Clad in a blue jumpsuit and dangling from the side of a skyscraper 1,200 feet above New York City, billionaire Richard Branson urged viewers on Twitter last week to live life to the fullest and try new things.
As the founder of space tourism company Virgin Galactic, Branson is among a small handful of ultra wealthy entrepreneurs pushing the limits of exploration and experiences. Branson and Virgin Group did not immediately comment on the risks of space tourism.
Some billionaires rocketed into space as Branson and Amazon founder Jeff Bezos have. Other rich travelers journeyed on a submersible to explore the wreckage of the ocean liner Titanic. Five who made that trip last week lost their lives. But most very wealthy people want a less extreme, but exclusive experience, according to Wall Street investors, bankers, lawyers and those who look to sell exotic vacations.
“Our public already has access to luxury hotels, what they want is a different experience and personal development,” said Alexandre Cymbalista, chief executive of Brazilian travel agency Latitudes Viagens.
His trips feature a photographer to memorialize the event and a doctor for immediate first aid.
Geoffrey Kent, founder of 61-year-old luxury tour operator Abercrombie & Kent, spends over a year planning bespoke trips ranging from safaris in Botswana to Himalayan treks.
For $250,000 to $300,000 a trip, Kent sometimes fields unusual requests including helping a Saudi prince fulfill his dream of flying a plane onto and off of an aircraft carrier.
But Kent said certain modes of travel were too risky.
In the wake of booming stock markets and entrepreneurs cashing out of family businesses, the ranks of millionaires are growing. Credit Suisse said the number of people worth more than $50 million, for example, expanded by more than 50% between 2019 and 2021. And information technology services and consulting company Capgemini estimates there are 210,000 people with more than $30 million in net worth worldwide.
As portfolios grow, so does the demand for experiences – from staying in high-end tents in wildlife reserves in Africa, access to a Sotheby’s auctioneer to explain the trends in watches to viewing world famous art, without the crowds.
SPECIAL ACCESS
Goldman Sachs, for example, offers their highest net-worth clients trips around the Art Basel fair in Miami, organized by in-house art expert Monica Heslington, who heads the family office art and collectibles strategy, according to a source familiar with the situation.
A spokesperson for Goldman said its clients went to an event last year focusing on diverse artists in residence at the Rubell Museum in Miami as part of Art Basel.
Bank of America has established a partnership with luxury travel agency Indagare to cater to people with more than $50 million in assets. Bank of America did not immediately comment.
Melissa Biggs Bradley, Indagare’s chief executive, expects to have around 1,000 travelers this year. For about $20,000, Indagare offers a three-day stay at a boutique hotel in Modena owned by Italian restaurateur Massimo Bottura, combined with a visit to Ferrari headquarters and chance to test drive the cars.
Trips to the South and North poles are in vogue, as well as remote places such as Mongolia for eagle hunting with nomadic tribes, she said.
LOWER RISK
As entrepreneurs and money managers pursue hobbies, some more dangerous than others, some investors raised concerns about the risks said they might even pull money if a fund manager, for example, pursued death defying feats.
Eight years ago, billionaire investor Bill Ackman and his college friend and fellow fund manager Whitney Tilson organized two dozen fund managers and others to participate in a grueling training camp led by former Navy SEALS.
The men bobbed in wet suits in the cold Pacific Ocean, hurled themselves into surf in boats and performed physical endurance tests on the beach in California, according to several people who went on the trip.
The experience was so demanding that Ackman’s father expressed concern about the intended trip, not for his son but for another fund manager who had signed up to go. All men returned safely to tell about the experience.
Tilson and Ackman declined to comment.
One person familiar with that excursion said it probably wouldn’t happen again, in part because it was such a potentially risky undertaking. (Reuters)