The Romney kids' $100 million trust fund

CNN Money ^ | February 6,2012 | Blake Ellis

[Hojczyk]

Mitt Romney's five sons -- Matt, Tagg, Craig, Ben and Josh -- are sitting pretty with a trust fund worth $100 million.

To get to $100 million, the account would have needed a 26% average annual compound rate of return, said Jonathan Bergman, chief investment officer at Palisades Hudson Asset Management. Stocks over that same time have gained about 10%.

Plus, there are probably many investments we don't know about. "Romney probably invested the trust in the same kinds of things he invested in himself, like startups and private equities -- investments with high growth," said Tim Gagnon, assistant academic specialist of Accounting at Northeastern University.

"You've got people who are paid $1 million a year to work 3,000 hours just to figure out ways to transfer money from older generations to younger generations, and Romney has the money to hire the best of the best," said Bergman.

[Vermont Lt]

I agree he is a capitalist, but please do not buy into the self made crap.

[Mr Rogers]

Actually, I do consider this rather damning. Averaging a 26% annual return over the last 20 years is not possible unless you are crooked.

Take a look at Fidelity mutual funds. Lots of money, and lots of research. The top money managers available. And yet, their returns (including the 2008 crash) rarely hit 10%/year.

But Mitt’s kids are making 26%/year, including the crash? And I’m supposed to believe it is happening honestly?

Yeah...and Mitt doesn’t smear his opponents, either...

[Night Hides Not]

If asked by my liberal friends about this, even though I'm not a Romney supporter, my reply will be simple:

1. Was this done illegally? After hemming and hawing and obfuscating, etc., the answer will be "no".

2. Then STFU.

[USNBandit]

CNN thinks the news is that Romney's kids have a $100 million in a trust fund.

I think the real news is this

To get to $100 million, the account would have needed a 26% average annual compound rate of return,

That is pretty impressive. I know it takes money to make money, but that is still amazing.

[silverleaf]

SO what??????

[impimp]

He gave it all away.

[sanjuanbob]

I totally agree with you...he supposedly earned his fortune honestly, etc. Congratulations to Mitt!

What I’m concerned about is the giant silver spoon (actually gold) that the Romney family eat off of. How can they possibly relate to the common citizen struggling to fill the tank with gas or pay the bills and put groceries on the table for two weeks until pay day comes around again.

He’d make a good king, but we already have one of them. Not presidential in my opinion.

[Iron Munro]

What is this B.S.?

Still trying to promote class envy?

Money made legally.
Taxes paid.
Good for them.

[Noob1999]

..........................To get to $100 million, the account would have needed a 26% average annual compound rate of return, said Jonathan Bergman, chief investment officer at Palisades Hudson Asset Management. Stocks over that same time have gained about 10%...................

And that is a problem, why??

I guess if you’re willing to spend $1 million a year on investment advise, wou’d best beat the market big time, otherwise, as Mitt says, “you’re fired!”

[newzjunkey]

The story is Mitt donated his inheritance to charity.

[RC one]

sure he did. And he has a lifetime membership to the NRA and he passed meaningful immigration reform while governor and he wasn’t run out of massachusetts by the electorate, he just didn’t want a second term. And he never told a lie either, just ask Newt Gingrich. Old money never leaves the family, that’s why it’s called “old money”.