What is Jordan Belfort net worth?
Many sites claim that Jordan Belfort‘s net worth is negative USD 100 million, but that is far from the truth. However, there is a reason behind why multiple sites claim it. If you follow him on social media, you will see he is living a luxurious life but not a frivolous one.
Jordan Belfort Career
Jordan Belfort was born on July 9, 1962, in the Bronx, New York. He is a Jew.
Jordan, from his childhood, has a knack for selling and was born with an entrepreneurial spirit. He says that his first venture was selling Italian ice from coolers to people on the beach during the summers. He worked on it between high school and college.
Jordan and his friends made USD 20,000 from it. In an interview, he shares a funny incident saying he joined the University of Maryland School to become a dentist; however, on the first day, when a faculty said a dentist wouldn’t become rich. It changed his priority, and he immediately left the University.
Soon, he joined LF Rothschild as a stockbroker trainee, but he was fired due to the Black Monday stock market crash.
He joined another company that sold penny stocks. It is how he learned about the whole penny stock scam he used in his company Stratton Oakmont.
Related: Jordan Belfort biography
Jordan Belfort and Stratton Oakmont
Jordan made most of his money from his company Stratton Oakmont. His company employed more than 1000 stockbrokers. It sold stocks worth more than USD 1 billion. In addition, Jordan participated in pump-and-dump schemes.
His company purchased microcap stocks at a low price and then spread misleading information about them to inflate the price artificially. Jordan Belfort will then sell those at a higher price.
Why does Jordan Belfort have a negative net worth
In 1998 FBI arrested Jordan Belfort and his team for money laundering and securities fraud. Stratton Oakmont was closed.
Gregory Coleman led the FBI team.
Jordan Belfort pleaded guilty, and the Judge sentenced him to four years in prison in 2003.
Additionally, he was ordered to pay USD 110 million. The FBI estimated that he stole around USD 200 million from more than 1500 clients. Interestingly, he has only 22 months in prison and has paid only USD 14 million.