Episode #562: When the Rule-Based Order Wobbles: Investing in Resilience Over Size

Stewart Alsop sits down with investor and entrepreneur Adnan Hassan on the Crazy Wisdom Podcast to explore his thesis on creating a small state asset class, using evolutionary insights from asteroids, dinosaurs, and mycelium as a framework for understanding resilient systems. Hassan brings his background in Silicon Valley technology, New York and Washington finance, and sovereign funds—including senior leadership roles at the World Bank—to explain why 162 of the world's 200 states are actually small states with populations under 12 million, and why these distributed, autonomous entities might be best positioned to survive the coming global shocks from AI, currency disruption, and the wobbling international order. For more information about Hassan's work, visit www.sac-holding.com (SAC stands for Small State Asset Class), where you can find two-minute videos explaining his approach to building this new financial architecture.

Timestamps

00:00 Introduction and the asteroid, dinosaur, mycelium thesis as a framework for understanding evolutionary survival patterns across billions of years

05:00 Global order institutions are wobbling while currency systems evolve and AI emerges, creating simultaneous shocks that favor adaptable networked systems over large centralized structures

10:00 Small states defined as populations under 12 million represent 162 of 200 global economies, contradicting assumptions that most nations are large centralized powers

15:00 States behave as selfish entities seeking regulatory control while individuals seek autonomy, creating tension as the Westphalian system undergoes fundamental transformation

20:00 Cooperation versus competition in human systems, examining how KYC requirements and state surveillance are expanding globally including in America and Argentina

25:00 Small states are most interested in rule-based global order because they need protection from larger powers, unlike powerful nations that prefer unconstrained action

30:00 Of the twenty richest countries by per capita GDP, seventeen are small states, yet no small state asset class exists in financial markets

35:00 Uncorrelated assets provide diversification protection for investors, while small states offer geographic distribution across Caribbean, Africa, Europe, Gulf, and Pacific regions

40:00 Cross-border family business collaboration between small states will increase, leading to knowledge sharing and a proposed Davos for small states event

45:00 The individual sits at the core of this framework, with AI enabling creative minds in small places to access world-class resources previously impossible