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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>But they obviously would want to make actual cash.
Thats not obvious, in fact, they likely don’t need large amounts of cold hard cash.
Second, they often have plenty available in various easily liquidatable assets, while the majority of their wealth is likely in company shares (or other stocks or real estate), they also have PLENTY of money in other places. Shares are volatile, you always keep money in safer places as well, especially if you need it for unforeseen events
On selling shares, generally, high level executives have a lot of regulations regarding how they can trade their shares, but yes, there are times where they may sell shares for various reasons (often to invest in other things, or say, buy a boat).
Lastly, if you’re really really wealthy, you have some other weird options, sorta like an ultra credit card, basically you can take out a loan backed by your stock wealth in cash to pay for expenses. Many very wealthy people have this option on the table and actively do this.
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