|
 |
The Challenge of Wealth Preservation
|
|
Even across as short a period as one generation, wealth preservation can be difficult
- Only 7% of the Forbes 400 list remained on the list every year from 1982 through 2009
- Risk factors, such as over-concentration, over-leverage, over-spending, taxation and family discord, accounted for 55% of all drop-offs from the Forbes 400
Forbes 400 List of Wealthiest Americans: 1982-2009
24 names
on 1982 & 2009 lists,
but not all years in between |
29 names
on list all 27 years |
191 names
dropped off because wealth either did not grow fast enough or eroded
- Over-concentration
- Over-leverage
- Over-spending
- Taxation
- Family discord
156 names dropped off for non-risk reasons
|
 |
| |
1982 |
2009 |
| Average net worth |
$230 million |
$3.17 billion |
| Minimum net worth |
$100 million |
$950 million |
| Compound annual growth rate required to stay on list |
8.7% |
Source: J.P. Morgan, with data from Forbes annual editions from September 1982 to September 2009
|
