👋 Bye OpenAI, hello Microsoft

OpenAI's cofounder was ousted from the firm | Starbucks fell behind in China | [Finimize](   TOGETHER WITH   Hi {NAME}, here's what you need to know for November 21st in 3:03 minutes.   👀 You could read investment reports from big-name houses. Or you could grab a ticket for our [Modern Investor Summit]( on December 5th and 6th, and tune into keynote speeches from the likes of Ray Dalio and Jamie Dimon. [Get your free Summit ticket]( Today's big stories - OpenAI’s cofounder was booted from the company, and the Succession-esque drama could have major implications for the firm and Microsoft - Here’s what you need to know about investing in a presidential election year – [Read Now]( - Starbucks fell behind local brand Luckin in China, as the coffee giant struggled to energize the country’s caffeine addicts ClosedAI [ClosedAI] What’s going on here? OpenAI’s founder was forced to step [down]( over the weekend, after it seemed he wasn’t entirely, uh, open with internal communications. What does this mean? Artificial intelligence could be the biggest threat humankind has ever faced, so it’s essential that the forces harnessing the super-sensitive tech are trustworthy and stable. Well, no such luck: the cofounder of ChatGPT-owner OpenAI was recently cast out of the company for “not being consistently candid in his communications” – a reason vague enough to get social media speculating. And despite pressure from the firm’s investors and employees to reinstate the ousted leader, OpenAI is standing firm so far. Microsoft, however, nabbed the chance to get the former cofounder a staff badge. Why should I care? For markets: Altruism meets capitalism. OpenAI is primarily a not-for-profit organization on a mission to ensure that the tech is developed responsibly, with money-making designs apparently playing second fiddle. Now in time, the world – or more specifically, the world’s media – could catch wind of the alleged secrets within the firm. And if the bust-up was over a case of putting profit before people, this debacle could raise bigger questions about whether responsible AI and profit-making initiatives can ever truly co-exist. The bigger picture: Same leaders, different company. All eyes are on Microsoft now. The tech giant not only snapped up two ex-OpenAI entrepreneurs, but also owns 49% of OpenAI. The private company is rumored to be worth around $90 billion, or at least it was before most of the company’s staff threatened to walk out over the reshuffle. Microsoft has cash to burn, though, so it might be able to pick up the rest of OpenAI on the cheap. You might also like: [The AI party looks like it’s just getting started](. Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=ClosedAI&utm_campaign=daily-global-21-11-2023&utm_source=email) Analyst Take How To Invest During An Election Year [How To Invest During An Election Year]( By Theodora Lee Joseph, CFA, Analyst Some [40 national elections]( are on the calendar for next year, representing over 40% of the world’s population and 40% of the global economy. But the US presidential election is [by far the most consequential]( for markets. [Capital Group]( understands this better than most, as one of the world’s oldest and biggest investment houses. The firm recently published a deep dive into what happens to asset prices before and after Americans cast their ballots, and I’ve pulled out [the top four things you need to know](. That’s today’s Insight: [how to invest during an election year](. [Read or listen to the Insight here]( SPONSORED BY IG Your portfolio’s ready for the next election We’re only one year out from the next [US election](. That’s big, not just for the country, but for your portfolio. Remember, the world watches this election, and many investors react to developments by [reshuffling their portfolios]( – impacting asset prices as a result. To join them this time, you’ll need to know [which markets to watch, how different outcomes would refresh the winners and losers, and how to trade the US election](. Luckily, IG has all the answers: [check out the guide to trading the US election here](. DisclaimerYour capital is at risk. 68% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. [Find Out More]( When you support our sponsors, you support us. Thanks for that. Luckin Stars [Luckin Stars] What’s going on here? Luckin became the [biggest]( coffee chain in China, as Starbucks’ signature green siren call fell on deaf ears. What does this mean? Starbucks has cemented itself as the head honcho of the frappuccino industry, planting a bright green mermaid on every block in any major city. But in China, coffee addicts are getting their caramel macchiato fix from Luckin instead. The Chinese-backed company used a slick app and home delivery service to start competing against the world’s biggest coffee chain in 2017. Now, Luckin owns a roster of 13,300 frill-free stores mainly located in China, making Starbucks’ 6,800 look like a struggling independent artisan roaster. That, despite Luckin being booted from the Nasdaq in 2020 after fiddling with its books. Clearly, decent coffee forgives a multitude of sins. Why should I care? The bigger picture: Homemade is best. China’s retail market is one of the world’s biggest, so it’s no wonder global chains like Starbucks are clawing to make a name for themselves in the country. Problem is, the US dollar is expected to stay strong for a while, which means any international sales will probably be diluted when converted between currencies. Starbucks seems to think the hit is worth taking, increasing its three-year cost-saving plans by $3 billion to make room for international ambitions. For markets: The US has no excuse. Foreign companies can blame China’s lagging economy for shortcomings in the country – for now. But when the country’s eventual recovery pads shoppers with cash, they’ll likely use it to back companies founded on home turf. Alibaba and Tencent are already dominating the tech scene in China, while Anta has the run of the sportswear scene and Xiaomi is outselling Apple in the smartphone market. What’s more, with high interest rates forcing US companies to streamline their operations and future budgets, outsiders may struggle to fund the kind of inventions that could help them keep pace. You might also like: [Finding a stock is good, but finding a whole industry is golden.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Luckin Stars&utm_campaign=daily-global-21-11-2023&utm_source=email) Despite this economic downturn, [retail investors are optimistic](. Yup, [84% of the hardy bunch we surveyed are planning to invest more]( or the same as last quarter, with 67% predicting that global stock markets will be higher a year. And [women are bringing out the big guns](: 42% of female investors have between $5,000 and 100,000 to invest in the next year, and more than a third plan to invest over 11% of their monthly income. See, despite being painted as less confident than male investors, the women we surveyed said that wasn't the case. In fact, more than three-quarters are fully confident in managing their investments themselves. If you want the rest of the scoop on how retail investors are trading, you can [grab the full report here](. [Read The Report]( 💬 Quote of the day "Life without liberty is like a body without spirit." – Khalil Gibran (a Lebanese-American writer) [Tweet this]( SPONSORED BY PROSPERO.AI Hedge funds don't have all the power anymore. You could invest smarter with Prospero.Ai. Hedge funds are known for a lot of things, and inclusivity isn’t one of them. [Prospero.Ai]( is on a mission to change that, with the help of artificial intelligence. The platform has been designed to [make hedge fund-level market insights available to all](, so that you can make more informed investment decisions (no gatekeeping here). [Prospero.Ai](’s [Apple]( and [Android]( apps and newsletter gifts you with the tools needed to improve your financial future, like [access to real-time data, expert guidance, and a community of like-minded investors](. [Find Out More]( When you support our sponsors, you support us. Thanks for that. 🎯 On Our Radar 1. Respect the shuffle. Here's how to [upgrade your music rotation](. 2. The metaverse could change everything. Prepare yourself for a [new investing landscape](.* 3. Talk about being a water sign. Now you can [become an ocean bro](. 4. If you want to get into DeFi, you have a ton of projects to choose from. Here's an overview of [five of the most popular ones.](* 5. Beyoncé said "put a ring on it". Some brides are [skipping that step]( altogether. When you support our sponsors, you support us. Thanks for that. 🌍 Finimize Live [Modern Investor Summit]( ❤️ Share with a friend Thanks for reading {NAME}. If you liked today's brief, we'd love for you to share it with a friend. You stay classy, {NAME} 😉 We’d love to hear your thoughts. [Give feedback]( Want to advertise with us too? 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