LOWEST-LEVEL CASH TRACKING
Where is all the money? This page will track where all the money is by looking at the lowest-level of where our cash is. As this page develops, we’ll create interactivity so you can see how you impact where your lowest-level cash is going.
Economists track “money” in many different ways. When we think of money, some people think of just the paper currency and coins. Money is mostly kept in savings and money market accounts. These different types of measurements are called Money Supply measurements—and are tracked using the designations M1, M2, M3, M4, and so on. Each additional number next to the M is tracking more and more different types of money supplies. For this tracker, will focus on M2 which is the total value of non-invested money and money in savings accounts.
TOTAL OF U.S. M2 – $12.1 TRILLION
Market capitalization is the total amount of stocks outstanding a company has times the current share price. Governments, companies, mutual funds, and individuals buy these stocks.
- Apple (AAPL) – $847.1B
- Alphabet (formerly Google) (GOOG) – $680.4B
- Microsoft (MSFT) – $646B
- Facebook (FB) – $495.5B
- Amazon (AMZN) – $467.1B
TOTAL OF TOP 5 MARKET CAPITALIZATION – $3.134 TRILLION
Companies’ sales less their expenses is considered profit. Some companies pay out profits as dividends to shareholders, the rest is reserved as investments and cash. If companies don’t want to invest the reserves into more research and development, they keep it in cash.
- Apple (AAPL) – $261.5B
- Microsoft (MSFT) – $133.0B
- Alphabet (formerly Google) (GOOG) – $94.7B
- Cisco (CSCO) – $68.0B
- Oracle (ORCL) – $66.1B
TOTAL OF TOP 5 US COMPANY CASH RESERVES- $623.3 BILLION
Cryptocurrencies are relatively new. Over the last five years, investors have placed a lot of money into the future of cryptocurrencies. There are new Initial Coin Offerings (ICOs) coming out daily. There are over 1,000 different cryptocurrencies right now, but Bitcoin makes up over 70% of the market.
- Bitcoin – $134B
- Ethereum – $33.7B
- Bitcoin Cash – $19.6B
- Ripple – $8.9B
- Litecoin – $3.8B
TOTAL OF TOP 5 CRYPTOCURRENCIES- $200 BILLION
Gold has historically been an investment offering “safety” to investors. Over the last 50 years, governments have been increasing their gold reserves. Right now, governments hold the largest amount of gold. 1 metric ton of gold is 2,204.62 pounds. As of 19 Nov, 1 pound of gold is worth $1,294; therefore, 1 metric ton is worth $2.85M.
- United States – 8,133.5 metric tons – $23.2B
- Germany – 3,374.1 metric tons – $9.6B
- Italy – 2,451.8 metric tons – $7B
- France – 2,435.9 metric tons – $7B
- China – 1,842.6 metric tons – $5.3B
TOTAL OF TOP 5 GOLD RESERVES – $52.1 BILLION
OTHER TOP 5 TRACKERS
Not all of these Top 5 trackers represent where actual lowest-level cash is stored. For example, the largest mutual fund by assets under management is Vanguard’s S&P 500 Index (VFIAX). The mutual fund holds many stocks which make up the lowest-level cash.
Total world-wide assets in regulated funds https://www.ici.org/pdf/2017_factbook.pdf
The majority of the world’s investment are in regulated mutual funds. The two largest mutual fund companies, Vanguard and Fidelity, have assets under management larger than a lot of governments’ Gross Domestic Products (GDPs).
TOTAL IN THE WORLD – $40.4 TRILLION
TOTAL IN US – $19.2 TRILLION
Top 5 Largest Mutual Funds by Assets Under Management (AUM) (a/o 26 Sep 17) http://www.marketwatch.com/tools/mutual-fund/top25largest
AUM is tallied by the current price of all the stocks, bonds, and other mutual funds that the mutual funds own.
- Vanguard 500 Index, Admiral Shares (VFIAX) – $212.57B
- Vanguard Total Stock Market Index Fund, Admiral Shares (VTSAX) – $174.48B
- Vanguard Institutional Index Fund, Institutional (VINIX) – $134.16B
- Fidelity Government Cash Reserves (FDRXX) – $133.54B
- iShares Core S&P 500 ETF (IVV) – $124.39B
TOTAL OF TOP 5 – $779.14 BILLION