2024 Worldwide Market Values
Equity 2024 $109 Trillion
Bonds/Debt 2024 $315 Trillion
Gold Based on per oz $2720 $14 Trillion (2/10/25 9am value $2,932)
Derivatives 2024 $1-1.2 Quadrillion
- What is a Quadrillion? A thousand million millions.
- 1,000 x 1,000,000 x 1,000,000 = 1,000,000,000,000,000
- Which is a 1 followed by 15 zeros
- Using scientific notation: 1 × 1015
- We could also think of it as a thousand trillion or a million billion.
Values shown are what I could find as the most current and what I thought were most accurate…
Words mean different things to different people so here is what these words mean to me:
Equity represents the amount of money that would be returned to a company’s shareholders if all of the assets were liquidated and all of the company’s debt was paid off in the case of liquidation. Market Risk but No Counter party risk.
Debt is something, usually money, borrowed by one party from another. Debt is used by many corporations and individuals to make large purchases that they could not afford under normal circumstances. A debt arrangement gives the borrowing party permission to borrow money under the condition that it is to be paid back at a later date, usually with interest. Counter party risk
Under a free market system, Gold is a currency. Gold has a price, and that price will fluctuate relative to other forms of exchange, such as the U.S. dollar, the euro, and the Japanese yen. Gold can be bought and stored, but it is not usually used directly as a method of payment. However, it is highly liquid and can be converted to cash in almost any currency with relative ease. No counter party risk.
Derivatives are financial contracts, set between two or more parties, that derive their value from an underlying asset, group of assets, or benchmark. No underlying value bringing in counter party risk. Huge counter party risk…
Counterparty risk is the likelihood or probability that one of those involved in a transaction might default on its contractual obligation, i.e., can they pay off on the bet?
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