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Happy Wednesday!

Forget the Monday blues, we're going for gold, silver, and a hint of crypto - diving into Mike Novogratz's bold 2023 portfolio plan.

In today’s Morning Mashup:

Read time: 4 minutes

🏪 Walmart's AI Evolution: Efficiency Redefined

Walmart's fully embracing the power of artificial intelligence (AI) to make its operations smoother and more efficient. Now, when I say AI, you might picture robots running the show, but it's really a lot less science fiction and a whole lot more practical.

Walmart is deploying AI in ways that take some of the most common tasks and, frankly, the most mundane, like categorizing products, keeping tabs on inventory, and streamlining supply chain operations, and gives them a high-tech makeover.

No more human error, no more counting stock by hand, just pure, streamlined efficiency.

Picture this, an AI system automatically organizing products on store shelves - ensuring they are just where the customers expect them to be. Or imagine knowing precisely when and which products are running low in stock. And let's not forget about the potential of AI in making the supply chain as smooth as butter by pinpointing the most efficient routes for product delivery, effectively slashing costs and boosting delivery times.

But, it's not all about efficiency and speed.

We have to take a moment to talk about the elephant in the room - the workforce.

There's a lot of talk out there about how AI might take away jobs, but let's flip the script. With the rise of AI, there's also a demand for those who can develop and maintain these systems. It's about adapting, evolving, and finding new opportunities in the changes.

As we stand on the edge of this AI evolution, it's exciting to consider how Walmart and other businesses will continue to leverage this technology.

💰 Blackstone's Big Bet: AI's Data Centre Gold Rush

Blackstone, the titan of property investment, has been on quite a ride lately. Shaking things up, their $68bn flagship, Blackstone Real Estate Income Trust (Breit), has flipped the script, morphing from a colossal property buyer into a heavyweight seller.

The motivation behind this maneuver?

Raising liquidity to meet redemptions and seize the golden opportunity - investing billions in data centres to cater to the skyrocketing artificial intelligence demand.

Zooming in on the timeline, from the start of 2021 up until the third quarter of that year, Breit went on a property shopping spree, snapping up a hefty $60bn worth, which included hotels, warehouses, and self-storage facilities.

They even took four publicly listed real estate investment trusts private. But, interestingly, from autumn last year, the buying spree slowed down and Breit began liquidating over $10bn in assets, thereby locking in gains on successful investments while boosting liquidity.

The sweet spot?

The sales were marked at 4% above their balance sheet values, raking in roughly $2.5bn in investment gains and helping Breit return over $8bn to investors since November last year.

Lately, Blackstone is making strategic moves, unloading assets such as a Texas resort for $800mn and a portfolio of self-storage properties for $2.2bn. They're gearing up for what they see as a “once in a generation” chance to construct properties to cater to the burgeoning demand from the AI boom.

Blackstone, leveraging its ownership of QTS Realty Trust, a real estate trust focused on data centers (acquired for over $10bn in mid-2021), has earmarked a whopping $8bn to build new data centers for several large-scale tech giants.

Some of the bigwigs at Blackstone see this as potentially their single most profitable real estate investment. And given the projected $1tn investment from tech giants like Microsoft, Google, Meta, and Amazon to meet the surging AI-driven computing demand, Blackstone might just be onto something.

So here we are, witnessing Blackstone pivot and double down on the technology of the future. Can't wait to see how this bold bet unfolds.

📈 Novogratz's Bold 2023 Investment Recipe

Picking up some scintillating investment advice from Galaxy Digital's very own Mike Novogratz. The finance guru recently dished out his dream portfolio for 2023 during an interview with Cointelegraph - and let me tell you, it's a recipe that's both bold and packed with flavors from different investment spheres.

Novogratz's mix?

A smooth 20% each to Bitcoin (BTC), Ethereum (ETH), gold, silver, and Alibaba (BABA).

In the Novogratz finance kitchen, he sees BTC and ETH as the most critical cryptocurrencies out there, while gold and silver provide that essential edge against inflation.

Now, Alibaba – it's not just an ingredient added for its tangy potential growth but a testament to the belief in the company's journey. But remember, this isn't your run-of-the-mill investment casserole. It's more aggressive than the usual 5% crypto allocation your everyday financial advisor might suggest. Novogratz is a long-term crypto bull, and he's betting on these digital assets delivering serious returns down the line.

So, here's what the Novogratz 2023 portfolio looks like, all set for you to take a peek:

• Bitcoin (BTC): 20%

• Ethereum (ETH): 20%

• Gold: 20%

• Silver: 20%

• Alibaba (BABA): 20%

The portfolio leans heavily towards cryptocurrencies and precious metals, the perfect blend Novogratz believes has the chops to outdo traditional stocks and bonds in the long run.

Yet, it's a spicy combination, and the volatility might be too much for some.

Always remember, when trying out any new financial recipe, research, seek advice, and only take a bite if you're comfortable with the heat level.

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🐦 Tweet of the day

Real evidence crushes self-doubt.

That’s all for now!

If you have any interesting projects or ideas please reach out to us by responding to this email or by sending us a DM on Twitter: @DerikVasquez & @MorningMillionaire

As always, thank you for your time, and see you soon.