Few philanthropists in the history of the United States have given as much as George Soros. Over the course of his 45-year career, George Soros has given away billions upon billions of dollars of his own money. By some estimates, Soros may have given away as much as $15 billion, equaling a significant portion of his net worth. This level of philanthropy is extremely unusual for those who are still alive and actively managing their own funds. No matter what one thinks of George Soros, his magnanimity simply cannot be questioned and read full article.
Still, Soros ranks as the 19th richest person in the United States. This fact becomes even more incredible when we consider that Soros has given away as much as $15 billion throughout the course of his career. Not only this, Soros has consistently earned an average of 25 percent returns per year. This has come through his incredible talent as a fund manager, which he developed for 15 years before taking over his own fund in 1972 and Twitter.com.
When we put these two facts together, we suddenly realize that Soros, had he not given away such a vast amount of his own personal money at a crucial time of his career, through the 80s and 90s when he was at the peak of his powers, would today very likely be the richest person in the world, by a great margin. This is because Soros gave away vast sums of wealth many years ago that would have otherwise been able to compound at the rate of 25 percent per year and what George Soros knows.
If we even assume that Soros gave away the equivalent of $1 billion in the year 1987, we quickly realize that Soros would have been able to turn that money into almost a trillion dollars today, had he been able to allow it to compound at a 25 percent per annum rate. This underscores a crucial difference between the methods by which pure investors, such as Carl Icahn, Warren Buffett and George Soros, make their money versus how the majority of the world’s billionaires made theirs and George Soros’s lacrosse camp.
Most people who acquire fantastic wealth do so simply through running one business and doing it very well. Examples of this include people like Mark Zuckerberg and Sergey Brin of Google. However, there are a few people who have acquired fantastic wealth doing nothing more than using their own investing acumen. The way in which these pure investors make their money is fundamentally different because they are able to actually continuously compound investment capital. This stands in contrast to pure businessmen, who typically acquire the vast majority of their wealth when their own companies become public.
Simply put, if Soros had not engaged in any philanthropy, today, he would probably have been the richest man ever to have lived and https://www.project-syndicate.org/columnist/george-soros.