Today, Mike Burry, the prototype of the big bear, sent a picture (such as Figure 1) - "The net assets of American households in stocks exceed those in real estate. This picture shows the comparison between the proportion of "stocks" (red line) and "properties" (blue line) in American household assets from 1951 to the present. Currently, this is the third time that the red line has exceeded the blue line, meaning that the total value of stocks held by American citizens exceeds the value of their homes. In the past 70 years, this situation has only occurred twice: The first time was in the late 1960s: the "beautiful 50" foam in the US stock market, followed by a decade long "stagflation" bear market, and the stock market fell into a crash. The second time was at the end of the 1990s: in the Internet foam, the NASDAQ index fell from 5000 points to more than 1100 points, down 70%, and it took 15 years to recover. But this time, will it be the same boat carving for a sword? I don't think so, because the value and practicability of AI, as compared with the early Internet foam, as well as the huge paradigm shift that brought productivity revolution to society, are completely different. Let's take a look at the second picture synchronously, Figure 2: Top billionaires, their asset allocation strategies can solve the above problems. If their net assets in stocks exceed those in real estate, there is no need to worry: The name of this picture is' Wealthier Households Mainly Own Financial and Business Assets' (the wealthier the household, the more they primarily own financial and corporate assets). It is divided into 7 levels based on net assets, ranging from the lowest level of "less than $10000" to the top level of "over $1 billion", showcasing where people from different social classes spend their money. The core conclusion is in one sentence: poor people rely on houses and cars to "support their appearance", while rich people rely on stocks and companies to "make money". Let's look at it layer by layer: one ️⃣ Net assets<10k (less than $10000): What you see mainly are "self occupied properties" (red) and "vehicles" (orange). This is basically a true portrayal of the ordinary working class. Most of the hard-earned money was invested in daily necessities such as a house to live in and a car to drive. Stocks? Basically none. That's why it's said that "Americans with net assets below $1 million almost completely don't hold stocks", because for them, buying stocks is a luxury item and they have to solve their basic needs first. two ️⃣ Net assets range from 10k to 100k ($10000 to $100000): The proportion of real estate has increased (the red block is larger), and cars also make up a portion. At this stage, people may have just paid off their mortgage or are still paying, with a similar asset structure but a heavier proportion of real estate. Stocks are still scarce. three ️⃣ Net assets ranging from 1M to 10M (1 million to 10 million US dollars): It's starting to change here! Stocks (blue) and corporate equity (dark blue/black) are beginning to appear, and their proportions are not small. The number of "retirement accounts" (gray) has also increased. This indicates that these people have started to consider investing to make money, rather than just relying on wages. four ️⃣ Net assets>1B (over 1 billion US dollars): The key is here! I framed this pillar. As can be seen, the top is' Corporate Equity '(dark blue), and the bottom is' Stocks' (light blue). 37% is stocks, 35% is corporate equity! Adding up to over 70%! These top billionaires do not keep their wealth in the bank for interest, nor do they invest it all in one house. They either directly hold shares or equity in the companies they founded or invested in, or invest their money in publicly traded stocks. This is the true gameplay of 'capitalists', allowing assets to roll and grow on their own. The wealth gap is essentially a gap in asset allocation. Poor people lock their money in physical assets with poor liquidity and slow appreciation, such as houses and cars; The wealthy invest their money in financial assets that can generate cash flow and capital appreciation. To cross social classes, hard work alone is not enough, one must learn to invest. We need to shift our asset allocation from a "consumption oriented" to a "production oriented" approach, just like the wealthy. And embracing high-quality assets is the best choice for getting rich quickly. Following the footsteps of the rich is the key to standing undefeated!