It's been a turbulent start to the year for tech moguls.
Their personal wealth has collectively shrunk by $95 billion since the start of the year, according to the Bloomberg Billionaires Index.
This sharp decline is explained by the fact that their wealth is associated with the shares they have in their respective companies.
But technology stocks have tumbled for several sessions. The Nasdaq Composite index, which includes a large number of technology stocks, is currently in correction territory. It's down more than 14% from its all-time closing high, set in November. A decline of greater than 10% is considered a correction for a stock index.
Elon Musk, CEO of Tesla (TSLA) - Get Tesla Inc Report has lost $27 billion since December 31. But his personal wealth remains at $243 billion as of January 23, and he is still the richest man on the planet.
Jeff Bezos, the founder of Amazon (AMZN) - Get Amazon.com, Inc. Report, suffered losses of around $24 billion for a fortune estimated at $168 billion, while Microsoft's (MSFT) - Get Microsoft Corporation Report co-founder Bill Gates limited its losses to $9 billion. Gates is the fourth richest man in the world. Third place is occupied by Frenchman Bernard Arnault, CEO of luxury giant LVMH.
Coming in fourth place, Larry Page, co-founder of Google (GOOGL) - Get Alphabet Inc. Class A Report, saw his personal fortune decrease by $11 billion, while Meta Platform's (FB) - Get Meta Platforms Inc. Class A Report Mark Zuckerberg's wealth fell by $12 billion.
It is important to note that billionaire Warren Buffett (BRK.A) - Get Berkshire Hathaway Inc. Class A Report, eighth richest in the world as of January 23, according to Bloomberg Billionaires Index, has seen his personal wealth increase by $2 billion since December 31.
A Tough Start for Stocks
Stocks were falling Monday, with the Dow tumbling to its lowest levels in nearly ten months and the S&P 500 into correction territory.
Among other things, investors were reacting to the upcoming meeting of the Federal Open Market Committee, as well as scores of bluechip earnings and accelerating geopolitical tensions between Washington and Moscow.
"After a tough start for stocks in 2022, investors are looking for reasons to expect a rebound," said Jeff Buchbinder, Equity Strategist for LPL Financial. "After more than doubling off the pandemic lows in March 2020, without anything more than a 5% pullback in 2021, stocks probably needed a break. That doesn’t, however, make this dip feel much more comfortable."
Bitcoin prices were being hammered following another wild weekend for cryptocurrency traders.
The tech-heavy Nasdaq went on a roller coaster on Monday, with Netflix (NFLX) - Get Netflix, Inc. Report, Tesla (TSLA) - Get Tesla Inc Report and AMD (AMD) - Get Advanced Micro Devices, Inc. Report among the biggest losers.
"The really interesting thing to be paying attention to right now is when the market can’t hold on to big intraday gains which may be a better indication of bearishness than simply dropping prices," Chris Larkin, managing director of trading at E*Trade.
That, in a nutshell, Larkin said "was the story of last week with the S&P 500 surrendering 1%-plus rallies on Wednesday and Thursday—and saw its attempt to rebound fizzle on Friday—to cement a third-consecutive down week amid tech-sector bearishness, mixed earnings, and overhanging concerns about the potential impact of Fed rate hikes"
And while a negative January isn’t a reliable predictor of a down year, Larkin said, "three-week losing streaks at the top of a year have some less-than-bullish historical connotations."