Musk is taking short-term losses and hoping for long-term megawins | American Express is building up its just-in-case fund | [TOGETHER WITH]( Hi {NAME}, here's what you need to know for April 21st in 3:14 minutes. ð¦ Your bank account should be working for you, not against you. So if you want to unlock [a financial super-app and a handy £10]( (or equivalent) in your account, sign up for [three free months of Revolut Premium]( â youâll even get [six months of free Finimize Premium]( too. [Upgrade your bank today]( Today's big stories - Teslaâs price cuts pained the EV makerâs margins, but theyâre not going anywhere anytime soon
- Hereâs how you might find the right crypto or commodity hedge for your portfolio â [Read Now](
- Even American Expressâs flashiest customers couldnât stop it from giving a mixed results update Road Domination [Road Domination] Whatâs going on here? Teslaâs price-cutting tactic has [slashed]( the EV makerâs margins, but Musk seems willing to pay the price for ultimate supremacy. What does this mean? Teslaâs slimmed-down prices mightâve hoisted sales up by 24% last quarter â but as expected, those discounts ate into profit margins big time. A host of profitability measures dropped to their lowest in years, well below the record highs of last year. In fact, the firmâs profit margins suffered even more than some analystsâ already reduced forecasts had predicted. But Muskâs so sure that lower profit in the short run will be outweighed by heftier market share in the future that heâs set to double down on this strategy. Mind you, with early results showing price cuts have only slightly lifted the number of cars Teslaâs sold this year so far, skeptical investors still sent shares down 6%. Why should I care? The bigger picture: Method to the madness. In fairness, Teslaâs industry-leading margins do give the firm a lot to play with: the EV makerâs [operating profit margin]( sat at 11.4% last quarter, casting a Cybertruck-sized shadow over rivals General Motorsâ 6.6% and Fordâs 4% in 2022. Whatâs more, governments around the world are pushing for stricter emission restrictions, which means putting more EVs on the road. That could make it the right time for Tesla to assert its dominance, later leveraging that sway to profit from rolling out more autonomous and robotaxi features. Layer on Muskâs reassurance that orders are now outpacing production, and Teslaâs plan could soon see it relax on cruise control. Zooming out: Back against the wall. French carmaker Renault isnât being drawn in yet, though, saying this week that it has no plans for drastic price cuts on its EVs. But some analysts reckon Europeâs third-biggest EV brand might have to cave to stay in the game â after all, Teslaâs Model 3 is now cheaper than Renaultâs electric Megane in France. You might also like: [How to value Teslaâs stock.]( Copy to share story: [/road-domination]( ð [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=Road Domination&utm_campaign=daily-global-21-04-2023&utm_source=email) Analyst Take
Bitcoin Or Gold: How To Know Which Is Best For Your Portfolio [Bitcoin Or Gold: How To Know Which Is Best For Your Portfolio]( [Photo of Stéphane] Stéphane, Analyst With all the uncertainty out there, it could make sense to seek out assets that can be considered a [âstore of valueâ](. After all, they just might help you hedge against [market risks](. And if you've done any brief research, you'll know you have two frontrunner options: [gold and bitcoin](. The two assets might share [some similarities]( â but really, they could hardly be more different. So thatâs todayâs Insight: [hereâs how you might make a savvy choice between gold and bitcoin.]( [Read or listen to the Insight here]( SPONSORED BY KUFLINK You donât need millions to invest in real estate [Bricks-and-mortar opportunities]( can provide the, ahem, building blocks of future wealth. However, plenty of the [most promising investments]( in the space could cost you as much as a small mansion. No surprise, then, that itâs usually big-time investors and institutions buying in. Well, not anymore. You donât need to buy the whole house with [Kuflink](: instead, you could [invest in individual project loans]( that are each funding specific, detailed property developments. And if you want to save your brain power, [Kuflinkâs Auto Invest tool]( can automatically diversify your investment across [a well-spread portfolio of projects](. Whatâs more, you can start investing with the [award-winning peer-to-peer lending platform]( from [just £100](. Take that, institutional high rollers. [Find Out More]( When you support our sponsors, you support us. Thanks for that. American Distress [American Distress] Whatâs going on here? American Express (AmEx) [reported]( mixed results on Thursday, even after customers swiped their slick and shiny cards like they were going out of style. What does this mean? You can get credit cards for free, so AmEx has spent years revamping the benefits of its popular platinum card to justify the $695-a-year fee. Looks like thatâs more than paid off, helping push up the amount spent on its cards by a better-than-expected 14% last quarter, with customers splashing out on more leisure activities like travel and dining. And because AmEx collects fees from merchants each and every time customers swipe their shiny cards, that sounds like a recipe for plump profit. But the firmâs playing it safe, upping the cash itâs put aside â just in case its well-to-do customers start feeling the economic downturn like the rest of us â to over $1 billion. So despite all that flashy spending, AmExâs profit slipped 13%. Why should I care? The bigger picture: Big spenders, small hopes. Credit card companies thrive when folks are spending more, and AmExâs customers will have been shielding the firm from the general trend last quarter. See, consumer spendingâs been dropping off, with US retail sales [falling]( for the second-straight month in March. But AmExâs caution could mean itâs now seeing worrying signs among its usually more financially resilient customers. And it wouldnât be the only one: recent data showed that higher-income households grew more pessimistic in April. Zooming out: The land of doom and gloom. Consumer spending makes up two-thirds of the US economy, so the fact that more spenders might be thinking twice isnât exactly reassuring. And the Federal Reserveâs latest [assessment]( wonât inspire much confidence, either: the central bank believes the countryâs economy has essentially stalled in recent weeks, which could bolster the cases of some economists who predict a recession in the second half of this year. You might also like: [Keep an eye on these three big real-world recession indicators.]( Copy to share story: [/american-distress]( ð [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=American Distress&utm_campaign=daily-global-21-04-2023&utm_source=email) ð¬ Quote of the day "Perfection is the child of time." â Joseph Hall (an English bishop, satirist, and moralist) [Tweet this]( SPONSORED BY KUFLINK Property investments that donât cost as much as a house Plenty of rich folk buy properties, switching a mansion for a mansion and pocketing the change. And thatâs not just because they fancy a tenth bathroom: [property investments]( can be a savvy way to potentially grab higher returns than youâd get from saving â but they donât come cheap. You can, though, invest in individual projects â [backed by UK property]( â from [just £100]( with [Kuflink](, an [award-winning peer-to-peer lending platform](. If youâre new to the world of real estate, thereâs no need to worry: [Kuflinkâs experienced team]( is on hand to help you find investments and finance solutions that [suit your budget and goals](. Or if you want to go completely hands-off, you can use [Kuflinkâs Auto Invest tool]( to automatically spread your funds across [a diversified portfolio of projects]( around the UK. You can find out more about asset-backed loan investments on [Kuflinkâs secure, simple platform](. [Find Out More]( When you support our sponsors, you support us. Thanks for that. ð¯ On Our Radar 1. Cover your ears, Bard. Turns out Google employees wanted [the "worse than useless" AI bot]( to stay hidden for a while longer. 2. You havenât missed your chance to hear from five buzzing startup CEOs. You can size them up by [watching the webinar recording](.* 3. The male contraceptive pill is finally fixed. Now's probably the time to [look at the female ones](, then. 4. Déjà vu. Elon Musk's ready for [another lawsuit](. 5. She knew crypto was trouble when it walked in. Taylor Swift turned down [a $100 million deal with fallen FTX](. When you support our sponsors, you support us. Thanks for that. ð Finimize Live 𥳠Coming Up Soon... All events in UK time. ðââï¸ [Women And Investing: Powering Up Your Pension](: 5pm, April 25th
ð [Meet The Founder: Selina IPO](: 5pm, May 3rd
ð¥ [Investing 101: The DIY Investor](: 1pm, May 4th
ð [Modern Investor Summit 2023](: 12pm, December 5th and 6th â¤ï¸ 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} ð Weâd love to hear your thoughts. [Give feedback]( Want to advertise with us too? [Get in touch]( Image Credits: Image credits: midjourney, Shutterstock â The Bold Bureau | Shutterstock â Aitor Rodriguez Claro, AmEx Preferences: [Update your email]( or [change preferences]( [View in browser]( [Unsubscribe]( from all Finimize Emails ð´ Crafted by Finimize Ltd. | 280 Bishopsgate, London, EC2M 4AG All content provided by Finimize Ltd. is for informational and educational purposes only and is not meant to represent trade or investment recommendations. You signed up to this mailing list at finimize.com or through one of our partners. © Finimize 2021 [View Online](