• superkret@feddit.org
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    2 months ago

    With money they loan from a bank, using whatever they bought with the previous loan as collateral.
    It’s credit all the way down.

    • sugar_in_your_tea@sh.itjust.works
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      2 months ago

      And that ends when they die, at which point the stocks get stepped up in basis so the taxes are almost completely avoided. Or they structure their debts in such a way that certain entities can be bankrupted without impacting the actual assets.

      Things get wild when you’re in the 0.1% and above.