Trump Would Be Richer If He Had Invested His Inheritance Into The S&P 500 | Forbes

Published: Oct 13, 2021 Duration: 00:03:52 Category: News & Politics

Tags : finance personal finance investing business Technology donald trump stock market trump stocks Forbes Forbes Media Forbes Magazine Forbes Digital Entrepreneurship president trump Billionaire donald j trump S&P 500 former president Donald Trump net worth Billions dan alexander trump net worth

Trending searches: how much money did trump inherit

so for a long time people have speculated and for many years they've gotten it wrong saying that trump would have been richer if he had just invested his inheritance into the s p 500 and not bothered with any of the real estate stuff that he's been up to for the last several decades and for a long time that wasn't true he actually had outperformed the market debt and a couple of smart deals and a couple of lucky deals meant that he'd done better than the s p 500 but all that changed in the middle of the pandemic so we currently estimate that donald trump is worth two and a half billion dollars if he had done nothing other than just take his father's money and put it all in the s p 500 and watch it grow for decades he would now be worth about 2.9 billion dollars so he'd be 400 million dollars richer than he is today in order to know whether trump has outperformed or underperformed the s p 500 over his life you have to be able to answer three questions the first is how much money did he receive from his father the second is when did he get that money and the third is what's he actually worth and for a long time no one could answer the first two of those questions but a few years ago we got that information answered in a story by the new york times where they explained that as of october 2nd 2018 if trump had invested his father's money into the s p 500 he would have been worth 1.96 billion dollars what we can do is then take that number and then move it as the s p 500 has moved over time and compare it to trump's net worth so we now have a day-by-day calculation that we can do saying did trump make more money making the investments that he made or would he have been richer if he just sat back lived a quiet life and stuck it all in the s p 500 so the real estate market has changed a lot during the pandemic all across the country and in most places it's done pretty well but one place that it hasn't done as well is in manhattan in new york city and that's where donald trump's holdings are focused so if you think about what he owns you know a lot of office space in a big city and also a lot of storefronts in a big city people weren't going to those storefronts anymore they were buying things on amazon that means that future tenants are going to be less likely to want to pay huge rents to the owner of that building donald trump for companies that are looking to lease office space they might not need as much office space anymore that means that they are going to be leasing less it's just a supply and demand thing therefore the office space that is currently built will be worth less so both of those two factors have hurt donald trump's net worth during the pandemic in addition to that you also have residential real estate that he owns in new york city and unlike a lot of other markets new york city residential real estate hasn't held up nearly as well comparing donald trump's performance to the s p 500 is admittedly a very nerdy thing to do and it's just an academic exercise you have to understand that by living the life that he did live he not only got to have a lot of fun building a lot of buildings and uh having fun in atlantic city sometimes not so much fun in atlantic city doing all sorts of things going on the apprentice buying yachts buying the plaza hotel all this crazy stuff all of which donald trump has loved he's loved doing all these business ventures he's loved being a famous person there's no way that he would have been president if he hadn't done what he did if he hadn't done all those business ventures if he just stuck his inheritance into the s p 500 sat back and done nothing nobody would even know who donald trump is instead what he's left with is this really exciting life but ultimately he's 400 million dollars poorer than he would be if he'd just taken it the easy way

Share your thoughts

Related Transcripts

Jessica Pegula Sees Big Opportunity With The Changing Field In Women's Pro Tennis

Category: People & Blogs

Intro [music] jessica it's so nice to have you here with us today thank you it's nice being here so you're one of the top tennis players in the world but you're also have a reputation as a bit of a late bloomer so yeah four years ago when you were ranked outside the top 100 did you ever think you'd... Read more

Love And Money: Why The Girlfriends Of Top Tennis Players Are Making Millions

Category: News & Politics

Today on forbes love and money why the girlfriends of top tennis players are making millions for many professional tennis players the us open represents the busiest few weeks on the calendar given the proximity to deep pocketed american brands it's a chance to schmoo current sponsors at events off the... Read more

Volkswagen And Rivian Team Up To Rival Tesla

Category: People & Blogs

Today on forbes volkswagen is investing up to5 billion in rivan upstart electric vehicle maker rivan said earlier this week that volkswagen is investing up to5 billion in the electric vehicle maker and that the two companies are forming a joint venture to develop an automotive software platform based... Read more

Steve Ballmer On The LA Clippers New Home the 'Intuit Dome'

Category: People & Blogs

Introduction here at the 2024 nba allstar game in indiana the 24th annual nba tech summit and i am joined by the ninth richest person in the world steve bomber how you doing sir good good thanks jar i what steve ballmer has learned at the nba tech conference appreciate uh listen i was watching you on... Read more

Richest In West Virginia: How Marshall University's President Made His Fortune

Category: People & Blogs

Ever heard of a guy who went from tech titan to university president that's brad smith folks west virginia's richest resident traded silicon valley for his alma moder marshall university in 2022 he became the first alumnist to lead the thundering herd brad was formerly the ceo of inuit the company behind... Read more

Here's How Much The Billion-Dollar Mega Millions Jackpot Winner Will Take Home

Category: People & Blogs

A single ticket holder from new jersey won the $ 1.13 billion mega millions jackpot the biggest lottery priz of the year so far although they will take home a significantly smaller amount after paying their taxes mega millions said the ticket sold in new jersey was the only one to match all six numbers... Read more

WATCH LIVE: Trump Accuser Jessica Leeds Holds Press Briefing Outside Trump Tower In New York City

Category: News & Politics

E e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e you spoke on fr yes yes all right um hi everyone thank you all for being here today um as many of you know jessica leeds uh is a courageous voice among the women who have come forward with allegations against uh allegations... Read more

UK Latest Starmer Says October Budget Is Going to Be Painful

Category: News & Politics

I will be honest with you there is a budget coming in october and it's going to be painful we have no other choice given the situation that we're in those with the broadest shoulders should bear the heavier burden and that's why we're cracking down on noms those who made the mess should have to do their... Read more

UK Latest Starmer Says October Budget Is Going to Be Painful #shorts

Category: News & Politics

UK Latest Starmer Says October Budget Is Going to Be Painful #shorts

Category: News & Politics

That is not the position we should be in it's not the position i want to be in but we have to end the politics of the easy answer obviously um the budget is uh in a number of weeks and the detail will be set out there but i say again what i said before the election which is um we have to get away from... Read more

Tim Cook: China Stopped Being The Low Labour Cost Country Many Years Ago 🇨🇳

Category: Education

There's a confusion about china that uh and let me at least give you my opinion the the popular conception is that companies come to china because of low labor cost i'm not sure uh what part of china they go to but the truth is china stopped being the low labor cost country many years ago and that is... Read more

Dell soaring on Q2 earnings beat, server sales growth

Category: News & Politics

Shares of dell now as its second quarter results hit the wire taking a look at the numbers here you can see the stock is having a positive reaction i'm going to tell you why right now operating income was the key figure to watch as operating margins fell by double digits in q1 that number came in at... Read more