The smartest people are selling – Musk, Bezos, Nadella, …
The quote “Be fearful when others are greedy. Be greedy when others are fearful, ” may not apply when some of the most successful businessman and investors are selling large portion of shares…
Musk has now sold $9.85 billion worth of stock in Tesla, which is valued at around $1.10 trillion, in November.
He still holds more than 166 million shares in the company.
Bezos has sold about $2 billion of Amazon.com Inc earlier this month, dedicating much of the proceeeds to restoring nature and transforming food systems as part of his Bezos Earth Fund.
Bezos sold 608,450 shares under a pre-arranged trading plan, according to U.S. Securities and Exchange Commission filings. It brings the amount he’s offloaded this year to about $8.6 billion.
Microsoft chairman and CEO Satya Nadella has shed more than half of his stake in the software giant in the past week.
Nadella sold nearly 840,000 shares of Microsoft just before Thanksgiving, netting him about $285 million in proceeds, according to a filing with the Securities and Exchange Commission. He still owns more than 830,000 shares of Microsoft (MSFT), which are currently worth about $280 million.
Microsoft stock has been a stellar performer this year, soaring more than 50%. Funny enough, Home Depot is the only Dow stock that has done better. The company is now worth more than $2.5 trillion. Only Microsoft rival Apple (AAPL) has a higher market value.
After a year during which he didn’t let go of any Facebook stock, the Facebook founder and CEO has unloaded shares nearly every business day since November 9, 2020, according to filings to the Securities and Exchange Commission.
Apple CEO, Tim Cook sold $750 million of awarded Apple shared he received in a performance payout
What does it all mean
If the wealthiest individuals in the world are selling what does it mean for you stock portfolio?
The stock and crypto markets have seen enormous returns over the past couple years and the top dogs are likely cashing in now to diversify their most recent gains.
However, it may also signal something bigger. If the world’s most saavy individuals are selling they may know something we don’t such as an impending economic downturn.
At the same time, everyone on this list didn’t sell all of their shares meaning they are still betting for the success of their investments. We could see many more years of record gains before a leveling out in the market.
Nonetheless, it may be wise to use this news as a sign of caution to tighten any loose ends in your portfolio and prepare for an uncertain future going forward.