Core Viewpoint - The combination of trade de-globalization and financial globalization is expected to exert downward pressure on global asset returns [1] Group 1: Trade De-globalization - Trade de-globalization is narrowing global market demand, which in turn reduces the returns of the real economy [1][6] - The U.S. has seen a continuous trade deficit exceeding $1 trillion from 2021 to 2024, leading to a significant outflow of dollars [3] - Tariff policies in the U.S. artificially raise import prices, aiming to protect domestic industries but ultimately increasing global commodity prices and reducing overall demand [4] Group 2: Financial Globalization - The introduction of the "Genius Act" regarding stablecoins represents a significant step in financial globalization, potentially increasing competition among financial assets [5] - The market capitalization of stablecoins has surpassed $280 billion, serving as a crucial link between traditional finance and digital assets [6] - The tokenization of assets is seen as the ultimate form of financial product innovation, allowing for the fractionalization of high-value assets to meet the needs of smaller investors [6] Group 3: Economic Implications - The stagnation of labor productivity in U.S. manufacturing has led to rising product prices, diminishing the global competitiveness of U.S. goods [2] - The combination of trade de-globalization and financial globalization is likely to lead to a long-term decline in asset returns due to increased competition and supply of financial assets [6]