Only works so long as you eventually pay up... well unless the manufacturers make too much this way. That said are there some Chinese manufacturers that aren't part of the cabal and could undercut them?
Except that it doesn't work like that. If you buy DRAM and don't do anything genuinely worthwhile with it, you'll ultimately dump it all right back onto the market, and everyone knows that. The biggest worry is that it's actually OpenAI and their direct competition starving the rest of the market because they predict AI research and the like to be a highly valued use for the stuff, compared to building gaming PC battlestations or whatever the highest-valued use was before. Many observers think that this will also happen with GPUs and cutting-edge digital logic more generally.
LLMs are great at C, probably because C is historically the most popular language in the world, by far. It only declined slightly very recently. But there's insane amount of code written in it.
Imagine if there were a universal means to attach external devices, perhaps one of these external devices could handle GPIO. You might even call it a "Universal Serial Bus."
The suckers being fleeced are every pension fund in the world. They're demanding the S&P includes them faster to force ETF owners to buy in before the price tanks.
For most people their talent and expertise does not involve investing. That's why pensions and 401ks exist and why S&P/nasdaq have rules to protect the public.
You may wish it were not so, you may find it inelegant and infuriating and unfair, but it is a fact that retail investors nearly all underperform the market over a long enough time horizon. Maybe you are built different but for most of us it is very rational to take the market return for “free”.
Do understand, though, that market return will struggle to achieve 9% for the coming decades. A 9% annualised return would put the US stock market at 50% of world GDP in 10 years (edit: 20) and something like 90% of world GDP in 30 years (edit: 50 years). Cost of goods, and your customer's money, both have to come out of global GDP too.
(The current value of around 25% of global GDP doesn't even include the 1.75 trillion SpaceX which alone would be another almost 1%...)
ETF expense ratios are small but still mean retail will underperform anyway. It's an unfortunate situation all around.
Yeah I am not taking a position on how the market will do in the future. Just saying that active investing will underperform passive unless you are one of the few market participants who actually has alpha.
Why are they being fleeced? If people didn't want to buy SpaceX they could buy some other ETF that doesn't include it. If there's enough of a demand I'm sure ETFs will be offered which include all the big indexed stocks except SpaceX.
Yes Americans will definitely move their 401k over this /s
Its fleecing because it basically takes everybody's money and gives it to support musk's money loser xai. SpaceX net profit 8 billion per year (previous years much less) and Xai was net losing 1.5 billion per quarter.
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