And the winner is.....Apple at almost $1 TRILLION!

Great chart from NY Times shows the 50 companies that created the most wealth in the last 90 years (size of the circles is based on the company's compound annualized stock return):

Questions:

• In your own words, how does the graph measure wealth creation? 
• In looking at the wealth created by companies that have been publicly traded for less than thirty years, what industry are most of the companies operating in? 
• Which ten companies on the chart have been around for the longest period of time? List the company and the industry they operate in? 
• Which company has generated the highest annualized return? 
• Math brainteaser: GE has generated more wealth than Altria but Altria appears to have a larger circle (higher annualized return). Both companies pre-date 1926. Which company do you think is older and explain your answer. 

_______________

Check out NGPF's popular activity on 401(k)s: Sign Up For A 401(k)!

About the Author

Tim Ranzetta

Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.