What is the source of the Nobel Prize? Where does so much money come from every year? This year’s Nobel Prize is 10 million Swedish krona, approximately US$1.4 million. According to Nobel's original wishes, the ideal amount of the Nobel Prize should be able to ensure that a professor can continue his research without receiving a salary for 20 years. According to data published on the official website of the Nobel Prize, the amount of the Nobel Prize in 1901 was 150,872 Swedish kronor, which was equivalent to 20 years' salary of a professor at that time. Since then, the amount of bonuses has continued to shrink, reaching 141,847 Swedish kronor in 1902 and 141,358 Swedish kronor in 1903. By 1923, the nominal value of the Nobel Prize had dropped to its lowest level in history, at 114,935 crowns. Since then, although the amount of the Nobel Prize has increased year by year, it has not reached the level of 1901 due to several depreciations of the Swedish krona. When the Nobel Prize in Economics was first awarded in 1969, the prize amount was 375,000 Swedish kronor. In 1991, the Nobel Prize reached 6 million Swedish kronor, which was equivalent to the actual value of the Nobel Prize in 1901 for the first time since it was awarded. Since then, the Nobel Prize has increased year by year. In 1992, the Nobel Prize was 6.5 million Swedish kronor, in 1993 it was 6.7 million Swedish kronor, and in 2000, the five major Nobel Prizes and the Nobel Prize in Economics reached 9 million Swedish kronor ( US$1 million), far exceeding the nominal value of the entire original fund and far exceeding the actual value of the original bonus. In 2001, the centenary year of the Nobel Prize, the value of the Nobel Prize reached 10 million kronor, and it has remained at this level since then. In accordance with Alfred Nobel's will, only the direct income of the Nobel Foundation - interest and dividends - can be used for the Nobel Prize. Capital gains from the management of shares could not be used for the Nobel Prize before, but Beginning on January 1, 2000, the Nobel Foundation was authorized to use capital gains from asset sales for the Nobel Prize. Under this new rule, proceeds from the sale of the Nobel Fund's assets can also be used for awarding activities and to pay various expenses "until they are no longer needed to maintain good long-term awarding capabilities." In addition, the Nobel Foundation can also decide on the share of assets invested in the stock market. In the long term, this means that the Nobel Foundation is likely to invest a greater proportion of its assets in stocks, leading to greater overall returns and a larger Nobel prize. Therefore, in the future, if the Nobel Foundation invests properly, the Nobel prize money will increase. [B]How does the Nobel Foundation make money[/B] After Alfred Nobel passed away on December 10, 1896, he proposed in his will that part of his estate (US$9.2 million) be used as The fund uses its interest to set up five prizes in physics, chemistry, physiology or medicine, literature and peace, which are awarded to scholars from all over the world who have made significant contributions to mankind in these fields. The terms of the will and its "extraordinary" purpose, together with its partly incomplete form, attracted considerable attention and soon led to skepticism and criticism of it. Only after several years of negotiations, consultations and sometimes painful conflicts, overcoming countless difficulties and obstacles, did the basic concepts of Nobel's will emerge into a stable format with the establishment of the Nobel Foundation. The Nobel Foundation is a private institution entrusted with protecting the interests of the award-awarding institutions designated in Nobel's will and representing the Nobel institution externally. This specifically includes various notification activities and various arrangements related to the awarding of awards, but the Nobel Foundation itself does not participate in the selection process and final selection of Nobel Prize winners. "An important task of the Nobel Foundation is to manage its assets in a way that protects the financial basis of the prize itself and the award process". It is therefore natural that the investment policy of the Nobel Foundation should be formulated as a factor of paramount importance in maintaining and increasing its funds and thereby increasing the size of the prize money. The will itself directed the executors to invest the remainder of the estate in "safe securities." In the investment rules originally formulated for the Board of Directors in 1901, the expression "safe securities" had been interpreted, depending on the circumstances, to mean gilt securities, or loans secured by such securities or real estate, and such securities and real estate, primarily issued or existing in Sweden and Norway. The foundation encountered many setbacks in its first 50 years, tax issues being one of them. When the foundation was established, people had not thought about tax issues. Although Nobel's will guardians have been asking for tax exemptions for the foundation's investment activities, no one has ignored it. Before 1914, the tax rate paid by foundations was 10%, which was barely sustainable. In 1915, the Swedish government passed a "temporary defense tax" that doubled the foundation's tax rate. In 1922, the cumulative tax burden exceeded that of the Nobel Prize in 1923. Since then, the question of whether foundations should be tax-free has been an issue in the Swedish parliament. This protracted discussion lasted for decades. It was not until 1946 that the result came: Parliament agreed that the foundation would enjoy tax exemption. This decision of the Swedish Parliament has also infected the Americans. The United States has stipulated that from 1953, the Nobel Foundation's investment activities in the United States will enjoy tax exemption. The foundation's investments began to shift from conservative to aggressive.

In 1953, the government allowed foundations to invest independently and invest money in the stock market and real estate. This is a landmark change in foundation investment rules. In the 1960s and 1970s, the amount of the Nobel Fund did increase a lot in terms of Swedish krona, but because the Swedish krona depreciated several times, the actual value of the fund did not increase. By the 1980s, the stock market was growing rapidly, the foundation's assets were increasing in value, and real estate was also appreciating. But in 1985, Sweden increased real estate taxes, which greatly reduced the foundation's income. Two years later, the foundation made an important decision: to transfer all the real estate owned by the foundation to a newly established listed company with an interesting name called "Recruiter". Later, the foundation sold all its shares in the "recruiter" company, just before the Swedish financial crisis broke out in early 1990, and made a fortune. Because of the Nobel Foundation's good financial management, many countries around the world have followed suit. Japan's two major awards, the "Japan Prize" and the "Kyoto Prize", established in 1985, are on the same level as the Nobel Prize in terms of bonus amounts. They are established and operated based on the Nobel Prize model. To this end, they also donated huge sums of money to the Nobel Foundation.