‘Insane’ twist as ex-tradie builds $415 million fortune then loses it all

Christopher DeVocht managed to turn $88,000 into $415 million after quitting carpentry for health reasons - before losing it all.

In the ultimate rags-to-riches-to-rags again tale, a carpenter who managed to turn $88,000 into $415 million has lost it all.

Canadian man Christopher DeVocht quit his trade in 2019 because of health issues and turned his attention to the stock market, where he had already built close to a six-figure portfolio.

What happened next was simply stunning.

Within a year, as he celebrated his 30th birthday, Mr DeVocht’s wealth had already grown to $26 million - almost entirely from shares and options in Tesla.

He was doing so well that the wealth management firm he was investing through - the Royal Bank of Canada’s Dominion Securities - assigned him advisers whose job, Mr DeVocht says, was to coach him on how to manage his investments.

A former carpenter turned $88,000 into $415 million in the ultimate rags to riches story.

This included setting him up with a margin account, where he was lent cash to boost his purchasing power.

As Tesla’s share price soared to a record high in late 2021, the value of Mr DeVocht’s portfolio peaked at $415 million, Stockwatch reports.

He was living the dream - and even made a $17 million donation to charity.

But when the stock market crashed the following year and Tesla suffered a series of decline, Mr DeVocht’s net worth started to shrink and he responded by making a number of risky trades.

He says he was also forced to sell Tesla shares to repay loans from his margin account.

Today he has nothing - and has now launched a lawsuit accusing RBC Dominion Securities of failing to protect him from financial ruin.

In a notice of claim filed at a Vancouver courthouse on Tuesday, October 1, Mr DeVocht alleges RBC Dominion Securities gave him inadequate advice as his fortune dwindled away and amplified his risks with the margin account.

Mr DeVocht’s portfolio declined rapidly when the stock market collapsed in 2022. (iStock)

In the suit, Mr DeVocht says RBC gave him no advice to diversify his investments, which were largely concentrated in Tesla.

“But for the defendants’ inadequate advice … the plaintiffs would have preserved a substantial portion of their wealth and implemented financial planning that would not have resulted in the loss of their entire net worth,” the suit reads.

Reports of the suit were met with disbelief by the investing community this week.

“From $88K to $415M to nothing,” investor Cejay Kim tweeted. “This is insane.”

“This story is so insane it’s almost hard to believe,” added Jonah Lupton.

“If he pulled it out at the peak and invested in 5% Guaranteed Investment Certificates he would be making $20M per year risk free … or $57,000 per day,” wrote another.

Mr DeVocht is seeking damages plus legal costs and interest from RBC when the case is heard in the Supreme Court of British Columbia.

RBC have not yet filed a response.

Originally published as ‘Insane’ twist as ex-tradie builds $415 million fortune then loses it all