Should You Invest in Their Companies?


In this article, we take a look at the 30 richest families in the world.To skip the detailed analysis, go directly to 10 richest families in the world.

When we think of the richest families in the world, we cannot help but think of the unequal distribution of resources that make this situation possible. The world now has enough resources to feed the population, but the majority of people cannot enjoy even a decent standard of living, and the rich enjoy a life of luxury that we cannot even begin to understand. Global GDP has quadrupled since 1980, but living standards have not increased evenly as most of the wealth is concentrated in the rich. This means that while wealth has been created consistently over years and decades, so has global inequality. Of course, this does not mean that everything is hopeless. After all, many countries are working hard to reduce extreme poverty, with some success. This is probably the result of globalization and trickle-down economies. But it’s also important to emphasize that the problem has not been eradicated.

Income inequality has never been greater, with the world’s richest 1% owning an astronomical 46% of the world’s wealth, according to Inequality.org. This of course means that the remaining 99% of her will have much less left to sustain herself and the cycle will continue. Interestingly, while lack of opportunity, corruption and intergenerational wealth drive income inequality in developing countries, wealth spread is also highly skewed in most developed countries, with the United States leading the way. is the worst. That’s also why most of the world’s 30 richest households are in the United States.

richest family in the world

richest family in the world

Chailuk Charathai/Shutterstock.com

The divide between rich and poor has been clear to everyone for some time, but if there was any doubt, the pandemic has erased all that. After all, wealthier countries can stockpile more vaccine than they need, while low-income countries struggle to vaccinate even a small percentage of their population, while vaccine distribution is One can simply imagine how unequal: In mid-January 2022, the number of vaccinations per 100 people was 13 times higher in high-income countries than in low-income countries. That’s one way of looking at it. Another way of looking at it is that people in low-income countries wouldn’t be able to get his one dose of vaccine if it weren’t for a rich country technologically advanced enough to invent a vaccine in such a short time using entirely new technology. It means no. of the vaccine.

Another startling statistic is that even at a time when job insecurity was rampant and big companies were laying off tens of thousands of employees at once, billionaires enjoyed unprecedented wealth, and by 2020 3 The total wealth of billionaires worldwide increased by $3.9 trillion from March to December. At the same time, as unemployment reached record levels in many countries, the income of the world’s workers fell by her $3.7 trillion.

So how do the richest families in the world get their wealth? Children typically take ownership of the company, and as a result, the wealth is passed on to the family. This wealth is often passed down from generation to generation, so wealth continues to accumulate within the family, increasing net worth as businesses and investments continue to grow. Perceived to be more trustworthy, family-run businesses have been shown to be more successful than regular businesses.

Academic research on the success of family-owned businesses

Many studies, especially over the past two decades, have examined whether family-run companies are objectively more successful than faceless companies, considering markets in countries as diverse as the United States to Italy to Vietnam. It’s a problem. According to a professor at the Harvard Law School Forum on Corporate Governance, investors tend to value family-run companies more, especially if the founder is also his CEO. of the founding family with strong incentives to oversee. There is also evidence to support this, with family-owned acquisitions and divestitures yielding better returns for shareholders compared to non-family-owned acquisitions and divestitures. A study conducted by the Family Business Stock Index compared the performance of family-owned and non-family-owned businesses and found that between 1976 and 1996, the former earned 16.6% of his profit, while the latter earned a meager 14%. If we look only at stock prices, not total returns, family-owned stocks rose 13.9%, while non-family-owned stocks rose just 9.6% over the same period, an even bigger difference. I was.

A similar study conducted by the University of Pavia’s Faculty of Economics and Management on the Italian stock market in 2022 found that family-owned companies significantly outperformed non-family-owned companies. The study finds that founding family companies focus on growth investment styles, and that companies where founding family members are also CEOs have better long-term returns due to stronger motivation and long-term thinking. , suggesting that they are performing better. .

Investing in family-owned businesses may not be the best strategy, but they seem to outperform the market. As such, this article looks at some of the richest families and the largest family-owned businesses.

Most of the richest people in the world are very philanthropic, often donating tens of millions and sometimes billions of dollars. The billionaire community’s most generous donors have donated a combined $169 billion in their lifetimes, yet their wealth continues to grow. Amazon.com, Inc. (NASDAQ: AMZN) founder Mackenzie Scott, ex-wife of her Jeff Bezos, donated her $5.8 billion to hundreds of groups in 2020, June 2021 In , she announced another donation of $2.7 billion and got off to a good start. To let go of property fastest in history.

The wealthiest families in the world have a combined net worth of about $1.7 trillion. This does not include individuals such as Elon Musk and Bernard Arnault, who have a much higher net worth than most of the families on the list. Decided. So, without further ado, let’s look at the top 1% of the 1% starting at number 30.

30. The Marshall Family

Family Total Net Worth (Billions): $18.5

The Marshall family fortune stems from an ancestral partnership with the Koch family decades ago.

29. The Brown Family

Family Total Net Worth (Billions): $20.4

The Brown family owns Brown-Forman Corporation (NYSE:BF.B), best known for its Jack Daniel’s brand.

28. Hurst Family

Total Family Net Worth (Billions): $21

The Hearst family may not be on the list of the richest families in the world as their fortune from broadcasting and publishing companies has continued to dwindle over the years.

27. The Mills Family

Family Total Net Worth (Billions): $26.2

The Mills family owns Medline Industries, which manufactures and sells pharmaceuticals.

26. Mistry Family

Family Total Net Worth (Billions): $27.4

India’s second richest family owns Shapoorji Pallonji Group, India’s leading conglomerate.

25. The Cox Family

Total Family Net Worth (Billions): $28.3

The Cox family owns Cox Enterprises, which operates in the telecommunications and automotive industries.

24. Dassault Family

Family Total Net Worth (Billions): $28.5

The Dassault family owns Dassault Systèmes SE, a French software company engaged in the development of 3D product design, simulation and manufacturing.

23. Kwok Family

Family Total Net Worth (Billions): $29.2

Among the richest families in the world, the Kwok family owns Sun Hung Kai Properties, a Hong Kong-based real estate company.

22. Van Damme, De Spoorberg, De Mobius

Family Total Net Worth (Billions): $29.9

The three families jointly own Anheuser-Busch InBev SA/NV (NYSE:BUD), the world’s largest brewer.

21. Newhouse Family

Family Total Net Worth (Billions): $30

The Newhouse family owns Condé Nast publishing, which owns major magazines such as The New Yorker, Vogue and Vanity Fair.

20. The Duncan Family

Family Total Net Worth (Billions): $30.1

The Duncan family owns Enterprise Products Partners LP (NYSE:EPD), a company with a current market cap of over $53 billion.

19. The Lauder Family

Family Total Net Worth (Billions): $32.7

The Lauder family owns The Estée Lauder Companies (NYSE:EL), an acclaimed cosmetics company headquartered in New York. The company was founded in 1946 by Estée Lauder himself.

18. The Pritzker Family

Family Total Net Worth (Billions): $34.6

The Pritzker family owns one of the world’s largest hotel companies, Hyatt Hotels Corporation (NYSE:H).

17. The Quant Family

Family Total Net Worth (Billions): $36

When Herbert Quandt bought BMW, it was a struggling car company. Today, the company is one of the world’s largest companies with a worldwide reputation for its luxury vehicles.

16. The Hartono Family

Family Total Net Worth (Billions): $36.3

The Hartono family is the wealthiest family in Indonesia, as they own the tobacco maker Djarum Group.

15. Bon Baumbach Boehringer Family

Family Total Net Worth (Billions): $36.6

The Bon Baumbach Boehringer family is one of Germany’s richest families, as they own the pharmaceutical company Boehringer Ingelheim, founded in 1885.

14. SC Johnson Family

Family Total Net Worth (Billions): $37

SC Johnson and Son is a privately owned manufacturer of household cleaning products that employs more than 13,000 people. The SC Johnson family owns his company, one of the oldest family-owned businesses in the country.

13. The Ferrero Family

Family Total Net Worth (Billions): $37.1

The Ferrero family owns Ferrero SpA, an Italian company engaged in the production of chocolate and other confectionery products and the second largest company in the world.

12. The Johnson Family (Fidelity)

Total Family Net Worth (Billions): $40.2

Fidelity Investments is one of the world’s largest asset managers, with nearly $10 trillion in assets under management. The Johnson family owns a private company founded in 1946.

11. The Albrecht family

Family Total Net Worth (Billions): $41.4

Aldi is one of Europe’s most famous grocery store chains, with more than 10,000 stores in at least 20 countries today. Owned by the Albrecht family. In 2020, family infighting went public after Nikolai Albrecht filed a lawsuit against his mother and sisters for stealing funds from his family trust.

Click to read more and see the 10 richest families in the world.

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Disclosure: None. The 30 richest families in the world were first revealed on Insider Monkey.



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