A famous billionaire bond fund manager says he is considering following the “smart people” who are leaving California in order to escape high taxes, including a new proposal by Democrats.
Jeffrey Gundlach is believed to be worth $2.2 billion, and he manages a hedge fund with assets adding up to $123 billion.
On Saturday, he hinted that he would leave California and take his money to less taxing lands.
“Elon Musk, Joe Rogan and Ben Shapiro, to name just a few, are leaving California to escape incompetent governance. The ‘response’ from Sacramento? Wealth and massive income tax increases on job creators (AKA ‘the wealthy’),” Gundlach tweeted.
“Should I align with 3 smart guys, or Sacramento? Hmmm,” he added.
Democrats in California have proposed increasing the tax rate on the highest earners from 13.3% to 16.6%.
Joe Rogan, the massively popular podcast host, railed against the poor governance in California and announced that he was moving to Texas in order to escape the high taxes, homelessness, and population density in the state.
Ben Shapiro made a similar announcement that he would be moving his Daily Wire news business and its 75 employees from California to Nashville, Tennessee.
“I love the state, grew up in the state, married in the state and have had children in the state,” he said on Fox News. “We’re out.”
In May, Elon Musk criticized the local California government for what he thought were draconian measures against the coronavirus pandemic. He said that he was closing up his Tesla headquarters and moving it to Texas or Nevada.
A study from 2018 said that nearly 700,000 Californians left the state for greener pastures. More of them left for Texas than any other state, with Nevada, Arizona, and Washington among the other top destinations for California refugees.
“I’m sorry,” said Shapiro of California. “That is not a great place to raise children and not a great place to build a company.”