Christmas Eve Edition of the Money Matters Show!

WEBVTT 1 00:00:01.800 --> 00:00:07.480 Good morning everybody, and good morning Christmas Eve. This is the Moneymatter Show. 2 00:00:07.519 --> 00:00:11.800 This is Dean Greenberg and this is eight o'clock seven ninety am, K 3 00:00:11.919 --> 00:00:15.759 and ST. We're gonna bring you for the next two hours some good information 4 00:00:15.800 --> 00:00:19.359 about the markets, where we are and what to expect next week. I 5 00:00:19.440 --> 00:00:22.239 don't expect a lot, you know, maybe a little here, a little 6 00:00:22.239 --> 00:00:25.079 there, maybe probably trying to go up. It could try to get to 7 00:00:25.120 --> 00:00:27.800 new highs before the end of the year. We got four trading days to 8 00:00:27.839 --> 00:00:32.079 go after that. Are more concerned. There's a lot of things that have 9 00:00:32.159 --> 00:00:35.399 to take place to see the type of returns we have. The other thing 10 00:00:35.399 --> 00:00:39.960 you gotta think about is do you stay with the ones that we're doing great? 11 00:00:40.000 --> 00:00:44.600 Do you stay with those big tech companies. I still think they might 12 00:00:44.640 --> 00:00:47.359 do Okay, They're not gonna do what they did this year. They're not 13 00:00:47.479 --> 00:00:51.600 going up two one hundred and fifty per one hundred percent, but they could 14 00:00:51.640 --> 00:00:54.840 still move up, you know, twenty percent or so, maybe thirty percent, 15 00:00:54.880 --> 00:00:59.399 which is still good. But the other side of the coin, if 16 00:00:59.479 --> 00:01:07.840 you look at it, it is you got basically nine fifteen stocks that basically 17 00:01:07.040 --> 00:01:12.719 brought the market up to a if you just take those big companies like that, 18 00:01:14.359 --> 00:01:18.599 you got a evaluation a PE of twenty six percent. The rest of 19 00:01:18.640 --> 00:01:22.200 the market, the other four hundred and ninety stocks, you take out those 20 00:01:22.239 --> 00:01:27.439 ten, you got a seventeen point two So the market, if you kind 21 00:01:27.439 --> 00:01:30.879 of look at it, it's a little bit cheaper than you think it is 22 00:01:30.719 --> 00:01:34.560 because of those big companies. So I think you have to start looking at 23 00:01:34.599 --> 00:01:40.640 some other ways to diversify as you go into next year. More industrial type 24 00:01:40.640 --> 00:01:44.799 stocks, more companies that the large cap, more of the ones that the 25 00:01:44.799 --> 00:01:47.920 pees a little bit lower. You know, that doesn't mean you sell out 26 00:01:47.920 --> 00:01:49.799 of all the other ones, but you got to probably look to trim back. 27 00:01:51.560 --> 00:01:53.439 Those are things we're going to talk about today and try to give you 28 00:01:53.480 --> 00:01:57.840 some insight to what we're doing. This is the moneymat of Shell. It 29 00:01:57.920 --> 00:02:00.120 is brought to you by Greenberg Financial Group. Greenberg Financial Group is both a 30 00:02:00.200 --> 00:02:05.760 registered investment advisory and a broken dealer. On the show, we talk about 31 00:02:05.760 --> 00:02:12.400 product strategies, ideas and everything else. Just remember it all has risk. 32 00:02:13.199 --> 00:02:17.039 No matter what you do has risk. You understand the risk. You're a 33 00:02:17.039 --> 00:02:22.479 better investor if you understand the risk you're getting into and why you're getting into 34 00:02:22.560 --> 00:02:24.120 it, you're a better investor. It's not just the risk on the downside 35 00:02:24.159 --> 00:02:28.240 of risk on the upside. There comes a time that you have to take 36 00:02:28.319 --> 00:02:30.960 some money off the table, even though you don't want to, because your 37 00:02:30.000 --> 00:02:37.520 risk got too great, your allocation got too big. Your philosophy should not 38 00:02:38.280 --> 00:02:47.159 just sway by your emotions. So coming into twenty twenty four, I gotta 39 00:02:47.159 --> 00:02:52.080 believe at some time you're going to see a little bit more of a slowdown, 40 00:02:53.400 --> 00:02:58.680 just like we saw with GDP. This week, Q three came into 41 00:02:58.719 --> 00:03:01.840 four point nine, a set of five point two. That's lower. Things 42 00:03:01.879 --> 00:03:05.879 are going to start to get a little bit lower. It takes time. 43 00:03:06.439 --> 00:03:09.960 The United States economy is the biggest economy in the entire world. It takes 44 00:03:10.159 --> 00:03:14.439 time. From what the Federal Reserve has been doing. This is why we 45 00:03:14.520 --> 00:03:19.240 asked them and bleep begged them to stop raising interest rates so we don't destroy 46 00:03:19.759 --> 00:03:23.879 the economy. We just slowed down the PCE number that they look at all 47 00:03:23.919 --> 00:03:28.240 the time, which is an inflationary number. It was down a little bit. 48 00:03:28.879 --> 00:03:32.039 So things are going in the right direction. Mortgage rates are down to 49 00:03:32.080 --> 00:03:38.039 six point seven percent. They're going in the right direction. But we're still 50 00:03:38.120 --> 00:03:46.680 so far higher than we were. And it blows my mind that there's people 51 00:03:46.719 --> 00:03:53.240 out there that believe these Biden economics are working. They forget what we got 52 00:03:53.280 --> 00:03:55.680 went from to where we were. They're able to say, well, that 53 00:03:55.800 --> 00:04:00.439 was the pandemic, but he didn't do any thing other than get us up 54 00:04:00.479 --> 00:04:05.639 to nine ten percent inflation. Yes, it's coming back down, but did 55 00:04:05.719 --> 00:04:11.000 you see that report, and I think it came from I don't know, 56 00:04:11.080 --> 00:04:15.680 one of the government agencies that said, even though things have gotten better on 57 00:04:15.680 --> 00:04:25.439 the inflation side right now from two thousand twenty one today twenty twenty three, 58 00:04:26.680 --> 00:04:31.279 it costs the average American fourteen thousand dollars more to live if they were living 59 00:04:31.279 --> 00:04:34.199 the same exact way before. So that means if you got to raise the 60 00:04:34.240 --> 00:04:41.319 fourteen thousand dollars, then you're about even. And that's a real number, 61 00:04:41.519 --> 00:04:45.519 and that's a real number of except in Arizona it's sixteen thousand per person, 62 00:04:46.279 --> 00:04:50.720 sixteen thousand dollars more. You had to be making more since twenty twenty one 63 00:04:51.680 --> 00:04:56.920 in order to be even. So when they talk about all these mumbo jumbos 64 00:04:56.959 --> 00:05:00.399 with all these numbers coming down and inflation coming down, those are good. 65 00:05:00.439 --> 00:05:04.040 We want that to come in our direction. But don't think for one second 66 00:05:04.079 --> 00:05:10.160 that everyone isn't paying so much more to live, which means so many families 67 00:05:10.720 --> 00:05:15.839 are barely getting by, and a lot aren't without subsidies. Where do subsidies 68 00:05:15.879 --> 00:05:20.519 come from? Taxpayers? They all come from taxpayers. And the more that's 69 00:05:20.560 --> 00:05:25.639 going on, the more deficit we have. Because interest rates have gone so 70 00:05:25.800 --> 00:05:29.639 high that WeDo our debt. We're paying so much more there with all that 71 00:05:29.720 --> 00:05:33.199 money. So yeah, of course it's going to be a deficit. But 72 00:05:33.199 --> 00:05:38.720 most people don't even realize that a deficit is something we got to be concerned 73 00:05:38.759 --> 00:05:46.160 about. They're blinded to the financial ideas of what monetary policy and fiscal policy 74 00:05:46.240 --> 00:05:49.439 has to do. Except if when I go ahead and say, think about 75 00:05:49.480 --> 00:05:55.800 your own household. If you're bringing fifty thousand dollars and you spend sixty thousand 76 00:05:55.839 --> 00:05:59.399 dollars, are you above water below below water? Well, how do you 77 00:05:59.439 --> 00:06:01.040 pay that ten Well, we got to borrow it or take it from our 78 00:06:01.040 --> 00:06:08.319 savings. Well, eventually that runs out. What happens It weakens your stability 79 00:06:08.759 --> 00:06:13.319 as a household. Well, it weakens our stability as a country when we 80 00:06:13.519 --> 00:06:17.759 cannot go ahead and pay the bills without going into debt. And all we 81 00:06:17.839 --> 00:06:21.160 ever hear is let's raise the debtor. Let's raise the debt selling. Let's 82 00:06:21.240 --> 00:06:27.519 raise the debt sealing. How about one time we're going to lower spending, 83 00:06:27.759 --> 00:06:30.639 But you can't when you've got inflation. Everything's court in the government more, 84 00:06:31.079 --> 00:06:35.079 every supply, everything that they get is courts in the government more, which 85 00:06:35.120 --> 00:06:42.199 is telling us that we have to pay more. They are finding ways that 86 00:06:42.240 --> 00:06:47.319 we can pay more in taxes. So think about that fourteen thousand dollars more 87 00:06:47.759 --> 00:06:51.480 to be able to live than you did two years ago is really at least 88 00:06:51.480 --> 00:06:56.480 eighteen thousand to twenty thousand dollars more you got to make to be able to 89 00:06:56.519 --> 00:07:01.680 net that fourteen thousand. Keep taking taxes, and they keep raising taxes, 90 00:07:01.800 --> 00:07:08.199 and they keep raising Medicare, the Social Security so you can get the peanuts 91 00:07:08.240 --> 00:07:13.000 later on, so we can keep paying for the people that are older. 92 00:07:13.160 --> 00:07:18.120 They've never made provisions to be able to subsidize what they need. To subsidize 93 00:07:18.439 --> 00:07:28.319 the money that they need. We need to go ahead and understand something. 94 00:07:30.279 --> 00:07:35.399 Our tax system is in shambles and it will continue to be there when there's 95 00:07:35.439 --> 00:07:40.040 only the top twenty percent that pay most of all the taxes. When fifty 96 00:07:40.079 --> 00:07:44.279 some percent of Americans don't pay taxes and they talk about their fair share, 97 00:07:45.879 --> 00:07:49.279 that's a problem. I don't know if you saw this week, but Ted 98 00:07:49.319 --> 00:07:54.360 Cruz came out with an idea which I thought was pretty good because I've been 99 00:07:54.439 --> 00:07:57.279 a proponent of it for a long time, and of course you got no 100 00:07:57.360 --> 00:08:03.319 real news on it. And he was talking about a flat tax again, 101 00:08:03.480 --> 00:08:09.279 all right, being able to go ahead and lower corporate taxes. Okay, 102 00:08:09.920 --> 00:08:13.920 lower corporate taxes, which obviously I you lower corporate taxes. In essence, 103 00:08:13.959 --> 00:08:22.360 it will lower prices for Americans, would put more money in your pocket of 104 00:08:22.399 --> 00:08:33.240 your wages by bringing down to a flat tax. And the other part of 105 00:08:33.279 --> 00:08:39.720 it is that it will tax everybody the same. Whether you're making fifty grand 106 00:08:39.879 --> 00:08:45.480 or five one hundred million dollars, you get taxed the same. So it 107 00:08:45.519 --> 00:08:50.879 gets rid of all those loopholes that will keep complaining about You hear the Bernie 108 00:08:50.919 --> 00:08:56.600 Sanders, You hear all the Democrats complain about billionaires not paying their fair share 109 00:08:56.679 --> 00:09:03.639 pain enough, But they have done absolutely positively nothing to change the tax law 110 00:09:03.919 --> 00:09:07.360 that allows them to have the loopholes. That they have in order not to 111 00:09:07.399 --> 00:09:11.320 have to pay all those taxes. And I'm not talking about putting in a 112 00:09:13.759 --> 00:09:20.600 wealth tax of taxing unrealized gains. I'm talking in every piece of income that 113 00:09:20.679 --> 00:09:24.240 you have, anywhere you get it, everybody pays the same thing of ten 114 00:09:24.279 --> 00:09:28.360 percent, and what you do, it becomes a consumption tax on the other 115 00:09:28.480 --> 00:09:31.480 side, So the people with more money that want to buy more stuff, 116 00:09:31.480 --> 00:09:35.519 they have to pay more in taxes. You want to buy a five million 117 00:09:35.559 --> 00:09:39.600 dollar home, your taxes will be higher on that home than someone that buys 118 00:09:39.600 --> 00:09:46.600 a hundred thousand dollars tax a five hundred thousand dollars home. It's that simple 119 00:09:48.120 --> 00:09:56.679 consumption tax. If someone chooses not to not to buy something and live frugally, 120 00:09:58.120 --> 00:10:01.919 that's fine. A mass is much money you want. But I'm okay 121 00:10:01.919 --> 00:10:07.480 at the end that we have it to stay tax so some of that does 122 00:10:07.559 --> 00:10:11.639 go back into the system. I'm okay with that. I know that goes 123 00:10:11.679 --> 00:10:13.840 against a lot of people, but I'm okay with it because I do know 124 00:10:13.879 --> 00:10:18.159 we need money to keep our economy going and to protect and do all the 125 00:10:18.200 --> 00:10:22.879 things we need to do as the government is supposed to do. We have 126 00:10:22.960 --> 00:10:26.360 a lot of disasters. We need money for things like that, and whether 127 00:10:26.399 --> 00:10:30.080 we like it or not, we are also the ones that have to help 128 00:10:30.360 --> 00:10:35.679 around the world. With the biggest economy, we have the best technology, 129 00:10:35.360 --> 00:10:41.080 we have some of the smartest people. We will help and that's what will 130 00:10:41.080 --> 00:10:46.080 happen. We have to compromise somewhere along the line here. But what we 131 00:10:46.279 --> 00:10:52.679 like it we don't like. We need to change fundamentally the way we're doing 132 00:10:52.720 --> 00:10:58.000 things. And I start with the tax situation. The second thing we got 133 00:10:58.039 --> 00:11:05.799 to start with is idea immigration system in the border. As much as Ukraine 134 00:11:05.840 --> 00:11:11.080 needs help and everyone and all and most people on board, we understand why 135 00:11:11.080 --> 00:11:16.360 they need help, But does anyone see the financial accounting of where that money 136 00:11:16.399 --> 00:11:22.360 goes. You hear rumors all the time. I don't know what's true or 137 00:11:22.440 --> 00:11:26.679 not true, because no one's ever accountable for where the money goes. Of 138 00:11:26.720 --> 00:11:30.919 course, the Republican's always going to say that money goes there to come back 139 00:11:31.120 --> 00:11:37.840 to the Democrats of political campaigns. I hear that we give out money to 140 00:11:37.919 --> 00:11:41.519 the businesses in Ukraine to help them stay afloat, kind of like what we 141 00:11:41.559 --> 00:11:48.639 did here in the pandemic. I don't know how about a transparent, forensic 142 00:11:48.720 --> 00:11:52.559 accounting of where we give all the money to all the time, and if 143 00:11:52.559 --> 00:11:56.279 they're not doing it what we're supposed to do, then let's not give them 144 00:11:56.320 --> 00:12:00.919 the money. We hear it way too many times. We give it to 145 00:12:00.960 --> 00:12:07.240 these fringe countries and the only people that get it are the people ruling the 146 00:12:07.279 --> 00:12:11.600 country, and they become multi billionaires while everybody else still suffice and it just 147 00:12:11.639 --> 00:12:18.080 trickles down a little bit. It's not right, But I do believe that 148 00:12:18.159 --> 00:12:20.519 we do not give any money to anybody else to we secure the border. 149 00:12:22.600 --> 00:12:28.960 The border is out of control. Ten thousand plus people a day are coming 150 00:12:30.000 --> 00:12:33.600 across the border in those camps, just sitting there. You see it, 151 00:12:33.759 --> 00:12:39.600 but nobody wants to believe it. They almost think that it's just pictures going 152 00:12:39.679 --> 00:12:45.840 up. It is costing us so much money allowing these people to come in 153 00:12:45.840 --> 00:12:50.159 the country. What they think they're getting versus what they actually get is so 154 00:12:50.320 --> 00:12:56.720 far different. And you saw some of them have their dates that go to 155 00:12:56.799 --> 00:13:03.799 court in eight years from now, eight years from now. This is ridiculous. 156 00:13:05.080 --> 00:13:09.720 Our system is so broken. And their Congress, and it means Congress 157 00:13:09.759 --> 00:13:11.840 could both of them, every single one of them that we pay to go 158 00:13:11.919 --> 00:13:16.200 up there. Need to come up with a solution that works for both sides. 159 00:13:16.200 --> 00:13:20.919 And having eleven twelve thousand people a day coming cross means we haven't over 160 00:13:22.080 --> 00:13:26.279 three million people a year. What are they going to do, where are 161 00:13:26.279 --> 00:13:28.840 they going to go? How are we going to afford them? But yet 162 00:13:28.840 --> 00:13:33.559 we want to give them health care and education and food and shelter while our 163 00:13:33.600 --> 00:13:43.240 own people are suffering and we're worried about taxes. We're worried about taxing and 164 00:13:43.240 --> 00:13:48.159 the billionaires that will never go ahead and have to pay because they understand there's 165 00:13:48.200 --> 00:13:54.360 so many tax loopholes because they have so much money. So who gets hurt? 166 00:13:54.639 --> 00:13:58.720 Middle class, lower upper class w two wages of people that are making 167 00:13:58.960 --> 00:14:05.000 five hundred thousand, a million and a half, they get murdered for their 168 00:14:05.039 --> 00:14:11.200 hard work. Person making two hundred thousand dollars today with a family of two, 169 00:14:11.279 --> 00:14:18.120 three or four is having incredible time trying to live after they pay all 170 00:14:18.120 --> 00:14:20.919 their taxes and send their kids to school and do the things that they're supposed 171 00:14:20.919 --> 00:14:24.480 to do. Sure, the person with fifty grand, so I wish I 172 00:14:24.480 --> 00:14:26.440 had two hundred thousand, Well, here's the thing you don't understand, if 173 00:14:26.440 --> 00:14:30.519 you're going from fifty to two hundred thousand, you're not living where you're living. 174 00:14:31.200 --> 00:14:33.919 You're gonna increase your living your living style. You're gonna do all those 175 00:14:33.919 --> 00:14:37.879 things, and you're gonna send you kids to some better schools. You're gonna 176 00:14:37.960 --> 00:14:41.480 have them and athletics. You're gonna give them the opportunities. That's what parents 177 00:14:41.559 --> 00:14:52.000 do. You make more money, you create opportunities for your family. It's 178 00:14:52.000 --> 00:14:54.840 not like you're putting more money in your pocket, but when you do that, 179 00:14:54.960 --> 00:14:58.240 it helps the economy. You make five hundred thousand, that's the same 180 00:14:58.279 --> 00:15:07.120 thing people putting money back into the economy. They spend the money. Very 181 00:15:07.120 --> 00:15:09.679 few people making fifty grand that go all of a sudden to two hundred, 182 00:15:09.720 --> 00:15:13.960 two hundred fifty thousand would not just put all that money in there, live 183 00:15:13.000 --> 00:15:18.399 where they are, keep fifty thousand dollars a living allowance because right now they 184 00:15:18.519 --> 00:15:22.559 are on subsidies. Most of them have to get something. If they have 185 00:15:22.720 --> 00:15:30.399 kids, they're getting bigger right offs to doing something. It's very difficult, 186 00:15:30.480 --> 00:15:35.399 especially if you're making thirty grand, you're gonna get food stamps, you're gonna 187 00:15:35.399 --> 00:15:43.120 get low living allowances. Wouldn't it be nice to get everybody off that and 188 00:15:43.200 --> 00:15:46.279 move forward. Wouldn't it be nice to have a country that were growing and 189 00:15:46.320 --> 00:15:54.600 we feel good about and we wanted defend. We see the murder rate, 190 00:15:54.679 --> 00:15:58.159 we see the crime rate just going through the ceiling. We don't even have 191 00:15:58.279 --> 00:16:04.480 room and have the damn jails, but yet we keep bringing people in that 192 00:16:04.600 --> 00:16:08.600 have nothing to do. They can't get jobs. They're going to go ahead, 193 00:16:08.679 --> 00:16:14.679 a lot of them and go into a world of crime because they need 194 00:16:14.720 --> 00:16:25.960 to eat, they need shelter, and they rationalize it. They're living conditions. 195 00:16:25.960 --> 00:16:27.399 Think about that. A lot of them come over here because they've got 196 00:16:27.440 --> 00:16:32.759 relatives over here. So somebody might be living in Detroit and they have family 197 00:16:32.840 --> 00:16:34.840 six and eight of them come over. Those eight people are now living in 198 00:16:34.879 --> 00:16:42.759 the same house that they might be renting. No jobs, no nothing, 199 00:16:42.840 --> 00:16:47.360 and they have to be afraid of going out there and doing something because they 200 00:16:47.360 --> 00:16:49.559 don't want to get deported either. So they all try to go to these 201 00:16:49.559 --> 00:16:59.000 sanctuary cities who cannot afford them and are complaining because they're overloaded. But then 202 00:16:59.039 --> 00:17:03.799 they ask for government assistance. But we can't get the government assistance. We 203 00:17:03.839 --> 00:17:07.799 get what's normal, what border state we see it all over Texas, we 204 00:17:07.880 --> 00:17:12.200 see it all over and then then the country, especially the other side of 205 00:17:12.200 --> 00:17:21.759 the Dems. They get so upset with the way the border states handle this 206 00:17:21.920 --> 00:17:26.200 immigration situation. But yet when they get them busts there, it's a political 207 00:17:26.319 --> 00:17:30.640 ploy. Guys, I am telling you, we got to get her act 208 00:17:30.680 --> 00:17:33.640 together. Those are the two main things we got to do right now. 209 00:17:33.920 --> 00:17:41.960 Is our border, okay, and figure out how we're gonna pay the debts 210 00:17:42.000 --> 00:17:47.079 and everything else and bring our debt down. We need to do it. 211 00:17:47.720 --> 00:17:53.440 And taxes people aren't. Don't talk to me about, oh, inflation's down 212 00:17:53.680 --> 00:18:03.799 when it's costing everybody more money to live on Montage basis. That dollar meal 213 00:18:03.880 --> 00:18:10.440 that costs three dollars now it's two hundred percent higher than one you used to 214 00:18:10.440 --> 00:18:14.960 be able to get for a dollar meal before. All right, think about 215 00:18:14.960 --> 00:18:22.559 that. Think about that. What it all leads to is crime when people 216 00:18:22.599 --> 00:18:30.319 can't afford stuff, stealing from the stores, stealing from people doing what they 217 00:18:30.359 --> 00:18:34.160 need to do. More people here without money, more people here without food, 218 00:18:34.240 --> 00:18:40.000 more people here without shelter. Heck, I see so of of these 219 00:18:40.000 --> 00:18:42.480 people coming across the border, and I realize it's just pictures on TV. 220 00:18:44.279 --> 00:18:48.920 They got better backpacks and clothes and sneakers than the people that are living in 221 00:18:48.960 --> 00:18:53.000 South Chicago, that are living in La New York, Atlanta, Baltimore. 222 00:18:56.599 --> 00:19:00.319 Is that right? Is that the country we want? I don't know what's 223 00:19:00.319 --> 00:19:04.640 being told on the other side. Obviously the cartels are involved. Obviously it's 224 00:19:04.680 --> 00:19:10.599 a money maker for the underseateed community. Bring them across. They think this 225 00:19:10.759 --> 00:19:12.240 is a great world. Well that's the thing. Let's make it a great 226 00:19:12.240 --> 00:19:18.240 world. Let's shut down the damn border, open up the doors to the 227 00:19:18.279 --> 00:19:23.359 people that have the ability to learn about what America is. Let's teach them 228 00:19:23.359 --> 00:19:26.440 how to work. If they know technology, great, If they know how 229 00:19:26.440 --> 00:19:30.480 to be a dentist great. If they know how to do agriculture great, 230 00:19:30.519 --> 00:19:34.799 if they know hospitality great. Let's make it a damn career center paid by 231 00:19:34.839 --> 00:19:38.880 these other corporations to help build them and make them better. And let them 232 00:19:38.920 --> 00:19:45.279 also learn how to speak English. You need to learn how to speak English. 233 00:19:45.279 --> 00:19:48.200 If you're in America and you want to live, and you want to 234 00:19:48.240 --> 00:19:52.599 go ahead and do the things you need to do. How the heck do 235 00:19:52.640 --> 00:19:59.359 you know how to vote? If you're voting for everything in Spanish when all 236 00:19:59.440 --> 00:20:06.440 the all the people that are running are speaking in English. I mean, 237 00:20:06.640 --> 00:20:08.240 you know, don't tell me. Well, I just said, you know, 238 00:20:08.279 --> 00:20:11.799 they gave me money. I'm gonna vote for Democrats because if you think 239 00:20:11.839 --> 00:20:15.400 about it, then that's all the Democrats want. And that's where we're at. 240 00:20:18.039 --> 00:20:26.839 So that brings me to the last thing here Colorado. All right, 241 00:20:29.200 --> 00:20:32.279 Colorado Supreme Court of a bunch of liberals. They want to they want to 242 00:20:32.279 --> 00:20:36.200 try to make a name for themselves and ban Trump. Great, okay, 243 00:20:36.240 --> 00:20:38.440 it's not gonna last. Bring it to the damn Supreme Court. Where are 244 00:20:38.440 --> 00:20:41.440 the Republicans? You know what? It makes me upset the Republicans and the 245 00:20:41.559 --> 00:20:48.400 damned liberals that think that's okay to do without it ever been proven. That's 246 00:20:48.400 --> 00:20:49.920 what my outrage is. When people say, hey, that's good, Yeah, 247 00:20:49.920 --> 00:20:56.640 it's good. How would you like to be condemned for a crime that 248 00:20:56.680 --> 00:21:03.039 you didn't ever get guilty of charge with? You got the the social media 249 00:21:03.799 --> 00:21:07.799 judges telling you you did something, but a court of law in America never 250 00:21:07.880 --> 00:21:12.200 convicted you. But yet the states are able to do it, Supreme Court 251 00:21:14.920 --> 00:21:17.039 are able to do it. How does the Supreme Court go? You know 252 00:21:17.480 --> 00:21:19.039 as much as I want to not let Trump dear, and I'm not going 253 00:21:19.119 --> 00:21:22.599 to vote for Trump and or whatever else. Okay, And I think he 254 00:21:22.759 --> 00:21:26.680 started this, and he instigated it. At the end of the day, 255 00:21:26.720 --> 00:21:33.000 the law says, you've got to be convicted of an insurrection. What court 256 00:21:33.119 --> 00:21:36.000 in America has done that, that's what we should be pissed off about. 257 00:21:36.319 --> 00:21:40.359 That's what we should be upset about. And that's whatever Republican needs to be 258 00:21:40.480 --> 00:21:45.839 shouting from the top of the hills that we have a Supreme Court, a 259 00:21:45.920 --> 00:21:52.119 kangaroo court, a bunch of liberal, woke idiots that are able to go 260 00:21:52.279 --> 00:21:57.640 ahead and vote against the Constitution. And then all the liberals are like, 261 00:21:57.680 --> 00:22:03.279 oh, look at look at Autio fourteen, paragraph three, It says insurrection. 262 00:22:03.480 --> 00:22:08.359 He never been guilty. How would you like to be guilty of something 263 00:22:08.400 --> 00:22:17.119 without ever going to court and being convicted of being guilty because people say you're 264 00:22:17.160 --> 00:22:22.680 guilty. I do like that. You don't, I don't, nobody does. 265 00:22:23.440 --> 00:22:27.960 But we're allowing this to happen in America. And if you don't think 266 00:22:29.000 --> 00:22:32.359 that, people are laughing at us and thinking this is the most ridiculous thing 267 00:22:32.359 --> 00:22:36.839 in the world. It's crazy and we're the heck of the Republicans punching back. 268 00:22:37.559 --> 00:22:41.200 One reason they don't like Trump. He's in New Yorker. He punches 269 00:22:41.319 --> 00:22:45.240 back, he doesn't quit say what you want to say about him, and 270 00:22:45.279 --> 00:22:48.119 I agree on a lot of things to say. He had a chance to 271 00:22:48.160 --> 00:22:51.359 go ahead and really bring people together. And it's better now that he's not 272 00:22:51.480 --> 00:22:55.440 really talking. He's not allowed to talk because people are starting to go towards 273 00:22:55.480 --> 00:23:03.119 him, okay, instead of being reflected for off of him. But where 274 00:23:03.119 --> 00:23:06.000 are the Republicans? Why aren't they fighting, Why aren't they punching back? 275 00:23:06.000 --> 00:23:14.599 Where's Mitch McConnell. He needs to get out of there. Where are the 276 00:23:14.640 --> 00:23:17.680 people that have been here for so long that says you might not like him, 277 00:23:17.839 --> 00:23:22.759 We might not like them, but this is wrong. We the people 278 00:23:22.839 --> 00:23:29.359 need to vote. You and I both know what's going on. The numbers 279 00:23:29.359 --> 00:23:34.200 are so big that they can't cheat enough to go ahead and figure out a 280 00:23:34.200 --> 00:23:40.359 way to get to have somebody else win the election. Yet I'm sure they 281 00:23:40.400 --> 00:23:45.519 got planed ABC and D. But Plan A is just like the pandemic. 282 00:23:45.799 --> 00:23:49.480 Let's go to the Liberal States and get the Supreme Court to change the rules. 283 00:23:51.759 --> 00:23:53.359 And if you think that Colorado's the only one going to do it. 284 00:23:53.839 --> 00:23:59.119 Wake up. They were waiting for Colorado to do it so other ones could 285 00:23:59.160 --> 00:24:02.119 do it. We need to get to the Supreme Court of the United States 286 00:24:02.359 --> 00:24:07.960 as quickly as possible so it gets shut down and doesn't continue. But they're 287 00:24:07.039 --> 00:24:11.359 using the Supreme Court like they did in the pandemic, to change the state 288 00:24:11.519 --> 00:24:15.599 rules. That's what they're doing and that's how they're starting it. And if 289 00:24:15.960 --> 00:24:18.200 you don't see that, and our Republican Party doesn't see it and we lose 290 00:24:18.240 --> 00:24:22.079 because of it, shame on them. All Right, we'll be back with 291 00:24:22.200 --> 00:24:26.200 you talk about the markets and where we're going next year. Thank you for 292 00:24:26.279 --> 00:24:45.839 listening. Say it's only name. Welcome back everybody. Christmas Eve edition of 293 00:24:45.920 --> 00:24:51.440 The Money Batter Show. Our boy Dave is gone this weekend. He's out 294 00:24:51.559 --> 00:24:56.440 visiting his grandchildren. I love when he does it because he always comes back 295 00:24:56.519 --> 00:25:00.240 ready to work. He comes back in the same story every time, how 296 00:25:00.359 --> 00:25:03.759 the drive was, because that's his highlight. Well it's because if he doesn't 297 00:25:03.759 --> 00:25:07.799 go to the same place every time because it was raiting on on Friday, 298 00:25:07.079 --> 00:25:11.920 then he gets a little bit out of sorts. Blake McDonald's gas station right 299 00:25:11.920 --> 00:25:15.000 before the border of California, make it all the way to Stephanie's house, 300 00:25:15.039 --> 00:25:15.680 and then he does the same thing on it. You know what he does 301 00:25:17.039 --> 00:25:19.400 for years, the whole way out. He looks for where the charging stations 302 00:25:19.440 --> 00:25:22.799 are, so one day he can take his tesla and he counts Act Council 303 00:25:22.799 --> 00:25:26.559 teslas, and he counts the teslas and he counts how long it would take 304 00:25:26.599 --> 00:25:30.160 for him to have to plug it. So I had a good week for 305 00:25:30.240 --> 00:25:33.559 the markets. The doll was up point two percent. The S and P 306 00:25:33.680 --> 00:25:36.640 five hundred is up point seventy five. Nasdaq was up one point two. 307 00:25:37.599 --> 00:25:40.480 Oil got some bid this week was up two point four percent on the week. 308 00:25:40.519 --> 00:25:42.599 It's now trading at seventy three and a half dollars a barrel. What's 309 00:25:42.640 --> 00:25:45.319 going on in the Red Sea over there? Well, the Red Sea is 310 00:25:45.359 --> 00:25:49.039 a very interesting you know what the is? Have you ever looked at the 311 00:25:49.079 --> 00:25:52.240 map for here No so Africa? A lot of people don't know whether it's 312 00:25:52.279 --> 00:25:57.480 sea is as you know that before probably not before this picture. Where is 313 00:25:57.519 --> 00:26:03.720 it? I was gonna say roughly roughly, Okay, that's right. Well 314 00:26:03.720 --> 00:26:07.920 they're circumventing it now and then so it could takes some I think six days 315 00:26:07.920 --> 00:26:11.200 more, right, they get to where they need to be, which you 316 00:26:11.240 --> 00:26:14.480 realize how much that costs by waiting those six and how much more oil you 317 00:26:14.480 --> 00:26:17.480 need, how much flight chain. Everyone's going to be using that as the 318 00:26:17.480 --> 00:26:19.880 excuse it. I mean, since they got rerouted around the Cape of Good 319 00:26:19.880 --> 00:26:23.319 Hope, it added forty percent of the voyage distance. It's quite a bit 320 00:26:23.440 --> 00:26:26.960 substantial. Yeah, yeah, and costs as well. So obviously there's a 321 00:26:26.960 --> 00:26:32.359 bid there for oil. But also you definitely saw the United States refilling the 322 00:26:32.400 --> 00:26:34.640 SBR. You saw huge volume spikes when it went down to sixty eight and 323 00:26:34.680 --> 00:26:37.720 sixty nine dollars a barrel. They said that they would this time. It 324 00:26:37.759 --> 00:26:44.039 looks like they actually did so, finally doing some good good things on the 325 00:26:44.079 --> 00:26:47.240 spr front. Gold was up this week thirty three dollars. It's now at 326 00:26:47.240 --> 00:26:51.960 twenty to fifty two an ounce. It's approaching that resistance level that it did 327 00:26:52.519 --> 00:26:55.960 the last couple of years, so it's going to be interesting to see how 328 00:26:56.000 --> 00:26:57.680 that continues in the tenure. US interest rate was flat on the week, 329 00:26:57.759 --> 00:27:00.599 three point nine percent, and you mentioned it. The thirty year Freddie Mack 330 00:27:00.640 --> 00:27:04.759 mortgage rate dropped to its lowest level since May. Now it's six point seven 331 00:27:04.839 --> 00:27:08.799 percent. So on top of the mortgage applications fell one point five percent week 332 00:27:08.799 --> 00:27:11.759 over a week, despite that dropping the yields. Yeah, but I mean 333 00:27:11.759 --> 00:27:15.319 I was talking to my mom who works with a national loan builder. They're 334 00:27:15.359 --> 00:27:18.680 seeing a huge increase in sales because of the rates coming down makes it a 335 00:27:18.680 --> 00:27:22.799 lot more incentivized for people to actually get rid of their three percent or four 336 00:27:22.839 --> 00:27:33.279 percent mortgages. So interesting shares their bitcoin back up to you are the equivalent 337 00:27:33.279 --> 00:27:37.200 to bitcoin, as Dave is the equivalent to evs. That's a fair point, 338 00:27:37.279 --> 00:27:41.160 you guys. It's so funny. I don't have all bitcoins at least 339 00:27:41.160 --> 00:27:42.559 a market. Yeah. I was gonna say, I don't have a bitcoin 340 00:27:42.599 --> 00:27:48.960 garage like he has his ZV garage. But yeah, I do love bitcoin 341 00:27:48.480 --> 00:27:52.519 more than other of the cryptos, that's for sure. I remember you telling 342 00:27:52.519 --> 00:27:53.880 me on the Lacrosse field. I don't know, eight years ago you got 343 00:27:53.920 --> 00:27:57.440 to buy bitcoined. Yeah, yeah, I think it was a seven thousand 344 00:27:57.480 --> 00:28:00.599 at that time. No it was not, No, it was it was 345 00:28:00.720 --> 00:28:03.359 not because I watched it. Yes, if I bought it when you told 346 00:28:03.359 --> 00:28:07.440 me about what was it about twenty nine thousand. I think it was. 347 00:28:07.599 --> 00:28:10.519 No, it's first two bits of money. Then I lost it all back, 348 00:28:10.599 --> 00:28:12.640 yeah, and come back you you know, it's funny. My senior 349 00:28:12.720 --> 00:28:15.359 year, you were giving me a lot of smack. You're like, see 350 00:28:15.400 --> 00:28:18.519 bitcoin crashed and then two years later yeah, yeah, well but because you 351 00:28:18.519 --> 00:28:21.920 didn't, you believe put all your money into it because it's the only thing 352 00:28:21.960 --> 00:28:23.480 that mattered, and it would be and it would be the currency we were 353 00:28:23.559 --> 00:28:30.279 using. It's just you know, it's great when you have like years of 354 00:28:30.319 --> 00:28:33.319 experience. Yeah, it's so much fun to watch the young generation that loves 355 00:28:33.599 --> 00:28:37.240 to get excited because they're going to get rich overnight. Yeah, when it 356 00:28:37.279 --> 00:28:41.319 doesn't happen, because it happens then when they don't have a lot of money. 357 00:28:41.759 --> 00:28:44.119 It really sucks when you have a lot of money and you had that 358 00:28:44.200 --> 00:28:47.599 conviction the same way and then you lose a lot. Yeah. Well the 359 00:28:47.640 --> 00:28:48.839 only way you you make a lot of money is well, you gotta take 360 00:28:48.920 --> 00:28:52.759 risks. Yeah, but you don't have to take you know, you would 361 00:28:52.759 --> 00:28:55.319 never take the risks you would take. No, you take educated when you're 362 00:28:55.359 --> 00:28:57.519 young, right of course, and then we talk about that with the financial 363 00:28:57.559 --> 00:29:00.079 plan, right, I mean, obviously, when you have people investing, 364 00:29:00.400 --> 00:29:03.720 you're not going to look at the short term, especially for young people. 365 00:29:03.839 --> 00:29:07.839 We're looking at long term. The most valuable asset you have when you're a 366 00:29:07.839 --> 00:29:11.519 young investor's time. And I think a lot of young people don't realize that. 367 00:29:11.880 --> 00:29:14.680 They think of everything else from a dollar figure standpoint, but when you 368 00:29:14.680 --> 00:29:18.880 really look at it from a time standpoint, you have such a big advantage 369 00:29:18.880 --> 00:29:22.400 over about the majority of investors if you're below the age of four thelst. 370 00:29:22.440 --> 00:29:25.960 What we try to tell young people is you can weather the storm of a 371 00:29:26.039 --> 00:29:29.079 crash because more often than not, the markets go up, and if we 372 00:29:29.119 --> 00:29:30.839 do see a recession of some time in your life, what you're going to 373 00:29:30.880 --> 00:29:33.440 see, you have the time for it to come back. And at some 374 00:29:33.480 --> 00:29:37.279 point or another, the markets have always made a new high after a recession. 375 00:29:37.680 --> 00:29:40.960 You don't know when or how, but it will, just as it 376 00:29:41.000 --> 00:29:44.319 always has. So we have the we're coming up on the end of the 377 00:29:44.400 --> 00:29:47.319 year now, and I was looking back at the S and P five hundred 378 00:29:47.359 --> 00:29:52.079 indecks and then how it was comparing versus its sectors, and it was interesting 379 00:29:52.119 --> 00:29:56.200 where there's only three sectors that are out pacing the actual S and P five 380 00:29:56.279 --> 00:30:03.119 hundred indecks and it's consumer discretionary, it's consumers services, and then technology sorry 381 00:30:03.160 --> 00:30:07.160 not yes, consumer service, consumer discretionary and technology is leading the way by 382 00:30:07.240 --> 00:30:11.680 far, and all the other sectors are trailing the S and P five hundred 383 00:30:11.680 --> 00:30:15.039 in decks by a lot. And that again shows that magnificent seven over performance 384 00:30:15.079 --> 00:30:19.200 through the course of twenty twenty three, and the vast majority of the real 385 00:30:19.240 --> 00:30:23.319 market is probably in below that twenty four percent year to date mark that the 386 00:30:23.359 --> 00:30:27.039 S and P five hundred is set. So going into twenty twenty four, 387 00:30:27.079 --> 00:30:33.519 it's likely to see some type of rebalancing or going back to what you know 388 00:30:33.799 --> 00:30:38.079 again. Last year CrowdStrike one of the worst stocks, one of the best 389 00:30:38.119 --> 00:30:42.759 this year, you know. So we see that there's always these you know 390 00:30:44.039 --> 00:30:48.279 switches from one year to the next. So I think twenty twenty four could 391 00:30:48.279 --> 00:30:52.039 be a really good year for value because of interest rates, even though they 392 00:30:52.039 --> 00:30:56.480 could be coming down. The Federal Reserve has said multiple times that the full 393 00:30:56.519 --> 00:31:00.000 effects of their rate hiking cycle has not yet been felt in the economy. 394 00:31:00.119 --> 00:31:03.200 I think it will truly be felt in twenty twenty four, leading to some 395 00:31:03.319 --> 00:31:08.599 under expected growth figures and leading to probably a nominal return of anywhere from three 396 00:31:08.640 --> 00:31:12.200 to five percent. That would be my guest for twenty twenty four. Yeah, 397 00:31:12.240 --> 00:31:15.000 speaking about twenty twenty four to two things coming up. You saw the 398 00:31:15.000 --> 00:31:18.920 Social Security is going to increase by three point two percent started in January, 399 00:31:18.960 --> 00:31:22.920 which is going to be an issue because it's going to fall short of the 400 00:31:22.960 --> 00:31:26.119 higher prices older adults are paying for auto insurance, rent and other essentials like 401 00:31:26.160 --> 00:31:30.839 that. This cola, which has cost to living, an adjustment increase on 402 00:31:30.000 --> 00:31:34.000 average will be fifty seven dollars a month more per month based off the average 403 00:31:34.319 --> 00:31:40.039 US Social Security check of seventeen ninety per month. So we're seeing an issue 404 00:31:40.039 --> 00:31:42.640 because rent's up seven percent year over year, auto insurance is up nineteen percent 405 00:31:42.720 --> 00:31:47.119 year over year, Medicare Part B premiums arising by about ten dollars per month 406 00:31:47.400 --> 00:31:49.400 to one hundred and seventy five dollars a month. So we're seeing all these 407 00:31:49.720 --> 00:31:53.400 increases everything else, but yet Social Security, which a lot of seniors live 408 00:31:53.440 --> 00:31:57.240 on solely, not increasing enough. So they're losing money that way and they're 409 00:31:57.240 --> 00:32:01.079 having this hard time. Important point because when you look at financial planning, 410 00:32:01.720 --> 00:32:06.039 you have to put into an assumption of inflation. Right, so, right 411 00:32:06.079 --> 00:32:08.039 now, when we build out financial plans, we put two point five percent 412 00:32:08.119 --> 00:32:12.200 is the set rate, and that inflates all the spending figures and all the 413 00:32:12.240 --> 00:32:16.039 goals that we're planning for. But social Security it also has a COLA, 414 00:32:16.240 --> 00:32:21.359 which is that cost of living adjustment that you have to plan for. However, 415 00:32:21.599 --> 00:32:24.039 most financial plans have it as this as if the COLA is the same 416 00:32:24.079 --> 00:32:28.759 inflation rate as the true inflation rate. We all know who are listening to 417 00:32:28.799 --> 00:32:31.559 this. If an inflation rate is at two point five percent, the true 418 00:32:31.559 --> 00:32:36.119 inflation rate, the cola will only be two or one point eight. They 419 00:32:36.160 --> 00:32:40.079 never really truly give you what inflation is today. The PCEE of Inflation report 420 00:32:40.160 --> 00:32:45.400 came out at three point two percent year over year, but again that is 421 00:32:45.440 --> 00:32:47.599 one of the lowest figures we've seen over the last six months. We know 422 00:32:49.599 --> 00:32:52.920 it has increased a lot more than three point two percent. So net net, 423 00:32:52.680 --> 00:32:58.759 you're probably losing real purchasing value if you're just living on Social Security and 424 00:32:58.799 --> 00:33:00.759 don't have some type of inflation and heads through markets or things like that. 425 00:33:01.119 --> 00:33:04.319 Yeah, I agree, and I mean that's been the issue even though it's 426 00:33:04.319 --> 00:33:07.000 coming down. Inflation has still been a problem with people, and you're still 427 00:33:07.039 --> 00:33:09.039 seeing it in other aspects of life too, not just the markets, you 428 00:33:09.079 --> 00:33:13.720 know. And that's why when we plan, we put that inflation rate for 429 00:33:14.000 --> 00:33:16.640 cost of living adjustment for Social Security only one point five percent compared to two 430 00:33:16.720 --> 00:33:22.240 point five to show that there's a lack of keeping up with inflation that SOLI 431 00:33:22.279 --> 00:33:25.920 security has to the broad price levels of goods and services. Yeah, how 432 00:33:25.960 --> 00:33:29.359 we use the two point five percent inflation right, which I mean, like 433 00:33:29.400 --> 00:33:31.240 we just said, like it seems low right now, but overall in the 434 00:33:31.319 --> 00:33:34.680 last forty years it's about average. So that's what we look for because when 435 00:33:34.680 --> 00:33:38.119 we're doing the plan, it's projecting out a retirement of roughly thirty forty years. 436 00:33:38.240 --> 00:33:40.279 Because you could say, oh, I'm doing fine, I can live 437 00:33:40.319 --> 00:33:44.839 on Social Security right now, I'm getting three thousand, myxpenses are only twenty 438 00:33:44.839 --> 00:33:47.279 five hundred. But what happens when your expenses lead to thirty five hundred because 439 00:33:47.279 --> 00:33:52.039 of inflation over a course of ten years, and your solid security only increased 440 00:33:52.640 --> 00:33:55.079 to thirty five hundred. Now now you're breaking even and eventually you're not going 441 00:33:55.119 --> 00:33:59.880 to have the income you need. To to live. And so that's where 442 00:34:00.079 --> 00:34:01.519 we look at it from not just the next five or ten years, but 443 00:34:01.559 --> 00:34:06.599 what's the next twenty years look like from an income perspective and an inflation perspective. 444 00:34:06.839 --> 00:34:08.000 That way we can start bridging the gaps earlier than that. Yeah, 445 00:34:08.039 --> 00:34:10.119 and that's what we tell a lot of young people too, is you can't 446 00:34:10.159 --> 00:34:14.639 expect social scarity to be there. I mean, right now it's said it's 447 00:34:14.639 --> 00:34:16.400 going to be starting to be decreased in twenty thirty five. The first time 448 00:34:16.440 --> 00:34:19.519 I heard that when I got into the business. It's at twenty thirty. 449 00:34:19.679 --> 00:34:22.280 So they keep kicking the can down the road. But at some point it 450 00:34:22.360 --> 00:34:24.039 might not be there. And when you're young, you have the ability to 451 00:34:24.079 --> 00:34:28.880 start saving and creating your own retirement pension plan through a rough iray, through 452 00:34:28.880 --> 00:34:30.880 a four to one K, through a regular iray, some form of saving 453 00:34:31.440 --> 00:34:36.320 for retirement, so when you get to retirement, you're not solely relying on 454 00:34:36.360 --> 00:34:39.000 the government paying you. Yeah, And you know, so many times people 455 00:34:39.039 --> 00:34:42.639 are like, so scarity is not going to be around, and you know, 456 00:34:42.719 --> 00:34:44.800 again they're just going to kick the can down the road. We know 457 00:34:44.800 --> 00:34:46.800 how the government works. If it's been sixty seven for years already. Right, 458 00:34:46.800 --> 00:34:49.719 if you have a four retirement age of sixty seven, all they're going 459 00:34:49.719 --> 00:34:52.199 to do is push it back to seventy. They'll make the minimum age that 460 00:34:52.199 --> 00:34:54.400 you can take it from sixty to to sixty five because people are living longer. 461 00:34:54.440 --> 00:34:58.960 So that's the only way that you can make it sustainable is if people 462 00:34:58.960 --> 00:35:01.079 are living longer, you got to make it later for retirement age. And 463 00:35:01.119 --> 00:35:05.239 that's the only thing on that standpoint. And then people are saying, well, 464 00:35:05.679 --> 00:35:07.199 well, what happens if they run out of money, Well they don't 465 00:35:07.280 --> 00:35:12.559 really have to worry about that as long as the military keeps backing its dollar. 466 00:35:13.079 --> 00:35:15.119 You know, I saw a really funny video over the week of you 467 00:35:15.119 --> 00:35:19.000 know what backs the US dollar and it was it was a video of our 468 00:35:19.159 --> 00:35:22.280 entire US military and all the ships we have, and you know, you 469 00:35:22.400 --> 00:35:25.159 realize how dominant we are in relativeness to other countries around the world, and 470 00:35:25.800 --> 00:35:30.719 it's not even close to the amount of power we have militarily but also financially 471 00:35:30.760 --> 00:35:35.360 through having the world reserve currency. So don't think we have anything to worry 472 00:35:35.360 --> 00:35:38.559 about. Our biggest worry is the politicians and making sure that they don't lead 473 00:35:38.639 --> 00:35:45.119 us into some type of economic death spiral, which seems like they constantly want 474 00:35:45.119 --> 00:35:47.679 to do by not making the right decisions. But we appreciate everyone listening. 475 00:35:47.800 --> 00:35:52.400 Coming up on the break here will be back in a few minutes. Do 476 00:35:52.440 --> 00:35:58.679 we thank you for listening to the Money Matter Show? Say it's only a 477 00:36:07.679 --> 00:36:10.400 welcome back. You're listening to the Money Matter Show. I'm Dylan Greenberg, 478 00:36:10.559 --> 00:36:14.599 Maybor, Todd Glicks, the Bashing Boorsini and Dean Greenberg. They sure what 479 00:36:14.639 --> 00:36:17.159 it is, visiting California. They spend the holidays with his family. He's 480 00:36:17.199 --> 00:36:20.679 got a lot that happened this last week, you know. I mean we're 481 00:36:21.000 --> 00:36:23.440 coming into the Christmas and New Year's time. It's not gonna necessarily be the 482 00:36:23.480 --> 00:36:28.639 busiest two weeks because they're also shortened weeks. But this past week was pretty 483 00:36:28.679 --> 00:36:30.280 busy and a lot of stuff happened. It's big companies too. I mean, 484 00:36:30.280 --> 00:36:35.039 when we talked about Apple and the Break saying Apple pause watch sales online. 485 00:36:35.320 --> 00:36:38.320 They're gonna start posing them in stores too. The new series it's the 486 00:36:38.480 --> 00:36:45.519 series nine because it is in a lawsuit with oxygen feature that another company had 487 00:36:45.519 --> 00:36:49.239 a patent on, and they're saying it's theirs. So it kind of seems 488 00:36:49.239 --> 00:36:52.039 like it has some legs if Apple's gonna pause all their sales. Yeah, 489 00:36:52.159 --> 00:36:54.880 it affected the sales of Series nine and Ultra two smart watches, and like 490 00:36:54.920 --> 00:37:01.320 you said, they're accused of being stealing up patent blood oxygen feature from another 491 00:37:01.360 --> 00:37:06.800 company, So that will be interesting. Obviously that's one of their big sellers. 492 00:37:07.039 --> 00:37:12.039 But another thing about Apple is in twenty four I think March or February, 493 00:37:12.119 --> 00:37:15.440 they're going to start selling there the first batch of the Vision pros I 494 00:37:15.480 --> 00:37:20.280 think they call it, yeah, the the VR sets. Yeah, so 495 00:37:20.920 --> 00:37:23.960 they're going to start selling those. What did they use a final price yet 496 00:37:24.000 --> 00:37:27.519 or release? They haven't released. I don't think it's gonna be interesting because 497 00:37:27.519 --> 00:37:30.199 that first price was what five thousand, yeah, more than anything. I 498 00:37:30.199 --> 00:37:31.800 don't it's gonna be cheaper. I think because they wanted to see people's reactions 499 00:37:31.800 --> 00:37:36.760 and they got pretty bad backlash and saying it's too expensive. I can't expect 500 00:37:37.320 --> 00:37:42.119 that leads too much to Apple's bottom line the first year, that's the first 501 00:37:42.119 --> 00:37:44.440 step in a whole new thing. Yeah, watch, it took years for 502 00:37:44.480 --> 00:37:46.440 it to build like that. People have to want it first. There's no 503 00:37:46.519 --> 00:37:51.119 want expence. It's a luxury album. The watch has become just the norm, 504 00:37:51.679 --> 00:37:54.119 right, that kind of watch AirPods. You know, people want it 505 00:37:54.480 --> 00:37:59.199 a novelty. So for now, you know, Apple has a tricky year 506 00:37:59.239 --> 00:38:02.239 heading into this next year because of these Apple Watches and the Vision Pro. 507 00:38:02.280 --> 00:38:06.199 They're putting a lot of money into the Vision Pro. But at the end 508 00:38:06.199 --> 00:38:07.840 of the day, they have a lot of money on their books anyway, 509 00:38:08.000 --> 00:38:12.119 So you know how much did they really get affected by this? It's really 510 00:38:12.119 --> 00:38:15.239 about growth rates. I got something. So Dylan was talking to hear about 511 00:38:15.320 --> 00:38:20.159 Christmas and investors are obviously hoping for that santsa rally, but rising vics made 512 00:38:20.199 --> 00:38:23.800 point points toward some turbulence for Santa. We'll see. Last week we talked 513 00:38:23.800 --> 00:38:27.800 about the VICKS falling to its lowest level in over three years. Last Wednesday, 514 00:38:27.840 --> 00:38:30.960 the volatility index spiked up around ten percent. This was this happened in 515 00:38:31.000 --> 00:38:36.159 a matter of minutes between twelve and two pm that day. SMP five hundred 516 00:38:36.159 --> 00:38:38.719 e raised about six hundred billion dollars in market cap. To put this in 517 00:38:38.760 --> 00:38:42.960 perspective, the SMP five hundred was up ten straight days, but he erased 518 00:38:43.039 --> 00:38:45.920 five of those daily games in just two hours. Todd and Dylan, you 519 00:38:45.960 --> 00:38:50.519 guys had some insight on what may have brought this about through zero dated options. 520 00:38:50.559 --> 00:38:52.440 Do you want to talk a little bit on that. Yeah, so, 521 00:38:52.480 --> 00:38:54.159 I mean there was a speculation out there. Think Kramer said it too 522 00:38:54.199 --> 00:38:59.880 about zero dated options being a reason as to why it was such a sharp 523 00:39:00.079 --> 00:39:04.280 drop on Wednesday, and the reasoning behind it is believed that the market drops 524 00:39:04.280 --> 00:39:08.239 so quickly because when investors buy large amounts of SMP puts, the market makers 525 00:39:08.239 --> 00:39:13.119 on the other side have to square up their own risk by selling futures throughout 526 00:39:13.159 --> 00:39:15.039 the day. So if that happening so quick, they had to do a 527 00:39:15.119 --> 00:39:19.719 quick and if the stocks are weakening, the market makers typically sell faster to 528 00:39:19.719 --> 00:39:23.519 protect themselves even more, and that's what could potentially accelerate the downside move. 529 00:39:23.800 --> 00:39:29.760 It's also believed the zero dated options traded resulted in about a three billion dollars 530 00:39:29.800 --> 00:39:32.800 of stocks futures being sold within an hour, and then at the same time 531 00:39:32.880 --> 00:39:38.519 on Wednesday, there was a large institutional trader doing an asset allocation trade and 532 00:39:38.599 --> 00:39:43.599 that rebound because and what it was moving was out of stocks into bonds. 533 00:39:43.920 --> 00:39:46.599 So all those sales of the stock did not help the decrease. It just 534 00:39:46.719 --> 00:39:50.519 accelerated because then retail investors saw that it was down and the like, oh 535 00:39:50.559 --> 00:39:53.400 crap, I'm just going to sell. So that's partly why it drops so 536 00:39:53.480 --> 00:39:58.599 quickly on Wednesday afternoon. For people who don't know what zero dated options are, 537 00:39:58.920 --> 00:40:00.960 you know, an option is really a bet on the price into the 538 00:40:01.000 --> 00:40:07.159 future. No, that doesn't help people. Now again, you're essentially just 539 00:40:07.239 --> 00:40:09.599 betting on the price. So if you have a stock at one hundred dollars 540 00:40:09.840 --> 00:40:13.320 and you think in a month it could be trading out one hundred and five, 541 00:40:13.880 --> 00:40:15.400 you can buy a call for one hundred and five, giving you the 542 00:40:15.519 --> 00:40:20.039 right to sell the stock at one oh five. And then what happens if 543 00:40:20.079 --> 00:40:23.599 the stock keeps running, You have that stock purchase basically at one oh five, 544 00:40:23.679 --> 00:40:29.000 and you get the game. You can even sell the option before exercising 545 00:40:29.000 --> 00:40:32.480 the option. But every option has a maturity date to it, basically amount 546 00:40:32.519 --> 00:40:36.719 of days until it expires, and it's no longer it's just going to correct. 547 00:40:36.719 --> 00:40:38.400 These right to sell, the right to buy if you're buying a call, 548 00:40:38.559 --> 00:40:43.119 sorry, yes, if you're buying the call. So the whole point 549 00:40:43.199 --> 00:40:46.519 of the zero dated options is after that day of trading, it's no longer 550 00:40:46.679 --> 00:40:52.400 an instrument on financial markets, and so it's either going to be worth nothing 551 00:40:52.719 --> 00:40:54.880 or being worth what it was supposed to be worth. And that's why you 552 00:40:54.960 --> 00:41:00.079 have this huge one side of the fence. You know, you're gonna see 553 00:41:00.079 --> 00:41:01.639 a lot of buying, a lot of selling right at the end of the 554 00:41:01.719 --> 00:41:05.920 day. And that's been increasing through twenty three because of the growth in the 555 00:41:06.000 --> 00:41:09.440 zero dated options market, because it gives large institutions ways to get a little 556 00:41:09.440 --> 00:41:14.400 more bang for their buck in terms of beta, and beta is how you 557 00:41:14.440 --> 00:41:19.000 moved with the market. You can move a little more than the market actually 558 00:41:19.000 --> 00:41:22.400 moves if you use zerodated options because of the volatility and the gamma squeeze that's 559 00:41:22.400 --> 00:41:24.920 embedded when zero dated options come close to the maturity, more of a gamble 560 00:41:24.920 --> 00:41:27.480 and you got to hit it right and you got to hit it quick, 561 00:41:27.480 --> 00:41:30.119 otherwise you're gonna get hammered wrong. Yeah. But with that, options trading 562 00:41:30.159 --> 00:41:32.920 volume hit in all the time high this year. We're partly the thing for 563 00:41:32.960 --> 00:41:37.880 that too. Yeah. But with that also zero dated options are outpaced the 564 00:41:37.920 --> 00:41:43.480 growth in all the other expiry terms. Yeah, they just weren't a thing 565 00:41:43.800 --> 00:41:46.639 before. It was every option expired on the third Friday of every month, 566 00:41:47.079 --> 00:41:51.840 and then it eventually became Monday, Wednesday, Friday of every week, and 567 00:41:51.920 --> 00:41:55.079 now it's for cues and spiders and you can get it every single day. 568 00:41:55.199 --> 00:41:59.400 Yeah. So what's the stat that's out there that says, you know, 569 00:41:59.559 --> 00:42:02.920 option what ninety five percent of options explain this? I think it's ninety ninety 570 00:42:02.920 --> 00:42:06.920 five. Yeah, it's a yeah. I mean it's about I think risk. 571 00:42:07.920 --> 00:42:09.440 You got to know what you're doing because if you don't, you can 572 00:42:09.480 --> 00:42:14.360 get hit hard and it comes quick. It's enticing because you can buy a 573 00:42:14.400 --> 00:42:16.679 hundred shares or something for a lot cheaper than if you couldn't afford a hundred 574 00:42:16.679 --> 00:42:19.760 shares of Apple. You can buy an option on it in that sense, 575 00:42:19.800 --> 00:42:22.159 but very volatile and you can lose money very quickly in it. So it's 576 00:42:22.400 --> 00:42:24.639 you want to do your research before you jump in. Don't use them as 577 00:42:24.679 --> 00:42:28.800 a get rich quick scheme. Use them as a hedging tool. And exactly 578 00:42:28.840 --> 00:42:30.360 if you use them as a get rich quick it's like a gamble. It's 579 00:42:30.400 --> 00:42:32.719 you might as well go bet on sports on the same option. Yes, 580 00:42:34.000 --> 00:42:37.480 idea, and that's the biggest thing is volatility leads to the potential for a 581 00:42:37.480 --> 00:42:39.960 return. Doesn't mean the guarantee for return, it means potential. So options 582 00:42:40.000 --> 00:42:45.239 obviously can give you a higher rate of return, but it's because you're offering 583 00:42:45.280 --> 00:42:49.000 a higher rate of volatility, and a zero dated option has such hype volatility, 584 00:42:49.079 --> 00:42:51.480 so you don't really have the room to be wrong. Yeah, and 585 00:42:51.519 --> 00:42:53.480 you'll be wrong and you'll lose your money immediately. Options are very complex because 586 00:42:53.480 --> 00:42:58.239 they don't just they don't just they're not just based on the markets price. 587 00:42:58.400 --> 00:43:00.639 You know, the stock could go up, the option can actually go down 588 00:43:00.679 --> 00:43:05.039 even if you're betting on it going up. So there's a lot of complexities, 589 00:43:05.079 --> 00:43:07.719 and you really need to work with a professional if you're not one, 590 00:43:07.800 --> 00:43:13.280 if you want any option strategies. And we do employ some options and strategies 591 00:43:13.320 --> 00:43:15.400 for a couple accounts here, but they're, like you said, SeaBASS, 592 00:43:15.519 --> 00:43:20.119 used in risk mitigation situation. And with that, I mean if you're interested 593 00:43:20.159 --> 00:43:22.440 in learning about options, about trading options, if you've been doing it yourself 594 00:43:22.440 --> 00:43:28.440 and want to do more complex things. Dave and Dean are both auctions principles, 595 00:43:28.559 --> 00:43:30.280 so they can help you that way. And then what SeaBASS was talking 596 00:43:30.280 --> 00:43:34.960 about with the Santa Claus Rally. For those who don't know, it doesn't 597 00:43:35.000 --> 00:43:38.039 always happen, but since nineteen ninety three, it's occurrence took place about sixty 598 00:43:38.039 --> 00:43:42.599 seven percent of the time. What the Santa Claus rally is is tend to 599 00:43:42.639 --> 00:43:46.480 be around December twentieth through January fourth. It depends on who you want to 600 00:43:46.519 --> 00:43:51.559 ask on the actual time frame, but the average turn during that time frame 601 00:43:51.599 --> 00:43:54.440 for the S and P five hundred during December twentieth to January fourth is about 602 00:43:54.440 --> 00:43:58.000 an average one point three percent gain. So, like I said, since 603 00:43:58.079 --> 00:44:00.079 nineteen ninety three, it's took place about six seven percent of time. Doesn't 604 00:44:00.079 --> 00:44:04.960 always happen, but as Dylan says, it normally does because of the lack 605 00:44:04.960 --> 00:44:07.800 of volume going into the last trading week of the year, which just is 606 00:44:07.800 --> 00:44:10.239 a lack of selling, and most people aren't going to be buying or selling 607 00:44:10.280 --> 00:44:14.480 that week because they kind of already got their capital gains booked away. They 608 00:44:14.480 --> 00:44:17.320 don't want to mess with the realized or the realized loss or gain. And 609 00:44:17.360 --> 00:44:21.480 then on top of that, they are knowing January is the biggest month for 610 00:44:21.639 --> 00:44:28.039 flows into retirement accounts because of if you're high earning employee I'm or employer or 611 00:44:28.039 --> 00:44:31.800 you're going to max out your form on contribution in the first January February. 612 00:44:32.199 --> 00:44:35.840 Yeah, pretty much. So that's why January tends would be a good month 613 00:44:36.079 --> 00:44:37.880 and then to February, and then once that all gets into play, then 614 00:44:37.880 --> 00:44:40.440 you kind of see what the market could do. Yeah, I mean twenty 615 00:44:40.440 --> 00:44:45.000 five percent of all sales growth I read for the overall s and P five 616 00:44:45.079 --> 00:44:51.039 hundred comes in December. So when you're like why, you know, why 617 00:44:51.119 --> 00:44:53.199 is this these years? Always you know December January is so good. Well, 618 00:44:53.199 --> 00:44:59.280 it's probably because of that and also January being the highest inflow month because 619 00:44:59.320 --> 00:45:01.880 of the calendar year. You know, if you put the calendar year in 620 00:45:02.119 --> 00:45:05.920 starting in March, you would have April as the biggest year. So it 621 00:45:05.960 --> 00:45:09.360 all depends on when you start the year and how the regulation rules are standard 622 00:45:09.400 --> 00:45:15.519 around it. But you definitely see patterns around the markets because of business cycles, 623 00:45:15.760 --> 00:45:20.559 and that's how it works. Now. We have the Federal Reserve come 624 00:45:20.599 --> 00:45:24.440 out last week and like you said, Dylan, the members kind of were 625 00:45:25.159 --> 00:45:31.760 taken back and because the market kept bidding and they kept buying even though they've 626 00:45:31.880 --> 00:45:37.039 kind of felt like they were being a little more hawkish than expectations. Yeah, 627 00:45:37.719 --> 00:45:39.480 yeah, well it's that I mean, because they had the Chicago Fed 628 00:45:39.519 --> 00:45:43.440 president come out and he said that he doesn't know why everybody was so happy 629 00:45:43.519 --> 00:45:46.199 the next day because he didn't think the market reacted as from what they said, 630 00:45:46.199 --> 00:45:49.920 he thought they were talking about ray cuts, but they're saying maybe, 631 00:45:49.960 --> 00:45:52.719 and it's like not in the greatest way. So he's interested why the market 632 00:45:52.960 --> 00:45:57.039 went up so much the next day. And it's unlikely we will see any 633 00:45:57.119 --> 00:46:01.400 real talks about ray cuts until we see the actual CPI below too. But 634 00:46:01.480 --> 00:46:05.159 you know how I feel about weight cuts, right, the markets definitely think 635 00:46:05.159 --> 00:46:07.800 there's gonna be two or three way cuts. They seemed them three for sure. 636 00:46:07.119 --> 00:46:08.639 So at the end of the day, if we don't have two or 637 00:46:08.639 --> 00:46:12.679 three way cuts, what happens to the market. It's gonna go down, 638 00:46:12.679 --> 00:46:15.760 exact actly. And that's why mitigating risk is such an important part of the 639 00:46:15.760 --> 00:46:19.559 way we're going to manage money into us in twenty four. Yeah, because 640 00:46:19.559 --> 00:46:22.199 we're in this Goldilock scenario and you know, like Dave said, you can 641 00:46:22.360 --> 00:46:24.800 take a picture quick and you know, hold on to inframe it, but 642 00:46:24.960 --> 00:46:28.000 at the end of the day, You're right, Dean, everything has to 643 00:46:28.000 --> 00:46:30.559 work out perfectly in twenty four for us not to drop. It seems like 644 00:46:30.639 --> 00:46:35.320 that's where we're headed. And what do I keep saying, it's always risk 645 00:46:35.400 --> 00:46:38.320 reward. Our risk is greater than it was obviously a few months ago. 646 00:46:38.719 --> 00:46:42.400 But at the end of the day, you don't sell everything because if you're 647 00:46:42.400 --> 00:46:45.519 wrong and it doesn't keep going and going more than you expect, you're gonna 648 00:46:45.519 --> 00:46:49.079 make money because you got your core positions. Okay, right, But on 649 00:46:49.119 --> 00:46:52.119 the other side, if it does come back and gives you an opportunity, 650 00:46:52.519 --> 00:46:55.920 which it did. What on what was it on Thursday or or Wednesday last 651 00:46:55.960 --> 00:47:01.000 week that we dropped, you know, seventy points on the s that could 652 00:47:01.039 --> 00:47:06.159 have kept going. Then you have money to buy stuff and you're not getting 653 00:47:06.239 --> 00:47:09.480 killed. But be smart with what's going on, because if you're smart with 654 00:47:09.519 --> 00:47:13.920 what's going on and you know how to mitigate risk, you can get through 655 00:47:14.079 --> 00:47:16.639 every type of environment. The markets. Well in the throw, all right, 656 00:47:16.639 --> 00:47:19.880 we're coming up to a hard break. We'll be right back. I 657 00:47:19.920 --> 00:47:23.119 appreciate we got about thirty second and I want to talk about this point where 658 00:47:23.119 --> 00:47:27.599 we have the s and P five hundred when it returns twenty plus in a 659 00:47:27.679 --> 00:47:30.840 rally. The average turn the year later since nineteen twenty eight is eight point 660 00:47:30.960 --> 00:47:35.119 nine percent, the median return eleven point four percent. Yeah, however, 661 00:47:35.199 --> 00:47:37.639 you're not taking it into the fourth year of a new presidential and that is 662 00:47:37.679 --> 00:47:40.239 the average turn is four percent for the S and P. We'll be right 663 00:47:40.280 --> 00:47:44.239 back for the second outer of the money. Make sure you keep all the 664 00:47:44.280 --> 00:47:52.760 statistics correct. We'll be right back. Thanks, say it's only an oh, 665 00:47:52.840 --> 00:47:57.079 welcome back on Merry Christmas Eve. Christmas is such fun, even for 666 00:47:57.199 --> 00:48:00.119 that's Jews. It's fun, Yeah, but for a whole different read that. 667 00:48:00.159 --> 00:48:01.320 I mean, we usually Chinese food, watch a bunch of movies and 668 00:48:01.360 --> 00:48:06.559 it's great. I don't know where that tradition came from, because it's the 669 00:48:06.639 --> 00:48:08.599 only place opens. Yeah, Chinese restaurants back in the day where the only 670 00:48:08.639 --> 00:48:12.119 place is open. Right, So, Jews, we don't celebrate. But 671 00:48:12.199 --> 00:48:16.599 they were in Jewish, they were probably Catholic Chris Christ. They don't in 672 00:48:16.639 --> 00:48:20.960 America. I don't know, well, I know, I'm not going to 673 00:48:21.000 --> 00:48:22.679 get it. I don't know the reason that is the reason that was the 674 00:48:22.679 --> 00:48:29.400 only restaurant. Don't go Google movies. Those are the two things, go 675 00:48:29.440 --> 00:48:30.760 to a movie and each Chinese food. Yeah, that moyviees. They're always 676 00:48:30.800 --> 00:48:35.000 open on Christmas. Yeah, those of you just tuning in, We're in 677 00:48:35.039 --> 00:48:37.599 the second hour of the Money Matter Show. For the last week, the 678 00:48:37.639 --> 00:48:39.440 Dow is up point two percent, the s and P five hundred was up 679 00:48:39.440 --> 00:48:43.639 point eight percent, the Na's DAK composite was up one point two percent, 680 00:48:43.679 --> 00:48:45.400 the Wrestle of two thousand, which is the small cap, was up two 681 00:48:45.440 --> 00:48:50.440 percent, and the RSP, which is equal weighted SMP five hundred was up 682 00:48:50.480 --> 00:48:53.079 point four percent. For the year, coming into the last two weeks, 683 00:48:53.440 --> 00:48:57.880 the Dow is up thirteen percent and now naz Dak's up forty three percent. 684 00:48:58.239 --> 00:49:00.519 The SMP was up twenty four percent, and then Russell two thousands up fifteen 685 00:49:00.559 --> 00:49:05.559 percent. The RSP is up eleven. So we're looking to have a strong 686 00:49:05.639 --> 00:49:07.320 year if you can finish these two weeks out, which are both shortened. 687 00:49:07.360 --> 00:49:10.760 Weeks tend not to be too high in volume, but you never know. 688 00:49:12.000 --> 00:49:15.400 We did have a few years ago we did have a very hard week right 689 00:49:15.440 --> 00:49:19.159 after Christmas, so and then Marcus ended up being down in December because of 690 00:49:19.199 --> 00:49:24.039 it. But historically they've been pretty good talking about value going into the next 691 00:49:24.119 --> 00:49:27.599 year and everything. We think it's going to be a value year. Berkshire 692 00:49:27.639 --> 00:49:30.840 Hathaway talk about them a lot. They bought five million more shares of Occidental 693 00:49:30.880 --> 00:49:35.199 Petrolium last week. Totally. They're two totally their shares of the two hundred 694 00:49:35.199 --> 00:49:38.679 and forty three million have a twenty seven point seven percent stake in the company 695 00:49:39.400 --> 00:49:43.159 and they have a bet a total of three hundred and thirteen million dollars in 696 00:49:43.199 --> 00:49:45.119 it. Actually, no, sorry, that was what they just bought. 697 00:49:45.159 --> 00:49:47.519 They have a fourteen billion dollar position in there, and they keep buying it. 698 00:49:47.559 --> 00:49:52.639 And they bought it after the news that Occidental is going to buy Crown 699 00:49:52.760 --> 00:49:57.400 Rock for twelve billion dollars. It's privately held oil and gas company. They 700 00:49:57.440 --> 00:50:02.320 announced that on the twelfth of December. To that, Berkshire went back in 701 00:50:02.360 --> 00:50:07.280 and started buying more shares. We keep wondering why, but they got to 702 00:50:07.280 --> 00:50:08.960 know something, and maybe Crown Rock is very good company. It's gonna help 703 00:50:08.960 --> 00:50:13.519 Occidental. Something's going on over there. Their average price is sixty dollars a 704 00:50:13.559 --> 00:50:16.079 share. Wow, you said fourteen billion. That number glued me to Bristol 705 00:50:16.119 --> 00:50:22.639 Myers. They announced the deal to buys psychiatric neurological drug maker Karuna Therapeutics on 706 00:50:22.719 --> 00:50:27.760 Friday for fourteen billion dollars. Kartx rocketed more than forty seven percent in pre 707 00:50:27.840 --> 00:50:30.039 market trading. It held it too. I was pretty surprised to see that, 708 00:50:30.159 --> 00:50:34.199 you know what else is held. Just that reminded me of something what 709 00:50:34.400 --> 00:50:37.880 Thursday. So after a down market on like on Wednesday, something like that 710 00:50:37.880 --> 00:50:42.519 happens on Wednesday. The markets, if they tend to open up, they 711 00:50:42.519 --> 00:50:46.199 don't hold. The rally doesn't hold. Yeah, se Bashroo, we're trying 712 00:50:46.199 --> 00:50:50.679 to teach you how to talk into the mic. My apologies. So the 713 00:50:50.800 --> 00:50:52.880 rally tends to not hold. If it opens up after a down day, 714 00:50:53.239 --> 00:50:57.239 it tends to go into the market during the morning, it's up, it's 715 00:50:57.320 --> 00:50:58.920 up, and then it'll just fall off at the end of the day. 716 00:50:58.920 --> 00:51:02.400 Again, historically, that's what happens. Thursday, the rally started s and 717 00:51:02.440 --> 00:51:06.719 P was up about thirty points to open end of the day up forty eight 718 00:51:06.719 --> 00:51:09.760 points. First time. Dave was flabbergasted. He's been in the business forty 719 00:51:09.800 --> 00:51:13.000 five years. He was telling us, He's like, it's not gonna hold. 720 00:51:13.000 --> 00:51:15.280 It's not gonna hold, never held, and then then held no. 721 00:51:15.320 --> 00:51:16.280 It was like, I like, I have no idea. I think it 722 00:51:16.280 --> 00:51:19.840 was about like one thirty. He came came over here to our side of 723 00:51:19.840 --> 00:51:21.880 the office and he said, I think this thing's gonna hold. Yeah, 724 00:51:21.880 --> 00:51:23.440 it's like the first time I've ever seen it. It was interesting, though, 725 00:51:23.440 --> 00:51:27.000 I mean, there's like a lot of good market sentiment after that, 726 00:51:27.320 --> 00:51:30.440 maybe because there was just a couple of reasons as to why what we explained 727 00:51:30.480 --> 00:51:34.840 in the first hour as to why the market dropped so fast that Wednesday afternoon. 728 00:51:36.159 --> 00:51:39.239 Yeah. The biggest thing I see as well is the dropping interest rates. 729 00:51:39.320 --> 00:51:42.760 I mean, if you have interest rates dropping, and more so than 730 00:51:42.800 --> 00:51:46.320 anything, it's the eighth market, the bond market pricing in so many rate 731 00:51:46.400 --> 00:51:52.039 cuts that just is gonna be really hard to actually see come into play. 732 00:51:52.519 --> 00:51:54.719 To that points, market prices in a seventy two point seven percent chance at 733 00:51:54.719 --> 00:51:59.920 the funds rate will be a quarter point lower after fed's March meeting. Yeah, 734 00:52:00.039 --> 00:52:05.599 I just that's a very quick turnaround for them to do. Nike reported 735 00:52:05.639 --> 00:52:09.400 earnings this week. It was down over ten percent as sales in China and 736 00:52:09.440 --> 00:52:15.079 Europe weakened, and they cut their twenty twenty four revenue guidance. And you 737 00:52:15.119 --> 00:52:19.519 know, that's a real interesting thing that they came out and said about Europe. 738 00:52:19.599 --> 00:52:22.599 I've been reading a lot of economic data about Europe. It's not looking 739 00:52:22.639 --> 00:52:27.280 good. They are going in through a deterioration weakening area. They actually have 740 00:52:27.360 --> 00:52:30.920 negative GDP growth coming into what it's gonna look like be the back to back 741 00:52:31.000 --> 00:52:35.239 quarters in a row, which is technically a recession. Europe's way ahead of 742 00:52:35.280 --> 00:52:37.760 us in terms of weakening of their economy. China, we already know, 743 00:52:37.800 --> 00:52:39.880 has had a lot of trouble because of how long they were in lockdown. 744 00:52:40.239 --> 00:52:45.400 But Nike stock has been performing really well over the last couple of weeks, 745 00:52:45.639 --> 00:52:49.320 but then obviously had a bad day. I mean over the last say, 746 00:52:49.400 --> 00:52:57.760 roughly three months. It was up i mean eighteen percent in the last three 747 00:52:57.800 --> 00:53:01.800 months, even after a twelve percent clothes on Friday. You know, it's 748 00:53:01.800 --> 00:53:06.119 all about outlook there, because they did report better than expected earnings and revenue, 749 00:53:06.239 --> 00:53:08.840 but it tends to be about outlook. I mean, they could beat 750 00:53:08.920 --> 00:53:13.719 last quarter, but nobody cares about last quarter. They're six months from now. 751 00:53:13.880 --> 00:53:17.000 They're cutting two billion dollars in costs, their revenue sales and projections are 752 00:53:17.000 --> 00:53:20.760 going down. So that forward pe that Dave was talking about last week, 753 00:53:20.840 --> 00:53:22.679 right exactly. Yeah, So, I mean you can have great earnings, 754 00:53:22.760 --> 00:53:27.159 but if you have great earnings and a great outlook, that's when the top 755 00:53:27.159 --> 00:53:30.679 stocks tend to pop. Yeah. And speaking of China, Chinese regulators have 756 00:53:30.679 --> 00:53:36.320 added new restrictions on gaming sites with a raft of new measures to curb spending 757 00:53:36.480 --> 00:53:42.000 and addiction. Yeah. Right, this has wiped out billions in value of 758 00:53:42.000 --> 00:53:45.719 tencent and net ease shares. It's so funny that it seems like China, 759 00:53:45.840 --> 00:53:50.119 even though obviously you don't have the freedoms in China, but the government really 760 00:53:50.280 --> 00:53:54.800 works on their youth and making sure there's good policies in place to develop a 761 00:53:54.800 --> 00:53:59.320 good working force going into the future. It actually sounds kind of nice. 762 00:53:59.360 --> 00:54:01.199 You know, you start on the kids, you know, don't be addicted 763 00:54:01.239 --> 00:54:06.039 to video games rather than drugs here in the US. Yeah, it's uh, 764 00:54:06.639 --> 00:54:09.280 it is interesting. Chinese regular, well, I mean Chinese regular. 765 00:54:09.360 --> 00:54:15.280 They have really interesting thing with their classes, Like they have such advanced classrooms 766 00:54:15.280 --> 00:54:17.920 and some of the things they do, like they mandate you know, physical 767 00:54:17.920 --> 00:54:23.159 activity very much like and TikTok to to be more informational and educational, right, 768 00:54:23.239 --> 00:54:25.800 and then they push on us the dancing and all that. That's what 769 00:54:25.800 --> 00:54:30.440 I'm saying. It's Chinese jokes on them though they're shopping additional radio and they 770 00:54:30.480 --> 00:54:36.599 make money off it. That's the issues. Actually, that's good the issues 771 00:54:36.719 --> 00:54:39.000 that they make money. But they're all entrepreneurs, that's how they can look 772 00:54:39.039 --> 00:54:43.400 at it. Japan was in the news, not necessarily because of the country, 773 00:54:43.400 --> 00:54:45.519 well kind of becaus of the country, but more so because of the 774 00:54:45.519 --> 00:54:49.360 company. Uh there's a company that is centered or headquartered in Japan, but 775 00:54:49.440 --> 00:54:52.440 majority of their businesses in America. You want to talk a little about doing. 776 00:54:52.199 --> 00:54:54.639 Yeah, So US Steel is one hundred and thirteen year old company that 777 00:54:54.719 --> 00:54:59.719 was based in Pittsburgh. It's called US Steel. Really people were thrown off 778 00:54:59.760 --> 00:55:04.880 when a Japanese company acquired it. But that Japanese company, Nippin, I 779 00:55:04.880 --> 00:55:07.880 think it's how you say, it's nipp O. N has had about forty 780 00:55:07.880 --> 00:55:12.119 percent of their business in the US for years, so they do a lot 781 00:55:12.159 --> 00:55:14.360 of business in the US. They are around the US, and that's why 782 00:55:14.360 --> 00:55:19.159 I think it got accepted the acquisition. Yeah, and Nippen is the world's 783 00:55:19.159 --> 00:55:22.800 fourth largest steelmaker. They're the deal price with fifty five dollars a share, 784 00:55:22.800 --> 00:55:25.920 which represents a forty two percent premium to the last price of trading that day 785 00:55:25.960 --> 00:55:30.039 when it happened at thirty five dollars a share. So that's the biggest. 786 00:55:30.159 --> 00:55:34.519 That's the biggest, I mean deal wise, I mean, I guess for 787 00:55:34.719 --> 00:55:37.000 US steel they're they're jumping out of their pants. But Jee Nippin, I 788 00:55:37.039 --> 00:55:40.679 mean, you're paying a forty two percent premium, Yeah, which is just 789 00:55:40.880 --> 00:55:45.840 unreal to go into an environment where we are. I think they just wanted 790 00:55:45.840 --> 00:55:51.599 to increase their US footprint because they beat out Cleveland Cliffs and our seller Mattel, 791 00:55:51.639 --> 00:55:53.400 which I think is foreign as well. Right, Cleveland Cliffs is obviously 792 00:55:53.440 --> 00:55:55.880 in the US. I mean, Kramer was talking about this when he saw 793 00:55:55.920 --> 00:56:01.880 the deal. He's just very surprised about all the merger and active and acquisitions 794 00:56:02.199 --> 00:56:07.039 deals that are going on right now in the marketplace, given the outlook of 795 00:56:07.039 --> 00:56:10.840 what we're going through in twenty paused almost nothing in twenty two. I was 796 00:56:10.880 --> 00:56:14.559 talking to people. I was back in New York in January, and I 797 00:56:14.599 --> 00:56:16.400 was talking to guys who work in like work in MMA, M and A 798 00:56:16.840 --> 00:56:20.519 and all that, and they said last year has just died. They got 799 00:56:20.519 --> 00:56:22.960 maybe one guy got one deal, another guy got one, and three others 800 00:56:22.960 --> 00:56:27.239 fell through because nobody wanted to end up doing them. They were just scared 801 00:56:27.280 --> 00:56:30.280 of the outlooks. So this year they're a little more optimistic, I guess. 802 00:56:30.920 --> 00:56:34.760 And that's what's interesting because we have higher amounts of bankruptcies in twenty three 803 00:56:34.760 --> 00:56:37.719 than we do in twenty two, and that number is increasing. So yeah, 804 00:56:37.719 --> 00:56:39.760 I mean, all that is and that's why we keep saying is there 805 00:56:39.800 --> 00:56:43.840 going to be a black swan? I mean, credit card debts keeps increasing, 806 00:56:43.880 --> 00:56:46.280 savings keep decreasing. We've talked about this for four months now. Still 807 00:56:46.320 --> 00:56:50.719 true. A big issue with it, too, is student loan payments. 808 00:56:50.800 --> 00:56:54.840 Only sixty percent of student loan borrowers made payments when bills restarted. Student loan 809 00:56:54.880 --> 00:56:58.960 payments for twenty two million people restarted in October, as we talked about. 810 00:56:59.000 --> 00:57:02.039 That's the federal loans. They've been paused for three years. The Department of 811 00:57:02.119 --> 00:57:07.079 Education says the repayment troubles red predated the pandemic. Millions were not taking payments 812 00:57:07.159 --> 00:57:12.400 prior to the pause because they were delinquent or obtained a deferment of forbearance. 813 00:57:12.679 --> 00:57:16.360 These outsetting education debts in the US exceed one point seven trillion dollars. So 814 00:57:16.400 --> 00:57:20.519 the average loan balance on a graduation is tripled since the nineties, because we 815 00:57:20.599 --> 00:57:22.639 know, I mean from four hundred thirty thousand, it's that's the average. 816 00:57:22.679 --> 00:57:28.679 Now it was ten thousand. And the issue is education costs, just Scott, 817 00:57:29.079 --> 00:57:30.400 I mean, it's like six seven percent a year, so obviously in 818 00:57:30.480 --> 00:57:35.360 thirty years it's going to increase a lot. But like any borrowers describe these 819 00:57:35.400 --> 00:57:38.079 challenges trying to say they're trying to stay current on their student loans because they 820 00:57:38.079 --> 00:57:40.599 have long way times trying to research services, they don't know how to pay 821 00:57:40.639 --> 00:57:45.159 them. A lot of them didn't even realize these payments got restarted because they're 822 00:57:45.159 --> 00:57:47.519 not just in the news and not listen to the news. And I remember 823 00:57:47.519 --> 00:57:51.079 when mine restarted. The only reason I knew was because I'm in this business 824 00:57:51.079 --> 00:57:52.719 and I've been paying attention to it. But I didn't get like a big 825 00:57:52.760 --> 00:57:57.079 email saying, hey, start paying your loan payments again. It was very 826 00:57:57.400 --> 00:58:00.280 in a sense. It wasn't cryptic, but it was long emails. And 827 00:58:00.320 --> 00:58:01.199 if you're just saying, ah, whatever. I don't got to worry about 828 00:58:01.199 --> 00:58:04.679 it because it's been three years and not worrying about it, you're not gonna 829 00:58:04.679 --> 00:58:07.519 pay it. But when you only got sixty percent of them paying it, 830 00:58:07.519 --> 00:58:08.760 it's an issue. And then all of a sudden they're like, oh, 831 00:58:08.760 --> 00:58:12.639 I can't afford it. And this is what I brought up back in October 832 00:58:12.679 --> 00:58:15.679 when these were gonna start. There's an issue that, Okay, you haven't 833 00:58:15.679 --> 00:58:16.239 paid it for three years, all of a sudden, you got a four 834 00:58:16.320 --> 00:58:20.559 hundred and five hundred dollars monthly payment that has to come out. You don't 835 00:58:20.599 --> 00:58:23.320 plan for that, you don't have the income for it. You've been using 836 00:58:23.320 --> 00:58:27.280 it for different things. Maybe you got higher rent because you thought you had 837 00:58:27.320 --> 00:58:28.880 more money for the last couple of years, and all of a sudden you 838 00:58:28.880 --> 00:58:30.400 got to pay this, and then all of a sudden, your credit goes 839 00:58:30.400 --> 00:58:34.360 down because you're not paying your student loan. And there's just a ripple effect 840 00:58:34.639 --> 00:58:37.679 that could hit the economy hard. You got that many people paying their student 841 00:58:37.679 --> 00:58:43.559 loans. Yeah, student loans, the repayments of them have not affected CPI 842 00:58:43.599 --> 00:58:46.119 at all. If In fact, people I think are spending more since they've 843 00:58:46.159 --> 00:58:50.119 restarted, so it could be an issue in the future though. Well. 844 00:58:50.719 --> 00:58:53.960 The fact that they're spending more since the payments have started and they're not paying 845 00:58:54.000 --> 00:59:00.039 them off is obviously an issue because this is a credit card interest rates to 846 00:59:00.079 --> 00:59:05.639 skyrocketing, so all these people are going to have increased balances. Yeah, 847 00:59:05.760 --> 00:59:08.239 none of that's good. And it is it that bad to affect the entire 848 00:59:08.320 --> 00:59:12.880 comment? Could it be? That's something that we just keep an eye on 849 00:59:13.280 --> 00:59:15.559 constantly. Yeah, and we always help people when it comes to credit card 850 00:59:15.559 --> 00:59:19.360 debts and looking at auto loans more. You just a lot of people have 851 00:59:19.440 --> 00:59:21.840 questions about what are good debts, what are bad debts? How should I 852 00:59:21.920 --> 00:59:23.440 try to pay them off? Should I pay them off? Those are questions 853 00:59:23.440 --> 00:59:29.360 that you really should ask a financial advisor about because there's a lot of variables 854 00:59:29.519 --> 00:59:32.639 around future liquidity events and making sure that you don't lock your money up by 855 00:59:32.639 --> 00:59:37.679 paying something off that really doesn't give you as much benefit as it could if 856 00:59:37.159 --> 00:59:42.039 it could be used for something else. Speaking of asking questions, if you 857 00:59:42.199 --> 00:59:45.280 were a radio listener to our show and had a question, what would you 858 00:59:45.320 --> 00:59:47.960 do, Todd? You would email us as contact at Greenberg Finance dot com. 859 00:59:47.960 --> 00:59:51.199 All right, Michael rode into this week, and so you kind of 860 00:59:51.199 --> 00:59:53.320 already tarked on this in the first hour a little bits, but his question 861 00:59:53.480 --> 00:59:59.159 was a bit different. Are there any specific sectors or industries that you expect 862 00:59:59.159 --> 01:00:04.400 to underperform in twenty twenty four. You talked about the big performers here in 863 01:00:04.400 --> 01:00:08.880 twenty twenty three being what XLKXL tech Tech. We could see tech having a 864 01:00:08.880 --> 01:00:15.159 pullback just purely because tech exploded this year. You tend to see that because 865 01:00:15.199 --> 01:00:17.599 they take profit going into next year because value is sting to perform this year. 866 01:00:17.760 --> 01:00:22.599 They take the profit from tech rebalance, put it in either bonds be 867 01:00:22.679 --> 01:00:28.519 more safe, or they put it into another sector like staples or value value 868 01:00:28.920 --> 01:00:31.039 to staples. Yeah, I think even more so. I would definitely stay 869 01:00:31.039 --> 01:00:37.800 away from consumer discretionary in twenty twenty four. It's hard to say about tech. 870 01:00:37.119 --> 01:00:40.480 I mean, even if the markets don't have a terrible year, it 871 01:00:40.519 --> 01:00:44.679 won't have a terrible year. If they have a bad year, obviously have 872 01:00:44.679 --> 01:00:45.679 a bad year. And if they have a good year, I don't expect 873 01:00:45.679 --> 01:00:49.639 them have as good a year as they did this year. So there's just 874 01:00:49.679 --> 01:00:52.159 not as much reward and it seems like there's more risk for tech, but 875 01:00:52.239 --> 01:00:57.920 it doesn't go to say we're in a tech world now, so that it 876 01:00:58.039 --> 01:01:02.199 should outperform everything else. I mean, Nvidia could still have another great year, 877 01:01:02.239 --> 01:01:06.679 but it's the idea that it's just tripled almost in a year. You 878 01:01:06.719 --> 01:01:09.039 take some profit, right, but it you know, so many people they 879 01:01:09.079 --> 01:01:15.079 tell me about the valuations, and I do think at a certain point valuations 880 01:01:15.119 --> 01:01:19.559 are only based on humans giving that stock the valuation. So if we all 881 01:01:19.679 --> 01:01:22.760 it's a collective, don't realize the growth that technology has for us as a 882 01:01:22.800 --> 01:01:27.400 society, we could just be undervaluable. They do come back down to earth. 883 01:01:27.400 --> 01:01:30.719 Tesla came back down. Of course they at one point and everybody thought 884 01:01:30.760 --> 01:01:31.599 it would never come down. They had to split a few times. But 885 01:01:31.599 --> 01:01:36.440 when you're when these technology companies in two thousand and two thousand and one, 886 01:01:36.480 --> 01:01:38.719 we're talking about their growth rates, everyone said they were unsustainable and then I 887 01:01:38.760 --> 01:01:40.920 guess what happened to crash and everyone said, oh, see, we're right, 888 01:01:40.920 --> 01:01:45.559 and then guess what happened The growth rates came back. So just because 889 01:01:45.599 --> 01:01:46.840 you're right for a year or two, and we hear this all the time 890 01:01:46.840 --> 01:01:51.280 in meetings where people said I sold out right before, Oh wait, okay, 891 01:01:51.679 --> 01:01:53.039 when'd you get back in last you think, are you a trader or 892 01:01:53.079 --> 01:01:57.400 are you investor? Investors or long term traders look for either the swing trading, 893 01:01:57.400 --> 01:02:00.960 which is a couple of months, or day trading that's more short term. 894 01:02:00.960 --> 01:02:02.360 If you're investors for the long run, you can weather the storm of 895 01:02:02.400 --> 01:02:05.679 a year, of a bad year, of bad two years. If you 896 01:02:05.719 --> 01:02:07.960 think Tesla's going to be up over a ten twenty year period, you're going 897 01:02:08.000 --> 01:02:10.960 to be in Tesla through a couple bad years. You don't care. But 898 01:02:12.039 --> 01:02:15.360 that is through research and believing in the company, not just technical analysis and 899 01:02:15.400 --> 01:02:19.239 trying to trade the stock, trying to make the quicker money in the sense 900 01:02:19.239 --> 01:02:22.639 of trading like that. The sectors I am most attractive to obviously I like 901 01:02:22.719 --> 01:02:28.760 value, but going more into that new homebuilders going into next year, I 902 01:02:28.800 --> 01:02:35.400 think that sector. I really like. Healthcare I like and utilities should do 903 01:02:36.000 --> 01:02:39.559 decent just because they're literally the last they're the most underforming. They're down twelve 904 01:02:39.599 --> 01:02:43.760 percent year over year right now, so and there's ways to get into these 905 01:02:43.760 --> 01:02:45.800 companies without trying to pick a company, without trying to pick just say I 906 01:02:45.800 --> 01:02:50.719 think United Healthcare is going to do really well. There's ets, there's funds 907 01:02:50.760 --> 01:02:54.800 that diversify within the same sector that you can buy into, like Excel you 908 01:02:55.039 --> 01:03:00.679 all gives you a basket of utility company MP five hundred, you know, 909 01:03:00.880 --> 01:03:01.880 and so that way you don't have you like the sector, but you don't 910 01:03:01.880 --> 01:03:05.320 know exactly which company's going to do well. You don't have a belief, 911 01:03:05.360 --> 01:03:08.760 you don't trust your gut and anything going to the ETF. Another great place 912 01:03:08.800 --> 01:03:12.880 I think that will outperform that regular S and P five hundred next year is 913 01:03:12.880 --> 01:03:15.039 the RSP and that's the equal weighted S and P. I think the broad 914 01:03:15.039 --> 01:03:20.199 market will do better than the handful of socks that dominated. And we see 915 01:03:20.239 --> 01:03:22.400 that in the last month it's up. It was lagging the S and P 916 01:03:22.480 --> 01:03:25.880 five hundred by a lot and it's come back quite a bit in the last 917 01:03:25.880 --> 01:03:29.320 month. Yeah, it's up performed the S and P this month by two 918 01:03:29.320 --> 01:03:34.440 percent just about. So it has definitely brought up some ground. Any other 919 01:03:34.519 --> 01:03:37.039 questions, yep. Michael followed up with what economic indicators do you follow when 920 01:03:37.039 --> 01:03:43.320 assessing the market forecast for that upcoming year? They grow, They grow every 921 01:03:43.400 --> 01:03:49.239 day. So do you want the novice answer or my answer? Your answer 922 01:03:50.400 --> 01:03:52.119 we'll be here for too long, all right, give us the novice. 923 01:03:52.480 --> 01:03:57.519 I would you probably just want to look at GDP reports, the monthly inflation 924 01:03:57.639 --> 01:04:02.639 reports and the report. No, I mean, I don't think PC is 925 01:04:02.639 --> 01:04:06.559 too important. The market really cares more about CPI, the Fed cares more 926 01:04:06.559 --> 01:04:14.119 about PCs, So I would go CPI GDP, and GDP really gives you 927 01:04:14.159 --> 01:04:17.440 an idea about the overall gross domestic product, right, so that's the best 928 01:04:17.679 --> 01:04:21.400 indicator of an economy. And then if you have back to back negative but 929 01:04:21.679 --> 01:04:26.719 GDP is a backward looking so it's not leading, it's not a leading indicator. 930 01:04:27.199 --> 01:04:30.679 So I mean, you know they say the stock market is a leading 931 01:04:30.679 --> 01:04:34.719 indicator. It's how is it says like a six month so lead an indicator. 932 01:04:35.000 --> 01:04:40.360 Yeah, everything that you do in this in this financial world is using 933 01:04:40.400 --> 01:04:45.719 past information to make a guess about the future. So to say anything is 934 01:04:45.719 --> 01:04:47.639 too leading. I mean, for example, the inversion is a leading indicator, 935 01:04:48.000 --> 01:04:53.000 the two ten year inversion that we've had for eighteen months now, so 936 01:04:53.239 --> 01:04:57.920 it's been leading wrong as well. So the most important thing is to see 937 01:04:57.920 --> 01:05:02.559 how economic reports are developing and then trying to project out what you believe will 938 01:05:02.559 --> 01:05:08.840 continue into the future based on the environment we're in. Thank you, Michael. 939 01:05:09.199 --> 01:05:12.960 If you have any other quest questions, contact at Greenberg Financial dot com. 940 01:05:13.000 --> 01:05:15.960 I wanted to talk about a stock that has been just ripping my face 941 01:05:15.000 --> 01:05:18.400 off looking at it each day, and that's Mara. It's MRI. It's 942 01:05:18.480 --> 01:05:24.480 Marathon Digital Holdings. And you know, you know I love bitcoin. They 943 01:05:24.559 --> 01:05:28.039 mind bitcoin, then I think they mind other digital assets as well. And 944 01:05:28.079 --> 01:05:30.920 there's two companies I fall in this space. It's Mara and Riot. And 945 01:05:31.000 --> 01:05:33.800 it's just like a golden miner, right, your minded commodity. The commodity 946 01:05:33.800 --> 01:05:36.840 has a price. You have that price. So it's pretty simple for most 947 01:05:36.840 --> 01:05:40.880 people to understand. They just how do you mind bitcoin? I won't get 948 01:05:40.880 --> 01:05:43.360 into that for people, but just no, that's what they're doing, right. 949 01:05:43.400 --> 01:05:45.199 They're they're plugging in the machines, They're paying the energy costs, and 950 01:05:45.199 --> 01:05:48.400 what they get back for their bitcoin mining the world is more than the energy 951 01:05:48.400 --> 01:05:51.679 costs, so they end up profitable. Right. Well, they just require 952 01:05:51.760 --> 01:05:56.880 two new sites that actually reduce the cost per coin that they mind by thirty 953 01:05:56.880 --> 01:06:00.519 percent. This stock is up forty percent over the last five days. I 954 01:06:00.559 --> 01:06:02.119 mean, we talked about it this year it's up over six hundred percent. 955 01:06:02.440 --> 01:06:05.920 It's ridiculous. Now, when bitcoin plummeted, it plummeted as well. It 956 01:06:06.000 --> 01:06:09.360 was down. I mean, I think it's still down on a two year 957 01:06:09.400 --> 01:06:14.639 performance actually, but just seeing that, I've never I don't think i've seen 958 01:06:14.639 --> 01:06:17.360 the stock that's just printed money for almost it seems like fifteen straight days. 959 01:06:17.480 --> 01:06:20.639 It's it's pretty coil. Wow. Yeah, it's insane. It's up one 960 01:06:20.719 --> 01:06:24.880 hundred and eighty percent in like two weeks. It's completely outpaced bitcoin. And 961 01:06:26.239 --> 01:06:29.440 you know, it seems like it's going through some short squeeze, so scary 962 01:06:29.760 --> 01:06:31.360 short interest on that was what twenty two percent. I mean, it's not 963 01:06:31.639 --> 01:06:35.280 terribly high, but it's up there. And as bitcoin continues to rally in 964 01:06:35.320 --> 01:06:40.440 trade near two year highs, investors are anticipating again that possible approval of a 965 01:06:40.480 --> 01:06:44.599 spot bitcoin ETF. The idea is around January eighth, January tenth to twenty 966 01:06:44.599 --> 01:06:46.599 four, that could be approved by the SEC. If that does, the 967 01:06:46.679 --> 01:06:51.400 question is as institutions already bought the bitcoin for these ETFs. Oh you said 968 01:06:51.400 --> 01:06:56.079 they weren't allowed, but they're not supposed to be allowed until after it gets 969 01:06:56.079 --> 01:07:01.320 approved, so they it's you know, are retailer's actually front running the institutions 970 01:07:01.320 --> 01:07:05.280 this time, which rarely happens in most financial markets. So it's a very 971 01:07:05.280 --> 01:07:10.960 interesting story to watch as we enter into twenty four, whether Bitcoin sells the 972 01:07:11.079 --> 01:07:15.199 rumor in the news or if it keeps its pace into the happening of twenty 973 01:07:15.199 --> 01:07:16.559 four. Yeah. Look, and we talk about all these stocks, I 974 01:07:16.599 --> 01:07:20.320 mean, the sectors, we've been talking about our outlook for twenty twenty four. 975 01:07:20.679 --> 01:07:25.039 But it's not for everybody. Everybody has a different risk. I mean, 976 01:07:25.320 --> 01:07:28.840 Mara is not for somebody who's a conservative retireing. It's not aggressive. 977 01:07:29.039 --> 01:07:30.400 It's not for most people. Yeah, exactly. I mean that's even more 978 01:07:30.400 --> 01:07:33.480 aggressive than in Vidia, you can think. But the idea is, if 979 01:07:33.519 --> 01:07:36.400 you don't know your risk and you start investing in this, in Mara, 980 01:07:36.519 --> 01:07:41.840 in Nvidia, and you can't handle the volatility of it, then you're into 981 01:07:42.000 --> 01:07:45.199 risky of assets and you got to reevaluate yourself in your investment style. So 982 01:07:45.239 --> 01:07:47.800 that's why we do what we do, and that's why we do the financial 983 01:07:47.840 --> 01:07:50.840 plan, That's why we do it for free. We just want to help 984 01:07:50.840 --> 01:07:55.800 them, get you to understand what you're investing in and how much risk you 985 01:07:55.840 --> 01:07:59.119 can really take so you can sleep at night. So as we wind down 986 01:07:59.159 --> 01:08:01.559 twenty three, I want anyone who's listening to us to understand that we do 987 01:08:01.639 --> 01:08:05.159 have a free risk software that you can use. All you have to do 988 01:08:05.239 --> 01:08:10.000 is email us or contact us our numbers five to zero five for four to 989 01:08:10.000 --> 01:08:12.320 four nine zero nine. What we'll do for free for you is put it 990 01:08:12.360 --> 01:08:17.760 into our risk analysis software your entire portfolio, and it will shoot out the 991 01:08:17.840 --> 01:08:21.600 current expense ratio you're paying for the entire portfolio, the average expense ratio, 992 01:08:23.039 --> 01:08:27.439 the average six month return you can expect, the zone, what's the most 993 01:08:27.520 --> 01:08:31.720 or least based on historical back testing of your exact allocation. How risky is 994 01:08:31.760 --> 01:08:34.720 your portfolio. It will give you a number from one to one hundred about 995 01:08:34.760 --> 01:08:41.840 how risky your portfolio is. These are intangible things to understand about your portfolio, 996 01:08:42.199 --> 01:08:45.199 knowing each year because each year is different, right, and you have 997 01:08:45.279 --> 01:08:49.319 a different risk each year. So going in and understanding that, you can 998 01:08:49.479 --> 01:08:53.520 easily send us your portfolio. You don't even have to come to a meeting 999 01:08:53.560 --> 01:08:56.520 if you don't want to. You can just send us your portfolio account statement 1000 01:08:56.560 --> 01:08:58.520 over online, or you can call us. We could talk about it, 1001 01:08:58.840 --> 01:09:01.039 and we can put it into our software and we can send you that report 1002 01:09:01.319 --> 01:09:04.199 completely free. Even if you don't need to do the whole financial plan, 1003 01:09:04.239 --> 01:09:08.479 we could do just that for you. We're here to help on that front. 1004 01:09:08.880 --> 01:09:12.600 Please understand your risk. As we go into twenty four. When we 1005 01:09:12.680 --> 01:09:15.039 have markets that return for the S and P twenty four percent year to date, 1006 01:09:15.439 --> 01:09:18.520 you have people that start want to chase gains. That is not the 1007 01:09:18.600 --> 01:09:23.159 time to do. So the time to do right now is to revisit your 1008 01:09:23.239 --> 01:09:26.600 risk and to understand who you are as an individual, not what type of 1009 01:09:26.680 --> 01:09:29.960 return you want. It's also about where you are in your investing in life. 1010 01:09:29.960 --> 01:09:32.199 Are you twenty years from retirementary ten or you five? Are you retiring 1011 01:09:32.239 --> 01:09:35.319 next year? Are you're tiring in the beginning of twenty five. I'll take 1012 01:09:35.399 --> 01:09:39.359 into account in the idea of how you should invest as well, because you 1013 01:09:39.359 --> 01:09:43.520 don't want as much volatility getting ready to retire. So you know, Dave 1014 01:09:43.560 --> 01:09:48.199 does ev garages. I gotta I got a uranium garage. I'm gonna throw 1015 01:09:48.239 --> 01:09:51.720 a uranium garage out there, are any Dave. I am a big I'm 1016 01:09:51.760 --> 01:09:56.279 a big uranium component because of nuclear I'm a big believer in nuclear. I 1017 01:09:56.319 --> 01:10:00.000 think that's one of the one energy source that as a world we're falling behind. 1018 01:10:00.239 --> 01:10:02.439 A couple of countries are doing really well, but certainly America's falling behind. 1019 01:10:02.920 --> 01:10:05.520 Uranium. The ETF you can follow it. It's you are A. 1020 01:10:06.439 --> 01:10:11.840 You are A is up fifty percent year to date. It's it's done really 1021 01:10:11.880 --> 01:10:15.119 well. And the lot, the vast majority is because a lot of funds 1022 01:10:15.119 --> 01:10:19.199 are starting to invest in it. US, Russia, China and a global 1023 01:10:19.239 --> 01:10:23.520 push. They're trying to ditch fossil fuels. Well, they have to replace 1024 01:10:23.640 --> 01:10:27.880 that energy source with something else. We know as much as you know, 1025 01:10:27.920 --> 01:10:30.880 we'll talk about solo the next segment. We'll talk about you know, we 1026 01:10:30.960 --> 01:10:35.279 had you know, renewable energy and wind turbines and hydro power. Yes they're 1027 01:10:35.279 --> 01:10:42.079 all right, but they're not scalable at this point to in to replace the 1028 01:10:42.119 --> 01:10:45.520 fossil fuel part of the energy grid. The only thing that you can really 1029 01:10:45.560 --> 01:10:49.239 see as a potential solution in terms of scalability would be using you know, 1030 01:10:49.439 --> 01:10:58.239 small nuclear reactors or bigger ones for bigger towns as the you know, the 1031 01:10:58.279 --> 01:11:02.720 reason uraniums keep increasing is because there's just a reduction in supply and these supply 1032 01:11:02.760 --> 01:11:10.039 stortages arising from growing geopolitical tensions and these breakups of these supply chains. So 1033 01:11:10.159 --> 01:11:14.600 as that continues, the US is putting a lot of money into the uranium. 1034 01:11:14.760 --> 01:11:17.880 In July, the US Senate voted to create a nuclear fuel Security program 1035 01:11:17.920 --> 01:11:24.520 to bolster domestic supplies of enriched uranium and wean off country off imports, which 1036 01:11:24.520 --> 01:11:28.199 is really important to me. Obviously, we all some people are scared of 1037 01:11:28.239 --> 01:11:33.520 the nuclear reactors in Fukushima in Japan in twenty eleven had an energy crisis that 1038 01:11:33.560 --> 01:11:39.600 came off the earthquake that happened there. But there has been many developments, 1039 01:11:39.840 --> 01:11:45.079 many technological advancements that have led to those type of things not being a worry 1040 01:11:45.079 --> 01:11:48.199 anymore in this day and age. Three Mile Island people always talk about that 1041 01:11:48.239 --> 01:11:50.680 type of worry. First of all, I worked. Second of all, 1042 01:11:50.840 --> 01:11:55.760 that type of worry isn't around. They don't work the same way anymore. 1043 01:11:55.840 --> 01:11:59.479 So as a country, our most important thing that we can do over the 1044 01:11:59.520 --> 01:12:03.199 next fifty years has become more nuclear and that will truly become as a country, 1045 01:12:03.199 --> 01:12:09.920 will become energy independent. Yeah, thanks for that many Dave got a 1046 01:12:09.920 --> 01:12:11.720 whole new garage. Oh, he's not gonna know what hit him when he 1047 01:12:11.760 --> 01:12:14.640 gets back. Well with that, we are coming up to a hard break, 1048 01:12:14.640 --> 01:12:16.119 So we'll come back for the last couple segments of The Money Matter Show, 1049 01:12:18.039 --> 01:12:21.840 the Welcome Back. You're listening to The Money Matter Show. I'm Dylan 1050 01:12:21.840 --> 01:12:26.039 Greenberg. Here, Dan Greenberg, Sebastian Boards see any talk lick and we've 1051 01:12:26.039 --> 01:12:30.000 got a guest on he's been on before. He's solo pros Zachary Nevillie. 1052 01:12:30.000 --> 01:12:32.760 I just wanted to know which one of you guys waiting for Santa Claus tonight 1053 01:12:32.760 --> 01:12:36.600 you still believe in Santa Claus. Yes, yeah, I believe for real? 1054 01:12:38.800 --> 01:12:41.960 What about you is that? Certainly? Well? I will definitely play 1055 01:12:41.960 --> 01:12:45.359 the role of Santa Claus. I do plan on putting a red light on 1056 01:12:45.439 --> 01:12:48.000 a fishing hook and rilling it in and having someone jump and act like their 1057 01:12:48.039 --> 01:12:51.720 Santa Claus on Christmas off the roof. Yeah, and then you know you're 1058 01:12:51.720 --> 01:12:54.960 gonna get stuck in the chimney. No, no, nope, just drop 1059 01:12:55.000 --> 01:12:58.000 those presents off at the front door and then hopefully my kids will you know, 1060 01:12:58.119 --> 01:13:00.159 still love the idea of Santa Claus. They still believe in it. 1061 01:13:00.159 --> 01:13:02.479 Don't they. Oh yeah, we do the l on the shelf right now. 1062 01:13:02.520 --> 01:13:06.239 And let me tell you're waking up every morning play something and now you 1063 01:13:06.279 --> 01:13:10.000 gotta hide it into the Christmas trees. Cool. It's cool. I mean, 1064 01:13:10.039 --> 01:13:12.640 obviously we never did the Santa Claus things so much, but uh, 1065 01:13:13.920 --> 01:13:17.359 the whole idea of kids waking up and thinking that's sand presence, Yeah, 1066 01:13:17.399 --> 01:13:20.640 it was cool. I remember one time I was I stayed out real late 1067 01:13:20.800 --> 01:13:26.680 Christmas even and hid behind the couch where the where the Christmas tree was in 1068 01:13:26.680 --> 01:13:29.920 the living room and waited, I'm just gonna wait here. You know, 1069 01:13:30.039 --> 01:13:32.600 I'm gonna. I can see you doing gonna. I'm gonna figure this out 1070 01:13:32.680 --> 01:13:38.159 right now. I fell asleep. What was the best gift you ever got? 1071 01:13:38.920 --> 01:13:41.119 Uh? I mean, honestly, I think the best gift was, 1072 01:13:41.399 --> 01:13:44.560 Uh, our tired family went to a Chargers game. It was a Sunday 1073 01:13:44.640 --> 01:13:46.479 night game and it was it was just a good family fun. No, 1074 01:13:46.600 --> 01:13:50.119 we beat the Broncos. They missed an extra point back when it was a 1075 01:13:50.159 --> 01:13:53.680 two yard extra point. It was the craziest thing. It never happened in 1076 01:13:53.720 --> 01:13:58.920 the NFL. But I was like, eleven ten, you're Philip Rivers you 1077 01:13:58.960 --> 01:14:02.239 ever got, Dylan, Uh, well, I got a few. I 1078 01:14:02.239 --> 01:14:06.039 remember you got us a go kart. Oh yeah, I like that one. 1079 01:14:06.520 --> 01:14:09.520 Yeah, we drive out around the house. That was a lot of 1080 01:14:09.520 --> 01:14:12.039 fun. Yeah, as a dad usually try to buy the things that you 1081 01:14:12.079 --> 01:14:17.119 want to you couldn't even fit and you, Zach, probably a bicycle. 1082 01:14:17.159 --> 01:14:21.359 I think I got like a mongoose bicycle one time, and you know, 1083 01:14:21.600 --> 01:14:25.520 I was like, all right, take the training wheels off. Figured this 1084 01:14:25.560 --> 01:14:30.039 bad boy out. I know. I remember I got like nothing really for 1085 01:14:30.119 --> 01:14:31.800 Hanukah and all this stuff, and my parents said, hey, going into 1086 01:14:31.840 --> 01:14:34.800 garaging and get so and Solid said right, and I go out there and 1087 01:14:34.840 --> 01:14:39.359 then my tense speed bike was there, right, you know when they were 1088 01:14:39.359 --> 01:14:44.520 first coming out having a ten speed bike with those ram horned handlebars and that 1089 01:14:44.600 --> 01:14:48.279 little seat that made your butt so bad. But man, that was cool. 1090 01:14:48.319 --> 01:14:51.119 We went fast. Oh I bet yeah, that was cool. I 1091 01:14:51.199 --> 01:14:55.560 remember getting that tense speed bike. So there we are, all right, 1092 01:14:55.640 --> 01:15:00.359 Zach. So listen, I brought Zack gone because we want to talk about 1093 01:15:00.359 --> 01:15:05.439 something special. It's Christmas time and something we are doing that is going to 1094 01:15:05.520 --> 01:15:10.039 be great for the kids, most of you know. Zach nevilllef he's the 1095 01:15:10.079 --> 01:15:14.279 head coach of Tucson High. You know, I talk about coaching at Tucson 1096 01:15:14.399 --> 01:15:18.000 High Football and Dylan also coaches there. And one of the things we brought 1097 01:15:18.039 --> 01:15:20.960 to the table and we just got the okay this week to do it from 1098 01:15:21.039 --> 01:15:27.479 the from the administration is to bring out a football team to Ireland in twenty 1099 01:15:27.560 --> 01:15:33.399 twenty five to be part of that college game Day Sarah scenario and us actually 1100 01:15:33.399 --> 01:15:36.600 play another high school team that comes over to Yeah, you know what, 1101 01:15:36.720 --> 01:15:41.079 you know, I couldn't be more thankful for your partnership in this Dean with 1102 01:15:41.159 --> 01:15:45.319 Greenberg Financial. You know, you guys were able to raise over five thousand 1103 01:15:45.319 --> 01:15:47.720 dollars in the last three days for this trip, and you know, and 1104 01:15:47.800 --> 01:15:50.920 you matching that as well is going to be great for our team, you 1105 01:15:50.960 --> 01:15:56.000 know, and I cannot wait to fundraise further to make sure you know that 1106 01:15:56.079 --> 01:15:59.359 we're able to get everything we can to take these kids on a truly one 1107 01:15:59.359 --> 01:16:01.479 in a lifetime experience to go to Dublin Island. Well, you know me, 1108 01:16:01.520 --> 01:16:03.479 for a long time, I've been trying to do this for a while. 1109 01:16:04.039 --> 01:16:06.840 What as cool is is We're gonna leave on a Saturday and come back 1110 01:16:06.880 --> 01:16:11.159 to fall on Sunday, but we'll practice every day we're there. But it's 1111 01:16:11.159 --> 01:16:14.279 all about education too, And a lot there came to me is when people 1112 01:16:14.319 --> 01:16:18.720 didn't know where that Mexico was is south of Tucson, and they're telling me 1113 01:16:18.760 --> 01:16:23.000 they don't know geography. This is going to be the coolest thing for them 1114 01:16:23.119 --> 01:16:26.479 flying over there and just looking at the map when they're going from here to 1115 01:16:26.520 --> 01:16:30.520 the to the east coast and seeing where actually states are and then going across 1116 01:16:30.760 --> 01:16:32.000 and being able to do it because I know a lot of our kids and 1117 01:16:32.039 --> 01:16:36.000 our team will never have an opportunity to even leave too far from Arizona. 1118 01:16:36.199 --> 01:16:39.560 Yeah, I know, it's truly special. I mean, you know a 1119 01:16:39.560 --> 01:16:43.039 lot of these kids, you know, the sad reality is never even really 1120 01:16:43.119 --> 01:16:45.560 leave their zip code, let alone the area code. So you know, 1121 01:16:45.680 --> 01:16:49.520 being able to take them overseas, you know, having them, you know, 1122 01:16:49.720 --> 01:16:55.000 learn the process of getting a passport and you know, learning how to 1123 01:16:55.039 --> 01:16:58.800 travel, getting on an airplane for the first time, and then again going 1124 01:16:58.840 --> 01:17:02.439 overseas, learning a whole new culture, learning a whole new you know environment, 1125 01:17:02.520 --> 01:17:05.039 which is gonna, you know, really going to be a beacon for 1126 01:17:05.079 --> 01:17:09.800 their life to hopefully you know, push the needle and envelope so much further 1127 01:17:09.880 --> 01:17:12.399 for them to get out there and travel. You know what if we you 1128 01:17:12.399 --> 01:17:15.000 know, we have the next top travel agent guy, or we turn a 1129 01:17:15.000 --> 01:17:19.199 guy into like a Bear Grills scenario where these dudes just love traveling and learning 1130 01:17:19.199 --> 01:17:23.720 everything about that culture. Well, you know that I was part of the 1131 01:17:23.960 --> 01:17:28.039 Global Football when we would take kids to Italy and Spain and all the play 1132 01:17:28.119 --> 01:17:30.960 as a part of a US team. And every kid that I brought there 1133 01:17:31.800 --> 01:17:35.119 that was part of the team had an unbelievable time. And if you think 1134 01:17:35.159 --> 01:17:38.800 about it, Dylan, because you went on that trip too, all those 1135 01:17:38.880 --> 01:17:43.119 kids turned out to do something pretty special, you know. I mean even 1136 01:17:43.239 --> 01:17:45.760 you know Keith kse Palkman and all those guys that went, I mean they 1137 01:17:46.159 --> 01:17:49.399 came back, they went to college. They they John Dahmi, they the 1138 01:17:49.720 --> 01:17:53.479 police office. What it does is open your mind to things that I probably 1139 01:17:53.520 --> 01:17:55.880 never thought about before. And it is this idea of being in a different 1140 01:17:55.880 --> 01:17:59.439 culture, and then that makes you intrigues you to look at other places. 1141 01:17:59.640 --> 01:18:00.520 All right, We're going Ireland and then they're like, wait, what about 1142 01:18:00.520 --> 01:18:02.920 England? What about Italy? What about all this different stuff? What about 1143 01:18:02.920 --> 01:18:05.680 South America. It makes it curious about what else goes on in the world, 1144 01:18:05.760 --> 01:18:09.479 rather than just being in your own bubble of Arizona, which a lot 1145 01:18:09.520 --> 01:18:12.399 of time can happen when you're caught up in your daily life. It's what 1146 01:18:12.439 --> 01:18:15.119 you know, it's what you've always known, and it just broadens your horizons 1147 01:18:15.159 --> 01:18:16.880 in a way that never I mean I wouldn't. I think it was ten 1148 01:18:16.920 --> 01:18:20.079 years ago now, so I still remember it all. Me and my friends 1149 01:18:20.079 --> 01:18:24.000 I went. We still talk about it all the time. That is one 1150 01:18:24.000 --> 01:18:27.199 of the best tricks we've still done, almost ten eleven years later. It 1151 01:18:27.239 --> 01:18:30.840 was great. Yeah, I definitely remember when you guys left because for the 1152 01:18:30.840 --> 01:18:32.720 first time I was so bummed out because I was just one year too old. 1153 01:18:32.760 --> 01:18:35.960 And you know, had you done it the year prior, Phil guy 1154 01:18:35.960 --> 01:18:39.960 would have been knocking some helmets off in Italy or wherever you guys went. 1155 01:18:40.039 --> 01:18:43.239 But you know, well, it was an educational pot more than a football, 1156 01:18:43.680 --> 01:18:45.479 and I wan the football. Yeah, the football is a football. 1157 01:18:45.479 --> 01:18:48.960 We killed Italy. But I will give Jeff scow and the little kudos on 1158 01:18:49.079 --> 01:18:53.880 there. Okay, He's able to take people from all around the country and 1159 01:18:53.920 --> 01:18:58.359 in three days put an offense in that actually works. Yeah, I'll give 1160 01:18:58.439 --> 01:19:00.960 him credit for that one. I know all the other stuff, but I'm 1161 01:19:00.960 --> 01:19:04.159 gonna I will always give credit where credits to And he was he was the 1162 01:19:04.199 --> 01:19:09.760 master at being able to bring kids together and actually operate to where you thought, 1163 01:19:09.800 --> 01:19:12.399 Wow, these guys been practicing for weeks. Yeah, you see. 1164 01:19:12.439 --> 01:19:15.720 He actually retired this year. Yeah that's good. I end up that whistle 1165 01:19:15.760 --> 01:19:17.520 at Rio Rico. So yeah, yep, but yeah, I mean, 1166 01:19:17.560 --> 01:19:20.640 it's it's a great opportunity. It's gonna be a lot of fun for the 1167 01:19:20.720 --> 01:19:24.199 kids, it's gonna be something they'll remember for the rest of their lives. 1168 01:19:24.720 --> 01:19:27.479 It's a great opportunity for them to just see the different parts of the world. 1169 01:19:27.800 --> 01:19:30.760 So obviously it's a great opportunity. How can people who are listening support 1170 01:19:30.880 --> 01:19:36.319 this beautiful vision? So through our nonprofit, our booster club or the tax 1171 01:19:36.359 --> 01:19:40.319 credit. So t USD has a tax credit. You just you're gonna go 1172 01:19:40.359 --> 01:19:43.600 on to the TUSD website. You're gonna go down, go down to you 1173 01:19:43.640 --> 01:19:46.399 get to Tucson High Magnet School, and then from there you're gonna be able 1174 01:19:46.439 --> 01:19:49.319 to donate to the football team directly. Now, when you do that, 1175 01:19:49.439 --> 01:19:53.159 there's gonna be a little memo you're gonna be able to put in, you 1176 01:19:53.199 --> 01:19:56.960 know, say Ireland trip, and then you donate your four hundred dollars and 1177 01:19:57.000 --> 01:20:00.199 again you'll get something back in the mail for all the tax credit per this 1178 01:20:00.359 --> 01:20:01.840 is and you'll be able to get that money back. I mean, if 1179 01:20:01.880 --> 01:20:05.359 you're interested, you can call our office five to zero five for four four 1180 01:20:05.439 --> 01:20:08.640 nine zero nine. I got an email I can send you and has a 1181 01:20:08.640 --> 01:20:11.800 step by step. It has pictures with it makes it very simple to go 1182 01:20:11.840 --> 01:20:14.479 through and get it. So if you're interested, just give us a call. 1183 01:20:14.520 --> 01:20:16.399 We really appreciate any of the help we can get. Yeah, it's 1184 01:20:16.439 --> 01:20:19.359 a very simple process. For single filers, you can get back to two 1185 01:20:19.439 --> 01:20:23.319 hundred. Married it's four hundred, and like Don said, just give us 1186 01:20:23.319 --> 01:20:25.880 a call. We have all the step by step information. But a tax 1187 01:20:25.960 --> 01:20:29.279 credit is different than a tax right off. Correct. The tax credit is 1188 01:20:29.319 --> 01:20:32.239 if you paid one thousand dollars in taxes, okay, you'll get back four 1189 01:20:32.319 --> 01:20:38.039 hundred because you'd only owe six hundred. If you owe six hundred dollars and 1190 01:20:38.079 --> 01:20:41.560 you do the tax credit, you'll only owe two hundred. It's an absolute 1191 01:20:41.640 --> 01:20:45.079 credit against what you owe or paid. It's not a tax right off. 1192 01:20:45.239 --> 01:20:49.479 Huge difference and we can definitely use the help. You know, it's about 1193 01:20:49.479 --> 01:20:51.159 a year and a half. We get to raise money. We're going to 1194 01:20:51.199 --> 01:20:54.880 do a lot of different things. But if you really want to help a 1195 01:20:54.960 --> 01:20:58.439 kid at Tucson High. And I know what you think about Tucson High, 1196 01:20:59.039 --> 01:21:00.279 it's not what you think it is. Is they got a magnet school there 1197 01:21:00.319 --> 01:21:03.800 that's off the charts great. And the teachers in the magnet school are great. 1198 01:21:03.800 --> 01:21:08.960 The science, the technology of the math, it's great. I'm not 1199 01:21:09.000 --> 01:21:12.600 going to say that there's not other things that go on sometimes, but not 1200 01:21:12.800 --> 01:21:15.359 what the roomors are that are there. I would not be there, Dylan 1201 01:21:15.399 --> 01:21:18.079 would not be there. These kids are, yes, sir, no kids. 1202 01:21:18.479 --> 01:21:25.560 They just are so thirsty for people to teach them and to motivate them 1203 01:21:25.800 --> 01:21:30.439 and to teach them that remember I use football as a learning education tool. 1204 01:21:30.800 --> 01:21:36.319 And to complete this and bring these kids for ten days to a country outside 1205 01:21:36.319 --> 01:21:40.680 here, get to play a football game, get to see castles, get 1206 01:21:40.680 --> 01:21:43.439 to eat the food, get to talk to the people, to learn how 1207 01:21:43.439 --> 01:21:45.239 to get on the plane. Even like you said, I get the passport. 1208 01:21:45.760 --> 01:21:48.239 You know you think that's so simple. People don't know how to do 1209 01:21:48.279 --> 01:21:50.600 those things. We're gonna teach them a lot. And by the way, 1210 01:21:50.640 --> 01:21:54.520 when they're over there, they still have study class that they have to get 1211 01:21:54.560 --> 01:21:58.800 things. That's a beauty today of having everything on computers. They're not going 1212 01:21:58.880 --> 01:22:00.239 to miss their work just because us. They're gonna go have some fun, 1213 01:22:00.680 --> 01:22:04.840 but the educational side of everything that they're gonna learn there hopefully gives them the 1214 01:22:04.920 --> 01:22:11.800 desire to want to explore more than just what's here in Tucson. I agree, 1215 01:22:11.880 --> 01:22:14.760 all right, so's a lot of fun and we're helping. If you 1216 01:22:14.800 --> 01:22:16.319 want to help, there's ways to help. Just let us know. But 1217 01:22:16.359 --> 01:22:19.560 more than anything, I wanted to get the word out there because I want 1218 01:22:19.560 --> 01:22:24.359 to give kudos to Tucson to USC District, Tucson High. I know they 1219 01:22:24.359 --> 01:22:26.600 get a lot of a lot of grief on a lot of things, but 1220 01:22:26.640 --> 01:22:30.000 when they're open to things like this, they need to get They got to 1221 01:22:30.000 --> 01:22:35.000 get recognized. And the principal and the ad and all are doing a great 1222 01:22:35.079 --> 01:22:38.880 job in supporting us. Seem like they were excited about it. They got 1223 01:22:38.920 --> 01:22:42.279 everything pass and done pretty quickly for us to start fundraising because they know it's 1224 01:22:42.319 --> 01:22:45.000 eighteen months out. It's gonna take a lot of money to get going, 1225 01:22:45.079 --> 01:22:46.960 so it's gonna take time to get it. It was good. We didn't 1226 01:22:46.960 --> 01:22:49.840 think we're gonna take up the whole segment about talking about you know, it's 1227 01:22:49.840 --> 01:22:53.640 fun to talk about Tucson High. It's the name of the city. You 1228 01:22:53.760 --> 01:22:56.279 know, it's a good school, it's a great kids there. We've got 1229 01:22:56.279 --> 01:22:58.520 a little bit of a bad rap, but we're gonna come back. We'll 1230 01:22:58.560 --> 01:23:00.640 talk to Zach too more about it. But we do have a little time. 1231 01:23:00.680 --> 01:23:03.119 If you want what's on the what's the horizon for the twenty twenty four 1232 01:23:03.159 --> 01:23:09.079 years soil expert? Okay on oh, as your solar energy expert. You 1233 01:23:09.119 --> 01:23:12.800 know, truly, what I believe is that it's always better to pay less 1234 01:23:12.800 --> 01:23:15.680 on a bill that you're gonna have forever, right and solar you can do 1235 01:23:15.720 --> 01:23:18.880 that, you know, I believe by redirecting your cost into an asset, 1236 01:23:19.119 --> 01:23:25.319 it puts our families into a much better space. And then and then also 1237 01:23:25.800 --> 01:23:28.039 what I believe is wait, quick, my check, one check. You 1238 01:23:28.039 --> 01:23:32.079 know they're getting on. I hear I get passionate. I get passionate. 1239 01:23:32.159 --> 01:23:34.760 You know, I drift a little bit. I start talking with my hands. 1240 01:23:34.800 --> 01:23:38.159 Now I don't know what you're doing in my hands. So yeah, 1241 01:23:38.199 --> 01:23:40.560 and then but you know, at the end of the day, what I 1242 01:23:40.600 --> 01:23:45.039 believe is in paying less for clean energy than paying more for the dirty energy 1243 01:23:45.039 --> 01:23:47.039 that you currently have. So you know, making the switch to solar is 1244 01:23:47.079 --> 01:23:51.479 super simple and it's honestly the ultimate power move. So why wouldn't you What 1245 01:23:51.520 --> 01:23:55.920 are the credits looking like going in twenty four? Are they changing? Are 1246 01:23:55.920 --> 01:23:59.439 they no? Still with the Inflation Reduction Act, with the Biden Harris and 1247 01:23:59.479 --> 01:24:01.119 all of that, you're still going to be able to get thirty percent tax 1248 01:24:01.119 --> 01:24:04.560 credit. So if you're purchasing solar outright with either you know, financing it 1249 01:24:05.000 --> 01:24:09.199 or putting cash down, you're going to get that thirty percent tax credit. 1250 01:24:09.680 --> 01:24:12.439 Since the last time we talked, Doug in a little bit more into that 1251 01:24:12.439 --> 01:24:16.600 Inflation Reduction Act, and they also have other ways you can get more of 1252 01:24:16.640 --> 01:24:19.760 a tax credit. Right, So if you're getting American made panels, and 1253 01:24:20.159 --> 01:24:24.600 you know at least manufactured in America, you're going to get an additional ten 1254 01:24:24.600 --> 01:24:27.520 percent. You're just gonna have to write into the IRS. And I could 1255 01:24:27.560 --> 01:24:30.640 walk you through that process, give you and your CPA, all of the 1256 01:24:30.680 --> 01:24:34.640 proper forms that you'll need to be able to start that and get that money 1257 01:24:34.680 --> 01:24:39.520 back. You know, it's cool about all your coaches. We all have 1258 01:24:39.680 --> 01:24:44.119 koreas. That's what makes his coaching staff and what we're doing for these kids 1259 01:24:44.399 --> 01:24:46.199 so cool. We'll be right back. It's the Money Matter Show. Thanks 1260 01:24:46.239 --> 01:24:51.720 for listening. Welcome back to the Money Matter Show. My name is Toaglik. 1261 01:24:51.760 --> 01:24:56.199 I'm here with Dylan Greenberg, Sebastian Borssini, and Zach never left. 1262 01:24:56.239 --> 01:25:00.800 We got a solar expert here with Zach, and we want I wanted to 1263 01:25:00.880 --> 01:25:05.960 continue the conversation about more of a real life scenario about someone who has a 1264 01:25:06.000 --> 01:25:10.560 house. Let's go through the scenarios just basically, so right now, how 1265 01:25:10.640 --> 01:25:14.640 much are they currently paying? So currently Sebastian is paying two hundred and fifty 1266 01:25:14.640 --> 01:25:17.319 four dollars average. So if you take out you know, his high high 1267 01:25:17.399 --> 01:25:20.840 usage months and then his lower usage months, you know, you get that 1268 01:25:20.880 --> 01:25:26.079 average that's two hundred and fifty four dollars on average, you know, month 1269 01:25:26.119 --> 01:25:29.279 after month. So if we just start there, we know that that's might 1270 01:25:29.319 --> 01:25:32.199 not be his true energy costs because his home might not be energy efficient just 1271 01:25:32.279 --> 01:25:36.199 yet so how big is the energy efficiency when it comes to the home and 1272 01:25:36.199 --> 01:25:40.600 how that plays into the Solartion office this by saying that it's been a while 1273 01:25:40.640 --> 01:25:44.039 since I've had a two hundred and fifty dollars electricity bill. It's been a 1274 01:25:44.039 --> 01:25:46.479 little higher than that lately. Yeah yeah, yeah, So you know, 1275 01:25:46.640 --> 01:25:50.439 and the reason why you're seeing that rate increase is because based off October, 1276 01:25:50.760 --> 01:25:54.560 they increased the rate by twelve percent, like I was telling you the last 1277 01:25:54.560 --> 01:25:58.640 time I was on the show. So now, usually historically this is when 1278 01:25:58.640 --> 01:26:01.680 you have those lower months, you know, those lower build months. That's 1279 01:26:01.720 --> 01:26:04.479 not the case, no more, right, that's all percent is gonna hit 1280 01:26:04.520 --> 01:26:08.439 you a lot more than what you really thought. And next year summer months 1281 01:26:08.439 --> 01:26:11.439 are gonna be higher than you exactly, those three fifty dollars bills are gonna 1282 01:26:11.439 --> 01:26:13.920 be over, you know, four hundred dollars, Like you know, it's 1283 01:26:13.920 --> 01:26:15.880 gonna start hitting the pocket and you're gonna be kicking yourself, like, damn, 1284 01:26:15.880 --> 01:26:19.079 why didn't I get solder now opposed to waiting to when those big, 1285 01:26:19.159 --> 01:26:23.960 huge bills come. And you know, back to your question about home efficiency. 1286 01:26:24.199 --> 01:26:27.199 You know, as a solar energy expert, I always tell people before 1287 01:26:27.199 --> 01:26:32.199 they get solder. It's better to reduce your consumption before you start producing electricity. 1288 01:26:32.439 --> 01:26:35.600 And how you can do that is something that our company offers, and 1289 01:26:35.640 --> 01:26:42.479 it's called aero seal. Aeroseal is you know, top of the line equipment. 1290 01:26:42.520 --> 01:26:45.760 So what aerosal basically is it clogs up your duct work. So we 1291 01:26:46.039 --> 01:26:49.960 set up basically like a balloon into your furnace, right, and we're gonna 1292 01:26:49.960 --> 01:26:54.680 blow air and we're gonna lock all of the exit points and then from there 1293 01:26:54.720 --> 01:26:58.319 we're gonna see how many actual holes and inefficiencies you have in your duct work. 1294 01:26:58.640 --> 01:27:00.000 From there, we're gonna steal it all up up and then we could 1295 01:27:00.079 --> 01:27:08.159 Usually it's gonna decrease your consumption by about fifteen percent, which is huge when 1296 01:27:08.199 --> 01:27:12.279 you're talking about you know, energy savings. Why especially for your AC which 1297 01:27:12.279 --> 01:27:17.640 we're gonna use the most of come summertime. Fifteen percent that's without even installing 1298 01:27:17.680 --> 01:27:20.319 solar. Oh, that's without installing solar. That's the first thing you have 1299 01:27:20.399 --> 01:27:25.159 to do. I look into doing is making sure you're making your home a 1300 01:27:25.159 --> 01:27:28.680 lot more energy, which would make that average two fifty bill more look like 1301 01:27:28.800 --> 01:27:31.359 two hundred twenty something around that. Yes, yeah, right, it'll bring 1302 01:27:31.359 --> 01:27:33.960 it down. So that's the first step of the equation. The second step 1303 01:27:34.000 --> 01:27:38.880 of the equation is how much do I need? So how much do you 1304 01:27:38.920 --> 01:27:43.920 need? So right now, depending on what utility company have. Sebastian obviously 1305 01:27:43.960 --> 01:27:46.119 has TEP, so we're gonna talk about two Shonny electric power. So with 1306 01:27:46.159 --> 01:27:50.359 two Soigny electric power, they let you build bigger, right because right now 1307 01:27:50.399 --> 01:27:55.239 there's no saturation zones. They're coming. But TEP still needs people to go 1308 01:27:55.279 --> 01:28:00.239 get solar, right in order to protect from you know, uh, the 1309 01:28:00.279 --> 01:28:02.199 horrible things that are gonna be coming with our power grid right right, So 1310 01:28:02.239 --> 01:28:06.800 they still need more people to be producing electricity. So now with TEP, 1311 01:28:08.399 --> 01:28:11.800 how much he's gonna need. I tend to build my clients, you know, 1312 01:28:12.239 --> 01:28:15.960 thirty to forty percent more than what they need, right And in that 1313 01:28:16.079 --> 01:28:19.920 cost saving scenario, when you really look at solar, it is all about 1314 01:28:19.960 --> 01:28:24.079 the math. So if I build you big enough, you're not gonna have 1315 01:28:24.479 --> 01:28:28.279 too many high bills anymore. Right, You're gonna TP is gonna be paying 1316 01:28:28.279 --> 01:28:30.520 you to go solar, right, so you're gonna be getting credits. I 1317 01:28:30.560 --> 01:28:34.119 can show you on my laptop how my last bill I only had to pay 1318 01:28:34.159 --> 01:28:39.439 ten dollars. Now, had I not had my condo on my account and 1319 01:28:39.479 --> 01:28:44.680 I was only paying for electricity for one property, I would have gotten money 1320 01:28:44.760 --> 01:28:47.479 back. But since I had my other property on air because I haven't rented 1321 01:28:47.520 --> 01:28:53.039 it out yet, I had a ten dollars bill. Right. So building 1322 01:28:53.079 --> 01:28:58.039 a system correctly, you won't see high electricity. So why would I need. 1323 01:28:58.119 --> 01:29:00.840 It's thirty percent bigger system than actually need. Okay, because that's access 1324 01:29:00.840 --> 01:29:04.079 to generation. So way back when when solar was first getting adopted here in 1325 01:29:04.119 --> 01:29:06.920 Tucson, Arizona, there's a thing called net metering that's not here no more. 1326 01:29:08.199 --> 01:29:11.760 So now it's net billing. So instead of dollar for dollar costs, 1327 01:29:11.880 --> 01:29:15.039 it's basically, you know, for every dollar of energy you produce, they're 1328 01:29:15.079 --> 01:29:18.239 buying it back to you for like sixty cents. So now, if you 1329 01:29:18.319 --> 01:29:21.600 build big enough, you're obviously going to be sending so much to the grid 1330 01:29:21.800 --> 01:29:25.720 that they're paying you. Now, when you have those little pools at night, 1331 01:29:26.840 --> 01:29:29.680 you're obviously getting built for it. But you have so much credit rolling 1332 01:29:29.720 --> 01:29:32.000 into that day, rolling into the month, that you're not having to dish 1333 01:29:32.039 --> 01:29:35.640 out a lot to TEP. Also, a lot of people will eventually get 1334 01:29:35.680 --> 01:29:40.000 some type of EV car, and so you need to have extra production if 1335 01:29:40.000 --> 01:29:43.159 you don't currently have an EV car, because that's a lot of more extra 1336 01:29:43.319 --> 01:29:48.119 energy consumption. So you're building out future future products in the home by doing 1337 01:29:48.159 --> 01:29:53.920 that as well. Now, so now we know how much production or we 1338 01:29:54.000 --> 01:29:57.239 need right now we have to decide do we want to own this or do 1339 01:29:57.279 --> 01:30:00.640 we want to lease this? Yes, and it really depends you know, 1340 01:30:00.720 --> 01:30:04.359 everyone's specific scenario, right And for Sebastian, honestly, what I would say 1341 01:30:04.479 --> 01:30:08.279 is running the numbers on yours. I know you don't have the cash to 1342 01:30:08.319 --> 01:30:11.840 throw down on a system either, or makes a lot of sense. Right. 1343 01:30:12.800 --> 01:30:15.680 However, with compound interest and everything like that, over thirty years, 1344 01:30:15.880 --> 01:30:19.000 at what I have built for you, you're gonna be looking to pay you 1345 01:30:19.079 --> 01:30:24.279 know, over one hundred thousand dollars right interest, Yeah, yeah, and 1346 01:30:24.319 --> 01:30:28.439 it's still gonna be less than what you're currently paying to TEP. Over that 1347 01:30:28.479 --> 01:30:31.399 same time, you're looking to save fifty one thousand dollars. Even at that 1348 01:30:31.439 --> 01:30:36.079 one hundred thousand dollars number. Obviously that's not the price. But when you 1349 01:30:36.159 --> 01:30:40.159 compound the interest and add it all together, that's gonna be your final out 1350 01:30:40.159 --> 01:30:43.319 the door price at you know, thirty years. Now, if you look 1351 01:30:43.319 --> 01:30:45.840 to Lisa System, you're only looking at sixty five thousand, and your payment 1352 01:30:45.920 --> 01:30:48.960 on that scenario is gonna be two hundred and eighteen dollars and that's where it's 1353 01:30:48.960 --> 01:30:53.239 gonna stay fixed over the next twenty five years. With that, you're gonna 1354 01:30:53.239 --> 01:30:58.159 get all of the warranties, twenty five year warranties altogether, roof warranties, 1355 01:30:58.520 --> 01:31:00.880 you know, the warranty on the system everything, and then a production guarantee. 1356 01:31:00.920 --> 01:31:03.920 If your solar system doesn't produce what we say is going to produce, 1357 01:31:04.079 --> 01:31:06.880 we're actually gonna come out of pocket and pay you for any loss of production 1358 01:31:06.960 --> 01:31:10.479 that you may have. Right, So, what you're saying is, I'll 1359 01:31:10.560 --> 01:31:13.560 never have to pay a TEP again at that point, right. I don't 1360 01:31:13.560 --> 01:31:15.159 want to lead you and say that, you know what I mean, Like, 1361 01:31:15.479 --> 01:31:17.880 you know, you go you do, go get that tesla, or 1362 01:31:17.920 --> 01:31:20.960 you get two teslas, or you know, you end up having kids, 1363 01:31:20.960 --> 01:31:26.760 and now your electricity usage far exceeds what your solar panels produce. You know 1364 01:31:26.800 --> 01:31:29.239 what I mean. If you don't get more solar panels, you know what 1365 01:31:29.279 --> 01:31:32.319 I mean? You're gonna get built for that excess energy that you're using opposed 1366 01:31:32.359 --> 01:31:35.920 to what your system was tailored for in your current scenario. Now, and 1367 01:31:35.960 --> 01:31:40.479 that's the important thing for people to know about leases is it's not like an 1368 01:31:40.520 --> 01:31:43.520 ev where if you lease the car, you don't get the credit. When 1369 01:31:43.520 --> 01:31:45.720 you lease solar as far as I'm hear, and you still get the credit. 1370 01:31:45.880 --> 01:31:48.159 Yes, you do get the credit as long as it's built correctly, 1371 01:31:48.479 --> 01:31:51.359 you know what I mean. And then also with leasing and financing, you 1372 01:31:51.359 --> 01:31:57.840 know, it makes it a lot easier when you lease something because one, 1373 01:31:58.279 --> 01:32:00.359 it's not gonna affect your debt to income right right, and that's huge. 1374 01:32:00.439 --> 01:32:03.199 Right. Say you just buy a brand new house and you want to finance 1375 01:32:03.199 --> 01:32:06.000 the system, Well, guess what, you can't finance the solar system. 1376 01:32:06.000 --> 01:32:09.720 And now you've kind of just priced yourself out of a system. Right, 1377 01:32:09.920 --> 01:32:13.239 So it's not going to affect your that's income ratio as well as it's not 1378 01:32:13.279 --> 01:32:15.319 going to go on your credit score. If you get a loan, you're 1379 01:32:15.319 --> 01:32:18.319 going to take those hits on both So it's really up to that individual how 1380 01:32:18.319 --> 01:32:21.319 they want to do it. But I mean both sides, everything's one hundred 1381 01:32:21.359 --> 01:32:28.000 percent transferable. If you have a paid off system, it typically increases the 1382 01:32:28.159 --> 01:32:30.279 equity in your house by about four percent. That's what we're seeing based off 1383 01:32:30.319 --> 01:32:33.279 of Zillo's reports and everything like that. So what happens when I want to 1384 01:32:33.279 --> 01:32:36.119 sell the house and I'm leasing it? So if you all they have to 1385 01:32:36.159 --> 01:32:39.520 do is be able to qualify for the payments, which they will. They 1386 01:32:39.560 --> 01:32:42.920 should be able to, you know what I mean, more likely than not. 1387 01:32:43.159 --> 01:32:45.520 What if they don't want it? If they don't want it, so 1388 01:32:45.680 --> 01:32:47.680 you can do a kind of thing. You can find a buyer who does, 1389 01:32:47.800 --> 01:32:50.600 or if you're going into a new home, just pack up the solar 1390 01:32:50.600 --> 01:32:54.840 system and put it on your new place, so you can do You can 1391 01:32:54.880 --> 01:32:59.880 do many different things. But usually typically if I'm a realtor selling your house 1392 01:33:00.039 --> 01:33:02.279 and I'm and say I sell this house five ten years from now, I'm 1393 01:33:02.279 --> 01:33:06.439 telling them, hey, look you're getting twenty twenty three's rate of electricity right 1394 01:33:06.479 --> 01:33:10.560 now because you get grandfathered into that as well. I'm sure we can all 1395 01:33:10.600 --> 01:33:13.319 agree. You know, the price of gas isn't going to stay where it's 1396 01:33:13.319 --> 01:33:16.359 at right now, the price of groceries and the price of electricity, damn 1397 01:33:16.359 --> 01:33:19.399 sure, isn't going to stay what it is today. Right with inflation, 1398 01:33:19.479 --> 01:33:23.439 it's only going to keep rising. Now, when you get solar, you 1399 01:33:23.479 --> 01:33:29.119 lock yourself into today's rate. So now are you selling transferring over a solar 1400 01:33:29.159 --> 01:33:32.720 system. You're transferring over a solar system with today's buyback and today's rate of 1401 01:33:32.760 --> 01:33:41.359 electricity. Yeah. I mean, the one thing to consider about solar when 1402 01:33:41.399 --> 01:33:45.199 you try to sell is you have to have that person qualify on the other 1403 01:33:45.239 --> 01:33:49.199 side. And so that does impede some people who just want a quick sell 1404 01:33:49.560 --> 01:33:54.359 or a quick flip of a property. So you do price a little bit 1405 01:33:54.399 --> 01:33:57.119 of buyers out of the market with solar. And that's what I've seen by 1406 01:33:57.119 --> 01:34:00.680 selling my own house up in Phoenix who has solar. It's still a good 1407 01:34:00.720 --> 01:34:06.640 product when done correctly. It just seems sometimes it's if you're in that house 1408 01:34:06.760 --> 01:34:11.119 for a long period of time, you can make a good bet. If 1409 01:34:11.159 --> 01:34:15.880 it's an investment property, it depends I think, on the on the payback 1410 01:34:15.039 --> 01:34:19.319 time. So what I say about investment property is it just all goes back 1411 01:34:19.319 --> 01:34:24.439 to that rent versus own. Right, you're gonna go rent out this property, 1412 01:34:24.520 --> 01:34:28.760 correct. If you're running out your property, you know you're wreaking all 1413 01:34:28.800 --> 01:34:34.720 those benefits as as the one who's running it out right, So now you're 1414 01:34:34.760 --> 01:34:40.520 you're never going to your your mortgage payment is typically less than what you're running 1415 01:34:40.560 --> 01:34:43.279 your property out for. Correct, That's how you're gonna be able to make 1416 01:34:43.279 --> 01:34:45.960 some money. Now you just do that with your energy as well. You 1417 01:34:46.039 --> 01:34:48.960 say, hey, Utilities Included, You're still gonna have to put this in 1418 01:34:48.960 --> 01:34:53.119 your name because at one point they have to see that their solar. You 1419 01:34:53.119 --> 01:34:56.279 don't want them to overuse what the solar is. So they still roll it 1420 01:34:56.319 --> 01:34:59.359 into their name and they're gonna be able to see how much you know, 1421 01:34:59.399 --> 01:35:02.439 they're getting credits where they don't have to pay TEP. But say, you 1422 01:35:02.479 --> 01:35:05.640 know, things happen with runners, you know what I mean. They move 1423 01:35:05.680 --> 01:35:09.960 people in when they shouldn't, They do things that they probably shouldn't do. 1424 01:35:10.199 --> 01:35:12.720 So now they see, okay, well now I'm gonna have to pay for 1425 01:35:12.760 --> 01:35:15.560 this, you know, down the road if I rack up too huge of 1426 01:35:15.560 --> 01:35:17.000 a bill. But at the end of the day, you could still say 1427 01:35:17.079 --> 01:35:20.600 Utilities Included, and you know, charge them an extra three hundred dollars four 1428 01:35:20.680 --> 01:35:25.680 hundred dollars for the inconvenience of you just keeping it on your books, right, 1429 01:35:26.119 --> 01:35:30.079 So we went through kind of a real life scenario of what solar could 1430 01:35:30.079 --> 01:35:32.800 look when you're looking at a real house in the Tucson area. So if 1431 01:35:32.800 --> 01:35:36.960 you have any further questions you want a proposal like this done for your own 1432 01:35:38.039 --> 01:35:40.800 house, you can give us a call. We'll get you in touch with 1433 01:35:41.039 --> 01:35:45.000 Zach again. Our number is five two zero five four nine zero nine. 1434 01:35:45.920 --> 01:35:49.000 Obviously, Zach knows a lot about this industry, a lot about the moving 1435 01:35:49.239 --> 01:35:56.039 parts and the complexities of solar, so there's many questions. He is happy 1436 01:35:56.239 --> 01:35:59.720 to sit down with you free consultation and give you all the information you need 1437 01:35:59.760 --> 01:36:01.880 to make the best decision for yourself. Yeah, definitely, And I mean 1438 01:36:01.880 --> 01:36:04.520 my goal is, you know, for you to commit to one of the 1439 01:36:04.520 --> 01:36:10.640 three things right. One recommitting to the utility company and staying with that monopoly. 1440 01:36:10.920 --> 01:36:13.239 That's one option, because no matter what you're gonna have to pay for 1441 01:36:13.279 --> 01:36:15.600 electricity, you just should probably just do it in a cheaper way. Or 1442 01:36:15.640 --> 01:36:19.600 two you're going to redirect your liability into an asset and take control of your 1443 01:36:19.640 --> 01:36:24.800 future costs. Or three a situation where we try to get it approved and 1444 01:36:24.840 --> 01:36:27.399 you just don't, you know, you're not able to be approved for the 1445 01:36:27.399 --> 01:36:30.000 program. So that's great. Zach, thanks for coming on and give it 1446 01:36:30.039 --> 01:36:32.359 in touch with us if you want to talk to him. That's the end 1447 01:36:32.359 --> 01:36:36.880 of our show. So be happy, be healthy, and let's all be profitable.