The hottest Capital Substack posts right now

And their main takeaways
Category
Top Finance Topics

Dos Capital

Don't Worry About the Vase • 2553 implied HN points • 05 Jan 26
💰 Finance Capital
  1. If AI and robots fully replace human labor while capital yields rising returns and humans keep owning and controlling that capital, simple math predicts extreme, potentially unbounded wealth concentration.
  2. Those key premises are fragile and unlikely: perpetual human control, inviolable private property, AIs having no property rights, continued human survival and enforceable global taxes are all nontrivial and may break in a transformed world.
  3. Redistribution tools like inheritance or wealth taxes could in theory address extreme inequality but face political, enforcement, and economic limits; the real outcome depends on who holds power and whether democratic control endures.

New capitalism III: Capital

Global Inequality and More 3.0 • 1691 implied HN points • 27 Jul 25
💰 Finance Capital
  1. Capital income is different from labor income. You earn labor income by working hard, but capital income comes from simply having money to invest.
  2. Income from capital is very unequal. Most people don't receive any capital income at all, making it highly concentrated among the wealthy.
  3. A large portion of the world's population has no income from capital. Up to 85% of people may not earn anything from their investments, leading to a significant divide in wealth.

Wafer Scale - Trilogy Systems: Part 2

The Chip Letter • 4149 implied HN points • 27 Oct 24
🕹 Technology Capital
  1. Trilogy Systems, founded by Gene Amdahl in 1979, aimed to revolutionize the mainframe market with a new technology called Wafer Scale Integration, which promised to be faster and cheaper than existing solutions. However, the company struggled with technical challenges and internal issues.
  2. As delays mounted and financial troubles grew, Trilogy abandoned its mainframe plans and, ultimately, its Wafer Scale technology. Distractions like personal tragedies and a lack of cohesive vision contributed to the company's downfall.
  3. After losing credibility and facing mounting losses, Trilogy merged with Elxsi, but that too did not lead to success. Amdahl felt a deep personal responsibility for the failure, which haunted him even after the company's collapse.

The Great Reallocation

Renewable Revolution • 799 implied HN points • 12 Jan 24
🌞 Climate & Environment Capital
  1. Renewable energy doesn't actually need a huge increase in investment compared to fossil fuels. As fossil fuel spending goes down, the overall increase in spending is only about 2% a year.
  2. Investing in renewables is expected to grow significantly, doubling in the coming years while fossil fuel investments will decline. This shift is possible because renewable technology costs are dropping.
  3. The transition to a cleaner energy system is doable without needing massive funds. The main challenge is making sure that investments focus on developing the right infrastructure and policies.

The Hidden Bank Panic

The Dollar Endgame • 259 implied HN points • 12 Mar 24
💰 Finance Capital
  1. Institutions are requesting the Fed to exclude Treasuries from their leverage ratios post the Bank Term Funding Program, which is causing concern within the financial industry.
  2. Capital requirements in banks are crucial for preventing insolvency, with risk-based and leverage ratios being the two main types of requirements.
  3. Leverage ratios do not consider the risk levels of assets and require banks to maintain a specific ratio of capital to assets, helping ensure financial stability.
Get a weekly roundup of the best Substack posts, by hacker news affinity:

Should I buy a company after visiting Victoria, BC?

Olshansky's Newsletter • 45 implied HN points • 31 Dec 25
💼 Business Capital
  1. Buy an existing, revenue-generating business instead of building from scratch to create steady cash flow and buy time and freedom to pursue bigger missions.
  2. Make plans without expectations and show up; building relationships and staying open to serendipity often creates better opportunities than rigid goals.
  3. Prioritize independence and real value creation over constant fundraising, and then fix operational inefficiencies — cut waste, move costly cloud workloads to cheaper infrastructure, automate with AI, and keep teams lean to extract reliable cash flow.

10 Charts That Explain the AI Era

Perspectives • 7 implied HN points • 30 Jan 26
🕹 Technology Capital
  1. AI adoption has happened extremely quickly, with consumers embracing tools like ChatGPT far faster than past technologies, and we’re still in the early stages of broader impact.
  2. Training and running large AI models is very expensive and investment and infrastructure are concentrated in a few firms, so the ecosystem is still in a heavy build/investment phase rather than a mature, profitable one.
  3. Benefits are uneven: many corporate pilots fail to reach production, executives tend to gain more productivity than frontline workers, women use AI less, and entry-level jobs are being disrupted, so careful redesign and policy are needed to avoid widening gaps.

The Mindset Value Fund Q2 2023 Investor Letter

Mindset Value • 216 implied HN points • 17 Jul 23
💰 Finance Capital
  1. The Mindset Value Fund had a strong performance, up 14.2% in Q2 2023 and 33.3% for the year.
  2. HireQuest, a staffing company, saw a 25% stock increase after entering the Russell 3000 index.
  3. Grown Rogue, a cannabis cultivator, is positioned for significant growth and revenue increase.

US Innovates, China Replicates, and India ???

Sector 6 | The Newsletter of AIM • 19 implied HN points • 13 Jun 24
💼 Business Capital
  1. The US is known for innovation, while China focuses on replicating those innovations. This creates a unique competitive landscape in the tech world.
  2. India's struggle with innovation is tied to a lack of funding for research. They receive much less public funding compared to other countries, especially the US.
  3. For India to improve its innovation capacity, it needs to invest more in human, physical, and financial capital. These resources are crucial for developing a strong innovative system.

Late-Cycle Investment Theory

European Straits • 49 implied HN points • 06 Jun 25
💼 Business Capital
  1. We're in a late phase of technological revolution where innovation focuses more on efficiency rather than creating new disruptions. Companies now need to refine their strategies and embed existing technologies into the real world to succeed.
  2. As traditional tech models mature, new strategies will emerge to manage complex global systems, shifting the power dynamics within organizations and industries. It's no longer just about being innovative but being smart about implementation.
  3. Countries like China are emerging as leaders by mastering manufacturing and integrating it with new technologies, especially energy management. This trend suggests that future economic dominance will hinge on industrial capabilities rather than just financial prowess.

The Gravitational Force of Tech Money

The Future, Now and Then • 167 implied HN points • 13 Mar 24
💼 Business Capital
  1. Gravitational impact of money increases with scale, where extreme wealth creates societal problems beyond personal purchasing power.
  2. Tech billionaires accumulating astronomical sums of money have industry-warping and societal impacts, shaping the future and institutions.
  3. The concentration of vast capital in the hands of a few leads to comical ineptitude and problems society struggles to address, highlighting flaws in the tax system.

"Anonymous" Crypto Debit Card Startup Sues BaaS Platform, Ex-Evolve Partner Solid

Fintech Business Weekly • 66 implied HN points • 15 Dec 24
💰 Finance Capital
  1. Fraud and scams are becoming bigger issues for businesses compared to individuals. Companies need better tools to protect themselves from these threats.
  2. Many fintech companies are raising significant funding, which shows growth in the industry. Some are also getting ready for potential IPOs in the coming years.
  3. There's a legal battle between a crypto debit card company and its banking partner. It highlights the risks and challenges in the fintech sector, especially in compliance and service delivery.

A Simple Framework For The Drivers of Wealth

Neckar’s Notes • 255 implied HN points • 23 May 23
💰 Finance Capital
  1. Factors for increasing wealth: Create economic value, capture/control that value, apply leverage, compound capital over time.
  2. Factors for decreasing wealth: Over-consumption, charity, catastrophe, legacy.
  3. Balancing wealth: Focus on creating, capturing, and compounding wealth while avoiding over-consumption and catastrophe.

Peacetime Bank Stress Tests: Who's That For?

Without Warning • 39 implied HN points • 19 Feb 23
💰 Finance Capital
  1. The purpose of stress tests for banks in peacetime is not necessarily to predict future crises, but to ensure banks have enough capital and that the tests are tough and variable.
  2. It's important for stress test scenarios to change and remain tough to prevent banks from manipulating their capital levels and misrepresenting their financial health.
  3. The public stress test process during peacetime may not have a significant impact on capital allocation to the banking sector, unlike crisis-time stress tests.

OSD 300: Open Source Defense Capital

Open Source Defense • 59 implied HN points • 19 Nov 24
💼 Business Capital
  1. Modern tech is changing the civilian defense industry, making it more about community and content creation than just products. Companies are now focusing on building strong organizations and engaging their customers online.
  2. Founders in the civilian defense space face challenges due to a lack of resources and funding, which makes it harder for them to grow. This is different from the tech startup ecosystem, where support is abundant.
  3. To improve gun rights, it's important to create and promote high-quality gun products. Great products can help change laws and build a supportive community around them.

Financial Repression Isn't What It Used To Be

European Straits • 10 implied HN points • 25 Jun 25
💰 Finance Capital
  1. Financial repression happens when governments guide savings into projects they choose, even if people could get better returns elsewhere. This is a way for countries to manage their economies during tough times.
  2. In the past, developing countries used financial repression to grow quickly, but now it can signal that advanced economies are facing decline. It's like trying to hold onto past success instead of moving forward.
  3. The decision to use financial repression comes from having too much available money and not enough good places to invest it. It can prevent citizens from making their own financial choices and aims to keep the economy stable.

Higher bank capital requirements work

Klement on Investing • 1 implied HN point • 20 Feb 25
💰 Finance Capital
  1. Banks now have to keep more money in reserve, which helps prevent risky behavior and protects the economy. This rule came after the 2008 financial crisis.
  2. Even though higher capital requirements may lower banks' profits, they do not slow down overall economic growth. The economy remains stable without large drops in growth.
  3. Overall, increased capital requirements reduce the chances of serious economic downturns, which is a big win for financial stability. It seems like this regulation is working well.

Alert: Central Bank of Nigeria Circular BSD/DIR/GEN/LAB/09/048

RegAlert • 0 implied HN points • 14 Jun 23
💰 Finance Capital
  1. The Central Bank of Nigeria has issued a revised guideline on regulatory capital for non-interest banks in Nigeria.
  2. Financial institutions in Nigeria are required to adhere to the updated capital requirements outlined in the guidelines.
  3. The Exposure Draft of the Revised Guidelines on Regulatory Capital for Non-Interest Banks in Nigeria is available for download on the CBN website.

Preferred Stock: Fish or Fowl?

Musings on Markets • 0 implied HN points • 21 Mar 09
💰 Finance Capital
  1. Preferred stock is tricky because it behaves differently in the U.S. compared to other countries. In the U.S., it mainly gives fixed dividends, while in places like Brazil, it acts more like common stock with variable dividends.
  2. When figuring out a company's cost of capital, preferred stock can be confusing. If it makes up less than 5% of the company's value, it's easier to ignore; if it's more, you need to treat it as a separate source of funding.
  3. Although preferred stock is like expensive debt without tax benefits, some companies still use it to raise money. The reasons for this will be discussed in more detail later.