Inflation Down, Stocks Up, What’s Next?

WEBVTT 1 00:00:03.600 --> 00:00:06.799 Good morning. Is that time again? Is the Money Matters Show? And 2 00:00:06.839 --> 00:00:11.160 if you're tuned in for Dean's wonderful monologue, the monologue that we all enjoy 3 00:00:11.240 --> 00:00:15.800 every week, Dean is gone, so we're not going to get that monologue. 4 00:00:15.919 --> 00:00:18.800 But I did Todd well, I did want to say hi to all 5 00:00:18.839 --> 00:00:22.559 of our listeners around the world. Yes, And the funny part about that 6 00:00:22.679 --> 00:00:25.719 is with iHeart. With the iHeart app, you can listen to the show 7 00:00:25.760 --> 00:00:28.920 anywhere. We have people in Florida, New York, Illinois, a couple 8 00:00:28.960 --> 00:00:31.760 in Europe. It's kind of fun. We get emails from them, and 9 00:00:32.439 --> 00:00:35.200 we enjoy doing that. We enjoy bringing in the show, and we thank 10 00:00:35.240 --> 00:00:41.200 you for listening. And we're Dave Sherwood, We're Sebastian Borsini, and we're 11 00:00:41.240 --> 00:00:46.359 talking like and you want to give us the down and dirty route the bat 12 00:00:46.359 --> 00:00:49.159 buddy, let's do it real quick. Get to get that disclaimer out of 13 00:00:49.159 --> 00:00:51.600 the way, because we tend to forget about it. This show is sponsored 14 00:00:51.600 --> 00:00:54.679 by the Greenberg Financial Group and you can listen on seven ninety cannis to your 15 00:00:54.719 --> 00:00:59.200 iHeart radio. The show discusses different investment products and strategies. Every product and 16 00:00:59.200 --> 00:01:03.359 strategy have some type of inherent risks, and we strongly encourage our listeners to 17 00:01:03.439 --> 00:01:07.120 properly understand this risk to determine whether buy, sell or hold. The show 18 00:01:07.120 --> 00:01:11.359 has been on the air for over thirty years. The Greenberg Financial Groups registered 19 00:01:11.359 --> 00:01:15.079 with the SEC and the member and a member of the FINERA and SIPIK. 20 00:01:15.519 --> 00:01:19.159 Visit our website at Greenbrook Financial dot com for more information. You did a 21 00:01:19.200 --> 00:01:23.359 fine job of that. We had another interesting week that I think this was 22 00:01:23.400 --> 00:01:27.840 the most one of the more fascinating weeks ever. Yeah, especially if you 23 00:01:27.920 --> 00:01:33.439 understood really what's going on. It's I think the big story of the week 24 00:01:34.120 --> 00:01:40.400 came last weekend when Moody's downgraded the US debt outlook. Rights that's different and 25 00:01:40.439 --> 00:01:47.560 that's a big difference. Yeah, they downgraded the outlook from to negative, 26 00:01:47.959 --> 00:01:51.280 and they did go on to it. They maintained their trip A rating on 27 00:01:51.439 --> 00:01:53.959 US death. They didn't downgrade debt. And that's what I've been hearing all 28 00:01:53.000 --> 00:01:57.879 week is downgrading the debt. They did not downgraded the debt. But how 29 00:01:57.959 --> 00:02:01.480 much does that matter though, because they're downgrading to what S and P and 30 00:02:01.560 --> 00:02:05.640 the Fitch are already at. You might go to double A plus well, 31 00:02:05.640 --> 00:02:08.400 that's where SMP and Fitch are already at there, so they're downgrading to what 32 00:02:08.599 --> 00:02:14.120 the other agencies have already downgraded the debt too. So does that make a 33 00:02:14.199 --> 00:02:19.280 huge difference? You know, it's the market already two out of the three 34 00:02:19.319 --> 00:02:23.159 agencies already said it's double A plus. It made no absolutely no difference at 35 00:02:23.159 --> 00:02:25.439 all. Right, should not move up? They shouldn't. And if you're 36 00:02:25.439 --> 00:02:29.280 going to be double A or double A plus or triple A, it doesn't 37 00:02:29.360 --> 00:02:34.120 really matter because they said that there is zero default risk, And isn't that 38 00:02:34.199 --> 00:02:37.840 the bottom line at the end of the day. Why is there zero percent 39 00:02:37.840 --> 00:02:40.919 default risk? Because we can keep printing. Maybe we just keep printing that 40 00:02:42.000 --> 00:02:45.960 money. We got the print we got the printing press, right, we 41 00:02:46.000 --> 00:02:50.599 do just keep printing the h It was one of those really weird weeks in 42 00:02:50.639 --> 00:02:54.159 that you could have taken the entire week off except for Tuesday, and it 43 00:02:54.159 --> 00:02:58.879 wouldn't have mattered. Let me give you the s and P. Five hundred 44 00:02:58.960 --> 00:03:02.520 day by day. Monday down three, I'm gonna skip Tuesday, Wednesday up 45 00:03:02.680 --> 00:03:08.159 seven, Thursday up five, Friday up five. Those are the four of 46 00:03:08.199 --> 00:03:15.599 the five days. Now Tuesday up eighty four about almost two percent on Tuesday, 47 00:03:15.120 --> 00:03:19.719 And of course that was in reaction to the CPI. We had talked 48 00:03:19.800 --> 00:03:23.319 last week, and I think we had todd you thought it would be flat. 49 00:03:23.280 --> 00:03:27.039 I thought it would be down a little bit. Went from three point 50 00:03:27.120 --> 00:03:30.879 seven to three point two. That's just huge, massive drug. That's a 51 00:03:30.960 --> 00:03:36.439 huge percentage moved down in inflation. And we now have a market that is 52 00:03:36.479 --> 00:03:40.400 looking at at literally a Goldielock scenario where everything is just right. And we 53 00:03:40.400 --> 00:03:45.560 were talking about the oil component of the CPI maybe showing up in this last 54 00:03:45.599 --> 00:03:49.800 reading. Obviously not now, it obviously was the opposite. It kind of 55 00:03:49.960 --> 00:03:53.840 picked up more of the decrease that oil has had over the last kind of 56 00:03:53.879 --> 00:03:58.240 six weeks we've seen. What's interesting. I looked at the breakdown of the 57 00:03:58.280 --> 00:04:01.080 components of the CPI as to you know, okay, what was up, 58 00:04:01.120 --> 00:04:04.240 what was down? And I just did double digits, right, So double 59 00:04:04.319 --> 00:04:08.159 digits up. Now this is year over year, not month to month, 60 00:04:08.240 --> 00:04:13.080 So year over year. The biggest increase has been in food from vending machines 61 00:04:13.319 --> 00:04:16.000 and mobile vendors, which would be food trucks, right, vending machines, 62 00:04:16.040 --> 00:04:24.439 that's vending machines and food trucks. That's the number one increase, right the 63 00:04:25.040 --> 00:04:28.120 I'm sorry, not the number one increase. That's the number one increase in 64 00:04:28.160 --> 00:04:32.040 the in the food the way from home category. Although I've got this screwed 65 00:04:32.079 --> 00:04:36.439 up because the admission to sporting goods sporting events up twenty five percent. Admission 66 00:04:36.480 --> 00:04:41.920 to sporting events, Now that's just scamming you. No, no, no, 67 00:04:42.040 --> 00:04:45.360 think about let's think about reason for that. Let's think about this a 68 00:04:45.439 --> 00:04:50.399 year ago on sporting events. How popular were they a year ago? Right? 69 00:04:50.759 --> 00:04:54.399 Well, I don't know, very popular, somewhat popular, but you 70 00:04:54.439 --> 00:04:58.519 still had somewhat of the COVID ideas. You didn't have this full supply demanded 71 00:04:58.680 --> 00:05:02.199 dynamics back. Now you have everyone who is an able body is going to 72 00:05:02.240 --> 00:05:04.920 go to a sporting event instead of just to some people who are don't want 73 00:05:04.920 --> 00:05:08.680 to be in those large crowds, right right, So now you have the 74 00:05:08.759 --> 00:05:14.199 whole shebang of people that would be buying. So maybe that's not really just 75 00:05:14.360 --> 00:05:16.279 prices. It could also just be that there's more demand showing up for that 76 00:05:16.519 --> 00:05:23.160 was our mission to evance. I would have blamed it on Taylor. Is 77 00:05:23.160 --> 00:05:26.560 that amazing how popular that young lady is I mean, it is just off 78 00:05:26.639 --> 00:05:30.439 the charts popularity worldwide. I mean Barnes and Noble. There's box sets of 79 00:05:30.480 --> 00:05:32.879 tailor swifts. You can't get away from her, you can't get away from 80 00:05:32.920 --> 00:05:36.120 right. So it's just unbelievable. I mean, and you know, I 81 00:05:36.240 --> 00:05:40.360 enjoy cheering for her. I remember the very first time she appeared on the 82 00:05:40.399 --> 00:05:44.720 Country Music Awards. She walked out and the first thing she did is pointed 83 00:05:44.720 --> 00:05:49.079 at Tim mcgran mouth. That's Tim McGrath. Now you're watching Country Music Awards. 84 00:05:49.600 --> 00:05:51.680 Oh, I love country music? Wow? And I love the Country 85 00:05:51.759 --> 00:05:56.000 Music Awards. Are the best of words show on TV? Absolutely bar none, 86 00:05:56.120 --> 00:05:59.399 best of words show on TV. Number two and I'll move right along 87 00:05:59.439 --> 00:06:03.279 because now we does agree with that. Number Number two is motor vehicle insurance. 88 00:06:03.279 --> 00:06:06.319 Now we know about that, Anthony. Anthony, our insurance guy, 89 00:06:06.480 --> 00:06:10.839 has been on a couple of times, and it's the parts, the inflation 90 00:06:11.120 --> 00:06:15.759 in the automobile parts that's responsible for that. So number one admission to sporting 91 00:06:15.759 --> 00:06:20.720 events. Number two vehicle insurance. Number three vehicle repair, which kind of 92 00:06:20.720 --> 00:06:24.959 ties in with vehicle insurance. And well also back to the insurance though we 93 00:06:25.000 --> 00:06:28.800 also you talked about it a couple of weeks ago. Eves are more expensive 94 00:06:28.800 --> 00:06:32.600 to replace as well, so more as more insurance. It's absolutely true. 95 00:06:32.600 --> 00:06:36.040 And that's a whole new that's a whole new area that we haven't even really 96 00:06:36.079 --> 00:06:40.600 gotten into yet in terms of repairs, right, because those certainly it would 97 00:06:40.639 --> 00:06:44.160 be some significant repairs. Then we go to food from vending machines, then 98 00:06:44.199 --> 00:06:48.199 frozen vegetables and uncooked beef steaks. Well, thank god, I don't cook 99 00:06:48.199 --> 00:06:56.600 at home. Uncooked uncooked beef steaks number five on the list anyway, But 100 00:06:57.120 --> 00:07:01.079 the CPI dropped from three point seven to three point two. Core CPI was 101 00:07:01.120 --> 00:07:05.000 the lowest level in two years, and CORE does away with food and energy, 102 00:07:05.040 --> 00:07:09.399 which are the two most volatile components, right, and so the CORE 103 00:07:10.360 --> 00:07:15.560 the lowest in two years. PPI producer Price Index, which in essence is 104 00:07:15.600 --> 00:07:18.720 the future, right. It had its biggest month over month drops since the 105 00:07:18.759 --> 00:07:25.079 pandemic began. So again, goldilocks, the economy is growing. The growth 106 00:07:25.160 --> 00:07:30.199 has slowed, but it's still growing, and inflation has come down to levels 107 00:07:30.720 --> 00:07:32.920 approaching what the Fed's target was. On top of that, we also got 108 00:07:32.920 --> 00:07:35.839 the retail sales on Wednesday, which is a day after the CPI. The 109 00:07:35.839 --> 00:07:40.839 retail sales report came in at negative point one. It was expected to be 110 00:07:40.920 --> 00:07:45.879 point seven. So that's another Goldilock scenario of obviously retail sales plays into CPI 111 00:07:45.959 --> 00:07:49.120 in the future months, showing that the retail consumer isn't spending as much as 112 00:07:49.160 --> 00:07:53.680 what the analysts were expecting. So now way we have that drop. I 113 00:07:53.680 --> 00:07:58.680 mean, the biggest on the retail sales breakdown per category was gasoline stations that 114 00:07:58.720 --> 00:08:01.959 they saw a huge month over a month change in that. The biggest decrease 115 00:08:03.480 --> 00:08:11.199 was furniture and home furnishings. It's just the retail sales was a The bottom 116 00:08:11.240 --> 00:08:15.279 line is things are lining up exactly what you'd like to see for a soft 117 00:08:15.360 --> 00:08:18.160 landing, yep. And that's kind of that's kind of where we are. 118 00:08:18.439 --> 00:08:22.639 However, you get into that kind of scenario of how much is too bad 119 00:08:24.120 --> 00:08:26.319 right, because right now we're in the scenario of bad news is good news. 120 00:08:26.879 --> 00:08:33.799 Eventually bad news is too bad right. Eventually valuations start to play into 121 00:08:33.879 --> 00:08:37.240 this and people are projecting six months down the road, we're not going to 122 00:08:37.279 --> 00:08:41.360 have an economic activity because it is slowing. That's what we're looking at. 123 00:08:41.559 --> 00:08:45.120 Absolutely, talk a little bit about that commodities. Yeah, So on oil, 124 00:08:45.200 --> 00:08:48.000 we were down one dollar this week, and it was actually a very 125 00:08:48.039 --> 00:08:52.120 interesting week for oil because it hit a low of seventy two during the week, 126 00:08:52.360 --> 00:08:54.480 finished that seventy five dollars and seventy cents a barrel. It's been all 127 00:08:54.480 --> 00:08:58.120 over the place. Obviously, we saw a huge spike with the global tensions 128 00:08:58.120 --> 00:09:03.159 that came about with the Israel Hamas conflict. But then what happened was oil 129 00:09:03.200 --> 00:09:09.440 almost just fell like a rock after that surge off that the war. Really 130 00:09:09.440 --> 00:09:13.879 starting to see that deflationary pressure. Then you and I talked a little bit 131 00:09:13.960 --> 00:09:18.240 about that this week, Dave on oil. I still am at a loss 132 00:09:18.320 --> 00:09:22.240 to what is really bringing that abouts. Well, it's global uncertainty about economic 133 00:09:22.360 --> 00:09:26.600 activity going into the future. Because everything points the oil should be going higher. 134 00:09:26.679 --> 00:09:31.639 You have cut productions from the biggest oil producers. You have what seems 135 00:09:31.639 --> 00:09:35.919 to like seems to be looking like China coming back online, you have economic 136 00:09:35.960 --> 00:09:39.720 activity throughout the world, and you have two wars in the world. All 137 00:09:39.759 --> 00:09:41.799 of this should be saying oil should be getting bids. The fact that it's 138 00:09:41.840 --> 00:09:46.879 not showing that investors are really thinking down the line. Economic activity is not 139 00:09:46.879 --> 00:09:50.720 going to be there. I think that's Trump obviously, that's trumping everything right 140 00:09:50.720 --> 00:09:54.039 now because the oil prices have been movingly lower, and I think it was 141 00:09:54.080 --> 00:10:00.759 a Thursday of last week they collapsed down to seventy three or seventy Yeah, 142 00:10:00.759 --> 00:10:03.559 low a seventy two. I came back up too. But now the gold 143 00:10:03.639 --> 00:10:07.440 also had a good week. It was up forty eight dollars to nineteen eighty 144 00:10:07.480 --> 00:10:11.799 an ounce, and you know the dollar didn't. The dollar was down a 145 00:10:11.840 --> 00:10:13.440 little bit. Yeah, the golds kind of decoupled from the dollar. And 146 00:10:13.519 --> 00:10:18.080 I suggested last week that gold at nineteen thirty was on its way back to 147 00:10:18.120 --> 00:10:22.120 eighteen hundred, and it finished this week at nineteen eighty, so that apparently 148 00:10:22.200 --> 00:10:24.960 not. And you know it was interesting because when oil had its real big 149 00:10:26.039 --> 00:10:28.000 drop, that's where you saw gold kind of get its bit. So that 150 00:10:28.039 --> 00:10:33.200 global uncertainty I think played into that gold picture as well. Could be ten 151 00:10:33.240 --> 00:10:35.720 year treasury four point four to four, two year treasury four point nine to 152 00:10:35.799 --> 00:10:41.720 one basis points is forty seven basis points. Again, that continues to expand. 153 00:10:41.200 --> 00:10:43.279 Not what you want to see. You want to see it going the 154 00:10:43.320 --> 00:10:48.279 other way, and it's subtle. I think it was seventeen basis points a 155 00:10:48.320 --> 00:10:50.720 couple of weeks ago. Then it went to twenty five, then forty four, 156 00:10:50.759 --> 00:10:54.000 and now forty seven. So it's a very subtle inversion of the yield 157 00:10:54.039 --> 00:10:58.159 curve. But what that tells you is that, again in line with oil 158 00:10:58.200 --> 00:11:03.639 prices, expectation down the road are that things are not going to be quite 159 00:11:03.720 --> 00:11:07.919 as good as they are right now economically. On the thirty year mortgage rate, 160 00:11:07.960 --> 00:11:09.960 also, it decreased to seven point four to four percent on the Freddie 161 00:11:11.039 --> 00:11:13.440 Mac. I care a lot about mortgage rates right now because I haven't locked 162 00:11:13.480 --> 00:11:16.440 in my rate yet, Dave. I'm like, how are you your faulting? 163 00:11:16.519 --> 00:11:18.879 Oh yeah, I'm flowing. So, but I still do expect rates 164 00:11:18.879 --> 00:11:24.279 to keep falling. I mean until you have something that really, I mean, 165 00:11:24.320 --> 00:11:26.879 the only thing that could make the FED really just turn its head around 166 00:11:26.879 --> 00:11:31.000 and start talking about hikes again is if this market just keeps running away and 167 00:11:31.039 --> 00:11:35.559 they start to say, bad, bad, you naughty teenagers you're doing. 168 00:11:35.639 --> 00:11:39.120 You're too risky. If you're taking a mortgage right now, though you would 169 00:11:39.240 --> 00:11:41.879 get an arm would you take an adjustable rate mortgage? Absolutely? What the 170 00:11:41.919 --> 00:11:46.000 rates are? I just take an adjustable rate no, I can, Well, 171 00:11:46.039 --> 00:11:48.720 my house isn't done until February, so you can lock in the rate 172 00:11:48.759 --> 00:11:50.960 here and get an ARM with today's rates, I see. Or I can 173 00:11:52.039 --> 00:11:54.639 just wait and not pay the extra money I have to pay to lock in 174 00:11:54.679 --> 00:12:00.240 the rate today. Actually, so the initial three years is it to be 175 00:12:00.240 --> 00:12:03.559 a five year arm? That a five year arm. So whatever you decide 176 00:12:03.600 --> 00:12:05.840 to whenever that happens, whenever the house is done, or you decide to 177 00:12:05.840 --> 00:12:09.440 lock right, that's your rate for five years, correct, and then five 178 00:12:09.480 --> 00:12:11.879 years from now you can refinance. Yeah, instead of paying for that for 179 00:12:11.960 --> 00:12:15.279 waiting, I'm just gonna wait for when because I think rates are gonna be 180 00:12:15.279 --> 00:12:18.519 lower. Anyways, I was kind of excited about raytheons bounced back last week, 181 00:12:18.559 --> 00:12:22.879 but it just kind of lost steam this week. It bounced from we 182 00:12:22.000 --> 00:12:26.559 got down below seventy, then it bounced back into the mid eighties, which 183 00:12:26.639 --> 00:12:31.000 was kind of where it dropped when that news about the Pratt and Whitney engines 184 00:12:31.720 --> 00:12:35.879 broke. It dropped down to that level. Now on the rally back up, 185 00:12:35.919 --> 00:12:39.960 it got to that level and then just stalled. It's probably because the 186 00:12:39.000 --> 00:12:43.759 Israel Hamas conflict has kind of been isolated to Israel and Hamas. That's that's 187 00:12:43.799 --> 00:12:48.320 true, That's absolutely true. But that doesn't mean that there's not going to 188 00:12:48.360 --> 00:12:52.399 be a huge replacement cycle for patriots because they shot off thousands, certainly, 189 00:12:52.039 --> 00:12:58.879 so there's some some serious business yeah for them there. But you're absolutely right. 190 00:13:00.559 --> 00:13:05.679 I think the fact that the war has stayed between Israel and Hamas is 191 00:13:07.000 --> 00:13:09.840 a good thing, and it's a great thing for the world, right frankly. 192 00:13:11.320 --> 00:13:16.279 And I think that that the US presidence offshore and around there has helped 193 00:13:16.720 --> 00:13:20.960 to make that the case has helped. I've often thought maybe that Hamas kind 194 00:13:20.960 --> 00:13:24.320 of was the guinea pig here that they decided they said, okay, Hamas, 195 00:13:24.559 --> 00:13:30.799 they being Israel and Siri and all of the Arab country Yemen, okay, 196 00:13:30.960 --> 00:13:33.840 Hamash, you go ahead and make the first strike, and then the 197 00:13:33.879 --> 00:13:37.720 rest of us will join you. And maybe it's like, well maybe not. 198 00:13:37.159 --> 00:13:41.320 You know, well, let's let's talk about a couple of the other 199 00:13:41.799 --> 00:13:46.600 things that happened. Bitcoin was down two percent on the week, not I'm 200 00:13:46.639 --> 00:13:48.840 not sure why. It was kind of just trading, maybe seeing finding some 201 00:13:48.840 --> 00:13:52.279 consolidation there. It's trading around thirty six thousand. We didn't really actually talk 202 00:13:52.279 --> 00:13:56.279 about the numbers of the indexes and what they did this week. Thank you, 203 00:13:56.519 --> 00:13:58.159 good Dow. Good point. The Dow this week up one point nine 204 00:13:58.200 --> 00:14:01.360 percent, the S and P up two point two. The Nasdaq led the 205 00:14:01.919 --> 00:14:05.360 accident lea the way, they're up two point four. The people who did 206 00:14:05.480 --> 00:14:07.559 lead the way it was the Russell two thousand, the small caps, they 207 00:14:07.600 --> 00:14:11.200 had a great week up five point four percent. The equal weighted look at 208 00:14:11.200 --> 00:14:15.360 that outpaced the S and P five hundred. Equ weighted was up three point 209 00:14:15.440 --> 00:14:20.279 three percent. Regular S and P up two point two on the On the 210 00:14:20.320 --> 00:14:22.240 month, the SMP's up seven point seven, they equal weighted seven point one. 211 00:14:22.279 --> 00:14:24.759 So you can see there's a real divergence over this last week. The 212 00:14:24.759 --> 00:14:30.200 equal weighted outperformed. We haven't seen that much because on the year, the 213 00:14:30.240 --> 00:14:33.840 S and P five hundreds up seventeen percent and the equal weight is only up 214 00:14:33.879 --> 00:14:39.440 three. That's hugely, hugely important for every investor because it means that it's 215 00:14:39.480 --> 00:14:43.279 the rally is broadened out. To see the S and P five hundred up 216 00:14:43.279 --> 00:14:46.440 seven point seven for the month and the equal weighted S and P up seven 217 00:14:46.480 --> 00:14:50.559 point one for the month tells you the value is coming along and joining the 218 00:14:50.600 --> 00:14:56.519 Magnificent seven. So if you do have a stock portfolio, you'd expect it 219 00:14:56.559 --> 00:15:00.840 to start moving higher over the last few weeks. If look at your account 220 00:15:00.919 --> 00:15:07.000 online, you're probably pleased with what you're seeing, Whereas over the past really 221 00:15:07.480 --> 00:15:09.919 ten months, it's been the reverse. I mean, the market's been just 222 00:15:11.120 --> 00:15:15.080 on fire because of those seven stocks. And when I say market, I 223 00:15:15.120 --> 00:15:18.799 talk about S and P five hundred, the equal weighted or the more widely 224 00:15:20.000 --> 00:15:24.120 diversified portfolio not playing long. Yeah, I've been following the S and P 225 00:15:24.279 --> 00:15:26.840 five hundred chart and we're still not at the highs we saw in the July 226 00:15:26.960 --> 00:15:33.279 thirty first peak that we saw this year. The Nasdaq one hundred, however, 227 00:15:33.399 --> 00:15:37.360 has come back all the way up to its peak on July thirty first, 228 00:15:37.480 --> 00:15:41.080 showing that again those seven stocks, those Magnificent seven, are leading the 229 00:15:41.120 --> 00:15:45.559 way even in this rally that we've seen over the last three weeks as well. 230 00:15:46.120 --> 00:15:48.039 Going even further into this, the Magnificent seven, if you combine all 231 00:15:48.080 --> 00:15:52.759 of them and take their forward earning pe ratio, they're at twenty nine point 232 00:15:52.759 --> 00:15:56.200 five times earnings. You compare that to the S and P five hundred, 233 00:15:56.480 --> 00:16:00.879 that's nineteen times you compare it to the rest of the market only at seventeen 234 00:16:00.919 --> 00:16:04.480 times, and according to what our implied fair value should be at with an 235 00:16:04.480 --> 00:16:07.440 interest rate on a ten year at four point four percent, we should only 236 00:16:07.480 --> 00:16:12.960 be at five fifteen times earnings on price to earnings ratio. So the Magnificent 237 00:16:14.000 --> 00:16:18.279 seven are essentially double what we should be looking at on a fair value. 238 00:16:18.440 --> 00:16:22.279 Sure, and we talk about it every week, but at the S and 239 00:16:22.320 --> 00:16:27.000 P five hundred, for the first time really in decades, is not representative 240 00:16:27.039 --> 00:16:30.600 of what's happening in the overall market, which is why we've spent more time 241 00:16:30.759 --> 00:16:34.919 talking about the equal weighted the equal weighted S and P five hundred. With 242 00:16:36.000 --> 00:16:40.759 the S and P five hundred up seventeen percent as of the Friday's close, 243 00:16:41.159 --> 00:16:45.240 the equal weighted is up three It's really important to keep that in mind because 244 00:16:45.279 --> 00:16:48.879 as we go into next year, Historically, when the S and P five 245 00:16:48.960 --> 00:16:52.519 hundred outpaces the equal weighted, you see as a flip there where the equal 246 00:16:52.519 --> 00:16:56.679 weighted will outperform the S and P, whether it is on the downside or 247 00:16:56.720 --> 00:17:00.320 the upside. So it's important to watch that just be because all these seven 248 00:17:00.320 --> 00:17:04.200 stocks have gotten all the news and all the attraction to them. It doesn't 249 00:17:04.200 --> 00:17:07.599 mean that's where the only place you should be. In fact, I saw 250 00:17:07.640 --> 00:17:11.839 a crazy stat that said ninety nine percent of hedge funds own the Magnificent Seven. 251 00:17:12.119 --> 00:17:15.000 That's compared to twelve percent all of them. Yeah, compared to twelve 252 00:17:15.039 --> 00:17:21.000 percent in January twenty three. So I mean the hedge funds, I mean 253 00:17:21.000 --> 00:17:23.640 everyone who's managing money they want to have those Magnificent seven in that portfolio because 254 00:17:23.640 --> 00:17:26.640 they don't want to they don't want to be talking to client and the clients 255 00:17:26.640 --> 00:17:27.440 say, well, what were you thinking? Yeah, right, don't I 256 00:17:27.440 --> 00:17:30.400 have any of that exactly, So they're just throwing it in there. That 257 00:17:30.519 --> 00:17:34.039 might not be the best bet. If the if we it does tend to 258 00:17:34.039 --> 00:17:37.599 be that the equal weight that out performs next year. Yeah, yeah, 259 00:17:37.799 --> 00:17:40.240 I agree with the harm percent, I think. And if you want to 260 00:17:40.720 --> 00:17:45.319 typically you're successful in this business if you buy out of favor things to a 261 00:17:45.400 --> 00:17:48.759 point. I mean, you don't want to buy dogs of the data, 262 00:17:48.079 --> 00:17:52.880 right, you know, but things that are out of favor and simply wait 263 00:17:52.960 --> 00:17:55.000 patiently. I mean, what was that a favor? At the end of 264 00:17:55.039 --> 00:18:00.799 twenty two, Walgreens also tech Salesforce Dot Yeah, right, dot com. 265 00:18:00.839 --> 00:18:03.440 I know where you're going with that. And the number one performer in the 266 00:18:03.519 --> 00:18:07.000 Dow this year Salesforce dot com. And that's kind of the way it goes. 267 00:18:07.039 --> 00:18:11.680 Hey. For those who think electric cars are just a fad, Exon 268 00:18:11.759 --> 00:18:15.920 announced last week they purchased one hundred and twenty thousand acres of land at a 269 00:18:15.960 --> 00:18:23.039 geographical site in Arkansas that contains lithium. They've planned to manufacture enough lithium. 270 00:18:23.079 --> 00:18:29.559 Exxon planned to manufacture enough lithium to par one million electric vehicles per year by 271 00:18:29.559 --> 00:18:33.039 twenty thirty. Well, it's some ways down the road twenty thirty, but 272 00:18:33.119 --> 00:18:37.640 it tells you that Exon is looking at this going hmm, let me tap 273 00:18:37.680 --> 00:18:41.359 into this market. Dean made an interesting point. We were talking during the 274 00:18:41.359 --> 00:18:44.880 week and he said, and we both like to watch sports, and he 275 00:18:44.920 --> 00:18:48.079 goes, how come every commercial is for an electric car? Have you noticed 276 00:18:48.079 --> 00:18:55.839 that almost every single car commercial is for an electric car? And I started 277 00:18:56.039 --> 00:19:00.880 wondering why, and it struck me that right now about out eight percent of 278 00:19:00.200 --> 00:19:06.400 sales are electric. We know from reports that we've talked about on the show 279 00:19:06.440 --> 00:19:11.640 that somewhere around forty percent of people are interested in an electric car. Well, 280 00:19:11.640 --> 00:19:15.200 if you go from eight to forty, that would make it, without 281 00:19:15.200 --> 00:19:19.000 a doubt, the fastest growing segment of the automotive market period. So that 282 00:19:19.240 --> 00:19:23.680 must be why those commercials are. But kind of pay attention to the car 283 00:19:23.720 --> 00:19:30.359 commercials and it's pretty shocking and well over half of them are for electric cars. 284 00:19:30.519 --> 00:19:33.920 Yeah. Well, also keep in mind that the more electric cars that 285 00:19:33.960 --> 00:19:37.079 they sell, the less cave credits that they have got Cafe. We learn 286 00:19:37.119 --> 00:19:41.119 that the Cafe credits that's actually I say a cafe credit. So the Cafe 287 00:19:41.160 --> 00:19:45.039 credits are things that these companies have to buy if they don't have their whole 288 00:19:45.079 --> 00:19:48.920 fleet that they sold in that year doesn't cover the emission standards that are set 289 00:19:48.960 --> 00:19:52.960 by the government. So if they sell more electric vehicles, they don't have 290 00:19:52.000 --> 00:19:56.640 to really do that. So maybe that's why as well, it could be 291 00:19:56.039 --> 00:20:00.480 it hasn't. It hasn't helped charge point much though, has it charged What 292 00:20:00.559 --> 00:20:04.440 an interesting story. This is the largest charging company in the country. They 293 00:20:04.440 --> 00:20:08.000 were sure they have more. They have. Yeah, they have more charging 294 00:20:08.519 --> 00:20:12.880 stations than any other company including Tesla. Right. They hit an all time 295 00:20:14.000 --> 00:20:18.200 low on Friday, down thirty three percent, after both the CEO and the 296 00:20:18.240 --> 00:20:22.599 CFO left the company. Stock was forty eight dollars in December of twenty twenty 297 00:20:22.640 --> 00:20:27.759 close Friday at two. And you've got to ask why would the largest charging 298 00:20:27.880 --> 00:20:33.400 company in the country be hitting an all time low? And we know the 299 00:20:33.440 --> 00:20:37.599 answer, don't we tell you? Called it Dave. Actually I know, 300 00:20:37.640 --> 00:20:44.279 I actually made this observation about three months ago in the stock probably was in 301 00:20:44.279 --> 00:20:48.079 the teens and I think when you really found this out, he was like 302 00:20:48.119 --> 00:20:52.240 eight nine dollars at that time. I think it was well whatever. Anyway, 303 00:20:52.279 --> 00:20:56.440 bottom line is the reason that this company is struggling is they are level 304 00:20:56.480 --> 00:21:00.720 two chargers only. I shouldn't say they have fifteen hundred Level three chargers out 305 00:21:00.720 --> 00:21:06.720 of seventy thousand chargers. It's all Level two. And if you haven't listened 306 00:21:06.759 --> 00:21:11.400 to this segment to the ev garage before, we know the level one. 307 00:21:11.480 --> 00:21:15.200 That's when you plug essentially plug into the garage, right, you just plug 308 00:21:15.200 --> 00:21:17.799 it in. It takes a couple of days for the charge. Literally takes 309 00:21:17.839 --> 00:21:22.720 a couple of days for to charge. Level two is what most people use 310 00:21:22.799 --> 00:21:25.680 at home to charge. You get about forty miles an hour. That's what 311 00:21:25.720 --> 00:21:29.839 you'd use for charging overnight. That's what these guys have. Level three is 312 00:21:29.839 --> 00:21:33.599 what you need to find when you're traveling, and that can charge the car 313 00:21:33.680 --> 00:21:37.599 to an eighty percent charging about thirty minutes. Tesla dominates that space. Charge 314 00:21:37.599 --> 00:21:42.240 point is not really active in that space. So they're going to hotels, 315 00:21:42.559 --> 00:21:48.039 they're going to anywhere where people are going to be for a while, hospitals, 316 00:21:48.119 --> 00:21:52.799 maybe libraries, wherever people are going to be for a while. That 317 00:21:52.000 --> 00:21:59.799 is where they're putting their charging stations, and it's going poorly. Does Tesla 318 00:21:59.799 --> 00:22:02.880 have or level one, level two and level three chargers? No? No, 319 00:22:03.000 --> 00:22:03.880 keep it wind. Level one is there is no such thing as a 320 00:22:03.920 --> 00:22:07.240 level one charger. That's essentially pugging it into the wall, right, So 321 00:22:07.279 --> 00:22:11.119 a level two charger, and the reason you'd have a level two charger instead 322 00:22:11.160 --> 00:22:15.680 of level three is a level two charger cost about a thousand bucks a level 323 00:22:15.680 --> 00:22:19.880 three charger fifty to one hundred grand wow for a level three charger. So 324 00:22:19.960 --> 00:22:23.279 those Tesla chargers you see out there, fifty to one hundred grand apiece. 325 00:22:23.400 --> 00:22:27.640 Wow. No, Level two chargers are what everybody has in there. Not 326 00:22:27.680 --> 00:22:30.200 everybody, but what most people have in their garage. If you have an 327 00:22:30.240 --> 00:22:34.400 electric vehicle, you're going to have a level two charger in your garage or 328 00:22:34.400 --> 00:22:38.279 else, it's going to be a really bad experience. And I went for 329 00:22:38.839 --> 00:22:44.799 a month with before my charger was installed, going to public charging stations and 330 00:22:44.839 --> 00:22:48.200 it was really annoying. It took forever, and you did you know, 331 00:22:48.480 --> 00:22:51.359 half an hour forty five minutes when you have nothing to do is a long 332 00:22:51.440 --> 00:22:56.559 time. So uh again, charge point level two chargers. I think at 333 00:22:56.599 --> 00:23:00.440 some point there's a big market for those level two chargers at some point point, 334 00:23:00.240 --> 00:23:06.960 but hotels have been slow to adopt them. Most upscale hotels will now 335 00:23:07.039 --> 00:23:11.839 have some level two charging stations, but not anywhere near the numbers that that 336 00:23:11.880 --> 00:23:15.039 they need to make it profitable. So yeah, I mean level two is 337 00:23:15.079 --> 00:23:17.920 don't make sense because honestly, we live in a world where people don't want 338 00:23:17.920 --> 00:23:21.440 to wait, and that's not gonna change. It's going to increase that trend. 339 00:23:21.680 --> 00:23:25.000 So having things that wait too long, I don't think people are going 340 00:23:25.079 --> 00:23:27.200 to come around to it. It's it's it's really people are going to come 341 00:23:27.200 --> 00:23:30.400 around to level threes, that's what it's. I think there's a I think 342 00:23:30.440 --> 00:23:33.440 there's a huge market out there for a level two chargers, but I don't. 343 00:23:34.000 --> 00:23:37.000 Oh yeah, every hotel is going to have eight or ten of them, 344 00:23:37.079 --> 00:23:41.720 But that'n't mean that you're actually gonna want to use it. No, 345 00:23:41.799 --> 00:23:45.000 but every hotel is going to have them. And why wouldn't you because you 346 00:23:45.079 --> 00:23:52.200 might already have had it completely charged. It's you're never as someone who's had 347 00:23:52.240 --> 00:23:55.440 a little hectory car, you never have enough charge, right. If you 348 00:23:55.440 --> 00:23:57.160 can get an extra boost here and there, you're gonna take it. But 349 00:23:57.319 --> 00:24:00.480 anyway, if you're traveling, well, then you're gonna need to charge a 350 00:24:00.559 --> 00:24:06.000 car. But also what you're talking about is most traveling stations are have the 351 00:24:06.079 --> 00:24:08.240 level threes that you're looking for. You're not going to go to a travel 352 00:24:08.240 --> 00:24:12.119 station and charge up at a level two because that's gonna take way too long 353 00:24:12.240 --> 00:24:17.400 if you're on a trip, if you're traveling somewhere. Yeah, it's an 354 00:24:17.400 --> 00:24:21.279 interesting it's an interesting thing. It's part of the future and it's kind of 355 00:24:21.279 --> 00:24:23.960 fun to play with. But anyway, we thank you for listening. We'll 356 00:24:25.000 --> 00:24:33.480 be back right after this break. This is the Money Matter Shows. Welcome 357 00:24:33.480 --> 00:24:34.759 back to the Money Matter Show. My name is Todd Glick. I'm here 358 00:24:34.759 --> 00:24:38.240 with Sebastian Borsini and Dave Surewood. I want to make sure everyone's aware of 359 00:24:38.319 --> 00:24:41.319 where they can find all of our good content. You can go to our 360 00:24:41.319 --> 00:24:45.839 website Greenberg Financial dot com. In the upper right hand corner, you'll see 361 00:24:45.839 --> 00:24:48.920 all the different icons. You can click on our YouTube page and subscribe. 362 00:24:48.920 --> 00:24:52.359 There you'll find all of our videos, our TV shows, our weekly market 363 00:24:52.440 --> 00:24:56.119 updates. You can go to our Facebook page and see our posts, our 364 00:24:56.160 --> 00:25:00.359 newsletters posted on there, as well as our latest seminar that we're coming out 365 00:25:00.359 --> 00:25:03.920 with on December thirteenth for federal employee benefits education. We're going to have that 366 00:25:04.119 --> 00:25:08.880 held here in Tucson locally, So if you want to look for more information, 367 00:25:10.000 --> 00:25:12.279 you can go to the Greenberg Financial dot com website and click on the 368 00:25:12.279 --> 00:25:17.640 Federal Employees tab, and at the bottom of the page you can get click 369 00:25:17.640 --> 00:25:21.200 on the register now. It will send you to our event bright page. 370 00:25:21.240 --> 00:25:23.359 We'll have all the information about the event. You can register on there for 371 00:25:23.400 --> 00:25:26.640 a mobile e ticket, and then it will send you an email confirmation as 372 00:25:26.640 --> 00:25:30.319 well afterwards. If you want to just sign up the old fashion way, 373 00:25:30.319 --> 00:25:32.759 feel free to give us a call five to zero five four four four nine 374 00:25:32.839 --> 00:25:34.440 zero nine and we can sign you up that way as well. But all 375 00:25:34.440 --> 00:25:40.200 the information is on our website as well as again, listen to our podcast 376 00:25:40.319 --> 00:25:44.640 they are recorded, they are on All these radio shows are recorded on podcasts. 377 00:25:44.680 --> 00:25:47.599 You can listen anytime anywhere, as Dave said, anywhere in the world 378 00:25:47.799 --> 00:25:49.920 even and then on top of that week, amazing some of the emails we 379 00:25:49.920 --> 00:25:55.640 get from different places in really and we also have the radio shows on Saturday 380 00:25:55.680 --> 00:25:59.400 six thirty, twelve and twelve thirty. We also just aired a good slate 381 00:25:59.440 --> 00:26:03.359 of six new Ties TV shows, so that will continuously be put on the 382 00:26:03.519 --> 00:26:07.400 NBC KVOA station on Sunday nights at ten thirty pm after the ten pm news. 383 00:26:07.440 --> 00:26:11.319 If you are planning on joining us for that Federal Employee Benefits Centemar Seminar, 384 00:26:11.880 --> 00:26:15.599 don't forget to ask your employer for Form SF one eight two. You 385 00:26:15.680 --> 00:26:18.440 might be entitled to a free day off, paid day off. Yeah, 386 00:26:18.640 --> 00:26:22.480 they love the Event's also going to have paid lunch, So you have free 387 00:26:22.559 --> 00:26:26.359 lunch, paid day off, and you get to learn about your Federal employee 388 00:26:26.359 --> 00:26:30.319 benefits and how they will compliment you with your financial plan going throughout retirement. 389 00:26:30.400 --> 00:26:33.799 You will even offer you a free financial plan after the seminar, if you 390 00:26:34.119 --> 00:26:37.960 are interested in that, I want to take advantage of that as well. 391 00:26:37.079 --> 00:26:41.000 And in the middle of the second hour, we're going to have the replay 392 00:26:41.079 --> 00:26:44.799 that interview had with Sean McCoy, who is the guy that's flying out here 393 00:26:44.839 --> 00:26:48.759 to do this seminar, right, and give it kind of a I think 394 00:26:48.759 --> 00:26:51.920 of it as a as a preview of a movie, right right, exactly, 395 00:26:51.880 --> 00:26:55.119 a little trailer, little trailer. Yeah, so it it'd be a 396 00:26:55.160 --> 00:26:59.359 good event. So if you have a federal employee anywhere from ten years less 397 00:26:59.359 --> 00:27:03.599 from retirement, definitely take advantage of that event. Or if you know a 398 00:27:03.640 --> 00:27:06.200 federal employee, if you have a federal employee in your family. I know, 399 00:27:06.480 --> 00:27:08.279 I have a federal employee that goes to my church. And I said 400 00:27:08.279 --> 00:27:11.400 to her, I said, have you given this any thought? Are you 401 00:27:11.440 --> 00:27:15.240 aware of this? Now? I wasn't aware. And I told her what 402 00:27:15.279 --> 00:27:17.160 it was about, and she said, oh, I'd love to go to 403 00:27:17.200 --> 00:27:19.359 that now she's two years away from retirement. I'd love to do that. 404 00:27:19.960 --> 00:27:23.319 And so you know, if you have someone in your family, someone you 405 00:27:23.480 --> 00:27:27.960 in your neighborhood, someone in your church who's a federal employee who is getting 406 00:27:27.960 --> 00:27:33.160 close to retirement. What an amazing opportunity. And this guy's flying out here, 407 00:27:33.160 --> 00:27:36.880 he's got decades of experience. You get a free launch, you get 408 00:27:36.920 --> 00:27:40.160 the seminar, you get a free financial plan, and I promise we won't 409 00:27:40.160 --> 00:27:42.440 dog you. You're not going to be on the list where we call you 410 00:27:42.480 --> 00:27:45.640 every fifteen minutes for the rest of your life. I had a friend of 411 00:27:45.640 --> 00:27:48.039 mine who said he got a new cell phone number. I go, my 412 00:27:48.079 --> 00:27:51.440 goodness, why would you ever change yourself on them? He goes, I 413 00:27:51.559 --> 00:27:53.319 was tired of getting the spam calls. You know, really, you think 414 00:27:53.359 --> 00:27:57.079 getting a new number is going to stop that because the robot can find you. 415 00:27:57.119 --> 00:28:02.680 Buddy, there's a what I was looking at. Speaking of government government 416 00:28:02.759 --> 00:28:07.119 debts, an unprecedented eight point two trillion dollars of US government debt will be 417 00:28:07.200 --> 00:28:12.519 maturing in the next twelve months. Take this, it's one third of all 418 00:28:12.680 --> 00:28:18.000 total treasuries outstanding currently in the next twelve months, mature in the next twelve 419 00:28:18.000 --> 00:28:21.160 month. And they're all paying interestrate a one to two percent of residented they're 420 00:28:21.200 --> 00:28:22.359 all paying one to two percent. They're going to go to four to five 421 00:28:22.359 --> 00:28:26.519 percent, three to five three point five times more than what was net issued 422 00:28:26.640 --> 00:28:30.440 this year alone, So we're looking at a huge issuance next year. The 423 00:28:30.440 --> 00:28:33.400 Treasury is gonna have a lot of work on their hands, the Treasury Department 424 00:28:33.480 --> 00:28:37.240 that is. And yeah, those coupon rates on those new treasures rolling out 425 00:28:37.279 --> 00:28:41.440 are going to be pretty pretty big. We'll be buying them. Poo golly. 426 00:28:41.559 --> 00:28:45.240 Hey, couple interesting things this week. The solar ETF, which has 427 00:28:45.359 --> 00:28:49.839 just gotten cobborage down fifty percent this year, son thirty percent in the last 428 00:28:49.880 --> 00:28:56.519 ninety days. Ten oh yeah, Sun close Soun's better down thirty percent last 429 00:28:56.559 --> 00:29:03.119 ninety Higher interest rates have really been playing havoc with the solar market. The 430 00:29:03.119 --> 00:29:06.880 the numbers don't work as well when you're talking about rates where they are now. 431 00:29:06.920 --> 00:29:11.920 And however, the ETF jumped ten percent on Tuesday after that tame CPI 432 00:29:11.079 --> 00:29:15.000 number. To remember, we said it was four days this week where the 433 00:29:15.119 --> 00:29:18.279 S and P five hundred didn't even move ten points, but on Tuesday it 434 00:29:18.319 --> 00:29:22.000 was up eighty four points. And this that was a okay, a real 435 00:29:22.119 --> 00:29:26.240 nice pop. Yeah, because I was I was looking at I follow this 436 00:29:26.319 --> 00:29:30.359 stock on the on the solar front called fsl R, First Solar, Yeah, 437 00:29:30.400 --> 00:29:33.200 First Solder and I saw them get a big jar of tan. Interesting 438 00:29:33.359 --> 00:29:37.519 okay, a big part of tan Tesla. This is interesting A four percent 439 00:29:37.599 --> 00:29:40.680 on Monday on news. You know, they got the cyber truck, which 440 00:29:40.720 --> 00:29:44.240 is just a interesting. I was gonna say, god awful, but it's 441 00:29:44.240 --> 00:29:48.039 it's tastes. I've also heard that. I've heard that it's it's a lot. 442 00:29:48.119 --> 00:29:49.880 It looks a lot different in person. So I'm gonna reserve my Giant 443 00:29:51.000 --> 00:29:52.160 because I agree with you, Dave. I think it looks like a piece. 444 00:29:52.519 --> 00:29:56.319 It's really work. It does not look good on pictures, but maybe 445 00:29:56.319 --> 00:29:59.920 it's different in person. That's what everyone tells me. Well, I hear 446 00:30:00.279 --> 00:30:03.440 we're gonna find out, because I guess it's actually going to come out here 447 00:30:03.680 --> 00:30:08.680 and get this. The cyber truck order agreement. There's so much demand for 448 00:30:08.799 --> 00:30:12.160 this truck that none of the three of us think is worth driving. I 449 00:30:12.200 --> 00:30:15.920 wouldn't want to be seen driving it, right. There's so much demand for 450 00:30:15.960 --> 00:30:22.839 this truck that the order agreement prohibits the buyer from selling in the first twelve 451 00:30:22.839 --> 00:30:26.920 months. Wow. Yeah, So if you ordered this cyber truck and we're 452 00:30:26.000 --> 00:30:30.160 lucky enough to get one, you cannot sell it in the next twelve months, 453 00:30:30.160 --> 00:30:32.720 which is kind of clever. Yeah, because that's what they're seeing. 454 00:30:32.759 --> 00:30:34.400 You know, the truck's priced it, I don't know what, say, 455 00:30:34.440 --> 00:30:37.880 sixty grand next thing, you know, it's one hundred and twenty. Yeah, 456 00:30:37.920 --> 00:30:41.359 that's what they can see happening. So so I thought that was you 457 00:30:41.400 --> 00:30:45.480 cannot sell within the first twelve months without written permission from Tesla. And if 458 00:30:45.519 --> 00:30:48.759 you remember seeing that, I mean that's a very good business move. And 459 00:30:48.799 --> 00:30:51.359 if you remember they everyone signed up for this, how to put down one 460 00:30:51.440 --> 00:30:53.119 hundred dollars to posit it? Yeah, and so what do they use with 461 00:30:53.160 --> 00:30:56.400 all that money? They built their factory. They're gig a factory that builds 462 00:30:56.400 --> 00:31:00.279 a cyber truck. I mean it was really smart if you look at kind 463 00:31:00.279 --> 00:31:03.559 of how they were doing everything. But the cyber truck's kind of cool because 464 00:31:03.039 --> 00:31:08.119 it's apparently bulletproof. Bulletproof, yes, and it's definitely arrow proof. And 465 00:31:08.200 --> 00:31:14.079 I saw this demonstration because Rogan. Yeah I listened to Joe Rogan podcasts and 466 00:31:14.119 --> 00:31:18.559 he shot an arrow at the cyber truck on his live podcast. Then it 467 00:31:18.680 --> 00:31:22.559 didn't even make a dent bounce off. Oh no, the arrow split it 468 00:31:22.640 --> 00:31:26.200 like the arrow I mean it's yeah. And then they said they've done demonstrations 469 00:31:26.240 --> 00:31:30.319 with guns and bullets and it doesn't penetrate. You can even get the glass 470 00:31:30.480 --> 00:31:34.279 bulletproof. Get this. I did hear that. But guess what, you 471 00:31:34.319 --> 00:31:40.079 ain't rolling down your windows because the glass bulletproof glass is so heavy it doesn't 472 00:31:40.079 --> 00:31:42.680 work. You can't roll it up and down. So there's no drive through 473 00:31:44.519 --> 00:31:48.640 window. There's no drive through How are you gonna go to McDonald's. You 474 00:31:48.640 --> 00:31:51.960 know you're gonna pull up and open your car door. I guess, like, 475 00:31:52.720 --> 00:31:56.559 well, that's like the Tesla Model X where it has the gold wings. 476 00:31:56.920 --> 00:32:00.680 Oh, you can't put it in a garage? Yeah, who's thinking 477 00:32:00.680 --> 00:32:04.359 about that? I mean, if you've got more than one car, you 478 00:32:04.359 --> 00:32:07.960 can't put it in the garage. Who cares the doors won't open? You 479 00:32:07.000 --> 00:32:10.559 know, that's a whole other thing. Speaking of cars, you know, 480 00:32:10.680 --> 00:32:15.960 did you see where Amazon is going to allow people to buy cars on their 481 00:32:15.000 --> 00:32:20.279 website and car is not happy? Oh my goodness, no, No, 482 00:32:20.400 --> 00:32:23.359 they're going to start off with Hyundai I believe right. Yeah, but starting 483 00:32:23.400 --> 00:32:29.920 in twenty twenty four, you will be by a car on Amazon and have 484 00:32:30.000 --> 00:32:35.160 it either delivered to your house or delivered to a dealership right then, where 485 00:32:35.160 --> 00:32:37.920 you can pick it up. Kind of interesting. Huh, Yes, Sunday 486 00:32:37.960 --> 00:32:39.759 can't get rid of them, right, So yeah, Honda is just a 487 00:32:39.799 --> 00:32:43.920 great company. Let's talk about Walgreens, the dogs of the now. One 488 00:32:43.920 --> 00:32:47.720 of the worst performing stocks in history. It continued its multi year decline, 489 00:32:47.799 --> 00:32:52.079 dropped to a new twenty five year low last week. The dividend is now 490 00:32:52.200 --> 00:32:57.440 nine point five percent. Now one would expect that to be cut or eliminated, 491 00:32:57.480 --> 00:33:00.920 which might be the final catalyst, but it only six times twenty twenty 492 00:33:00.920 --> 00:33:07.559 four earnings, and the twenty twenty four earnings easily covered the dividend. There's 493 00:33:07.559 --> 00:33:09.599 no reason to cut the dividend. There's no need to cut the dividend. 494 00:33:09.640 --> 00:33:13.839 They've got plenty of cash flow. Unless your earnings in twenty twenty five aren't 495 00:33:13.839 --> 00:33:17.160 going to be anything lower earnings and nine and a half percent dividend, you 496 00:33:17.160 --> 00:33:22.200 know, you're not a Dow component unless you're one of the top companies in 497 00:33:22.240 --> 00:33:23.599 the world. So it's going to be interesting to see how this plays out. 498 00:33:24.680 --> 00:33:29.799 I guess the Dow Committee would would like to kick him out. But 499 00:33:29.920 --> 00:33:35.920 since they just kicked Ge out and put Walgreens in their place just five years 500 00:33:35.960 --> 00:33:37.759 ago. It would look kind of silly right to kick him out. Now 501 00:33:37.920 --> 00:33:42.319 in the five years, get this, In the five years since Walgreens replaced 502 00:33:42.359 --> 00:33:47.160 GE in the Dow, shares of Walgreens have dropped seventy percent. Well, 503 00:33:47.200 --> 00:33:52.440 shares of GE have risen forty one percent. Well, are you kidding me? 504 00:33:52.680 --> 00:33:55.920 Can you imagine how much higher the Dow would be if you just left 505 00:33:55.920 --> 00:33:59.720 it alone? Yeah? I mean that's an equal way to Dow, right, 506 00:34:00.119 --> 00:34:04.079 hundreds of points higher, hundreds of final I know exactly what it would 507 00:34:04.079 --> 00:34:07.359 be, but it would be noticeably higher. GE is doubled this year, 508 00:34:07.400 --> 00:34:12.039 Walgreens down forty percent. Yeah, you know, uh that. I do 509 00:34:12.159 --> 00:34:15.719 know that the Dow would not be lagging the S and P five hundred like 510 00:34:15.719 --> 00:34:17.360 it is. The Dow's up five point four percent for the year S and 511 00:34:17.360 --> 00:34:22.480 P of seventeen point six. If you had GE in place of Walgreens, 512 00:34:22.519 --> 00:34:25.840 I'm guessing the Dew would probably be up pretty close to what the S and 513 00:34:25.880 --> 00:34:29.880 P is. It's really interesting. I do think you got to give dal 514 00:34:30.039 --> 00:34:35.119 some some benefit of the doubt because GE did spin off, yes, right, 515 00:34:35.239 --> 00:34:38.039 and spin off rarely worked, but it worked very very well. It 516 00:34:38.079 --> 00:34:40.599 didn't spin off until after they'd been kicked out of the Dow. They're kicked 517 00:34:40.599 --> 00:34:44.440 out now, I know. But GE has doubled this year most of their 518 00:34:44.559 --> 00:34:47.360 forty percent reverse split, which is a kiss of death, I know, 519 00:34:47.440 --> 00:34:52.199 And they spun off and it worked a double I get it. But what 520 00:34:52.239 --> 00:34:54.119 I'm saying is they doubled this year. Most of that forty percent return happened 521 00:34:54.119 --> 00:34:58.199 really this year? Oh yeah, you know so. I what they were 522 00:34:58.239 --> 00:35:02.639 thinking is it's a bad coup until they changed some real restructuring of their corporation. 523 00:35:02.960 --> 00:35:07.760 Bottom line is it was a real uh, terrible move, terrible sight 524 00:35:07.920 --> 00:35:10.599 in hindsight, I'm sure they'd love to go back. And I think you 525 00:35:10.679 --> 00:35:15.039 got to kick out Walgreens at this point because I mean, what if I 526 00:35:15.119 --> 00:35:19.199 tell you in two years Walgreens not bankrupt, are you surprised or you say, 527 00:35:19.199 --> 00:35:21.880 oh, it's it's probably their bankrupt in two Yes, I know, 528 00:35:22.800 --> 00:35:25.840 looking at the earnings projections for twenty twenty four, I would say that's impossible. 529 00:35:25.880 --> 00:35:30.880 But really, yeah, it's four dollars or something to share, So 530 00:35:30.119 --> 00:35:35.119 you know, it's like I say, the dividends is easily covered. That's 531 00:35:35.440 --> 00:35:37.679 but you're right. It's just been a disastrous stock and it's a tough one 532 00:35:37.679 --> 00:35:42.480 to own. And that's why we don't focus on the Dow because one stock 533 00:35:43.320 --> 00:35:45.480 like a Walgreens. I just can't imagine my life without Walgreens. No, 534 00:35:45.800 --> 00:35:49.559 I can't imagine my life without Amazon. You know what I'm saying, Amazon, 535 00:35:49.639 --> 00:35:51.920 Walgreens and QT. You need them? All right, we'll be back. 536 00:35:52.199 --> 00:35:55.519 We'll be back right, Electric car guy needs QT. We'll be back 537 00:35:55.639 --> 00:36:23.079 right after this break. It's a welcome back to the Money Matter Show. 538 00:36:23.079 --> 00:36:27.239 My name is Todd Glick. I'm here with Sebastian Borsini and Dave Surewood. 539 00:36:27.280 --> 00:36:30.280 I want to make sure everyone's aware of where they can find all of our 540 00:36:30.559 --> 00:36:32.559 good content. You can go to our website, Greenberg Financial dot com. 541 00:36:32.559 --> 00:36:36.440 In the up right hand corner, you'll see all of the different icons. 542 00:36:36.440 --> 00:36:38.559 You can click on our YouTube page and subscribe. There you'll find all of 543 00:36:38.559 --> 00:36:43.239 our videos, our TV shows, our weekly market updates. You can go 544 00:36:43.320 --> 00:36:46.519 to our Facebook page and see our posts our newsletters posted on there, as 545 00:36:46.599 --> 00:36:51.519 well as our latest seminar that we're coming out with on December thirteenth for federal 546 00:36:51.559 --> 00:36:55.360 employee benefits Education. We're going to have that held here in Tucson locally. 547 00:36:55.480 --> 00:36:59.960 So if you want to look for more information, you can go to the 548 00:37:00.079 --> 00:37:05.079 Greenberg Financial dot com website and click on the federal employees tab and at the 549 00:37:05.119 --> 00:37:08.119 bottom of the page you can get click on the register now. It will 550 00:37:08.159 --> 00:37:12.280 send you to our event bright page. We'll have all the information about the 551 00:37:12.280 --> 00:37:15.599 event. You can register on there for a mobile e ticket and then it 552 00:37:15.599 --> 00:37:17.800 will send you an email confirmation as well. Afterwards. If you want to 553 00:37:17.800 --> 00:37:20.760 just sign up the old fashion way, feel free to give us a call 554 00:37:20.800 --> 00:37:22.360 five two zero five four four four nine zero nine and we can sign you 555 00:37:22.440 --> 00:37:27.159 up that way as well. But all the information is on our website as 556 00:37:27.199 --> 00:37:30.039 well as again, listen to our podcasts. They are recorded, they are 557 00:37:30.320 --> 00:37:35.519 on All these radio shows are recorded on podcasts. You can listen anytime anywhere, 558 00:37:35.559 --> 00:37:37.960 as Dave said, anywhere in the world even and then on top of 559 00:37:37.960 --> 00:37:43.039 that week amazing some of the emails we get from different places really And we 560 00:37:43.079 --> 00:37:45.719 also have the radio shows on Saturday six thirty, twelve and twelve thirty. 561 00:37:45.840 --> 00:37:50.679 We also just aired a good slate of six new TV shows, so that 562 00:37:50.719 --> 00:37:55.880 will continuously be put on the NBCKVOA station on Sunday nights at ten thirty pm 563 00:37:55.880 --> 00:37:59.400 after the ten PM News. If you are planning on joining us for that 564 00:37:59.559 --> 00:38:04.880 Federalmployee Benefits Centemar seminar, don't forget to ask your employer for Form S F 565 00:38:05.039 --> 00:38:07.000 one eight two. You might be entitled to a free day off, paid 566 00:38:07.039 --> 00:38:12.519 day off. Yeah. The event's also going to have paid lunch, so 567 00:38:12.559 --> 00:38:15.440 you have free lunch, paid day off, and you get to learn about 568 00:38:15.760 --> 00:38:20.039 your federal employee benefits and how they will compliment you with your financial plan going 569 00:38:20.039 --> 00:38:22.760 throughout retirement. You will even offer you a free financial plan after the seminar 570 00:38:23.079 --> 00:38:27.239 if you are interested in that. I want to take advantage of that as 571 00:38:27.239 --> 00:38:29.679 well. And in the middle of the second hour, we're going to have 572 00:38:29.719 --> 00:38:32.960 the replay that interview had with Sean McCoy, who is the guy that's flying 573 00:38:34.000 --> 00:38:37.079 out here to do this seminar, right, and give kind of a I 574 00:38:37.119 --> 00:38:39.960 think of it as a as a preview of a movie, right, right, 575 00:38:40.039 --> 00:38:44.519 exactly, a little trailer, little trailer. Yeah, so it it'd 576 00:38:44.519 --> 00:38:47.199 be a good event. So if you have a federal employee anywhere from ten 577 00:38:47.280 --> 00:38:52.840 years less from retirement, definitely take advantage of that event. Or if you 578 00:38:52.920 --> 00:38:54.519 know, a federal employee, if you have a federal employee in your family. 579 00:38:54.559 --> 00:38:57.960 I know, I have a federal employee that goes to my church. 580 00:38:58.320 --> 00:39:00.599 And I said to her, I said, have you given this any thought? 581 00:39:00.760 --> 00:39:04.360 Are you aware of this? Now? I wasn't aware. And I 582 00:39:04.400 --> 00:39:06.320 told her what it was about. And she said, oh, I'd love 583 00:39:06.360 --> 00:39:08.480 to go to that now, she's two years away from retirement. I'd love 584 00:39:08.519 --> 00:39:12.280 to do that. And so, you know, if you have someone in 585 00:39:12.320 --> 00:39:15.920 your family, someone you in your neighborhood, someone at your church who's a 586 00:39:15.920 --> 00:39:21.599 federal employee who is getting close to retirement, what an amazing opportunity. And 587 00:39:21.639 --> 00:39:24.519 this guy's flying out here, he's got decades of experience. You get a 588 00:39:24.559 --> 00:39:28.320 free launch, you get the seminar, you get a free financial plan, 589 00:39:28.639 --> 00:39:31.199 and I promise we won't dog you. You're not going to be on the 590 00:39:31.199 --> 00:39:34.880 list where we call you every fifteen minutes for the rest of your life. 591 00:39:35.519 --> 00:39:37.199 I had a friend of mine who said he got a new cell phone number. 592 00:39:37.239 --> 00:39:39.480 I go, my goodness, why would you ever change yourself on there? 593 00:39:39.519 --> 00:39:42.599 He goes, I always tired of get in the spam calls. You 594 00:39:42.639 --> 00:39:45.400 know, really, you think getting a new number is going to stop that 595 00:39:45.880 --> 00:39:50.360 because the robot can find you. Buddy. There is what I was looking 596 00:39:50.400 --> 00:39:54.840 at. Speaking of government government debts, an unprecedented eight point two trillion dollars 597 00:39:54.880 --> 00:40:00.000 of US government debt will be maturing in the next twelve months. Take this, 598 00:40:00.199 --> 00:40:06.639 it's one third of all total treasuries outstanding currently in the next twelve month 599 00:40:06.719 --> 00:40:08.199 mature in the next twelve month, and they're all paying interest rate a one 600 00:40:08.199 --> 00:40:12.079 to two percent residented they're all paying one to two percent, and they're going 601 00:40:12.159 --> 00:40:15.320 to go to four to five percent, three to five three point five times 602 00:40:15.360 --> 00:40:19.760 more than what was net issued this year alone. So we're looking at a 603 00:40:19.840 --> 00:40:22.320 huge issuance next year. The Treasury is gonna have a lot of work on 604 00:40:22.360 --> 00:40:25.559 their hands, the Treasury Department that is. And yeah, those coupon rates 605 00:40:25.599 --> 00:40:30.159 on those new treasures rolling out are going to be pretty pretty big. We'll 606 00:40:30.199 --> 00:40:34.440 be buy them pooh golly. Hey. Couple interesting things this week. The 607 00:40:34.480 --> 00:40:37.719 Solar ETF, which has just gotten collobbage down fifty percent this year, son 608 00:40:38.239 --> 00:40:42.760 thirty percent in the last ninety days. Ten oh yeah, yeah, Sun 609 00:40:42.920 --> 00:40:47.199 close, Sun's better, down thirty percent in last ninety da. Higher interest 610 00:40:47.280 --> 00:40:52.559 rates have really been playing havoc with the solar market. The numbers don't work 611 00:40:52.599 --> 00:40:57.559 as well when you're talking about rates where they are now. And however, 612 00:40:57.639 --> 00:41:01.599 the ETF jumped ten percent on Tuesday after that tame CPI number. To remember, 613 00:41:01.679 --> 00:41:05.199 we said it was four days this week where the S and P five 614 00:41:05.239 --> 00:41:07.639 hundred didn't even move ten points, but on Tuesday it was up eighty four 615 00:41:07.679 --> 00:41:13.639 points. And this that was, okay, a real nice pop. Yeah, 616 00:41:13.639 --> 00:41:15.960 because I was I was looking at I follow this stock on the on 617 00:41:16.039 --> 00:41:20.440 the solar front called fsl R First Solar, Yeah, first Solder, and 618 00:41:20.440 --> 00:41:22.280 I saw them get a big jar of tan. Interesting, okay, a 619 00:41:22.280 --> 00:41:27.840 big part of tan Tesla. This is interesting. Four percent on Monday on 620 00:41:27.920 --> 00:41:30.760 news, you know, they got this cyber truck, which is just an 621 00:41:30.119 --> 00:41:35.239 interesting I was gonna say, god awful, but it's it's tastes. I've 622 00:41:35.280 --> 00:41:37.239 also heard. I've heard that it's it's a lot. It looks a lot 623 00:41:37.239 --> 00:41:40.280 different in person. So I'm gonna reserve my giant because I agree with you, 624 00:41:40.360 --> 00:41:44.280 Dave. I think it looks like a piece of it's really work. 625 00:41:44.480 --> 00:41:46.440 Yeah, it does not look good on pictures, but maybe it's different in 626 00:41:46.480 --> 00:41:50.440 person. That's what everyone tells me, well, I hear we're gonna find 627 00:41:50.440 --> 00:41:53.480 out, because I guess it's actually going to come out here and get this. 628 00:41:54.320 --> 00:42:00.559 The cyber truck order agreement. There's so much demand for this truck that 629 00:42:00.719 --> 00:42:02.320 none of the three of us think is worth driving. I wouldn't want to 630 00:42:02.320 --> 00:42:07.599 be seen driving it. Right. There's so much demand for this truck that 631 00:42:07.800 --> 00:42:13.400 the order agreement prohibits the buyer from selling in the first twelve months. Wow. 632 00:42:13.559 --> 00:42:16.039 Yeah, So if you ordered this cyber truck, and we're lucky enough 633 00:42:16.079 --> 00:42:19.880 to get one, you cannot sell it in the next twelve months, which 634 00:42:19.920 --> 00:42:22.400 is kind of clever. Yeah, because that's what they're seeing in the truck's 635 00:42:22.599 --> 00:42:25.159 priced it. I don't know what, say sixty grand, next thing, 636 00:42:25.199 --> 00:42:28.039 you know, it's one hundred and twenty. Yeah, that's what they can 637 00:42:28.079 --> 00:42:31.199 see happening. So so I thought that was you cannot sell within the first 638 00:42:31.239 --> 00:42:36.079 twelve months without written permission from Tesla. And if you remember seeing that, 639 00:42:36.119 --> 00:42:38.559 I mean that's a very good business move. And if you remember they everyone 640 00:42:38.639 --> 00:42:40.920 signed up for this, how to put down one hundred dollars to posit? 641 00:42:42.039 --> 00:42:45.079 Yeah, and so what do they use with all that money? They built 642 00:42:45.079 --> 00:42:46.800 their factory. They're gig a factory that builds a cyber truck. I mean 643 00:42:47.000 --> 00:42:50.519 it was really smart if you look at like kind of how they were doing 644 00:42:50.559 --> 00:42:54.000 everything. But the cyber truck is kind of cool because it's apparently bulletproof. 645 00:42:54.480 --> 00:43:00.280 Bulletproof, yes, and it's definitely errowproof. And I saw this demonstration Rogan. 646 00:43:00.360 --> 00:43:05.079 Yeah, I listened to Joe Rogan podcasts and he he shot an arrow 647 00:43:05.119 --> 00:43:07.960 at the cyber truck on his live podcast. Then it didn't even make a 648 00:43:08.079 --> 00:43:13.679 dent bounced off. Oh no, the arrow split it like the arrow. 649 00:43:13.719 --> 00:43:17.320 I mean yeah. And they said they've done demonstrations with guns and bullets and 650 00:43:17.360 --> 00:43:22.000 that doesn't penetrate. You can even get the glass bulletproof. Get this. 651 00:43:22.480 --> 00:43:25.079 I did hear that. But guess what, you ain't rolling down your windows 652 00:43:25.119 --> 00:43:30.519 because the glass bulletproof glass is so heavy it doesn't work. You can't roll 653 00:43:30.519 --> 00:43:35.599 it up and down. So there's no drive through window. There's no drive 654 00:43:35.639 --> 00:43:38.079 through How are you gonna go to McDonald's. You know you're gonna pull up 655 00:43:38.119 --> 00:43:42.840 and open your car door. I guess like, well, that's like the 656 00:43:43.440 --> 00:43:46.320 Tesla Model X where it has the gold wings. You can't put it in 657 00:43:46.360 --> 00:43:52.719 the garage. Yeah, who's thinking about that? I mean, if you've 658 00:43:52.719 --> 00:43:54.599 got more than one car, you can't put it in the garage. Who 659 00:43:54.639 --> 00:44:00.440 cares the doors? You know, that's a whole other thing. Speak of 660 00:44:00.559 --> 00:44:04.199 cars, you know, did you see where Amazon is going to allow people 661 00:44:04.239 --> 00:44:07.840 to buy cars on their website and car is not happy? Oh my goodness, 662 00:44:07.880 --> 00:44:12.519 no, No, They're going to start off with Hyundai, I believe. 663 00:44:12.559 --> 00:44:15.400 Right. Yeah, but starting in twenty twenty four, you will be 664 00:44:15.119 --> 00:44:22.480 by a car on Amazon and have it either delivered to your house or delivered 665 00:44:22.480 --> 00:44:25.800 to a dealership right then where you can pick it up. Kind of interesting. 666 00:44:25.840 --> 00:44:28.480 Huh. Yes, Honday can't get rid of them, right, So, 667 00:44:28.760 --> 00:44:31.159 yeah, Honda is just a great company. Let's talk about Walgreens, 668 00:44:31.400 --> 00:44:35.280 the dogs of the now. One of the worst performing stocks in history, 669 00:44:36.400 --> 00:44:39.360 it continued its multi year decline, dropped to a new twenty five year low 670 00:44:39.760 --> 00:44:45.199 last week. The dividend is now nine point five percent. Now one would 671 00:44:45.199 --> 00:44:47.519 expect that to be cut or eliminated, which might be the final catalyst, 672 00:44:49.320 --> 00:44:53.079 but it only six times twenty twenty four earnings, and the twenty twenty four 673 00:44:53.119 --> 00:44:58.800 earnings easily covered the dividend. There's no reason to cut the dividend. There's 674 00:44:58.840 --> 00:45:00.840 no need to cut the dividen. They've got plenty of cash flow. Unless 675 00:45:00.840 --> 00:45:05.400 you're earnings in twenty twenty five aren't going to be anything lower than times earnings 676 00:45:05.440 --> 00:45:08.239 and nine and a half percent dividend. You know, you're not a Dow 677 00:45:08.400 --> 00:45:12.440 component unless you're one of the top companies in the world. So it's going 678 00:45:12.519 --> 00:45:15.480 to be interesting to see how this plays out. I guess the Dow Committee 679 00:45:15.480 --> 00:45:22.000 would would like to kick him out, but since they just kicked GE out 680 00:45:22.159 --> 00:45:25.840 and put Walgreens in their place just five years ago, it would look kind 681 00:45:25.840 --> 00:45:29.519 of silly right to kick him out now. In the five years, get 682 00:45:29.519 --> 00:45:34.159 this, In the five years since Walgreens replaced GE in the Dow, shares 683 00:45:34.199 --> 00:45:38.679 of Walgreens have dropped seventy percent. Well, shares of GE have risen forty 684 00:45:38.679 --> 00:45:44.559 one percent. Are you kidding me? Can you imagine how much higher the 685 00:45:44.639 --> 00:45:47.079 Dow would be if you just left it alone? Yeah? I mean that's 686 00:45:47.119 --> 00:45:52.159 an equal way to Dow, right, hundreds of points higher, hundreds of 687 00:45:52.480 --> 00:45:54.119 I don't know exactly what it would be, but it would be noticeably higher. 688 00:45:54.639 --> 00:45:59.840 GE is doubled this year, Walgreens down forty percent. Yeah, you 689 00:45:59.880 --> 00:46:04.159 know that. I do know that the Dow would not be lagging the S 690 00:46:04.199 --> 00:46:07.199 and P five hundred like it is. A Dow's up five point four percent 691 00:46:07.239 --> 00:46:09.840 for the year s and P of seventeen point six. If you had Ge 692 00:46:10.000 --> 00:46:15.280 in place of Walgreens, I'm guessing the Dow would probably be up pretty close 693 00:46:15.320 --> 00:46:17.519 to what the S and P is. It's really interesting. I do think 694 00:46:17.519 --> 00:46:22.159 you got to give dal some some benefit of the doubt because Ge did spin 695 00:46:22.239 --> 00:46:25.760 off, Yes, right, and the spin off rarely worked, but it 696 00:46:25.800 --> 00:46:30.239 worked very, very well. It didn't spin off until after they'd been kicked 697 00:46:30.280 --> 00:46:31.320 out of the Dow. They're kicked out now, I know. But Ge 698 00:46:31.440 --> 00:46:36.800 has doubled this year most of their forty reverse split, which is a kiss 699 00:46:36.840 --> 00:46:39.079 of death, I know. And they spun off and it worked a double 700 00:46:40.159 --> 00:46:43.280 I get it. But what we're saying is they doubled this year. Most 701 00:46:43.280 --> 00:46:45.119 of that forty percent return happened really this year. Oh yeah, you know. 702 00:46:45.280 --> 00:46:51.079 So what they were thinking is it's a bad company until they changed some 703 00:46:51.119 --> 00:46:54.840 real restructuring of their corporation. Bottom line is it was a real uh terrible 704 00:46:54.880 --> 00:47:00.360 move, terrible sight in hindsight and I'm sure they'd love to go back. 705 00:47:00.360 --> 00:47:02.440 And I think you got to kick out Walgreens at this point because I mean, 706 00:47:02.440 --> 00:47:07.800 what if I tell you in two years Walgreens not bankrupt, are you 707 00:47:07.880 --> 00:47:10.239 surprised or you say, oh, it's it's probably their bankrupt in two years. 708 00:47:10.280 --> 00:47:15.400 I don't Looking at the earnings projections for twenty twenty four, I would 709 00:47:15.440 --> 00:47:17.760 say that's impossible. But really, yeah, it's four dollars or something a 710 00:47:17.840 --> 00:47:23.039 share, So you know it's like I say, the dividends is easily covered. 711 00:47:23.159 --> 00:47:27.760 That's but you're right, it's just been a disastrous stock and it's a 712 00:47:27.800 --> 00:47:30.320 tough one to own. And that's why we don't focus on the Dow because 713 00:47:30.400 --> 00:47:35.800 one stock like a Walgreens. I just can't imagine my life without Walgreens. 714 00:47:36.000 --> 00:47:37.559 No, I can't imagine my life without Amazon. You know what I'm saying, 715 00:47:37.639 --> 00:47:40.039 Amazon, Walgreens and QT. You need them? All right, we'll 716 00:47:40.079 --> 00:47:45.280 be back. We'll be back, right, Electric car guy needs QT. 717 00:47:45.480 --> 00:47:57.239 We'll be back right after this break. Say it's only a walking back. 718 00:47:57.280 --> 00:48:01.639 This is the Money Matters show. We reaching with Todd Glick, Junior, 719 00:48:02.199 --> 00:48:07.639 Sebastian Borsini, and I'm Dave Sherwood. Dean and Dylan are playing in a 720 00:48:07.719 --> 00:48:09.960 father son golf tournament this weekend, which is one of the greatest things in 721 00:48:10.000 --> 00:48:14.480 life, is to spend time with your adult kid, even though they're not 722 00:48:14.519 --> 00:48:15.559 on the same team. It's not now, but it's not you know, 723 00:48:15.599 --> 00:48:21.360 it's spending time with your adult children is, as most of the listeners know, 724 00:48:21.960 --> 00:48:23.840 is not that easy to come by for most of us. And it's 725 00:48:23.880 --> 00:48:28.400 a special time when you can spend time with This kind of takes me back 726 00:48:28.440 --> 00:48:30.760 to Cat and the Cradle. Yeah, I think Dean and Dylan might have. 727 00:48:30.960 --> 00:48:32.840 Yeah, they get a little bit more time than most. But they 728 00:48:32.920 --> 00:48:37.400 coach together, they work together, they go golf together, to the area, 729 00:48:37.480 --> 00:48:39.440 they family together. Yeah, yeah, they're good butts, they're very 730 00:48:39.480 --> 00:48:42.599 they are good buddies. And it's it's but it's not. And he has 731 00:48:42.599 --> 00:48:46.159 both of his sons, even the one who doesn't like Matthew. That's not 732 00:48:46.199 --> 00:48:50.320 true. And don't ever tell Matthew that. No, Deana loves both of 733 00:48:50.320 --> 00:48:53.559 his boys and all three of them are playing golf and having a great time. 734 00:48:53.760 --> 00:48:57.039 Well, let's recap the market and how we looked this week. That 735 00:48:57.360 --> 00:49:00.360 was up one point p. The S and P was up to point to, 736 00:49:00.440 --> 00:49:02.840 the Nasdaq was up two point four and then Russell two thousand led the 737 00:49:02.840 --> 00:49:07.360 way up five point four percent. Small caps had a great week. Equal 738 00:49:07.400 --> 00:49:09.960 weighted was up three point three percent. To remind you, that was above 739 00:49:10.119 --> 00:49:13.800 the two point two percent gain of the S and P five hundred, showing 740 00:49:13.840 --> 00:49:17.320 that the equal weighted finally found a way to outpace the normal weighted SMP. 741 00:49:17.599 --> 00:49:22.880 So the broad market exposure finally saw some bids there. Yeah, and I 742 00:49:22.880 --> 00:49:24.119 think you made a good point in the first hour, Todd, and that 743 00:49:24.320 --> 00:49:29.079 is if as we go into twenty twenty four, there's likely to be more 744 00:49:29.119 --> 00:49:34.639 interested in value stocks, more interested in dividends, and perhaps interest still in 745 00:49:34.679 --> 00:49:39.719 the Magnificent seven. But I'm thinking the Magnificent seven probably underperformed the value next 746 00:49:39.760 --> 00:49:44.360 year. I definitely agree with that point. And I was looking at a 747 00:49:44.400 --> 00:49:49.800 really interesting chart that shows that in Europe, in Japan, and the UK, 748 00:49:50.039 --> 00:49:57.800 the value stocks have actually outperformed the US American value stocks since a very 749 00:49:57.840 --> 00:50:04.440 specific date, and that date was chat GPT's release. Ever since chat GPT's 750 00:50:04.480 --> 00:50:07.880 release back in I think it was October of twenty twenty two, right, 751 00:50:07.960 --> 00:50:12.320 we seen a huge divergence of America's value stocks and the rest of the world's 752 00:50:12.400 --> 00:50:15.159 value stocks, and a lot of that has to do with the AI driven 753 00:50:15.239 --> 00:50:21.199 market. Here domestically, we have those seven Magnificent seven stocks that all have 754 00:50:21.320 --> 00:50:24.440 an arm or some type of play into that AI space. And since that 755 00:50:24.920 --> 00:50:30.199 GBT was released, that whole euphoria took over this market and the value stocks 756 00:50:30.199 --> 00:50:36.480 were left behind. That's where you could possibly see some contrarian alpha alpha and 757 00:50:36.519 --> 00:50:39.159 some value stocks going into twenty twenty four because of that huge divergence we saw 758 00:50:39.159 --> 00:50:42.320 in twenty three. I agree with you one hundred percent. I agree with 759 00:50:42.440 --> 00:50:45.119 hundercent. The AI was all that, and it just it got people in 760 00:50:45.480 --> 00:50:52.599 this frenzy that has just continued throughout this year. And we're finding out that 761 00:50:52.679 --> 00:50:58.400 AI is kind of like the charge point charging stations right It's sucking a lot 762 00:50:58.400 --> 00:51:00.639 of money right now and not producing much revenue exactly. So I don't know 763 00:51:00.639 --> 00:51:05.159 how long that goes on before somebody wakes up to that. A small report 764 00:51:05.159 --> 00:51:07.559 we got on Thursday was the jobless claims number. It did tick up to 765 00:51:07.880 --> 00:51:14.119 two hundred and thirty one thousand from two hundred and twenty before the former It 766 00:51:14.159 --> 00:51:17.440 was actually the highest since late twenty twenty one, so a little bit of 767 00:51:17.440 --> 00:51:22.920 an increase there still, though we're looking at historically robust labor markets, so 768 00:51:22.239 --> 00:51:28.159 nothing to be concerned on the On the labor market side, job openings remain 769 00:51:28.280 --> 00:51:32.800 well above their twenty nineteen levels in virtually every industry. So again, how 770 00:51:32.840 --> 00:51:37.239 do you have a week labor market when you have job openings? How do 771 00:51:37.320 --> 00:51:40.480 they wear in twenty nineteen stuff? You're not going to So until we see 772 00:51:40.519 --> 00:51:45.000 that, really purm off. The consumer should stay robust. If you're out 773 00:51:45.000 --> 00:51:47.280 there listening to the show and you had a question, what would you do 774 00:51:47.320 --> 00:51:52.719 about it? You would email contact at Greenberg Financial dot com or give us 775 00:51:52.760 --> 00:51:55.800 a call here at five two oh five four four four nine nine. Sorry, 776 00:51:57.079 --> 00:51:59.280 watched that a little bit? Okay, that's okay, I botched up 777 00:51:59.320 --> 00:52:02.840 the inflation thing. So we had three questions written in this week. One 778 00:52:02.920 --> 00:52:07.000 yes, the first one comes in from Gary. This one says, how 779 00:52:07.039 --> 00:52:10.599 big of a role does market research play in market market informed investment decisions? 780 00:52:10.599 --> 00:52:15.159 And how can a novice individual investors stay informed? How can they drown out 781 00:52:15.199 --> 00:52:19.880 the noise? Dave, It's very difficult to drownd out the noise to be 782 00:52:19.920 --> 00:52:23.360 honest with you. And it's also analyst are some are good and some are 783 00:52:23.400 --> 00:52:30.199 not as good. I think you need to subscribe to newsletters, a newsletter 784 00:52:30.320 --> 00:52:37.280 to you like I think Jim Kramer's show on TV CNBC is free every afternoon. 785 00:52:37.559 --> 00:52:43.079 That's kind of fun to watch. And I'm not saying Jim's not right 786 00:52:43.119 --> 00:52:45.360 all the time or even you know, he's right more than half the time 787 00:52:45.400 --> 00:52:50.800 hopefully, But as far as an education goes that that's it. The analyst. 788 00:52:50.920 --> 00:52:52.599 You take each one with a grain of salt. I mean, I've 789 00:52:52.960 --> 00:52:58.719 joked about analyst on this show that stock has gone from fifty to six and 790 00:52:59.159 --> 00:53:02.280 they now downgrade it to a cel. You know, really you need to 791 00:53:02.280 --> 00:53:07.639 be able to take the information and formulates an opinion on your for yourself, 792 00:53:07.920 --> 00:53:10.199 right, I agree, Yeah, Just it's all about information, just gathering 793 00:53:10.239 --> 00:53:15.280 information from a lot of different sources. And if you see something that looks 794 00:53:15.519 --> 00:53:17.800 out there, check the source, see who it's from. We talked about 795 00:53:17.800 --> 00:53:24.400 that last week with that report about the electric vehicles being seventeen dollars a gallon, 796 00:53:24.480 --> 00:53:28.239 right, Yeah, we talked about that, and you just got you 797 00:53:28.280 --> 00:53:30.880 know, whenever you see something like that, that kind of gets your attention, 798 00:53:30.199 --> 00:53:34.079 look at who the source is and see if maybe somebody has a horse 799 00:53:34.119 --> 00:53:37.199 in that race. But you're looking for value. You're looking for names you 800 00:53:37.280 --> 00:53:42.840 know you're looking for. I always like to look for high quality companies that 801 00:53:42.880 --> 00:53:46.039 are down in value. Walgreens is a great one to look at, but 802 00:53:46.079 --> 00:53:51.159 you're thinking how far down can this go? You know? And one thing 803 00:53:51.199 --> 00:53:55.719 that I've always done as an investor, try not to average down. If 804 00:53:55.760 --> 00:54:00.599 you buy something at twelve and it goes to eight, try not to buy 805 00:54:00.639 --> 00:54:05.039 more. If you bought it a twelve and it goes to fourteen, buy 806 00:54:05.079 --> 00:54:09.280 more of that one. Average up. You'll typically do much better when you 807 00:54:09.320 --> 00:54:14.960 average up as opposed to averaging down. There's multiple trading rules that need to 808 00:54:14.960 --> 00:54:17.239 be followed if you're really going to be a trader and be successful, and 809 00:54:17.280 --> 00:54:20.920 it's very, very hard to do it is. The only way is to 810 00:54:20.960 --> 00:54:23.880 be very disciplined and very unemotional, and you have to learn those trades through 811 00:54:23.920 --> 00:54:29.280 experience as well as it being who you are personally. I mean, there's 812 00:54:29.280 --> 00:54:32.760 a lot of people in this world who are far from unemotional. They're not 813 00:54:32.800 --> 00:54:37.119 going to be good traders, right. The best thing to do is really 814 00:54:37.199 --> 00:54:42.039 to read books, and that's how you find out about the historic history of 815 00:54:42.119 --> 00:54:45.199 stock trading and find the best investors and you learn from them. It's like 816 00:54:45.199 --> 00:54:49.079 if you're looking at basketball and I want to be the NBA player, I'm 817 00:54:49.079 --> 00:54:52.920 not gonna watch Tiger Woods all day, right, I'm gonna watch Lebron James. 818 00:54:52.960 --> 00:54:54.159 I'm wanna watch Michael Jordan. I'm gonna watch the best of what they 819 00:54:54.199 --> 00:54:57.599 do, how they did it, why they did it that way, and 820 00:54:57.639 --> 00:55:00.440 then I'll follow that. It's the same thing in stock market t If you 821 00:55:00.480 --> 00:55:02.519 want to be that type of level and not pay someone else to do it 822 00:55:02.559 --> 00:55:05.719 for you, that's the type of work you have to put in. It's 823 00:55:05.760 --> 00:55:07.039 like anything in this world. It's a lot of practice. It's a lot 824 00:55:07.039 --> 00:55:10.280 of work, and it really starts with understanding the basics and the techniques of 825 00:55:10.320 --> 00:55:15.280 everything. Good, very good, very good, good question. I hope 826 00:55:15.280 --> 00:55:16.519 you answered that for you. Gary. This one comes in from Aarin. 827 00:55:17.159 --> 00:55:22.159 The tech sector has had significant fluctuations lately. What's your outlook on tech stocks 828 00:55:22.159 --> 00:55:28.320 and are there specific companies that stand out as good opportunities? So I constantly 829 00:55:28.320 --> 00:55:30.519 talked about it. I mean, the Magnificent seven is really what you're looking 830 00:55:30.559 --> 00:55:35.599 on for tech stocks, because that's who are moving. And those are the 831 00:55:35.599 --> 00:55:40.119 Netflixes, the Amazon's, Apple, Google, Navidia, Tesla, and I'm 832 00:55:40.119 --> 00:55:45.119 missing one here, Microsoft, Microsoft, and you know, all those stocks 833 00:55:45.119 --> 00:55:49.920 are really what's taking this market off. The thing to be concerned of is 834 00:55:49.960 --> 00:55:53.199 what we continue to say is the equal weighted is only up three percent year 835 00:55:53.239 --> 00:55:58.239 to date. The Nasdaq is up thirty five percent. You know, the 836 00:55:58.320 --> 00:56:01.360 technology stocks have really done really well this year. You normally don't want to 837 00:56:01.400 --> 00:56:05.960 continue you go into something that's done so much better than the rest of the 838 00:56:05.960 --> 00:56:09.760 market because there's a there's not always a reason for that. Technology will always 839 00:56:09.840 --> 00:56:15.360 lead the market up and down right, and it's important. You cannot have 840 00:56:15.440 --> 00:56:19.599 a good market without technology. Technology is the future. It's all of the 841 00:56:19.639 --> 00:56:24.880 gadgets and stuff that we're dealing with. X l K is the technology E 842 00:56:24.960 --> 00:56:30.679 t F. And if you have the stomach for it, go into x 843 00:56:30.960 --> 00:56:34.960 l K and just ride it or XLC. At this point, I mean, 844 00:56:35.039 --> 00:56:37.639 communication services are basically the same thing XLC it has it turns out it's 845 00:56:37.639 --> 00:56:42.920 supposed to be the communication and that's basically technology too. At this point. 846 00:56:43.079 --> 00:56:45.559 Mostly I know you love that now the Russell two thousand. Look at that, 847 00:56:45.639 --> 00:56:49.719 you're to date of only up two point two percent the Russell two thousand, 848 00:56:49.800 --> 00:56:53.840 or small caps normally at this juncture a lot of technology stocks in there 849 00:56:53.840 --> 00:56:58.440 too. When you have those small caps stocks only up two point two and 850 00:56:58.440 --> 00:57:01.920 then you look at a Nasdaq up third this year, you start to realize 851 00:57:02.039 --> 00:57:07.360 those seven stocks are taken away on the technology side too. So could there 852 00:57:07.400 --> 00:57:10.239 be some alpha in some of the technology stocks that haven't gone with the Magnificent 853 00:57:10.280 --> 00:57:15.199 seven? Possibly, But I think the real play is looking at value. 854 00:57:16.280 --> 00:57:21.559 I think we're talking about technology here and the technology will lead the way up 855 00:57:21.760 --> 00:57:28.119 and down. Next next, Gina. Given the recent interest rate changes, 856 00:57:28.360 --> 00:57:32.039 how should investors adjust their portfolios, especially in terms of fixed income investments? 857 00:57:32.079 --> 00:57:36.440 I love this question. I love this question. I love this question. 858 00:57:36.480 --> 00:57:38.559 But back in we've said on the show many times, and back in March 859 00:57:38.559 --> 00:57:42.639 of twenty one, we went to short term. We went everything short term. 860 00:57:43.480 --> 00:57:47.039 In the perfect world, the fixed income or bond portion of your portfolio 861 00:57:47.440 --> 00:57:52.800 is the safe money. So the more conservative you are, the more money 862 00:57:52.880 --> 00:57:57.400 you would have in the safe money. In March of twenty one, we 863 00:57:57.519 --> 00:58:00.920 sat down and said, you know, well, if they start interest rates 864 00:58:00.920 --> 00:58:06.679 were close to zero, they start raising interest rates. These bonds could really 865 00:58:06.679 --> 00:58:10.639 get hammered, and we want this portion of the portfolio to be safe. 866 00:58:10.960 --> 00:58:15.199 So how do we do that. Well, we go to short term exchange 867 00:58:15.199 --> 00:58:20.559 traded funds, which is what we did. About nine months later. The 868 00:58:20.639 --> 00:58:23.239 short term ETFs hadn't done anything, the long term ETFs hadn't done anything. 869 00:58:23.280 --> 00:58:28.239 Everything was about where it was, and then all hell brokeers and the FED 870 00:58:28.320 --> 00:58:31.360 started raising rates, and they raised them aggressively. Probably three months into that, 871 00:58:31.400 --> 00:58:36.320 we realized that our short term ETFs they weren't down ten percent like the 872 00:58:36.320 --> 00:58:38.440 longer term ones, but they were down about three. I think, how 873 00:58:38.440 --> 00:58:45.119 do we resolve that? We resolved that by buying individual short term bonds, 874 00:58:45.239 --> 00:58:51.079 treasuries corporates maturing in one to three, one to five years. We know 875 00:58:51.400 --> 00:58:53.719 on those that were going to get the money back no matter what happens with 876 00:58:53.840 --> 00:58:59.679 interest rates. That isn't the case with ETFs. So we now this was 877 00:58:59.719 --> 00:59:02.920 with interest rates at the lowest level they've been in decades, right, So 878 00:59:04.280 --> 00:59:08.360 now we've got a whole different deal. Now interest rates are near a sixteen 879 00:59:08.480 --> 00:59:15.400 year high. The thing that I work on every day with clients is getting 880 00:59:15.480 --> 00:59:20.280 those maturities extended. We wanted to be short term for the past two years. 881 00:59:20.559 --> 00:59:23.360 Now we want to start getting a little bit longer term. I said 882 00:59:23.360 --> 00:59:27.760 to a client this morning who makes a lot of his own decisions, and 883 00:59:27.800 --> 00:59:30.480 he's been by ninety he's been rolling ninety day tea bills. He's been doing 884 00:59:30.480 --> 00:59:32.519 great because rates have been going up, up, up, up up, 885 00:59:34.039 --> 00:59:36.800 And he said, I've got one coming do. What do you think I 886 00:59:36.840 --> 00:59:39.280 said, we need to go longer term. He goes, well, there 887 00:59:39.320 --> 00:59:45.400 is a one year t bill. I said, no, So longer term 888 00:59:45.400 --> 00:59:49.360 to him is one year. We actually took a position in a twenty year 889 00:59:49.639 --> 00:59:53.320 treasury for all of our accounts, or most of our accounts, within the 890 00:59:53.360 --> 00:59:58.639 past couple of months. We're down a smidgeing on it because rates haven't come 891 00:59:58.679 --> 01:00:01.480 off that much. But it interest rates. If we get into this environment 892 01:00:01.559 --> 01:00:07.679 that the market's predicting, where growth slows, interest rates start to steadily go 893 01:00:07.840 --> 01:00:12.719 lower, you're going to wish you would have locked in some of this sixteen 894 01:00:12.760 --> 01:00:17.440 year high. The market is pricing in about three rate cuts at this point. 895 01:00:19.199 --> 01:00:21.360 That doesn't mean rate they're going to be higher, yeah, right, 896 01:00:21.400 --> 01:00:24.880 they're probably not going to be higher. So if you're not locking in at 897 01:00:25.000 --> 01:00:29.840 least some of this sixteen year high, I think you're making a mistake. 898 01:00:29.880 --> 01:00:32.360 And this is something to note for people who don't understand how bonds bond works. 899 01:00:32.400 --> 01:00:37.320 Is the reason we're adding duration is also because when interest rates come down, 900 01:00:37.679 --> 01:00:43.480 those bonds and price are going to move more than the short term bonds. 901 01:00:43.480 --> 01:00:45.639 They'll move higher, and there's an easy way to do that. There's 902 01:00:45.719 --> 01:00:53.760 a two ETFs. Todd what's the eDV eDV Ernie David Varney Varney Victor Victor 903 01:00:53.840 --> 01:00:59.480 Ernie David Victor Empire and then TLT Tom Larry Tom, and those are both 904 01:00:59.559 --> 01:01:04.400 the Tom Larry Tom is the ETF for the twenty year treasury, that's ice 905 01:01:04.440 --> 01:01:07.079 shares. The other one you talked about is van Guard twenty four year is 906 01:01:07.119 --> 01:01:13.039 twenty four year treasury. So those are easy to buy into and if I 907 01:01:13.639 --> 01:01:17.239 would get some exposure there. I'm not saying half year bond to portfolio by 908 01:01:17.280 --> 01:01:20.679 any way, shape or form, because I don't know what's going to happen 909 01:01:20.719 --> 01:01:23.960 interest rates. But we've got about a three percent position. They're probably bringing 910 01:01:24.039 --> 01:01:30.599 up to five here, which is in most cases about ten to fifteen percent 911 01:01:30.639 --> 01:01:32.719 of the bond exposure, and if nothing happens for a while, it's nice. 912 01:01:32.719 --> 01:01:36.119 So you get a nice three percent and the TLT on the dividend, 913 01:01:36.159 --> 01:01:38.960 you get four percent on the v dividend. It has a nice dividend while 914 01:01:38.960 --> 01:01:44.360 you wait as well, it does. It does. So it's again the 915 01:01:44.400 --> 01:01:50.239 one thing that we're emphasizing more than anything is try to take a portion of 916 01:01:50.280 --> 01:01:54.679 your money and lock in this sixteen year high. Will interest rates go higher 917 01:01:55.239 --> 01:01:59.920 before they go lower? Who knows, right, But if they do, 918 01:02:00.360 --> 01:02:02.920 you simply buy some more. At some point, interest rates are going to 919 01:02:04.000 --> 01:02:07.079 roll over. The Fed is going to start cutting race Todd, you just 920 01:02:07.119 --> 01:02:13.000 said that. Right now. The odds makers say three interest rate cuts, 921 01:02:13.400 --> 01:02:15.800 the first one as early as possibly March. Yeah, that starts happening. 922 01:02:15.880 --> 01:02:21.880 That that TLT exposure will really do nicely for you. And in the in 923 01:02:21.920 --> 01:02:25.960 the international, you know, some of the europe they're kind of already seeing 924 01:02:25.960 --> 01:02:30.239 the slowdown even more than the America's economy is. They're pricing in four rate 925 01:02:30.320 --> 01:02:34.800 cuts over there over the next year. And they're kind of our cousins, 926 01:02:34.840 --> 01:02:38.840 our sisters. Yeah, in terms of monetary policy. So it's interesting to 927 01:02:38.880 --> 01:02:43.119 also keep an eye on the Eurozone in UK what they're doing over there. 928 01:02:43.320 --> 01:02:49.599 Time to open up the door to the EV garage. Tesla has a stranglehold 929 01:02:49.639 --> 01:02:53.079 on the charging space and more and more car manufacturers are jumping on board, 930 01:02:53.559 --> 01:02:59.280 which is why originally I leased the Tesla, and I suggest that other people, 931 01:02:59.320 --> 01:03:02.159 if they're buying in electric vehicle, get a Tesla simply for that reason. 932 01:03:02.199 --> 01:03:07.880 For the charging stations. EV people like to talk to other EV people 933 01:03:07.920 --> 01:03:10.800 about their experiences, and last week I was talking to a doctor in a 934 01:03:10.800 --> 01:03:15.480 parking lot over by Tima Machiel. I thought she was a walker. It 935 01:03:15.519 --> 01:03:19.719 turned out she was a doctor. She has the brand new all electric Porsche 936 01:03:19.800 --> 01:03:22.199 Tychon. And I should have known she was a doctor when she pulled up 937 01:03:22.199 --> 01:03:28.000 in a ninety thousand dollars car in a brand new Porsche. No, she 938 01:03:28.039 --> 01:03:30.199 walks for a living, walks for a living, walked up and down the 939 01:03:30.360 --> 01:03:36.559 Are you saying she's a street walker? And bottom line is she had the 940 01:03:37.840 --> 01:03:42.199 Porsche Taychan, which is their all electric version, And I asked her about 941 01:03:42.280 --> 01:03:45.320 charging. I said, I've got the Tesla because I was concerned about the 942 01:03:45.400 --> 01:03:49.760 charging. She said, oh, it came with a Tesla adapter, so 943 01:03:49.960 --> 01:03:55.199 that's interesting. I knew that GM, Ford, Dodge a bunch of others 944 01:03:55.960 --> 01:04:02.199 have adopted the Tesla adapting the but if the if a car is going to 945 01:04:02.239 --> 01:04:06.639 come with a Tesla adapter, then I'd say, you buy what you like. 946 01:04:08.280 --> 01:04:12.559 It's not necessary to stick to by a Tesla or stick with a Tesla. 947 01:04:14.039 --> 01:04:16.039 She asked me if I'd taken the car out on the road, and 948 01:04:16.079 --> 01:04:19.719 I mentioned that the range problem, which we've talked about on the show a 949 01:04:19.719 --> 01:04:23.559 lot, and the lack of a spare tire. I asked her if she'd 950 01:04:23.559 --> 01:04:25.920 taken her that. She just said she did take it to a meeting in 951 01:04:25.960 --> 01:04:30.840 Phoenix, but did charge it overnight at the hotel. Again, a Level 952 01:04:30.880 --> 01:04:33.199 two charger todd at the hotel, so she was able to plug into a 953 01:04:33.239 --> 01:04:36.840 level two charger and wake up in the morning with a full battery and drive 954 01:04:36.880 --> 01:04:42.519 home again. I expect more and more hotels to be adding banks to chargers, 955 01:04:42.519 --> 01:04:45.280 which is a space that that Tesla is not interested in. Apparently. 956 01:04:46.159 --> 01:04:50.159 I don't think a hotel's going to spend fifty two hundred thousand dollars per charger 957 01:04:50.559 --> 01:04:56.800 when they can spend one thousand and the level two charger for overnight is perfectly 958 01:04:56.800 --> 01:05:00.480 adequate. It'll charge your car forty mile an hour, and so by by 959 01:05:00.559 --> 01:05:04.239 don j early light, you're good to go. So I see that that's 960 01:05:04.280 --> 01:05:12.639 where that would be. Williamsonoma retailer on Fire up forty four percent this year, 961 01:05:13.119 --> 01:05:15.199 hit a new fifty two week high on Thursday after the company reported a 962 01:05:15.239 --> 01:05:20.159 strong quarter and get this, the highest operating margins in the company's history, 963 01:05:20.639 --> 01:05:24.920 in her history. Huh. You know, it was interesting this week. 964 01:05:25.119 --> 01:05:29.760 You didn't hear a lot about it was the possible government shutdown that kind of 965 01:05:29.760 --> 01:05:31.199 went away, didn't it. It didn't win away, And it just kind 966 01:05:31.199 --> 01:05:34.159 of surprised me because normally if they have a chance to talk about anything like 967 01:05:34.199 --> 01:05:38.800 that, they blasted on. It's just funny how they just kind of the 968 01:05:39.519 --> 01:05:43.679 got all the kind of came on together and arranged and then the other gay 969 01:05:43.760 --> 01:05:45.559 government cut shotdowns have been called off. Yeah, that's what I'm saying. 970 01:05:45.559 --> 01:05:48.800 It was kind of like a nothing burger when normally they make it a really 971 01:05:48.800 --> 01:05:53.400 big deal. Yeah. I wonder if that's got something to do with the 972 01:05:53.480 --> 01:05:57.400 new speaker, is he is he able to actually able to manage these caps? 973 01:05:57.519 --> 01:06:00.760 Maybe, you know, it's just if if they want to make it 974 01:06:00.800 --> 01:06:03.800 a big news piece, that's how they sell. So I just was really 975 01:06:03.800 --> 01:06:08.880 surprised that I didn't hear it so much, like because with the debt ceiling, 976 01:06:09.320 --> 01:06:13.679 it was a nausea, just non stop on news constantly. Because I 977 01:06:13.719 --> 01:06:16.400 go back to my measure of whether things are good in the world or not 978 01:06:16.559 --> 01:06:21.679 is if CNN is talking about Trump, things are good, right, And 979 01:06:21.840 --> 01:06:26.960 this week I was on the treadmill and CNN was talking about Trump, and 980 01:06:27.039 --> 01:06:29.079 I thought, okay, good, well, that's good. Things must be 981 01:06:29.119 --> 01:06:32.000 good, life's good, the Israeli Hamas, things must be under control, 982 01:06:32.079 --> 01:06:35.920 and and uh, we're not going to shut down the government, and there's 983 01:06:35.920 --> 01:06:41.119 no terrorist anywhere because they had nothing to do but talk about Trump. It's 984 01:06:41.480 --> 01:06:44.400 It's a good measure, though, isn't it really if you think about it. 985 01:06:44.480 --> 01:06:46.360 I guess so, you know, because for the longest time, Uh, 986 01:06:46.559 --> 01:06:51.199 CNN quit talking about Trump when the when Hamas attacked Israel, and in 987 01:06:51.239 --> 01:06:55.760 the first week or two weeks you couldn't get any Trump news. I felt 988 01:06:55.760 --> 01:07:00.920 frustrated, you know. But I turned on the True up News Network by 989 01:07:00.960 --> 01:07:04.840 Gully last week and there was there was all the Trump stuff was back, 990 01:07:04.880 --> 01:07:09.400 and then we have seen China kind of come back online here. Their data 991 01:07:09.400 --> 01:07:15.559 has been stabilizing their retail sales beat expectations. So possibly see some you know, 992 01:07:15.000 --> 01:07:19.719 consumer activity over there could help stocks like wind Resorts, could help stocks 993 01:07:20.079 --> 01:07:26.639 like PDD Ali Baba going into the definitely the holiday shopping area as well. 994 01:07:26.760 --> 01:07:29.599 I don't know if you ever heard of Timu, but Timu's kind of like 995 01:07:29.639 --> 01:07:33.119 that cheap online shopping that it's gotten a little popular here in America, and 996 01:07:33.199 --> 01:07:40.239 PDD owns that. Obviously, Nike and Starbucks have huge exposure to the China 997 01:07:40.360 --> 01:07:44.440 market, and looking at oil the way it's priced, as long as activity 998 01:07:44.719 --> 01:07:47.239 continues to increase for China, that will help give a floor to oil. 999 01:07:47.639 --> 01:07:53.039 But obviously they're the only They're not the only part in the global scheme of 1000 01:07:53.079 --> 01:07:57.920 things. Speaking of Ali Baba, they reported earnings this past week and they 1001 01:07:57.920 --> 01:08:00.639 were down eight percent at the open on Thursday, despite a solid quarter, 1002 01:08:01.039 --> 01:08:08.320 and why because they shelved plans to spin off their cloud computing group due to 1003 01:08:08.599 --> 01:08:14.280 US China export restrictions. I find that fascinating that the market was able to 1004 01:08:14.320 --> 01:08:17.600 know that that was an eight percent reduction eight percent by not having a spinoff 1005 01:08:17.960 --> 01:08:26.560 and in a similar year it applied material. On Thursday night it came out 1006 01:08:26.560 --> 01:08:30.479 and they they hit a fifty two week high on Thursday and Thursday night they 1007 01:08:30.560 --> 01:08:35.159 reported earnings and their revenue and net income. We're above expectations. They raised 1008 01:08:35.199 --> 01:08:43.600 guidance, but they also disclosed a Justice Department investigation into them selling ships to 1009 01:08:43.720 --> 01:08:49.199 China without proper approval to sell those that sent the shares down seven percent lower 1010 01:08:49.239 --> 01:08:53.800 to the open up. That's after hitting an all time high. Excuse me, 1011 01:08:53.840 --> 01:08:57.239 a fifty two week high on Thursday. Thursday night, they report earnings. 1012 01:08:57.359 --> 01:09:01.239 Revenue is good, earnings are good. Uh, the guidance is good. 1013 01:09:01.560 --> 01:09:05.479 I stocks up a little bit. Government comes out Friday morning and says, 1014 01:09:05.520 --> 01:09:08.640 oh, oh, by the way, we're going to investigate you because 1015 01:09:08.640 --> 01:09:14.880 you've been selling chips to China without without approval. Anyway, that didn't it 1016 01:09:14.880 --> 01:09:18.039 didn't seem to dissuade the buyers though. Seven percent drop in in in Amat 1017 01:09:18.039 --> 01:09:25.600 stock, but several upgrades. Firms raised their ratings to buy, and there 1018 01:09:25.640 --> 01:09:30.079 was a couple of price target upgrades and so a giant and nothing burger. 1019 01:09:30.640 --> 01:09:32.399 Yeah, I mean, I don't think that's that stock's going to be going 1020 01:09:32.479 --> 01:09:36.239 anywhere. No, you see Gap stores on Friday. Gap Stores hit a 1021 01:09:36.279 --> 01:09:41.119 three year low in May, three year low, but since then they've doubled, 1022 01:09:41.520 --> 01:09:45.680 jumped thirty percent on Friday thirty I mean, that's that's almost as big 1023 01:09:45.720 --> 01:09:51.279 a deal as uh it's like they got Kanye back or something. There you 1024 01:09:51.399 --> 01:09:56.960 go, solid quarter, and you know the interesting part about it is they 1025 01:09:57.520 --> 01:10:02.680 it looks like they're going to become profitable again. But they did make cautionary 1026 01:10:02.720 --> 01:10:10.239 comments about the Christmas and this quarter, but nobody seemed to care. Well, 1027 01:10:10.319 --> 01:10:12.920 let's talk about kind of what's going on, what's gonna happen next week, 1028 01:10:12.960 --> 01:10:15.720 because coming down on this segment, we're gonna have Sean on this next 1029 01:10:15.760 --> 01:10:17.960 segment, and then we'll have John on our final segment talking about a state 1030 01:10:18.000 --> 01:10:21.359 planning. Next week, we have the big Navidi earnings. That's gonna be 1031 01:10:21.399 --> 01:10:25.119 the big power. I mean, really, that's what's gonna move markets other 1032 01:10:25.119 --> 01:10:28.560 than they have really nothing. How do you think what will plays out there? 1033 01:10:28.720 --> 01:10:30.319 That'll be the big market move The earnings are gonna be off the charts, 1034 01:10:30.319 --> 01:10:34.840 and the stock's gonna open higher and then fall. Interesting just like Lily. 1035 01:10:35.119 --> 01:10:40.920 Yeah, I Lily hit an all time high and then drop ten to 1036 01:10:41.039 --> 01:10:44.640 fifteen percent. I'm not saying and video is gonna collapse, right, but 1037 01:10:44.800 --> 01:10:47.880 but I think you could see a new all time high in Nvidio and then 1038 01:10:47.920 --> 01:10:54.279 selling the rumor, sell the news. Yeah yeah, I I that's just 1039 01:10:54.399 --> 01:10:56.960 my gut take on it, and I be wrong. Maybe off to the 1040 01:10:57.079 --> 01:11:00.800 races. You know, many of the stocks around four nine and this is 1041 01:11:00.840 --> 01:11:04.199 what could definitely happen. We've said three straight weeks of the market just outperformed 1042 01:11:04.199 --> 01:11:10.159 doing crazy things. If Navidia does somehow, I don't think it's possible. 1043 01:11:10.199 --> 01:11:14.439 But for some reason, it the earnings doesn't come out as good as expectations 1044 01:11:14.479 --> 01:11:17.560 were, that could be the start of my market rolling over. Because there's 1045 01:11:17.600 --> 01:11:20.399 such they're the They're the gorilla, the e one hundred pound gorilla in the 1046 01:11:20.479 --> 01:11:25.239 room. They will move the market well. Demand for their product is off 1047 01:11:25.279 --> 01:11:28.560 the charts. It just doesn't make sense how the earnings couldn't. You can't 1048 01:11:28.560 --> 01:11:31.479 imagine their earnings won't be but if they were, that would send the market 1049 01:11:31.560 --> 01:11:35.520 down bit. But what if they're not spectacular enough that makes the market go 1050 01:11:35.600 --> 01:11:39.359 down. There's an awfully lot of things that can go wrong, right, 1051 01:11:39.399 --> 01:11:41.600 and that's really the only thing that can go wrong in the next week, 1052 01:11:41.600 --> 01:11:44.039 because you don't have a lot of economic reports as far as I'm away, 1053 01:11:44.039 --> 01:11:47.199 windy down for Thanksgiving. Don't forget next week Wednesday, excuse me, Thursday. 1054 01:11:47.199 --> 01:11:50.840 We're closed. Friday. Friday a half day. Yeah, why aren't 1055 01:11:50.840 --> 01:11:55.159 you closed on Friday? Can't be can't be closed for four consecutive days. 1056 01:11:55.199 --> 01:11:59.199 So Friday is a half day of trading. And don't try to trade on 1057 01:11:59.239 --> 01:12:01.680 Friday, There'll be so little volume. Meal, just get whips. There 1058 01:12:01.720 --> 01:12:06.439 won't be a lot of activity next week other than Tuesday after the close Wednesday 1059 01:12:06.439 --> 01:12:11.479 morning. John McCoy in the next segment, and then we have Jonathan Sevilia, 1060 01:12:11.560 --> 01:12:15.800 our state planning attorney, in the final segment. Will be back right 1061 01:12:15.800 --> 01:12:26.359 after this break. Thanks again for joining. You know says, welcome back. 1062 01:12:26.399 --> 01:12:28.960 You're listening to the Money Matter Show. I'm Dylan Greenberg. I'm here 1063 01:12:29.000 --> 01:12:30.960 with Todd Glick and we have a special guest on the radio show today. 1064 01:12:31.520 --> 01:12:36.760 As you right know, out here we are hosting a Federal Retirement Benefit seminar 1065 01:12:36.840 --> 01:12:41.960 workshop on December thirteenth. Oor We're at the Tucson Association Realtors, and we 1066 01:12:42.039 --> 01:12:45.439 have a special speaker that's coming out actually that day to host the entire seminars. 1067 01:12:45.439 --> 01:12:49.479 His name is Sean McCoy. He is with Federal Employee Benefit Advocates and 1068 01:12:49.479 --> 01:12:55.039 they'll be flying in that day talking everything retirement for federals. We all know 1069 01:12:55.079 --> 01:12:59.079 that it's very specialized, very unique. So he's been doing it for years. 1070 01:12:59.079 --> 01:13:01.239 He's talked thousands of different federal employees throughout the years. I'm gonna let 1071 01:13:01.319 --> 01:13:04.000 him go into more detail about what he's done, how long has he been 1072 01:13:04.000 --> 01:13:06.800 in it. So welcome Sean, thank you for coming on our show. 1073 01:13:08.479 --> 01:13:10.640 Well, thanks, guys. I'm glad to be here. Looking forward to 1074 01:13:10.640 --> 01:13:14.720 making the trip out to Tucson here in December. The weather hopefully it will 1075 01:13:14.760 --> 01:13:18.920 be nice and we'll have a good interaction with the folks that attend. Yeah, 1076 01:13:18.960 --> 01:13:23.000 we're really looking forward to it. The things that we find so much 1077 01:13:23.119 --> 01:13:28.520 is that the unique and complex factors that come into play for a federal employee's 1078 01:13:28.560 --> 01:13:34.000 retirement is almost it's not talked about enough. And that's where people like you 1079 01:13:34.119 --> 01:13:38.560 come in because you're really the expert. So talked a little bit about how 1080 01:13:38.600 --> 01:13:42.439 you've gotten that expert status through the years. How you know everything you know 1081 01:13:42.479 --> 01:13:45.239 about the retirement benefits because it's such a complex space. Let's talk about how 1082 01:13:45.279 --> 01:13:50.439 you got into the business too and why and you're reasoning behind everything absolutely well, 1083 01:13:50.479 --> 01:13:56.119 guys. As you alluded to, the federal space for employee benefits is 1084 01:13:56.560 --> 01:14:00.600 very different than what you see in ariska base plans, where sure you know 1085 01:14:00.680 --> 01:14:05.439 the non federal space. And the biggest challenge that I found when I first 1086 01:14:05.439 --> 01:14:10.840 got into it was that there's just not a lot of information out there generally 1087 01:14:10.880 --> 01:14:15.479 that's in a comprehensive situation. Now, my background is I've got about thirty 1088 01:14:15.479 --> 01:14:18.520 six years of experience in and around the financial services industry, and for the 1089 01:14:18.600 --> 01:14:25.000 last fourteen years I've been doing federal employee benefit briefings. I probably spoke to 1090 01:14:25.039 --> 01:14:29.840 around thirty five thousand subtle employees and probably delivered somewhere in the excess of about 1091 01:14:29.880 --> 01:14:32.920 fourteen hundred total employee benefits seminars. So over the years, what I've been 1092 01:14:32.960 --> 01:14:38.039 able to do is compile information through a variety of sources and put them into 1093 01:14:38.039 --> 01:14:41.880 a format that I think is easy to understand, and it helped people to 1094 01:14:42.520 --> 01:14:46.000 identify a certain key points that they need to pay attention to based on whether 1095 01:14:46.000 --> 01:14:49.760 they're in the early, mid or late career. I was a former securities 1096 01:14:49.880 --> 01:14:54.239 registered representative. I gave all those licenses up when I started doing that. 1097 01:14:54.840 --> 01:14:59.600 And so now my company Federal Employee Benefits Advocates. We are an educational company 1098 01:14:59.600 --> 01:15:02.079 and we are are advocates for federal employees to make sure that they have the 1099 01:15:02.119 --> 01:15:06.880 knowledge that they need and the tools and the resources available to help them plan 1100 01:15:08.000 --> 01:15:11.039 for their family while they're working and then also to plan hopefully to have a 1101 01:15:11.079 --> 01:15:15.199 comfortable retirement. Yeah, and we're super excited to have you, like we 1102 01:15:15.279 --> 01:15:20.199 said on December thirteenth, because by working together, you have a very unique 1103 01:15:20.239 --> 01:15:27.399 Federal Workshop booklet that you actually take each attendee through and so maybe spend a 1104 01:15:27.439 --> 01:15:30.720 little bit of time of what kind of lady expectations for what to expect at 1105 01:15:30.760 --> 01:15:35.199 the seminar, what are the things that they're going to be supplied, and 1106 01:15:35.640 --> 01:15:40.920 how it's going to help them prepare for retirement. Well, the way that 1107 01:15:41.000 --> 01:15:46.399 the briefing is designed is it's designed to address first the issues regarding retirement and 1108 01:15:46.439 --> 01:15:51.239 so for the first employees as well as the csrs. If any of those 1109 01:15:51.279 --> 01:15:56.159 attend, if any of those employees attend, primarily for the FIRS, you 1110 01:15:56.279 --> 01:16:00.239 have three different sources of income coming in. For your retirement, which is 1111 01:16:00.239 --> 01:16:04.520 your retirement annuity that the federal government provides to you if you meet the criteria, 1112 01:16:05.720 --> 01:16:10.640 Social Security, which is the benefit that all Americans are available to if 1113 01:16:10.640 --> 01:16:14.560 they pay into the system and have enough orders to qualify. And then the 1114 01:16:14.600 --> 01:16:16.119 final thing, which is the Thirst Savings Plan, which is kind of a 1115 01:16:16.239 --> 01:16:23.279 unique defined contribution program in the various investment options that it has. And there's 1116 01:16:23.279 --> 01:16:26.680 been a lot of exciting things that have happened with the TSP in the last 1117 01:16:26.720 --> 01:16:30.159 several years. But we'll go through those retirement benefits first, and then we'll 1118 01:16:30.199 --> 01:16:33.199 go into what we call the risk management, which we think such as your 1119 01:16:33.199 --> 01:16:40.319 federal employees through life insurance, health insurance, the long term care. We 1120 01:16:40.399 --> 01:16:43.359 won't go into that a lot, we'll talk about it, and then we'll 1121 01:16:43.399 --> 01:16:47.560 talk about the various disability benefits. So each participant will receive a high quality 1122 01:16:47.600 --> 01:16:53.560 workbook. There'll be some exercises that we take people through to help them kind 1123 01:16:53.560 --> 01:16:57.960 of navigate where their benefits are and some things that they can expect. And 1124 01:16:58.000 --> 01:17:01.840 then we will have ample time for questions for the individuals as well, as 1125 01:17:01.920 --> 01:17:05.800 I believe you gentlemen, will be offering a chance to have the folks sit 1126 01:17:05.880 --> 01:17:10.680 down with you afterwards and answer some individual questions. So that's what they can 1127 01:17:10.720 --> 01:17:14.000 expect from the program. And as I said, each participant will get a 1128 01:17:14.039 --> 01:17:16.840 booklet that'll help them follow along with a copy of the slide that will go 1129 01:17:16.960 --> 01:17:21.439 through. Yeah, we will definitely do that if an attendee is interested in 1130 01:17:21.479 --> 01:17:26.079 sitting down after that's we compile it all together. We do the financial plan. 1131 01:17:26.159 --> 01:17:28.680 We have the federal side as well, and we help them look at 1132 01:17:28.800 --> 01:17:31.680 what their retirement could look like as a federal employee with their pension and the 1133 01:17:31.720 --> 01:17:35.840 TSP and life insurance, anything they might need during retirement. That's what we 1134 01:17:35.920 --> 01:17:40.960 do after the fact of the seminar. After all that, Yeah, and 1135 01:17:41.399 --> 01:17:45.439 the purpose of the financial plan for a lot of people is seeing the current 1136 01:17:45.479 --> 01:17:49.960 snapshot of their financial life right now, and then we can project out and 1137 01:17:50.079 --> 01:17:55.880 model based on a whole array of different variables that can come into play. 1138 01:17:56.079 --> 01:18:00.720 We can model how that plan will work depending on different variations, different factors 1139 01:18:00.760 --> 01:18:03.199 coming into play. So that's where the peace of mind comes in for a 1140 01:18:03.199 --> 01:18:06.479 lot of these people. When you understand your benefits and then you understand how 1141 01:18:06.479 --> 01:18:10.479 those benefits are going to work for you into the future, you can actually 1142 01:18:10.560 --> 01:18:15.600 sleep at night knowing that you're maximizing your retirement pension as well as maximizing the 1143 01:18:15.640 --> 01:18:19.359 other benefits that come with a federal so sean based on your interactions and experience, 1144 01:18:19.399 --> 01:18:24.359 what are some unique challenges or opportunities that federal employees may face in the 1145 01:18:24.399 --> 01:18:27.800 retirement planning compared to other sectors, and how can they best address them? 1146 01:18:29.039 --> 01:18:31.840 Well? First off, I think it's important that no matter where you are 1147 01:18:31.880 --> 01:18:36.119 in your career, your early, middle, or late career, you're going 1148 01:18:36.159 --> 01:18:42.840 to benefit from coming to this particular briefing because the things that we'll talk about 1149 01:18:42.920 --> 01:18:45.720 will be covering all of the different issues that you face at different points in 1150 01:18:45.800 --> 01:18:50.319 time in your career. But one of the unique challenges that federal employees have 1151 01:18:51.640 --> 01:18:58.680 that other people don't have is the ability to retire much earlier than most Americans. 1152 01:18:59.079 --> 01:19:01.359 You can retire as early is fifty seven if you have thirty years of 1153 01:19:01.439 --> 01:19:05.680 service, and in doing so, that means that you've got a unique challenge 1154 01:19:05.960 --> 01:19:10.960 in terms of the longevity because most Americans don't retire until they're sixty seven, 1155 01:19:11.359 --> 01:19:14.880 so that means that's an additional ten years of planning, and that's where the 1156 01:19:14.920 --> 01:19:18.439 TSP comes in. It's the singular most important part of the retirement and it's 1157 01:19:18.439 --> 01:19:23.399 the only ones that the employees can control. Some other things that they face 1158 01:19:23.439 --> 01:19:27.600 that are unique in that first, classified federal employees don't get a cost of 1159 01:19:27.640 --> 01:19:31.880 living adjustment until they reach sixty two, and so that can create a challenge 1160 01:19:31.880 --> 01:19:35.479 in them in terms of planning and projecting. So the important part of that 1161 01:19:35.600 --> 01:19:40.279 is to make sure that they're utilizing the benefits while they're employed and that they're 1162 01:19:40.319 --> 01:19:45.159 prepared for the different things that happened after they are employed in going into retirement. 1163 01:19:46.079 --> 01:19:48.920 Yeah, exactly, and that is very unique in the sense of that 1164 01:19:48.960 --> 01:19:54.279 they retire fifty seven. There's also and then's obviously there's different parameters that they 1165 01:19:54.279 --> 01:19:57.520 can get. They can have the supplemental Social Security and different things like that, 1166 01:19:57.720 --> 01:20:00.680 which are details that you will go into and the presentation during their workshop 1167 01:20:00.960 --> 01:20:04.840 on December thirteenth. But it's that idea that we just know that it's unique 1168 01:20:04.840 --> 01:20:10.199 and everything like that. So I mean also in that sense, what are 1169 01:20:10.239 --> 01:20:14.239 some of the most common misconceptions that you've seen federal employees have about their retiring 1170 01:20:14.239 --> 01:20:17.880 benefits and how can they be addressed. Well, I think some of them 1171 01:20:17.920 --> 01:20:23.800 have to do with the taxation of the annuity. A lot of folks are 1172 01:20:23.800 --> 01:20:27.840 not familiar with how they're packed, so that's one issue. Another issue is 1173 01:20:27.840 --> 01:20:30.760 that when they retire, some of their benefits are going to go away. 1174 01:20:31.680 --> 01:20:34.640 So some of the things such as the ability to pay for their health insurance 1175 01:20:34.640 --> 01:20:39.399 on a pre tax basis will go away. Some of the other benefits that 1176 01:20:39.439 --> 01:20:43.239 they have, such as the flexible spinning account, will go away. And 1177 01:20:43.279 --> 01:20:46.000 those are items that you know they can utilize while they're employed, but after 1178 01:20:46.039 --> 01:20:50.159 they're retired, those are benefits that they're not going to have available. Also, 1179 01:20:50.199 --> 01:20:55.960 you mentioned a special retirement supplement. That is another area that people are 1180 01:20:56.000 --> 01:20:59.760 not often familiar with of how they have to qualify for that, and the 1181 01:20:59.760 --> 01:21:01.680 fact act that if they do go out and work after they've retired and they 1182 01:21:01.800 --> 01:21:05.640 earn income, that some of that money could be offset from that. And 1183 01:21:05.680 --> 01:21:11.680 then the other one that can be quite a challenge is if someone has military 1184 01:21:11.720 --> 01:21:15.880 service and whether that's they retired from the military, they did a stint in 1185 01:21:15.920 --> 01:21:19.880 the military, or they had some reservist time where they were deployed. Oftentimes, 1186 01:21:20.000 --> 01:21:25.720 I find that federal employees are not familiar with the process and the rationale 1187 01:21:25.800 --> 01:21:30.079 behind buying or making deposits for that military service. So there's some of the 1188 01:21:30.159 --> 01:21:34.439 unique things that you can expect that we'll cover in the briefing or the seminar 1189 01:21:34.560 --> 01:21:39.479 on the thirteenth there and TUSA. Yeah, another one that came to mind 1190 01:21:39.600 --> 01:21:43.359 was the sick leave. Right. I think a lot of federal employees they 1191 01:21:43.439 --> 01:21:45.760 walk over that just not knowing all the rules behind that. Right, Joan, 1192 01:21:47.119 --> 01:21:49.319 I'm sorry you cut out for just one moment. What did you say? 1193 01:21:49.399 --> 01:21:53.239 I said, the sick leave, the calculations and how they might be 1194 01:21:53.279 --> 01:21:58.960 added back in. Right. The sickle is something that since twenty ten, 1195 01:21:59.039 --> 01:22:02.680 federal employees have been able to use sickly to enhance their annuity. And it's 1196 01:22:02.720 --> 01:22:09.600 a benefit that will allow them to enhance their annuity, but it doesn't meet 1197 01:22:09.640 --> 01:22:14.239 the minimum service requirement. So I'm here in Louisiana and we have a little 1198 01:22:14.279 --> 01:22:15.960 saying when we give you a little something extra, we call it lan yet 1199 01:22:16.520 --> 01:22:19.840 and so that's what we would say that the sickly is it's a little app 1200 01:22:19.880 --> 01:22:25.560 a little something extra that can allow you to cash in on your sickly to 1201 01:22:25.680 --> 01:22:29.000 be paid on it for the rest of your life, and also if you 1202 01:22:29.039 --> 01:22:32.920 provide a survivor benefit for the rest of their lives. And then another good 1203 01:22:33.000 --> 01:22:38.279 question that we saw that from your experience, what are the most effective resources 1204 01:22:38.359 --> 01:22:44.640 or tools available for federal employees to optimize their retirement plans and benefits. Well, 1205 01:22:44.680 --> 01:22:46.960 certainly I know that some of the tools that you gentlemen have available to 1206 01:22:47.039 --> 01:22:54.439 show them the analysis of their benefits and project out and that's important. Obviously, 1207 01:22:54.520 --> 01:23:00.359 they have access to OPM dot gov, which is the administration for the 1208 01:23:00.399 --> 01:23:05.720 pension and the ones who actually calculated and do the payout. There's TSP dot 1209 01:23:05.760 --> 01:23:12.479 gov, which is the TSP website. There's a couple of websites that your 1210 01:23:12.520 --> 01:23:15.720 listeners may not be familiar, which is FSA, feds dot com and ben 1211 01:23:15.720 --> 01:23:19.399 e fed. Those have to do with the Flexible Spending account. And so 1212 01:23:19.439 --> 01:23:24.560 what's coming up here very shortly is the open season and so you know, 1213 01:23:24.600 --> 01:23:28.239 by having a chance to attend this seminar, you know you'll pick up on 1214 01:23:28.279 --> 01:23:31.520 some information hopefully before the open season. Has closed, well, the open 1215 01:23:31.560 --> 01:23:35.279 season will actually close before the seminar, but there are some items that you 1216 01:23:35.319 --> 01:23:39.239 do want to pay attention to, and that would be making sure that you 1217 01:23:39.319 --> 01:23:44.479 make the right selection during the open season and that you really take a look 1218 01:23:44.520 --> 01:23:48.600 at your health insurance provider, which unfortunately this year is going up on an 1219 01:23:48.640 --> 01:23:54.439 average for the participants of about seven point seven percent. And then also the 1220 01:23:54.479 --> 01:24:00.439 ability to enroll in the Flexible Spending Account and as well as doing review on 1221 01:24:00.479 --> 01:24:03.279 the dental programs that you're currently enrolled in. Awesome, Well, we are 1222 01:24:03.319 --> 01:24:06.399 coming up on a break here, Sean. We really appreciate you coming on 1223 01:24:06.439 --> 01:24:12.399 the show explaining your expertise and everything to expect at our seminar. Again, 1224 01:24:12.479 --> 01:24:15.640 the workshop is a Federal Employee education workshop. It's going to be held at 1225 01:24:15.680 --> 01:24:20.880 the Tucson Association of Relators on December thirteenth from eight am to four pm. 1226 01:24:21.159 --> 01:24:25.239 You can even possibly get a day off if you ask your agency for the 1227 01:24:25.319 --> 01:24:30.279 SF one eighty two and they offer that. So again, it's going to 1228 01:24:30.359 --> 01:24:34.640 be a great event. Anyone less than ten years definitely take advantage and take 1229 01:24:34.680 --> 01:24:40.199 it and finally have that security that everyone's looking for as you approach retirement. 1230 01:24:40.439 --> 01:24:43.640 Thank you everyone for listening. We'll be back on the Moneymatter Show. Thank 1231 01:24:43.680 --> 01:24:57.000 you Sean, Thank you say it's only a name. Welcome back to the 1232 01:24:57.000 --> 01:25:00.600 Moneymatter Show. My name is Todd Glick. I'm here with Sebastian b and 1233 01:25:00.680 --> 01:25:04.640 Jonathan Sabelia. Always love having Jonathan on the show because we really love talking 1234 01:25:04.680 --> 01:25:10.680 about estate planning every now and then to help the people understand all the intricacies 1235 01:25:10.680 --> 01:25:15.720 of what's a really complicated space. And there's some interesting acts you wanted to 1236 01:25:15.760 --> 01:25:18.960 talk about, and this one I've never heard of, the Corporate Transparency Act, 1237 01:25:19.279 --> 01:25:24.600 and apparently there's some pretty big implications for lcs. Yeah, for everybody. 1238 01:25:24.800 --> 01:25:30.159 So well, hello, everybody, Happy Sunday. So one of the 1239 01:25:30.239 --> 01:25:34.439 very first things we wanted to talk about today, which has implications to almost 1240 01:25:34.479 --> 01:25:41.279 everybody that has some sort of work or beneficial interest in LLC or partnership or 1241 01:25:41.399 --> 01:25:46.399 es corp. It's called the Corporate Transparency Act ETA. Okay, so what 1242 01:25:46.600 --> 01:25:50.840 is happening now? And it goes in effect one to one twenty four if 1243 01:25:50.880 --> 01:25:57.359 you are an owner or have some sort of if you're a principal or other 1244 01:25:57.439 --> 01:26:01.399 control, if you're another control person of this business, you will be required 1245 01:26:01.439 --> 01:26:06.760 to disclose significant information to the federal government. What type of significant information? 1246 01:26:06.880 --> 01:26:12.680 All right, so you'll have to provide your name, address, phone number, 1247 01:26:13.000 --> 01:26:15.239 but you'll also have to upload a copy of driver's license or passport. 1248 01:26:16.399 --> 01:26:21.079 And the purpose of the act, you know, Transparency Act is uh, 1249 01:26:21.199 --> 01:26:26.439 now, we have all these shell companies and people are uh laundering money. 1250 01:26:26.800 --> 01:26:30.079 So if you're you know, if if you have a benign reason of having 1251 01:26:30.119 --> 01:26:33.119 an LLC for actual business purpose, you know, there's probably nothing to worry 1252 01:26:33.159 --> 01:26:35.960 about, except you're going to be disclosing a lot of information to the federal 1253 01:26:36.000 --> 01:26:41.720 government. And that could be a headache, that one reporting issue, but 1254 01:26:42.279 --> 01:26:46.239 uh, it's there to protect money laundering and and that other you know, 1255 01:26:46.319 --> 01:26:50.720 other criminal act. So with that said, uh, it's going to be 1256 01:26:50.720 --> 01:26:54.880 a very big headache for a lot of people, okay, And a lot 1257 01:26:54.920 --> 01:26:59.319 of people feel uncomfortable disclosing their information to the federal government. But if you 1258 01:26:59.319 --> 01:27:03.039 don't, there's gonna be fines, penalties and criminal implications if you don't you 1259 01:27:03.079 --> 01:27:06.279 don't report properly, Okay, And I don't know what those are yep, 1260 01:27:06.279 --> 01:27:10.319 because the Act isn't in place, and in fact, I'm taking a legal 1261 01:27:10.399 --> 01:27:14.279 education class Monday, just so I can tweak it. So, you know, 1262 01:27:14.359 --> 01:27:18.359 I have an issue because I have, ironically a company that I set 1263 01:27:18.399 --> 01:27:24.159 up LLCs with. Uh. It's uh, And I'm thinking to myself, 1264 01:27:24.199 --> 01:27:26.680 well, that's not that's one that I really haven't used in a while because 1265 01:27:26.680 --> 01:27:30.600 I have my law firm now. So I'm thinking, oh gosh, I'm 1266 01:27:30.600 --> 01:27:33.640 gonna have to report my information under that LLC or I'll have to report my 1267 01:27:33.920 --> 01:27:39.520 and my information or my law firm. Okay, So what are some ways 1268 01:27:39.560 --> 01:27:43.760 to get get away from it? So if you've set up an LLC before 1269 01:27:44.239 --> 01:27:49.920 one one twenty four, you will have one year to report it to Finzenten, 1270 01:27:50.039 --> 01:27:57.920 which is the federal sector. If you set it up after one one 1271 01:27:58.039 --> 01:28:01.439 twenty four, you'll have ninety days to report that information. Okay, so 1272 01:28:01.439 --> 01:28:04.279 it's a lot faster. So what is your options? One, we were 1273 01:28:04.319 --> 01:28:09.840 talking about how you just kind of todd randomly set up an LLC and he 1274 01:28:09.880 --> 01:28:14.920 misspelled the name. It's the ASU Schooling, Yeah exactly, even though you 1275 01:28:14.920 --> 01:28:17.359 have a misplaced two hundred and eighty million dollars. So you're the one with 1276 01:28:17.399 --> 01:28:20.800 the economics degree from that school. So let's not go too far. Economics 1277 01:28:20.840 --> 01:28:26.319 not finance. Don't take budgeting from you today, that's for sure. Anyways, 1278 01:28:26.439 --> 01:28:30.720 Well, with that said, I went to a different school over on 1279 01:28:30.760 --> 01:28:32.680 East Coast, so a little bit more prestigious than both of them. But 1280 01:28:32.800 --> 01:28:40.039 let's you know. But anyways, I digress. There's still the wildcats bro 1281 01:28:40.520 --> 01:28:46.479 are I would not want to be the wrong go nova anyway, So if 1282 01:28:46.479 --> 01:28:49.880 you dissolve the entity before the end of the year, you won't have that 1283 01:28:49.960 --> 01:28:56.920 reporting requirement. And if you want to set up an LLC and you want 1284 01:28:56.920 --> 01:29:00.319 that one year grace period, set it up before okay, don't wait till 1285 01:29:00.319 --> 01:29:04.079 next year, because then you'll have a n ninety day window and you won't 1286 01:29:04.079 --> 01:29:09.319 get it done. Most likely you'll just be required to do it a lot 1287 01:29:09.399 --> 01:29:12.640 faster. And if you don't get you know, I mean, hopefully whoever 1288 01:29:12.680 --> 01:29:15.399 sets it up, whether it's your CPA or attorney or even yourself, you 1289 01:29:15.479 --> 01:29:18.960 got to be diligent about it. Right. It's a serious thing. I 1290 01:29:19.000 --> 01:29:21.560 don't know the implications. I don't know what the fines some penalties are, 1291 01:29:21.720 --> 01:29:25.680 but the last thing we want is the federal government bring it down our neck 1292 01:29:26.439 --> 01:29:31.079 right right certainly, And so also something that the government is helping us with, 1293 01:29:31.159 --> 01:29:34.920 maybe not the federal government, but the state government. The Arizona is 1294 01:29:34.920 --> 01:29:39.199 apparently going to be doing something for dependence. Tell us about it. Yeah, 1295 01:29:39.319 --> 01:29:43.319 So you know, I'm glad that I brought you guys down. I 1296 01:29:43.439 --> 01:29:47.199 want to build you back up. So the Arizona government, well, the 1297 01:29:47.279 --> 01:29:53.199 governor just signed into law that in Arizona, each person with a dependent under 1298 01:29:53.239 --> 01:29:58.720 seventeen years WI will receive a two hundred and fifty dollars rebate up to three 1299 01:29:58.800 --> 01:30:03.159 dependents, got four. Tell them to pull their own weight, so you'll 1300 01:30:03.199 --> 01:30:06.720 get about if you have three dependents, that's seven hundred and fifty dollars. 1301 01:30:08.319 --> 01:30:12.399 Not bad. You know, going into the holiday season, I didn't see 1302 01:30:12.560 --> 01:30:16.079 an income limit on there, but I did see as long as you had 1303 01:30:16.079 --> 01:30:21.520 taxable income in twenty twenty or twenty nineteen, twenty twenty and twenty twenty one, 1304 01:30:21.600 --> 01:30:25.880 you should receive your tax credit. Nice. So yeah, and then 1305 01:30:25.920 --> 01:30:29.479 you know, we talked a little bit about it last week. They're not 1306 01:30:29.600 --> 01:30:32.199 so much I guess on the state planning, but inflation across the board on 1307 01:30:32.239 --> 01:30:38.079 the irs. So for income limits on tax brackets, we're talking about about 1308 01:30:38.079 --> 01:30:41.159 a five percent increase that you can make more and still stay in the same 1309 01:30:41.199 --> 01:30:45.119 bracket. From twenty three to twenty four, we've also seen the contribution limits 1310 01:30:45.159 --> 01:30:49.039 increase for five hundred dollars on all the retirement plans, the form on kes, 1311 01:30:49.079 --> 01:30:54.720 the iras, things like that. The HSA contributions increased. We also 1312 01:30:54.760 --> 01:31:00.479 saw the the exclusion rate for the estate tax get increased roughly about five Everything 1313 01:31:00.520 --> 01:31:03.119 got roughly about five percent on the inflation front. On the IRS side, 1314 01:31:03.319 --> 01:31:10.479 anything that you've seen with the new IRS tables are going into twenty twenty four. 1315 01:31:10.560 --> 01:31:13.800 Business owners are always trying to look for ways to reduce their tax boy 1316 01:31:13.840 --> 01:31:16.720 income legally. What are some of those ways that they should be looking for 1317 01:31:16.880 --> 01:31:19.800 going into twenty twenty four. Look, you know, I never say spend 1318 01:31:19.840 --> 01:31:24.720 money to save taxes, but we are getting to twelve thirty one, which 1319 01:31:24.760 --> 01:31:27.560 is the end of the year, at least the end of the calendar year, 1320 01:31:27.600 --> 01:31:30.840 not fiscal year. So what that basically means is that if you have 1321 01:31:30.920 --> 01:31:35.000 high income and let you have a business that requires equipment, you may want 1322 01:31:35.000 --> 01:31:38.520 to buy some of the equipment before the end of the year so you could 1323 01:31:38.560 --> 01:31:43.520 reduce that and take that bonus appreciation that bonus appreciation is important because it goes 1324 01:31:43.520 --> 01:31:48.199 away in twenty twenty six. All right, So you know, before the 1325 01:31:48.199 --> 01:31:51.880 twenty seventeen Tax Cuts and Jobs Act, you were only allowed to bonus up 1326 01:31:51.880 --> 01:31:59.920 to fifty percent of depreciable asset. Right away, you get a fifty percent 1327 01:32:00.279 --> 01:32:04.600 deduction anything that is over that. I think it's two thousand, five hundred 1328 01:32:04.600 --> 01:32:12.399 dollars, so, but that's gonna go right then for a while after twenty 1329 01:32:12.479 --> 01:32:16.039 seventeen, you could deduct up to one hundred percent all in that one year 1330 01:32:16.199 --> 01:32:18.680 and take that deduction, and that was a nice boon for a lot of 1331 01:32:18.680 --> 01:32:23.560 business owners. And you know that did spurt the economy. But that's going 1332 01:32:23.600 --> 01:32:27.000 to drop back down to fifty percent, you know, coming up in one 1333 01:32:27.039 --> 01:32:31.159 one, twenty six, unless Congress acts and they reinstitute it. I'm you 1334 01:32:31.159 --> 01:32:34.560 know, there's two schools of thought there, you know, whether or not 1335 01:32:34.600 --> 01:32:39.600 that that should be provided. I like it. It's it's great. We 1336 01:32:39.640 --> 01:32:43.800 already have the deminimus, you know, especially for someone like me is a 1337 01:32:43.800 --> 01:32:46.479 business a small business owner. You know, as long as my asset that 1338 01:32:46.520 --> 01:32:49.720 I buy is less than two thousand, five hundred dollars, I can deduct 1339 01:32:49.720 --> 01:32:54.159 that in full, right, But anything over two thousand, five hundred dollars 1340 01:32:54.199 --> 01:32:56.319 you have to put it on the balance sheet, and you have and you 1341 01:32:56.399 --> 01:33:00.399 have to depreciate it by fifty starting twenty twenty, starting twenty twenty six, 1342 01:33:01.039 --> 01:33:03.640 well, depending on what it is, So it has to be a fixed 1343 01:33:03.680 --> 01:33:09.399 asset. If it's a you know, you can't bonus everything. So I 1344 01:33:09.399 --> 01:33:13.840 got an individual who's buying a franchise and there's gonna be a franchise fee, 1345 01:33:13.880 --> 01:33:15.239 so you amortize that. It's still goes on a balance sheet, but you 1346 01:33:15.279 --> 01:33:19.319 amortize it, so you can't bonus that. And all of this has to 1347 01:33:19.359 --> 01:33:23.279 do with the plan at the end of the day, because that's a very 1348 01:33:23.279 --> 01:33:26.880 complicated picture to put in. You have the business side, you have your 1349 01:33:26.920 --> 01:33:29.800 personal side, and then you might even have your spouse's side that doesn't have 1350 01:33:29.800 --> 01:33:32.039 anything to do with anything on that. So it all comes back to the 1351 01:33:32.039 --> 01:33:34.960 financial plan. And that's why we work so well together. We're easily able 1352 01:33:35.000 --> 01:33:39.680 to talk with each other, things about raw conversions, things about estate planning, 1353 01:33:39.880 --> 01:33:42.880 things like beneficiaries. I mean, that's coming up into holiday season. 1354 01:33:42.920 --> 01:33:45.680 We talk about it all the time. With talking a little bit about the 1355 01:33:45.760 --> 01:33:48.880 Christmas Tree, right. I mean we have the trust as the set tree, 1356 01:33:49.279 --> 01:33:53.520 and the amendments are kind of like the ornaments that go on and off 1357 01:33:53.560 --> 01:33:56.600 the tree through the years. It's not always that you need a fresh new 1358 01:33:56.640 --> 01:33:59.560 trust. We talk to clients all the time that come in the door and 1359 01:33:59.600 --> 01:34:01.199 we look at their trust and they said, we haven't updated for twenty years. 1360 01:34:01.239 --> 01:34:03.359 It doesn't mean you need a whole new trust. It might still be 1361 01:34:03.439 --> 01:34:06.439 legitimate, just means to be updated and reviewed. And that's what's so great 1362 01:34:06.479 --> 01:34:11.600 about Choos. You have a free review meeting you'll have. You don't sit 1363 01:34:11.640 --> 01:34:14.720 down with anyone who has questions about their trust. You know what's funny about 1364 01:34:14.760 --> 01:34:17.159 that is the other day was the very first time I think I said, 1365 01:34:17.239 --> 01:34:19.600 you know, we're still new together, we're still getting to know each other. 1366 01:34:19.760 --> 01:34:23.520 And the first time one of your clients reached out to me. I've 1367 01:34:23.520 --> 01:34:25.560 had some of your clients reach out and I've did work with them, but 1368 01:34:25.560 --> 01:34:28.920 I had one in particular, and we met on Wednesday evening, the office 1369 01:34:28.960 --> 01:34:32.319 was closed and they wanted tax advice. That's all they wanted. I was 1370 01:34:32.359 --> 01:34:36.000 happy to do it, and they provided that document. You guys do that 1371 01:34:36.399 --> 01:34:41.359 for their for their planning, looked at it and I go, you, 1372 01:34:41.399 --> 01:34:45.039 guys, don't need tax advice for me. This does everything. It shows 1373 01:34:45.119 --> 01:34:47.840 you what you need to pull out of your Because they were looking to roll 1374 01:34:47.840 --> 01:34:51.279 their four one K to the IRA, and they were getting ready for retirement 1375 01:34:51.560 --> 01:34:54.319 and they're saying, how do we save on taxes? I go, this 1376 01:34:54.359 --> 01:34:57.840 document right here does everything? Right? You know, there's not you know, 1377 01:34:57.840 --> 01:35:00.840 when you're just a retiree and you're receiving a W two, there's not 1378 01:35:00.960 --> 01:35:03.920 very much tax planning that's involved. You guys do ninety nine percent of it. 1379 01:35:04.199 --> 01:35:08.119 I'll throw it into a ten forty for you, no problem, right. 1380 01:35:08.159 --> 01:35:11.199 I used to be do it. But what you what I saw there 1381 01:35:11.359 --> 01:35:14.560 was amazing. Yeah, it's a it's a fascinating tool. What John's talking 1382 01:35:14.600 --> 01:35:17.680 about is our tax planning tool where we can actually look at whether roth conversions 1383 01:35:17.720 --> 01:35:21.520 will actually save you money, whether qualified charitable distributions will save you money, 1384 01:35:21.720 --> 01:35:25.720 or maybe it doesn't save you money. We can actually look and play with 1385 01:35:25.760 --> 01:35:28.119 that, and you're right. At the end of the day, though, 1386 01:35:28.439 --> 01:35:31.359 we being financial advisors, can't give actual tax advice, so we always work 1387 01:35:31.359 --> 01:35:36.800 in tandem with the state planning or tax you know people because it has to 1388 01:35:36.840 --> 01:35:41.199 come from them. But you're right, the document kind of shows what needs 1389 01:35:41.239 --> 01:35:44.760 to be shown. We just work with them to make sure it is there. 1390 01:35:44.880 --> 01:35:46.319 Yeah, look like you guys did a really good job. They look 1391 01:35:46.399 --> 01:35:50.960 like they're going to live comfortably. Certainly anything else before we go in front 1392 01:35:50.960 --> 01:35:57.279 of mine, you know, have a happy things giving everybody right, you 1393 01:35:57.319 --> 01:36:00.079 know, don't eat too much turkey. I guess all the cooking you guys 1394 01:36:00.079 --> 01:36:05.359 cooking Heck no, no, I have got I got family to go to 1395 01:36:06.159 --> 01:36:11.479 well. As we wrap down this show, obviously the where we're staying on 1396 01:36:11.560 --> 01:36:15.079 the extreme fear and greed index is right at neutral. So going into next 1397 01:36:15.119 --> 01:36:16.279 week, like we said, the real big thing to look out for is 1398 01:36:16.359 --> 01:36:20.239 Navidia's earnings on Tuesday after the close. That's going to have markets moving. 1399 01:36:20.479 --> 01:36:23.920 Other than that, though, we're really not going to see anything. So 1400 01:36:24.359 --> 01:36:27.159 a short week. Have fun next week with your Thanksgiving, have fun with 1401 01:36:27.239 --> 01:36:30.359 family, and remember, at the end of the day, we all strive 1402 01:36:30.439 --> 01:36:33.000 to be happy, we all strive to be healthy, but we really want 1403 01:36:33.039 --> 01:36:38.920 to be as profitable. See you next week. Say it's only