Going All-in on the Coronavirus
The markets rallied on the President's quick recovery. This is a good sign for the economy.
New York City has been Shutdown, Again
Cases are rising in dense cities. And New York City is number one on that list. On Monday morning, several hotspot schools have decided to shutdown for safety reasons. Nine zip codes in Brooklyn and Queens to be exact. These areas have seen a +3% increase in covid-19 cases.
New York City is in a unique situation when it comes to reopening. Governor Cuomo proposed that indoor dining and non-essential businesses can stay open but Mayor de Blasio has ordered otherwise. More than 500,00 people will be effected by this reversal. New York City just reopened indoor dining to 25% occupancy last week but restaurant owners are still struggling.
The 7-day average of reported cases is increasing in the city. There is no fighting this increase. And closing of public and private schools will create more challenges for working parents this season. It is tough to predict what will happen this fall season without a vaccine.
One Venture Firm Made 3000x by Dancing
With a long enough vision, anybody can make money. This worked out well for a quantitative hedge fund named the Susquehanna International Group. Founded in 1987 by Arthur Dantchik and a group of college friends, Susquehanna is one of the largest derivative trading firms in the country.
Take a Byte Out of Startups
Today the company has a 15% stake in ByteDance, the parent company of TikTok. Or $15 billion if ByteDance is still worth $100 billion today. How did a small Pennsylvania hedge fund find the best Asian social media investment? By launching an office in Shanghai in the early 2000s. The Asian division invested over $2 billion in 260 companies during that time. A $5 million investment in ByteDance in 2012, has returned $15 billion for Susquehanna. That's a cool 3000x return since in 2012.
The All-In Podcast
Between my commute from the kitchen to the home office, my travel time is limited. But I still make time for my favorite podcasts, which includes the All-In Podcast. This is one of the fastest growing podcasts. It hit the top five technology podcasts within days of being first released. The kicker? They only have NINE episodes but with an all-star cast!
On Friday's episodes, the 'Besties' discussed the Presidential state of the coronavirus. Each speaker brings a unique viewpoint to the market, which includes political, investment, diversity and much more. For example, Friedberg breakdowns a scientific viewpoint about the President's Covid condition and the possible treatments he was receiving.
Chaos at Coinbase
I wont go into the political discussions but it is worth listening to their thoughts about the Coinbase letter. Last week, Brian Armstrong, CEO of Coinbase, the largest crypto exchange, publicly released a strong mission-focused company letter. This received a lot of backlash on Twitter.
Brian believes companies need to be mission focused and leave politics out of the discussion. He simply does not want the outside world to interfere with the company's mission. To build great products, you need one team with one dream. Chamath pointed out that Brian's letter was poorly written and deserved its backlash. Brian's message is important for employees but poor communication led to much external chaos.
Communication is key in leadership positions. It is important to master the written word. People make decisions everyday based on what other people do or don't say. Don't make Brian's mistake. Proofread your work or hire a communications expert to review your material!
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