The richest family in the world: Rothschilds
The Rothschild family is believed to have a net worth of $500 trillion dollars. This family is so wealthy that many conspiracy theories went as far as to believe that they control the entire world governments, corporations, and even nations.
They definitely have a long history in the world of finance and banking and are influential, but what probably sets them apart from other wealthy families is that they are the source of many conspiracies and stand right beside the illuminate.
In this blog post, we are going to explore the true wealth of the Rothschild dynasty? How did they build a banking system that controls the world? And how powerful are they today?
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Back in medieval Europe, Jews were not popular and the public didn’t really like them. In fact, they considered them second class citizens. Quite often, I almost every city in Europe, they lived in separate streets that we know today as ghettos.
In one of these houses lived a family that went by the name the red shields or in German language Rothchilds.
In 1763 Mayer Rothchild took over the business. He had a clear vision of exactly where he wants to see the family in the future and had a plan to take over Europe’s financial system.
Back then, religion played a more important role in society than today and according to biblical scriptures. Lending money with interest was prohibited. It was considered an act that is forbidden for any believer in taking part off.
So the entire industry was left for the Jews and since Jews were in this business for a long time, they have mastered the craft. The Rothchild family was primarily specialized in exchanging the currencies, which was a pretty good business back then but not huge.
If the ordinary people stayed away from lending or borrowing money with interest, the nobilities, especially the monarchs, were ready to do everything to keep their grip on power. And continue their vanish life, even if that meant taking huge loans with high interest.
Since banking practices were limited back then, Monarchs didn’t have many options. So Mayer Rothschild sent his five sons to 5 different European capitals to establish financial institutions.
Nathan was sent to London, James to Paris, Solomon to Vienna, Carrels to Naples, and Amshel was trained to take over the German branch after his father. The strategy was simple but effective.
Build strong ties with the monarchs and nobilities of each city and provide them financial services, precisely what banks do today. Back in Germany. Mayer Amshel built his ranks to become a close adviser to the Crown prince William I of Hesse and advised him on all matters related to finance.
And once he became the king, he trusted him all financial decisions. That elevated the family and gave Mayer Rothschild a unique opportunity to turn his vision into a reality. When Napoleon started his invasion of Europe, Mayer Rothschild was ready.
King William of Hesse had to escape his hometown but couldn’t take all his wealth with him, and that’s where Mayer Rothschild came into the picture. Since his sons already established banking systems in other European capitals.
He liquidated William’s wealth, and transferred it to the British branch to Nathan and lent it to the British government to fight Napoleon. Probably one of the smart moves of his time.
That only boosted his credibility and pushed more European monarchs to trust the Rothschild family. Every time a European monarchy would cripple, they would turn to the Rothschild family for aid and be ready to pay unbelievable high interest.
These were safe investments since once they strengthened their grip on power, the entire population had to pay taxes to pay back the loan with interest. In other words, they built the first international banking system.
They would borrow money from one monarch or nobilities and lend them to those who need them the most who pay the highest interest. That’s what the world bank or the IMF does today, or the largest banks such as Goldman Sachs.
This banking scheme was truly revolutionary at its time. But the family knew that they couldn’t only rely on the banking industry and pushed further to diversify their businesses by investing in other industries.
They invested a fortune into a Diamond Company called De Beers and became majority shareholders. In fact, the company still operates today. As recent as the 2000s, it controlled over 80 percent of the diamond industry and was accused of monopoly.
Today the De Beers Group still sells approximately 35% of the world’s rough diamond production through its global Sightholder and auction sales businesses. It operates in 35 countries, and mining takes place in most countries where diamonds are found.
They also invested heavily in Rio Tinto, the world’s second-largest metals and mining corporation, producing iron, copper, diamonds, gold, and uranium. They also moved into the wine industry by buying a wine estate in France, one of the largest wine producers of its time, and produced one of the world’s most expensive red wines.
They funded oil wells to get into the oil and gas business. Purchased a stake in the Suez Canal that connects the west with the east. It is one of the most critical trading routes in the world.
The family made a series of great stable investments in companies that dominated their respective industries. The 20th century was a disaster for the family. First of all, the five brothers who build the banking dynasty all have passed away, leaving their fortunes to their children who were born into wealth.
Some prominent members didn’t have a male heir to pass their fortunes to, and others passed away without any children. That was just the beginning of the end. When Hitler rose to power, it was a nightmare.
Their businesses were confiscated in Germany and once the Nazis invaded the neighboring European countries, the Rothschild didn’t know what to do next since they invested heavily in palaces, paintings, and businesses.
They couldn’t just take them all into exile. So they sold most of them at a fraction of what they really cost. And keep in mind that the Rothschilds of the 20th century weren’t the five brothers who built the dynasty back in the 18th century.
The family recovered some of their wealth after the war. Still, it didn’t last long since the socialists rose to power in France and nationalized their business. In the end, only the branch in London survived the storm of the 20th century.
The family is still wealthy, and some of them are even listed at the Forbes (Benjamin De Rothschild) list with a net worth of almost 2 billion dollars. With the rise of globalization and the internet, the family couldn’t afford to coup up with the progress and is nowhere close to the wealth and power once they held during the rain of the five brothers.
Wealthy dynasties come and go. The more powerful financial institution today is probably JP Morgan. The bank might not be controlled by the JP Morgan family today. But the Bank that was once built by JP Morgan, today controls dozens of trillions of dollars in assets and has over 25 trillion dollars of assets under management.
Warren Buffet is probably the Rothschild of the 21st century. His sphere of specialization is exactly that, taking money from one business and directing them into companies that need them the most in forms of buying shares.
His holding company Berkshire Hathaway is so big that banks, airlines, and major corporations turn to him for financial aid during crises. If you have enjoyed this blog post, you can hit the accept button, and if you want to see more of these blog posts. Then you can subscribe and hit the button. Thanks for reading.
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