Tech, Tech, Tech
Jean Paul Getty, was an American born British petrol-industrialist, and the patriarch of the Getty Family. In 1957, Fortune magazine named him the richest living American, and in 1966, the Guinness Book of Records named him the world’s richest private citizen. At the time of his death in 1976, he was worth approximately USD 6 billion (or an inflation-adjusted USD 27 billion today).
In his lifetime, he founded over 200 companies including Pacific Western Oil, Tidewater Oil, Skelly Oil, Petroleum Corp of USA, and course Getty Oil. When asked about his success in life and business, J. Paul Getty famously said: “My formula for success is rise early, work late, and strike oil.”
Today, striking oil is not the pre-eminent route to financial wealth. It is technology. The latest close on the Nasdaq Composite at 10,767.09 is exactly 20% rise for 2020. For the year, FB is +19.57%. AAPL is +33.98%, AMZN is +73.00%, GOOG is +17.11%, and TSLA is +292.75%! The personal fortunes of the people holding major stakes in these companies have risen accordingly.
Today, fortunes are made specifically by entrepreneurs starting, owning and retaining large positions of stock in the companies they created. Present day billionaires are entrepreneurs who take their company public and continue to grow them. Present day equity ownership in the largest, fastest growing and most dominant companies, is the greatest driver of wealth, and it’s pre-dominantly in the tech sector.