Fed Decides on Rates Again Next Week…Ready?

WEBVTT100:00:00.520 --> 00:00:03.439Good morning, Tucson, and thisis Dean Greenberg. This is the Money200:00:03.480 --> 00:00:08.320Out of Show. We're right hereeight o'clock on seven ninety K and S.300:00:08.439 --> 00:00:11.679T. Glad you can join us. Glad you've been able to join400:00:11.759 --> 00:00:15.160us for a long time. Alot of our listeners been listening for years500:00:15.160 --> 00:00:18.320and years and years. Some havebeen listening since the nineties. We've been600:00:18.320 --> 00:00:24.160doing the show for thirty four yearsnow, and I enjoy it. I700:00:24.199 --> 00:00:28.760hope you enjoy it. We tryto bring a little bit of levity to800:00:29.480 --> 00:00:33.880the markets, to investing. Wetalk about it from a money mountage side,900:00:34.119 --> 00:00:39.640financial planning side, financial advising side. We kind of give you to1000:00:39.640 --> 00:00:42.520tell you what we're doing and howwe do it and give you a little1100:00:42.520 --> 00:00:45.880bit more insight to what things aregoing on. We try to take a1200:00:45.920 --> 00:00:50.880common sense approach to it all,something that nobody else seems to be doing1300:00:50.960 --> 00:00:56.359in our political world of things.We tried to understand there's two sides of1400:00:56.399 --> 00:01:02.679stuff. We also tried to understandwhere there's opportunit unities and opportunities take time1500:01:02.719 --> 00:01:07.680to to actually span out, andwhen they do pan out, they obviously1600:01:07.280 --> 00:01:12.280do pretty well. But it's alwaysquality that you have to look at for1700:01:12.359 --> 00:01:17.439opportunities. This is the Moneymatter Show, and as you know, it's brought1800:01:17.439 --> 00:01:22.000to you by Greenberg Financial Group.Greenberg Financial Group is both a registered investment1900:01:22.040 --> 00:01:26.040advisory and they broke a dealer registeredwith the SEC. Members of SIPICK and2000:01:26.159 --> 00:01:30.359members of FENRI. On the show, we talk a lot about product strategies,2100:01:30.439 --> 00:01:36.920ideas, we have opinions. Everythinghas risk. I need you to2200:01:37.040 --> 00:01:40.760understand that everything that you invest in, everything you do has some type of2300:01:40.840 --> 00:01:45.079risk. Anything you do driving acar has risk. Everything you do.2400:01:45.200 --> 00:01:51.920Understand the risk involved. It's nodifferent with investing. Understand the risks.2500:01:53.159 --> 00:01:57.159Even when things are going up.Understand eventually things don't always go up,2600:01:57.200 --> 00:02:00.120and they turn and go down.And and once they go down, you2700:02:00.120 --> 00:02:04.359know they turn and go back up. So where were That's where we're at2800:02:04.439 --> 00:02:07.360right now. So where are weon the risk reward strategy? We'll probably2900:02:07.400 --> 00:02:12.319about a six and a half,maybe getting closer to us seven right now3000:02:12.719 --> 00:02:16.479on the risk tolerance, ten beingthe highest risk. And why do I3100:02:16.520 --> 00:02:20.360say that? I say because wejust keep moving up. Prices keep moving3200:02:20.439 --> 00:02:25.599up, and they're going up inthe face of our FED Chairman Powell talking3300:02:25.599 --> 00:02:30.639about higher interest rates. So we'llfind out this week whether he says things3400:02:30.639 --> 00:02:36.120to propel the Santa Claus rally orhe ends up being the scrooge he talks3500:02:36.159 --> 00:02:39.120on Wednesday, they make a decisionon Wednesday, they meet on Tuesday.3600:02:39.759 --> 00:02:46.199That will be a big decision onhow for investors, on how he discusses3700:02:46.280 --> 00:02:51.520things, whether or not it's thesame rhetoric he's been using higher for longer.3800:02:51.560 --> 00:02:53.599We'll look at the data. Well, we had data, and this3900:02:53.719 --> 00:03:00.319week the jobs report showed that wehave more jobs created. They thought it4000:03:00.319 --> 00:03:04.800was gonna be one ninety it wasone ninety nine. Unemployment felled three point4100:03:04.919 --> 00:03:09.840seven. November was only one hundredand fifty thousand jobs. So way up4200:03:09.879 --> 00:03:14.719there from jobs and not decreasing.Even though interest rates have gone up,4300:03:14.840 --> 00:03:19.719even though things are slowing, peopleare still getting jobs. I think a4400:03:19.759 --> 00:03:23.520lot of that has to do withthe fact you're coming out of that pandemic4500:03:23.560 --> 00:03:25.199that they always talk about, andpeople are running out of money and say,4600:03:25.560 --> 00:03:28.719I need to get a job,I need to do something, so4700:03:28.759 --> 00:03:30.960they keep looking for opportunities. Whatthey can do. You know, there's4800:03:31.319 --> 00:03:37.240in November, in December, theystart hiring in November for December, for4900:03:37.280 --> 00:03:43.199the Christmas season, retail especially hospitalityalso, so you got a lot of5000:03:43.240 --> 00:03:46.800that going on as we get throughthe through the end of the year.5100:03:46.479 --> 00:03:49.840Do I think there's a big selloff coming, No, I don't.5200:03:49.879 --> 00:03:54.680I actually think we're gonna stay neutralto propel a little higher. I could5300:03:54.680 --> 00:04:00.719see as getting up to forty sixfifty mayby stretch it, you know,5400:04:00.840 --> 00:04:02.840forty seven hundred. Maybe. Idon't know. The only thing that's going5500:04:02.879 --> 00:04:06.759to bring it down to something thatwe don't expect, like Powell coming out5600:04:08.039 --> 00:04:10.919and saying no, I'm not loweringinterest rates. In fact, I'm going5700:04:11.000 --> 00:04:13.840to raise interest rates. If hetalks like that, the markets will fall.5800:04:14.879 --> 00:04:16.319But then everyone's going to ask him, why do you say that,5900:04:17.199 --> 00:04:20.560Why, why do you need todo that? Why do you got to6000:04:20.600 --> 00:04:25.800crash the economy? You know?And we don't. We don't. What6100:04:25.920 --> 00:04:33.439we need to do is see illustriouspoliticians do something. They need to do6200:04:33.519 --> 00:04:39.600something other than making fed the FederalReserve always handling the monetary side of things,6300:04:39.879 --> 00:04:44.519They need to do something on thefiscal side and start making regulations to6400:04:44.600 --> 00:04:53.399do things that will help help bringdown the the inflation, help bring down6500:04:53.839 --> 00:04:59.600the supply chain that they always useand everything else that they talk about.6600:05:00.279 --> 00:05:02.319Obviously, when interest rates are sohigh, people holding on to their low6700:05:02.360 --> 00:05:05.519interest rates. It happened so fast. If you have a three or around6800:05:05.519 --> 00:05:08.959a three percent mortgage, why wouldyou get rid of your house on any6900:05:09.279 --> 00:05:14.720level that's cheap. Compared to wherewe are today, it's more than double.7000:05:15.279 --> 00:05:18.759So of course there's not going tobe a lot of inventory and prices7100:05:18.759 --> 00:05:25.000are going to go higher, butthat all hits a high level also,7200:05:26.240 --> 00:05:30.519So you know what we've always talkedabout this, it's all about oil too.7300:05:31.920 --> 00:05:38.560Energy is the biggest proponent of inflation. Oil prices will come down.7400:05:39.720 --> 00:05:43.600They fell another four percent this week, and then they started to turn up7500:05:43.600 --> 00:05:47.480at the end of the week asour government starts going back in and finally7600:05:47.560 --> 00:05:55.600refilling our strategic petroleum reserves. Andthen they'll drain it off again when they7700:05:55.639 --> 00:05:59.120think they need to do that.But we need to get that back up.7800:06:00.120 --> 00:06:05.040But you know, if you listenthis week, especially to President Trump7900:06:05.079 --> 00:06:12.720talking about the oil fields up byAlaska that the Bidy administration was going to8000:06:12.720 --> 00:06:16.199allow for drilling and turned it down, it was interesting that he said there's8100:06:16.319 --> 00:06:21.360as much oil up in there atthat area underground than pretty much in the8200:06:21.399 --> 00:06:30.680Middle East. So when you thinkabout that and you think about today's technology,8300:06:31.759 --> 00:06:38.680why are we saying we have togo all electric? It makes no8400:06:38.800 --> 00:06:44.800sense. That's like saying in yourportfolio, just being a magnificent seven and8500:06:44.839 --> 00:06:47.240that's all you need. Don't allocateany other way. Just stay in those8600:06:47.319 --> 00:06:53.519high growth tech stocks. Sure fora while, that works great, till8700:06:53.519 --> 00:06:59.959it doesn't. We do not havethe capacity to just go all electric cars.8800:07:00.079 --> 00:07:09.240Before twenty and thirty, there wasall the motor companies, dealership signing8900:07:09.279 --> 00:07:15.319off, sending letters to the WhiteHouse telling them they cannot move these cars9000:07:15.879 --> 00:07:20.439at these prices. We know they'regetting subsidized now, but now they're subsidized,9100:07:20.600 --> 00:07:29.839they're losing money over the subsidiation fromthe government. The saturation has happened.9200:07:29.839 --> 00:07:32.560Everyone that wants to pretty much wantedan electric cars, got an electric9300:07:32.600 --> 00:07:40.800car. The big humper is there. The big buying has already occurred.9400:07:41.000 --> 00:07:45.040So where are they at now?Now You've got cars out there that people9500:07:45.079 --> 00:07:48.480can't afford. So you bring downthe prices and then the governments so well9600:07:48.519 --> 00:07:53.120will subsidize you more. That meanspeople that don't want electric cars, are9700:07:53.120 --> 00:07:59.040paying for it through their taxes tothe government. How many billions of dollars9800:07:59.040 --> 00:08:03.160have they wasted on chart stations andnot even implemented it over the last couple9900:08:03.199 --> 00:08:09.560of years and putting charge stations together. You need an infrastructure before you can10000:08:09.639 --> 00:08:15.839have a product. It's easy inCalifornia, and they'll go with anything that's10100:08:16.639 --> 00:08:20.959you know, liberal, and theymake money and they're able to go buy10200:08:22.000 --> 00:08:24.439them and they oh, they makesthem feel good about the way they live.10300:08:24.720 --> 00:08:31.000That's fine, and they put alittle bit of infrastructure there. But10400:08:31.160 --> 00:08:35.320try going from California to Texas.How many days is that going to take10500:08:35.320 --> 00:08:37.960you? And with all the stopsyou got to make, and hopefully that10600:08:39.000 --> 00:08:45.759you find charge stations and they tellyou three hundred and fifty miles that you10700:08:45.840 --> 00:08:50.279get until you put on the airconditioner in the radio and it's down to10800:08:50.279 --> 00:08:56.559about one hundred and fifty one hundredand seventy. So why don't we have10900:08:56.679 --> 00:09:03.799gas, hybrid and electric and letpeople use It's always interesting to me that11000:09:03.840 --> 00:09:09.440they're all about choice, all aboutchoice, freedom up choice until they don't11100:09:09.480 --> 00:09:16.360want you to choose something different thanwhat they believe in. And it's getting11200:09:16.399 --> 00:09:26.919worse and worse, and these politiciansare getting tired and old and come up11300:09:26.919 --> 00:09:31.279with no new ideas. It's thesame old, same old, which means11400:09:31.279 --> 00:09:37.480they stay in power over and overagain with the same rhetoric. I don't11500:09:37.480 --> 00:09:43.600know about you. I'm tired abouttalking about beating up wealthy people, taxing11600:09:43.600 --> 00:09:46.879the wealthy people, when they donothing in Congress to do something to change11700:09:46.919 --> 00:09:50.120it. And listen to Elizabeth Warrenearlier in the week, she was on11800:09:50.200 --> 00:09:52.120again. I don't know why theyhave her on, but she's on,11900:09:52.799 --> 00:10:00.240sprewing the same crap that she alwaysdoes about wealth tax. Wealth tax.12000:10:00.279 --> 00:10:05.320You know what wealth taxes. It'swhat your next word, your net worth12100:10:05.440 --> 00:10:09.360is, And they want to taxyou on that. That means unrealized gains,12200:10:09.399 --> 00:10:13.360things that you never even sold andhave no idea what the gain is.12300:10:13.840 --> 00:10:15.879You need to get it to praiseand they'll tell you, and you're12400:10:15.919 --> 00:10:22.799gonna get taxed on it year afteryear after year. That is, they12500:10:22.840 --> 00:10:30.360talk about pay your fair share.That ain't a fair share. Let's take12600:10:30.360 --> 00:10:33.600it for them rich given to thepoor. The rich will give to the12700:10:33.639 --> 00:10:39.240poor, and they'll make sure theydon't pay the taxes to the government,12800:10:41.240 --> 00:10:46.519but unrealized gains. How do youdo that and then when you sell it12900:10:46.559 --> 00:10:48.679and you got a loss, nowyou're going to take it as a loss.13000:10:48.440 --> 00:10:52.279Makes no sense. All they're tryingto do is crumble people that have13100:10:52.360 --> 00:10:58.720been successful, wealthy families. Iget it. Some people like that people13200:11:00.159 --> 00:11:03.440they don't think they you know whatenough is? Enough is enough? You13300:11:03.440 --> 00:11:07.120know these people that are billionaires,they didn't plan out to be a billionaire.13400:11:07.799 --> 00:11:13.200They became billionaires because whatever they weredoing took off because people like you13500:11:13.279 --> 00:11:16.240and I wanted their products, wantedtheir ideas, wanted the buy from their13600:11:16.279 --> 00:11:20.000companies in their stock rows. Becausethe company kept making money and they had13700:11:20.000 --> 00:11:26.720millions and millions of shares, andthat's why they become multi billionaires. You13800:11:26.720 --> 00:11:31.759think Jeff Bezos thought that he wasgoing to be worth the money he is.13900:11:33.080 --> 00:11:37.519Or Eli Musk or Bill Gates,they started different type of companies.14000:11:37.559 --> 00:11:41.639One's a tech company. Think aboutthat, Elin Musk, things outside the14100:11:41.679 --> 00:11:46.080box. He's got spaceships, he'sgot electric cars, he got battery companies.14200:11:46.600 --> 00:11:50.840He's got this boring company. He'sgot so much. He doesn't look14300:11:50.840 --> 00:11:52.639in there, how much money canI make off this stuff? He creates14400:11:52.720 --> 00:12:00.000ideas that people want from his company. He owns the shares they go higher.14500:12:00.039 --> 00:12:05.639Yeah. The only person that reallyever made money off of people like14600:12:05.679 --> 00:12:09.320you and I the same way whostocks was Warren Buffett. I don't hear14700:12:09.360 --> 00:12:13.440people saying, oh, Warren Buffett, we should take money from him.14800:12:13.679 --> 00:12:20.759He's too rich. He made moneyin stocks buying companies, the same companies14900:12:20.799 --> 00:12:28.799that everybody complains about, insurance companies, banks, These people that put themselves15000:12:28.879 --> 00:12:31.120on the line. You think youthink Bill Gates ever thought that working out15100:12:31.159 --> 00:12:35.000of his garage with the software fromMicrosoft, that come to what it is.15200:12:35.039 --> 00:12:37.440But you know what, they dida great job, and they and15300:12:37.480 --> 00:12:39.519the people that succeeded them did agreat job, and they have a product15400:12:39.519 --> 00:12:46.919that everyone in the world needs.That's technology Amazon. I don't think have15500:12:46.000 --> 00:12:50.080to worry. Half the world canlive without Amazon. We've gotten so used15600:12:50.080 --> 00:12:56.919to ordering something and happening there intwo days, and then and then with15700:12:56.919 --> 00:13:03.399with uh Eli Musk and all thesedifferent companies. That's how they get rich15800:13:03.519 --> 00:13:07.480like that. It's not because they'regetting a paycheck and they're getting paid more,15900:13:09.720 --> 00:13:16.360all right. So if you wantto change the way the people like16000:13:16.399 --> 00:13:22.000Warren Buffett and the hedge fund people, and these people making hundreds of millions16100:13:22.039 --> 00:13:28.080of dollars a year and paying onlylong term gains and less change the rules,16200:13:28.399 --> 00:13:33.679don't spou out that they need topay and get well taxed in this16300:13:33.799 --> 00:13:41.360and that warrant. You guys hadopportunities to change it, and and and16400:13:41.600 --> 00:13:50.960actually with Cinema that decided against it, and they had to scrap it because16500:13:50.000 --> 00:13:56.120hedge funds they get if they lookat it as a fundy and when they16600:13:56.159 --> 00:14:00.360get money, the way they earnthem money is put it into the shows.16700:14:00.720 --> 00:14:03.679They get more shares and the nextthing you know they sell the shares16800:14:03.759 --> 00:14:07.080is long term capital gains instead ofthirty five forty percent. That's how they16900:14:07.080 --> 00:14:15.240save money. Okay, that's agood thing. Change it if you don't17000:14:15.320 --> 00:14:18.639like it. Real estate people makeand complain about real estate. All these17100:14:18.679 --> 00:14:26.399real estate people making millions and millionsof dollars. Of course, you're not17200:14:26.440 --> 00:14:31.080going to change you because they giveyou so much money. But the depreciation17300:14:31.240 --> 00:14:35.080and everything else, but that's whatyou need. You need people to invest.17400:14:35.120 --> 00:14:41.559Who's going to do that? Peopletake chances and they use it as17500:14:41.559 --> 00:14:45.679the guidelines. If you wanted tochange something, you know, would step17600:14:45.759 --> 00:14:52.159up basises and all that stuff.Look at it, but don't decide that17700:14:52.200 --> 00:14:56.039you're going to just go ahead andtax people. Elizabeth Warren's been on this17800:14:56.120 --> 00:15:00.159kick forever, you know, andyou know that they never want to do17900:15:00.200 --> 00:15:03.879a flat tax because obviously a flattax would not go overwhelm with them,18000:15:05.519 --> 00:15:09.480all right, because the people thatgive them their donations don't want to probably18100:15:09.519 --> 00:15:13.200have a flat tax because they wouldpay more. So they'll pay millions to18200:15:13.240 --> 00:15:22.720go ahead and pay no taxes.Sell the idea. And then you have18300:15:22.279 --> 00:15:31.480Congress. And I'm going to givecongresswomen Stephanick a lot of credit. I18400:15:31.679 --> 00:15:39.600listened to her the other day goagainst all three of the presidents, Penn18500:15:39.639 --> 00:15:50.559and Harvard. They forgot the otherone about the way their students are acting18600:15:50.639 --> 00:16:04.720on their campuses and how they won'tgo head and say that's basically hate speech18700:16:07.440 --> 00:16:14.000when they're chanting genocide to the Jews, Destroy the Jews, wipe out the18800:16:14.080 --> 00:16:22.320Jews, take back Israel. Youknow what, these presidents became political and18900:16:22.360 --> 00:16:26.799they started saying, nobody should havehate speech, nobody should be doing this.19000:16:26.120 --> 00:16:30.320We don't condone that we don't dothis. Well, you don't condemn19100:16:30.399 --> 00:16:34.720it because you've allowed it on yourcampuses. You've allowed signs, you've allowed19200:16:34.799 --> 00:16:44.679chance, you have allowed protests basicallysaying genocide to the Jews. You've been19300:16:44.679 --> 00:16:51.600there allowing them to back up PalestineHamas without the separation between the Palestinian people19400:16:51.919 --> 00:16:57.000and the terrorist group called Hamas.Hamas is the government that's running the Palestinians,19500:16:57.519 --> 00:17:03.120who the Palestinian people have had anuprise against, and allow them as19600:17:03.200 --> 00:17:11.799terrorists to kill all the Jews.But because the Jewish people of Israel have19700:17:11.960 --> 00:17:18.839fought back in a manner that canwipe out Hamas, and unfortunately a lot19800:17:18.839 --> 00:17:26.200of Palestinian innocent people will be killed. They want to genocide the Jews,19900:17:27.640 --> 00:17:37.039and the people on the campuses arethe presidents are not condoning it. I20000:17:37.079 --> 00:17:41.079have no idea if the presidents areanti Semites or not. Obviously you put20100:17:41.079 --> 00:17:45.599one and one together you say they'reanti Semites. That's not what I'm believing.20200:17:45.839 --> 00:17:49.799I think that the presidents of universitiesare so weak and cow talented the20300:17:49.839 --> 00:17:56.279media that they cannot come out witha straight answer and not allow that to20400:17:56.359 --> 00:18:04.039happen. Could you imagine that thesame thing happened with another race, Blacks,20500:18:04.160 --> 00:18:11.160Asians or whatever. They would neverallow them the protest, never allowing20600:18:11.200 --> 00:18:15.519the protests, and they shouldn't beallowed to protest against a race or color20700:18:17.240 --> 00:18:22.240of people. But for some reason, I don't know what people think Jews20800:18:22.240 --> 00:18:26.839are, but they are people.Yes, it's a religion too, Jewish20900:18:26.960 --> 00:18:30.599is a religion. But Jews arepeople, no different than blacks, no21000:18:30.640 --> 00:18:37.000different than Asians, no different thanHispanics, and no different than white.21100:18:37.000 --> 00:18:41.119But you know, the only twopeople that they can go ahead and protests21200:18:41.119 --> 00:18:45.319against are whites and Jews. Maybeit's because Jews are whites. I have21300:18:45.400 --> 00:18:52.200no idea. I filled in lastweek for Garry lusa's show, and one21400:18:52.200 --> 00:18:56.519of the things I asked is whydo people hate Jews. People couldn't come21500:18:56.559 --> 00:19:00.279up with a real answer. Butso, for some reason on in these21600:19:00.319 --> 00:19:06.039college campuses, if they're protesting againstJews, which is basically protesting against America21700:19:06.079 --> 00:19:15.960for helping Israel and helping them defendthemselves, that's not okay and something's got21800:19:15.960 --> 00:19:18.240to change. And what they sayis, well, it's not what they21900:19:18.319 --> 00:19:22.799say, it's the conduct of thepeople. So in other words, you've22000:19:22.839 --> 00:19:26.480got to kill Jews to stop theprotests that they want to kill Jews.22100:19:29.799 --> 00:19:34.480That makes no sense to me andto most people it doesn't. But they22200:19:36.000 --> 00:19:38.400are weak. These presidents are weakbecause they can't stand up and say no,22300:19:40.920 --> 00:19:44.400we are not going to allow youto protest where you're calling for the22400:19:44.559 --> 00:19:48.799death of anybody, and in thiscase, you're calling for the death of22500:19:48.839 --> 00:19:52.119all the Jews, and we arenot gonna let you protest and put up22600:19:52.160 --> 00:19:56.759those signs you want to tell.If you want to talk about peace,22700:19:57.160 --> 00:20:00.359if you want to talk about stuff, that's fine, But when as soon22800:20:00.400 --> 00:20:07.759as you step over the line andstart talking about hatred and killing a whole22900:20:07.839 --> 00:20:14.559nationality because they're defending themselves, Weas a president and president is not going23000:20:14.599 --> 00:20:18.400to allow that at our universities.And if they were, if that was23100:20:18.440 --> 00:20:25.480what everyone wanted, they wouldn't belosing all these donations and all this money,23200:20:25.640 --> 00:20:27.440and the people wouldn't be there.And how the media is allowing this23300:20:27.519 --> 00:20:38.319to happen is incredibly irresponsible. Whatthe schools need to do is actually teach23400:20:40.400 --> 00:20:48.160these students on how to protest proactivelyin a manner that they're not just destroying23500:20:48.920 --> 00:20:56.799and putting out there to kill Jewsor Asians or whoever they're going against without23600:20:56.839 --> 00:21:00.920the backlash of people coming in andsaying, you gonna go ahead and talk23700:21:00.960 --> 00:21:07.119about killing me, I'm gonna wipeyou out first. That's what's gonna happen.23800:21:07.559 --> 00:21:11.839Okay, if they continue to letthis happen, there's gonna be another23900:21:11.880 --> 00:21:15.400group on the other side that's goingto come in and destroy them. We24000:21:15.440 --> 00:21:21.559don't like, we don't let thewhite supremacist say they hate Jews or blacks24100:21:22.039 --> 00:21:23.799or anything else. But we don'tlet's just steal with the Jews here.24200:21:23.960 --> 00:21:29.240We do not let them talk abouthow they want to kill the Jews.24300:21:29.839 --> 00:21:33.039Hell no, if if a whitesupremacist went ahead and said that they're in24400:21:33.119 --> 00:21:37.519trouble. But for some reason,we're letting students on campus be able to24500:21:37.559 --> 00:21:42.440protest against there. And we constantlyput in more and more of these gender24600:21:42.480 --> 00:21:48.680type classes and and and and andand race classes and all these other things24700:21:48.759 --> 00:21:52.920rather than teaching them how to howto actually learn. And I've told you24800:21:52.960 --> 00:21:57.240this, and it scares me thatwe have the power people coming out of24900:21:57.519 --> 00:22:03.559these Ivy League schools who end upbecoming the politicians of power in our country.25000:22:03.000 --> 00:22:06.079And if this is the way theythink. Now, why are they25100:22:06.160 --> 00:22:10.480going to change their mind in tenor twenty or thirty years. They're not.25200:22:11.759 --> 00:22:17.799They're not. And maybe this opensthe eyes to corporations and everybody else25300:22:18.079 --> 00:22:22.599realizing that these kids now are somany generations down, a bunch of spoiled25400:22:22.640 --> 00:22:29.160brats with a lot of money thatjust want to go ahead and cut down25500:22:29.160 --> 00:22:37.839America. They've got the power becausethey have money that needs to change.25600:22:37.440 --> 00:22:41.279Look for your best opportunities. Stopsaying that everyone has to get in there25700:22:41.319 --> 00:22:45.359because we have to have certain racesand certain things. And I be able25800:22:45.400 --> 00:22:49.000to give opportunities to the people thatare willing to make the opportunities. Hell,25900:22:49.119 --> 00:22:52.440school is so easy now. Ifyou can't get over three h three26000:22:52.519 --> 00:22:56.640five in school, that means you'relazy and you're not learning. And if26100:22:56.640 --> 00:23:00.680you have a learning disability, they'regoing to help you. Schools aren't tough26200:23:00.759 --> 00:23:08.960anymore. Laws aren't tough anymore,rules aren't tough anymore. Everybody keeps changing26300:23:10.000 --> 00:23:15.720it. What we need to doto get America strong again is stop allowing26400:23:15.720 --> 00:23:19.359those inside keep eating us away.We got to stop protests against each other.26500:23:19.359 --> 00:23:23.640We got to stop protests against racingraces. We got to stop this26600:23:25.640 --> 00:23:29.400again. You wouldn't let white supremacstbe there. Why you're letting the people26700:23:29.400 --> 00:23:34.160that these youth of America in ourcolleges stand up and do this. And26800:23:34.200 --> 00:23:38.440of course it's all the liberals colleges, all the liberal cities and where they're26900:23:38.440 --> 00:23:44.160going to take America from there.There's a problem people, because it's a27000:23:44.240 --> 00:23:48.559smaller group of people that are goingagainst the rest of America of what their27100:23:48.559 --> 00:23:52.480beliefs are. If not, themoney that's coming out and not getting donated27200:23:52.519 --> 00:23:57.160to these schools is in the hundredsof billions of dollars probably by now.27300:23:59.279 --> 00:24:03.720But the schools don't care because theyhave these incredible endowments and the parents that27400:24:03.759 --> 00:24:07.160send their kids they have all thismoney because they think they're special and they27500:24:07.160 --> 00:24:08.960think they can do everything. Andlook at all the cheating that went on27600:24:10.039 --> 00:24:14.319with Hollywood, the hypocrites of Hollywoodto get their kids into these schools.27700:24:15.000 --> 00:24:18.839Live a lot to playing field.Those that earn and get it. The27800:24:18.880 --> 00:24:23.319rest of you stop protesting and startgetting tough enough to realize that America is27900:24:23.359 --> 00:24:26.119the best country in the entire world. We'll be back. It's the money28000:24:26.160 --> 00:24:34.680mated show. Thanks so much forlistening. Welcome back everybody, Money Matty28100:24:34.720 --> 00:24:38.880Show right here, seven ninety Knisy, we got Dave Sherwood, Dylan Greenberg,28200:24:40.440 --> 00:24:45.400Todd Glick and myself Dean Greenberg bringingyou the best the ability to what's28300:24:45.400 --> 00:24:49.519going on. Absolutely another little downweek, not upweek. I mean six28400:24:49.599 --> 00:24:52.960in a row. Yes, youknow what's six in a row, Six28500:24:53.079 --> 00:24:56.599up weeks in a row for theS and B five hundred. It's correct,28600:24:56.680 --> 00:24:59.480six up weeks in a row.It took six up weeks in a28700:24:59.559 --> 00:25:02.720row to get back to where wewere in July zero point. Yeah,28800:25:02.839 --> 00:25:04.839there's nothing the dow. You seethe dow. The dow was up three28900:25:04.880 --> 00:25:11.240point I know for the week,but the last a sixth consecutive week of29000:25:11.319 --> 00:25:15.240games. Yep, right back tothe peak. Like you said, a29100:25:15.359 --> 00:25:18.160new fifty two week high for theS and P five hundred, and fifty29200:25:18.160 --> 00:25:22.559two week high for the Doubt.Goldie Locks is alive and well. Everything29300:25:22.640 --> 00:25:30.000is just right except for quick evaluations, quick take a picture. Well we'll29400:25:30.000 --> 00:25:33.039find out this week how much Powerlikes where we're at. It's going to29500:25:33.119 --> 00:25:38.359be very important what the chairman andhis group think about what's happening. I29600:25:38.440 --> 00:25:41.519mean, everyone saw it, keepsthinking that we're going to have lower interest29700:25:41.599 --> 00:25:45.599rates next year, don't I don'tsee it. I don't see, but29800:25:45.599 --> 00:25:48.160they keep talking about it, andI'm like, where does this come from?29900:25:48.680 --> 00:25:52.839You know what I mean? Youcut interest rates under one circumstance,30000:25:53.519 --> 00:25:56.279you have a disaster in the economyand you got to protect them. It's30100:25:56.279 --> 00:26:00.640not good, right, not good. And if that happens the markets are30200:26:00.680 --> 00:26:03.279going down, or if you haveGDP, you know, not being positive30300:26:03.279 --> 00:26:07.839for two consecutive quarters, possibly three, that's another sign that you need to30400:26:07.880 --> 00:26:11.960cut rates because you don't have activityin your country. Had that they didn't30500:26:11.960 --> 00:26:15.440cut rates, We had it barely, Yeah, and that was last year30600:26:15.759 --> 00:26:18.599we talked about. That was thatwas when they were in their rate hiking30700:26:18.640 --> 00:26:22.079site. So that's not always true. Because we were doing that, they30800:26:22.079 --> 00:26:25.839were raising rates. They were hopingthen we're going to slow down. But30900:26:25.920 --> 00:26:29.599somehow the economy is a slow downbecause people still spend money. Where's this31000:26:29.720 --> 00:26:32.720money coming from? Well, well, we know where the money is coming31100:26:32.720 --> 00:26:37.119from. It's all in the cashposition. Everyone has huge cash positions,31200:26:37.240 --> 00:26:42.279so taking from their investments, thenwell a lot of people had increased savings31300:26:42.319 --> 00:26:45.440from the pandemic. Okay, socash levels were at at all time high31400:26:45.519 --> 00:26:48.559during the pandemic, So they're takingfrom the savings, which is yeah,31500:26:49.119 --> 00:26:55.599it's cutting down. Credit cards aregoing higher, yes, okay, most31600:26:55.599 --> 00:26:57.839people's credit cards that don't pay themoff every month because most people can't do31700:26:57.960 --> 00:27:03.759that keep creeping up, not onlybecause of buying stuff and doing things,31800:27:03.200 --> 00:27:08.359but because the interest is fifteen totwenty twenty five percent. Yeah, you31900:27:08.400 --> 00:27:12.559know, credit card debt is isat record highs. The title loan business32000:27:12.640 --> 00:27:17.039is booming, the pawn shop businessis booming. But I don't think that32100:27:17.400 --> 00:27:19.559is the money that's fueling the marketdeing. So your question is an interesting32200:27:19.599 --> 00:27:27.279one. There's still all time highsin money market funds held currently really so,32300:27:27.440 --> 00:27:30.079and this is a lot because youget five percent now, right,32400:27:30.240 --> 00:27:33.400so okay, and it's hard totake the risks to get all if you32500:27:33.400 --> 00:27:37.880can get five percent in some ofthese money market funds and the mygos and32600:27:37.920 --> 00:27:40.319all this other stuff to go doanything. Yeah, Well you can be32700:27:40.359 --> 00:27:42.160seeing right now is that they dohave the money and the money markets.32800:27:42.160 --> 00:27:45.440But it is like Day just said, the FOMO. If you're missing out32900:27:45.960 --> 00:27:48.960for the Santa Claus rally in November, and January is historically a good month33000:27:49.000 --> 00:27:52.960as well. So that's what maybeis fueling the market right now, is33100:27:52.960 --> 00:27:55.160that money that's on the side isnow being put to work so they don't33200:27:55.200 --> 00:27:57.920miss out. Seventy two billion dollarswas inflow to equities in November, so33300:27:59.319 --> 00:28:04.839that money marketsket was also low inOctober, right, and I don't increase33400:28:04.920 --> 00:28:08.759through November. People got the FOMObecause here's a problem. What makes stocks33500:28:08.759 --> 00:28:15.519go higher money money new money,not the old money. Otherwise you see33600:28:15.559 --> 00:28:18.200what happens is the doll will goup, the doll will sell off,33700:28:18.200 --> 00:28:21.880and that money are going to uhuh uh knave Zach, then Daves Thatch33800:28:21.880 --> 00:28:23.319goes up, nas that go soloff, and then the dial and that's33900:28:23.319 --> 00:28:26.599a bill go up. So it'sjust a rotation of same money. For34000:28:26.680 --> 00:28:30.240the markets to go up and makenew highs, more people need to be34100:28:30.240 --> 00:28:34.880committed with new money. The onlytime new money comes in is like January34200:28:36.000 --> 00:28:40.279through basically April, with all themoney coming in, there is new money,34300:28:40.279 --> 00:28:42.359though, because the Federal Reserve hasnot been as restrictive on their balance34400:28:42.359 --> 00:28:45.720sheet that they said they would beand a lot of that has to do34500:28:45.799 --> 00:28:49.599with showing up the regional banks.They are still lending a lot of money34600:28:49.599 --> 00:28:52.640to the regional banks to show upthat they have a lot of unrealized losses34700:28:52.640 --> 00:28:56.680on all their securities positions, thesame thing that happened back in March on34800:28:56.720 --> 00:29:00.000their treasuries. So the regional banksare still taking a lot of money from34900:29:00.400 --> 00:29:03.920the FED, and that's where thenew money could be coming from. But35000:29:03.960 --> 00:29:06.920the FED might have unrealized losses onthe treasure, but it doesn't matter.35100:29:07.039 --> 00:29:10.359No regional banks have the unrealized losses. And so the Fed's giving the regional35200:29:10.359 --> 00:29:15.680banks the money to shore up thatcollateral issue. We saw the Uh yeah,35300:29:15.759 --> 00:29:19.599so I just are lending it maybeyeah, But then it becomes a35400:29:19.759 --> 00:29:23.000it's a windows ability to them becausethe FED just created that new tool in35500:29:23.119 --> 00:29:29.279March to in response to the bankingcrisis. Yeah. I was thinking during35600:29:29.319 --> 00:29:32.880the week we talked about the PCElast week, right, and it struck35700:29:32.960 --> 00:29:37.720me that the PCE, the personalconsumption expenditures, right, and which is35800:29:37.799 --> 00:29:41.640which is the Fed's favorite number,was up two tenths of a percent for35900:29:41.680 --> 00:29:45.880October, and multiply that time twelvethat's two point four what the Fed wanted36000:29:45.960 --> 00:29:48.720to be two. I mean,you're there, Yeah, you're there,36100:29:49.240 --> 00:29:53.559You're essentially there. It just seemslike they would be holding until something really36200:29:55.319 --> 00:29:57.400big happens. Right Why would theybe so quick the cut rates when they36300:29:57.440 --> 00:30:00.559can just keep them here because you, like you said, Dave, we36400:30:00.599 --> 00:30:04.279have this Goldilock scenario right now,what would cause him to really want to36500:30:04.319 --> 00:30:08.359cut The last comments we had outof Powell would during this past week was36600:30:08.720 --> 00:30:11.839I'm gonna have to raise them.I might have to raise rates again.36700:30:12.400 --> 00:30:18.200So there's no talk about cutting whatdo you mean talk from everywhere else?36800:30:18.279 --> 00:30:22.480But that's what he wanted, notfrom the people that actually make the decisions.36900:30:22.680 --> 00:30:25.960Pow wanted to shut that down realquick because everybody was being optimistic about37000:30:26.079 --> 00:30:27.279rate cuts coming next year, andhe wanted to shut that down. I37100:30:27.279 --> 00:30:30.920mean, that's why I think hewent to the other end of the pendulum37200:30:30.920 --> 00:30:34.640saying my race rates. He didthe same thing in Jackson Hole right about37300:30:34.640 --> 00:30:37.640a year ago, and then themarkets sold off. It was one of37400:30:37.640 --> 00:30:41.880the biggest drops for the S andP in a single day in years because37500:30:41.920 --> 00:30:44.640of that. So that could bea setup for what he's trying. The37600:30:44.680 --> 00:30:48.880markets have rallied in October, themarket did the work for pal Right now,37700:30:48.000 --> 00:30:52.839the market's against Powell here, soPowell may say, you know,37800:30:52.960 --> 00:30:56.920you guys have gone up too fast. Our big number number of the month37900:30:56.119 --> 00:30:59.799as far as we're concerned. Rightnext week, on the twelfth, the38000:31:00.119 --> 00:31:06.240CPI and on the thirteenth the PPI. Next week, so something to watch38100:31:06.279 --> 00:31:10.880for. On the fourteenth, weget retail sales. So a few things38200:31:10.519 --> 00:31:12.039in the Fed talk next week,Dean, there's some stuff coming up next38300:31:12.039 --> 00:31:18.440week that could move the market.I guess, as someone with forty two38400:31:18.559 --> 00:31:22.519years of experience at this, mybiggest concern right now is just it is38500:31:22.559 --> 00:31:26.920so complacent market's going higher. Hada technical analyst on she thinks it's going38600:31:27.000 --> 00:31:30.920to be another what four or fivepercent higher by the end of the year.38700:31:30.119 --> 00:31:33.640Well that's two weeks away, threeweeks away, I mean, you're38800:31:33.680 --> 00:31:38.079serious. And the VIX index,I think Sebastian has said it was at38900:31:38.119 --> 00:31:42.519a two year low lowess since twentytwenty January, the lowest since twenty twenty39000:31:42.920 --> 00:31:48.160six being the fear index. Thefear index, and when markets get this39100:31:48.319 --> 00:31:52.000complacent, it's not good. It'snot good. So I will say it's39200:31:52.039 --> 00:31:56.839Goldielock scenario. I understand why themarket's happy. I understand why it's content,39300:31:56.720 --> 00:32:00.160but just way too much complacency.Well you saw that in the bond39400:32:00.160 --> 00:32:04.720market, and they responded. Theinversion actually increased this week based on the39500:32:04.799 --> 00:32:07.960jobs report, and it's now aboutfifty bases points and last week it was39600:32:08.000 --> 00:32:14.039about forty four. So the marketis not really thinking that. The bond39700:32:14.039 --> 00:32:16.839market doesn't like the last jobs reportthat came out on Friday. I mean,39800:32:16.839 --> 00:32:20.200did we talk about the jobs report? How it came out. The39900:32:20.279 --> 00:32:22.720unemployment took down from three point nineto three point seven average hour of the40000:32:22.759 --> 00:32:27.799earnings came in a little hotter thanexpected, but the market really shrugged off.40100:32:27.799 --> 00:32:30.559The report opened lower but finished higher, right right, Yeah, it's40200:32:30.559 --> 00:32:35.319funny, isn't it. The jobsreport came out hotter than expected, interest40300:32:35.400 --> 00:32:37.920rates jumped up for the first timein quite a while, and the market40400:32:38.119 --> 00:32:43.359initially sold off and then screamed toa new fifty two weeks high. Yep,40500:32:44.000 --> 00:32:47.440oh it. You know the interestrates have really dropped since the ten40600:32:47.480 --> 00:32:52.839twenty three peak. Yeah, theten year Treasury's gone from five to four40700:32:52.880 --> 00:32:55.599point two. Todd I think youmentioned mortgage rates. Yeah, week seven40800:32:55.640 --> 00:33:00.240point zero two, lowest since October, lowest since October. Sorry August,40900:33:00.359 --> 00:33:04.279I don't okay, that makes August. Yeah, so four months low.41000:33:04.400 --> 00:33:08.000Yeah. So that oil below seventydollars this past week for the first time41100:33:08.359 --> 00:33:12.839since July. Yeah, after productioncuts. Yeah, and that ended the41200:33:12.839 --> 00:33:15.279week down four and a half percenttoo. I mean it got back over41300:33:15.319 --> 00:33:17.519seventy seventy one twenty, but yeah, I still got under seventy for the41400:33:17.559 --> 00:33:21.839first time in a while. Doeshe? Gold This week Golden hammered down41500:33:21.960 --> 00:33:24.759seventy one dollars back to two thousanddollars, And of course that's a tick41600:33:24.839 --> 00:33:28.759up in the dollars part of that. And we talked about it last week.41700:33:28.759 --> 00:33:31.759It was the fourth time it hitthat that zone. It was basically41800:33:31.759 --> 00:33:37.039now a quadruple top, and itactually screamed higher over the weekend, but41900:33:37.160 --> 00:33:40.640then Monday it just sold off bigtime, and then it continues selling off42000:33:40.640 --> 00:33:45.680throughout the week. How about Bitcoin, it's been just insane. Bitcoin above42100:33:45.720 --> 00:33:49.119forty thousand for the first time inquite a while, trading on like forty42200:33:49.119 --> 00:33:52.680four thousand now had like forty fournow. Yeah, Friday it was eleven42300:33:52.720 --> 00:33:55.240percent this week if you include theweekends. What was the on time high42400:33:55.240 --> 00:33:59.519in bitcoin sixty eight thousand, sixtyeight sixty eight. Yeah, that's the42500:33:59.519 --> 00:34:04.000first time nineteen months, it's beenabout forty. Yeah, it's it's very42600:34:04.000 --> 00:34:07.719interesting space right now. And youhave a lot of inflows in the digital42700:34:07.719 --> 00:34:10.280assets. It's not just bitcoin.You can see ethereum, you can see42800:34:10.280 --> 00:34:13.880all the you know, you're gonnahear a lot of advertisements start. You're42900:34:13.880 --> 00:34:15.719gonna it's like gold. You know, when when things like that start to43000:34:15.760 --> 00:34:20.360really take off, do not gofor the really risky stuff like this is.43100:34:20.679 --> 00:34:23.199I just can't figure out what makesbigcoin go up and down. Somebody43200:34:23.239 --> 00:34:25.719on the other end is willing topay the forty four thousand. I don't,43300:34:25.760 --> 00:34:30.440but it seems to manipulated to makejust we can have a talk later,43400:34:30.760 --> 00:34:34.079Okay. It just seems Jamie Diamondsaid he shut the whole darn thing43500:34:34.119 --> 00:34:37.159down. Of course he's a banker. President, yeah, the president VP43600:34:37.239 --> 00:34:40.320Moore. But you know, ofcourse, it's opportunity to buy what was43700:34:40.320 --> 00:34:45.280it two years ago? Boeing wasat ninety nine dollars, ninety eight dollars43800:34:45.000 --> 00:34:47.480and that was two forty five orsomething, right, you know, when43900:34:47.480 --> 00:34:51.519everyone thought that would work. It'slike I keep saying, by good companies44000:34:51.559 --> 00:34:53.320like that. So I look aroundand you see what companies are down there.44100:34:53.360 --> 00:34:57.679Like Target went down all the waydown to what one and I think44200:34:57.679 --> 00:35:00.440it was one eleven. It's aboutthat back down back up to one thirty44300:35:00.480 --> 00:35:05.239five. Rating on dropped down tothe low seventies, back into the eighties.44400:35:05.280 --> 00:35:07.880Probably gonna over time, could moveup by it, but people don't44500:35:07.880 --> 00:35:15.719give those times. There's always opportunitiesin these good companies that produce things that44600:35:15.760 --> 00:35:20.679we need that if you buy themwhen they get just whacked out for whatever44700:35:20.719 --> 00:35:23.440reason, you wait two three,four years and they do a good job44800:35:23.480 --> 00:35:27.000coming back. Talking Disney too,I mean that was that. That's another44900:35:27.119 --> 00:35:30.639that's the other value pushing almost twoone hundred sometimes, right, I mean45000:35:30.760 --> 00:35:35.039the tiser's that one to fifty plus. I'm sorry, we're coming around a45100:35:35.039 --> 00:35:37.119break here, but I've got moreabout that when you come back. Yeah,45200:35:37.280 --> 00:35:39.639more after the break, because I'vegot something really kind of interesting.45300:35:39.840 --> 00:35:43.760You know, it's funny when somebodyinterrupts and they say I'm sorry I'm interrupting.45400:35:44.480 --> 00:35:47.159Are they sorry or they wanted tointerrupt, interrupting, say goodbye to45500:35:47.239 --> 00:35:52.679everybody. We have a break.I'm so sincerely against the money battage show.45600:35:53.079 --> 00:36:07.519We do love each other. Sayit's only a welcome back, everybody.45700:36:07.840 --> 00:36:10.199This is Dean Greenberg bringing you themoney back to show with Dave and45800:36:10.320 --> 00:36:15.280Dylan and Todd. So we gotthree new companies going into the SMP five45900:36:15.360 --> 00:36:19.960hundred as of twelve eighteen this year. You got Uber, JBL and Builder's46000:36:20.000 --> 00:36:24.840first source. They are replacing Sealedthere Alaska Air Group and Solar Edge Technologies46100:36:24.880 --> 00:36:30.440which got hammered. That's a solarcompany that just got absolutely killed, obliterated.46200:36:30.760 --> 00:36:32.719Yep. So they're coming out.And Uber was the largest company ranked46300:36:32.719 --> 00:36:36.239by the market cap at one hundredand sixteen billion that was not in the46400:36:36.280 --> 00:36:39.639s and P five hundred so far. So to qualify for s and P46500:36:39.760 --> 00:36:43.880five hundred, to meet the criteria, you gotta have a certain market cap46600:36:43.920 --> 00:36:45.199which is greater than fourteen and ahalf billion dollars, which is a lot46700:36:45.199 --> 00:36:50.079smaller than I thought it'd be.The value of the market cap traded annually46800:36:50.719 --> 00:36:52.880at least a quarter of the millionof the shares traded in each of the46900:36:52.880 --> 00:36:57.599previous six months, most of itsshares in public hans and had its IPO47000:36:57.599 --> 00:37:00.760at least one year earlier, soa certain criteria. So sometimes that's why47100:37:00.800 --> 00:37:04.079these big companies that come out don'tautomatically just get into the S and P47200:37:04.159 --> 00:37:07.760five hundred. But Houber's really comeback. It's made a strong comeback.47300:37:07.360 --> 00:37:09.760Yeah, Dean brought us something inthe last segment that the hell was kind47400:37:09.800 --> 00:37:13.400of interesting, and I had alittle bit about that too, Dean,47500:37:13.480 --> 00:37:16.599you said that talked about Boying andin twenty one, Boeing was the worst47600:37:16.599 --> 00:37:20.800performing stock. In twenty two,it was one of the best. In47700:37:20.880 --> 00:37:24.800twenty two the worst performing stock Salesforcedot Com, and in twenty three one47800:37:24.840 --> 00:37:30.960of the best. I noticed thatCBS is down thirty percent year to date47900:37:30.119 --> 00:37:36.519versus a forty six percent decline forWalgreens. CVS opened three percent higher on48000:37:36.559 --> 00:37:39.079Tuesday after raising guidance, jumping thedividends, but Walgreens had a little reaction.48100:37:39.599 --> 00:37:43.599However, the next day, Walgreensdid rally to the highest level in48200:37:43.639 --> 00:37:46.400three weeks, gained ground again onThursday to the highest level in two months,48300:37:46.639 --> 00:37:51.599finished the week up eleven point fourpercent. The worst performing stock in48400:37:51.639 --> 00:37:54.519the Dow this year, without adoubt Walgreens. And I don't know why48500:37:54.519 --> 00:38:00.719I'm so infatuated with the stock otherthan you seldom see a doustock plunge like48600:38:00.800 --> 00:38:05.440this and not come back. Fulldisclosure, we do not have a single48700:38:05.480 --> 00:38:08.519share of Walgreens in any of ourmanaged to counts. But it's intriguing.48800:38:08.719 --> 00:38:13.119You've got an eleven percent pop offthe bottom. It has a dividend.48900:38:13.440 --> 00:38:15.320With the rally, the dividend hasgone from nine to three quarters down to49000:38:15.320 --> 00:38:19.480eight and a half. But it'san eight and a half percent dividend based49100:38:19.559 --> 00:38:22.360upon earnings estimates for next year,they should be able to keep the dividend.49200:38:23.039 --> 00:38:25.400And you just keep waiting for thenext shoot to drop. What is49300:38:25.440 --> 00:38:34.199going on here? But if twentythrees boying twenty twenty threes, salesforce dot49400:38:34.239 --> 00:38:37.639com might just be Walgreens. It'stough, though, if you live in49500:38:37.679 --> 00:38:39.760Tucson and you want to look atWalgreens, because all I see around town49600:38:39.840 --> 00:38:44.079is is Walgreens closing. You knowthe shape of the building and what it49700:38:44.119 --> 00:38:45.559looks like. If you lived herefor a while, you've seen them and49800:38:45.599 --> 00:38:49.400now they're just empty, right,Yes, is opening new ones. But49900:38:49.400 --> 00:38:51.840Walgreens seems to be going out inTucson. I don't know about that.50000:38:51.880 --> 00:38:55.639Now. Walgreens was early on getme out of the difficult areas where there's50100:38:55.679 --> 00:39:00.599a lot of theft. You know, Target closed down what seven eight stores50200:39:00.599 --> 00:39:04.920in northern California due to that,and Walgreens was ahead of that game.50300:39:05.000 --> 00:39:09.400They were a couple two or threeyears ago. They started closing stores where50400:39:09.440 --> 00:39:15.039the theft rate was so high thatit was difficult to be profitable. And50500:39:15.079 --> 00:39:19.360I think that's what's what's going onthere. I've not seen any of the50600:39:19.400 --> 00:39:22.519Walgreens stores in good areas close down. Maybe maybe I'm missing something, but50700:39:24.760 --> 00:39:30.280Tu Sound is not a good area, the whole city, the whole city.50800:39:30.400 --> 00:39:32.159Hey, I just noticed I sawsomething on climate change. You know,50900:39:32.199 --> 00:39:37.039we hear about climate change all thetime. Carbon emissions may or may51000:39:37.079 --> 00:39:43.400not be the problem. Dean.Get this. Since two thousand, twenty51100:39:43.440 --> 00:39:46.239years twenty three years, right,Carbon emissions in the United States have dropped51200:39:46.239 --> 00:39:52.239by ten percent. Carbon emissions inEurope have dropped by sixteen percent. Good51300:39:52.280 --> 00:39:58.400news, right, However, Chinaand India. In India, emissions have51400:39:58.559 --> 00:40:02.679risen one hundred and sixty five percent, and in China they've doubled. In51500:40:02.719 --> 00:40:07.639a period where we've cut ten percent, they've seen emissions double. And we51600:40:07.679 --> 00:40:12.880talked on on this show a fewmonths ago about China has more coal fired51700:40:13.119 --> 00:40:19.360generating plants approved for construction than existin the United States. Yeah, I51800:40:19.360 --> 00:40:22.119mean the world, Indian, Iknow how you're gonna fight this battle all51900:40:22.119 --> 00:40:25.599by yourself, But I think thisis what struck me next time someone mentioned52000:40:25.599 --> 00:40:30.280climate change, I think the appropriateresponse is, yes, those damn Chinese.52100:40:30.920 --> 00:40:35.079I mean, what else can youdo? I mean, you can't52200:40:35.079 --> 00:40:38.039fight this alone, and you don'tneed to fight it alone. You've got52300:40:38.079 --> 00:40:42.599to take a different tax to stopbeing the people that say we're gonna we're52400:40:42.639 --> 00:40:45.840gonna clean everything up, but wewon't do it for anyone else. Let's52500:40:45.840 --> 00:40:49.840come with the compromise where everybody,whatever you're doing, you're telling me today's52600:40:49.880 --> 00:40:53.239technology, you can have much cleanercoal fired plants. Of course you can,52700:40:53.920 --> 00:40:59.920or nuclear if we just stopped scaredof that word. You know,52800:41:00.360 --> 00:41:04.119we know that's a superior energy sourcethat we just for some reason don't want52900:41:04.119 --> 00:41:07.840to get behind. Yeah, itis. It is interesting because there are53000:41:07.880 --> 00:41:12.280countries in the world whose main powersource is nuclear and then they're just fine,53100:41:12.559 --> 00:41:15.639Yep, we just can't seem toget our hands around it. For53200:41:15.679 --> 00:41:19.840whatever reason. Bernstein came out.They said, your best long idea,53300:41:19.880 --> 00:41:24.239the best stock to buy in twentytwenty four is Amazon, and the best53400:41:24.239 --> 00:41:30.400doctor short is Tesla. The pricetarget I wouldn't show with Tesla. Yeah,53500:41:30.400 --> 00:41:31.840but I mean, even if itgoes down, I wouldn't show a53600:41:31.880 --> 00:41:37.199Tesla because, let's face the guys, there's some reas. It's like a53700:41:37.239 --> 00:41:39.840cult. Somehow, some way thatstock always seems to be rise up from53800:41:39.840 --> 00:41:43.320the ashes. It does. Itdoes. It is one of the only53900:41:43.360 --> 00:41:46.079profitable TV companies. Yeah, andit's the only even with the ones the54000:41:46.239 --> 00:41:51.119traditional car companies, they're losing aton of money on evs. They're sectors,54100:41:51.320 --> 00:41:53.920so that's why it's always coming back. And you have the added extra54200:41:53.960 --> 00:41:58.400bonus of the chargers, which isreally what's bringing them a lot of income.54300:41:58.480 --> 00:42:01.400There will be a time though,Okay, and Dave can relate to54400:42:01.440 --> 00:42:05.679this at the major company, likeyou said, you'll go in well,54500:42:05.800 --> 00:42:10.000like if you're going to buy threecompanies today, the biggest companies, which54600:42:10.000 --> 00:42:14.719ones would they be? Apple?Amazon? Microsoft? Right? Apple,54700:42:14.840 --> 00:42:17.159Amazon, and videos up there too. But no, but those three okay,54800:42:17.800 --> 00:42:21.480you got to use them. Weall use them. It's all part54900:42:21.519 --> 00:42:25.360of our lives. That's it.One day they're going to be just like55000:42:25.440 --> 00:42:30.679IBM, Cisco and Intel. Youget so big, okay, making so55100:42:30.840 --> 00:42:34.880much money, but no growth,right, it's part of the cycle.55200:42:35.280 --> 00:42:37.800Yes, this is part of thecycle. And IBM's at the end of55300:42:37.840 --> 00:42:39.760their cycle and that's why they're notat growth anymore. Back in the nineties55400:42:39.800 --> 00:42:45.400they were a huge growth just likewell, the real risk to an Apple55500:42:45.519 --> 00:42:51.079is what happened to Intel, right, because the technological revolution, Intel was55600:42:51.239 --> 00:42:53.400on the front cusp of it andthey benefited a lot from it, and55700:42:53.440 --> 00:42:58.679then they really kind of just didn'tdo anything for a long time. And55800:42:58.719 --> 00:43:00.920the reason being is they weren't upto date with the new technology that was55900:43:00.960 --> 00:43:05.519bringing the world forward. So it'sit's not just that you know, Apple56000:43:05.559 --> 00:43:09.079has to They can continue to growas long as they adapt and change as56100:43:09.119 --> 00:43:12.599the years go on. It's gonnabe come. But you have done this.56200:43:12.840 --> 00:43:15.039Yeah, but remember it, sock. You would always buy nothing else.56300:43:15.159 --> 00:43:19.599What's the best sack to buy?IBM, IBM, IBM, IBM.56400:43:19.840 --> 00:43:22.159But that's not this I'm saying.What I'm trying to say is and56500:43:22.199 --> 00:43:24.199they're not in the same revolution.I'm thinking, okay, yeah, but56600:43:24.239 --> 00:43:28.679then what I'm saying is what you'resaying about Apple is what we said about56700:43:28.679 --> 00:43:30.519IBM. I was in this businessin the nineteen eighties and there was a56800:43:30.519 --> 00:43:35.639client who sat at my desk andApple had just come out, and he56900:43:35.719 --> 00:43:39.000said, you know that that symbolApple would the the bite out of it.57000:43:39.119 --> 00:43:43.559He goes, IBM is going toeat the whole Apple, so that57100:43:43.599 --> 00:43:46.360will not out of business, rightmindset? Yeah, yeah, that was57200:43:46.400 --> 00:43:50.119the mindset. Yeah, yes,you never know. But I mean also,57300:43:50.159 --> 00:43:52.920there's gonna be companies that come outof nowhere. Like the dot com57400:43:52.920 --> 00:43:55.480bubble, you had companies that madeit through it and exploded, like Amazon57500:43:55.519 --> 00:43:59.079kind of came out around there.Google came out around then with the ip57600:43:59.239 --> 00:44:02.880O. You have companies that comeIPO around now that are doing AI stuff,57700:44:02.960 --> 00:44:05.960and that are companies that you're notgonna know now, but twenty years57800:44:06.000 --> 00:44:07.639from now you're gonna say, dang, I wish I got it back then,57900:44:07.679 --> 00:44:12.199because but it's unknown companies. Butit's the AI revolution that's going to58000:44:12.239 --> 00:44:14.599be happening in twenty years I think, right, And you don't have to58100:44:14.639 --> 00:44:17.719catch it in the in the infantstage. You got to catch it in58200:44:17.800 --> 00:44:22.880their like elementary stage and teenage stagebefore they become adults. We've been a58300:44:22.880 --> 00:44:28.639client today or on Friday that wastalking about they own Applestock. But when58400:44:29.320 --> 00:44:32.599Steve Jobs died, her husband convincedher to sell it, and she was58500:44:32.679 --> 00:44:37.119like, okay, okay. Attwenty dollars a share, that's where her58600:44:37.199 --> 00:44:39.159unicost was. They sold it.She made some money, she said,58700:44:39.159 --> 00:44:44.400but obviously that was eight years ago. A lot different if you just held58800:44:44.440 --> 00:44:46.320it and that was like a grossstage. You didn't know because when Steve58900:44:46.440 --> 00:44:49.360Job's that you didn't know what wasgoing to happen. But it was in59000:44:49.400 --> 00:44:52.280a gross stage that was kind ofin a sense elementary from what they've done.59100:44:52.320 --> 00:44:54.199Now. Well, that's my point. You'll have an opportunity. You59200:44:54.199 --> 00:44:58.519don't have to go with all thesenewsletters and all these things that are out59300:44:58.519 --> 00:45:01.119they try to find that stock that'sthree four dollars out there that's going to59400:45:01.159 --> 00:45:05.719be the next Amazon or the nextApple, or the next thing. Let59500:45:05.719 --> 00:45:09.880them mature, let them become something. You had many opportunities to buy Apple59600:45:10.079 --> 00:45:14.880over the last ten years that wouldhave made you tons of money. I59700:45:15.119 --> 00:45:20.239do think there are things with theApple product, the iPhone. It takes59800:45:20.280 --> 00:45:23.360so many products that used to betraded companies and are no longer. For59900:45:23.400 --> 00:45:27.639example, your camera that you usedto buy the company used to make them,60000:45:27.719 --> 00:45:32.119Like what are they the camera company? Or no Kia, no,60100:45:32.119 --> 00:45:37.400no Kia, whatever the idea is. You have calculators. A company used60200:45:37.400 --> 00:45:40.239to make calculators they don't know andbuys Kodak exactly. That was what was60300:45:40.320 --> 00:45:45.079Kodak. So your your camera isnow in your iPhone. Apple took that60400:45:45.119 --> 00:45:50.159market share away from Kodak. Thecalculator. Apple took the trans They are60500:45:50.199 --> 00:45:52.039coming up with more and more.They just came out with this translate product.60600:45:52.400 --> 00:45:55.840Anyone who has a translate product,your company's done because it's now an60700:45:55.840 --> 00:46:02.199Apple. They are constantly involving moreand more products. Their portfolio of products60800:46:02.480 --> 00:46:07.599is so much more vast than theold people. I mean Google, They're60900:46:07.639 --> 00:46:09.559making cars, they're making phones,they're making the search engine. They have61000:46:09.639 --> 00:46:13.840YouTube much saying the Apples, you'regoing anywhere in the next five, ten,61100:46:14.000 --> 00:46:19.719fifteen years. It took IBM whatthe Dave eighties, nineties, two61200:46:19.760 --> 00:46:23.880thousand and one, two thousand andeight, probably fifteen, about fifteen years61300:46:23.880 --> 00:46:29.199ago. So yeah, but okay, on Todd's On Todd's point, Apple's61400:46:29.239 --> 00:46:32.239coming out with watches, with cars, with virtual reality. They're getting into61500:46:32.280 --> 00:46:36.360everything that's going forward. So that'show they're expanding. That's how they're able61600:46:36.400 --> 00:46:38.400to keep up with this growth andstate the largest company for the fifth year61700:46:38.400 --> 00:46:42.519in a row because they're evolving withit. IBM didn't do that, Yeah,61800:46:42.519 --> 00:46:44.519and they also have what they didand they kept doing what they did,61900:46:44.559 --> 00:46:46.760and that's what Intel did too.In the sense of I'm much saying62000:46:46.800 --> 00:46:50.840Apple's going away, IBM didn't goaway. What I'm saying it becomes a62100:46:50.920 --> 00:46:54.679time that the growth there and IBMdoesn't grow as much as the video grew62200:46:54.719 --> 00:46:59.920today. And I think that's becauseIBM did not make the specific investment they62300:46:59.880 --> 00:47:01.679should have twenty years ago and theyhad plenty of money to do same,62400:47:01.719 --> 00:47:06.519where with Intel, things change.You'll see. We're just saying if you62500:47:06.559 --> 00:47:10.159evolve like Apples, continuing just that'sfine. I get it, guys.62600:47:10.480 --> 00:47:15.679All I'm trying to give you issome wisdom from Dave and I that things62700:47:15.039 --> 00:47:20.760in fifteen twenty twenty five years aredifferent than so that what you're looking at62800:47:20.840 --> 00:47:23.280today. And if you can geton board with the AI companies that get62900:47:23.320 --> 00:47:29.840into the teenage type years of theirgrowth and ride that through their maturity into63000:47:29.880 --> 00:47:34.039their old age, that's fine.Video there's still listen. I still think63100:47:34.079 --> 00:47:37.760Apples a young adult. I thinkMicrosoft's an an older adult. That's how63200:47:37.800 --> 00:47:39.480I look at it. We'll beback to the Money Batter Show. It's63300:47:39.519 --> 00:47:45.880the old guys teaching the young guysthat everything isn't the same all the time.63400:47:45.079 --> 00:47:57.599We'll be right back. Say it'sonly name. Welcome back. You63500:47:57.679 --> 00:48:00.400listen to the second hour of theMoney Matter Show. I'm doing Greenberg.63600:48:00.400 --> 00:48:04.079I'm here with Dean Greenberg. Theysure what and Todd Glick. Pretty flat63700:48:04.119 --> 00:48:07.559week, but it was a sixweek positive in a row. The Dow63800:48:07.679 --> 00:48:09.559was actually flat. The sm Pfive hundred was up point two percent,63900:48:09.800 --> 00:48:12.840and to clarify, that was thesix week in a row for the SMP64000:48:13.159 --> 00:48:15.000to be up. The NAZAK wasup point seven percent, the Rustle of64100:48:15.000 --> 00:48:19.119two thousand was up one percent,and the RSP, the equal weight to64200:48:19.239 --> 00:48:22.039SMP, was up point one percent. The Dow was up three points For64300:48:22.039 --> 00:48:27.039the week, SMP was up tenpoints and the NAZAK was up ninety nine,64400:48:27.239 --> 00:48:30.039So nothing really happened, But Imean it was at least in the64500:48:30.079 --> 00:48:32.000right direction. If we say aboutforty six hundred, we could be looking64600:48:32.000 --> 00:48:37.920at about forty six seventy five fortysix forty seven hundred. Let's put it64700:48:37.960 --> 00:48:40.679that way technically now. Analyst onCNBC on Friday they said forty seven to64800:48:40.679 --> 00:48:45.880fifty yere end. If Powell sayswhat we want him to say, Yeah,64900:48:45.920 --> 00:48:47.159well, I can't see how thatwon't be the case. But if65000:48:47.159 --> 00:48:52.039how but Powell says, we're wastingweights outer than mine, whether yeah,65100:48:52.119 --> 00:48:55.800bomboom, you're going to see athirty forty five hundred pretty quickly. That65200:48:55.840 --> 00:48:59.719would not be a good thing.Probably forty four fifty Yep, yeah,65300:48:59.760 --> 00:49:01.119that not be a good thing.You want a fun fact, sure,65400:49:01.159 --> 00:49:04.679I've talked about fun fashion. Youbetter have a fun I do with that.65500:49:04.880 --> 00:49:07.039Enough fun, war fun, Thisis fun, okay? You know.65600:49:07.079 --> 00:49:12.320Warren Buffett has lived in the samehouse in Omaha, Nebraska for sixty65700:49:12.440 --> 00:49:15.400five years, one of the wealthiestmen on the planet. Same house.65800:49:15.719 --> 00:49:20.039He paid thirty five hundred dollars fortry the same cart sixty five years ago.65900:49:20.440 --> 00:49:23.039Is recently what's it worth now?I don't know. He's probably made66000:49:23.079 --> 00:49:28.400some improvements. You think maybe heprobably put a new floor down. It's66100:49:28.440 --> 00:49:30.840crazy, Okay, so thirty fivehundred is probably worth three fifty now.66200:49:31.320 --> 00:49:35.039Yeah, you can't even imagine.Oh, it's a six thousand square foot66300:49:35.039 --> 00:49:37.400house. Oh is it? Orfour thousand? Yeah, but it's in66400:49:37.639 --> 00:49:43.199it's in Nebraska, Omaha, Iguess would be seven hundred thousand is recently.66500:49:43.280 --> 00:49:47.679Deceased partner Charlie Munger lived in thesame house in California for seventy years,66600:49:49.559 --> 00:49:52.039which is kind of funny though,because you have a left Yeah.66700:49:52.119 --> 00:49:53.599Yeah, but they own they bothdon't, you know, have an ownership66800:49:53.599 --> 00:49:58.320in Berkshire Hathaway that owns properties.So like, yeah, they live in66900:49:58.360 --> 00:50:02.599their own but they have a prettybig portfolio properties. It's ironic as when67000:50:02.599 --> 00:50:06.719I'm saying he died at ninety nine, which means the home he bought when67100:50:06.719 --> 00:50:09.079he was twenty nine. Yeah,he still lived in right and it died.67200:50:09.400 --> 00:50:12.880Yeah. It's just mind bogging,isn't it. Yeah. They don't67300:50:12.880 --> 00:50:15.400do it for themselves, but they'lldo it for business. Crazy. He67400:50:15.679 --> 00:50:21.000well, it's crazy, is theywere the wealthiest people that leave led the67500:50:21.119 --> 00:50:23.679cheapest life. I mean, Imean, I'm sure they gave money to67600:50:23.679 --> 00:50:28.440people and did things okay, youknow, charities and stuff, but they67700:50:28.480 --> 00:50:34.440never enjoyed life with it. Well, I don't know about that. Coming67800:50:34.519 --> 00:50:37.480They were value investors. I thinkDean's right here. When you have a67900:50:37.559 --> 00:50:42.119value, everything is based on value, and everybody, everybody makes value.68000:50:42.360 --> 00:50:47.920Everybody's opinion of what enjoying life isis different. Point and you have nowhere68100:50:47.920 --> 00:50:52.599near the money that won buffer thatlived more than three houses at the end68200:50:52.599 --> 00:50:58.599of the day. Okay, beingcheap, you think it's being frugal and68300:50:58.599 --> 00:51:01.320stuff. Not realizing, guys,you do things and buy things or build68400:51:01.360 --> 00:51:06.599things, you're also creating jobs forpeople. Yeah, well then they I68500:51:06.639 --> 00:51:07.760think they've created a lot of jobsfor people, and they own a lot68600:51:07.800 --> 00:51:12.960of companies they've started and create thosejobs. They didn't create those jobs.68700:51:13.199 --> 00:51:15.280They bought those companies to make money, period. They didn't create jobs.68800:51:15.519 --> 00:51:20.280In fact, it probably laid peopleoff and create jobs for Apple, he's68900:51:20.360 --> 00:51:22.960bought a lot of Apple stock.That that's true. That's true there.69000:51:22.000 --> 00:51:27.480But ivery think some of the thingsthey did, they did Who created that?69100:51:27.800 --> 00:51:30.719Berkshire built that? They built thatone, but I no like talking69200:51:30.719 --> 00:51:34.400about that. Warren Buffett is givenaway ninetynine percent of his wealth when he69300:51:34.440 --> 00:51:38.480passes away out of Charlie Munger decidedto do him and what gates and they69400:51:38.559 --> 00:51:42.559want to get all that is givenaway ninety nine of it. They have69500:51:42.599 --> 00:51:45.599interesting personal life. Charlie Munger Ithink had nine kids and two or three69600:51:45.599 --> 00:51:51.599wives. Warren Buffett's wife has livedin California for fifty years. Obviously fifty69700:51:51.800 --> 00:51:54.360Charlie Munger's value. They have notlived together. She has lived together in69800:51:54.480 --> 00:51:58.079decades and I know that. Sothen you can say that's why he has69900:51:58.199 --> 00:52:00.599no money to spend, because shewas spending it. All that could be.70000:52:00.800 --> 00:52:02.360Yeah, we don't. We don'tknow how she lives, right,70100:52:02.440 --> 00:52:07.000We don't know how Seriously, Imean, I know everyone praises him.70200:52:07.280 --> 00:52:09.840That's not the style I wanted.And what kind of relationship it does?70300:52:09.880 --> 00:52:13.519What kind of life is that?Your wife is here, you're here,70400:52:13.760 --> 00:52:15.360we are your kids. You neversee anything about his kids? Unusual?70500:52:15.440 --> 00:52:19.280You know what I mean? There'smore to life than just all that money.70600:52:19.760 --> 00:52:22.239Believe me. It's like everyone thatwins a lot of me. Not70700:52:22.320 --> 00:52:24.880everyone, but a lot of peoplethat win the lot of me destroys the70800:52:25.000 --> 00:52:28.719lot. But you see that withgreatness across the board. I mean with70900:52:28.760 --> 00:52:31.039Michael Jordan. He was not goodat a lot of other personal things,71000:52:31.320 --> 00:52:35.480right, but he was the bestbasketball player of all time. He's also71100:52:35.519 --> 00:52:38.400a great business person, a terriblegambler, a degenerate. It's not terrible.71200:52:38.480 --> 00:52:43.280He lost a lot. Why ishe terrible? You know the stories.71300:52:43.360 --> 00:52:47.119He was worth billions. He's neverloses. Him and Barkley don't lose71400:52:47.119 --> 00:52:52.119more than they can afford. It'sit's fun to them. Gambling one hundred71500:52:52.159 --> 00:52:54.360thousand on the golf course is alot different to Michael Jordan than like a71600:52:54.400 --> 00:52:59.079normal like me. Okay, youcan just watch thirty for thirties about Jordan's71700:52:59.159 --> 00:53:04.320gambling. It pretty impressive, Sodon't get me stay point. The point71800:53:04.400 --> 00:53:07.440is greatness takes all of your attentionand meaning. If you want to be71900:53:07.519 --> 00:53:10.920the best at something, you reallygot to put everything towards just that,72000:53:10.960 --> 00:53:15.840and you're not going to spend timeon other things in life like personal at72100:53:15.920 --> 00:53:19.480hornets for four billion dollars, it'sbasketball. Yeah, just like he was72200:53:19.519 --> 00:53:22.400great at playing, but he wasrunning the team. He's a great businessman,72300:53:22.800 --> 00:53:27.679he's a multi billionaire. Don't tellme what it wasn't great at what72400:53:28.199 --> 00:53:32.360he did, not everything, becauseyou you're never going to be great at72500:53:32.360 --> 00:53:37.360anything if you're going to be greatbecause you saying That's what my point was.72600:53:37.679 --> 00:53:38.880All right, So here's another funfact. We need to keep moving.72700:53:39.880 --> 00:53:43.239Let me give you another fun fact. Maybe take your mind off this72800:53:43.360 --> 00:53:51.679this hate. There are two reallygood buddies. Haven't added last day of72900:53:51.679 --> 00:53:55.239this year? Pretty special? What'sthe last day of two three? Very73000:53:55.239 --> 00:53:58.800good dying? One two three,one two three? How can they?73100:53:58.840 --> 00:54:01.039How can they're not in well?When the last days one two three,73200:54:01.039 --> 00:54:07.800one two three? We got toput on Michael Jackson three No, no,73300:54:07.039 --> 00:54:10.480mikel Jackson. You know ABC,it's easiest one and two three.73400:54:10.880 --> 00:54:19.000That's that's the new one. He'sgot to write this down, Yeah,73500:54:19.039 --> 00:54:21.360one two three, one two three. If you want to stray down,73600:54:22.079 --> 00:54:24.920there you go. One two three, one two three there you gos.73700:54:24.960 --> 00:54:30.519And going back to companies and bigcompanies that continue to you're all in a73800:54:30.559 --> 00:54:32.079different way. It was a funfact. But going back to companies that73900:54:32.079 --> 00:54:36.599we're talking about, continue to growwith the new things coming out. Google74000:54:36.719 --> 00:54:40.639just released Gemini, which is theirmost capable AI model to compete with chat74100:54:40.719 --> 00:54:45.480GPT, which is owned by Microsoftfor the most part. It'll include three74200:54:45.480 --> 00:54:49.599different sizes, Gemini Ultra, GeminiPro, and Gemini Nano. Gemini Ultra74300:54:50.000 --> 00:54:52.760is their largest, most capable categoryand the other ones just offer a little74400:54:52.840 --> 00:54:58.480less aspects to it. But Googleis playing the licensed Gemini to customers through74500:54:58.519 --> 00:55:00.519Google Cloud for them to use andtheir own applications. Gem and I will74600:55:00.559 --> 00:55:07.559also be used to power which triesto answer these search queries with controversial conversational74700:55:07.559 --> 00:55:10.199style text. So you're gonna beable to use it like on your phone74800:55:10.320 --> 00:55:13.840on your computer, but you're goingto be in a sense like lease it74900:55:13.880 --> 00:55:15.719out, and that's how they're goingto monetize it. Kramer's was out in75000:55:15.800 --> 00:55:20.519the Silicon Valley this past week JimKramer, and he came back in his75100:55:20.559 --> 00:55:25.360take was that the company that ismonetizing AI the best right now is Microsoft.75200:55:27.840 --> 00:55:29.679Well, they're ahead of it thegame. Yeah, but this is75300:55:29.719 --> 00:55:35.039Google's competition to it to Chat GPT. Have you guys been watching what's going75400:55:35.039 --> 00:55:38.320on with Tesla over in Sweden?No, they're they're they're they're trying to75500:55:38.599 --> 00:55:43.480they're trying to unionize, right,They're workers in Sweden are trying to unionize,75600:55:43.760 --> 00:55:49.079and they've now garnered support from thepostal workers who refuse to deliver license75700:55:49.119 --> 00:55:57.599plates, and last week the DOCworkers refusing to unload Tesla cars. They've75800:55:57.639 --> 00:56:04.079got about sixty percent sixty percent becausethe Tesla workers want to unionize and Tesla's75900:56:04.119 --> 00:56:07.800fighting them, and the postal servicenow won't deliver license plates. The dock76000:56:07.880 --> 00:56:12.599workers won't unload the Tesla cars becausesixty percent of blue color workers in Sweden76100:56:12.920 --> 00:56:16.840are union So they're all getting aMuscus sued, of course, but little76200:56:16.880 --> 00:56:21.119impact on the stock. You know, thirty two percent of all new cars76300:56:21.119 --> 00:56:25.239sales in Sweden are electric versus ninehere. Norway is number one. I76400:56:25.280 --> 00:56:29.639didn't know this. Norway is numberone. Eighty percent of all new car76500:56:29.719 --> 00:56:32.679sales in Norway are electric. AndI had a friend of mine from Europe76600:56:32.920 --> 00:56:37.760who was visiting, and he said, you guys are so far behind in76700:56:37.800 --> 00:56:40.920this whole electric thing. Could youknow what? Norway also probably has good76800:56:42.039 --> 00:56:45.760energy grid? Yeah, probably,they probably have some nuclear power plants.76900:56:45.960 --> 00:56:49.480Also, they probably do people whichis the size of Phoenix. Yeah,77000:56:49.559 --> 00:56:52.559okay, so it's a lot easierto do that. That's the reason eighty77100:56:52.559 --> 00:56:55.480percent of the people want electric carsbecause they're small, not like the car77200:56:55.519 --> 00:56:58.840grid and stuff. So it's easierto say eighty percent of it. I77300:56:58.840 --> 00:57:00.079mean, well, the whole car, the whole EU. It has been77400:57:00.079 --> 00:57:04.400ahead of the Yeah, I wassurprised at that, but that because it77500:57:04.440 --> 00:57:06.800seems like it always feel wh wouldyou be surprised at that, because it77600:57:06.800 --> 00:57:08.960feels like as Americans, we alwaysfeel like we're cutting edge on everything.77700:57:09.039 --> 00:57:13.960Right. Oh, no, they'rereal big on regulation. We have think77800:57:14.000 --> 00:57:16.360about how vast the country is.Like Dylan said, if you have a77900:57:16.400 --> 00:57:21.199country the size of Phoenix, youcan put in a power good there over78000:57:21.239 --> 00:57:24.639the ten years that that will fillsuit everybody. The power good here is78100:57:24.679 --> 00:57:28.320four times what it was twenty yearsago. No, I'm just saying it's78200:57:28.320 --> 00:57:31.000four times the size of was twentyyear to build that infrastructure quicker in a78300:57:31.760 --> 00:57:36.760country full of Phoenix size in thesense of population. But regardless of what78400:57:36.840 --> 00:57:38.880kind of power grid you have,you also have to have people who are78500:57:39.000 --> 00:57:44.000wanting to buy it. Like acar, we only have about forty percent78600:57:44.039 --> 00:57:46.000here, if I'm not mistaken,how many are in Phoenix or how many78700:57:46.000 --> 00:57:50.280are in LA. How many carsare in LA compared to Norway? About78800:57:50.280 --> 00:57:55.320twenty five percent of LA is andwe're talking that's a huge mark. Right.78900:57:55.320 --> 00:57:58.760But if they go to the carddeal is a socialist country, they79000:57:58.760 --> 00:58:00.079go and say, I want toeat. That's what we're going to do.79100:58:00.280 --> 00:58:04.559Maybe they're maybe they're getting a betterincentives or something. I mean,79200:58:04.559 --> 00:58:07.440you can't force people to buy acertain of car. No, we're not.79300:58:07.760 --> 00:58:10.599We're making them available. We're not. We are trying to make people79400:58:10.639 --> 00:58:14.679by eave. It's by saying we'regoing to be done with gas cars by79500:58:14.679 --> 00:58:19.400two thousand. Well, Blues States, those eleven Blues Days Michigan just said79600:58:19.400 --> 00:58:22.239that twenty thirty they're done with gaspower cars. Is that insane or what?79700:58:22.000 --> 00:58:25.000When they have FOURD there, it'sjust nuts, It's just nuts.79800:58:25.039 --> 00:58:30.000I mean, that can't possibly happen. Yeah, Well, we've talked about79900:58:30.000 --> 00:58:32.440on the show. The energy gridis very important for EV's to make sense,80000:58:32.719 --> 00:58:37.519or otherwise you're just substituting one problemfor another. Well, and then80100:58:37.559 --> 00:58:40.639the other thing that when you talkabout EV's is most of the charging is80200:58:40.679 --> 00:58:45.000done overnight when the grid isn't beingused. So it really isn't that big80300:58:45.039 --> 00:58:50.440a deal. Yeah. Yeah,again, though it's really the carbon issue80400:58:50.599 --> 00:58:53.719to begin with to create the carin the first place, assuming you're buying80500:58:53.719 --> 00:58:57.800the car to save the world.If you're buying the car, isn't that80600:58:57.840 --> 00:59:00.719the purpose of EV's. No,the purpose of evs have the greatest time80700:59:00.719 --> 00:59:04.719in your life for you. It'snot the reason they're putting these regulations in80800:59:04.760 --> 00:59:07.119place. No. I mean,and that that'll come with time. That'll80900:59:07.119 --> 00:59:09.440come with time. It's just amatter of getting it perfected. Yeah.81000:59:09.480 --> 00:59:16.079I think you can make twenty hybridbatteries for one EV. But that battery81100:59:16.199 --> 00:59:19.920it takes for all the lithium.Yeah, drost finger, and I hope81200:59:19.920 --> 00:59:22.679they don't catch fire in your garage. No, the plug ins, the81300:59:22.719 --> 00:59:25.199plug in hybrids. No, actually, twenty twenty to twenty twenty three,81400:59:25.199 --> 00:59:28.599so I don't think they had plugginin twenty twenty, did they? I81500:59:28.599 --> 00:59:30.960don't know, pretty sure, Iactually don't know. I've got a really81600:59:30.039 --> 00:59:34.880interesting TV garage. But Sebastian herefirst. Hello, Hi buddy, Hey,81700:59:35.880 --> 00:59:37.920let's have it. So we gota couple questions in if you guys81800:59:37.920 --> 00:59:42.199need If you have any questions sinceyou wanted to answered here on the Money81900:59:42.199 --> 00:59:47.159Matter Show, you could email usat contact that's green Contact Greenberg Financial dot82000:59:47.159 --> 00:59:52.719com. Right, I'm sorry,contact at Greenberg Financial dot com. Yes,82100:59:52.840 --> 00:59:54.880right, correct? All right?The first question, can you write82200:59:54.880 --> 00:59:58.039that down? I was writing stuffdown for Dean, tried to write it82300:59:58.039 --> 01:00:00.960down. I'm gonna write it downnext week. All right, Okay,82401:00:00.960 --> 01:00:05.519go ahead. This question comes infrom Curtis. Uh. Bitcoin has had82501:00:05.519 --> 01:00:07.400a significant run up lately. Whydo you think this? Is Todd?82601:00:07.400 --> 01:00:12.000What do you think? Bud weall default the Todd? Yeah, well82701:00:12.039 --> 01:00:15.400he's the bitcoin boy is Yeah.I mean digital asset inflows total one hundred82801:00:15.400 --> 01:00:19.639and seventy six million dollars last week, that reached that's now reaching a ten82901:00:19.679 --> 01:00:22.400week total of one point seven tosix billion. That's the highest since October83001:00:22.400 --> 01:00:27.519twenty one. So obviously that's thereason a lot of funds are getting flowed83101:00:27.519 --> 01:00:30.559in. Why are the funds gettingflowed in? It's because of the potential83201:00:30.559 --> 01:00:35.199spot ETF that is getting approved forblack Rock by the SEC. If that83301:00:35.320 --> 01:00:37.679happens, this is gonna go runeven more, and a lot of these83401:00:37.679 --> 01:00:42.400people are expecting that to happen,and that's why they're pricing the bitcoin price83501:00:42.480 --> 01:00:45.199higher. On top of that,you have a really bullish set up for83601:00:45.360 --> 01:00:49.639twenty twenty four because that's when thehappening of the bitcoin mining reward happens.83701:00:50.440 --> 01:00:52.119For people who don't know what happeningmeans, it means the reward that's currently83801:00:52.159 --> 01:00:57.119six point one twenty five for solvinga bitcoin block will be cut in half83901:00:57.320 --> 01:01:04.519to about three points something that isbitcoin's monetary policy, which helps reduce supply,84001:01:04.719 --> 01:01:08.840which then helps increase price. Intheory, that's everyone's kind of bullish84101:01:08.960 --> 01:01:13.760set up for twenty twenty four ofthe happening, as well as more inflows84201:01:13.760 --> 01:01:17.519from institutional investors by this spot ETFand I think there's also a big fomo84301:01:17.639 --> 01:01:21.679going on, you know, thefear is actually not and that was very84401:01:21.679 --> 01:01:25.599surprised by that because I saw achart on bitcoin interest. Unlike past bitcoin84501:01:25.639 --> 01:01:30.000runs, at least so far,there's no real sign of major public fomo.84601:01:30.199 --> 01:01:34.760What turns bitcoin interest though, like, how are you monetizing that?84701:01:35.199 --> 01:01:39.519So the amount of people that havebitcoin related securities holdings. So an article84801:01:39.599 --> 01:01:45.920not too long ago the twelve percentof the public trust bitcoin twelve percent,84901:01:46.400 --> 01:01:50.559just a slightly above the number ofeds. I wonder, I wonder,85001:01:50.679 --> 01:01:55.199what's the public percentage that trusts thegovernment? Zero? Okay, so bitcoin's85101:01:55.199 --> 01:01:59.840winning then. So the whole ideais that, you know, if you're85201:01:59.880 --> 01:02:02.159not gonna have you don't have fomo. Yeah, it's just very surprising to85301:02:02.239 --> 01:02:07.480me. So you just have toexpect a consolidation at some point bitcoins price.85401:02:07.559 --> 01:02:12.280It's just it just looks so goodon the chart that I don't see85501:02:12.280 --> 01:02:14.719it, but it has to.Nothing goes up straight to the to the85601:02:14.960 --> 01:02:17.760just keeps going. All right,Ryan, This one comes in from Ryan.85701:02:17.920 --> 01:02:22.599Is there is there an advantage ofgiving an asset instead of giving cash85801:02:22.320 --> 01:02:27.079gift? It's kind of a loadedquestion. Yeah, well it depends.85901:02:27.159 --> 01:02:32.559I mean there the advantage really isto the giver. The advantage is not86001:02:32.719 --> 01:02:37.280to the receiver. It like ifthe if the receiver is receiving an asset,86101:02:37.360 --> 01:02:43.039they're receiving the cost basis of thegiver. Yeah, it's like the86201:02:43.239 --> 01:02:45.800gift would come in, I madeyou my beneficiary from IRA, so you86301:02:45.800 --> 01:02:50.119get that step up basis when theypassed away, not the IRA. Iras86401:02:50.119 --> 01:02:51.840don't have to step up. No, No, I'm sorry, Yeah,86501:02:52.119 --> 01:02:55.440trust Trust brokeray account. But butthat's so, I say, you give86601:02:57.239 --> 01:03:00.960one hundred years of Apple at onehundred and ninety dollars right cost basis is86701:03:00.000 --> 01:03:06.639twenty, you got a seventeen thousanddollars capital game that you've just inherited.86801:03:06.840 --> 01:03:08.840Yeah, here, here, Ihave this because I don't want it.86901:03:09.159 --> 01:03:15.519So cash certainly is a much betterthing to receive than a gift of securities.87001:03:15.480 --> 01:03:19.480Right, that makes sense. Ifyou have any stubborn family members,87101:03:19.519 --> 01:03:22.679just gift them your capital gains,I guess, exactly, exactly. So87201:03:22.719 --> 01:03:28.679we talked on this show about howEurope and the UK they're going to be87301:03:28.679 --> 01:03:32.280cutting rates a lot faster than theUS, and that's because of their economic87401:03:32.360 --> 01:03:37.559activity. Their GDP is just almostnegative. I mean, I think actually87501:03:39.800 --> 01:03:45.639the Eurozone contracted this last quarter byjust barely point one percent. They expect87601:03:45.639 --> 01:03:49.239them to also contract in the fourthquarter. That technically signals a recession.87701:03:49.719 --> 01:03:52.800Also in the UK, their GDPis next to zero. So from the87801:03:52.840 --> 01:03:55.679central banks point of view, inboth of those regions, they're going to87901:03:55.719 --> 01:03:59.480say, hey, this is timewhere we should start cutting rates to help88001:03:59.519 --> 01:04:02.719promp up their economy. That's goingto be a kind of a read through.88101:04:02.760 --> 01:04:05.800I think for the US. Iagree, I agree, you're a88201:04:05.840 --> 01:04:09.760temp for a trip to the EVgarage. Let's go kind of interesting.88301:04:10.239 --> 01:04:15.239Interesting report this week, Consumer Reportsrecently issued a new report that show's electric88401:04:15.519 --> 01:04:21.440vehicle owners are reporting far more problemswith their vehicles than owners of conventional cars88501:04:21.480 --> 01:04:28.239or hybrids. A survey of threehundred and thirty thousand vehicle owners showed that88601:04:28.320 --> 01:04:33.760EV owners are reporting nearly double theproblems of internal combustion cars, while hybrids88701:04:33.800 --> 01:04:42.000reported twenty five percent fewer issues thaninternal combustion cars. However, however,88801:04:42.800 --> 01:04:46.159the report went on to say theproblems are largely related to car companies that88901:04:46.199 --> 01:04:51.039are new to the EV market.For the first time. Last week,89001:04:51.119 --> 01:04:57.760Consumer Reports is recommending the Tesla Model. Y recommended to buy the Tesla Model89101:04:57.760 --> 01:05:00.519Why, which in just four yearshas become one of the top selling cars89201:05:00.519 --> 01:05:04.159in the world. That's the SUV. I least my cat, well,89301:05:04.159 --> 01:05:09.400at least my test lie. Ifigured that Tesla has been making evs for89401:05:09.480 --> 01:05:13.360twelve years, right, everybody elsehas been doing it for about twelve minutes.89501:05:14.280 --> 01:05:16.880So I'm figuring if anybody's got thisfigured out, it's going to be89601:05:16.880 --> 01:05:21.480Tesla And it sounds like I mayhave been right. Do you drive the89701:05:21.480 --> 01:05:26.119Model Y? I do? Ido. I'm an suv guy, so89801:05:26.239 --> 01:05:30.280whatever the suv was, then ithappened to be the Model Y. It89901:05:30.400 --> 01:05:33.719also ranked and I'm not trying tosell Model ys here, but Model Y90001:05:33.840 --> 01:05:40.920also was. Europe has new safetystandards for automobiles that were implemented this year,90101:05:41.639 --> 01:05:45.559and in the initial run through,the number one safest car in that90201:05:45.599 --> 01:05:51.239survey was the Tesla Model Y.Did you see there's a video out there90301:05:51.239 --> 01:05:55.880with the cyber truck crash video?No, it is ridiculous. How good90401:05:55.880 --> 01:05:58.320that is? It crashed straight intoit like the wall, like they do90501:05:58.679 --> 01:06:01.159hardly anything into the cabin. Areyou serious? I don't. I think90601:06:01.159 --> 01:06:04.400it's going like forty or something thirtyAnd it's bulletproof, right, And it's90701:06:04.679 --> 01:06:08.639bulletproof? Is that true? Butwe can't figure that out, right,90801:06:08.679 --> 01:06:12.840I mean they've talked about that andthey I was watching. The body is90901:06:12.880 --> 01:06:17.440bulletproof, right, what the body'sbulletproof? The bullet the windows were to91001:06:18.239 --> 01:06:21.519have to into it, but thenyou have to roll them. There's the91101:06:21.760 --> 01:06:24.679trade off there, right, Youcan roll them down, so if you're91201:06:24.679 --> 01:06:27.679gonna go eat fast food or something. You can't really do that. I91301:06:27.800 --> 01:06:30.199just I'm just dying to see myfirst, uh my first Tesla truck on91401:06:30.239 --> 01:06:34.159the road because it looks just horrific. I'm actually pretty excited to see it.91501:06:34.239 --> 01:06:40.320Yeah, but for me, itjust looks ridiculous. That looks like91601:06:40.519 --> 01:06:45.800the Flintstones or the Jetson's or somethingforty nine Acolytic video. Yeah, so91701:06:45.920 --> 01:06:49.239bizarre. But and maybe in person, Todd, you mentioned if someone saw91801:06:49.280 --> 01:06:51.920one in person who said it waskind of cool. That's what people are91901:06:51.960 --> 01:06:55.719saying. It's saying it looks terriblein pictures, but it looks better in92001:06:55.719 --> 01:06:59.880person. I remember a few shortyears ago driving around town and I would92101:07:00.000 --> 01:07:00.960see a Tesla and I go,oh, there's one of those Teslas.92201:07:00.960 --> 01:07:05.239It was so rare to see aTesla. Now you cannot run an errand92301:07:05.280 --> 01:07:11.480without seeing a cloud a cloud licenseplate, just you can't. So it's92401:07:11.519 --> 01:07:15.519coming, and Tesla. I gotsome. I read an article earlier this92501:07:15.599 --> 01:07:19.679week about that, and it wasTesla is by far the most profitable one.92601:07:20.559 --> 01:07:26.039There's only one other company. It'sI forgot the name of it.92701:07:26.039 --> 01:07:30.800It's only one other profitable company.Or sorry, there's two. It's byd92801:07:30.960 --> 01:07:33.159andle Otto are the only other twoevs that have been profitable like Tesla.92901:07:33.239 --> 01:07:38.199But Tesla owns seventy percent of thatprofit. You got all the ones throughout93001:07:38.199 --> 01:07:40.880the last couple of years from liketwenty nineteen, Nicola, fisk Er,93101:07:40.960 --> 01:07:45.400Rivi, and Lucid, Neo Xping, Polarster, Canoe, Lorstown Motors all93201:07:45.440 --> 01:07:47.000at one point from twenty nineteen totwenty twenty one, they had a combined93301:07:47.360 --> 01:07:51.039market cap of four hundred and seventybillion dollars when interest rates for zero percent,93401:07:51.079 --> 01:07:55.559two percent all that today it's justpumping them up. Today the market93501:07:55.559 --> 01:08:00.639cap combined is fifty nine million,sorry, fifty nine billion, seven percent93601:08:00.719 --> 01:08:05.280drop. People are getting tired ofthese nonprofit, nonprofitable EVS companies. Well,93701:08:05.280 --> 01:08:08.760I want to hear it with Teslabecause it's profitable. I want to93801:08:08.800 --> 01:08:14.559hear Ford and GM struggling with evsand stallantas so they're brand new to it.93901:08:14.800 --> 01:08:16.520Where do you think where was Teslatwelve years ago? They were struggling.94001:08:16.680 --> 01:08:20.479No that You just look at Toyotaand Honda and compare that to Ford94101:08:20.520 --> 01:08:25.319and GM and you can see ahuge divergence in price performance because of just94201:08:25.399 --> 01:08:28.600that. We well, we knowthat Tesla made one hundred and eighty degree94301:08:28.640 --> 01:08:30.680pivot in April when they got thenew CEO. They went from you know,94401:08:30.720 --> 01:08:33.880they were all hybrid. You meanToyota Tesla, I say, he94501:08:33.920 --> 01:08:38.520said, Tesla, I'm sorry,Toyota. Back in April when they got94601:08:38.520 --> 01:08:42.439the new CEO, they went fromall hybrid to pretty much all electric.94701:08:42.880 --> 01:08:45.520And it's gonna be interesting because they'recoming with technology that we haven't seen.94801:08:45.840 --> 01:08:50.359What will that do to the marketfor Tesla's If Toyota comes with a one94901:08:50.399 --> 01:08:54.680thousand mile range that can be chargedin ten minutes, that's just interesting.95001:08:54.720 --> 01:08:58.039How Toyota did that one eighty withone new CEO, because I mean,95101:08:58.079 --> 01:09:00.640the founder was all CEO and president. He was like, we're not going95201:09:00.680 --> 01:09:02.960full electric, We're keeping the hybrids. It works well, we'll slowly get95301:09:02.960 --> 01:09:06.560into electric. Yep. He retiresa month later. Okay, we're going95401:09:06.600 --> 01:09:10.640all electric and that's all. I'lltell you what crazy. My prediction for95501:09:10.720 --> 01:09:15.359twenty twenty four is that EV saleswill underperform and hybrid sales will all perform95601:09:15.560 --> 01:09:18.479because interest rates won't go down asmuch, so people can't make evs affordable,95701:09:18.720 --> 01:09:23.039and that's been the real problem withEV sales growth going forward, is95801:09:23.079 --> 01:09:26.520that affordability issue. So I thinkpeople are not really looking at that.95901:09:26.640 --> 01:09:30.920Like there's obviously increased interest I don'tthink that will slow down the increased ability96001:09:30.079 --> 01:09:33.640to buy that car will go downbecause of interest rates, saying and not96101:09:33.680 --> 01:09:36.640going down as fas as people expect. People don't have the savings they used96201:09:36.640 --> 01:09:40.399to have. People already have anew car if they wanted a new car96301:09:40.439 --> 01:09:43.920in the last three years. Itjust doesn't seem like a good setup for96401:09:44.319 --> 01:09:47.800real big sales growth in EVS whenyou can get the alternative hybrid for a96501:09:47.880 --> 01:09:53.199cheaper The other thing is is it'sa matter of numbers too. Like you96601:09:53.279 --> 01:09:56.359go from one to two, that'sone hundred percent increase. Right, you96701:09:56.439 --> 01:09:59.640go from two to three, that'sa fifty percent increase. You got three96801:09:59.680 --> 01:10:02.560to four, that's a thirty threepercent increase. So when you hear about96901:10:02.880 --> 01:10:09.000sales the growth of EV slowing,that's what's happening here over here. It's97001:10:09.079 --> 01:10:11.479yeah, it's here over ear.This is going to be the number one97101:10:11.520 --> 01:10:15.239year for EV sales ever in history. Uh So, slowing percentage wise,97201:10:15.319 --> 01:10:18.359Absolutely, you can't grow you know, one to two, two to three97301:10:18.399 --> 01:10:23.199two the example I used. Youcan only go so far, and then97401:10:23.319 --> 01:10:26.239then the numbers start to get smaller. And I think that's what Dean was97501:10:26.279 --> 01:10:30.239saying a little bit about the growthof companies like Microsoft and Apple and and97601:10:30.359 --> 01:10:36.119Vidia. Eventually the numbers get sobig it's hard to keep them the growth97701:10:36.479 --> 01:10:40.840to pivot into different directions. AndI think that's what Apple has done a97801:10:40.880 --> 01:10:44.159really good job of just bringing newideas to the table, which you didn't97901:10:44.159 --> 01:10:47.359think they would. They've done aspectacular job. Yeah, their VR Virtual98001:10:47.399 --> 01:10:50.439Reality had said it looks amazing comparedto the oculus and stuff. And the98101:10:50.479 --> 01:10:54.560craziest thing about those companies they haveso much dry powder that if you have98201:10:54.640 --> 01:10:57.720one of those teenagers that thing talkedabout that makes a really cool product,98301:10:57.720 --> 01:11:00.720they just buy them out. Youknow, We've seen it so often Microsoft98401:11:00.800 --> 01:11:05.560Chat GBT right, you know.So Apple's kind of the high tech version98501:11:05.600 --> 01:11:12.119of Amazon. Right, so muchcash, especially in the lawyers and stuff98601:11:12.119 --> 01:11:15.640that when they get the anti treasdentlike the pretty much trying to monopolize things,98701:11:15.640 --> 01:11:17.119they just got to lawsuits buy itanyways, and then it's over.98801:11:17.640 --> 01:11:20.279They have so much cash on theside to do that stuff. Yeah,98901:11:20.279 --> 01:11:25.000we talked a little bit about Rivian. You know, Stifle initiated coverage of99001:11:25.039 --> 01:11:29.880them last week with a buy rating. This Investment Banks thinks industry headwinds will99101:11:29.880 --> 01:11:32.079abate over the next few years,they pointed out, and I'd forgotten about99201:11:32.079 --> 01:11:39.640this. Amazon has agreed to buyten thousand Rivian vehicles I'm assuming to pick99301:11:39.720 --> 01:11:44.199up. No, No, it'sit's delivery tru delivery truck. It's actually99401:11:44.239 --> 01:11:45.560Rivian makes something we don't see onthe road right now. Well, you99501:11:45.600 --> 01:11:48.920see with Amazon trucks, you knowthose Amazon delivery trucks, it's like that.99601:11:49.039 --> 01:11:51.000But for Rivian, they're going tobuy those. Okay, I don't99701:11:51.039 --> 01:11:54.840think I've ever seen a Rivian vanof any that's what they're buying though,99801:11:54.920 --> 01:11:57.800But that's what's not making up truck. They're making it for deliveries. Must99901:11:57.800 --> 01:12:00.960be making it for Amazon, andthey are. That's why we haven't seen100001:12:00.000 --> 01:12:02.319it yet, I think. So. Anyway, we're coming to the end100101:12:02.359 --> 01:12:06.319of the fourth segment. We'll becoming back. We've got Jonathan coming I100201:12:06.319 --> 01:12:10.720think in the last segment, andwe appreciate your joining us. On this100301:12:10.880 --> 01:12:13.960Sunday morning. Without you, thiswhole thing's kind of windless. Well,100401:12:13.960 --> 01:12:26.960thank you, doctor. You're doingsay it's only a man. Welcome back.100501:12:26.960 --> 01:12:29.239You're listening to the Money Matter Show. I'm Dylan Greenberg. I'm here100601:12:29.279 --> 01:12:31.520with talk Lick, Sebastian Borsini,and we got our constant guest on,100701:12:31.640 --> 01:12:35.640Jonathan Sibilia, our state attorney.How you doing. What's happening guys,100801:12:35.800 --> 01:12:42.079Well, let's talk about today.Yeah, absolutely, how you've been been100901:12:42.079 --> 01:12:44.720good? Doing good? You gottatalk a little closer into the mic.101001:12:44.760 --> 01:12:46.399I know this is this isn't evenyour first time. Well, it's a101101:12:46.399 --> 01:12:51.319new seat. So Dave got upand walked away type of Micright, So101201:12:51.319 --> 01:12:53.920what you got for us today?Well, I wasn't ask you. What101301:12:53.920 --> 01:12:56.880would you guys do if you wantto lottery? What was the first thing101401:12:56.920 --> 01:12:59.239you would do? Well? Howmuch money? Yeah? How much money101501:12:59.279 --> 01:13:00.720is it? Okay? Good question. Well let's just say it's a million.101601:13:01.079 --> 01:13:03.520It's a million, that's not alot Okay, how about ten million?101701:13:03.640 --> 01:13:05.640Okay, take a million to dothis is something fun with it,101801:13:05.680 --> 01:13:10.560and then put nine million in differentthings, investments in annuity for later on.101901:13:10.640 --> 01:13:13.560That's the first thing you would do. I put ten million for fun,102001:13:14.359 --> 01:13:16.479I put ten million. I probablybuy a thirty year government because that's102101:13:16.520 --> 01:13:20.159four percent right now, and thenI can get four percent off ten million,102201:13:20.199 --> 01:13:24.119which is four hundred thousand dollars ayear, and I'll just live off102301:13:24.159 --> 01:13:28.000four thousand dollars a year and nevertouch my principal. How about you,102401:13:28.000 --> 01:13:31.399Sebastiana's not going to be ten mil. I'm buying tickets to the univers On102501:13:31.479 --> 01:13:39.000a versus Wisconsin game tomorrow. Getwipe clean after that, right, okay,102601:13:39.000 --> 01:13:40.960But if you get ten mills,what I'm saying, is it that102701:13:41.079 --> 01:13:45.319ten million or a gross ten million? You're asking wrong people this. You102801:13:45.319 --> 01:13:46.880guys are starting to confuse me alittle bit. To make this a simple102901:13:47.000 --> 01:13:51.319question may be a little fun.I'm about to build my financial plan right103001:13:51.319 --> 01:13:57.319now. You'll pull up the planningtool. How about post tax ten million,103101:13:57.439 --> 01:13:59.960post tax ten mill? Yeah?Yeah, take a million to go103201:14:00.039 --> 01:14:01.600have fun and then putt nine millionin loo at thirty year bonner in nudy.103301:14:01.640 --> 01:14:04.039What kind of fun would you dowith it? I don't even know103401:14:04.079 --> 01:14:08.600yet. You don't know Vegas,Dad, do something for Vegas. Yeah,103501:14:08.640 --> 01:14:12.439I probably put two hundred and fiftythousand dollars on black. Hopefully,103601:14:12.720 --> 01:14:14.880hopefully it doubles. I want toat least stand it the whole way.103701:14:14.920 --> 01:14:15.880If I lose, I don't wantto put it, never going to gamble103801:14:15.960 --> 01:14:18.439again. If I win, you'sgotta have fun with self lifelong. You103901:14:18.479 --> 01:14:20.920want to put the majority and somethingsmart that will help you later on it104001:14:21.039 --> 01:14:25.039last. You don't just blow throughit in three years because you buy ten104101:14:25.079 --> 01:14:27.720cars, two houses. Divvy itup a little bit, right, Yeah,104201:14:27.720 --> 01:14:29.840you don't want to put on blackand then head home from the from104301:14:29.880 --> 01:14:31.199got enjoy you win the lot Yougot enjoy a little bit, all right,104401:14:31.199 --> 01:14:33.239the majority and smart things. Butwhat did you do is in a104501:14:33.279 --> 01:14:35.199state point, Yeah, we winlottery. What do we do with it?104601:14:35.239 --> 01:14:38.239Well, you know, I lookat I look at the winning the104701:14:38.279 --> 01:14:40.840lottery. Sometimes it is getting ininheritance. You know, it's not always104801:14:40.920 --> 01:14:45.159nice that your parents or somebody closeyou passes away and you come to all104901:14:45.199 --> 01:14:46.039this money. But the first thingyou need to do is just like I105001:14:46.119 --> 01:14:49.520kind of take a step back,right, you know, don't go out105101:14:49.520 --> 01:14:54.760and go crazy. You know,you hear all these horror stories, but105201:14:54.880 --> 01:14:57.439you want to like just sit thereand like reflect. Okay, here's what's105301:14:57.479 --> 01:15:00.119happening. Here's what I didn't have, and here's what I want, and105401:15:00.119 --> 01:15:02.279here's what I want to do withit, right, you know? Uh?105501:15:02.319 --> 01:15:05.640And then the next thing to docall your financial planner? Right?105601:15:05.720 --> 01:15:12.239You come into it Hard's right,because I came into some money about thirty105701:15:12.279 --> 01:15:16.000thousand dollars that I wasn't expecting awhile back. And the first thing I105801:15:16.000 --> 01:15:18.479want to do is buy car.My wife stopped me and she says,105901:15:18.520 --> 01:15:20.880no, let's buy a house.And that's exactly what we did. And106001:15:20.920 --> 01:15:24.520that thirty thousand dollars, you know, I bought at the right time,106101:15:24.600 --> 01:15:28.439turn into a couple of hundred thousanddollars. Right. So the first thing106201:15:28.479 --> 01:15:30.760you want to do is what reachout your final financial planners? You guys106301:15:30.760 --> 01:15:33.880failed, you know, because youwant to party with Wait wait wait,106401:15:33.960 --> 01:15:36.840I said, financial plan take up? I said, I was building my106501:15:36.920 --> 01:15:40.800financial plan, so I said takea portion and put the majority of it.106601:15:40.920 --> 01:15:44.119And secondly, we are the planners, so we're talking to ourselves already.106701:15:44.239 --> 01:15:45.640I know you guys should be abetter teacher. I'm going to reach106801:15:45.640 --> 01:15:51.119out to Todd. I don't evenknow what to do. What do well?106901:15:51.239 --> 01:15:54.359If you do need a financial planbecause it's just one of a lottery107001:15:54.600 --> 01:15:56.680that is a smart thing, Well, definitely don't put it on black,107101:15:56.840 --> 01:16:00.000right, not all of it.We would Uh, anyone listening with just107201:16:00.039 --> 01:16:03.279won the lottery, it's going togive you a free financial plan. It107301:16:03.399 --> 01:16:06.159just like we give everyone a freefinancial plan, is it? Because I107401:16:06.159 --> 01:16:09.960mean you come into ten million dollarsas gross and you get that money and107501:16:10.000 --> 01:16:12.600you're thirty years old. That changesyour entire life and you can make it107601:16:12.680 --> 01:16:15.600last your entire life if you aresmart with it. If you go blow107701:16:15.640 --> 01:16:17.880it ten million on black in Vegas, you're back to where you were.107801:16:17.920 --> 01:16:21.359You could have a life changing eventwith this lottery and it could really change107901:16:21.359 --> 01:16:25.000you for the next thirty thirty,five sixty years. Yeah, and that's108001:16:25.039 --> 01:16:28.079even if you inherited two hundred thousanddollars, three hundred thousand dollars, four108101:16:28.159 --> 01:16:30.239hundred thousand dollars. If you gotthat kind of money, you know,108201:16:30.279 --> 01:16:33.800the first people you should speak tois your state planner and your financial planner.108301:16:33.880 --> 01:16:36.279Yep. And like what we cando with that is a financial plan108401:16:36.279 --> 01:16:40.800where it can show you what differentscenarios would work and show you how it108501:16:40.800 --> 01:16:45.479would work if you say you putit into just a regular taxtuble account because108601:16:45.479 --> 01:16:46.760you inherited it, show you howthat grows. What if you put it108701:16:46.760 --> 01:16:49.239an annuity and look for income laterdown in life. What if you do108801:16:49.239 --> 01:16:53.439some life insurance because you've got ayoung family. It's different avenues like that108901:16:53.439 --> 01:16:56.199that you could look at with themoney you came into. But you also109001:16:56.319 --> 01:16:59.399in a sense act like a lotof it's not there, yeah there before.109101:16:59.439 --> 01:17:00.520If it's a large some of money, obviously it's going to impact your109201:17:00.560 --> 01:17:03.439lifestyle and may probably make it better. So that will show up and expenses.109301:17:03.680 --> 01:17:05.720So what you have to do isgo to your plan and put a109401:17:05.800 --> 01:17:10.319higher expense number with the extra assets. Doesn't make a difference. Does the109501:17:10.359 --> 01:17:12.560plan work? If it does,cool, can we spend more? You109601:17:12.560 --> 01:17:15.199know, you're able to actually findwhat's the maximum amount you can spend without109701:17:15.439 --> 01:17:19.159making a really bad plan. Andyou can do that with software that we109801:17:19.199 --> 01:17:23.319have today in this world. Sothat's why it's so beneficial. I'm gonna109901:17:23.319 --> 01:17:27.279imagine getting ten million dollars, youknow, fifty years ago, because you110001:17:27.399 --> 01:17:30.560really are just the knowledge that isaround you is what you have. There110101:17:30.600 --> 01:17:31.439was no internet, there well,you know, there wasn't anything that you110201:17:31.479 --> 01:17:34.840could you go to the library.I guess that's the most knowledge you could110301:17:34.880 --> 01:17:39.720get it afforded to you. Sonow you have access and resources all around110401:17:39.760 --> 01:17:43.439you in terms of and really herewe have everything you need. Right.110501:17:43.439 --> 01:17:46.039We have the financial planners. You'reyou're the estate planner. John helps them110601:17:46.039 --> 01:17:48.640with that, and we have youknow, tax planners if we need that110701:17:48.760 --> 01:17:54.159thing. So yeah, yeah,so you know, and I so many110801:17:54.159 --> 01:17:56.760times that people that come into thatmoney and then they just blow it.110901:17:56.760 --> 01:17:59.000They do go to Vegas and theydo put it on black or they do111001:17:59.640 --> 01:18:01.600you know, so uh, youknow, people all around them, they111101:18:01.600 --> 01:18:04.239start you know, hitting you upfor money. Yeah, you know,111201:18:04.279 --> 01:18:08.119hey, can I borrow this?Can I borrow that? So you you111301:18:08.119 --> 01:18:11.359definitely want to speak with you guys. Invest it. I'm gonna start a111401:18:11.399 --> 01:18:14.439business and it's gonna do great.Sometimes the issue is too that like they111501:18:14.479 --> 01:18:16.520make say they win the lottery,it's two hundred thousand dollars. All of111601:18:16.560 --> 01:18:19.119a sudden, their mindset is Imade two hundred thousand dollars this year,111701:18:19.159 --> 01:18:23.920that's gonna be forever. So theystart spending it on stuff that they can't111801:18:23.920 --> 01:18:27.319necessarily forward for five ten years,like like you go buy a one hundred111901:18:27.319 --> 01:18:30.479thousand dollars car, but they couldn'tafford that prior to this lottery. They112001:18:30.520 --> 01:18:32.640bought it like they could for tenyears and that's what your payment whatever.112101:18:32.680 --> 01:18:34.560And that's what I think is goingon with the economy right now, is112201:18:34.600 --> 01:18:38.840you know, so many people hadthe people had all this money for so112301:18:39.079 --> 01:18:42.600long, and now they're still spendingas though they have it, and they're112401:18:42.680 --> 01:18:45.920driving up credit card fees, creditcard debt all time high every month.112501:18:45.000 --> 01:18:48.319The last few months, you got, savings are draining. It's the doom112601:18:48.399 --> 01:18:54.199day doom days spending. It's theidea that these people think they have the112701:18:54.239 --> 01:18:58.600money available because they just came offa period of time where savings rates were112801:18:58.600 --> 01:19:02.439at the highest they've ever been becausewhy people were getting sent money that they112901:19:02.520 --> 01:19:05.880didn't work for. Obviously, mostpeople just save that because I never I113001:19:05.880 --> 01:19:10.319didn't need in the first place.So you know, cash levels were at113101:19:10.359 --> 01:19:14.039all time high for households. They'reback down to pre pandemic levels now.113201:19:14.199 --> 01:19:16.279But you're right, Joan, peopleare still spending like they're in the pandemic,113301:19:16.359 --> 01:19:19.920getting those you know, stimulus checks, and they're using it on their113401:19:19.920 --> 01:19:24.239credit card because they're not getting stimuluschecks, right, and then we're seeing113501:19:24.279 --> 01:19:29.800delinquency, you know, increase becauserates increasing trying those credit card rates are113601:19:30.239 --> 01:19:32.600they're getting crazy, they're getting crazy. Sent at the highest average twenty five.113701:19:33.520 --> 01:19:35.920Seen a lot. Yeah, bankruptcytourneys going to be in. The113801:19:36.000 --> 01:19:41.119other interesting thing you were you bringingup was you know chat GBT and how113901:19:41.159 --> 01:19:45.279that's kind of trying to disrupt theestate planning world and maybe failing it trying114001:19:45.319 --> 01:19:48.840to do So what what kind ofsome of the stories you've been hearing in114101:19:48.840 --> 01:19:55.000that space. Well, you know, the area of the line man is114201:19:55.079 --> 01:19:58.960very state specific. Okay, soI mean outside the tax that's federal,114301:19:59.000 --> 01:20:01.840but you know when it the youknow, wills, trusts, probate,114401:20:01.960 --> 01:20:08.479that's all states specific. So everybody'sin every state's got thrown law. And114501:20:09.439 --> 01:20:13.119what's happening now is that people aretrying to avoid having to spend any money114601:20:13.119 --> 01:20:16.640on attorneys or or you know,at least consult with one, right,114701:20:16.720 --> 01:20:19.840and so there is all these diys. So they got to chat GBT,114801:20:20.000 --> 01:20:26.359which is pretty incredible software. Butyou know, uh, I was reading114901:20:26.359 --> 01:20:29.880a blog or an article recently theywere saying that somebody said, creat a115001:20:29.920 --> 01:20:32.159will for me for all fifty states, and they created fifty wills, and115101:20:32.159 --> 01:20:38.600they were basically identical. Can't havethat, okay, And one, if115201:20:38.640 --> 01:20:41.720you have too many mistakes, orif you have one mistake, that will115301:20:41.800 --> 01:20:43.960is going to get thrown out andwe're going to probate, or well you'll115401:20:44.000 --> 01:20:47.079probably be in probate. But nowyou know we're causing problems. Let's say115501:20:47.079 --> 01:20:50.479you wanted everything to go to youknow, your cousin sal and not to115601:20:51.199 --> 01:20:56.199ant Loretta. Well you're kind ofin a little bit of trouble because if115701:20:56.199 --> 01:20:59.920the will gets thrown out, we'regoing we're having to follow what's called intestases115801:21:00.359 --> 01:21:05.880statute, and that basically means isthe closest closest air to you will inherit115901:21:05.920 --> 01:21:10.760everything and you no longer have awill that will stand up in court.116001:21:11.159 --> 01:21:15.399So long story short, you know, DIY is not always a good thing116101:21:15.479 --> 01:21:18.520because if you want to avoid spendingtwo fifty to five hundred dollars on a116201:21:18.560 --> 01:21:25.800will, you may cause all sortsof ruckus after you pass away. Their116301:21:25.840 --> 01:21:29.680beneficiary is an off officially fighting andsomething that could have been avoided by spending116401:21:29.720 --> 01:21:32.600five hundred, now you're spending five, ten, fifteen thousand dollars turning fees.116501:21:33.079 --> 01:21:35.279Yeah, I mean it's tough onpeople trying to think that it's just116601:21:35.359 --> 01:21:39.359a piece of paper that you're payingfor. But at the end of the116701:21:39.439 --> 01:21:42.279day, it's just like a financialplan. Yeah, sure, it's printed116801:21:42.279 --> 01:21:44.439on a piece of paper, butit's so much more than that. It's116901:21:44.439 --> 01:21:46.640the conversations you had with the clientbeforehand. What are your values, what117001:21:46.680 --> 01:21:50.600are your visions for what the nextgeneration is going to do with this money,117101:21:50.640 --> 01:21:55.319and how they're going to inherit it. That is really what the piece117201:21:55.319 --> 01:21:59.079of paper you're paying for. That'show it goes so much deeper. You117301:21:59.079 --> 01:22:00.119know, the same thing in oursthe financial plan. Yeah, if you117401:22:00.159 --> 01:22:02.560just look at the financial plan,you know it's not a lot. But117501:22:02.600 --> 01:22:06.600if you realize everything that we justwent through and covered and and you know,117601:22:06.680 --> 01:22:10.680the peace of mind that we instilledin our clients by doing so,117701:22:11.399 --> 01:22:15.399that's worth way more than you couldever describe. So it's it's really important117801:22:15.439 --> 01:22:20.159for people to understand that a pieceof paper in a state planning isn't just117901:22:20.279 --> 01:22:27.039a piece of paper, right,Oh, absolutely, And you know when118001:22:27.039 --> 01:22:30.960you come to an attorney. Youwe sell our time and our knowledge and118101:22:31.239 --> 01:22:34.640you know, it's it's something thatwe've developed. And you know, there's118201:22:34.720 --> 01:22:38.680a lot of things that change yearly. You know, the laws change in118301:22:38.680 --> 01:22:42.560Arizona every year when it comes towills and what's available and what's not.118401:22:42.760 --> 01:22:45.239And you know, uh, ifyou know with the state bars attorneys,118501:22:45.239 --> 01:22:51.560we get offered from the state Barupdates to the probate manuals because there's updates118601:22:51.600 --> 01:22:57.680every year. And if you makea mistake or you know, it could118701:22:58.800 --> 01:23:01.880delay distribute. And I'll tell youright now from my experience, one of118801:23:01.920 --> 01:23:05.560the worst things you can do isdelay a distribution to the beneficiary because then118901:23:05.560 --> 01:23:12.119they're lawyering up and now everybody's it'scosting everybody money. Yeah, well,119001:23:12.159 --> 01:23:14.520we're run out of time. ButI wanted to bring up one point because119101:23:14.880 --> 01:23:17.560this question came up today in afinancial planning meaning about state planning. How119201:23:18.239 --> 01:23:21.359if you had a spouse that youknow, you've developed a trust, the119301:23:21.399 --> 01:23:26.359spouse passed away, and now youhave the home that you have, should119401:23:26.399 --> 01:23:29.520you have the spouse to pass awaytaking off the deed, how does that119501:23:29.560 --> 01:23:31.319go about if the if it's alreadyin the trust. This is not needed119601:23:31.319 --> 01:23:35.680to be done. So how doesthat work for people who in Arizona.119701:23:35.840 --> 01:23:39.920Yeah, the quick and easy wayof doing it would be, you know,119801:23:40.560 --> 01:23:45.279if they're on the deed, wewould do basically, you know,119901:23:45.319 --> 01:23:50.359you file the the certificate with theRecorder's office and then a renunciation basically you120001:23:50.399 --> 01:23:55.680know, taking you know, updatingthe certificate of trust, just saying okay,120101:23:55.720 --> 01:24:00.840this the spouse passed away, uh, the surviving spouse basically soul trustee120201:24:00.960 --> 01:24:04.039okay. And then there's another otherdocument that we would record as well,120301:24:04.199 --> 01:24:11.039not record, excuse me, butprepare uh, basically the sole trustee assuming120401:24:11.039 --> 01:24:15.159their rights. Okay. Uh.There is a little bit of logistics there.120501:24:15.199 --> 01:24:19.479However, it's as simple as thatrecording the you know, if you120601:24:20.199 --> 01:24:24.079have to trustees on the deed,the first thing you would probably want to120701:24:24.119 --> 01:24:28.680do is record record a death certificatewith the Recorder's office. All right,120801:24:28.760 --> 01:24:31.359well, John, we appreciate yourtime and look forward to having on the120901:24:31.359 --> 01:24:34.319show again. As we always say, if you want to get in contact121001:24:34.319 --> 01:24:36.439with John, feel free to giveus a call out this office five two121101:24:36.520 --> 01:24:40.520zero five four four four nine zeronine. If you ever want a free121201:24:40.520 --> 01:24:43.760financial plan as well. Give usa call. Yep, give a call.121301:24:43.840 --> 01:24:47.640We'll be back for the final segmentof The Moneybatter Show. Say it's121401:24:47.720 --> 01:25:00.359only a name. Welcome back tothe Money Matter Show. My name is121501:25:00.359 --> 01:25:02.640Toug Lick. I'm here with DeanGreenberg, Dave Sherwood, and Dylan Greenberg.121601:25:02.760 --> 01:25:06.760Just so everyone is aware, wedo have that Federal Employee seminar coming121701:25:06.880 --> 01:25:13.520up on the thirteenth on the Wednesday. There are very limited seats available at121801:25:13.520 --> 01:25:15.520this point, so if you wantto have it, if you want to121901:25:15.520 --> 01:25:17.680try to sign up, go toour website. You can go to the122001:25:17.680 --> 01:25:20.800Federal Employees page on our website andyou've got the bottom of the page.122101:25:21.039 --> 01:25:26.239Click reditor now gets you directed directlyto the event bright site where you will122201:25:26.279 --> 01:25:29.239have all the information about the eventand you can sign up there. And122301:25:29.279 --> 01:25:31.239it's a seminar for federal employees gettingready to retire, probably within the next122401:25:31.239 --> 01:25:34.600ten years or so. It goesthrough everything that has to do with your122501:25:34.600 --> 01:25:40.479retirement in depth and comes in witha free financial plan as well afterwards to122601:25:40.560 --> 01:25:44.039incorporate those benefits into the plan andshow how it will bridge your income gap122701:25:44.119 --> 01:25:47.199through retirement as well. With socialSecurity and other things like that. Well122801:25:47.279 --> 01:25:50.399you sound so enthusiastic. Well,thank you. You know, this thing122901:25:50.479 --> 01:25:55.720is really great. They get aday off, they get lunch, they123001:25:55.720 --> 01:26:00.760get all this information and guess whatthey learned how to get into retirement stretch123101:26:00.840 --> 01:26:04.439free and not ever have to worryabout it. Yep, when you find123201:26:04.439 --> 01:26:08.880somebody in from Texas or Louisiana,Louisiana, I mean, come on,123301:26:08.920 --> 01:26:12.399he's done these seminars all over thecountry, helped thousands of federal employees get123401:26:12.439 --> 01:26:15.359ready for retirement, to help themknow what their options are. There's a123501:26:15.359 --> 01:26:20.239lot like the Greenberg tavern is puttingout the last call, right, Yeah,123601:26:21.000 --> 01:26:24.840I mean it's three days from now. Yeah, it's pretty much pretty123701:26:24.880 --> 01:26:27.520much three days from now, it'sgonna be over. Yeah, you know123801:26:27.560 --> 01:26:31.520that. There's an interesting chari Isaw where it's said chapter eleven bankruptcy filings123901:26:31.520 --> 01:26:35.720at the highest level since twenty ten. That's a funny ten. That's a124001:26:35.760 --> 01:26:40.159silence stat you ever heard? Wow, do you think that'd be on the124101:26:40.359 --> 01:26:45.239on the news? And the companiesthat are on borderline companies borderline companies to124201:26:45.319 --> 01:26:48.319be on Okay, so I gotwait for your phases us companies that are124301:26:48.319 --> 01:26:54.079on the on the border of bankruptcyis at the highest level as well that124401:26:54.079 --> 01:26:57.520we've ever seen. Get these numbers, well, this specific one is from124501:26:57.560 --> 01:27:01.880Bloomberg Opinion. The previous one,we got booming title loans. We got124601:27:01.920 --> 01:27:08.199booming Pond store. We got Campbellsoup stock rallying Campbell soup stock is usually124701:27:08.279 --> 01:27:12.760you're signed that there's there's trouble inthe watch. The market outlook is a124801:27:12.960 --> 01:27:17.159good one. That's everything's global salesgrowth is slowing again. So if you124901:27:17.199 --> 01:27:19.720just look at America, you mightsee goldilocks, but if you look at125001:27:19.720 --> 01:27:24.039the world, you don't. No, that's that's true, and that's probably125101:27:24.079 --> 01:27:29.119why he still feels he's not cuttinginterest rates right now, but the markets125201:27:29.159 --> 01:27:31.600think he has to. Maybe themarkets feel he's going to be a problem.125301:27:31.680 --> 01:27:35.479Then Powell doesn't think there's going tobe a problem. Yeah, you125401:27:35.520 --> 01:27:39.800see that in the Pond market.It's just it's so hard to understand why125501:27:39.840 --> 01:27:43.920stocks continue to rally higher, butthey do. I mean, they forget125601:27:43.920 --> 01:27:45.600there's a war going on right atleast. I mean, I guess there's125701:27:45.640 --> 01:27:48.399still a wall going on in theUkraine because they keep asking for more money125801:27:49.279 --> 01:27:54.279You almost wonder if these wars getset up and then we give them money125901:27:54.319 --> 01:27:57.479and then the money comes back toWell, it's a really interesting hard line126001:27:57.520 --> 01:28:00.199stand that the Republicans put in thisweek where they said, no, we're126101:28:00.199 --> 01:28:01.600not gonna do any more funding forUkraine if we don't have a border plan126201:28:01.880 --> 01:28:04.600right, And that was the firsttime they really stood up and said no,126301:28:04.720 --> 01:28:06.840we're not doing this. Bide Inthrough a fit. He says,126401:28:06.880 --> 01:28:10.880you guys, you don't realize howthe bad, the dire problem in Ukraine126501:28:10.960 --> 01:28:13.760is. You need to get thispassed. And the Republicans just stink firm.126601:28:13.840 --> 01:28:16.279Well, because people are the same. Listen, you tell us we126701:28:16.359 --> 01:28:20.279got to help save the people ofUkraine, but you're not helping to saving126801:28:20.359 --> 01:28:26.319people of America. We need towe need to protect America just like we126901:28:26.399 --> 01:28:30.880got to protect Ukraine. Don't talkabout protecting another country until you protect that127001:28:31.079 --> 01:28:34.479was. You know what's crazy isthat we're still trying to help Ukraine in127101:28:34.479 --> 01:28:39.159the Ukraine Civil War and Putin's gettingnominated for Time Person of the Year.127201:28:39.680 --> 01:28:42.239Is that unbelievable? What he was, Oh, you didn't know that.127301:28:42.319 --> 01:28:46.399I didn't, Taylor Swift, Idon't even think about time Joe. It127401:28:46.439 --> 01:28:53.520was like a spoof. It wasTaylor Swift, Trump's prosecutors. Yeah,127501:28:55.079 --> 01:29:00.760how you say his name from Chinaand putin Hollywood Strikers. Those were the127601:29:00.760 --> 01:29:09.920nominees, Taylor Swift one that gunness. I mean, I don't think necesily127701:29:10.319 --> 01:29:14.520gave it to Taylor Swift. Idon't think personally here always means like it's127801:29:14.560 --> 01:29:17.439the best person of the year.I think it's like it's the most influential127901:29:17.479 --> 01:29:21.039person. But it kind of impliesimportant. How would you, Yeah,128001:29:21.039 --> 01:29:25.479why would you put Trump on there? It's pretty influential, of course that128101:29:25.520 --> 01:29:28.760they put Trump's prosecutors on there.Of course that's what they put on there.128201:29:29.399 --> 01:29:31.760It is more of the most influential. It might be just like you're128301:29:31.800 --> 01:29:34.800in the news a lot, andI'm kind of thing, I'm kind of128401:29:34.800 --> 01:29:38.920thinking that the war in Ukraine andthe war in Israel's over because I'm watching128501:29:38.920 --> 01:29:42.279the Trump News Network and they're nottalking about it anymore. They're talking about128601:29:42.279 --> 01:29:47.880Trump News Network, the CNN rightthen trying to do is just Trump Now.128701:29:47.920 --> 01:29:50.119They're trying to go back and ripthem apart, and you know,128801:29:50.279 --> 01:29:54.840and and everything else, and it'snot gonna happen. Guys. The bottom128901:29:54.880 --> 01:29:58.560line is is that America will bein big trouble if these numbers stay the129001:29:58.560 --> 01:30:01.520way they are. And so howbidenm wins the election? Oh my goodness.129101:30:01.640 --> 01:30:04.439Yeah, I won't stand for it. I don't care what people want129201:30:04.479 --> 01:30:08.359to call me next time. Iwill not say that. It was so129301:30:08.399 --> 01:30:11.279funny. I was listening on thison CBS. They come out with a129401:30:11.319 --> 01:30:15.680report saying in Georgia, the presidentialrace was won by twelve thousand votes,129501:30:16.039 --> 01:30:24.239and of the I guess claims thatthe voter that the votes that were used129601:30:24.359 --> 01:30:27.880to win were illegitimate. They lookedback on it and they said only twelve129701:30:27.920 --> 01:30:31.560thousand were found to be illegitimate.You know, that's about what took to129801:30:31.560 --> 01:30:35.239win it. So what, Butit is funny. As we look at129901:30:35.239 --> 01:30:39.600the economy, there's companies in thesame business that are doing well and some130001:30:39.800 --> 01:30:42.960doing poorly. Right, depends onhow your managed that. I saw a130101:30:43.079 --> 01:30:47.600report on Friday that restoration hardware theynow call it our h right, a130201:30:47.680 --> 01:30:55.319luxury furniture store dropped to excuse me, was was down to five percent excuse130301:30:55.319 --> 01:31:00.000me, up five percent for thisyear versus Williams Sonoma. That's up,130401:31:00.159 --> 01:31:04.520which is Pottery barn It's seventy fourpercent this year the stock and five percent130501:31:04.600 --> 01:31:11.560and RNH was down fourteen percent onFriday after they missed the third quarter and130601:31:11.640 --> 01:31:17.720made cautious comments. This is afterWilliams Sonoma similar business right produced a great130701:31:17.800 --> 01:31:23.039quarter and had positive comments. Sowhat's wrong with this picture? I could130801:31:23.039 --> 01:31:25.319see a couple of industries that aredoing that. We talked about the evs,130901:31:25.359 --> 01:31:29.039the hybrid and absolutely you know companieswith more cash or not cash,131001:31:29.239 --> 01:31:31.119you know how much they're able todo developments in R and R and things131101:31:31.199 --> 01:31:35.239like that. So yeah, it'sa very interesting company struggling and other companies131201:31:35.279 --> 01:31:39.800doing well in the same in thesame darn industry. About how about this131301:31:39.840 --> 01:31:45.560week you of A wanting to raiseticket prices on basketball and football twenty five131401:31:45.600 --> 01:31:49.439percent to pay for their mess up? Yeah, that is not the way131501:31:49.439 --> 01:31:53.079you do it. Now. It'sjust hard to understand. I have no131601:31:53.199 --> 01:31:58.479problems giving more money to football andbasketball as long as it stays with football131701:31:58.520 --> 01:32:04.439and basketball. Yeah, we donot know they and really come clean on131801:32:04.560 --> 01:32:10.359where the two hundred million plus shortageescome from. I mean, seriously,131901:32:12.079 --> 01:32:15.479our tax dollars go to these schools, the state universities. Okay, why132001:32:15.560 --> 01:32:19.560don't we know? Why isn't someoneaccountable? Why isn't then why aren't they132101:32:19.600 --> 01:32:25.800doing some type of forensic accounting tofind out exactly how it happened, not132201:32:25.920 --> 01:32:29.279to blame someone so much as notto happen to happen again, Well,132301:32:29.279 --> 01:32:31.439you have to have an audit.Yeah, so what who did the audit?132401:32:32.760 --> 01:32:35.840I have no idea. Did theyhave an audit? Why is it132501:32:35.960 --> 01:32:39.840that public? How do you getin that kind of trouble when you have132601:32:39.960 --> 01:32:42.760that kind of revenue? I mean, these these are cash cows. Well132701:32:42.760 --> 01:32:46.600they're going to blame that years fiveyears that they messed up this whole allocated132801:32:46.800 --> 01:32:50.840much of the sports programs because Ithought they could. Wasn't just sports programs132901:32:50.880 --> 01:32:54.600other things as well? Was it? So they just they just didn't know133001:32:54.640 --> 01:32:57.880that they were spending forty five millionmore than they could each year for five133101:32:57.920 --> 01:33:00.279years, So they essentially were spendingmoney they didn't have that They did it,133201:33:00.359 --> 01:33:03.119yeah, exactly in the final butthey weren't accounting for it. Well133301:33:03.159 --> 01:33:06.039it's yeah, so whoever's doing thebooks was the one that needs to be133401:33:06.079 --> 01:33:11.479sued or the firm, the CPAfirm that did the audit, and they133501:33:11.479 --> 01:33:15.760didn't find the issue, that CPAfirm should be sued or somebody hiding it133601:33:15.880 --> 01:33:16.960not knowing it, you know whatI mean, who knows? Maybe did133701:33:17.039 --> 01:33:19.880someone make a mistake and they werejust not putting it down. They're getting133801:33:19.880 --> 01:33:23.199away with one or two years.Now we can get rid of it away133901:33:23.199 --> 01:33:26.920with for three more years. Butbefore you start asking for more, come134001:33:27.000 --> 01:33:30.560clean on what happens so it doesn'thappen anymore. We got a top twenty134101:33:30.640 --> 01:33:34.399rated football team and then number onerated basketball team, and we're gonna shut134201:33:34.479 --> 01:33:38.479down. Yeah, you got tobe. And that's why they're like,134301:33:38.479 --> 01:33:41.039hey, we can charge twenty fiveords per send. Nobody's gonna care.134401:33:41.199 --> 01:33:44.119Listen, they have to put moremoney into the football program. I know134501:33:44.199 --> 01:33:46.520that, and pay more to thebasketball coach if you want to keep them134601:33:46.720 --> 01:33:49.720with the nil and everything else.That's if you want to have it.134701:33:49.920 --> 01:33:56.039Now. My big question is,Okay, is it more beneficial to get134801:33:56.079 --> 01:33:59.640that extra money and give it tofootball and basketball that supports all the other134901:33:59.680 --> 01:34:05.600sports, or is it better goingahead and and uh with that and shutting135001:34:05.600 --> 01:34:09.760down a lot of these programs thatare not making money. You're gonna have135101:34:09.760 --> 01:34:13.720a hard time doing that. Whytitle nine, Well, I'm not talking135201:34:13.760 --> 01:34:17.159about sports programs. I'm talking aboutclasses we don't need. Well, the135301:34:17.800 --> 01:34:20.560reason I would say push back onthat, Dean, is a lot of135401:34:20.640 --> 01:34:25.600things that you will be researching willnot be lucrative. They're not going to135501:34:25.680 --> 01:34:29.039be valuable until years and years after. I mean if your research, I'm135601:34:29.079 --> 01:34:31.600talking about research, okay, Anda lot of those research people write grants.135701:34:31.640 --> 01:34:34.720We have clients that work at theu of A that write grants and135801:34:34.760 --> 01:34:42.720get grants programs, right of course, I am. You know where where135901:34:43.039 --> 01:34:46.520they keep banning this stuff for whatreason? All right, while they're taking136001:34:46.520 --> 01:34:50.279money from the other people that don'tbelieve in those programs. There's a real136101:34:50.359 --> 01:34:54.960problem that's gonna happen, you know. And you know what's going to happen136201:34:55.039 --> 01:34:59.199is people that give money to thosethe football and basketball, and it goes136301:34:59.199 --> 01:35:00.600to and they find out going toother programs, they're not going to give136401:35:00.600 --> 01:35:04.319money anymore. They can't ask forsports to pay for other stuff. Yeah,136501:35:04.439 --> 01:35:09.199they just can't run the sports department. Then by itself, they get136601:35:09.840 --> 01:35:13.079its own division, its own entity, and that's your big revenue producer at136701:35:13.079 --> 01:35:16.520the university is other than tuition,is football and then basketball second. Yeah.136801:35:16.640 --> 01:35:19.520Yeah, the smartest thing to dois take that twenty five percent make136901:35:19.600 --> 01:35:23.520you a better on the football andbasketball side. You bring even more money137001:35:23.520 --> 01:35:27.239in and use that money exactly.Yeah. I will see how they do137101:35:27.319 --> 01:35:30.680with the Alima ball against Oklahoma.Of all people, they might need to137201:35:30.760 --> 01:35:33.760hire someone from ASU Accounting or something. Well, there's funny people available because137301:35:33.760 --> 01:35:36.279they're leaving by the left and right. And I know a lot of people137401:35:36.319 --> 01:35:40.880say, don't get upset about this. When people are starting to stot not137501:35:40.960 --> 01:35:45.399playing in the bowl games because they'reworried about their NFL career, I understand137601:35:45.399 --> 01:35:48.119and I was full behind that beforethey started getting paid. The NIL is137701:35:48.239 --> 01:35:53.279not paying these players to go playfor football well as a fan, as137801:35:53.319 --> 01:35:57.960a university and coaches that get rewardedfor bull victories. You need to step137901:35:58.039 --> 01:36:00.199up as a player. Now you'rean employee, you're getting paid. You're138001:36:00.199 --> 01:36:03.640an employee, you paying you playin a bowl game. Because when you138101:36:03.680 --> 01:36:06.920make the NFL, then they'll sayI'm not gonna play in a bowl game.138201:36:06.920 --> 01:36:10.399But if I make the NFL,I'm gonna go ahead and give you138301:36:10.399 --> 01:36:14.399a hundred thousand dollars back. Howabout that? How about something giving back138401:36:14.399 --> 01:36:18.920to the fans and the school andthe coaches. How about something like that138501:36:19.159 --> 01:36:23.720rather than the fans doing it.And then it comes bull time, our138601:36:23.720 --> 01:36:26.720best lineman decise is not gonna play. Yeah, I don't like it.138701:36:26.760 --> 01:36:30.720All right, we'll be back nextweek where your money matters. Be happy,138801:36:30.000 --> 01:36:38.079be healthy, and let's all day. Rob all say it's only an