Although, a lot of economies and many industries has been destroyed thanks to COVID-19. Apart from this, millions of people lost their jobs. However, the pandemic has proved extremely helpful in growing their fortunes for the billionaires all over the world. Presently Billionaires’ wealth reaches more than a quarter to a record high of approx $10 trillion.
According to a study by accounting firm PwC and the Swiss bank UBS, the Billionaires’ wealth was standing at $8 trillion at the start of April. However, it had reached $10.2 trillion by July as a result of this coronavirus pandemic. Previously, at the end of 2017, the peak was $8.9 trillion.
Plenty of that growth came from billionaires betting on the recovery of stock markets all over the world when they fell down during the lockdown (between March and April). Moreover, a lot of markets have recovered with several governments releasing stimulus packages and it makes the rich ever richer.
The head of UBS’ global family office department, Josef Stadler told The Guardian that billionaires had “the stomach” to purchase more organization shares when equity markets globally crashed. Due to the higher demand for delivery services, video-calling software, and work from home products, the tech giant shares have increased abruptly.
Amazon overlord Jeff Bezos viewed the greatest single-day rise to his net worth back in July since the Bloomberg Billionaire Index was formed eight years ago. The net wealth of Jeff Bezos increased by $13 billion to $189.3 billion as Amazon shares jumped 7.9 percent.
Furthermore, Jeff Bezos has spotted a rise of $74 billion this year. However, that is less than Elon Musk’s net worth rise. Elon Musk‘s net worth increased by $76 billion since the start of 2020 and presently is worth $103 billion.
According to Bernie Sanders, former presidential hopeful and US senator, he intends to introduce a tax on “obscene wealth gains” developed by the extremely rich during the coronavirus pandemic.
From March 18 to the end of the year, there would be a 60 percent tax imposed on the increase in the net worth of the billionaires under the “Make Billionaires Pay Act.”
A lot of clients of PwC are anticipating new wealth taxes. Also, a boost in direct taxation in 2020 as a way of funding government support packages.
Additionally, to help the financially affected people in this coronavirus pandemic, several billionaires have donated some of their wealth. In the United States, 98 of the country’s billionaires contributed a total of $4.5 billion. However, in the UK, 9 billionaires have donated only $298 million.
The UBS/PwC report further covers 2000 billionaires from 43 markets, accounting for approx 98 percent of total billionaire wealth.