reSee.it - Tweets Saved By @LogWeaver
reSee.it AI Summary
I discovered the Cargill-MacMillan family, an American dynasty with 14 billionaires, controlling a significant portion of the global food supply. Their journey began in 1865 when William Wallace Cargill opened a grain storage facility. Over the years, they expanded from grain trading to processing food products, maintaining a private company structure that allowed for strategic growth without public scrutiny. Today, they dominate various food sectors, yet remain largely unknown to the public. This highlights how true power often lies in the unseen control of essential resources.
@LogWeaver - Logan Weaver
There's an American family with 14 billionaires. More than any family on Earth. And they control the ENTIRE global food supply. It's not the Waltons. It's not the Kochs. 99% of people have never heard their name. Here's how they became the richest invisible dynasty: 🧵 https://t.co/DqRcv9ToBL
@LogWeaver - Logan Weaver
Meet the Cargill-MacMillan family. Combined net worth: $65 billion. They own 88% of Cargill Inc, the largest private company in America. $177 billion in annual revenue. This is how it all started: https://t.co/nCYsPJdkiz
Video Transcript AI Summary
The Cargill Macmillan dynasty, with an estimated worth of $60.6 billion, avoids publicity despite their immense wealth, which exceeds the GDP of over 100 countries. Unlike more public billionaires, the Cargill heirs maintain a low profile while controlling a vast global empire. Founded in 1865, Cargill Incorporated is the largest privately held company in the United States by revenue. The company reported $160 billion in revenue for the fiscal year 2024, a decrease from $177 billion the previous year.
Full Transcript
Speaker 0: When your family fortune exceeds the gross domestic product of more than 100 countries, your name should be synonymous with power. But the Cargill Macmillan dynasty, worth an estimated $60,600,000,000, prefers to operate in near total obscurity. In a world where billionaires launch themselves into space and broadcast their wealth on social media, the Cargill heirs remain ghost like, controlling a vast global empire without the scrutiny that plagues their flashier counterparts. Cargill Incorporated, founded in 1865, is the largest privately held company in The United States by revenue, reporting 160,000,000,000 in revenue for the fiscal year 2024, a decline from $177,000,000,000 the previous year.
@LogWeaver - Logan Weaver
It started in 1865 with William Wallace Cargill. A 21-year-old from New York who saw opportunity in post-Civil War chaos. He opened a single grain storage facility in Iowa. His insight? Control the storage, control the trade. But he had a bigger vision: https://t.co/FIkg9cvJhL
Video Transcript AI Summary
In 1865, as the U.S. rebuilt after the Civil War, the government prioritized connecting its fragmented territory via railroads, especially from the Midwest to the East Coast. William Wallace Cargill recognized an opportunity: connecting farmers with distant buyers. He bought a grain flat house next to an Iowa railroad line, betting on movement over production. Cargill's bet proved correct, marking a major transformation in the American economy. The arrival of the railroad in the Midwest revolutionized the region, expanding horizons and transporting goods, including grain. Railroads opened the Western frontier, enabling farmers to increase wheat production and transport it further. Cargill became the intermediary between supply and demand.
Full Transcript
Speaker 0: Cargill's story begins back in 1865. The American Civil War ends, the country begins rebuilding, and one of the government's top priorities is to connect its vast territory, which in the second half of the nineteenth century is very fragmented. Small areas centered around large urban hubs, but with few connections between them. To do that, it invests heavily in railroads, especially starting from the Midwest heading toward the East Coast. It's the Transcontinental Railroad, a project that connects Omaha with California.
William Wallace Cargill sees this opportunity early. He's not a farmer. He doesn't own land or harvest crops, but he notices something others miss. There's no system to connect farmers with distant buyers. So in 1865, Cargill buys a grain flat house next to a railroad line in Iowa.
It's a small warehouse, but in a key location. He's betting on movement, not production, and what happened is that mister Cargill was actually right. This moment marks the beginning of a major transformation in the American economy. From the Midwest, the first railways begin to be built. In those lands where there were once only vast stretches of farmland, the arrival of the railroad is a true revolution.
Trains begin to move throughout the Midwest, expanding horizons, transporting good, and soon grain as well. The railroads open up the Western frontier, allowing farmers to grow more wheat and transport it further than ever before. Cargill is becoming the middle layer between supply and demand.
@LogWeaver - Logan Weaver
By the 1870s, William brought his three brothers into the business. They weren't just storing grain anymore, they were buying it directly from struggling farmers at low prices. Then shipping it via railroad to hungry cities at high prices. William's strategy was brilliant: https://t.co/9j5aoLUznH
@LogWeaver - Logan Weaver
While farmers competed against each other and drove prices down, he consolidated their grain. While cities competed for limited supply and drove prices up, he controlled distribution. He positioned himself as the middleman in America's most essential trade. https://t.co/JXn4m0OYjK
Video Transcript AI Summary
By the early 1900s, William Wallace Cargill had built and acquired nearly 100 grain elevators across Iowa, Minnesota, and Wisconsin. His approach involved purchasing grain directly from local farmers, storing it, and selling when market conditions were favorable.
Cargill's model hinged on buying grain at low prices during harvest, leveraging seasonal oversupply. He stored massive amounts in elevators located strategically near roads, waiting for prices to rise. When market demand surged, especially in large urban centers like Minneapolis and Chicago, Cargill sold his stored grain at significant profits. These profits were reinvested into expanding storage capacities and improving logistical infrastructure, building a cycle of continuous growth.
Full Transcript
Speaker 0: By the early nineteen hundreds, William Wallace Cargill had strategically built and acquired nearly 100 grain elevators across Iowa, Minnesota, and Wisconsin. Initially, his approach was simple yet powerful. Purchase grain directly from local farmers, store it strategically, and sell it when market conditions were favorable. Cargill's model hinged on buying grain at low prices during harvest, leveraging seasonal oversupply. He would store massive amounts in elevators located strategically near roads, waiting patiently for prices to rise.
When market demand surged, especially in large urban centers and industrial hubs like Minneapolis and Chicago, Cargill sold his stored grain at significant profits. And these profits didn't just sit idle. They were consistently reinvested into expanding storage capacities and improving logistical infrastructure, building a cycle of continuous growth.
@LogWeaver - Logan Weaver
But William saw something even bigger coming: In the 1880s, he started buying: - Flour mills - Feed companies - Processing plants He wasn't just trading grain anymore, he was turning it into everything Americans needed to eat. https://t.co/1y5USDEUk4
Video Transcript AI Summary
Cargill was founded in 1865 by William Cargill, who bought a grain flat house in Conover, Iowa. He was joined a year later by his brother Sam, forming Cargill and Brother. They built grain flat houses and opened a lumberyard in La Crosse, a strategic location on the Mississippi River.
Sam Cargill left La Crosse in 1887 to manage the Minneapolis office, which incorporated as Cargill Elevator three years later. In 1898, John H. Macmillan Sr. and his brother Daniel began working for William Cargill. Macmillan married William Cargill's daughter, Edna, becoming part of the family.
Upon Sam Cargill's death in 1903, William Cargill became the sole owner of the La Crosse office. John McMillan was then named general manager of the Cargill Elevator Company and moved his family to Minneapolis.
Full Transcript
Speaker 0: Cargill was founded in 1865 by William Cargill when he bought a grainy flat house in Conover, Iowa. A year later, William was joined by his brother Sam forming Cargill and Brother. Together, they built grainy flat houses and opened a lumberyard. La Crosse was strategically located on the Mississippi near the junctions of the La Crosse River, Dubuque, and Southern Minnesota divisions of the Chicago, Milwaukee, and Saint Paul railroads. Sam Cargill left La Crosse in 1887 to manage the office Minneapolis, an important emerging green center.
Three years later, the Minneapolis operation incorporated as Cargill Elevator. In 1898, John H. Macmillan Sr. And his brother Daniel began working for William Cargill. Macmillan then married William Cargill's eldest daughter, Edna, and became part of the Cargill family.
Upon Sam Cargill's death in nineteen o three, William Cargill became the sole owner of the La Crosse office. John McMillan was named general manager of the Cargill Elevator Company and moved his family to Minneapolis.
@LogWeaver - Logan Weaver
By the 1890s, Cargill was buying grain directly from farmers. Then transporting it via railroad to cities. Then processing it into food products. From farm to table, all under one roof. https://t.co/DgJG93NdlU
Video Transcript AI Summary
In the late 1860s, Cargill's brothers, Sam and Sylvester, joined the business. John H. Macmillan Sr. became involved in 1895 through marriage to William's daughter, Edna Clara Cargill. His business skills proved crucial for the company's long-term expansion. By the early 20th century, the Cargill-Macmillan partnership had established itself in grain storage and trading. Full vertical integration into shipping, processing, and distribution was still to come.
Full Transcript
Speaker 0: The next strategic move came when Cargill's brothers, Sam and Sylvester, joined the business in the late eighteen sixties. John h Macmillan senior entered the picture later, marrying William's daughter, Edna Clara Cargill, in 1895. His business acumen soon became indispensable to the company's long term growth. By the early twentieth century, the Cargill McMillan partnership had solidified its position in grain storage and trading, though full vertical integration into shipping, processing, and distribution would come later.
@LogWeaver - Logan Weaver
When William died in 1909, the business faced a crisis. Massive debts. Overextended operations. His son-in-law John MacMillan Sr. took over a company on the brink of bankruptcy. MacMillan made the decision that changed everything: "We stay private. Forever." https://t.co/MiR0VMeON5
@LogWeaver - Logan Weaver
MacMillan spent the 1910s restructuring and stabilizing. By the 1920s, Cargill was expanding globally. During the Great Depression, while competitors failed, Cargill bought their assets for pennies. World War II was even better, they fed entire armies. https://t.co/ruSg2iL3qu
Video Transcript AI Summary
Cargill faced heavy financial losses after World War I due to plummeting grain stock values, revealing the risk of relying solely on grain. This led to a pivotal decision to diversify revenue streams, marking the beginning of the Cargill empire.
In the 1920s, Cargill began investing in grain storage and transportation, acquiring barges and ships to control distribution. In the 1930s, the company entered the animal feed business, which proved resilient during the Great Depression.
Cargill further diversified into vegetable oils and financial services related to agriculture. The onset of World War II in Europe brought a new wave of market growth and wartime profits, aligning with the expansion of US power abroad.
Full Transcript
Speaker 0: But after the war, America entered the era of the Great Depression, marked symbolically by Black Monday in 1929. Even earlier between 1920 and 1921, there had already been a collapse in agricultural prices. Cargill suffered heavy financial losses. The value of the grain stocks accumulated during wartime plummeted, leading to an internal crisis. It became clear that depending solely on grain was risky.
Cargill began to diversify in the nineteen twenties, and this strategy accelerated during and after the Great Depression. The company recognized that grain markets were to guarantee reliable income and long term sustainability. And in the end, this marked a pivotal moment. The decision was made to diversify revenue streams. But if we look at it in perspective, this moment is also extremely important because marked the beginning of Cargill Empire as we know it today.
Cargill began by investing in grain storage infrastructure and transportation. To reduce its reliance on third party carriers and gain greater control over distribution, the company acquired its own barges and ships. In the nineteen thirties, Cargill entered the animal feed business, moving beyond the trade of raw grain. This new sector proved remarkably resilient. Demand for meat and dairy remained strong even during times of economic hardship.
Cargill continued to diversify. It began producing and processing vegetable oils and expanded into financial and insurance services related to agriculture. But another pivotal moment was just ahead. As the second world war erupted in Europe, Cargill riding a new wave of market growth and increasing wartime profits followed the expansion of US power abroad.
@LogWeaver - Logan Weaver
The family kept expanding through the decades: 1940s: Animal feed and soybean processing 1960s: Became a commodities trader 1980s: Bought meat processing plants 2000s: Acquired global food companies Each generation found new ways to control more of the food chain. https://t.co/1L7MdTZcih
Video Transcript AI Summary
By the mid-20th century, Cargill transformed into a global agricultural powerhouse. Under John Macmillan Jr.’s leadership, Cargill became a dominant force in grain trading, using logistics and government relationships. During the 1950s, Macmillan Jr. modernized operations, expanding facilities and securing government contracts.
Whitney Macmillan spearheaded Cargill's move into commodity trading. Facing competition from Archer Daniels Midland and Bungee in the 1960s, Cargill pursued international markets under Whitney Macmillan and Cargill Macmillan Jr., integrating into shipping, animal feed, and oilseed processing, with operations in Canada, Latin America, and Europe.
In 1976, Whitney Macmillan became CEO, diversifying into petroleum, steel, and financial services, acquiring facilities and forming transportation partnerships. Cargill faced accusations of manipulating grain prices. Throughout the 1980s, the Macmillan family navigated geopolitical tensions.
Full Transcript
Speaker 0: By the mid twentieth century, Cargill Incorporated had transitioned from a regional grain storage business into a global agricultural powerhouse. As World War two ended, the demand for food and commodities soared, creating an unprecedented opportunity for expansion. Under the leadership of John Macmillan junior, who had taken the helm in the nineteen thirties, Cargill emerged as a dominant force in grain trading, leveraging a sophisticated logistics network and strong relationships with governments and major food producers. During the nineteen fifties, John Macmillan junior focused on modernizing the company's operations. He oversaw the expansion of Cargill's grain storage facilities, increased investments in processing plants, and secured lucrative government contracts that allowed the company to supply food aid to postwar Europe.
His son, Whitney Macmillan, entered the business during this time and played a crucial role in shaping Cargill's future direction. Whitney's financial acumen and strategic thinking led him to spearhead Cargill's move into commodity trading, a decision that would make the company an even more formidable player in global markets. As the nineteen sixties progressed, Cargill faced growing competition from Archer Daniels Midland and Bungee, two rivals also expanding their influence in the agricultural sector. To maintain its edge, the company, now under the increasing influence of Whitney Macmillan and his cousin Cargill Macmillan junior, aggressively pursued international markets. They recognized that true dominance required not just controlling grain storage and processing, but also integrating vertically into shipping, animal feed, and oilseed processing.
By the late nineteen sixties, Cargill had operations in Canada, Latin America, and Europe, making it one of the most internationalized agribusinesses of its time. The nineteen seventies marked a defining period in Cargill's evolution. Whitney Macmillan formally became CEO in 1976, and under his leadership, Cargill diversified into new commodities, including petroleum, steel, and financial services. This era saw the company's most aggressive expansion yet, with Cargill acquiring grain elevators, oilseed processing plants, and port terminals worldwide. The company also formed partnerships with major transportation firms to control shipping and reduce dependency on third party logistics providers.
These moves were not without controversy, as critics accused Cargill of using its market influence to manipulate grain prices, leading to calls for regulatory oversight. Throughout the nineteen eighties, the Macmillan family maintained its grip on Cargill's decision making. Whitney Macmillan, alongside his cousin Austin Macmillan, steered the company through geopolitical tensions, including trade embargoes and economic recessions.
@LogWeaver - Logan Weaver
By staying private, they could make moves no public company could: - Long-term investments without quarterly pressure. - Aggressive acquisitions without shareholder approval. - Global expansion without public scrutiny. Family decisions made in boardrooms, not headlines. https://t.co/giBV38UhFG
Video Transcript AI Summary
Cargill is the largest privately owned company in America, with revenue exceeding the combined revenue of the third, fourth, and fifth largest companies. They profit from almost every food purchase due to a century of consolidating and acquiring other companies.
Cargill's power has suppressed wages, weakened worker power, pushed family farms to near extinction, and manipulated consumer prices. The company once had an intelligence operation larger than the CIA. Cargill is planning to acquire a chicken empire, which will further expand their reach.
Full Transcript
Speaker 0: They've been called the worst company in the world. They once had an intelligence operation bigger than the CIA, and they have near complete control over how and what you eat. Cargill Incorporated is the biggest privately owned company in America by a huge margin. They bring in more money than the third, fourth, and fifth largest companies combined. Pretty much any food you buy, they make a little bit of money off of.
This is a result of over a century of consolidation, Absorbing, buying up, and merging with other companies to try to control a chunk of every aspect of the food economy. Special treat. Their power and breadth have kept wages down, squashed worker power, and pushed family farms to the brink of non existence, while manipulating prices for the consumer. That's you. And that ubiquity is about to get even worse.
Cargill has plans to absorb a chicken empire.
@LogWeaver - Logan Weaver
Today, Cargill controls more of your food than you realize: That McDonald's egg? Cargill supplies it. Your beef, pork, turkey? Cargill slaughters it. Your chocolate, salt, oil? Cargill refines it. They're in everything you consume. Their numbers? https://t.co/l50LDiSgDj
Video Transcript AI Summary
Cargill's role in global dynamics deepened over time, involving the company in international conflicts and aligning it with geopolitical powers. This made Cargill a key player in global negotiations. When the global pandemic erupted in 2020, world leaders were concerned about global food security. US President Donald Trump turned to Cargill for reassurance.
Full Transcript
Speaker 0: From that moment on, Cargill's role in global dynamics only deepened. Its growing involvement in international conflicts and its alignment with geopolitical powers made Cargill a key player at the negotiating table in matters of global importance. For example, when the global pandemic erupted in 2020, major leaders around the world were trying to understand what kind of impact lay ahead. One of their key concerns was global food security. The most powerful leader in the world, US president Donald Trump had one key interlocutor to turn to for reassurance, and it was actually Cargill.
@LogWeaver - Logan Weaver
Absolutely insane: - 155,000 employees worldwide. - Operations in 70 countries. - Control 22% of U.S. beef production. Along with 3 other companies, they control 70-90% of global grain trade. Yet most people couldn't name a single family member. https://t.co/GhWkjH63DC
@LogWeaver - Logan Weaver
The family split into two branches: Cargills and MacMillans. About 90 family members own the company. 14 of them are billionaires, more than any other family on Earth. They've built the ultimate invisible empire, controlling necessities while avoiding attention. https://t.co/Ist2KeNSVp
Video Transcript AI Summary
Invitation-only galas at Manhattan's Metropolitan Museum of Art feature black-tie dinners under the Temple Of Denda, live string quartets, and private viewings of masterpieces. After-hours soirees on the rooftop overlook Central Park, with champagne flowing from crystal fountains and chauffeured limousine departures. Cargill Cares Councils mobilize 100,000 volunteer hours annually for pre-approved causes determined in secret family councils. These include planting heirloom orchards on private estates and funding water management projects and doctoral fellowships. Attendance is by personal invitation only, with embossed leather passes and numbered keepsake pins. This ensures influence and charity remain within the family as demands for corporate transparency increase.
Full Transcript
Speaker 0: Their invitation only galas at Manhattan's Metropolitan Museum of Art are the stuff of legend. Black tie dinners held under the Temple Of Denda, live string quartets echoing through the Egyptian galleries, and private viewings of rarely seen masterpieces, all capped by after hours soirees on the rooftop overlooking Central Park, where champagne flows from crystal fountains and guests depart in chauffeured limousines. Meanwhile, Cargill Cares Councils mobilize 100,000 volunteer hours annually but only for causes pre approved in secret family councils, planting heirloom orchards on private estates in Vermont, funding bespoke water management projects in remote African villages and underwriting doctoral fellowship in precision agronomy. Attendance is strictly by personal invitation complete with embossed leather passes and individually numbered keepsake pins ensuring that both influence and charity stay firmly within the family's tight As demands for corporate transparency and ethical supply chains intensify.
@LogWeaver - Logan Weaver
The lesson? The most powerful families aren't the ones you see on magazine covers. They're the ones controlling what you can't live without. While everyone watches the latest tech IPO, generational wealth is built by controlling everyday necessities. Smart money follows the same principle:
@LogWeaver - Logan Weaver
Instead of chasing the latest trends, build wealth through consistent, systematic strategies. Focus on long-term growth, not short-term hype. Here's exactly how to do that: https://t.co/lYHep6qNno
Video Transcript AI Summary
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Full Transcript
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@LogWeaver - Logan Weaver
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@LogWeaver - Logan Weaver
That's it. Thanks for reading. Follow me @LogWeaver, for more stories like this.
reSee.it AI Summary
The conversation outlines how Donald Trump's wealth stems from a strategy initiated by his grandfather, Friedrich Trump, during the 1890s gold rush. Instead of mining, Friedrich opened restaurants and hotels for miners. His wife, Elizabeth, later invested in real estate, leading to the establishment of "E. Trump & Son" by their son Fred, who capitalized on government housing contracts. Donald then shifted focus to Manhattan real estate, achieving significant success. The discussion emphasizes the importance of positioning oneself in money flows rather than chasing them.
@LogWeaver - Logan Weaver
Everyone thinks Trump got rich from real estate. That's wrong. His real fortune came from ONE strategy his grandfather invented during the 1890s gold rush. Here's how this 130-year-old principle built a $8 BILLION empire: 🧵 https://t.co/SBoiw2aSHf
@LogWeaver - Logan Weaver
Trump's wealth started with his grandfather Friedrich Trump. In the 1890s, while others were digging for gold, Friedrich did something smarter: He opened restaurants and hotels for the miners. Instead of gambling on finding gold, he sold picks and shovels to the gamblers... https://t.co/vhXzURWC1i
Video Transcript AI Summary
Donald Trump's family has a long history in New York City, beginning with his grandparents. Friedrich and Elizabeth Trump were both born in Karlstadt, Germany, and grew up across the street from each other. In the 1880s, Friedrich went to North America and made a small fortune during the Alaska gold rush by operating restaurants and brothels.
Full Transcript
Speaker 0: It's tough to separate Donald Trump from his hometown of New York City. In fact, his family has a long history in the Big Apple, starting with his grandparents. Friedrich and Elizabeth Trump were both born in Karlstadt, Germany, and actually grew up across the street from one another. In the eighteen eighties, Friedrich ventured to North America, making a small fortune during Alaska's gold rush operating restaurants and brothels.
@LogWeaver - Logan Weaver
Friedrich made a fortune serving miners, not mining. When he returned to Germany in 1901, he was wealthy enough to marry and live comfortably. But German authorities kicked him out for dodging military service. Then it got even worse: https://t.co/SH2Bw4gi2f
Video Transcript AI Summary
Friedrich Trump married Elizabeth in 1902 and they immigrated to New York City, settling in the German neighborhood of Morrisania in the Bronx. The five boroughs had formally incorporated just four years prior. After the birth of their first child, also named Elizabeth, in 1904, Elizabeth became homesick and the family returned to Germany. However, the German government refused to restore Friedrich's citizenship, alleging he had left for America to evade mandatory military service.
Full Transcript
Speaker 0: Returned to Germany and married Elizabeth in nineteen o two, the young couple left for a place where all immigrants could find a home, New York City. The city part of that was relatively new. The five boroughs had only formally incorporated four years prior. The Trumps first settled in with Friedrich's sister in Mauritania, a rapidly growing German neighborhood in the Bronx. Today, a nail salon occupies their old address.
But even though they lived amongst their countrymen, Elizabeth quickly became homesick. After giving birth to their first child, also named Elizabeth in nineteen o four, the growing family traveled back to Deutschland. But the German government wouldn't allow Friedrich to regain his citizenship, claiming he had only left for America in the first place to avoid the German Empire's mandatory military
@LogWeaver - Logan Weaver
Forced back to America, he died young in the 1918 flu pandemic. After he died in 1918, his widow Elizabeth was left with three young children. She took Friedrich's savings from the mining ventures and started investing in real estate: https://t.co/hgDxSmVRwe
Video Transcript AI Summary
The Spanish flu was one of the most dangerous epidemics, killing over twenty-one million people worldwide, including Frederick Trump. Elizabeth then managed her.
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Speaker 0: Experienced one of its most dangerous epidemics, the Spanish flu. Influenza killed over twenty one million people worldwide that year, including Frederick Trump. Elizabeth went on to manage her
@LogWeaver - Logan Weaver
In 1923, she partnered with her son Fred to found "E. Trump & Son." Fred was just out of high school but had big vision. He spotted where the money was flowing: Government housing contracts. Fred positioned himself as the government's go-to builder. The result? https://t.co/hn3o4IV2Zp
Video Transcript AI Summary
Fred Christ Trump, Donald Trump's father, was born in the Bronx in 1905 to German American parents. Due to the World Wars, Fred spent much of his life pretending to be Swedish and only admitted to being German American in the 1980s.
The family changed their name from Trump to Trump to distance themselves from their German heritage. After his father died from the Spanish flu, Fred became the man of the house as a teenager. At 18, he started his real estate career with an $800 loan from his mother, smaller than the $1 million loan Donald received from him. Fred used the $800 to buy a home in Queens, sold it for $7,000, and continued repeating this process.
Full Transcript
Speaker 0: Fred Christ Trump was Donald Trump's dad. You probably haven't heard a lot about him, but he has a fascinating story, and you can't understand Donald without understanding Donald's dad. Fred Trump was born in the Bronx in nineteen o five to German American parents. Thanks to the two world war the Germans started though, Fred spent most of his adult life pretending to be Swedish. Over seventy years later in the nineteen eighties, he finally admitted to being German American.
His family also changed their last name from Trump to Trump to further distance themselves from their German heritage. When Fred Trump was just a kid, his dad died from the Spanish flu. As a teenager, Fred Trump had to be the man of the house. And at 18, he started with a small loan of $800 from his mom to buy some real estate. A little bit smaller than the $1,000,000 loan Donald got from Fred.
Fred Trump used the $800 to buy a home in Queens and ended up selling it for $7,000. He used the proceeds of the sale to keep doing this over and over and over again.
@LogWeaver - Logan Weaver
Fred became "The Henry Ford of homebuilding." His strategy was simple but brilliant: 1. Buy cheap land in outer boroughs. 2. Build thousands of middle-class apartments. 3. Use government contracts during WWII for guaranteed income. By the 1940s, he was making millions. https://t.co/Ok1cCZEHkb
Video Transcript AI Summary
In the 1920s and 30s, and after World War II, Fred Trump partnered with his mother to establish the construction business E Trump and Son two years later. Though only 15, he had a knack for business and advertising. He issued press releases and used billboards. This wasn't the real estate advertising seen today, but he was setting a model for Donald.
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Speaker 0: Two years later, Fred Trump partnered with his mother to establish a construction business, E Trump and Son. He was just 15, but had a knack for business and advertising.
Speaker 1: Started working in the twenties through the thirties during and after World War two. He issued press releases. He had billboards. It wasn't the kind of advertising we see now for real estate, but he was certainly doing it, he was setting a model for Donald.
@LogWeaver - Logan Weaver
In 1946, his son Donald was born into this growing real estate empire. Donald grew up watching his father build thousands of apartments across Brooklyn and Queens. After college, he joined the family business in 1968. But Donald had bigger ambitions than his father: https://t.co/QITCwbRlHE
Video Transcript AI Summary
Donald John Trump was born in Queens, New York in 1946. He attended the New York Military Academy before transferring to the Wharton School of Business at the University of Pennsylvania. According to one of his coaches at the military academy, Trump was extremely coachable due to his desire to win. The coach claimed Trump listened and remembered instructions more effectively than most kids.
Full Transcript
Speaker 0: Born in Queens, New York in 1946, Donald John Trump attended the New York Military Academy before transferring to Penn's Wharton School of Business. When he went to a military academy and he was hypercompetitive, one of his coaches there told me that he was the most coachable kid he ever had because most kids don't really listen when you tell them what to do. This coach said he listened and he remembered because he really wanted to win.
@LogWeaver - Logan Weaver
When Donald joined the business in the early 1970s, he made a crucial decision. He saw where the money was flowing: Manhattan real estate. While others including Fred avoided the risky urban market, he positioned himself right in the money stream. Higher risk. Higher reward. https://t.co/vNVXGGTDIn
@LogWeaver - Logan Weaver
In the early 1970s, he convinced his father to back his first big Manhattan play: The Commodore Hotel was a dump near Grand Central Station. Everyone said Donald was crazy to buy it. But Donald saw it would drive massive foot traffic: https://t.co/LRT9iOjey7
Video Transcript AI Summary
New York City was losing population, welfare and crime were increasing, and companies were leaving. During that time, the city lost 40 to 50 headquarters companies. Donald Trump invested time and money into an area that others were leaving.
Donald Trump, in his early twenties, spotted the rundown Commodore Hotel. To buy it and finance renovations, he needed a large tax break from New York City. The Commodore Hotel was obsolete and about to shut down.
Full Transcript
Speaker 0: We were losing population. The there was a great increase in welfare, a tremendous increase in crime. People were afraid to walk the streets. And probably during those four to five years or six years, we will must have lost about 40 or 50 headquarters companies, which were the heart of what New York City corporate business was all about. And what impressed me the most about Donald was willingness to invest time and money into an area that everybody else was trying to leave.
He was very young. I believe he was in his early twenties at that time. He was full of confidence. He had a brash way about him.
Speaker 1: Scouting for opportunities in Manhattan, Donald spotted the Commodore, a vast yet rundown hotel. But to buy it and finance the renovations, he would need a huge tax break from the city of New York.
Speaker 0: It was an obsolete hotel and it was just about
Speaker 1: ready
Speaker 0: to shut.
@LogWeaver - Logan Weaver
He positioned himself at the intersection of transportation and tourism money flows. Then he renovated it into the Grand Hyatt in 1980. The deal made him a Manhattan player. Same principle as his grandfather Friedrich. But there's more: https://t.co/me4xRvocqx
@LogWeaver - Logan Weaver
Trump's real breakthrough came with Trump Tower in 1983. 58 stories of luxury on Fifth Avenue. But here's the genius move: he lived in the penthouse. Donald positioned himself where wealthy people wanted to live, work, and be seen. He became the gateway to Manhattan status: https://t.co/m0hkjqr5DM
Video Transcript AI Summary
Donald Trump stated the idea for Trump Tower came about three years prior because the site was available, and he wanted to do something great. He said the economic situation for that location had always been strong, even when the country's economic conditions were not good, so they took a risk.
Trump said they didn't have problems, but they had to be careful spending money on the finest materials, which added to the risk. He said he'd love to do something like it again, but he'll never be given the opportunity because they'll never be able to have that kind of location again.
When asked about affordable design, Trump said it's difficult without federal government help due to high interest rates. He said he is most pleased with the public's acceptance and the great reviews the building has received.
Full Transcript
Speaker 0: Meanwhile, back in the atrium, we caught up with entrepreneur Donald Trump and asked him how the project developed. Donald,
Speaker 1: would like to
Speaker 0: know When did you first get the idea for the Trump Tower?
Speaker 1: We really had the idea about three years ago when we realized the site was available, and we wanted to do something great. And this is really how it all came about.
Speaker 0: Oh, you really have. What was the economic situation in New York back then?
Speaker 1: The economic situation for this location has always been great. In good times and bad times, Fifth Avenue and 50 Seventh Street has always really been very strong. Mhmm. But, generally, the economic conditions in the country at that time were not very good. So I guess you could say that we did take a risk chance.
In
Speaker 0: a project of this magnitude, there must have been a lot of problems to deal with. But what was the single worst problem that you faced?
Speaker 1: Well, we didn't have problems, but when you're going to spend the kind of money that we've spent on a building where we spend for the finest marble, for the finest bronze, for the finest everything else, you have to be careful to be perfectly honest because it really does add to your risk. And we decided to go absolutely first class all the way, and it's something we're very happy that we did.
Speaker 0: Dial, now that you've completed the finest residential address in the world perhaps, what do you do for noncore?
Speaker 1: I don't know. Well, maybe I'd love to do something else like it again, but I'll never be given opportunity. We'll never be able to have this kind of a location, this kind of a place. So in the pure real estate sense, we'll never be able to do this again, but we'll try and find something.
Speaker 0: At a cost of about a thousand dollars per square foot, Trump Tower is really out of the reach of most of us. Do you think there can be such a thing as affordable, good design?
Speaker 1: I think yes, but I think it's very difficult. Without the help of the federal government today, I think it's very difficult. Getting good residential design and getting the kind of money when you're paying interest rates of eleven, twelve, 13%, it really makes it prohibitive.
Speaker 0: What pleases you most about the finished results?
Speaker 1: I think the acceptance of the public, the acceptance of the architectural community, the we've gotten the greatest reviews given to a building in many, many years. But the acceptance generally of the public, numbers of people that have come in and used Trump Tower over the course of the last year since it's been, you know, just starting to form and just starting to open, we're very happy with it. It's been incredibly well accepted.
Speaker 0: It's gotta be a great thrill. Thanks for joining us, Donald.
@LogWeaver - Logan Weaver
And then throughout the 1980s, Trump expanded aggressively: - Casinos in Atlantic City. - The Plaza Hotel purchase. - Real estate across New York. His strategy: use debt to buy assets, then use those assets as collateral for more debt. This game worked until it didn't: https://t.co/ThnTQBcUoH
Video Transcript AI Summary
In Atlantic City, Donald Trump acquired three casinos. Despite the risk of overexpansion, he continued to build and enlarge his brand, attracting numerous banks. By the time the banks realized he was nearly a billion dollars in debt, he had become too big to foreclose on.
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Speaker 0: In Atlantic City, Donald had one, two, and eventually three casinos. It wouldn't seem to be a really genius outlook to think maybe that was one too many. He just kept barreling ahead, build, build, get that brand as big as possible, get as many banks on board, and they were lined up. And by the time that the banks caught up with how underwater he was, nearly a billion dollars, he was too big to foreclose
@LogWeaver - Logan Weaver
In the early 1990s, Trump's debt hit $3.4 billion. His casinos were bleeding money. Banks could have destroyed him. Instead, they restructured his debt. Why? He owed them so much, his failure was their problem too. His comeback strategy was brilliant: https://t.co/S3xx5l82x3
Video Transcript AI Summary
In 1990, Donald Trump faced a crisis with $3.4 billion in debt, $830 million of which he personally guaranteed, risking personal bankruptcy during a recession worse than the 2008 downturn. He restructured his debt with banks, agreeing to sell assets, which he found embarrassing, especially having to accept a $450,000 monthly allowance.
The New Jersey Attorney General's Office found Trump's financial arrangements in Atlantic City so complex that they remained difficult to understand even years later; Trump intentionally managed information to maintain control. Contractors on projects like the Taj Mahal did not receive full payment in bankruptcy, which Trump justified as standard practice after they had already made substantial money.
Trump ultimately became debt-free. While his deal-making skills and personal influence on real estate values played a role, he also employed a unique business style, prioritizing his own interests over fully repaying debts, especially during financial difficulties.
Full Transcript
Speaker 0: As a presidential candidate, Donald Trump has no government record to weigh, but one way to consider the type of president he might be is by examining his business career and particularly the way he handled his biggest crisis, the staggering debt he and his companies owed in the early nineties. Here with the story is Wall Street Journal news editor Peter Grant. Welcome, Peter. Great to see you.
Speaker 1: Thank
Speaker 0: you. Set the stage for us, if you will. What was Donald Trump facing in 1990? Did he risk losing his entire empire?
Speaker 1: Donald Trump at that point was on the edge of the precipice. He owed $3,400,000,000 in debt, he and his companies, which he couldn't repay. Even more serious, $830,000,000 of that debt he had personally guaranteed. So his creditors would have been able to push him into bankruptcy, personal bankruptcy if they had wanted. You also have to remember the time.
It was in the middle of recession. The commercial real estate market was even worse than it was in in this most recent downturn. So things are really bad. And people who are in better shape than him had to file personal bankruptcy.
Speaker 0: So it was a dark time. And what sort of debt restructuring did he agree to? What was he happy about that?
Speaker 1: Well, he was happy because it saved saved him.
Speaker 0: Right.
Speaker 1: Saved his career and his and and and his company and his organization. But it at the time, it was a very painful thing for him to go through. He and a group of banks agreed to a restructuring of a big portion of his debt and a plan in which he basically agreed to sell off a lot of his assets. It was also embarrassing for him. He had to agree to an allowance for his personal and household expenses.
Speaker 0: Not too shabby though, 450,000 a month? Yeah, yes. You guys saw how sweet pie on Exactly.
Speaker 1: That's about sweet pie. But still for someone of his ilk, of his celebrity and reputation to agree to that, was a bitter pill.
Speaker 0: One things of that struck me about your article was that the New Jersey Attorney General's Office that has been for years very closely studying all of these sort of financial arrangements of Trump and Atlantic City Right. Says that some of this debt restructuring was so complicated that even after all these years, nobody in their office really understands it.
Speaker 1: Well, first of all, it was very complicated. There were many interlocking pieces of his New York properties and the casinos and bondholders and creditors. It was fantastically complicated. But in the course of the reporting that Ali Berzon and I did, we found that he intentionally kept it complicated. He intentionally managed the information in such a way that he was really the only one who understood what was going on, and it worked.
Speaker 0: It worked. It worked. Now, how long did it take for him to sort of get out of all of this debt, his personal debt? And we know he's okay now, but what about the contractors? Did they get what they were owed?
Speaker 1: Well, the contractors working on some of his projects that had to go through bankruptcy, like the Taj Mahal, no, they didn't. And that's actually a standard thing in a bankruptcy that contractors don't get paid 100¢ on the dollar, but it was painful for them.
Speaker 0: Right.
Speaker 1: Trump's explanation is they had already made a lot of money on him, and and this was just kind of the way business is.
Speaker 0: But he's free and clear now.
Speaker 1: Oh. Yes. Free and clear. Yeah. By a long shot.
Speaker 0: So what's the takeaway here? Is he just so good at deal making that he is sort of able to work his way out of these problems? Is he also such a personality that he's able to convince people that the worth of his real estate is tied to him personally?
Speaker 1: Well, that's part of it. And I he certainly saved himself partly because he was worth a lot more to his creditors out of bankruptcy than in bankruptcy. But I think another one of the take takeaways is just the way that Trump conducts business. He has his own style. Mean, there are some people that if they borrow money, they feel obliged to pay it back no matter what.
Through thick and thin, their handshake is their bond. Trump's view was somewhat different. I mean, his view was if I owe people money, especially in a tough time like this when my back is on the rope, I'll do what I can to not have to pay a 100¢ on the dollar, to get out of and not have to pay everything that I owe. That was his style, and it was effective.
Speaker 0: Very interesting. It was indeed. Peter Grant, thank you so much for that great piece.
@LogWeaver - Logan Weaver
He licensed his name instead of owning properties. Lower risk, steady income. Trump hotels, golf courses, and condos worldwide, many he didn't even own. He positioned his name where other people's money was flowing. Every Trump-branded project paid him without the risk. https://t.co/kbg4593LUC
Video Transcript AI Summary
Before his presidential candidacy and reality TV fame, Donald Trump cultivated a public persona in the 1980s as a New York tabloid figure. He aimed to be both funny and demeaning, arrogant yet relatable. This involved picking fights, including a battle with New York City Mayor Ed Koch. Trump launched a competitor to the NFL, the US Football League, and then sued the NFL when the USFL failed, winning only $1 in damages. He also fought media mogul Merv Griffin over an Atlantic City casino.
Trump cultivated speculation about his future, including a full-page ad in major newspapers in 1987 that resembled a political manifesto. He commented on America's wealth, saying the country is losing $200 billion a year and should take over other countries' oil. Despite some finding his personality distasteful, Trump played the role of an unpredictable bully, ensuring he couldn't be ignored. Trump claimed he is portrayed in a rougher sense than he actually is. Attacks against him only reinforced the version of himself he wanted people to see, keeping him in the news.
Full Transcript
Speaker 0: Before he was a presidential candidate,
Speaker 1: I've been saying for years, keep the oil, keep the oil, don't let them have the oil.
Speaker 0: Before he was a reality TV star,
Speaker 2: Donald
Speaker 0: Trump was a New York tabloid fixture. All through the 1980s, Trump was busy building something new, and it wasn't a skyscraper.
Speaker 3: Billionaire developer Donald Trump has put his name on a New York City hotel, shopping center, and apartment buildings, as well as a casino in Atlantic City. And now he's going to put his name on a big piece of Eastern Airlines.
Speaker 0: Trump was creating a public persona, one that could be both funny and demeaning, arrogant and somehow in touch with the common man.
Speaker 3: I sort of love and hate him at the same time. I mean, I think he has, you know, a monumental ego.
Speaker 0: He comes off as being very what's the word I'm looking for? Arrogant? Yeah. He's an he's he's arrogant.
Speaker 4: I like him. Do? Man's got a mate. He's got everything.
Speaker 0: He often did this by picking fights.
Speaker 5: He said, I think Donald Trump is an artful liar. I think he is a greedy, vicious, and arrogant man.
Speaker 1: Well, I don't know.
Speaker 2: Is that supposed to be a compliment or not? I'm I'm not sure.
Speaker 0: He waged a years long battle with New York City Mayor Ed Koch.
Speaker 1: I I hope that New York City has a different mayor at some point because I think Ed Koch is a total disaster. He's been a very bad mayor for the city.
Speaker 0: He helped launch a competitor to the NFL called the US Football League, and then launched a lawsuit against the NFL when the USFL failed.
Speaker 6: The jury in the case delivered its verdict. It ruled the NFL did indeed monopolize pro football, but it awarded damages of just $1 And
Speaker 0: in one of his biggest fights of the 1980s, he went up against media mogul Merv Griffin in a fight over a casino in Atlantic City.
Speaker 7: People realize now that Merv made a bad deal. It's unfortunate that he's taken a fall, but he has taken the fall. Nothing much I can do about it.
Speaker 1: Donald loves that perception. Perception. I won. I won. I won.
He is still, you know, a year later standing in New York going, I won. I won. I won. He wants to make sure everybody in America knows he won.
Speaker 0: But the Donald Trump we know today is more than just a boastful brawler. That's because there's one more tactic that Trump apparently learned in the eighties and uses to great effect on the campaign trail today, keep people guessing about any long term plans.
Speaker 6: Mister Trump, what's left in your life? You're 33 years old. You're worth all this money. You say you didn't say that you wanna be worth a billion now.
Speaker 1: No. I really don't. I just wanna keep busy and keep active.
Speaker 3: Could a billion dollars buy the White House? What do you think?
Speaker 7: Does I the money give you
Speaker 1: know a lot of the politicians. I like a lot of the politicians. They're friends of them.
Speaker 0: Trump carefully cultivated speculation about his future. In 1987, he ran a full page ad in major newspapers that read like a political manifesto.
Speaker 8: A blow up of the ad is now on display at Trump Tower on Fifth Avenue.
Speaker 0: The ad was irresistible to the New York press, and the move kept Trump's name in the news.
Speaker 5: Trump has said quite seriously that he's a good enough bargainer to negotiate a nuclear disarmament treaty with the Russians.
Speaker 1: This is not a wealthy country. People think America, you know, wealth, this and that. The Japanese are saying that. What a wealthy country. I mean, they're saying it and they're laughing.
Country's losing $200,000,000,000 a year. We ought to go in the next time they fire so much as a bullet at one of our ships. We ought to go in and take over their oil.
Speaker 0: With each of these instances, Trump refined his playbook. His attacks
Speaker 1: Steve, you're gonna have to start pushing these people now a little bit because it's getting a little ridiculous as far as I'm concerned.
Speaker 0: His boasts
Speaker 7: We'll probably sell an extra 10,000 season tickets, and that's a lot of tickets.
Speaker 0: And his shifting positions.
Speaker 3: Do you have the the genes to be a successful politician?
Speaker 1: Well, you never really know. I I think I'm pretty outspoken, and that's not probably a good thing in terms of a politician, but it's a good thing if you ever got elected. You can really do a job.
Speaker 0: Now even back in the eighties, many found Trump's over the top personality distasteful.
Speaker 9: What may be most discouraging of all is that Palm Beach will accept almost anything if it's got enough money, but somehow, it will not accept Donald Trump.
Speaker 0: But by playing the role of an unpredictable bully with the Midas touch, Trump showed he couldn't easily be ignored.
Speaker 2: I believe that perhaps I'm portrayed differently than I I actually am. I believe I'm portrayed in a rougher sense than the actual product. And I hope that's true because I hope the actual product is a lot more mellow than the portrayal.
Speaker 0: And that may be his biggest asset of all. When people attack Trump, they reinforce the version of Trump that Trump wants people to see. And inevitably, that keeps Trump's name in the news.
Speaker 1: That doesn't matter because I'm not running for office. News.
@LogWeaver - Logan Weaver
The lesson from Trump's success: 1. Position yourself in money flows, don't chase them 2. Government contracts provide guaranteed streams 3. Leverage amplifies your position 4. Brand value can outlast physical assets 5. Sometimes owing too much money makes you untouchable
@LogWeaver - Logan Weaver
Trump's grandfather served miners instead of mining. His father positioned himself in government money flows. Donald positioned himself in Manhattan luxury streams. Three generations. Same principle: Don't chase the gold. Position yourself where gold miners spend their money. https://t.co/MUHpjxNCxN
@LogWeaver - Logan Weaver
Most investors do the opposite of this strategy. They chase the gold (hot stocks) instead of positioning themselves where the real money flows. They buy high when everyone's excited, sell low when everyone's scared. There's a better way: https://t.co/RFaIb7AdP9
Video Transcript AI Summary
Automate investing in minutes and upgrade to a modern investing experience. Current methods involve manual trades, lack automation, and lack performance validation. The new approach offers access to proven strategies and real-time tracking. It requires no code.
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@LogWeaver - Logan Weaver
Investors: Tired of timing the market and second-guessing trades only to buy high and sell low? Our platforms have already helped over 40,000 investors automate their investments. We have over $150M in assets under management. Sign up for FREE here: https://app.surmount.ai/signup https://t.co/O3r03qiJIG
@LogWeaver - Logan Weaver
That's it. Thanks for reading. Follow me @LogWeaver, for more stories like this.
@LogWeaver - Logan Weaver
Video Credits: https://www.youtube.com/watch?v=eyFKQElz25o&t=13s&ab_channel=HISTORY https://www.youtube.com/shorts/FCERxRFZ_Ow https://www.youtube.com/watch?v=sc8zcSMd0UA&ab_channel=AbsoluteHistory https://www.youtube.com/watch?v=b3LKoIO-MM8&ab_channel=Gambrick https://www.youtube.com/watch?v=_FLo14GMYos&ab_channel=NBCNews https://www.youtube.com/watch?v=xt2vvFlEjZQ&ab_channel=TheWallStreetJournal