The World's Richest Man Is … Mexican

Could this be another symptom of how the U.S. economy is losing its leadership position on the global stage? Carlos Slim Helu, a Mexican telecom tycoon, is now the world's richest man. He is worth $67.8 billion, thanks to the rocketing share prices of three of his companies: América Móvil, Telmex and Grupo Financiero Inbursa. He now has $8.6 billion more than the previous world's richest man, Bill Gates of Microsoft fame. He overtook Warren Buffett as the world’s second-richest man in April. (Source: FTAlphaville, July 4, 2007)

What It Means to You

Although this is strictly symbolic, it could be another indication of how emerging market economies are becoming stronger and more credible. The U.S. economy, while still the largest, is losing its edge thanks to less investment in technological training and the current account deficit. The huge growth in emerging market stock prices clearly propelled Mr. Helu into the top spot, but this in itself is an indication of the growing confidence in these markets after the 1998 LTCM hedge fund crisis.

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