The Proof of an Intelligent Investor


Source: Google Finance

[Update] As further proof of what's below, FTSE 100 is now trading higher than what it was at pre BREXIT. 

[Original Post] The after math of BREXIT shook up several markets. FTSE 250, which is a composite of very UK centric businesses took a severe hit that morning, and so did FTSE 100. FTSE 100 is composed of firms which draw less than 30% of their revenue from inside the UK. 

So, amid all noise of doom and despair, you'd expect scrips of any kind fall. At least that was the prediction by several from the media and a few from my peers. 

But, here's what sets the case for existence of an intelligent investor. 
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The After Effects of BREXIT


Courtesy - FT.com

Now that dust is settled and UK is bound to get out of European Union, some after effects - short & long term come to mind.

  • Sterling will take a hit in the short term. 

    • Besides investors sentiment, it is possible that several remaining countries in the EU might just dump their sterling reserves - both out of fear and perhaps some even out of spite. All that extra sterling in the world market will take it lower. 

  • Rise in Inflation

    • With both labour and goods finding it hard to enter as easily, temporarily both goods and services will become expensive. Most importantly food related since UK imports a significant portion of it. A weak sterling might become worse off as its buying power dwindles.
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World's Fastest Supercomputer is soon going to be ARM based

Image hosted and courtesy of IISc

There was a supercomputer story which broke ground on 20th June at the International Server Conference, which  got missed by most of Indian media. But it's very compelling any way you look at it.

The background:
Now,
  • India’s Sahasrat is supposed to have capacity of around 1.46 PetaFlops. (as per public sources)
  • China’s Sunway-TaihuLight is supposed to have a capacity in excess of 100 PetaFlops(public sources)
But, Fujitsu announced at http://www.isc-hpc.com/ on 20th June that they are building a
1000 Petaflop ARM based supercomputer for Japan’s RIKEN institute.

Some international magazines did pick this news up:
This effort is part of Japan's 'Post-K' supercomputer program(The ‘K' is their current supercomputer)

Basically, once Japan's new supercomputer goes live, it will be
  • 10 times more powerful than the fastest supercomputer in the world today.
  • and around 700 times more powerful than the fastest supercomputer in India today. 
Either way we look at it, India seems way behind in the supercomputing race.
And China’s Sunway-TaihuLight is no more a benchmark
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