I Asked ChatGPT How Billionaires Buy Things If Their Money Is Tied Up in Stocks and Other Assets
Written by
Vance Cariaga
Edited by
Jenna Klaverweiden
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Billionaires not only have a lot more money than most people but also have a much bigger percentage of money tied up in stocks and other assets you can’t readily spend.
The top 0.1% of Americans by wealth had a combined net worth of $23.57 trillion during the 2025 second quarter, according to the Federal Reserve. Of that total, more than half was in corporate equities and mutual fund shares. Only $1.97 trillion was in real estate. The rest was spread among other assets.
In contrast, many Americans — those within the 50% to 90% wealth percentile group — had a combined $58.91 trillion in assets. The largest portion of their wealth was tied up in real estate ($22.73 trillion), while only $5.99 trillion was in corporate equities and mutual fund shares.
When billionaires have so much money tied up in stocks, how do they buy things? GOBankingRates asked ChatGPT that question, and here’s what it had to say.
Also see money lessons billionaires learn early that most people never do.
They Get Asset-Backed Loans
This is the No. 1 method billionaires use when they need a quick infusion of cash to make purchases, according to ChatGPT. They go to banks and borrow money using their stocks, real estate, businesses or other assets as collateral.
This method has three main advantages for billionaires:
- They get very low interest rates because of the strength of the collateral.
- They avoid capital gains taxes that would come from selling stock.
- They get to hold on to the assets, which lets them continue appreciating in value.
This strategy was spotlighted in a 2021 Forbes article, which noted that most of the country’s richest people borrow against their stock to access cash specifically so they can avoid capital gains taxes.
Two of the mega-billionaires mentioned in the Forbes article were Elon Musk and Larry Ellison — who rank among the world’s richest people today.
They Use Their Companies To Fund Purchases
If a billionaire owns a large stake in a company, the company itself might do one of the following when the billionaire needs money to buy things:
- Provide a special dividend that might pay out tens of millions of dollars, which is enough to buy a vacation home or private plane.
- Pay bonuses, fees or loans.
- Cover certain business-related expenses directly.
In some cases, billionaire stockholders will be issued elite credit cards for purchases that offer perks and benefits you won’t find with typical cards. According to Forbes, the most prestigious cards might offer the following:
- “White-glove customer service” at any time.
- Credit card concierges, who can get “impossible-to-get reservations,” access to private jets and “lavish” hospitality.
They Use Cash Flow From Investments
Even if billionaires don’t sell stock, they can still earn spending money through dividends, rental income, interest income and profits from private businesses they own.
This passive cash flow can amount to millions of dollars per month, giving them plenty of money to buy things.
They Sell Assets Over Time
Another way for billionaires to raise money for purchases is by selling portions of their holdings over time. The key is to sell small enough portions that they still maintain majority control of the assets.
For example, suppose a billionaire with $3 billion invested in a company sells $20 million a year in stock. That still amounts to less than 1% of their holdings — but they can buy a whole of stuff with $20 million a year.
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