Good Bad Billionaire: Hetty Green - The 'Witch' of Wall Street
Episode: Hetty Green: The 'Witch' of Wall Street
Release Date: August 4, 2025
Hosts: Simon Jack and Zing Seng
Podcast: Good Bad Billionaire by BBC World Service
Introduction: The Enigmatic Hetty Green
[00:54 - 03:27]
In this compelling episode of Good Bad Billionaire, hosts Simon Jack and Zing Seng delve into the life of Hetty Green, an extraordinary figure of 19th and early 20th-century American business. Despite never officially becoming a billionaire during her lifetime, Hetty amassed a fortune that, when adjusted for inflation, would be equivalent to $6 billion today. Dubbed both the “Witch of Wall Street” and the “Queen of Wall Street”, Hetty’s story is one of relentless financial acumen intertwined with a reputation for extreme frugality.
Notable Quote:
Simon Jack remarks, “Hetty Green is the richest woman in all of America, but she's also the country's biggest miser.” [00:54]
Early Life and Family Dynamics
[03:27 - 05:33]
Hetty Green was born in 1834 in New Bedford, Massachusetts, into a wealthy Quaker family involved in the lucrative whaling industry. The early loss of her brother and the subsequent emotional estrangement from her parents profoundly shaped her character. Raised by her grandfather and extended family, Hetty developed a keen interest in finances, regularly reading newspapers and financial reports with her aging grandfather, which ignited her passion for the stock market.
Notable Quote:
Hetty reflected on her early exposure to finance, stating, “I came to know what stocks and bonds were, how markets fluctuated, and the meaning of bulls and bears.” [06:08]
Education and Early Investments
[05:33 - 08:10]
Hetty’s education at a Quaker boarding school and a finishing school prepared her for her debut into New York society, primarily to secure a suitable husband. Her early investment prowess became evident when, as an eight-year-old, she opened her own bank account—a rarity at the time.
Notable Quote:
Simon Jack highlights, “But frugal Hetty didn't actually spend that cash. At the age of eight, she had the family's driver take her into town so she could open her own bank account and begin a lifelong habit of saving.” [07:17]
Inheritance Struggles and Financial Independence
[08:10 - 12:27]
Hetty faced significant challenges when her father, Edward Green, restricted her access to the family fortune, leaving her only $1 million out of a $6 million estate. This led to a prolonged legal battle over her aunt Sylvia's will, further tarnishing her public image. Despite these setbacks, Hoisted by personal tragedies and familial estrangement, Hetty began building her own wealth through strategic investments.
Notable Quote:
Zing Seng notes, “Hetty was now a millionaire, and she did have direct control of about a million dollars. There was another 6 million she owned on paper, but she, remember, had no access to that at all.” [12:27]
Investment Strategies and Financial Triumphs
[12:27 - 21:47]
Hetty Green pioneered what is now known as value investing, a strategy famously employed by Warren Buffett. During the post-Civil War economic turmoil, she purchased discounted government bonds, anticipating their eventual redemption in gold. Her keen eye for undervalued assets led to substantial profits, propelling her wealth to new heights. Additionally, Hetty strategically invested in railroad stocks and real estate, often acquiring properties through foreclosures and holding them until their value soared.
Notable Quote:
Hetty confidently stated, "I buy when things are low and nobody wants them. I keep them until they go up and people are crazy to get them.” [16:37]
Personal Life and Public Reputation
[21:47 - 35:57]
Hetty’s personal life was marked by her frugality and unconventional behavior, which fueled her controversial reputation. Her commitment to simplicity was evident in her attire and living arrangements. An incident involving her son Ned’s medical treatment, where Hetty opted for cost-saving measures over professional care, further cemented her image as a miser.
Notable Quote:
Zing Seng reflects, “Hetty was probably an editor's dream.” [40:32]
Legal Battles and Financial Maneuvers
[35:57 - 43:06]
Hetty's relentless pursuit of financial control led to numerous legal confrontations. A notable case involved her confrontation with Collis Hunter Huntington over railroad investments, culminating in heated exchanges and significant legal expenses. These battles, often played out in the public eye, contributed to her enduring legacy as both a formidable and contentious figure in finance.
Notable Quote:
Simon Jack describes a dramatic moment, “Hetty said, 'harm one hair of Ned's head and I'll put a bullet through your heart.'” [32:08]
Philanthropy and Public Service
[33:33 - 42:36]
Despite her miserly reputation, Hetty engaged in acts of philanthropy, albeit discreetly. She provided low-interest loans to cities and banks during financial crises, effectively acting as a stabilizing force during economic downturns. Her assistance to New York City during multiple financial panics showcased her commitment to public service, contrasting sharply with her personal frugality.
Notable Quote:
Hetty explained her frugality, “I'm a Quaker. My early training disciplined me towards pomp and show. My family has been rich for five generations. We need make no display to ensure recognition of this position.” [35:19]
Legacy and Final Judgement
[37:04 - 48:27]
Upon her death in 1916, Hetty Green left a substantial fortune, estimated between $100 million to $200 million—equivalent to $3 to $6 billion today. The hosts evaluate her legacy through categories such as Wealth, Income, Controversy, Giving Back, Power, and Legacy.
Assessment Highlights:
-
Wealth & Income:
Zing Seng: 9/10
Simon Jack: 8/10 -
Controversy:
Zing Seng: 5/10
Simon Jack: 6/10 -
Giving Back (Philanthropy):
Both hosts rate her impact at 6/10, acknowledging her discreet charitable acts and financial support during crises. -
Power & Legacy:
Zing Seng & Simon Jack: 3/10
Despite her financial influence, Hetty's lack of widespread recognition and limited lasting influence compared to contemporaries like Rockefeller resulted in a modest legacy score.
Notable Quotes:
- Simon Jack: “Proto female Warren Buffett. An extraordinary story.” [38:22]
- Zing Seng: “She was a pioneer value investment, a woman decades ahead of her time.” [38:22]
- Hetty on Public Service: “I enjoy being in the thick of things. I like to have a part in the great movements of the world and especially of this country.” [30:52]
Conclusion: A Complex Legacy
Hetty Green's life is a testament to shrewd financial strategy and unwavering determination. While her frugality and personal decisions drew public ire, her contributions during financial crises highlight a nuanced character whose actions had significant, albeit often unrecognized, positive impacts on society. The hosts conclude by prompting listeners to ponder whether Hetty should be remembered as the Witch of Wall Street or the Queen of Wall Street, emphasizing the complexity of her legacy.
Final Thought:
Simon Jack encapsulates Hetty’s dual legacy, “What we’ve seen is a caricature of this kind of outlier.” [44:28]
Join the Conversation:
Listeners are encouraged to share their thoughts on Hetty Green’s legacy by emailing goodbadbillionairebc.com or texting/WhatsApping 001-917-686-1176.
Produced by:
Mark Ward, Tamsin Curry, with editing by Paul Smith
Senior Podcast Producer: Cat Collins
Commissioning Editor: John Minnell
This deep dive into Hetty Green’s life offers a fascinating glimpse into the complexities of wealth, gender, and reputation in American history. Whether viewed as a shrewd investor or a misunderstood philanthropist, Hetty Green remains a pivotal figure in the annals of financial lore.