I know a majority of Bezos’ and Musk’s net worths are stock ownership. But they obviously would want to make actual cash. So do they just sell a bit of their stocks every year? How do they gain their ownership back then, aren’t they just decreasing their ownership of company stocks? Would they just buy more stocks then? And if so, isn’t that an endless loop of nothing? Sell your stocks to get money, but then buy the stocks back for more ownership of the company?
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They get a loan against the value of the stock. For example, they might get a $50M line of credit by putting up $60M of stock as collateral. And interest rates of like 2%, and as long as the stock appreciates more than the interest rate of 2%, literally free money. It’s disgusting.
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