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>> Instead they have close to 100% of their holdings in a single asset represented by the more diversified S&P500 What do you mean by that? Can you give exampl
by Naac 6y ago
>> Instead they have close to 100% of their holdings in a single asset represented by the more diversified S&P500
What do you mean by that? Can you give examples of that single asset?
- Akronymus 6y agoA company that they own?
- bhupy 6y agoThe company that they own.
- Naac 6y agoI guess I interpreted your statement as: "That single asset they own is more diversified than the S&P500", which I don't think is what you meant right?
- bhupy 6y agoI meant the opposite of that. The single asset that they own is less diversified and riskier than the S&P500, and therefore you can't take the annualized return of the S&P500 and then conclude that "money makes money" on a founder paper-billionaire's wealth. The S&P500 is a portfolio that puts together all of these companies and diversifies them. In other words, Bezos is one part of the S&P500.