The World's Richest Man and Woman Are Both French

No.1 LVMH Chairman... No.1 Woman Heir of L'Oreal
NYT "Luxury 'Revenge Spending' Increases Wealth"

The world's richest man and woman both come from France. The top spot among the world's wealthiest is held by Bernard Arnault, chairman of Louis Vuitton Mo?t Hennessy (LVMH).

Fran?oise Bettencourt Meyers (left), granddaughter of the founder of L'Or?al, and Bernard Arnault, chairman of Louis Vuitton Mo?t Hennessy (LVMH)
[Photo by AFP Yonhap News]

On the 5th (local time), the American daily The New York Times (NYT) cited the recent '2023 World Billionaires Report' released by the economic magazine Forbes, reporting that Bernard Arnault, chairman of Louis Vuitton Mo?t Hennessy (LVMH), and Fran?oise Bettencourt Meyers, granddaughter of the founder of L'Or?al, ranked 1st and 11th respectively in the global wealth rankings. Since the top 1 to 10 spots are all men, Meyers, ranked 11th, became the richest woman in the world.

This is the first time Chairman Arnault has claimed the title of the world's richest person. Elon Musk, CEO of Tesla, who was ranked first last year, dropped to second place due to the tech stock slump. LVMH is a fashion group owning luxury brands such as Louis Vuitton, Christian Dior, and Tiffany, and as of the 10th of last month, Chairman Arnault's fortune reached $211 billion (approximately 278 trillion KRW).

Meyers, who has been selected as the world's richest woman for three consecutive years, is the heiress of the cosmetics group L'Or?al, which owns many famous cosmetic brands such as Kiehl's, Lanc?me, Maybelline New York, and Essie, reportedly possessing assets worth about $80.5 billion (approximately 106 trillion KRW).

The NYT viewed the so-called 'revenge spending' by high-income earners, who splurged on luxury goods after suppressed consumer sentiment during the COVID-19 pandemic, as a major factor in their wealth increase. According to the NYT, LVMH's revenue last year was $80 billion (approximately 105 trillion KRW), and L'Or?al recorded $38 billion (approximately 50 trillion KRW), both record figures.

Luca Solca, senior luxury analyst at Bernstein Securities, told the NYT, "Many people are flocking to buy luxury goods after experiencing COVID lockdowns," adding, "The middle class has suffered and is emptying out, but the wealthy have remained unaffected and are increasing consumption in all sectors."

French Public Anger Grows Over 'World's Richest' News

The news that a Frenchman has claimed the world's richest person title has sparked new flames in the domestic debate over income inequality. According to the French National Institute of Statistics and Economic Studies (Insee), the top 10% of wealthy individuals in France hold nearly 80% of the total wealth. Additionally, France is currently suffering from ongoing strikes and protests opposing President Emmanuel Macron's pension reform plan to raise the retirement age from 62 to 64. Many protesters have targeted Chairman Arnault as a main focus of their anger, raising suspicions that the ultra-wealthy have increased their fortunes by paying too little tax.

Philippe Escande, an economic columnist for Le Monde, pointed out, "Chairman Arnault is the epitome of a super-rich individual," adding, "France has valued equality very highly since the Great Revolution, alongside liberty and fraternity. There is a problem related to money." In response, Chairman Arnault rebutted, "LVMH employed 40,000 people worldwide last year, contributed to domestic and international economic growth by opening new stores in France, and invested 5 billion euros (approximately 7.2 trillion KRW)."