 stocks. Per the valuation, at this point, 1 stock is valued at $1.
Then he explains his business idea. It exploits an untapped market for fidget spinners. He shows you his charts and graphs and future earnings models, and it seems a pretty clear bet this company will enjoy a sustained %20 growth for the next 5 years.
Five years of growth at %20 - $120, $144, $172.8, $207.36, $248.83
In five years your single stock purchased for $1 will be valued at $2.48.
But your friend knows this as well, so he is is selling a single stock in his company at $2 per. So you buy 30 stocks for $60. You now own 30% of the company, and your friend has already recouped 60% of his initial investment into the company, which he then further invests into his company by buying more equipment, which also raises the value of the company, thus the stock.
For real though I was livid with that comment. Sweet to see the tables turn.
The problem is a culture that equates net worth with success. Idiots and mediocre minds alike love to find shortcuts in the process of estimating others. Not able to analyze actual cognitive performance, they must rely on social cues for assessments. Ultimately the masses will always "look up to" outliers on the high side in terms of finances.
As such, rational people simply cannot do enough to undercut social conventions that associate either wisdom or intellect with unconnected phenomena like net worth and fame. Literally no one is influential enough to begin to get America on the wrong side of any happy medium that might exist in the realm of wealth-adoration. Yet this tendency to look at people as "elite" for all the wrong reasons is crucial to the manufacturing of consent by which slim majorities of the 90% can be convinced to think of oligarchs as their "betters."
Long story short, the concentration of power in the hands of the least needy (and typically also in the ballpark of least worthy) individuals is an inescapable capitalist reality. If we want to stop seeing rich assholes run the show for all of us, we need to escape capitalism rather than keep pretending there is a right way to make hereditary financial dynasties harmonize with broad prosperity.
To be fair, a lot of people could have come up with frozen water. Here I am though, who worked in an ice company that is family owned and makes tens of millions of dollars. Just by selling frozen water in bags. The machinery really isn't even complex, but freeze it in pipes, chop it up, bag it, sell it. I'm not sure if they were just smart, or my family was just dumb to not think of that, and the business is fairly new too, like the current owner is the son of the founder.
Someone get this man some Karl Marx literature.
Remember when Gates sait all billionaires should donate 99% of their wealth? Or was it only him?
It's called The Giving Pledge, and was pioneered by Gates and Warren Buffett. The pledge is open to any billionaires who wish to commit to it, giving away at least half of their net worth to charity over the course of their lives. Bill Gates and Buffet are giving away 99% I believe.
I'm not a fan of trump, but like damn, are we just blaming everything on him now? How can this article prove the direct correlation of trumps actions to specific stocks falling? (Serious question)
I mean if that's the way you want to look at it, then fine. It's up 3,000 since his election and down 372 today. I'm sure all stock owners are just so regretful over a Trump presidency with their massive gains over the last 6 months.
Remember when Gates sait all billionaires should donate 99% of their wealth? Or was it only him?
Tax the rich, don't tax robots (rant off)
Smashed avo accounts for half of millennial spending, so I hear.
Facts don't matter. This article reflects poorly on Trump. Upvote to the front page or else.
Dont worry, they will just cut your wage at work.
Who did they lose the money to?
The theory is, if they sold all their assets for the perfect market value, without considering tax and capital gains... the person would have $........
So because the market fell, they lost value, thus they lost money, as the potential sale of all their assets is worth a lot less than they could have gotten before.
I see nothing wrong with a healthy dose of capitalism, I just think it needs to be build on a foundation of socialistic ideas. We can set a standard for ourselves, something we think all humans should have, a minimum. Anyone who wants more than that can use the capitalistic system to get it.
Basically, we all agree that working hard and doing well in society should be rewarded with more wealth, but let's not kill each other over it, let's be supportive of people who do not wish to pursue it. Let's be happy to live in a society where people also have the choice to follow other life choices and not end up in a ditch under a bride. This doesn't even include people incapable of participating in a system like that, who also deserve an existence.
Just my 2 cents.
Actually no. Bill Gates did more for the world as he was building his fortune than he could ever do giving it away. Think about the wealth, productivity, and human flurishing generated by the multiplier effect associated with the creation of Windows. He literally created trillions of dollars of utility for others around the world, but will only be able to give away a few billion during his lifetime.
Yea. Don't worry. It'll trickle down.
If all the super rich used their money way Gates did we would live in a pretty great world
I don't know, maybe we can start a GoFuckYourself.
Using force to seize people's assets is pretty far from humanitarian.
What's the difference nowadays?
Is it, though? I mean at what point does the suffering of millions of people supercede the right to private property of 500 people?
It's crazy to think just how much he/they earn that they can give away 99% and still live comfortably. Without giving away any i still consider having 2 jobs because i don't earn enough.
Actually, they made $39 billion just the 2 days before the day of the $35 billion loss. So in other words, they still made $4.9 billion in 3 days.
You would have a better chance convincing those 500 to willingly give it up
It's essentially ownership of companies, split up into units called shares.
Companies that are profitable provide payouts to shareholders via either:
Buying back shares(making the shares worth more as they end up representing more of the company)
Issuing dividends, payments sent out to shareholders.
Investing it in activities they believe will grow the company, increasing the company's value
Shares of companies that aren't profitable are purchased based on speculation that they may become profitable in the future. For example, AMD's share price skyrocketed from under $2 to over $10 due to a new product that people expect to make them profitable in the future.
Stocks aren't just for rich people. Pension funds and retirement funds generally hold stocks. I currently work a job that would probably put me in the bottom 50% of wage earners, but I throw a portion of my money into stocks and stock mutual funds because I want my money to grow in the long term for retirement.
Thing is, stocks are not tied to company assets. You can not exchange stocks for a part of assets needs be. Once IPO happens, stocks enter a secondary market and the only value they have now is resell value and a hope of getting dividends.
And with some companies having a policy of not paying dividends their stocks are just useless paper backed only by a hype of market speculations.
Agreed, I'm not a fan of Trump's administration, but this is getting to "Thanks Obama" levels of circle-jerking (minus the self-awareness).
For the ~80% of people (yeah I pulled that number out of my ass) who think this actually holds up:
It takes a few thousand people to build a corporate empire like Nestle or Unilever. Why does one or a few greedy asshole(s) get to reap all the rewards of those thousands of people's hard work?
All I remember was that the founder started off with a small ice machine while working at an Acme, and just grew from there. Just that guy that sold ice to people on a sidewalk during the summer. It was very very low budget, and I have no clue what he would have been lent in the 1960s. Now that company brings in $1000/day(minimum) in the summer for each truck that goes on a route. Can't say how many trucks, but it is a hell of a lot.
Communism isn't about denying all rewards for work. Of course, Reddit communism appears to be mostly about safe spaces and memes, but grown-ups understand that it is about public ownership of large enterprises. At the level one is able to derive passive profit from the labor of others, capitalism is literally diverting rewards away from work rather than channeling them into it. This is the heart of the problem, yet it is precisely about the issue you've pointed to as an asset of the ideology.
Reddit in a nutshell
I'm outta the loop, what comment?
At this stage, I wouldn't think of it as earning. It's return on capital investment - he gets the same return whether he's working or sleeping.
We like to talk about people like Bill Gates because he fits our picture of a self-made man that's built something (and it helps that he's such a great humanitarian). But there are a lot of super rich people that just inherited their wealth and also have a great return on their capital so they don't have to work at all, and never did.
Though they still do count for some % of ownership of a company which actually matters when huge swathes of investors get pissed about something. When large chunks of shareholders get angry stuff changes at the company. New CEO, for example.
The power of stocks is that sure, their value is arbitrary on the secondary market. But if the value of a stock tanks then someone with enough purchasing power could buy controlling portions of a company.
I don't even know what avocado toast is...
Bill Gates is worth 10 million times more than me.
They may end up Summer homeless!
TBF hes given away more than a few billion already and still has many more to give.
Yeah I'm confused. Who did they lose the money to? Are there people out there that got a share of this money, or is it just gone?
Everyone hates taxes, but they're sometimes necessary.
What a stupid title. It should just read "Stock market dips a bit".
This is one of the biggest bull runs ever.
You don't lose money until you sell.
sexsells = trumpsells
(1/sells)sexsells = (1/sells)trumpsells
sex = trump
source: mathematics minor
Sex sells. Trump news sell just as good too.
This is the most accurate and succinct answer. Wealth at that level is more like leverage on global markets rather than calculable assets.
It's all that avacado toast the've been eating! What does that cost? $200?
But it is utilitarian.
Lol these headlines are ridiculous. Anything to try and make trump look bad.
Don't mention that the only reason the stock market is at record highs is because trump actually has a plan to bring jobs back to the United states.
RECORD HIGH stock market.
Edit: Downvote the truth. No wonder you delusional idiots keep losing
they only lose if they realize those losses and sell their portfolio
Yes, that's why we can't afford houses in NZ.
The DJIA dropped 300 points today, leaving it 15.5% higher than it ever was under Obama, still well over the record 20,000 threshold from the Trump Boom. Sure, it's Trump's fault that we had one day of losses, just as it was that we had 120+ days of gains.
Where do you get this insane history from. The Soviet union started out with downright medieval conditions in many parts of the nation, yet catapulted into the space age, making even Uncle Sam rush to catch up. If you want to compare innovation to innovation, we've got way less to brag about. Heck, we can't even be bothered to teach the importance of considering starting conditions in an evaluation of this nature.
Nah they still have plenty of money for the gold plated shark tank. I guarantee you this changed nothing about their lifestyles
whats even more absurd is their income growth rate.
the last i saw the richest 400 americans had 2.3 trillion dollars which more than doubled over the 5 years from 2009 to 2014.. normally its about every 10 years, they double. and yeah they were at a low point in 2009 but still. Most americans didnt see their wages double from 2009 to 2014.. but the trumps of the world say we need to give these people whose wealth doubles every 10 years, a massive tax break to bring back good jobs,.
This is true, although when we consider the assets compose a sum larger than what 99% of the rest of people have, one must consider what constitutes such a large amount of the worlds currency to be considered "their assets". The argument for me is with them being allowed to control that much wealth in the first place. I think leaders of businesses, CEO's, and successful people should absolutely be paid more for their importance and efforts. I just don't think it should equate to an asinine amount at the expense of everyone else's well being, or that they should be allowed to rig the system with their wealth to avoid taxes and make more money. It would seem the tenants of humanitarianism would favor the masses interest's over just 500 individuals when there's such a forced economic rift in society.
Would you like to discuss Hillary's emails? Lol.
There are different funds with different risk levels.
For example, throwing all your money into a single stock is extremely risky. So people usually "diversify" by putting their money into a large variety of stocks, such as an index fund.
Even with a stock index fund, there are times where the entire index drops a huge amount like 50% over a couple years.
Some funds target a few companies or a specific sector, other are very broad. I was doing Fidelity Contrafund, but now I'm thinking of switching to a Total market index, which invests in thousands of different companies.
To reduce investment risk, you can invest in "safer" assets like investment grade bonds.
And you realize holding cash is risky too, right? You're losing value to inflation every year. What if we have another high inflation period like the 70's/early 80's where inflation was >10%? You'd be killing your savings not to invest it.
Not to mention the Trump bump. The S&P went from 1.800 to 2.300 since Trump got elected which is pure madness. So these people lost 35 billion in 2 days after making trillions in the last 6 months.
Woah slow down! It just means overtime is cut for everyone else.
Found someone who wont get hired in a newspaper
Yeah. Letting money sit and grow in billionaire's bank accounts is much more compassionate than helping people who go to sleep hungry.
Misleading title, 35 billion is jack shit for these people. Imagine having $1000 in your bank account and losing 7 bucks.
Yeah. :\ I'm in a real tough spot. Just had to take out a second mortgage on my avocado toast.
It wasn't Bill Gates who did that. It was the thousands of people working for Microsoft that did it.
Your father gave him a blanket with an incurable disease to kill him and steal his land.
You wish your fathers grandfather was as clever as mine !
They really mean the fake news turmoil since it now looks like:
A. Seth Rich was the DNC leaker, not Russia.
B. Putin offered transcripts to prove that Trump didn't pass secrets to Russia.
But nevermind the facts, we have to go by what is upvoted most on reddit...
Except for that part at the beginning where the market almost shut down it dropped out so fast...
Since Trump has been elected the stock market has seen record increases. If they lost 35 billion these past couple days then they still must be +500 billion since Trumps election.
Fake and misleading news
They should buy less diamonds.
Im not there for either, but the left seems to have a hard time leaving him alone for anything. I blame them more for the lack of confidence in him than his own actions. No he isnt the greastest ever, but this is getting ridiculous when you look at any source of media. They have been berating him non-stop since he took office. TV shows, the news, talk show hosts, you name it. Its non-stop shit talking and criticism. I mean really, the fact that he got two scoops of ice cream was world news.
Obama did me a solid and gave me 8 years of gains.
The point is that 100 people might be starving just so 1 guy can have 5 houses each with their own pool. There's a point when there's excess, which is only a problem because other people experience shortage. That's why I believe if we just set a standard of living for ourselves, a kind of basic existence (basically food, roof, clothes, education, health and access to internet), we don't have to worry about that excess. Sure, let the guy have 4 houses and 4 pools, it's not harming anyone at that point.
I would launch an immediate investigation into the loss of that 7 bucks. Anything that takes you from a thousandaire, to a hundredaire must swiftly be dealt with!
He claims all the gains, he deserves all the loss. http://www.marketwatch.com/story/when-it-comes-to-stock-market-talk-obama-trumps-current-presiden...
By that logic, things like the French Revolution never ought to have happened. Yet it's regarded as one of the turning points in the history of western democracy.
Plus, I'm generally not a fan of slippery slope arguments (nor of the "violence is never a solution" argument, because, historically, it very obviously often is).
Don't get me wrong, I'm not calling for a violent uprising here, I certainly wouldn't want to participate in one. But when I look at numbers like these, I'm honestly surprised it hasn't happened yet.
Lol Trump's gonna run for president, lol Trump thinks he can make it to the finals, lol Trump thinks he can beat Bernie, lol Trump thinks he can beat Hillary and actually win the presidency.
Lol lol lol and lol.
But accumulation of wealth is the central part of capitalism
He is not really directly nor is he totally responsible for either but part of the valuation is confidence in stability and Trump doesn't really inspire stability.
The second one, 100%.
They were screeching for a special counsel, got it, and they're already backpedaling.
Meanwhile, the American people lose because democrats are a bunch of fucking crybullies.
Remember when they said how dangerous and unprecedented it would be if trump didn't accept the election results, because they thought they'd win? And sally kohn said how if Hillary lost, her supporters would be sad. But trump supporters would be angry and violent?
Fuck the left.