I know old money and new money are usually related between real estate, banking, and energy. For this article, I will clump all of those together as “old money” and consider technology companies as “new money.”
In yesterday’s world money was known to come from only a few sources: energy (oil), banking, and/or real estate. These business sectors were built from the ground up and took years to accumulate wealth. Once the business was built up, one had it easy. Some great examples are people that are from the top companies in each respective industry. Basically, any oil company, any major bank, and most recently, Trump real estate.
Although these industries took a while to build up, at their inception there was nothing else like it. I am sure the folks that initially created the business sectors had money of their own, probably from the “old” world. As time sped by, the wealth grew and grew. It took decades, if not centuries to build an empire. Now, in today’s world, it takes a great idea and less than a century, to build something great.
Some great examples of this new, tech money are Facebook, Amazon, Apple, Microsoft, and Google. These companies, all in one business sector, have flourished in the last half-century. They are either worth as much or more than the “old money” companies. According to a 2016 article by Forbes, Apple, Google, and Microsoft are worth more than Exxon Mobile, Wells Fargo, and Berkshire Hathaway. That is pretty amazing for these “new money” companies.
I think these “new money” companies are able to build wealth so quickly is because society has already built a great foundation of basics. I like imagining what we can build when no one has to fight for the basics.