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The True Global Market-Cap Weighted Portfolio: Gold as 3rd Largest Asset Class?

MyMoneyBlog.com - Mon, 02/23/2026 - 17:20

A market-capitalization weighted portfolio is one where assets are held in proportion to their total market value (share price * # of shares). For example, if you were to buy into the S&P 500 index (a cap-weighted index), right now you would be buying ~170 times more of Amazon (~$2 Trillion value) as Best Buy ($13 Billion value). But as the share value of each company changes, you wouldn’t have to do anything to maintain market-cap weighting.

What if you wanted to weigh your entire portfolio based on values of all the investable assets in the world? This chart from WisdomTree’s 2/26 update breaks it down for you (found via Weekly Chartstorm).

Roughly, you’re looking at 50% equities, 30% debt (fixed income/bonds), 12.7% of gold (!), and 1% in digital assets. The gold number surprised me. These values are credited to Bloomberg and Wisdomtree as of 2/2/26. Market cap values are in billions.

Let’s check some of those numbers. The chart estimates the total market value of all the equities in the world at ~$135 Trillion, which also roughly matches other sources. The chart estimates the total market value of all the gold in the world at ~$33 Trillion, which roughly matches other sources. That gives us a ratio of roughly 4:1 of stocks:gold.

However, I wrote in 2016 about the idea of Investing 1% Of Your Portfolio Into Gold, where another source said that the world market cap weighting for gold at that time was a tad under 1%. Looking closer, this number appears to be an estimate of the world’s total quantity of gold held for investment.

At first, I thought this was like how you can’t own every business in the world since many are privately-held, when we talk about equities we are actually talking about publicly-investable businesses. Okay, so it looks like roughly 50% of the gold above ground is used in jewelry and 15% for industrial purposes. But still, isn’t gold jewelry also considered an investment? How do you decide how much of gold is an investment asset by someone, and how much isn’t? Maybe a true global market-cap weighting of gold is not quite as high as in the chart of above, but still significantly higher than what I previously thought.

Categories: Finance

ASML Unveils EUV Light Source Advance That Could Yield 50% More Chips By 2030

Slashdot.org - Mon, 02/23/2026 - 16:57
An anonymous reader quotes a report from Reuters: Researchers at ASML Holding say they have found a way to boost the power of the light source in a key chip making machine to turn out up to 50% more chips by decade's end, to help retain the Dutch company's edge over emerging U.S. and Chinese rivals. ASML is the world's only maker of commercial extreme ultraviolet lithography (EUV) machines, a critical tool for chipmakers such as TSMC, Intel and others in producing advanced computing chips. "It's not a parlor trick or something like this, where we demonstrate for a very short time that it can work," Michael Purvis, ASML's lead technologist for its EUV source light, said in an interview. "It's a system that can produce 1,000 watts under all the same requirements that you could see at a customer," he added, speaking at the company's California facilities near San Diego. [...] With the technological advance revealed on Monday, which is being reported here for the first time, ASML aims to outdistance any would-be rivals by improving the most technologically challenging aspect of the machines. This is the quest to generate EUV light with the right power and properties to turn out chips at high volume. The company's researchers have found a way to boost the power of the EUV light source to 1,000 watts from 600 watts now. The chief advantage is that greater power translates into the ability to make more chips every hour, helping to lower the cost of each. Chips are printed similar to a photograph, where the EUV light is shone on a silicon wafer coated with special chemicals called a photoresist. With a more powerful EUV light source, chip factories need shorter exposure times. "We'd like to make sure that our customers can keep on using EUV at a much lower cost," Teun van Gogh, executive vice president for the NXE line of EUV machines at ASML, told Reuters. Van Gogh said customers should be able to process about 330 silicon wafers an hour on each machine by the end of the decade, up from 220 now. Depending on the size of a chip, each wafer can hold anywhere from scores to thousands of the devices. ASML got the power boost by doubling down on an approach that already places its machines among the most complex inventions of humans. To produce light with a wavelength of 13.5 nanometers, ASML's machine shoots a stream of molten droplets of tin through a chamber, where a massive carbon dioxide laser heats them into plasma. This is a superheated state of matter in which the tin droplets become hotter than the sun and emit EUV light, to be collected by precision optic equipment supplied by Germany's Carl Zeiss AG and fed into the machine to print chips. The key advancements in Monday's disclosure involved doubling the number of tin drops to about 100,000 every second, and shaping them into plasma using two smaller laser bursts, as opposed to today's machines that use a single shaping burst. [...] ASML believes the techniques it used to hit 1,000 watts will unlock continued advances in the future, Purvis said, adding, "We see a reasonably clear path toward 1,500 watts, and no fundamental reason why we couldn't get to 2,000 watts."

Read more of this story at Slashdot.

IBM Shares Crater 13% After Anthropic Says Claude Code Can Tackle COBOL Modernization

Slashdot.org - Mon, 02/23/2026 - 16:10
IBM shares plunged nearly 13% on Monday after Anthropic published a blog post arguing that its Claude Code tool could automate much of the complex analysis work involved in modernizing COBOL, the decades-old programming language that still underpins an estimated 95% of ATM transactions in the United States and runs on the kind of mainframe systems IBM has sold for generations. Anthropic said the shrinking pool of developers who understand COBOL had long made modernization cost-prohibitive, and that AI could now flip that equation by mapping dependencies and documenting workflows across thousands of lines of legacy code. The sell-off deepened a rough 2026 for IBM, whose shares are now down more than 22% year to date.

Read more of this story at Slashdot.

Linus Torvalds: Someone 'More Competent Who Isn't Afraid of Numbers Past the Teens' Will Take Over Linux One Day

Linux.Slashdot.org - Mon, 02/23/2026 - 14:36
Linus Torvalds has pondered his professional mortality in a self-deprecating post to mark the release of the first release candidate for version 7.0 of the Linux kernel. From a report: "You all know the drill by now: two weeks have passed, and the kernel merge window is closed," he wrote in the post announcing Linux 7.0 rc1. "We have a new major number purely because I'm easily confused and not good with big numbers." Torvalds pointed out that the numbers he applies to new kernel releases are essentially meaningless. "We haven't done releases based on features (or on "stable vs unstable") for a long, long time now. So that new major number does *not* mean that we have some big new exciting feature, or that we're somehow leaving old interfaces behind. It's the usual "solid progress" marker, nothing more.â He then reiterated his plan to end each series of kernels to end at x.19, before the next release becomes y.0 -- a process that takes about 3.5 years -- and then pondered what happens when the next version of Linux reaches a number he finds uncomfortable. "I don't have a solid plan for when the major number itself gets big," he admitted, "by that time, I expect that we'll have somebody more competent in charge who isn't afraid of numbers past the teens. So I'm not going to worry about it."

Read more of this story at Slashdot.

Categories: Linux

Linus Torvalds: Someone 'More Competent Who Isn't Afraid of Numbers Past the Teens' Will Take Over Linux One Day

Slashdot.org - Mon, 02/23/2026 - 14:36
Linus Torvalds has pondered his professional mortality in a self-deprecating post to mark the release of the first release candidate for version 7.0 of the Linux kernel. From a report: "You all know the drill by now: two weeks have passed, and the kernel merge window is closed," he wrote in the post announcing Linux 7.0 rc1. "We have a new major number purely because I'm easily confused and not good with big numbers." Torvalds pointed out that the numbers he applies to new kernel releases are essentially meaningless. "We haven't done releases based on features (or on "stable vs unstable") for a long, long time now. So that new major number does *not* mean that we have some big new exciting feature, or that we're somehow leaving old interfaces behind. It's the usual "solid progress" marker, nothing more.â He then reiterated his plan to end each series of kernels to end at x.19, before the next release becomes y.0 -- a process that takes about 3.5 years -- and then pondered what happens when the next version of Linux reaches a number he finds uncomfortable. "I don't have a solid plan for when the major number itself gets big," he admitted, "by that time, I expect that we'll have somebody more competent in charge who isn't afraid of numbers past the teens. So I'm not going to worry about it."

Read more of this story at Slashdot.

'How Many AIs Does It Take To Read a PDF?'

Slashdot.org - Mon, 02/23/2026 - 13:50
Despite AI's progress in building complex software, the ubiquitous PDF remains something of a grand challenge -- a format Adobe developed in the early 1990s to preserve the precise visual appearance of documents. PDFs consist of character codes, coordinates, and rendering instructions rather than logically ordered text, and even state-of-the-art models asked to extract information from them will summarize instead, confuse footnotes with body text, or outright hallucinate contents, The Verge writes. Companies like Reducto are now tackling the problem by segmenting pages into components -- headers, tables, charts -- before routing each to specialized parsing models, an approach borrowed from computer vision techniques used in self-driving vehicles. Researchers at Hugging Face recently found roughly 1.3 billion PDFs sitting in Common Crawl alone, and the Allen Institute for AI has noted that PDFs could provide trillions of novel, high-quality training tokens from government reports, textbooks, and academic papers -- the kind of data AI developers are increasingly desperate for.

Read more of this story at Slashdot.

Anthropic Accuses Chinese Companies of Siphoning Data From Claude

Slashdot.org - Mon, 02/23/2026 - 13:10
U.S. artificial-intelligence startup Anthropic said three Chinese AI companies set up more than 24,000 fraudulent accounts with its Claude AI model to help their own systems catch up. From a report: The three companies -- DeepSeek, Moonshot AI and MiniMax -- prompted Claude more than 16 million times, siphoning information from Anthropic's system to train and improve their own products, Anthropic said in a blog post Monday. Earlier this month, an Anthropic rival, OpenAI, sent a memo to House lawmakers accusing DeepSeek of using the same tactic, called distillation, to mimic OpenAI's products. Anthropic said distillation had legitimate uses -- companies use it to build smaller versions of their own products, for example -- but it could also be used to build competitive products "in a fraction of the time, and at a fraction of the cost." The scale of the different companies' distillation activity varied. DeepSeek engaged in 150,000 interactions with Claude, whereas Moonshot and MiniMax had more than 3.4 million and 13 million, respectively, Anthropic said.

Read more of this story at Slashdot.

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