The fortune of Bernard Arnault, French luxury tycoon and CEO of LVMH Moet Hennessy Louis Vuitton, suffered a major blow in 2024, losing $31.9 billion in a single year following plummeting stock prices.
The fall of LVMH and its repercussions on Arnault's fortune
The fortune of Bernard Arnault, long at the top of the ranking of world billionaires, increased from 231 to 178 billion dollars between April and the end of 2024, according to the Bloomberg index. This drop of $53 billion results mainly from the fall of nearly 40% in LVMH shares, of which Arnault holds 48%.
LVMH, the world leader in luxury, owns iconic brands such as Louis Vuitton, Moët & Chandon, and TAG Heuer. However, in 2024, the company faced falling demand in several key markets, including China and Europe. Several factors explain this decline: persistent inflation, the overall economic slowdown, and changing consumption habits.
This stock market correction marks a turning point after a decade of exponential growth for LVMH, and highlights the increased volatility of luxury markets in the face of global economic shocks.
A fortune that remains colossal despite losses
Despite this significant loss, Bernard Arnault maintains his position among the richest people on the planet, now ranking sixth in the world with assets estimated at $178 billion.
This relatively comfortable situation testifies to the solidity of the LVMH empire, which continues to dominate the global luxury sector with prestigious brands such as Louis Vuitton, TAG Heuer and Dom Pérignon.
The long-term outlook also remains promising for large fortunes, as highlighted by the Deloitte Private study. According to their projections, the wealth of ultra-rich families is expected to reach $9.5 trillion by 2030, up from $5.5 trillion currently, suggesting that this difficult period may be just a temporary correction in a growth trajectory in the long term.
This stock market turbulence, although spectacular, does not call into question the fundamentals of the LVMH group nor the dominant position of Bernard Arnault in the global luxury industry. It nevertheless underlines the need for large luxury groups to adapt to a rapidly changing economic environment.
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