Are you the publisher? Claim or contact us about this channel


Embed this content in your HTML

Search

Report adult content:

click to rate:

Account: (login)

More Channels


Channel Catalog


Channel Description:

The latest news on Billionaires from Business Insider

older | 1 | .... | 7 | 8 | (Page 9) | 10 | 11 | .... | 50 | newer

    0 0

    housing crisis foreclosure great recession

    Five years after the unofficial start of the financial crisis, one of the new additions to the Forbes 400: Definitive Ranking of the Richest Americans (out this morning) made his fortune refinancing underwater homes.

    William Erbey is the founder of Ocwen Financial Corporation. In 2010 the company came up with a new way to refinance mortgages called the 'Shared Appreciation Modification model.'

    The way Ocwen refinances, homeowners get 5% equity in their underwater homes, rather than negative equity. Erbey figured this would incentivize homeowners to really keep up with their payments.

    When the home is sold, however, Ocwen gets 25% of any profits from the sale.

    That model made the 64 year-old Erbey $2.3 billion.

    Check out Erbey's profile here Forbes>

    Join the conversation about this story »


    0 0

    It used to be the first million. Now, you only turn heads when you hit a billion.

    Warren Buffett, the iconic chairman and CEO of Berkshire Hathaway, is worth $53.5 billion. He wasn't always. But Buffett started early. When the "Sage of Omaha" was in high school, he spent $25 on a pinball machine that he put in a barbershop. With an eye for a good investment, Buffett ended up selling the pinball machine for $1,200, according to this infographic compiled by eBay Deals. He bought his first stock at age 11 and started at the Wharton School of Business at University of Pennsylvania at age 17.

    Related: Life Advice From 18 of the Wealthiest People in History (Interactive Graphic)

    Meanwhile, Elon Musk, the inventor behind Tesla Motors, was born in South Africa and taught himself to program computers as a kid. He had programmed and sold a video game by the time he was 12.

    Take a flip through the interactive infographic below to see the early career highlights of other now multi-billionaires getting to their first billion. To access the five billionaire slides, first click on the blue text "Click to Enlarge and Interact (+)" and from there you can move through the graphic.


    via eBay Deals

    Join the conversation about this story »


    0 0

    According to the latest Credit Suisse Global Wealth Report, there are 98,700 "ultra high net worth" individuals in the world, defined as those with a net worth of over US$50 million.

    That number is up 14,200from last year, and the report reasons that this shows that the world's economy is working out well for the ultra rich:

    While there is little reliable information on trends over time in the wealth pyramid data, it seems almost certain that wealth has been growing faster in the top strata of the wealth pyramid since at least the year 2000, and that this trend is continuing. For instance, total global wealth grew by 4.9% from mid-2012 to mid-2013, but the number of millionaires in the world grew by 6.1% during the same period, and the number of UHNW individuals rose by more than 10%. It therefore appears that the world economy remains conducive to the acquisition and preservation of large and medium sized fortunes.

    So where do this global elite — very roughly the world's richest 0.001387015% — live? Mostly in one country:

    World Richest

    Correction: The percentage number was originally listed as 0.00001387015% due to a mathematical error. It has since been corrected.

    SEE ALSO: The 20 Most Expensive Neighborhoods In America

    Join the conversation about this story »


    0 0

    Arpad Busson Elle Macpherson

    The New York Post reported last week that Gwyneth Paltrow was so against an upcoming, unauthorized Vanity Fair profile about her because it alleges the married actress had a 2008 affair with billionaire real estate mogul, Jeffrey Soffer.

    Paltrow's rep fervently denies the claims, while Soffer has clearly moved on  as he married model Elle Macpherson earlier this year.

    But this isn't the first time a billionaire has been at the center of a celebrity love triangle or media storm.

    See which other successful moguls only date in the celebrity pool. 

    Vanity Fair claims Gwyneth Paltrow had a 2008 affair with Miami billionaire, Jeffrey Soffer — but she denies it.

    Gwyneth Paltrow is married to Coldplay frontman, Chris Martin, but Vanity Fair is reportedly about to publish a bombshell profile of the actress alleging that she had a 2008 affair with Miami real estate tycoon, Jeffrey Soffer.

    Paltrow's rep vehemently denied the allegations, but billionaire Soffer is no stranger to celebrity relationships.



    This summer, Jeffrey Soffer married supermodel Elle Macpherson in Fiji.

    In March, Australian supermodel Elle Macpherson confirmed (by flaunting her giant ring) that she was engaged to billionaire Jeffrey Soffer. 

    The couple announced they made it official by tying the knot in Fiji with an "intimate wedding" of just 15 guests in mid-July.

    Macpherson and Soffer, who broke up in 2012, reconciled after a plane crash injured him in 2012. 

    Soffer made his fortune as a Miami-based real estate developer and hotel heir



    Elle Macpherson has two children from a previous relationship with billionaire Arpad Busson.

    Before she was married to Jeffrey Soffer, Elle Macpherson dated London-based Swiss financier Arpad Busson from 1995–2005.

    The pair have two children together.

    Busson, 49, is the founder and chairman of the EIM Group, a funds company. He is also active in a number of philanthropic causes around the globe.

    Busson's net worth is estimated at $1 billion.



    See the rest of the story at Business Insider

    0 0

    eike batista

    OGX, the sickest of all former Brazilian billionaire Eike Batista's six ailing companies, will file for bankruptcy in the next few days, according to the WSJ.

    It was lower-than-expected outputs from the oil and gas company that began the end of Batista in the first place. That was back in 2012. Now things have deteriorated to the point that, earlier this month, OGX started defaulting on a $45 million interest payment to bondholders (it will officially be in default on October 3oth). The company's stock is down 90% this year.

    Batista's empire, all held under the his holding company EBX, is very interconnected. So this could be the beginning of something very ugly (as if things weren't ugly enough).

    From WSJ:

    OGX is preparing a so-called judicial recovery plan for reorganization, similar in part to a streamlined U.S. bankruptcy filing, the people said. This approach differs from the traditional Brazilian bankruptcy process that tends to end in liquidation, some of these people said...

    The cash-strapped company, operating with about $3.6 billion of debt, has tried but so far has yet to reach a restructuring deal with creditors, many of whom traveled to Brazil to meet with advisers and management this week, the people familiar with the matter said. The company asked creditors for a $75 million capital injection but didn't get an immediate answer from creditors, who are concerned they won't recover the money, the people said.

    Batista, once the 7th richest man in the world with a fortune of $34 billion, is now down to $200 million

    SEE ALSO:  Brazilian Tycoon Eike Batista Lost 99% Of His $34.5 Billion Fortune

    Join the conversation about this story »


    0 0

    Eike Batista

    Eike Batista has a number of problems, chief among them being that he's running out of cash.

    Since the Brazilian tycoon's empire started crumbling last year, he's lost 99% of his fortune — which once totaled about $34 billion and counting.

    At that time, had become clear that a number of oil fields belonging to OGX, Batista's flagship company, were not going to produce as expected.

    That's when Batista and his group of 6 companies (all held together by holding company EBX) started hemorrhaging money.

    His hope now is to restructure with his creditors and rebuild a leaner business, but that takes money. So what's a billionaire playboy speedboat racer married to a former Playboy model to do?

    Sell his toys. That's what he does.

    The reports are everywhere in Brazil— boats, planes, you name it. Its all gone into a gigantic firesale for the super rich. Batista's sold off some more serious assets too — like stakes in two of his companies MMX and LLX, and he may have to give up some oil tankers as collateral to creditors soon too.

    But none of that is nearly as fun as say, a 91 year-old hotel in Rio.

    We did a little research and found out how much (roughly) some of Batista's most luxe toys may have sold for. It's fair to say they won't put a dent in what Batista owes, but hey — you gotta stay liquid.

    An Agusta Grand helicopter, worth between $6 and $7 Million.



    This Gulfstream 550, which you could pick up for about $35 Million



    This Brazilian made Phenom 300 Jet, worth around $7.2 million



    See the rest of the story at Business Insider

    0 0

    Bill Ackman

    Bill Ackman's Pershing Square Capital Management gained 7.9 percent net of fees for the month of October in its largest fund, dramatically reversing the year-to-date returns of the outspoken activist investor.

    Pershing Square International is now up 8.1 percent for the year, according to an investor performance update obtained by CNBC.com. The same fund had been up just 0.2 percent through September.

    (Read more: Pershing Square to sell 6M Canadian Pacific shares)

    Pershing Square now manages $11.44 billion as of November 1 versus $10.77 billion a month before.

    The letter also noted a second undisclosed short position. Ackman is already engaged in a highly publicized battle with nutritional supplement company Herbalife, which he believes is a pyramid scheme and announced a $1 billion short position against the stock in December. Shares have risen all year, costing the fund hundreds of millions of dollars in paper losses.

    (Read more: Bill Ackman to unveil new Herbalife information: Source)

    It wasn't immediately clear what drove the large returns or what the short position was. Ackman declined to comment.

    —By CNBC's Lawrence Delevingne and Maneet Ahuja. Follow them on Twitter:

    Join the conversation about this story »


    0 0

    Prince Alwaleed, Princess Amira

    Bloomberg has a dedicated team of billionaire hunters constantly updating information on the world's richest people.

    This week, Bloomberg Markets Magazine is carrying a thorough update of the team's blood, sweat, and tears — a ranking of the 100 wealthiest people on the planet and what they're worth.

    Since last December, the top 100 billionaires' net worth has soared from $200 billion to $2.1 trillion. Their combined net worth makes up nearly 3% of the world's economy and they have a median net worth of nearly $16 billion.

    Bill Gates surged to the top spot as Microsoft shares gained 29% this quarter. Carlos Slim, owner of America Movil, Mexico's largest cell phone service provider, slid to the second spot as he faces increasing political pressure from the Mexican government.

    After that, though, the names on the list get a little less familiar. We have the top 25 for you here.

    25. Mark Zuckerberg

    Net Worth: $24.5 billion

    YTD Change: +100.1%

    Source of Wealth: Facebook

    Citizenship: USA



    24. Sergey Brin

    Net Worth: $25.1 billion 

    YTD Change: +18.6%

    Source of Wealth: Google

    Citizenship: USA



    23. Larry Page

    Net Worth: $25.5 billion 

    YTD Change: +19.3%

    Source of Wealth: Google

    Citizenship: USA



    See the rest of the story at Business Insider

    0 0

    lynsi torresOn newsstands this week, the December issue of Bloomberg Markets magazine provides a comprehensive list of the richest people on the planet. 

    A lot of the names on the list — Bill Gates, Mark Zuckerberg, Jeff Bezos, the Koch brothers — are pretty familiar. Still, how does the magazine account for the many billionaires who aren't living with their wealth out in the open?

    Bloomberg editor Matthew Miller and his team of reporters are responsible for hunting down hidden billionaires, which is sometimes just as exciting as it sounds. 

    "Parts of it are extremely James Bond-esque, whether that's calling up a reporter when we know there's a meeting of a bunch of wealthy people in Paris and have that person take a train from London to Paris to make sure they're camped out at that bar," Miller said to Business Insider. "That's something that we actually did a couple of months ago." 

    Other times, it's not so exciting. 

    "Parts involve lots of Excel spreadsheets and lists of private companies and number crunching. The more realistic way to hunt billionaires is to look at the biggest fast food chains in the U.S.," Miller said. "That's how we found Lynsi Torres."

    Torres is the 30-year-old owner of In-N-Out Burger, the West Coast's beloved fast food chain. With a company that's worth about $1.1 billion, she's one of the youngest billionaires in the world, yet she chooses to lead a private life and has never appeared on an international wealth ranking. 

    This can be pretty common. A desire for security and a life free from the pestering of luxury retail companies and philanthropic organizations are motivations for keeping extreme wealth under wraps. Miller's team has uncovered more than 90 billionaires in the past year, including Koch Industries director Elaine Marshall and German grocery tycoon Dieter Schwarz, who both appeared on this year's list of the 100 richest people in the world. 

    Another hidden billionaire, Turkish immigrant and Chobani founder Hamdi Ulukaya (who was worth $1.1 billion in 2012 but did not make this year's billionaires list), was discovered when some of the Bloomberg reporters were eating breakfast at their desks.

    "Three of four were having Chobani yogurt, and we questioned who owned it," Miller said. "He's been touted as a great story of American entrepreneurism ever since." 

    After years of researching billionaires, Miller has learned that they all tend to have some things in common. 

    "They all tend to be extremely smart and usually have an idea that is able to penetrate a large consumer base. The second thing is ambition — these people like to win and don't take no for an answer," Miller said. "The third thing is luck. The only difference between Mark Zuckerberg and the guy who founded Myspace is timing and luck."

    SEE ALSO: The 25 Richest People On The Planet

    Join the conversation about this story »


    0 0

    The world's billionaire population continues to grow, as does their total wealth.

    According to a new Billionaire Census by Wealth-X and UBS, the number of billionaires around the globe grew .5% between July 2012 and June 2013, and their cumulative wealth increased by 5.3%.

    But that growth has not been evenly distributed.

    Billionaire wealth in Asia grew 13% in that time period, the fastest of any region. It also added 18 billionaires in the past year, more than any other region. Europe, on the other hand, lost 29 billionaires, although the total net worth of the region's 766 billionaires increased 3.7%, according to the report.

    The map below shows total wealth change for billionaires by region between July 2012 and June 2013.

    wealth-x map

    This chart shows how billionaire populations and their total wealth have shifted over the past year:

    Screen Shot 2013 11 06 at 12.44.08 PM

    SEE ALSO: Meet The Wealthiest Person In Every US State

    Join the conversation about this story »


    0 0

    Harvard University has produced nearly twice as many billionaire alumni as any other institution of higher education, according to the 2013 Billionaire Census from Wealth-X and UBS.

    Its 52 billionaire alumni are worth $205 billion, compared to second-place University of Pennsylvania's 28 billionaire graduates, who together are worth $112 billion.

    The University of Cambridge was the only non-U.S. university to break into the top 10, with 11 billionaire alumni.

    According to Wealth-X and UBS, 68% of billionaires have at least a bachelor's degree. In comparison, 86% of ultra-high-net-worth individuals (those with a net worth of $30 million or more) have a bachelor's degree or higher.

    "These figures suggest that while  education may help a person become a  UHNW individual, it is not a prerequisite  to then go on and amass a billion dollar fortune," the report concluded.

    Here are the 10 universities with the most billionaire alumni:

    Screen Shot 2013 11 06 at 2.51.35 PM

    SEE ALSO: The Most Famous Author From Every State

    Join the conversation about this story »


    0 0

    Wealth-X, an international wealth management firm, recently released a list of the richest person in every U.S. state.

    The top 10 individuals on the list — who all held the exact same spots on last year’s list— are collectively worth $362 billion. To put that in perspective, that's 67% of the total wealth of the top 50 list.

    Washington-based Microsoft co-founder Bill Gates was the richest individual on the list with an estimated net worth of $70.8 billion, followed by Nebraska's Warren Buffett with a personal fortune of roughly $60 billion. They're also two of the most philanthropic men on the list, haven given away a combined $48 billion in their lifetimes (so far).

    Take a look at the full list and the states the billionaires live in below.

    Wealthiest People By State_03

    SEE ALSO: An In-Depth Look At The Wealthiest Individuals In Every US State

    Join the conversation about this story »


    0 0

    rich guy hot tub wealthy men

    The global financial crisis was good for billionaires.

    The combined fortune of the world's billionaires has more than doubled, to $6.5 trillion, from $3.1 trillion in 2009, according to Wealth-X and UBS Global Billionaire Census 2013. Their fortunes have grown by $226 billion in the past year alone.

    The group's number also grew by 810 during the period, to 2,170.

    (Read moreAsia shines as billionaire hot spot in 2013)

    Their total wealth is now larger than the GDP of any country except that of the United States and China, and could fund the U.S. budget deficit until 2024, according to the report.

    What else do we know about these billionaires?

    Most are entrepreneurial men, and most of their money comes from private companies. They have an average of four homes and 2.1 kids, according to the report.

    Of course, talking about the average billionaire is like talking about the average celebrity. It's tough to generalize.

    Sixty percent of the billionaires are self-made, according to the report, while 20 percent inherited most of their wealth and 20 percent inherited a portion of it. This is roughly in line with the inheritance/self-made ratio of the Forbes list.

    (Read moreCalls to raise taxes for the rich are growing)

    The report said 87 percent of the world's billionaires are men. Among the women, only 17 percent made their money themselves, with most deriving it from inheritance.

    Marriage plays a key role in building wealth, however: 86 percent of billionaires are married (though the report doesn't specify the number of marriages per capita).

    "Spouses often play a pivotal role in the success of their partners," it said.

    Billionaires like to keep their families relatively small, with an average of 2.1 kids, though about a third of them have three or more.

    New York is the top city on the planet for billionaires, with 96. But billionaires own an average of four homes and $78 million in real estate. (Such holdings represent only 2.6 percent of the average billionaire's net worth.)

    (Read moreWealthy steer from yachts despite higher stocks)

    They are highly mobile. Less than one-quarter live in the city their business is headquartered in, while the same percentage don't even live in the same country as their primary business.

    The average billionaire spends $22 million on yachts, $16 million on private planes and $14 million on art.

    By CNBC's Robert Frank.

    Join the conversation about this story »


    0 0

    George Soros

    Bloomberg Markets Magazine just published the findings of the organization's tireless billionaire hunters — a list of the 100 richest people in the world.

    This year, there are nine financiers that made the cut, meaning that a few familiar names were lopped off.

    It's been a volatile year in finance, after all.

    Abigail Johnson of Fidelity didn't make the cut this year, while Carl Icahn's fortune jumped a whopping 24%. 

    The Heinz deal has worked out very well for Warren Buffet and 3G Capital's Jorge Paulo Lemann, whose wealth rose by 22% and 14% respectively.

    9. Petr Kellner, PPF Group

    Rank On Billionaire's List: 97

    Net Worth: $11.3 billion

    YTD Change: +14.8%

    Citizenship: Czech Republic



    8. Jim Simons, Renaissance Technologies

    Rank On Billionaire's List: 92

    Net Worth: $12 billion

    YTD Change: No change

    Citizenship: USA



    7. Joseph Safra, Grupo Safra

    Rank On Billionaire's List: 75

    Net Worth: $13 bullion

    YTD Change: +17.9%

    Citizenship: USA



    See the rest of the story at Business Insider

    0 0

    petra and tamara ecclestone sister posing

    Life is easy enough if your parents have millions upon millions of dollars — but it's even sweeter if you have dashing good looks, too.

    That's the case with these 27 beautiful children of businessmen, fashion moguls, and rock stars.

    And while some of these heirs have cashed in on their family names, many are striking out on their own, starting charities or taking over the family business.

    Noah Plaue also contributed to this story.

    Siddharth Mallya, son of Indian industrialist and parliament member Vijay Mallya

    Vijay Mallya is the 73rd richest man in India, worth $800 million, according to Forbes

    Siddharth, 26, is the director of the Indian Premier League team Royal Challengers Bangalore, and has been named by his father Vijay Mallya as the future head of the United Breweries Group.

    In August, fake Facebook profile accounts pretending to be Siddharth posted that UB Group was starting a production company. His team approached Facebook to shut down all imposter accounts.

    He also may be giving acting a try, and is rumored to have dated a few famous Bollywood actresses.



    Amanda Hearst, great-granddaughter of media mogul William Randolph Hearst

    Three of her relatives are worth a combined $2 billion or more, according to Forbes

    The 29-year old is the heiress to the multi-billion dollar Hearst Corporation. She graduated from Fordham University with a major in art history.

    Amanda's great-grandfather is frequently cited as the creator of modern tabloid journalism, but Amanda tends to stay out of the spotlight herself. About a decade ago, however, Harper's Bazaar published an article claiming the heiress spends $136,000 on herself annually, a figure she vehemently denied.

    Beyond the wealth, Amanda has modeled, is a spokesperson for ethical fashion brand Maison de Mode, and is the founder of Friends of Finn, an organization dedicated to the closing of puppy mills. Currently, Amanda is the special projects manager at Town & Country Magazine.



    Peter II and Harry Brant, sons of American industrialist and businessman Peter M. Brant

    Peter M. Brant's wealth has fluctuated through the years, ranging anywhere from $500 million to upwards of $1 billion

    The sons of Peter M. Brant and model Stephanie Seymour, these brothers are quickly becoming NYC's new social elite.

    Peter II, 19, came under fire in 2012 for joking with his friend about having the newly reelected President Obama assassinated and posting it on Instagram. He subsequently lost his Twitter and Instagram privileges.

    Peter's currently majoring in art history at Hunter College.

    Harry, 16, tweeted after his brother's Twitter scandal that he personally loved Obama. Harry is still in high school in New York City, and is often seen out and about with his older brother.



    See the rest of the story at Business Insider

    0 0

    Jack Dorsey

    When Twitter stated its $26 price per share yesterday, co-founder Jack Dorsey was expected to make a lot of money. 

    He'd have made north of $600 million at that price, but he wouldn't have been a billionaire from Twitter alone.

    Now, Twitter is trading at $45.

    So Jack Dorsey and his 23,411,350 shares are now worth about $1.05 billion. If Square, his other company, goes public next year, his billionaire status will be solidified.

    UPDATE: As Forbes correctly points out, Dorsey has technically been a billionaire since 2012 between his involvement in both Square and Twitter. That would require him to sell his Square stock on a secondary market though. Now, from Twitter alone, he's reached billionaire status.

    Congrats!

    Join the conversation about this story »


    0 0

    china money yuan

    A recent report on the number of super-rich around the world found that China was second only to the U.S. in sheer numbers of billionaires, with 157 billionaires compared to 515 in the states.

    That's impressive, but the report found something else perhaps more impressive.

    According to the Wealth-X and UBS World Ultra Wealth Report, 89% of Chinese billionaires were self-made. The report says that's the highest percentage in the world, far higher than the U.S. which has around 68%.

    It makes sense, of course, when you remember that China only began making its first steps toward capitalism in the early 1980s, and most of the historically wealthy classes of China had been decimated by years of war, the Great Leap Forward and the Cultural Revolution.

    It is remarkable, however, that so much wealth could have been "self-made" in a little over 30 years — it compares extraordinarily well to Russia, which emerged from communism 20 years ago but where less than 67% of billionaires are self-made (the country with the lowest percentage of self-made billionaires in the report was Switzerland at 31%).

    So, China may well be the land of opportunity, but it's also worth bearing something else in mind too: The report doesn't make a distinction between a hard-working entrepreneur and the government corruption in China that has become notorious around the world.

    Join the conversation about this story »


    0 0

    blair dorota gossip girl

    The yoga instructor, the decorator, the kid's tutor — these are people that can make up the entourages of the super rich. After a while, they become part help, part friend — and that's where things get complicated.

    New York Observer Richard Kirshenbaum breaks down the complexity in his latest 'That's Rich' column about the daily lives of those on Manhattan's Upper East Side.

    In his reporting, Kirshenbaum found that this particular 'paid friend' topic to be particularly sensitive to his subjects ("there's nothing more painful than a paid friend break up," said one).

    Very few parties on either side of the relationship — those paying or those getting paid — were willing  to admit that the relationship was one of convenience.

    But then, if no one with a paid friend will bite, you can always talk to someone else in the situation. Like an ex-wife (from the NYO):

    ...one evening, I found myself at a dinner party seated next to the glamorous ex-wife of one of New York’s most enigmatic commodities traders, noted for his custom suits and contraband supply of Cubans. Having received a lucrative divorce settlement, she was more than willing to open up about her ex-husband’s assortment of paid friends. In fact, after I artfully plied her with Avión and an orange twist, she couldn’t seem to talk about anything else.

    “Everyone, and I mean everyone, was on the payroll.” She played with her chestnut-size South Sea pearls. “When we first started dating, I was annoyed that so many people were always around. But I learned that powerful men all have posses.”

    “Why?” I asked.

    “I think many really successful men don’t actually have time for real friends. Their old friends are either resentful or bitter or ask for money, and the new friends are often competitive. In my opinion, very rich men have paid friends as an expensive filter, because they can control them. They love to manipulate everyone... Look, let’s be real. If he didn’t have any money, he’d be sitting all alone in his apartment with a container of Häagan-Dazs and a bottle of vodka.”

    Kirshenbaum writes that it's hard to be on the other side too — to constantly be on someone else's schedule, even if that means you get the royal treatment everywhere.

    Sounds rough.

    For the full story (definitely worth the read) head to the New York Observer>

    Join the conversation about this story »


    0 0

    Gulfstream G650 cabinThe age of house flipping may have faded. But the super rich have found a new path to instant profits: flipping their megajets.

    Demand for the biggest, most expensive Gulfstream jet—the G650—is so strong that owners have started flipping them to other buyers. In some deals, the sellers are pulling in profits of between $5 million and $7 million per flip.

    Billionaire Bernie Ecclestone, the Formula One tycoon, recently flipped his G650 to an Asian businessman for $72 million—at least $6 million more than his purchase price, according to people familiar with the deal. The transaction, first reported by BizjetBlogger, came just weeks after Ecclestone received the plane from Gulfstream. (Ecclestone couldn't be reached for comment, but BizjetBlogger said the plane was too large for some of Ecclestone's favorite airports).

    (Read moreWhat rich men want in a woman)

    Jet brokers and consultants said at least two other buyers have flipped their G650s recently for more than $70 million. At least two other deals are in the works, they said. One of these is an American billionaire negotiating with a buyer in Asia. The other deals involved billionaires in Russia, Latin America and the Middle East.

    The flips highlight the strong demand for large-cabin planes—the biggest, most expensive private jets—at a time when the rest of the private jet market is still languishing. Business jet deliveries are still down more than 30 percent from their peak in 2008, and prices for some planes have fallen by more than half, brokers say.

    But large-cabin planes are a hot commodity among billionaires and global companies. With their long range and ample cabins, they can carry more passengers over longer distances and in greater comfort. The G650, with a base price of $64.5 million, is the king of the large-cabin private jets, with a range of well over 7,000 miles and a maximum speed of Mach 0.925.

    The G650 also is very scarce. Only around 30 to 35 have been delivered since its launch last year, according to brokers.

    Still, the jet has become the must have plane for the world's billionaires, withRalph Lauren and Oprah Winfrey both lining up for one. Demand is so strong that a buyer signing a contract today won't get their G650 until the third quarter of 2017. That's why many buyers are willing to pay more than $70 million to get their planes today.

    (Read moreJust your average Joe billionaire)

    "These are billionaires who are willing to pay a premium to avoid the wait," said Philip Rushton, founder of Aviatrade, an aviation consulting and brokerage firm.

    The deals are a double-edged sword for Gulfstream. While they highlight the strong demand and value of its aircraft, they also show that customers are now making millions off of its product. The company said that it is "not privy to the details" of any flips, "if customers are, in fact, getting a premium for the aircraft, it's a testament to the amazing capabilities of the G650."

    The real problem for Gulfstream is clients trying to sell their planes before they are delivered. Gulfstream said that "Customers cannot sell the aircraft before they've physically taken delivery of it. This prevents speculation, which isn't good for the market."

    The company has a "non-assignability" clause in its contracts, meaning the ownership can't be reassigned after a contract is signed.

    (Read moreHere are 10 ways yachts are going high tech)

    Some customers tried to get around the clause by buying the plane under the name of a newly created aviation company. They would then sell the company to a new buyer, essentially transferring ownership of the plane through the company sale. Brokers said Gulfstream caught on to the game and is now requiring the signer of the contract to be involved in the final delivery.

    "They're really doing their best to deter this," said Jay Duckson of Central Business Jets.

    SEE ALSO: Tour the $65 Million Gulfstream G650

    Join the conversation about this story »


    0 0

    Billionaire Social Calendar_02 1Billionaires move in tight social circles. After all, they often become close acquaintances after frequenting the same invitation-only events year after year.

    As part of its recent Billionaire CensusWealth-X, an international wealth management firm, put together a "Billionaire Social Calendar" that lists the most important parties, sporting events, and conferences for the global elite.

    From star-studded Wimbledon in London to the tech- and business-savvy Davos conference in Switzerland, keep reading to see where you can rub shoulders with the beautiful, powerful, and insanely rich in 2014.

    JANUARY: Davos (World Economic Forum), Switzerland

    January 22-25th, 2014

    What It Is: Geneva-based nonprofit World Economic Forum hosts an annual meeting in Davos, Switzerland to discuss global topics in an effort to improve the state of our world. Next year's theme will be "The Reshaping of the World: Consequences for Society, Politics and Business."

    Who Goes: Over 2,500 public officials, royalty, CEOs, academics, and media people, including former Prime Minister Tony Blair, movie star Charlize Theron, and Business Insider's Henry Blodgetto name just a few.

    Where They Stay:Hotel Belvédère or Hotel Seehof, where events, meetings, and parties are typically held throughout the event.



    FEBRUARY: Winter Olympics, Russia

    February 7-23rd, 2014

    What It Is: The 2014 Winter Olympic Games will be held in Sochi, Russia, featuring 14 different winter sport disciplines including Alpine skiing, figure skating, and ice hockey.

    Who Goes: In addition to famous professional athletes like Lolo Jones and Lindsey Vonn , the Winter Olympics are frequented by royals, celebrities, and public officials from various countries.

    Where They Stay: The 5-star luxury boutique hotel Grand Hotel and Spa Rodina with rooms designed by the court decorators of Queen Beatrix of the Netherlands.



    MARCH: Dubai World Cup, United Arab Emirates

    March 29th, 2014

    What It Is: The Dubai World Cup at the Meydan Racecourse in Dubai is considered the wealthiest horse race in the world, with a prize of $10 million to the winning horse and rider.

    Who Goes: Past events have been chock full of UAE royals and officials, including Prime Minister of the UAE and Ruler of Dubai His Highness Sheikh Mohammed bin Rashid Al Maktoum and Dubai Crown Prince Hamdan bin Mohammed bin Rashid Al Maktoum.

    Where They Stay: At the Meydan Racecourse's luxury hotel, which offers direct access to the racecourse, as well as restaurants, lounges, and private suites that overlook the action.



    See the rest of the story at Business Insider

older | 1 | .... | 7 | 8 | (Page 9) | 10 | 11 | .... | 50 | newer