Global equities are now valued at $100tn+ (the highest value in human history), the UK became the first western country to license a vaccine against Covid and All Raise secures $11m for women in tech
Weekly newsletter for women who want to be smart about money: financial news, personal finance and investing
Welcome to our #48 weekly newsletter in 2020.
Every week we curate key content and apply a female-lens so you can stay informed and inspired about money and investing.
Stay in the know.
Keep on top of global economic, financial and investing news and trends. And read about what this means for you and your money in 2020 during Covid-19 and beyond.
“For women who are taking control of their financial future”
-Jana Hlistova
From The Purse…
Editorial from the Founder
Global equities are now valued at $100 trillion+ and equal to 115% of global GDP: this is the highest value in human history.
The FTSE 100 closed at a 9 month peak: miners and oil companies led the rally, showing increased optimism about economic prospects with Covid-19 vaccines being rolled out soon, and pressure building on US Congress to agree a new stimulus package.
The UK became the first western country to license a vaccine against Covid (Pfizer/BioNTech vaccine).
The US economy has missed its November forecast for job growth: 245,000 jobs were added vs the forecast of 460,000 (as soaring Covid-19 case counts and partial lockdowns cut into hiring activity).
Bitcoin surged to $19,800 on Monday- a new high, since 2017.
Meanwhile BlackRock CEO has warned the growing popularity of Bitcoin is impacting the reserve status of the US dollar.
The UK high street had a bad week; both Arcadia and Debenhams collapsed putting approximately 25,000 jobs at risk.
A group of female venture capitalists (in the US) who focus on gender equality in tech called All Raise, have secured $11m in funding against a target of $15m.
And we are tracking a sextech startup called MakeLoveNotPorn; founded by Cindy Gallop. They have recently closed a crowdfunding campaign securing $50K+ and are raising $10m for the business.
Stay safe, look after yourselves and your loved ones.
I hope you enjoy this week’s newsletter. Until next week,
Jana
The Big Picture
Global markets and economy news, trends and indicators
Global equities are now valued at $100tn:
This is the highest value in human history and equal to 115% of global GDP:
The FTSE 100 closed at 9 month peak
The London stock market closed 60 points higher at 6550 points, a gain of 0.9% (Friday).
Miners and oil companies led the rally, showing increased optimism about economic prospects -with Covid-19 vaccines being rolled out imminently, and pressure building on Congress to agree a new stimulus package.
The UK became the first western country to license a vaccine against Covid
This has opened the way for mass immunisation with the Pfizer/BioNTech vaccine to begin next week for those most at risk.
The pace of new job additions slowed as soaring Covid-19 case counts and partial lockdowns cut into hiring activity.
November: 245,000 jobs were added vs 460,000 (expected).
The US unemployment rate fell to 6.7% from 6.9% (down from 14.7%).
Bitcoin surged to $19,800 (Monday), topping its 2017 high
According to Tyler Winklevoss, co-founder of crypto exchange Gemini and a long-time Bitcoin bull:
“Our thesis is that Bitcoin is gold 2.0, that it will disrupt gold..So we think Bitcoin could price one day at $500,000 a Bitcoin. So at $18,000 Bitcoin, it’s a hold or at least if you don’t have any it’s a buy opportunity, because we think there’s a 25x from here..”.
Future Focus
Keeping an eye on key predictions, innovations and what’s going to impact the future
US: why will the stock market rally be sustainable in 2021
Jeremy Siegel, the Wharton professor, says there are 3 reasons why the stock market rally will be sustainable:
The record amount of liquidity from investors that's been held back by the coronavirus.
The better-than-expected vaccine progress will enable lead investors to unleash pent up liquidity and increase spending next year as the economy reopens.
The outcome of the US election will help stocks in 2021, as a likely Republican-controlled Senate will put a cap on tax increases, while president-elect Joe Biden will avoid ‘some of the crazy trade policies’ that President Trump pursued.
Larry Fink said: “I'm not talking about for Americans, I'm talking about for international holders of dollar-based assets…does [digital currency] change the need for the dollar as a reserve currency, if there was a true digital currency that was separated from dollar-based assets?"
Companies: winners & losers
Companies to watch and share price movements
Moderna soars 16% after announcing plans to file for emergency use authorisation
The US pharmaceutical company has said its vaccine was more than 94% effective at preventing people in its late-stage trial from becoming sick.
Moderna said it expected to have 20 million doses ready for use in the country by the end of 2020, then produce 500 million to 1 billion doses globally in 2021.
UK: Arcadia and Debenhams collapse
Sir Philip Green’s Arcadia Group went into administration (on Monday), with 13,000 jobs at risk. The group has 444 stores in the UK and 22 overseas, with brands including Topshop, Dorothy Perkins and Burton.
Debenhams, which has around 12,000 staff, announced it was beginning the liquidation process on Tuesday after talks of a rescue deal with JD Sports failed.
Your Money
Insights, trends and what this means for you and your purse
UK: Consumer credit falls to the lowest since records records began
Households repaid £499m in credit in the month of October.
Have You Seen This?
Female-focused news, reports, research, campaigns
Group seeking equality for women in tech raises $11m
AllRaise, a group of female venture capitalists who focus on gender equality in tech, has raised $11m towards a target of $15m.
Backers include Pivotal Ventures, the investment firm of Melinda Gates; the Reid Hoffman Foundation; and GGV Capital.
The money will fund expansion plans for the next three years.
Know this: in the US, only 13% of venture capitalists are women. Roughly two-thirds of venture capital firms still have no female partners. Women own just 11% of founder and employee equity in start-ups, according to a study conducted by Carta, a financial technology start-up.
What We’re Tracking
Female-focused products or services, start-ups and businesses led by women, investment, crowdfunding campaigns and research.
MakeLoveNotPorn (MLNP) (US): -founded by Cindy Gallop, is a social sex platform, by real people for real people.
The global sex toy industry has been estimated at some $15 billion and is growing at more than 30% a year, potentially outpacing drone manufacturing.
Four years since launching, MLNP has more than 400,000+ users.
It monetises the content on a pay-per-view model and splits revenue equally between the site and the creators.
They have successfully raised $50K+ on iFundWomen (a platform aimed at female entrepreneurs).
Cindy has also upped her initial funding target to $10m: she believes this will not only finance MLNP but kick off the entire sector.
Coffee Break? Read This
We’d love to hear from you. Get in touch with Jana via the The Purse website or tweet @jointhepurse and @janicka.
The Purse Ltd. Copyright 2020 & All Rights Reserved.