What I read today September 28, 2020
Why the right wing has a massive advantage on Facebook.
A look at job platforms and the move towards deeper verticals compared to the typical jobs board or horizontal networks like LinkedIn. Considering LinkedIn is primarily a platform for humblebragging and marketing I do think there’s something to be said for a jobs platforms which could really credential/ vet/ train in areas like sales.
KKR thinks urban exodus fears are overblown. The winners are multifamily rentals mid-sized cities and industrial real estate. “As consumer spending moves online and migration to mid-sized cities picks up, industrial real estate will be a “real growth lever,” according to the paper. E-commerce needs three times as much logistics space compared with brick-and-mortar stores, Roberts explained.”
WSJ Profile on the shortseller behind Hindenburg Research, who recently made a name for themselves on Nikola.
Interesting interview with economic historian Edward Chancellor.
What is driving these bubbles?
“We’re seeing a speculative super cycle which is a corollary of the debt super cycle in which debt is going higher and higher. This in turn pushes the collective financial and real wealth of the world higher and higher. In order to do so, interest rates have to sink lower and lower. Once you have more debt, you can only sustain it with lower rates as you want to keep the debt service ratio at the same level. One person’s debt is another person’s assets – so the debt is part of the general wealth bubble.
So the foundation on which the wealth is built is not sound?
As the wealth bubble gets bigger, the substance of that bubble – which is the underlying capacity to generate income – is actually wrecked. In the 19th century, there were schemes which came up with virtual claims on wealth people could trade but actually did not represent anything. Crypto currencies are the purest version of this, but if you will, even a fiat currency bill is nothing more than a zero coupon perpetual note. It has no value whatsoever except that it is acceptable. A lot of our wealth is of that nature – it has a slim foundation.
How do you mean that?
People are paying $50 million for a balloon dog by the American artist Jeff Koons which he makes half a dozen of and doesn’t even touch them himself. A bank will probably loan you $25 million on your balloon dog as these are assets that can be used as collateral. Therefore, they can be translated into cash which can then be used to drive the economy forward. But for later generations, the balloon dog might be worth $50’000 only.”
How to vaccinate a planet. Developing it is just the start.
What it would take to get London to net zero carbon by 2050. A 60% reduction in car mileage, more timber and retrofit of buildings, local waste to energy sites and district heating.
Cool marketing idea by Burger King. Sponsor Stevenage, a low leagued team that was going to be in the popular FIFA football videogame, give players real life rewards when they posted their goals online, and covertly make Stevenage the most played team on FIFA and by extension Burger King the most displayed logo.