January 24, 2024

The Appetizer

“Yeah, let me have some coffee.”

• European Central Bank President Christine Lagarde when asked about the upcoming U.S. election at Davos.
  
  Spread the love, today’s National Peanut Butter Day.

Now, on to the numbers. Drum roll, please …

• 8.2%: The decline in champagne shipments from France in 2023 compared to 2022, totaling 299 million bottles.
• ~40%: The percentage of jobs across the globe that could be affected by the rise of AI, according to the International Monetary Fund (IMF).
• 5%: The percent of global maritime trade that goes through the Panama Canal each month, amounting to around 40 million tons of goods.
• $2.5 million: The potential price that could be fetched at a Sotheby’s auction for the first piece of mail sent using a stamp. The letter was dated May 2, 1840.
• 75%: The estimated portion of effects of monetary policy tightening that has already fed through the U.S. economy, according to the IMF.

Dig In
Shifting Demographics

Guess what? Last year we introduced our five investment themes that we think are basically changing our lives. One of our favorites? Shifting Demographics. This is the idea that changes in global population dynamics are creating challenges and opportunities.

Here’s an interesting nugget: Americans are living longer. A recent study projects that the number of Americans that will hit the big 1-0-0 will quadruple over the next 30 years to about 422,000. We see opportunity in businesses that address the expanding senior population worldwide and contribute to enhancing lifespans and improving the overall quality of life.

But wait, there’s more. Millennials have officially taken over the neighborhood, surpassing baby boomers. This group is entering its prime household formation years. Picture this: weddings, babies, and a whole lot of spending. When investing, we’re looking for companies ready to catch the millennial wave, covering everything from housing and credit to childcare and beyond.

The convergence of the millennial generation and the aging population is changing the future of healthcare, as businesses cater to the evolving needs of these distinct demographics. What a time to be alive, right?

Weekly Specials

The Swiss Alps were the site of the World Economic Forum, bringing together over 2,500 attendees for what was described as “business speed dating on steroids” by a McKinsey senior partner. This year’s discussions centered on rebuilding trust in an era of rapid change and increased fragmentation.

Bobi, the Portuguese Rafeiro do Alentejo (Mastiff), died at the age of 31 years and 165 days, making him the world’s oldest pooch according to Guinness World Records. Plot twist, the title has been temporarily rescinded as an investigation gets underway to confirm his age. Factors prompting this reassessment include the absence of any record of Bobi’s existence before 2022.

Archeologists discovered a cluster of lost cities in the Amazon rainforest – once a booming civilization with around 10,000 Upano farmers from 300 to 600 A.D. The societies were well organized and interconnected, changing what we know about the history of people living in the Amazon. The best way to explain it is it’s the equivalent of the Roman Empire’s tropical cousin!

Corporate Lunch

Alaska Airlines said, “Sorry for the trauma, here is $1,500.” I’m paraphrasing, but they are writing checks to passengers of the flight that lost a door plug.

Apple is putting iPhone 15s on sale in China to try to spur demand in the world’s biggest cell phone market. This comes after iPhone sales fell 30% in the first week of 2024.

Apple can sell smartwatches again as long as the watches don’t use the pulse oximeter function that measures the oxygen concentration in the bloodstream. Honest question: What do you do with that information, does the watch tell you when to breathe?

Lamborghini reached a new milestone of 10,000 sales over 2023. The Urus SUV was the MVP, with over 6,000 people now turning suburban streets into a raceway.

OpenAI removed its ban on military applications of its AI. Now soldiers can cheat on their homework too.

Costco is considering having customers scan their membership card at the entrance to cut down on card sharing. They can do no wrong in my eyes as long as their hotdog/ soda combo is $1.50. They have the good ice too.

Diversification does not ensure a profit or protect against loss.

Indices are unmanaged and are not available for direct investment.

The Standard & Poor’s 500 Index is a capitalization-weighted index that is generally considered representative of the U.S. large capitalization market.

Past performance is not indicative of future results.