ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / ECONOMY & WORK

A 92-year-old janitor built an $8 million fortune without anyone knowing. These are the 3 things he did.

The way he lived and his chosen career path never gave anything away about his investments.
PUBLISHED NOV 7, 2024
Senior adult Janitor keeps the floors cleaned and sanitized due to the virus.  | (Cover image source: Getty Images | LifeStyleVisuals)
Senior adult Janitor keeps the floors cleaned and sanitized due to the virus. | (Cover image source: Getty Images | LifeStyleVisuals)

Stock markets may experience fluctuations from time to time, but investors who gain enough experience and insights about factors that play a role in determining share prices can become millionaires with the right strategy. That's what worked for Vermont-based janitor and gas station attendant, Ronald Read, who built an $8 million portfolio despite earning a modest salary. But he did it with such subtlety, that even his family was “tremendously surprised” upon learning about his hidden wealth, CNBC reported.



 

Becoming a Middle-Class Millionaire 

Most people didn't know about Read's hidden fortune until he passed away in 2015, and the estate was revealed. It came as a surprise for the local community as he didn't have the career path that a millionaire would take. Coming from humble beginnings, Read served in North Africa, Italy, and the Pacific theater during World War II, after high school, according to Reuters. He then came home picked up a job at a gas station in JCPenney, and married a woman who had two children. He worked at the facility all his life and never won the lottery or an unexpected fortune.

Representative image of a senior adult Janitor (Image source:stock photo/Getty Images)
Representative image of a Janitor (Image source: stock photo | Getty Images)

“He was a hard worker, but I don’t think anybody had an idea that he was a multimillionaire,” his stepson told the local press after his death. His portfolio and strategy were analyzed by experts after his death, and it was found that Read built his fortune by following a few basic steps.

Being Frugal

Read had a reputation for being extremely frugal, something that the Oracle of Omaha, Warren Buffett is also known for. According to his friends, Read drove a second-hand car all his life and wore a coat held together by safety pins.  Even in his 90s, he continued to cut firewood for himself to save money.

Representative image of an older man piling wood into wheelbarrow -(Image source: stock photo/Getty Images)
Representative image of an older man piling wood into wheelbarrow | (Image source: stock photo| Getty Images)

“I’m sure if he earned $50 in a week, he probably invested $40 of it,”  Read’s friend and neighbor, Mark Richard told CNBC.

Making Smart Investments

When it came to picking stocks, Read was straight-up brilliant. He chose stocks that turned in a profit over a longer time, a strategy that even Buffett recommends. Following his death, the Wall Street Journal analyzed his personal investment portfolio, which included stocks such as Wells Fargo, Procter & Gamble, and Colgate-Palmolive. 



 

Showing Some Resilience

Read lived till the age of 92, which means that he lived longer than an average person while working hard. It was found that he held many of his stocks for decades. Since he prioritized holding long-term positions, the strategy earned him immense returns over time.  With his long-term strategy, the power of compounding also increased his returns.

Senior man putting coins, money into a piggy bank (Image source:stock photo/Getty Images)
Elderly man putting coins into a piggy bank (Image source: stock photo/Getty Images)

Apart from the heavyweights, he also picked Pacific Gas & Electric's stocks in 1959 and held onto them till his death. The shares that he bought for $2,380 then, were worth $10,735 by 2015, the publication reported. He even stuck with Lehman Brothers until 2008, when the firm collapsed.

Leaving Behind a Legacy

The lifelong resident of Brattleboro, Vermont, left $6 million to his local library and hospital. “It was the talk of the town,” Brooks Memorial Library director Starr LaTronica told CNBC referring to the massive $1.2 million donation. 



 

The remaining $4.8 million went to Brattleboro Memorial Hospital, which Read visited regularly, but just for breakfast. “He always had a cup of coffee and an English muffin with peanut butter,” Read's friend, Ellen Smith, said.

MORE ON MARKET REALIST
The iconic "Jeopardy!" champion has been hosting the show for many years now.
2 hours ago
The host remembered the times he was bullied as a young kid after hearing the chant.
6 hours ago
The greeting caught Steve Harvey by surprise, and he took several seconds to regain his composure.
9 hours ago
The nascent nature of the company prevented the sharks from investing in it.
2 days ago
Harvey seemed quite annoyed after the guest revealed her surprise and rightfully so.
2 days ago
Both Rick and his son Corey had a lot of luaghs while talking about this item for obvious reasons.
3 days ago
She was just happe to be with Drew Carey on stage, and perhaps did not expect such a big win.
3 days ago
The segment started with a couple of people entering the stage wearing cakes over their heads.
3 days ago
The valuation he asked for was as crazy as the outfit he wore, and the sharks said no.
3 days ago
The contestant's answer had no lewd intention but Steve Harvey made sure it did.
3 days ago
Fans of the gameshow are known to be vocal about their needs and this was just an example of that.
4 days ago
The guest stood firm at what he wanted and Harrison was forced to raise his low-ball offer.
4 days ago
The contestant was confident in his abilities and he steered his team to an impressive win.
4 days ago
The sharks could not believe what they had just witnessed but it sure was entertaining.
5 days ago
The guest said that she wanted $15,000 but had to settle for just a couple grand.
5 days ago
Fans of the show were shocked she was not able to get it right after coming so close.
5 days ago
Corcoran was confident that the entrepreneur would take her deal but that was not the case.
6 days ago
The host's expressions upon seeing the answers on the board were absolutely priceless.
6 days ago
The guest was a friend of the Harrisons and he turned out to be quite the negotiator.
6 days ago
The guest had an item that was presumably made in the pre-1800s era, which made it valuable.
7 days ago