In the wake of Donald Trump's decisive victory over his opponent, Harris, securing his second presidential term, the world's ten richest billionaires saw their wealth soar by a record amount, increasing by over $63.5 billion. This surge was driven by an overall rally in the U.S. stock market, as investors anticipated a more pro-business fiscal policy framework under Trump's administration.
According to the Bloomberg Billionaires Index, Tesla CEO Elon Musk led the pack, with the combined net worth of the top ten billionaires skyrocketing by $63.5 billion. The stock market's reaction underscores expectations for Trump's policies, which are believed to favor corporate tax reductions and deregulation. The S&P 500 index rose by 2.5%, hitting 5929.04 points, marking the best performance post-presidential election in U.S. history. The U.S. dollar also saw significant gains.
Looking ahead, Wall Street analysts maintain a bullish outlook on the stock market. Goldman Sachs reiterated its prediction for the S&P 500 to reach 6300 points within the next year, supported by strong earnings growth. Evercore ISI is even more optimistic, forecasting the index could rise to 6600 points by mid-2025, citing the victory's impact on easing regulatory concerns.
Lombard Odier's Chief Economist Samy Chaar noted that financial assets, particularly U.S. stocks and the dollar, are expected to continue benefiting from Trump's policies.
Only one of the top ten global billionaires, Bernard Arnault of LVMH, did not see a wealth increase, with concerns over potential trade tariffs under Trump's leadership affecting European markets.
Elon Musk's fortune alone grew by $26.5 billion following the election results. Musk, an ardent Trump supporter, participated in various campaign events and is expected to play a significant role in the new administration. Trump has hinted at appointing Musk to lead a government efficiency committee, aiming to reduce federal spending and improve administrative efficiency.
Analysts predict that Musk could leverage his influence to reduce regulatory hurdles for his companies, Tesla (TSLA, Financial) and SpaceX, and expedite approvals for Tesla's Full Self-Driving (FSD) technology and Robotaxi services.
Other billionaires benefiting from the stock market gains include Amazon's Jeff Bezos and Oracle's Larry Ellison. The wealth increase of $63.5 billion among the top ten billionaires is the largest daily surge since the Bloomberg Wealth Index's inception in 2012.
Notably, in the cryptocurrency sector, Coinbase CEO Brian Armstrong and Binance's founder Zhao Changpeng also saw significant wealth increases following the election.
