Nicky Oppenheimer, Africa’s third-richest man, has seen a huge decrease in his net worth, eliminating a percentage of the gains he gained earlier this year, after showing a $800 million boost in his wealth numbers just one month ago.
The Bloomberg Billionaires Index, which tracks and compares the wealth of the world’s 500 wealthiest people, shows that the South African billionaire’s net worth has dropped by $430 million in the last 26 days. He is the second-richest man in South Africa and the fourth-richest on the continent.
According to Bloomberg, his fortune fell from $8.83 billion on February 5 to $8.4 billion on March 3.
Oppenheimer’s net worth has recently dropped by millions of dollars due to the performance of his private equity investments across continents, including Africa, Asia, the United States, and Europe.
The drop coincides with a slump in the global equities market as a result of the Federal Reserve’s recent decision to hike interest rates by 0.25 percentage point. As a result, the federal funds rate reached its target range of 4.5 to 4.75 percent.
The Federal Reserve’s latest move to raise interest rates is the seventh straight rise targeted at lowering liquidity in financial markets and containing excessive inflation.
But, prominent economists are concerned about this approach. Moreover, three Fed officials have cautioned that the Fed’s “immaculate disinflationary” approach may trigger a recession.
Despite a $430 million dip in his net worth, Nicky Oppenheimer remains one of Africa’s richest billionaires. His current net worth is $8.4 billion, according to this report.
His year-to-date wealth gains exceed $375 million, owing largely to his investments in Stockdale and Tana Africa Capital, a private equity joint venture he formed with Singapore-based investment vehicle Temasek Holdings.
Oppenheimer is a strong advocate of wilderness conservation in addition to his private equity investments. With his son Jonathan, he co-owns Tswalu Kalahari, South Africa’s largest private game reserve.
He also owns the 65,000-hectare Shangani Ranch, which employs 400 people and has housed at least 8,000 cattle since 1937 for meat export to the United Kingdom. It is recognized as a wildlife sanctuary because it acts as an animal migration path.