In less than 24 hours after Russia invading Ukraine, the richest Russian billionaires lost a significant amount of wealth. According to the Bloomberg Billionaires Index, the collective loss amounts to $39 billion.
More than 20 of the wealthiest Russian billionaires lost $39 billion in only one day. The extensive list includes business oligarch Vladimir Potanin, the richest known man in the country.
Thursday, February 24th, Russia’s stock markets experienced the 5th worst crash in equity market history. The MOEX Index took a 33% plunge, therefore eliminating $189 billion from the wealth of Russian billionaires.
Wealth loss for top Russian billionaires
Russia invading Ukraine could result in continuous losses for the country’s wealthiest oligarchs as international sanctions escalate. Both the US and UK announced sanctions against individuals and banks in Russia.
As of today, these are some the most affected billionaires and their one-day decrease in net worth:
- Vagit Alekperov — $13B net worth, -$6.2B single-day loss;
- Leonid Mikhelson — $22.2B net worth, -$3.8B single-day loss;
- Vladimir Lisin — $22.4B net worth, -$3.9B single-day loss;
- Alexey Mordashov — $23B net worth, -$4.2B single-day loss;
- Vladimir Potanin — $26.1B net worth, -$3B single-day loss.
What is the key takeaway for people in business?
Ultimately, this is why protecting your money in illiquid cash flowing assets is so important.
By having assets like real estate, you’re not prone to economic disasters like stock market plunges. In addition, unstable political climates do not affect these types of investments.
Featured images source: Kremlin.ru, CC BY 3.0, via Wikimedia Commons
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