JUNE 18 Father's Day Podcast

100:00:02,439 --> 00:00:06,120Good morning, everybody. This isthe Money Matters Show. I'm Dylan Greenberg.200:00:06,240 --> 00:00:10,080I'm here with Dave Sherwood. Deanis over in Europe and tossed down300:00:10,080 --> 00:00:13,240to Mexico. Is out of thecountry except us. Is Dylan, Hugh400:00:13,279 --> 00:00:16,440and me in two empty chairs.Is indeed we have a couple of people500:00:16,480 --> 00:00:20,160on though throughout the show is gonnaMelissa from All American Lending, and we600:00:20,280 --> 00:00:26,000have John Sibilia from Edward law YayPy and Sunday morning, the eighteenth of700:00:26,079 --> 00:00:30,239June, and it is Father's Day. Is indeed the Father's Day edition of800:00:30,280 --> 00:00:33,240The Money Matters Show. I wantto say Happy Father's Day all the guys900:00:33,240 --> 00:00:37,079out there who are lucky enough whohave gotten that job. When my daughter1000:00:37,119 --> 00:00:41,640wishes me happy Father's Date, myresponse is best job in the world and1100:00:41,759 --> 00:00:46,479in parentses thanks to your mom becauseI got to have all the fun stuff1200:00:46,520 --> 00:00:49,240and when it went south, Iturned her over to mom. Yeah it's1300:00:49,240 --> 00:00:51,479funny. So yeah, I mean, I'll say Happy Father's Day to my1400:00:51,520 --> 00:00:54,280dad, even though probably won't hearthis over there about an eight hour difference,1500:00:54,320 --> 00:00:59,200but he's struggling over there. Hegot it. He's struggling because he1600:00:59,200 --> 00:01:02,479likes to dance, but he's oldernow, and he turned sixty six four1700:01:02,560 --> 00:01:03,319days before he left, and nowhe can't dance as well. And he1800:01:03,359 --> 00:01:07,680got caught up and he twisted hisknee. Now they think they don't know1900:01:07,719 --> 00:01:11,000for sure, but it might bean acl tear because he likes to dance2000:01:11,040 --> 00:01:15,640too much. Now, the storyI got was that he had rubber soul2100:01:15,799 --> 00:01:19,840shoes on, yeah, and triedto make one of his dance moves,2200:01:19,879 --> 00:01:23,879and the rubber soul shoe got stuckand over he went and into the stage2300:01:23,920 --> 00:01:26,959and his foot didn't move, andhe kept moving and there went the knee.2400:01:26,000 --> 00:01:30,840So he's gonna be in Europe foranother three weeks, walking on crutches,2500:01:30,359 --> 00:01:34,560yep, checking out all the museumin history there on crutches. It's2600:01:34,760 --> 00:01:37,879a typical Dean because I was talkingto him yesterday and he was kind of2700:01:37,879 --> 00:01:41,319funny. You know that initially whensomething like that happens, and then the2800:01:41,439 --> 00:01:45,640next day it starts to set inthat things are not going to be right,2900:01:46,120 --> 00:01:49,519and so his whole thing and thisis so Dean. He said,3000:01:49,560 --> 00:01:53,599I just need to have an attitudeadjustment and we'll be just fine. And3100:01:53,719 --> 00:01:56,480that's so, Dean, I mean, it is what it is. Right,3200:01:56,840 --> 00:02:00,519Life comes at you and you justyou you adjusted. He's in the3300:02:00,519 --> 00:02:04,760adjustment process right now. Once hegets adjusted and his crutches and your mom3400:02:04,840 --> 00:02:07,639is a trooper and in a waythey go, yeah, he seems like3500:02:07,639 --> 00:02:10,199he's a good spirits But yeah,like you said, it is what it3600:02:10,240 --> 00:02:13,080is. Like, what are yougonna do? You have to deal with3700:02:13,080 --> 00:02:16,719what happened? But a lot ofpeople would would cancel the trip, you3800:02:16,759 --> 00:02:22,560know, any number of things.And it's just his His whole attitude about3900:02:22,639 --> 00:02:25,960adversity is so refreshing. Yeah,I definitely think I got that from him.4000:02:27,240 --> 00:02:29,599Yeah, I think show going toread the disclaimer to get there.4100:02:29,680 --> 00:02:32,159Yeah. So we've been doing theshow for thirty three years now. This4200:02:32,159 --> 00:02:36,719show is sponsored by the Greenberg FinancialGroup. You can listen on this channel4300:02:36,719 --> 00:02:40,439seven ninety Cannasty or iHeartRadio. Wealso have the podcast on Spotify, Apple4400:02:40,520 --> 00:02:45,960Music, any of the big streamingservices that have the podcast. The show4500:02:45,960 --> 00:02:50,759discusses different investment types, different productsand strategies. Every product and strategy have4600:02:50,919 --> 00:02:54,120some type of inherent risks, andwe struggly encourage our listeners to properly understand4700:02:54,360 --> 00:02:58,840the risk to determine whether to buy, sell, or hold. The Greenberg4800:02:58,879 --> 00:03:01,680Financial Group is a register with theSEC and a member of FINER and SIPPIC.4900:03:01,800 --> 00:03:06,319You can visit our website at GreenbergFinancial dot com for more information or5000:03:06,319 --> 00:03:09,159give us a call at five tozero five four four four nine zero nine.5100:03:09,199 --> 00:03:14,000Fantastic and what a week it wasin the market. You go back5200:03:14,039 --> 00:03:16,960to May twenty fourth. May twentyfourth, the SMP five hundred got up5300:03:17,039 --> 00:03:23,159to that August high, that fortythree twenty five, where we frankly thought5400:03:23,159 --> 00:03:27,560it would fail didn't. We didn'tthink it would have enough energy to get5500:03:27,560 --> 00:03:30,240through that. It busted through thatlike a hot knife through butter. And5600:03:30,360 --> 00:03:35,960we've been off to the races eversince. Broke above forty four hundred on5700:03:36,120 --> 00:03:42,479Friday, up two point six percentfor the week to a fourteen month high.5800:03:42,520 --> 00:03:46,240And I don't think not only didwe really not see this coming,5900:03:46,280 --> 00:03:47,719I don't think a lot of otherpeople saw it coming either, Which is6000:03:47,759 --> 00:03:53,680why you see that dramatic, parabolictype of move is you have a lot6100:03:53,759 --> 00:03:59,479of people who are are hedged,are short YEA and the performance is coming6200:03:59,520 --> 00:04:01,680to the end of June. Youget paid on your performance, and there's6300:04:01,719 --> 00:04:06,360a lot of people scrambling to dosomething for performance. But again Daling,6400:04:06,439 --> 00:04:10,520it was still the magnificent seven.It is. But what I was looking6500:04:10,560 --> 00:04:14,039at right now is interesting that theRSP, the equal weight at SMP five6600:04:14,120 --> 00:04:16,560hundred, yes, was up justabout the same as the SMP five hundred6700:04:16,560 --> 00:04:20,079this past week, and for themonth it's up over a percent more than6800:04:20,160 --> 00:04:24,199the SMP five hundred. That's agood point. So that's interesting the fact6900:04:24,240 --> 00:04:28,560that we think it's the magnificent seven, but the other four hundred ninety three7000:04:28,560 --> 00:04:30,879stocks are now kind of waking upa little bit, kind of holding their7100:04:30,920 --> 00:04:34,639own helping out. Now. Idid look at the value exchange traded funds7200:04:34,680 --> 00:04:40,199on Friday, which are the bluechip diving in payers where most conservative investors7300:04:40,240 --> 00:04:43,519have and they're still down for theyear, still slightly down for the year.7400:04:43,600 --> 00:04:46,920Oh it's tech TEX running this Texfor sure. The magnificent seven is7500:04:46,000 --> 00:04:49,560Kramer calls them, Yeah, runningthe show. And Nvidia new all time7600:04:49,639 --> 00:04:54,279high, multiple new all time highs. Last year. You got Meta a7700:04:54,319 --> 00:04:57,439two hundred and eighty dollars a share. Again, you have Tesla, which,7800:04:57,720 --> 00:04:59,680like I mean, you're going totalk about it no, I know7900:05:00,000 --> 00:05:01,160for a fact, to talk abouthim more because he's been I'm gonna talk8000:05:01,160 --> 00:05:08,240a lot about Tesla the second hour, Ron Land's last Week, our guy8100:05:08,279 --> 00:05:13,600with Solar and our EV guy.Yeah, he and I after the show,8200:05:13,680 --> 00:05:15,720he and I were going back andforth, kind of arguing a little8300:05:15,759 --> 00:05:19,519bit about the whole thing. Andand it's it ignited, Uh, the8400:05:19,639 --> 00:05:23,720curiosity in me. And I've beendoing a lot of research and I've got8500:05:23,759 --> 00:05:28,759some some really interesting things. Uh. The the EV market is is growing8600:05:29,439 --> 00:05:33,879exponentially. Um, and I've gotsome some facts about that. I think8700:05:34,000 --> 00:05:38,600I think we'll find. By theway, Uh, we're going to celebrate8800:05:38,639 --> 00:05:43,720Father's Day by taking Tomorrow off andand people will say, what do you8900:05:43,759 --> 00:05:47,720mean taking him out? What?What's what? Holidays on Monday, juneteenth,9000:05:47,279 --> 00:05:49,439June. This is the second yearit is the federal holiday. So9100:05:49,480 --> 00:05:54,399that all the markets are closed.Our office will be closed. Mail mail's9200:05:54,439 --> 00:06:00,240clanks, yep, anybody anybody thatcan be pretty much anybody they can be9300:06:00,279 --> 00:06:05,680closed is closed. And Dylan said, Uh, in the disclaimer there on9400:06:05,720 --> 00:06:10,920our website or the iHeart app,you can you can look at fast shows9500:06:10,959 --> 00:06:14,079if you're If this is the firsttime you're tuning in and said, what9600:06:14,199 --> 00:06:17,040are these guys all about you?There's dozens of shows available for you to9700:06:17,040 --> 00:06:21,279look at on iHeart Radio, theiHeart website, the ihard app or our9800:06:21,279 --> 00:06:26,360own Greenberg Financial. Yeah, andif you look up the podcast that you9900:06:26,439 --> 00:06:30,600got to look up Greenberg or MoneyMatters with Dean Greenberg, because there's a10000:06:30,600 --> 00:06:31,879ton of Money Matters out there,but it'll show up if you put with10100:06:32,040 --> 00:06:35,199Dan Greenberg. Yeah, sorry tohim. I was sitting with a guy10200:06:35,680 --> 00:06:39,680last week and he was trying toget on his phone and we did have10300:06:39,759 --> 00:06:43,600to go with Dean Greenberg. Yeah, just to narrow it down exactly,10400:06:43,839 --> 00:06:46,600and I think you enjoy it.Past shows are are are fun if you10500:06:46,800 --> 00:06:49,879if you miss Dean's voice, andthis is the second week he's gone,10600:06:49,920 --> 00:06:54,040I think he's gone three more,so it'll be a while before you hear10700:06:54,120 --> 00:06:57,319Dean's voice again. If you misshim, you can go back and listen10800:06:57,360 --> 00:07:02,560to his monologue, his wonderful monologueson any of those stations. Headlines this10900:07:02,560 --> 00:07:06,160week, dealing a couple of bigheadlines. Big one was the fed first11000:07:06,319 --> 00:07:10,959Rate pause since they've been hiking itfor the last fifteen months. But they're11100:07:11,000 --> 00:07:15,079saying there's about a sixty to sixtyfive percent chance that they're gonna hike at11200:07:15,079 --> 00:07:18,879another twenty five basis points in July, and they're not done increasing them.11300:07:19,160 --> 00:07:25,079This is where you I've said beforeon the show that the market will from11400:07:25,120 --> 00:07:29,680time to time getting a situation orgetting into a place where all news is11500:07:29,680 --> 00:07:32,519good news or all news is badnews. It just matters how you frame11600:07:32,560 --> 00:07:38,959it. And what you just saidis exactly what I'm talking about. The11700:07:39,000 --> 00:07:42,560Fed did not raise interest rates.That was widely expected. There was like11800:07:42,600 --> 00:07:46,160an eighty five percent expectation that that'swhat would happen. Now. Many market11900:07:46,319 --> 00:07:51,199pundits, in fact, a majorityof market pundits, believed that there would12000:07:51,199 --> 00:07:58,480be at least one interest rate cutbefore year end, maybe two interest rate12100:07:58,600 --> 00:08:01,639cuts before year We've not been onthat team, you know, we don't12200:08:01,639 --> 00:08:07,439believe that's the case. But theFed comes out not only did they not12300:08:07,680 --> 00:08:11,040suggest there were dividend cuts coming,but they suggested there might be two more12400:08:11,319 --> 00:08:18,319increases. Now that would have sentthe market in a world where all news12500:08:18,439 --> 00:08:20,720is bad news, that would havesent the market down three four, five12600:08:20,800 --> 00:08:24,160hundred flights. Yeah. Instead,the market just shrugged it off. The12700:08:24,160 --> 00:08:26,879market shrugged it off, because here'show the market took it. When all12800:08:26,040 --> 00:08:31,159news is good news, you framethat, oh, well they're almost done,12900:08:31,759 --> 00:08:35,360yep, exactly, and that's howthey framed it. Yeah, I13000:08:35,399 --> 00:08:39,480mean it did. And yet wehave not been in the business of thinking13100:08:39,480 --> 00:08:43,799that they're going to cut rates anytimesoon, because they still won't waiver from13200:08:43,840 --> 00:08:46,519the two percent inflation target that theyhave. And I mean inflation came in13300:08:46,559 --> 00:08:50,720with four and a half percent yearover year, four annualized came out of13400:08:50,720 --> 00:08:52,320four, so got to cut itin a half still. Yeah, So13500:08:52,320 --> 00:08:56,120it's it was the biggest drop sincethey've started. And we've talked about this13600:08:56,159 --> 00:09:00,840on the show too. Once theFed funds rate, which is currently five,13700:09:01,600 --> 00:09:07,639gets above the rate of inflation,inflation typically drops very quickly. And13800:09:07,840 --> 00:09:13,679what we saw in May was thelargest month over month drop since they start13900:09:13,679 --> 00:09:18,799a raising rate. Yeah, fromessentially from five to four. So it's14000:09:18,799 --> 00:09:22,320on the right track. And that'swhy people were happy as well, because14100:09:22,360 --> 00:09:24,440I mean, dropping that much andyou're really only two percent off in the14200:09:24,480 --> 00:09:26,679grand scheme of things, but youstill have to cut that in half and14300:09:26,720 --> 00:09:31,600it still has to work. Sonow what we're waiting to see is did14400:09:31,600 --> 00:09:35,440this rate pause? Is it gonnabe helpful or are they going to think14500:09:35,480 --> 00:09:37,720that they got to raise a fiftybasis points next July or in July.14600:09:39,480 --> 00:09:41,679But I don't think that's gonna happen. I'm just saying, kind of playing14700:09:41,360 --> 00:09:46,559what could happen data dependent exactly.A couple of other big headlines last week14800:09:46,879 --> 00:09:50,200the Denver Nuggets Denver Nuggets forty sevenyears as a franchise, and they finally14900:09:50,200 --> 00:09:54,559won, finally won the NBA championshipafter forty seven years, first time ever.15000:09:54,759 --> 00:10:01,240Also, this weekend starts the collegebaseball worlds here with your Kentucky Wildcats15100:10:01,480 --> 00:10:07,120almost there, I know, andmy TCU horn Frogs are in the shell.15200:10:07,360 --> 00:10:11,120You guys have had a good year. Football obviously was good, and15300:10:11,159 --> 00:10:13,960then now baseball is good. Yeah, So it's it's it's been a good15400:10:15,039 --> 00:10:18,039year for TCU and we for schoolwith ten thousand kids exactly. It's it's15500:10:18,120 --> 00:10:20,480kind of kind of fun to seethe little guy win from time to time.15600:10:20,480 --> 00:10:24,600But you know, the Fed didtalk about did signal a couple more15700:10:24,679 --> 00:10:28,440radio increases this year. I gottabelieve that's overkill. Yeah, I just15800:10:28,519 --> 00:10:31,559think that I don't see the necessity. Well, the thing is that the15900:10:31,639 --> 00:10:35,320data is good. For the nextmonth, you could see them change their16000:10:35,360 --> 00:10:41,159tone. Yeah, so we'll seeproducer prices were actually down from April to16100:10:41,279 --> 00:10:46,559May. They actually declined by threetenths of a percent producer prices. That's16200:10:46,600 --> 00:10:48,279the wholesale price level, which isgood. That's a good thing. So16300:10:48,320 --> 00:10:52,799we're on the right track. Butwhat the market is seen right now that16400:10:52,320 --> 00:10:56,399again, we talked about the technicalbreakout. A lot of by technical,16500:10:56,440 --> 00:11:01,440we're talking about charts, and thereare a lot of trade and money managers16600:11:01,480 --> 00:11:07,759that use the charts. And whenyou have a chart where forty three twenty16700:11:07,759 --> 00:11:09,200five is the high, and youwent up to that and then you fell16800:11:09,200 --> 00:11:11,679back, and you went up tothat again and fell back, you would16900:11:11,720 --> 00:11:16,000expect the third time up you're goingto fall back. Well, when that17000:11:16,080 --> 00:11:20,840doesn't happen, when it breaks throughthat, then that tells you that we17100:11:20,039 --> 00:11:26,360better beginning long in a hurry.And the next seventy five points, actually17200:11:26,399 --> 00:11:30,200the next almost hundred points happened inabout five minutes. It seems like it17300:11:30,240 --> 00:11:33,440was a day at day and ahalf. Yeah, I mean, once17400:11:33,440 --> 00:11:35,360it starts running, it just runsbecause then everybody has the fear of missing17500:11:35,399 --> 00:11:39,720out, so they just jump in, whether it's the ETS or they try17600:11:39,720 --> 00:11:41,759and get into these tech stocks whichare still running running the show. Because17700:11:41,759 --> 00:11:45,600the NASDAC was up the most forthe week at three point two percent,17800:11:46,399 --> 00:11:48,399and for the year it's up thirtyone percent, which is almost wiping out17900:11:48,440 --> 00:11:52,759all of last year's losses. Inchrist year lost thirty three percent, not18000:11:52,840 --> 00:11:54,399even six months in, not evenhalfway through the year, and has almost18100:11:54,399 --> 00:11:58,559come back that way. And that'sthat is in due part to the Magnificent18200:11:58,600 --> 00:12:05,360seven. This is the best firsthalf for the semiconductor sector ever in history.18300:12:07,039 --> 00:12:13,440It's the strongest rally overall since Novemberof twenty one, and it's based18400:12:13,480 --> 00:12:18,720on the belief that we've got thisGoldilocks scenario going right now. And I'm18500:12:18,720 --> 00:12:22,200not disparaging that are criticizing that,but that's what we have. We have18600:12:22,240 --> 00:12:26,759a Goldilocks scenario where there are goingto be no more rate increases. Yep,18700:12:28,159 --> 00:12:31,720We've avoided the recession. We aregoing to have a soft landing,18800:12:33,559 --> 00:12:39,720and artificial intelligence is going to drivecorporate darning still levels unseen. Yeah,18900:12:39,759 --> 00:12:43,559I mean, I feel like that'sreally what's running the two is the AI19000:12:43,600 --> 00:12:46,320because semiconductors are doing but they're theones that run AI, just like in19100:12:46,440 --> 00:12:48,720video, keeps sitting new highs becausethey are the leader in the chips that19200:12:50,679 --> 00:12:54,720AI needs. And there's just soldout still yeah, they still you can't19300:12:54,720 --> 00:13:01,320get any I think one question Iget asked by our visors as well as19400:13:01,320 --> 00:13:05,759our clients, what do we donow? I mean, the market is19500:13:07,200 --> 00:13:11,720twenty six percent off of the Octoberlow. Yeah, twenty six percent.19600:13:11,799 --> 00:13:13,480Technically we're in a bull market now, absolutely, And there was a it19700:13:13,600 --> 00:13:18,639was a big discussion. Remember whenthe SMP thirty four ninety one back in19800:13:18,679 --> 00:13:22,440October and then it came off ofthat level. There was an awfully lot19900:13:22,480 --> 00:13:26,279of people believing that we would haveto either retest that or maybe go below20000:13:26,320 --> 00:13:30,879that. Yeah, now, Isaid no, I said thirty four ninety20100:13:30,919 --> 00:13:33,360one was going to be the bottom. That was it? Right? And20200:13:33,080 --> 00:13:37,200every now and then you get one, right, like a buying hog finds20300:13:37,200 --> 00:13:39,480an acorn from time to time.Yeah, as we say in South Dakota.20400:13:41,879 --> 00:13:45,919But thirty four ninety one looks likeit's now in the rearview mirror,20500:13:45,960 --> 00:13:50,159and I can't imagine that there's anyonenow that believes that we're going to revisit20600:13:50,320 --> 00:13:56,039that level. So what do youdo now? I think probably the thing20700:13:56,080 --> 00:14:01,519you don't do is aggressively buy.Yeah, I agree with that. You20800:14:01,559 --> 00:14:03,960don't want to aggressively buy when thesestocks have run up to fifty two week20900:14:05,039 --> 00:14:07,720highs so quickly, and they justkeep doing it like at one point there's21000:14:07,759 --> 00:14:11,720gonna be profit taking there will itwill come. And then what I see21100:14:11,720 --> 00:14:13,759happening with that, especially with thesetech stocks, is you got the big21200:14:13,799 --> 00:14:16,960investors, institutions and all will starttaking profits or whatever happens. Maybe you21300:14:18,000 --> 00:14:20,039can see it after June thirtieth,because, like you said, that's the21400:14:20,120 --> 00:14:24,720end of the quarter. Money managersusually try and get their institutions, try21500:14:24,759 --> 00:14:26,360and get as much out of itas they can towards the end of the21600:14:26,399 --> 00:14:30,960quarter. Once that happens, theymight take some profits at the next quarter.21700:14:31,279 --> 00:14:33,440And then it's the retail investors,the individual investors on robin Hood and21800:14:33,480 --> 00:14:37,039all that tend to get scared oncethey see and video all of a sudden21900:14:37,120 --> 00:14:41,679drop ten percent, they'll sell,just take their profit because they're done.22000:14:41,759 --> 00:14:43,720They don't want to be part ofit anymore. They're kind of nervous.22100:14:43,759 --> 00:14:46,440They lost ten percent, and that'show you can see a slide happen real22200:14:46,519 --> 00:14:50,480quick, because tech stocks do runquick. Both ways, we've been trimming22300:14:52,519 --> 00:14:56,039for lack of a better word here. And if you're a home gamer and22400:14:56,679 --> 00:15:01,120you have end video that you boughtit a hundred, four hundred and twenty22500:15:01,159 --> 00:15:03,320five, four hundred and thirty whatever, you've got to take some off the22600:15:03,360 --> 00:15:07,879table. You've got to trim thatback. That doesn't mean it doesn't go22700:15:07,960 --> 00:15:09,919to five hundred or six hundred orseven hundred, but it could easily be22800:15:09,960 --> 00:15:13,120three hundred. Well's the idea.That's why you need a plan of what22900:15:13,159 --> 00:15:15,080you wanted, a plan of action, and what you want to do.23000:15:15,120 --> 00:15:18,320If you want to have a videobe three percent of your portfolio and now23100:15:18,360 --> 00:15:20,039it's run up, Like you boughtit at one hundred dollars for three percent23200:15:20,039 --> 00:15:22,399of your portfolio, and now it'sthat for undred and thirty five dollars to23300:15:22,480 --> 00:15:26,519share. What you're probably about wassay eight ten percent of your portfolio.23400:15:26,559 --> 00:15:31,960Now take the seven percent gain andjust go back to three percent. Now23500:15:31,960 --> 00:15:35,039you take all your profit and you'restill in an video in case it does23600:15:35,159 --> 00:15:37,799run to five hundred dollars, sixhundred dollars. You don't know, but23700:15:37,840 --> 00:15:41,080at least it took some off thetable, and you'll be happy with that.23800:15:41,120 --> 00:15:43,200You'll be able to sleep better atnight because rather than being full in23900:15:43,279 --> 00:15:46,440the whole time or full out,you don't have to go full out just24000:15:46,480 --> 00:15:50,679because it's at four thirty five.Take your profit a little bit and then24100:15:50,759 --> 00:15:52,919let the other part run. Wellsaid, Well, I said, because24200:15:52,919 --> 00:16:00,799the economy does continue to show signsand flowing corporations are continuing to be cautious24300:16:00,799 --> 00:16:07,559in their outlook. Yeah, wesaw the A lot of comment about the24400:16:07,600 --> 00:16:10,799recession is now off the table.There isn't going to be a rason.24500:16:10,879 --> 00:16:12,279Well, there will be a recession, I promise you, I guarantee it.24600:16:12,320 --> 00:16:15,080Actually, well, a lot ofeconomists are saying there's still going to24700:16:15,120 --> 00:16:22,519be a recession, not like youstill have that idea going around. So,24800:16:22,360 --> 00:16:26,840but the one thing that we're seeingdoing and is a widening of not24900:16:26,919 --> 00:16:30,360only is the yield curve inverted,and I'll talk a little bit more about25000:16:30,399 --> 00:16:36,879that, but we're actually seeing awidening of that inversion we talked last week25100:16:37,399 --> 00:16:40,879on the show, and maybe bea good time to look at the housekeeping.25200:16:41,519 --> 00:16:45,279Remember we talked about how long canthat yield curve stay inverted? Inverted25300:16:45,360 --> 00:16:48,200means that a ten year rate ofinterest is below the two year radi of25400:16:48,200 --> 00:16:52,679interest, something that's very unusual,not unheard of, but unusual. An25500:16:52,679 --> 00:16:59,679inverted yield curve, excuse me,it's excuse me, it's an unusual event.25600:17:00,000 --> 00:17:03,880Typically proceeds a period of economic downturn. Obviously, people think that in25700:17:03,920 --> 00:17:07,519the short term rates are higher,but in the long term rates are going25800:17:07,559 --> 00:17:11,200to be lower because the economy isgoing to be weaker. Federative is going25900:17:11,200 --> 00:17:15,920to be cutting interest rates to propup the weakening economy, so rates will26000:17:15,960 --> 00:17:19,599be lower down the road. Theyield curve inverted on April first of twenty26100:17:19,640 --> 00:17:25,039two, and last week we askis this an unusually long time for the26200:17:25,079 --> 00:17:30,319yield curve to be inverted? Andit is not surprisingly. Over the last26300:17:30,359 --> 00:17:33,119fifty years, the typical inversion hasbeen under ten months. That's been the26400:17:33,160 --> 00:17:40,319average, under ten months. We'recurrently at fifteen months. Interestingly, recessions26500:17:40,319 --> 00:17:45,680tend to start within eighteen months ofthe yield curve inverting, which is kind26600:17:45,680 --> 00:17:49,720of interesting since the average inversion periodis ten months. That means that most26700:17:49,799 --> 00:17:56,119inversions there isn't a recession that followsthat would not be consistent with statistical norms.26800:17:56,640 --> 00:18:00,839Yeah, but we're getting close.If eighteen months is the is the26900:18:00,920 --> 00:18:06,920period before from inversion to recession,we're getting pretty down closed. Well.27000:18:06,920 --> 00:18:10,519It's kind of this whole market forthe last two years has kind of proven27100:18:10,559 --> 00:18:17,119why statistics and theories are kind ofjust are there because we look at history27200:18:17,160 --> 00:18:18,839and as money managers, you lookat history what happened and how do we27300:18:18,920 --> 00:18:22,839predict it? And that's what we'resaying. If the yield inverts, then27400:18:23,720 --> 00:18:27,839it has happened in the past,that is gonna be a recession leading that,27500:18:29,240 --> 00:18:30,720But it doesn't always happen. Andthat's what we're seeing right now is27600:18:30,759 --> 00:18:33,440how we're still waiting, waiting,waiting, And that's why you see a27700:18:33,480 --> 00:18:37,079lot of economists say that we're goingto be in a recession because that's just27800:18:37,119 --> 00:18:40,839how it's happened in history following aninversion of the yield curve. If you27900:18:40,920 --> 00:18:44,240if you predict a recession, youwill absolutely be right at some point,28000:18:44,400 --> 00:18:47,400at some point, like they stoppedwatch being right twice a day, exactly,28100:18:47,440 --> 00:18:48,839yeah, exactly, And it's theinvert. Yeah, you say recession28200:18:48,880 --> 00:18:52,160is coming, Oh, it wasjust two years too early. I think28300:18:52,200 --> 00:18:56,039one of the things that we lookat here at Greenberg Financial before we take28400:18:56,079 --> 00:19:00,720a position in something, we askourselves, if it doesn't work, how28500:19:00,759 --> 00:19:06,039do I explain why I did it? Here? Yeah, and right now28600:19:06,079 --> 00:19:11,240with the market up twenty seven percentoff of the October low just October and28700:19:11,440 --> 00:19:17,039up fifteen percent for the year,it's hard to explain why you bought most28800:19:17,079 --> 00:19:22,000things. So we have not beenbuying most things. We've been trimming exactly.28900:19:22,240 --> 00:19:23,640And that's what we're talking about,because we did have gains in Nvidia29000:19:23,640 --> 00:19:29,920in different stocks. If your risktolerance allowed for that kind of correct everybody29100:19:30,000 --> 00:19:33,839can take the Nvidia's up and downs. Balanced account typically isn't going to have29200:19:33,960 --> 00:19:36,599much Nvidia. They'll have it inthe ETF form. Yeah, yeah,29300:19:36,759 --> 00:19:40,400exactly, but exactly. Yeah,I can't hurt to take that. And29400:19:40,400 --> 00:19:44,079then that's what we do look atbecause we can't necessarily why why would you29500:19:44,079 --> 00:19:45,839want to buy it at the twoweek guys, it just doesn't make sense29600:19:45,839 --> 00:19:48,559to us when we're trying to managesomebody's money, especially if they're more on29700:19:48,599 --> 00:19:52,759the balance side just doesn't make sense. But there always is opportunities in the29800:19:52,799 --> 00:19:55,960markets. You just got to findthem. Like I mean, for instance,29900:19:56,000 --> 00:19:59,440take Disney. A lot of thesecompanies, a lot of these growth30000:19:59,480 --> 00:20:02,960companies, that big companies, goodcompanies, Apple, Amazon, Google and30100:20:03,160 --> 00:20:06,640Video Meta and all them or haverun up to fifty two week highs,30200:20:06,640 --> 00:20:10,359if not all time highs, andthen he got Disney that's just down right30300:20:10,359 --> 00:20:11,839now. It's in the nineties,it's down quite a bit from it's all30400:20:11,839 --> 00:20:15,680time high, but it's still Disney, and it's still a good company,30500:20:15,680 --> 00:20:18,920and they're still trying to put itinto the right direction with Bob Iger taking30600:20:18,000 --> 00:20:22,680back over again and trying to gowith his vision again. There's still a30700:20:22,720 --> 00:20:26,400good company. So if your restaurantallows for that, it is that's in30800:20:26,480 --> 00:20:29,319the buying opportunity, right there ishow we kind of view that. But30900:20:29,359 --> 00:20:33,160we're not going to go chasing thefear of missing out trade the magnificence seven.31000:20:33,240 --> 00:20:37,079Yeah, we're not in the businessof the trading or chasing that.31100:20:37,240 --> 00:20:41,079We'd rather take the cash and bepatient. And it's just the hardest thing31200:20:41,079 --> 00:20:44,160in the market like this, rightAnd one of our number one objectives is31300:20:44,240 --> 00:20:48,200return of the money. Return onthe money is important. But one of31400:20:48,200 --> 00:20:52,119the things that we look at hisreturn of the money. Yeah, in31500:20:52,160 --> 00:20:56,319the perfect world, we would haveno downside, just outside Well that's not31600:20:56,400 --> 00:21:00,880realistic, but we like to keepthe downside. We like to concentrate more31700:21:00,880 --> 00:21:06,079on minimizing the downside than maximizing theupside. Could you have to do one31800:21:06,160 --> 00:21:08,200or the other. Yeah, Imean that's why we've put the hedge on31900:21:08,240 --> 00:21:11,880and we've had our headge on,which is I mean it's not the whole32000:21:11,880 --> 00:21:14,440account, it's just five percent,ten percent of the account, but we've32100:21:14,440 --> 00:21:18,799had the hedge on for the downsideprotection in case it does happen. We're32200:21:18,799 --> 00:21:21,240playing the costious side and we've been. That's been our montra for the last32300:21:21,279 --> 00:21:26,119few months. I think I saidlast week that I was nervous enough about32400:21:26,200 --> 00:21:29,160the strength of the market that Iwish we would have taken all of the32500:21:29,759 --> 00:21:32,319heade off. So that must bea good sign. Well not yet.32600:21:33,400 --> 00:21:37,039Yeah, but just like economists,you know, you predict the accession just32700:21:37,079 --> 00:21:38,880two years too late. But we'drather be on the coustious side for part32800:21:38,880 --> 00:21:42,759of the portfolio, just to havethat protection. Because also we are working32900:21:42,799 --> 00:21:48,519with clients who are retirees who theiraccounts or their money they're not accumulating anymore,33000:21:48,039 --> 00:21:49,720so they want to be able tosleep at nice So it's nice.33100:21:49,759 --> 00:21:52,799They liked the idea of having ahedge on in case the markets do turn33200:21:52,839 --> 00:21:56,240and you can't expect you don't expectit. Yeah, and that's why you33300:21:56,279 --> 00:21:57,880have a little bit of growth,you have a little bit in value in33400:21:57,920 --> 00:22:03,240the dividend pain stile. We've gota model that we put together. Yeah,33500:22:03,279 --> 00:22:04,720speaking of the model, that's alsowhy we're in the model. We33600:22:04,759 --> 00:22:10,200put together seventy tfs that cover thebroad markets, and we put no more33700:22:10,200 --> 00:22:15,759than roughly twenty five percent into anaccount with our model, typical account in33800:22:15,839 --> 00:22:18,119the model. And the reason forthat is because we don't know if the33900:22:18,160 --> 00:22:22,640markets take off and run like theyare right now. You don't you can't34000:22:22,680 --> 00:22:23,880predict that, like we weren't predictingit, but all of a sudden it34100:22:25,079 --> 00:22:29,240is taken off and running. Atleast our clients portfolios are invested in the34200:22:29,559 --> 00:22:33,319broad market, so they are seeingsome of those were participating exactly. Our34300:22:33,319 --> 00:22:37,839accounts are growing nicely, and thatmodel we rebalance the model. We don't34400:22:37,000 --> 00:22:40,880ever really take it all out andput it all in. That model stays34500:22:40,920 --> 00:22:45,640invested. That's just part of yourportfolio. Right. The oil is up34600:22:45,640 --> 00:22:48,599a dollar sixty on a week toseventy one eighty. Gold was up eight34700:22:48,599 --> 00:22:52,599bucks last week to nineteen seventy.Again, that spread on the between the34800:22:53,519 --> 00:22:57,200ten year and the two year wideneda little bit, which is not very34900:22:57,200 --> 00:23:02,200good if you're bullish. Three pointeight percent as a ten year treasury,35000:23:03,000 --> 00:23:07,079four point seven is a two yeartreasury, and I actually personally got five35100:23:07,119 --> 00:23:12,519and a quarter on a one yeartreasury on Thursday of last week. Nice.35200:23:12,720 --> 00:23:17,519Yeah, that's government guaranteed with nostate income tax. Five and a35300:23:17,599 --> 00:23:22,960quarter Bitcoin down for a fourth straightweek. We saw the regional banks continue35400:23:23,000 --> 00:23:26,799to rebound. A lot of thathas to do with the strength of the35500:23:26,839 --> 00:23:29,440market, but a lot of italso has to do with there hasn't been35600:23:29,480 --> 00:23:33,400another shooter drop yelling. Yeah,there's been nobody else. Yeah, I35700:23:33,440 --> 00:23:38,440mean and the and there. Peoplethink that it's over because of the the35800:23:38,559 --> 00:23:42,759FEDS or the government stepped in quickenough with First Republic that they think it's35900:23:42,839 --> 00:23:45,599they caught it and they're not goingto let another two thousand and eight happen.36000:23:45,880 --> 00:23:49,319And if it's all about it isall about consumer confidence. The amount36100:23:49,359 --> 00:23:53,640of money we have behind the accountis not enough to pay everybody, every36200:23:53,640 --> 00:23:59,200bank account in the country. Soit becomes a situation of consumer confidence.36300:23:59,200 --> 00:24:03,960And right now the consumer confidence inthe regional banks has stabilized. I don't36400:24:03,960 --> 00:24:07,359want to see it's growing, becauseit's not growing, but it has stabilized.36500:24:07,400 --> 00:24:11,160I don't hear anybody talking about itanymore. I'm not getting any more36600:24:11,160 --> 00:24:15,279calls about insurance. What's what aremy accounting shirt? I'm just not hearing36700:24:15,319 --> 00:24:19,680that anywhere. Yeah, and we'regonna have a brief break here. We'll36800:24:19,680 --> 00:24:23,480be back with Melissa Hand from AllAmerican Lending talking a little bit about what's36900:24:23,480 --> 00:24:30,920going on in the mortgage market.Thanks for listening, say it's all good37000:24:30,920 --> 00:24:34,400morning again. This is the Father'sDay edition of the Money Matters Show.37100:24:34,440 --> 00:24:40,319I'm Dave Sherwood. I'm here withDylan Greenberg and two empty chairs except one's37200:24:40,319 --> 00:24:42,240full now actually, actually I onlyhave one empty chair. Yeah. We37300:24:42,319 --> 00:24:45,440got Melissa Hand from All American Lending, and yere, how you doing,37400:24:45,480 --> 00:24:48,160Melissa. I'm doing well, thankyou. Ol. Yeah, So we37500:24:48,240 --> 00:24:52,640bring her on to talk about themortgage industry and the lending and everything that's37600:24:52,680 --> 00:24:55,880been going on in that industry.Have you seen anything different? I know,37700:24:56,000 --> 00:24:59,440rates they seem to kind of he'soff last back a little bit.37800:24:59,680 --> 00:25:03,359Yeah. Um, the feens didn'traise it this month, but you know,37900:25:03,400 --> 00:25:07,000we'll see they're thinking maybe they'll raiseit a couple more times because inflation38000:25:07,200 --> 00:25:12,680is, you know, still veryhigh. However, Um, they did38100:25:14,119 --> 00:25:21,920raise the loan limits to seven fora conforming loan to seven twenty six,38200:25:22,079 --> 00:25:26,480seven hundred and twenty six thousand,and an FHA to four hundred and seventy38300:25:26,480 --> 00:25:30,680two thousand. So I explain conformingloan. I know what it is because38400:25:30,680 --> 00:25:33,720they used to do market. Um, it's a loan where you can just38500:25:33,799 --> 00:25:40,640put five percent down. And ifyou go into a jumbo loan, which38600:25:40,680 --> 00:25:45,799is a loan amount above the sixseventy two or seven twenty six, excuse38700:25:45,839 --> 00:25:49,640me, I got the numbers mixedup. Um, you go into jumbo38800:25:49,680 --> 00:25:55,960pricing and those you have to putten percent down minimum, and their pricing38900:25:56,119 --> 00:26:00,799is a lot higher. Conforming loansare are essentially the way to gain you39000:26:00,799 --> 00:26:03,039can get right. The VA loanis by far the best you can get39100:26:03,079 --> 00:26:07,599and by the way, they deserveit absolutely so you couldn't agree more,39200:26:07,759 --> 00:26:11,039um, you know, and they'realso on they have a program called home39300:26:11,039 --> 00:26:15,920Ready for first time homebuyers. Anybodywho has not owned a home in the39400:26:15,000 --> 00:26:21,920last three years can qualify for theprogram. And they're raising the income limits39500:26:22,000 --> 00:26:26,279on that, which is really nicebecause if you fall you know right now39600:26:26,319 --> 00:26:30,079that income woman is like sixty twothousand or something like that. If you39700:26:30,160 --> 00:26:33,440make more than that, you don'tqualify for the program. So they're raising39800:26:33,440 --> 00:26:37,720it so more people can can buyhomes. And that's only three percent down,39900:26:38,079 --> 00:26:41,200and plus the mortgage insurance is alot less. Now this is for40000:26:41,319 --> 00:26:45,920who, yeah I heard it,but time home buyers that have not owned40100:26:45,960 --> 00:26:51,599a home for the past three years. So but if you if you're a40200:26:51,599 --> 00:26:56,160first time HomeBuyer, you technically neverowned a home. Well, they also40300:26:56,200 --> 00:27:00,559include people who have not owned ahome within that's trying to clarify. If40400:27:00,599 --> 00:27:03,079you have not owned a home,if you've been renting for the last three40500:27:03,160 --> 00:27:07,319years, correct, then you qualifyfor that program if your income limits or40600:27:07,400 --> 00:27:11,640your income there's three down three percentdown. Is there mortgage insurance, there's40700:27:11,680 --> 00:27:15,480there's mortgage insurance, but it's lessthan conforming and there's also the rates are40800:27:15,559 --> 00:27:18,680less than confu Talk a little bitabout mortgage insurance for people that don't know40900:27:18,720 --> 00:27:22,599what that mortgage insurance. You're gonnahave mortgage insurance anytime you put less than41000:27:22,640 --> 00:27:26,160twenty percent down. That's just fanning. And that's not that's not insurance on41100:27:26,200 --> 00:27:30,079the house. No, that's nothomeowners insurance. It's mortgage insurance. It's41200:27:30,079 --> 00:27:38,920really an insurance policy. You're payingout of your out of your check,41300:27:40,359 --> 00:27:45,920you know, on your account forthat that basically pays for the lenders insurance41400:27:45,960 --> 00:27:49,480to insure your loan so that ifyou ever foreclose or anything like that,41500:27:49,559 --> 00:27:52,839they get the benefits of the insurancepolicy. So the purpose of that of41600:27:52,880 --> 00:27:59,240the mortgage insurance is essentially insurance againstdefault. Correct, and it's an insurance41700:27:59,319 --> 00:28:03,599premium of pain, and the beneficiaryis the lender. Lender cracks. But41800:28:03,759 --> 00:28:06,920doesn't the mortgage insurance go towards thetwenty percent down? Like once you hit41900:28:06,960 --> 00:28:11,079twenty percent, you're done with mortgageinsurance. And say it's one hundred dollars42000:28:11,079 --> 00:28:14,480a month, Each one hundred dollarsgoes towards you gotta wait at least two42100:28:14,519 --> 00:28:18,359years. And if you're you know, if your house goes up, you42200:28:18,400 --> 00:28:22,720know, twenty percent or fifteen percentor whatever it is in two years or42300:28:22,920 --> 00:28:26,920less than two years, you haveto refinance the whole thing in order to42400:28:27,599 --> 00:28:30,079get it taken off. It's agood point. So you've got to pay42500:28:30,079 --> 00:28:33,519that mortgage insurance for at least Isn'tit funny that we're even talking about this,42600:28:34,000 --> 00:28:38,680well, that prices could go up. The average appreciation in real estate42700:28:38,720 --> 00:28:42,119historically it's three percent per Yeah,that we're talking about if it goes up42800:28:42,200 --> 00:28:47,799more than twenty percent in two years? Are you serious? It's been a42900:28:47,839 --> 00:28:51,119crazy market the last few years.It's a California kind of thing, right,43000:28:52,000 --> 00:28:53,720Yeah, I think apparently it hasbeen. Though, I'm just absolutely43100:28:53,720 --> 00:28:56,279shocked and less see you see itmore than I do. I'm absolutely shocked43200:28:56,279 --> 00:29:00,079at prices that I see when how'sthis cell? Well, this is the43300:29:00,119 --> 00:29:07,799problem they've uh Fannie Mae and FreddieMack and at the HUD has UH deemed43400:29:08,079 --> 00:29:17,400Arizona a declining state. So yeah, and our supply system is next to43500:29:17,519 --> 00:29:22,799nothing, um, especially here inTucson and Phoenie, really anywhere. When43600:29:22,799 --> 00:29:27,119they say a declining stagium means theythink that the house prices are declining,43700:29:27,839 --> 00:29:33,680and so we get hits hits forthat. I feel like I have seen,43800:29:33,799 --> 00:29:36,400like you on Zilla, you seeprice cuts more often than you did43900:29:36,640 --> 00:29:41,359a year and a half ago.Well, that's because they're asking stupid amounts.44000:29:41,599 --> 00:29:45,720So maybe that's what they're looking at. I had one that didn't the44100:29:45,759 --> 00:29:51,000price the other day, and they'reasking stupid amounts, and you know,44200:29:51,119 --> 00:29:56,039unfortunately they went out and remodeled thewhole thing and put way too much money44300:29:56,160 --> 00:30:00,880into this house. And just likeputting us pool in, when you put44400:30:00,880 --> 00:30:03,000a swimming pool in your house,it costs eighty thousand dollars, it's only44500:30:03,000 --> 00:30:07,920going to give you a value aboutfifteen to twenty thousand extra. So people44600:30:07,920 --> 00:30:10,519don't understand that. You know,you go and remodel your whole house,44700:30:10,559 --> 00:30:14,119it's not going to give you ninetythousand that you put in remodeling it.44800:30:14,119 --> 00:30:17,200It's just not I heard that.I've heard that the best place to put44900:30:17,240 --> 00:30:22,440remodel money is the master bath andthe kitchen. The kitchen and the bathrooms45000:30:22,559 --> 00:30:27,720are the best place to remodel.Yeah, that is I used to in45100:30:27,759 --> 00:30:34,400your opinion, does solar come closeto enhancing the value of the house anywhere45200:30:34,400 --> 00:30:40,599near would it cost? No?Okay, so that and that's kind of45300:30:40,599 --> 00:30:42,960because that's kind of what I've beenseeing a Dylan. You bought your house.45400:30:44,119 --> 00:30:45,519I bought my house that solar onit. All I did. You45500:30:45,519 --> 00:30:48,799could have cared. It's cool.You could have cared, though, I45600:30:48,799 --> 00:30:52,119mean I was still about the house. No, but it wouldn't It didn't45700:30:52,119 --> 00:30:52,880matter. You said, all,I gotta buy that house because they got45800:30:52,920 --> 00:30:55,960solar. Yeah, exactly. No, if it didn't have a solar,45900:30:56,000 --> 00:30:57,400I was still gonna buy it.Yeah. I didn't enter your thought process.46000:30:57,680 --> 00:31:00,480No, they were just telling meabout it. And then I mean,46100:31:00,480 --> 00:31:03,200now it's cool. I see myelectric bills twenty five dollars a month.46200:31:03,319 --> 00:31:06,200Yeah, well, you're young enoughfor it to be able to pay46300:31:06,240 --> 00:31:07,680for itself. Not. Yeah,So it's like it's a lease. Good46400:31:07,680 --> 00:31:11,079point, it's a least I havelike nine more years on I have to46500:31:11,079 --> 00:31:12,839pay, So I have to paythat monthly payment and then my electric bill,46600:31:14,279 --> 00:31:17,279so it comes out to probably aroundthe same that I would have if46700:31:17,279 --> 00:31:21,079I didn't have solar. It's justelectricity, probably about the same price.46800:31:21,279 --> 00:31:25,640But you're again young enough for itto be the thing. I don't know46900:31:25,680 --> 00:31:27,720though, is at least it's likethey come take it in nine years or47000:31:27,799 --> 00:31:30,400is it just mine after nine yearsafter the lease is up. That's something47100:31:30,440 --> 00:31:34,920he probably needs to probably because alot of people buy them. Yeah,47200:31:34,920 --> 00:31:37,599I'm not sure if it's like leasta buyer. I gotta I think you're47300:31:37,640 --> 00:31:41,160paying for it. I could.They wouldn't come and take it off and47400:31:41,279 --> 00:31:44,319go away with it, would theycouldn't tell you? Yeah, I don't47500:31:44,319 --> 00:31:47,200know if you guys knew, youknow, I know, because they're a47600:31:47,279 --> 00:31:49,519lot of people will just buy themout right, Okay. I didn't realize47700:31:49,519 --> 00:31:52,680you could just random I mean thatdoesn't make sense. Why would you do47800:31:52,720 --> 00:31:56,759that when you're paying two fees,are paying electric and you're payments. Yeah,47900:31:56,799 --> 00:31:59,240because I mean, so it comesout to about one hundred bucks a48000:31:59,279 --> 00:32:04,279month for electricity and my solar monthlypayment. So that's probably what my electricity48100:32:04,279 --> 00:32:06,640would be if I didn't have solar. So that I think, I think48200:32:06,680 --> 00:32:08,640it maybe it would make sense tobuy it like that, I'm buying it.48300:32:09,039 --> 00:32:12,279I don't know. I have todouble check that. Yeah, sure,48400:32:12,559 --> 00:32:14,960I don't know. If you Idon't know if you knew I did48500:32:15,000 --> 00:32:17,519not. We've discovered over the lastfew weeks that Dylan knows precious little about48600:32:17,559 --> 00:32:22,519his solar system. Well you knowwhat solar system. Yeah, I'm technically48700:32:22,599 --> 00:32:25,880challenged, so I'm further back thanhe is. Like I said, I48800:32:25,880 --> 00:32:30,920didn't buy the house because oh no, I'm too old. Well, you48900:32:30,960 --> 00:32:32,720know it never benefit me. No, you bring it up. I've got49000:32:32,839 --> 00:32:37,839my next door neighbors are in theearly eighties and they're having a solar installed,49100:32:37,839 --> 00:32:40,240and I'm thinking that's pretty optimistic.Maybe they're leaving it for their kids.49200:32:40,799 --> 00:32:44,839I don't know. But if itdoesn't enhance the value of your house49300:32:45,599 --> 00:32:49,200and you're never gonna get your moneyback, what's the point. Well,49400:32:49,319 --> 00:32:52,640there's a lot of good salesman.You're absolutely right, that is correct,49500:32:52,279 --> 00:32:58,279does absolutely correct good salesman. Wehad to got a listener Ron Lenzon last49600:32:58,279 --> 00:33:02,319week talking about solar and we talkedabout why people buy systems that are way49700:33:02,400 --> 00:33:07,400bigger than what they need, andhe explained that there's some very good salesman49800:33:07,440 --> 00:33:10,240out there. Yes, on topof that, they can help their neighbors49900:33:10,240 --> 00:33:15,119as well. Their neighbors can fishoff of it, get the whole neighborhood50000:33:15,160 --> 00:33:20,279going off one group of panels.So what's the conforming rate? What's the50100:33:20,440 --> 00:33:25,160what's if you're twenty percent down inreally good a credit? UM? Probably50200:33:25,200 --> 00:33:31,480six six point five. Okay.It's interesting that that the maximum conforming loan50300:33:31,759 --> 00:33:37,599level is now seven twenty six correct. I refinanced my house seven twenty six50400:33:37,680 --> 00:33:39,799two, I think, to beexact, crazy, I refinanced my house50500:33:39,839 --> 00:33:44,960when rates got down to nothing UMabout four or five years ago with you50600:33:45,000 --> 00:33:47,640guys, and I think the maximumconforming loan level then, Actually no,50700:33:47,720 --> 00:33:51,799it was it was when I boughtthe house I'm in now, which was50800:33:51,960 --> 00:33:55,160almost eleven years ago. The maximumconforming loan level eleven years ago is four50900:33:55,279 --> 00:34:00,200twenty Yeah. When we started inthe yearly that I needs, it was51000:34:00,319 --> 00:34:02,759to twelve yeah, I think.But I mean eleven years have gone from51100:34:02,759 --> 00:34:08,840four twenty seven six, and isthat that's where that's where pricing is going51200:34:08,920 --> 00:34:13,960for houses? I mean, youknow, people couldn't afford them, and51300:34:14,159 --> 00:34:20,519they still can't afford them. Imean I I just closed on a a51400:34:20,599 --> 00:34:29,800double wide UM and eight five sevenone three area code or ZIP code UM51500:34:30,079 --> 00:34:34,760two hundred and four thousand for adouble wide mobile home. Correct, it51600:34:34,840 --> 00:34:40,320wasn't a modular it was actual mobilehome home two hundred and four thousand,51700:34:40,320 --> 00:34:44,760and I mean, it's it's ridiculous. I mean it was an eye.51800:34:44,960 --> 00:34:49,000I mean that they've taken the previousowners really taken care of it. Man.51900:34:49,280 --> 00:34:54,559But you know, I don't know, it's it's it's something that uh52000:34:54,599 --> 00:35:00,119it opened Drysda mean, I waslooking at home down in the Sam Hughes52100:35:00,159 --> 00:35:05,239area probably three or four years ago, in three fifty, four fifty another52200:35:05,400 --> 00:35:08,480seven and eight. Yeah, andthat's a hot area. It is a52300:35:08,519 --> 00:35:14,880hot area, and my area ishot. The house in my historical areas52400:35:14,960 --> 00:35:19,440and my street don't sell very quickly, you know, because there's no land52500:35:19,440 --> 00:35:22,159to build on anymore. Yeah,And you know, but the thing is52600:35:22,159 --> 00:35:28,519is I'll never sell ever. Yeah, with a mortgage rate you've got.52700:35:29,039 --> 00:35:32,679We do have a lot of clientsthat have dealt with Melissia and her husband52800:35:32,760 --> 00:35:37,800Dave. They own All American lending. This next doctor office. And if52900:35:37,840 --> 00:35:42,119you're not using All American lending andyou're paying too much, it's that simple.53000:35:42,400 --> 00:35:45,800Well, you know, we weare the house. We don't split,53100:35:45,679 --> 00:35:50,960you know, with three hundred otheremployees. We love you. Thanks53200:35:50,960 --> 00:35:53,519for coming on All American Lending.Give us a call five two zero five53300:35:53,599 --> 00:35:57,400four four four nine on nine.We'll put you in touch. Thank you53400:35:57,519 --> 00:36:05,320say it's all welcome back. You'relistening to the Money Matter Show. We're53500:36:05,320 --> 00:36:07,239at the bottom of the hour,and I want to thank Melissa Hand for53600:36:07,280 --> 00:36:12,199coming on from All American Lending.They're great, they do great, they53700:36:12,239 --> 00:36:15,039get great race because like she wassaying right at the end, they they're53800:36:15,079 --> 00:36:17,719the house. They can do prettymuch what they want. Yeah, when53900:36:19,159 --> 00:36:22,199they out of the house meeting thatthey own the company. They don't have54000:36:22,239 --> 00:36:24,280to answer to anybody. They're nottrying to sell the mortgage to somebody else54100:36:24,480 --> 00:36:29,000exactly. They are as flexible asas you can get. And if you54200:36:29,239 --> 00:36:32,360are having a difficult time getting amortgage for one reason or another, they54300:36:32,360 --> 00:36:37,440are outstanding at making that happen.They are yep, and they're located at54400:36:37,480 --> 00:36:40,159our building, forty five eleven NorthCampbell Avenue. So if you ever want54500:36:40,199 --> 00:36:42,639to give them a call, justgive us a call and we can get54600:36:42,639 --> 00:36:44,920you in touch with them. Forthe week. Though, like we were54700:36:44,920 --> 00:36:47,599talking about just during our break,is just a great week. The Dow54800:36:47,679 --> 00:36:51,280was up one point three percent.That's and P five hundred was up two54900:36:51,280 --> 00:36:54,440point six percent, the NAZAC wasup three point two percent. Russell two55000:36:54,440 --> 00:36:58,000thousand, which is a small cap, kind of lagged. It was up55100:36:58,039 --> 00:37:00,280five point five percent, which isI've actually been doing a lot better than55200:37:00,280 --> 00:37:05,159the other ones recently. And thenthe equal weighted S and P five hundred55300:37:05,199 --> 00:37:07,679was up two point five percent.So overall the market just did well.55400:37:08,039 --> 00:37:13,360Yeah, they like the idea ofthe FED rates pausing, and it's the55500:37:13,480 --> 00:37:15,440kind of the outlook of it inthe sense that, like you're saying,55600:37:15,440 --> 00:37:17,840all the news is good news,they paused it. We're looking okay,55700:37:17,880 --> 00:37:22,039maybe this is the start of somethingof the cuts soon rather than later.55800:37:22,360 --> 00:37:25,360It's been about a year and ahalf since I felt this fear of missing55900:37:25,400 --> 00:37:30,320out, because that's what you're feeling. Well, I've got cash. I56000:37:30,320 --> 00:37:31,719need to I need to put thatcash to work. I got I gotta56100:37:31,800 --> 00:37:36,800quit being so conservative, the typesof things that you go home at night56200:37:36,800 --> 00:37:38,840with calluses on your hands from pullingin the reins. Right, yeah,56300:37:38,880 --> 00:37:44,119exactly, because we know this doesn'tlast forever. Yep, it doesn't.56400:37:44,159 --> 00:37:46,280And you know somebody that just cameinto a lot of cash. Michael Jordan.56500:37:46,360 --> 00:37:50,000You see, he's sold the hornets, sold the hornets too. He56600:37:50,079 --> 00:37:52,119sold the hornets to the guy whoowns one of the guys. There's two56700:37:52,159 --> 00:37:57,039guys. One is a partner atthis big private equity firm in New York56800:37:57,280 --> 00:38:01,199and another guy is I forget itfor his name, but he owned Melvin56900:38:01,280 --> 00:38:06,440Capital, the one that got killedon the game stopped short when they got57000:38:06,440 --> 00:38:07,800the short squeeze. Yeah, theywere short and they got killed. They57100:38:07,840 --> 00:38:10,639lost roughly fifty six percent. Theyhad to close. He had to get57200:38:10,719 --> 00:38:15,320money and fused from Ken Griffin andCitadel Capital and all of them to stay57300:38:15,320 --> 00:38:19,440afloat. But he's still worth fourand a million dollars and he's buying a57400:38:19,519 --> 00:38:22,000steak in the Hornets. It's amazing. What did Michael Jordan paid for them?57500:38:22,079 --> 00:38:25,800He paid two hundred and seventy fivemillion dollars in twenty two, seventy57600:38:25,840 --> 00:38:30,039five million more because he had aminority steak before then, and then he57700:38:30,039 --> 00:38:31,760had to pay two hundred seventy fivemore million to get the majority steak.57800:38:32,000 --> 00:38:36,840So what's just cost basis roughly threehundred seventy five million, I think is57900:38:36,880 --> 00:38:39,360what they said they sold it forI saw he sold it for three billion58000:38:39,360 --> 00:38:44,400dollars. But it's interesting because fourvalues the Hornets as a whole as one58100:38:44,440 --> 00:38:46,000point seven billion dollars and he's notthe sole owner. Yeah, I don't58200:38:46,039 --> 00:38:51,280think three would three seems a littlehigh. That's what the articles. Yeah,58300:38:51,400 --> 00:38:53,639it was on CNBC and they updatedthe article. Well remember back when58400:38:53,679 --> 00:38:59,960when the Golden State Warriors was itwe're on the market and different people were58500:39:00,119 --> 00:39:04,280bidden back and forth, not GoldenSet Warriors, La Clippers, all the58600:39:04,280 --> 00:39:07,760Clippers. Yeah, Bamberne he gotto go one point nine billion, then58700:39:07,800 --> 00:39:10,599I get goes too, and hegoes two point one billion, and Steve58800:39:10,599 --> 00:39:15,559Bomber, one of the founders ofMicrosoft, coming in to go three yeah,58900:39:15,679 --> 00:39:17,440three billion, and that was theend of it. Yeah, well,59000:39:17,440 --> 00:39:22,800I mean, yeah, exactly.You got the Hornets are their valuation59100:39:22,920 --> 00:39:25,280according to Fort Franks, twenty seventhout of thirty teams in the NBA.59200:39:25,400 --> 00:39:29,039Yeah, so I don't know howthey got the three billion. I wonder59300:39:29,079 --> 00:39:30,639if that number will change, becauseit's kind of interesting how he got almost59400:39:30,719 --> 00:39:35,320double what their valued at. Amazing, but he still comes into a lot59500:39:35,360 --> 00:39:37,599of money, and now he stillhas a minority steak, but he doesn't59600:39:37,599 --> 00:39:40,280want to be the majority anymore.Next week's calendar kind of quiet, Dylan,59700:39:40,519 --> 00:39:45,159No CPI, no FAD, nocorporate earnings. Although Wednesday is the59800:39:45,360 --> 00:39:50,320longest day of the year, yep. And for the people that struggle with59900:39:50,400 --> 00:39:52,079the summer shore, I always go, you know, starting Thursday, the60000:39:52,079 --> 00:39:55,239sun's going to be moving south.It's gonna be cool and off right.60100:39:55,519 --> 00:39:58,840Well, it takes a little whilefor that to happen, but mentally,60200:39:59,000 --> 00:40:01,519mentally, if you're thinking, well, that's the peak, Sun's moving south60300:40:01,559 --> 00:40:06,679again. But isn't it ironic thatwe live in a place where the longest60400:40:06,760 --> 00:40:10,920day of the year is often veryuncomfortable? Everything about that? No,60500:40:12,480 --> 00:40:15,880and uh, how the longest dayof the year is could potentially be the60600:40:15,920 --> 00:40:17,400hottest day of the year. Probablyright now it's gonna be the hottest par60700:40:17,400 --> 00:40:20,079of the sun. Did you wantthe shortest day of the year to be60800:40:20,079 --> 00:40:23,000the hottest day? Making the longestday because the sun's gonna be up?60900:40:23,000 --> 00:40:28,800But yeah, no, we arewe finally hit summer. Yeah, we61000:40:28,880 --> 00:40:31,800just fent whistling through the graveyard,haven't we May no one hundred degree days61100:40:31,840 --> 00:40:35,559the first half of June, justlike you know, ninety five, there61200:40:35,639 --> 00:40:37,719was an eighty nine in there,and I'm like, what's going on here?61300:40:37,920 --> 00:40:40,519And now we're in the and Ithought, okay, now we're back61400:40:40,519 --> 00:40:43,960to the one h two, oneoh five, one oh eight. Yeah,61500:40:44,079 --> 00:40:46,159okay, it's I'll be I'll bein Illinois for the longest day of61600:40:46,159 --> 00:40:50,119the year and in the Midwest,that sun does not go down for You're61700:40:50,119 --> 00:40:52,559going to Illinois next weekend, righton Wednesday. So next weekend it's just61800:40:52,639 --> 00:40:55,719me and Todd. Yep, therewill be. So it's just the one61900:40:55,760 --> 00:41:00,119thing that's constant about Greenberg Financial isme. It isn't there always you are62000:41:00,159 --> 00:41:05,400always here, as it turns out, California in here. That's it.62100:41:06,000 --> 00:41:09,719China trying reported this is kind ofinteresting, trying to report a global exports62200:41:10,039 --> 00:41:15,880drop seven point five percent in May, and that's because US companies are moving62300:41:15,920 --> 00:41:19,159away. They're going to Vietnam,they're going to India, they're going to62400:41:19,239 --> 00:41:23,400other countries. And isn't that reallythe best weapon we have against China?62500:41:23,480 --> 00:41:27,400Yeah, because they need they needus way more than we need them.62600:41:27,639 --> 00:41:30,039Yeah, And that's why they're tryingto get this bricks going with their own62700:41:30,039 --> 00:41:34,239currency, so they can beat theUS dollar because they've figured that's the only62800:41:34,239 --> 00:41:36,679way they can try and take usdown. Okay, I'm gonna talk about62900:41:36,719 --> 00:41:39,199that because that's not even remotely goingto happen. Yeah, I just yeah,63000:41:39,199 --> 00:41:43,440that's their idea with it, andthey're getting more countries to join up63100:41:43,480 --> 00:41:45,039with They tried to when they triedto get them to do the wand and63200:41:45,039 --> 00:41:47,840then none of them wanted the wandso they had to go back to what63300:41:47,920 --> 00:41:51,360they did was they were doing themin wands, and then they converted them63400:41:51,360 --> 00:41:53,920immediately to dollars. It's like,wow, now they're trying to create their63500:41:53,920 --> 00:41:57,119own currency. I don't know wherethey stand with that. But also those63600:41:57,159 --> 00:41:59,440countries that are part of it,like Brazil and all, they just want63700:41:59,440 --> 00:42:02,280to trade in their own currency.So I don't think China is. It's63800:42:02,280 --> 00:42:05,559not working out for them like theythought it would. Well, we can63900:42:05,559 --> 00:42:07,400actually talk about that right now ifyou want to have a We have a64000:42:07,400 --> 00:42:10,599copy of an article from Barons Marchthirty first, probably one of the most64100:42:10,639 --> 00:42:15,519sensible articles I've ever seen regarding thatbecause you hear so much talk about it,64200:42:15,760 --> 00:42:19,400and the reason you hear talk aboutthe dollar being replaced by other currencies.64300:42:19,880 --> 00:42:23,760Is because the gold dealers want youto fear the dollar and the bitcoin64400:42:24,000 --> 00:42:30,320dealers want you to fear the dollar. So everything that they do is promoting64500:42:30,360 --> 00:42:34,039the demise of the US dollar,when in fact, the US dollar is64600:42:34,079 --> 00:42:37,519not demising in any way, shapeor form. There are efforts to undermine64700:42:37,599 --> 00:42:42,199the dollar. That's one of oneof China's things. But here's an interesting64800:42:42,239 --> 00:42:46,159thing. China has a Belt andRoad initiative. Is the government program called64900:42:46,320 --> 00:42:53,679the Belt and Road initiative. Chinamade those loans from the Belt and Road65000:42:53,760 --> 00:42:59,880initiative in China, right, Theymade those loans in one but recipients quickly65100:43:00,159 --> 00:43:07,000swamps them into dollars. So nowChina banks are financing these belt road initiatives65200:43:07,280 --> 00:43:09,679with US dollars. Yeah, inChina. So I mean, that's how65300:43:09,679 --> 00:43:15,679well it's working out for him.The one other thing is the dollar.65400:43:15,239 --> 00:43:17,920And if you like a copy ofthis article, we certainly can sent it65500:43:17,960 --> 00:43:21,800to you. It's out of Baronsfrom March thirty first, if you want65600:43:21,800 --> 00:43:24,760to go online and google it.Here's the I think the salient point Dylan65700:43:24,840 --> 00:43:30,480from this whole thing. The dollaris on one side or the other of65800:43:30,679 --> 00:43:36,519eighty eight percent of all currency tradesin the world, eighty eight percent in65900:43:36,639 --> 00:43:42,599nineteen eighty nine. That was ninetyin nineteen eighty nine, So thirty four66000:43:42,719 --> 00:43:46,559years ago, it was roughly whereit is right now. So stop talking66100:43:46,599 --> 00:43:50,519about the demise of the US dollar. Quit worrying about it. That's the66200:43:50,599 --> 00:43:54,320media trying to fearmongerate. It's justfearmongerates going on in course thirty six years.66300:43:54,400 --> 00:43:58,400Well, and people that demand,people that benefit from the dollar,66400:43:58,760 --> 00:44:02,639of people doubting the dollar. Thedollars just recently hit a ten year high66500:44:04,119 --> 00:44:08,880in value. That's not something that'sbeing sold. Yeah, exactly right,66600:44:09,280 --> 00:44:14,679So just just relax about this andunderstand where when you read articles, look66700:44:14,760 --> 00:44:17,159and see who wrote them, andmost of the time it's from people trying66800:44:17,199 --> 00:44:21,079to sell you gold, are tryingto sell you a bitcoin. Yeah,66900:44:21,119 --> 00:44:23,360we see those gold commercials coming upa lot lately, and but we have67000:44:23,400 --> 00:44:27,960a lot more clients asking about goldbecause they're talking about fear of recession and67100:44:28,000 --> 00:44:30,159you got to buy gold now orlike then why are they selling gold because67200:44:30,199 --> 00:44:34,400they want their commission on it.Well, and you remember gold is priced67300:44:34,440 --> 00:44:40,400in dollars. Dollars tend to declineWhen interest rates decline, gold goes inversely67400:44:40,679 --> 00:44:46,960to dollars. So if interest ifgold, I'm sorry, gold is priced67500:44:47,039 --> 00:44:50,360in dollars, So if the dollargoes up, gold must go down.67600:44:50,960 --> 00:44:52,800Right, if the dollar goes down, gold must go up. So it's67700:44:52,840 --> 00:44:58,960not our great inflation heade because duringinflation you have rising interest rates, which67800:44:58,960 --> 00:45:05,480makes gold go down. Yeah,exactly. It's also I mean, someone's67900:45:05,480 --> 00:45:07,320got to find value in it.If you can't. Also, you can't68000:45:07,320 --> 00:45:10,159go to Like people are wanting togive gold so they can hold it like68100:45:10,159 --> 00:45:13,840a bricket gold. They feel saferwith it, They feel like they have68200:45:14,199 --> 00:45:16,119their value. But then if youhave no more dollars and you're using gold,68300:45:16,440 --> 00:45:19,000how are you gonna go to thegrocery store? How are you going68400:45:19,079 --> 00:45:21,159to go do this? How you'regonna pay your mortgage? You can't pay68500:45:21,159 --> 00:45:23,480it with gold. So that's theissue you run into. Two people now68600:45:23,480 --> 00:45:28,519are just watching these commercials and gettingscared, so they're thinking they have to68700:45:28,519 --> 00:45:30,760get a safe and fill it withgold. Do you ever wonder if gold68800:45:30,880 --> 00:45:35,760is such a spectacular investment, whyare you selling me yours? That was68900:45:35,800 --> 00:45:37,360what I was saying. Yeah,I was kind of wondering why would you69000:45:37,400 --> 00:45:39,360sell any of it? Why wouldyou ever sell any of it? If69100:45:39,400 --> 00:45:43,400it's gonna be the greatest thing ever, Why wouldn't you just keep it all?69200:45:43,440 --> 00:45:45,840Wouldn't you make more money if youheld it the way you're saying it?69300:45:45,079 --> 00:45:49,360Yeah, I guess maybe the commissionsare getting in the way of that.69400:45:49,480 --> 00:45:52,400Huh man, I would think.So. Hey, I've got a69500:45:52,400 --> 00:45:55,559friend that works in immigration. Wehear about the border and people flooding across69600:45:55,599 --> 00:45:59,400the border. You don't hear aboutit anymore. You don't hear you kind69700:45:59,440 --> 00:46:01,360of like the rain, you know, the warning Ukraine is still going on,69800:46:01,480 --> 00:46:07,119but you never hear about it becausebecause people just got exhausted, there's69900:46:07,159 --> 00:46:09,679nothing you can do about it.It's very frustrating. All it does is70000:46:09,760 --> 00:46:13,920irritate the crap out of you.It's the same with a border. There70100:46:13,960 --> 00:46:16,320isn't anything we can seemingly do aboutit. Nobody's in a position of power70200:46:16,360 --> 00:46:22,719seems to care so and what canwe possibly do about anyway? You think70300:46:22,760 --> 00:46:24,760while the immigration things may be quieteddown because I'm not hearing about it.70400:46:25,599 --> 00:46:30,000This buddy of mine said, herein Tucson, we process fourteen hundred people70500:46:30,079 --> 00:46:36,599a day, fourteen hundred people everyday. Wow, that's half of our70600:46:36,760 --> 00:46:42,880entire city's population every year. Thinkabout that. That's insane. So in70700:46:42,920 --> 00:46:47,039two years you've you've processed the entirecity of Tucson illegally, and you know,70800:46:47,159 --> 00:46:52,159then you release them and let themgo and hope they show uppe the70900:46:52,199 --> 00:46:54,360cell phone you gave them works whenyou go to call them to have them71000:46:54,360 --> 00:46:57,760come in for their hearing. Fiveyears from now, six years from now.71100:46:57,840 --> 00:47:01,360Ye's not a high percentage mass.That's why mass. Anyway, it71200:47:01,519 --> 00:47:07,639is still out there, it's stillgoing on, and it's although I will71300:47:07,679 --> 00:47:10,480say that it's it's we didn't getthe surge we were expecting from the title71400:47:10,679 --> 00:47:14,599forty two is it. Yeah.You kind of saw those videos of it71500:47:14,679 --> 00:47:19,119just flooding, real quiet, itseemed like it's stabilized. We'll be back71600:47:19,119 --> 00:47:21,960with the second hour of the MoneyMatter Show. We have Jonathon Sabelia.71700:47:22,840 --> 00:47:28,440I've got some interesting things to talkabout. Last week we had Ron Lan's71800:47:28,559 --> 00:47:32,840talk about electric vehicles and it reallygot me to thinking about electric vehicles.71900:47:32,880 --> 00:47:36,679And I've actually, over the lastweek or ten days, because I'm a72000:47:36,679 --> 00:47:42,440curious guy, I've become almost anexpert in the miss Tesla now in electric72100:47:42,519 --> 00:47:45,440vehicles, and that's some interesting thingsand one of the reasons I became an72200:47:45,440 --> 00:47:47,679expert. We'll talk to you rightafter this break. Thanks for listening.72300:47:52,039 --> 00:47:53,599Welcome back. You're listened to theMoney Matter Show. We are at the72400:47:53,679 --> 00:47:57,440top of the second hour. Gota lot going on in the markets.72500:47:58,000 --> 00:48:00,360A lot happened last week. Hewas a good week in the mark markets.72600:48:00,400 --> 00:48:01,920With the Fed pausing the rates.It seem like investors like that.72700:48:02,039 --> 00:48:05,679We're also coming up on the endof the quarter and we're just running to72800:48:05,760 --> 00:48:07,920it. Markets for the week,the dall was up one point three percent,72900:48:07,960 --> 00:48:12,400the SMP five hundred was up twopoint six percent, the Matz deck73000:48:12,519 --> 00:48:14,559was up the most. It wasup three point two percent, and the73100:48:14,599 --> 00:48:16,639Russell two thousand, the small capcompanies was up a half a percent.73200:48:17,119 --> 00:48:22,079So overall, markets just across theboard were up. And like we've been73300:48:22,119 --> 00:48:25,760talking about, we're kind of notconfused. We're just looking at it saying73400:48:25,840 --> 00:48:29,800what's going on, and the ideaof it just keeps running and we just73500:48:29,880 --> 00:48:31,159we know it's a handful of companies. I've really been running it for the73600:48:31,239 --> 00:48:36,599last few months, except this pastweek most companies were up, so it's73700:48:36,639 --> 00:48:39,039a whole thing. But this ideaof what we look at and what we73800:48:39,039 --> 00:48:42,920were talking about in the first hour, why we stay invested with our model73900:48:42,920 --> 00:48:45,039because you never know if the marketsis going to run like this, But74000:48:45,360 --> 00:48:46,679with it, you got to havea plan. And if you don't have74100:48:46,719 --> 00:48:50,159your plan, then you're kind ofjust going by the way wind and you74200:48:50,199 --> 00:48:52,760don't really know what's going on andyou're just happy right now because the market's74300:48:52,840 --> 00:48:54,320up. But what happens if themarkets turned down? Do you have an74400:48:54,320 --> 00:48:58,519idea of what's going on? Doyou have a game plan to kind of74500:48:58,519 --> 00:49:00,039try and mitigate your loss if youcan't and hedge it? You are you74600:49:00,079 --> 00:49:04,199doing that? If not, Isuggest you give us a call because we74700:49:04,280 --> 00:49:07,039have the tools to help you understandwhat the hedging is, what your plan74800:49:07,199 --> 00:49:09,679is, how to do it.We have a great financial plan. We've74900:49:09,679 --> 00:49:14,079been starting to use it this year. Clients are getting a lot of benefits75000:49:14,079 --> 00:49:16,239from it. They're kind of peaceof mind. We use the risk tolerance75100:49:16,320 --> 00:49:21,119question there to get you an ideaof what your risk level is, because75200:49:21,159 --> 00:49:23,840are you somebody that can invest intothese magnificent seven stocks and video? Apple75300:49:23,920 --> 00:49:27,960can you or are you somebody thatneeds to go a little more conservative and75400:49:27,960 --> 00:49:30,320maybe go the ETF way which givesyou more diversification. Can you go more75500:49:30,360 --> 00:49:34,400growth? Do you need more value? Do you need income? Those are75600:49:34,400 --> 00:49:37,360all questions that we can help answerthrough the financial plan. It's helpful,75700:49:37,400 --> 00:49:40,360it's free. We just want tobe able to help you, guys have75800:49:40,440 --> 00:49:44,320a peace of mind with your financiallife as you're getting ready for retirement.75900:49:44,320 --> 00:49:46,199If you're in retirement, we dothe free second opinions. We just look76000:49:46,239 --> 00:49:50,840at everything for the idea to helpyou out. You guys have been seeing76100:49:50,840 --> 00:49:53,440you and TI have been seeling alot of people and it is not just76200:49:53,639 --> 00:50:00,079exclusively for new people. If youare an existing client of Greenberg Financial and76300:50:00,119 --> 00:50:01,599you listen to the radio show andgo, but I'd really like to do76400:50:01,639 --> 00:50:06,800that, you are absolutely welcome tocommend and we'll do that with you absolutely76500:50:07,000 --> 00:50:09,000hundred percent part of your fee.YEA, we know not everybody's done it76600:50:09,000 --> 00:50:12,719over the years, because this isa pretty new program that we just switched76700:50:12,760 --> 00:50:15,639over to in twenty three, Butwe'd be happy to help you guys.76800:50:15,079 --> 00:50:19,119Yeah, I don't want to doa scool doing a school existing clients,76900:50:19,159 --> 00:50:22,000and most existing clients are pretty comfortablewith Greenberg Financial, pretty comfortable of where77000:50:22,000 --> 00:50:24,960we're going and have a pretty goodidea what the plan is. If you77100:50:25,039 --> 00:50:28,400don't want, if you're uncomfortable forany reason, give us a call.77200:50:28,559 --> 00:50:30,400Yeah, we absolutely I do that. Things change over the years too.77300:50:30,480 --> 00:50:32,840I mean, you might have beena client here for ten fifteen years,77400:50:34,480 --> 00:50:36,800and a lot can happen in tenfifteen years, So that's what we can77500:50:36,800 --> 00:50:38,880help. Kind of show too.Was it outlook look like with the new77600:50:39,000 --> 00:50:43,840developments in your life? I saidearlier in the show that Ron came on77700:50:43,920 --> 00:50:45,480last week and talked a little bitabout electric vehicles, and if you have77800:50:45,559 --> 00:50:50,400no interest at all in electric vehicles, would never consider one for the rest77900:50:50,440 --> 00:50:54,159of your life. You can takethe next ten minutes and go have a78000:50:54,239 --> 00:50:59,760soda or something, because I'm goingto talk about electric vehicles. Ron perked78100:50:59,800 --> 00:51:02,159my interest, piqued my interest,if you will. I argued with him78200:51:02,760 --> 00:51:09,880over the dealing, just argued withhim a little bit online, discuss a78300:51:09,880 --> 00:51:14,159little thing online. Then I decidedI was going to start checking it out78400:51:14,159 --> 00:51:19,679for myself. I started visited theTesla dealership. When looking around, really78500:51:19,679 --> 00:51:24,239started doing some homework on this wholeelectric vehicle thing. We've we saw electric78600:51:24,360 --> 00:51:30,000vehicle sales increase. They were onlyfour percent back in twenty twenty electric vehicle78700:51:30,039 --> 00:51:35,599sales in twenty four and twenty excuseme, two years later, they'd gone78800:51:35,639 --> 00:51:39,559from four percent to fourteen percent.They're expected to be eighteen percent this year78900:51:39,880 --> 00:51:45,320and by twenty twenty five expected tobe twenty five percent of all sales are79000:51:45,320 --> 00:51:47,679going to be electric vehicles. Soit's of interest to a lot of people.79100:51:47,679 --> 00:51:52,960It's growing exponentially. I don't wantto be forced to buy an electric79200:51:52,039 --> 00:51:57,320vehicle. I don't think we're goingto get to all electric vehicles by twenty79300:51:57,400 --> 00:52:00,840thirty in any way, shape orform. But there's some things about electric79400:52:00,960 --> 00:52:02,639vehicles that you need to know.And I think, Dylan, one of79500:52:02,679 --> 00:52:07,320the most significant things that I discoveredover the last week or so in exploring79600:52:07,360 --> 00:52:13,920this whole area is companies have beenreally good in figuring out how to build79700:52:14,000 --> 00:52:17,679electric vehicles. What they have notbeen any good at is figuring out how79800:52:17,719 --> 00:52:22,199to charge electric vehicles. They canbuild them, but they haven't been able79900:52:22,199 --> 00:52:25,519to figure out how to charge them. Let me explain. There's three levels80000:52:25,519 --> 00:52:30,360of charging when with an electric vehicle. Level one, that's the basic level.80100:52:30,400 --> 00:52:35,400That's if you plug your electric vehicleinto a wall outlet, you only80200:52:35,440 --> 00:52:39,320get about three to five miles ofcharging for every hour that you're plugged in.80300:52:39,360 --> 00:52:42,800So, in other words, youplug it in when you get home80400:52:42,840 --> 00:52:45,119from work, and when you leavein the morning, you've bought yourself about80500:52:45,159 --> 00:52:49,199fifty miles worth a charge. Andthat may be enough for some people,80600:52:49,639 --> 00:52:52,840it certainly is not enough for most. That's a level one. Level two80700:52:52,000 --> 00:52:55,920that's your typical home charger. Leveltwo runs on a two hundred and twenty80800:52:55,920 --> 00:53:00,440Bold outlet. It's easily installed.Had my electrician out this fast week and80900:53:00,840 --> 00:53:04,199look at my house and said,if you were to want to do that,81000:53:04,280 --> 00:53:07,840could you do it? Not aproblem. Level two chargers are what81100:53:07,960 --> 00:53:12,079you're going to see out there.Two of the largest companies, the largest81200:53:12,719 --> 00:53:16,800company in terms of number of chargersis charge Point and the second largest company81300:53:16,920 --> 00:53:22,840is ev Go. I like thatname eve Go, and what they're putting81400:53:22,880 --> 00:53:25,119out there, for the most part, are level two chargers. Now,81500:53:25,239 --> 00:53:31,559level two chargers are going to getyou about fifty miles per hour of charging.81600:53:31,960 --> 00:53:36,519You get about fifty miles prose ifyou're on a trip from Twosons to81700:53:36,559 --> 00:53:39,679San Diego and you stop in Yuma, you're gonna be there three or four81800:53:39,679 --> 00:53:45,719hours to fill up your vehicle.That's not going to work. And almost81900:53:45,760 --> 00:53:52,280all of the chargers out there arecharge point or eve Go non Tesla chargers,82000:53:52,239 --> 00:53:57,480and those are just simply not gonnawork when you're on a trip.82100:53:57,840 --> 00:54:00,079They're going to be effective in youroffice US if you have a bank of82200:54:00,119 --> 00:54:04,840them at your office, or maybein a hospital where people are gonna be82300:54:04,880 --> 00:54:07,079there a while, somewhere where youcan say, oh, I'd just like82400:54:07,119 --> 00:54:09,280to top it off a little bit, you know. But if you're on82500:54:09,280 --> 00:54:14,639a trip trying to get from Tucsonto San Diego or me Ala Elizabel,82600:54:15,920 --> 00:54:19,000I'm not gonna want to go toone of those charges. I'm gonna want82700:54:19,119 --> 00:54:23,039level three. Level three is whereTesla shines. This is what you want82800:54:23,039 --> 00:54:27,039when you're on the road. Theseguys use DC currents to the base at82900:54:27,079 --> 00:54:30,079AC. They cost about ten thousanddollars per units. They'll give you a83000:54:30,119 --> 00:54:37,639full charge in about fifteen minutes.That's that's reasonable. Two fifty's pardon that's83100:54:37,679 --> 00:54:40,599two hundred and fifty. It's actuallyanywhere anywhere for twenty five kilo lots to83200:54:40,840 --> 00:54:46,519three hundred and fifty kilo lots isconsidered a level three, but most of83300:54:46,519 --> 00:54:51,719them are one one seventy five toone fifty. There's a two fifty here83400:54:51,719 --> 00:54:53,639in town, and the rumor thatthere's a three fifty coming. The three83500:54:53,800 --> 00:54:59,119fifty would charge you in probably fiveminutes. Yeah, so then that's competing83600:54:59,119 --> 00:55:00,639with gas stations there. Oh yeah, yeah, so if they were all83700:55:00,679 --> 00:55:05,400three fifties. But the point ofall of this is, as I looked83800:55:05,440 --> 00:55:12,039at electric cars, if you cannotcharge your car on a Tesla charger,83900:55:13,679 --> 00:55:17,159you've got yourself a problem because you'regoing to have to go to a level84000:55:17,199 --> 00:55:22,519two charger. Yeah. And Imean that's why when Must came out and84100:55:22,559 --> 00:55:23,920said last week or the week before, when they were talking about it,84200:55:24,480 --> 00:55:30,840how they're opening their chargers to Chevroletand Ford right there, he said,84300:55:30,840 --> 00:55:32,679it's the moral thing to do becausehe, I mean, he obviously knows84400:55:32,679 --> 00:55:37,480his charger is just better and they'requicker, and they just he needs to84500:55:37,480 --> 00:55:39,239open it up to everybody. Andhe said that's what they just have to84600:55:39,280 --> 00:55:44,480do morally. After Tesla announced,Tesla announced that they were going to allow84700:55:44,639 --> 00:55:50,800Ford and GM to use their chargers. The stock just took off like a84800:55:50,840 --> 00:55:53,039spaceship Tesla stock, which is oneof the things that got me look at84900:55:53,079 --> 00:55:55,320them. Wait, wait, whyis that a big deal? This seems85000:55:55,360 --> 00:56:00,639like it's a negative for Tesla customers, which it is ultimately, And and85100:56:01,000 --> 00:56:06,400I one of the electric vehicles Ilooked at last week in my learning process85200:56:06,440 --> 00:56:10,679here was the Ford Makie, whichis a cool look and suv. Here's85300:56:10,679 --> 00:56:15,039the problem. They're not going tohave access to those Tesla chargers for twelve85400:56:15,320 --> 00:56:20,719for twelve months. Interesting, theyain't the deal, but they have to85500:56:20,760 --> 00:56:23,760manufacture the adapter and all that,and so that that's going to take a85600:56:23,800 --> 00:56:29,440well, So Tesla stock took offbecause people like me. It was up85700:56:29,480 --> 00:56:31,679thirteen days in a row, fourteendays, it was up today, fourteen85800:56:31,760 --> 00:56:37,599days in a row Friday after announcingthat deal. And again, if you're85900:56:37,679 --> 00:56:42,760if you're going to be trying totake a Tesla out on the highway,86000:56:43,280 --> 00:56:45,679excuse me, let me rephrase.If you're going to be trying to take86100:56:45,679 --> 00:56:50,159an electric vehicle out on the highway, you better have access to Tesla chargers86200:56:50,360 --> 00:56:52,360or it's going to be a miserableexperience. Not funny. You're gonna be86300:56:52,400 --> 00:56:57,760waiting forever. So so bottom line, what you have right now is you86400:56:57,760 --> 00:57:01,480have Tesla and you have everybody else. And it isn't because of the technology.86500:57:01,800 --> 00:57:06,159It isn't because of the look ofthe car. It's because of the86600:57:06,239 --> 00:57:12,440darned chargers. Yea. And thatnever crossed my mind that that you would86700:57:12,480 --> 00:57:19,639have vehicles being produced that couldn't becharged out on the road in any expeditious86800:57:19,639 --> 00:57:22,679manner, because you're thinking it's likegas stations where you could star. Sure,86900:57:22,960 --> 00:57:24,280I mean, come on, whodidn't think of this? Wow,87000:57:24,719 --> 00:57:28,679I'm glad. I'm glad anyway thatthere you go. I'm done with my87100:57:28,679 --> 00:57:34,400my eving moment. John Sabilia ourattorney here, and John hasn't is an87200:57:34,440 --> 00:57:37,400independent attorney, but he has officeshere. He has been seeing clients of87300:57:37,400 --> 00:57:42,920ours, We have been seeing clientsof his. It's a wonderful relationship.87400:57:42,960 --> 00:57:45,719If you need a will of trust, any kind of thing of that nature,87500:57:46,360 --> 00:57:50,519Jonathan is here in our office andmore than willing to do it.87600:57:50,800 --> 00:57:52,920Jonathan. Welcome, thank you,Welcome to the Money Matter Show. It's87700:57:53,639 --> 00:57:57,960you make it every week. Wemissed last week and that was. That87800:57:58,000 --> 00:58:00,519was my bad, but welcome back. Thank you very much. I appreciate87900:58:00,840 --> 00:58:05,280well. I think one of theone of the more interesting things that in88000:58:05,280 --> 00:58:08,159in why you have an office rightnext to mine, so I hear a88100:58:08,159 --> 00:58:12,079lot of the things that go onin your office even though I'm deaf.88200:58:12,519 --> 00:58:16,440Um, the are the variety ofthings, the variety of questions, and88300:58:16,880 --> 00:58:20,800I guess if it wasn't a littlebit complex, you wouldn't come to an88400:58:20,800 --> 00:58:22,920attorney, You would just deal withit. A lot of times there's,88500:58:23,039 --> 00:58:28,519uh, there's a lot of dI Y do it yourself issues that can88600:58:28,639 --> 00:58:30,440be taken care of cheaply. Youcan give me a call and if it88700:58:30,559 --> 00:58:32,920is a d I want d IY issue, Uh, you know,88800:58:32,960 --> 00:58:37,079I'm happy to you know, kindof without giving you too much legal advice88900:58:37,079 --> 00:58:40,559where I'm on the hook, tryto assist you in any way I can.89000:58:42,119 --> 00:58:46,239Um, there's lots of issues thatdo come up, but the ones89100:58:46,239 --> 00:58:50,239that I do handle tend to bethe more complex, all right, the89200:58:50,280 --> 00:58:55,920ones that I don't recommend, uhthat a client or some some someone who89300:58:55,960 --> 00:59:00,519doesn't know the legal framework of thesituation and to do it themselves, because89400:59:00,519 --> 00:59:04,320if they do, getting over theirhead. It might cost more money than89500:59:04,320 --> 00:59:07,800just I was gonna say, howmany times have you been paid to unwind89600:59:07,920 --> 00:59:10,639something that got all wound up bysomebody trying to do it themselves. You89700:59:10,639 --> 00:59:14,800know, I hate to say itsometimes, but I tell clients, especially89800:59:14,800 --> 00:59:17,360when they do their own LLC asyou know, you may be able to89900:59:17,400 --> 00:59:21,039do it for X amount of dollars. I'm telling you how much I would90000:59:21,119 --> 00:59:22,559charge you to do it, Butif you do it, make a mistake,90100:59:22,599 --> 00:59:27,440I'm going to charge them more tofix your problems. Very well played,90200:59:27,960 --> 00:59:30,599very well play. They go thecost more to fix the problem that90300:59:30,679 --> 00:59:31,519it would for me to do itin the first place. And there's a90400:59:31,519 --> 00:59:35,840lot more legal liability there when youwhen I'm when I'm cleaning up a mess.90500:59:35,880 --> 00:59:40,079Oh absolutely absolutely. Um, yousee so many different things. So90600:59:40,119 --> 00:59:43,800you had one this week you weretalking we were talking about earlier. Well,90700:59:43,880 --> 00:59:47,079let me first start by saying thatI kinda sat in on a meeting90800:59:47,079 --> 00:59:50,920with one of actually Todd. Iwish I could you could be here.90900:59:50,920 --> 00:59:52,840Why I praise him? Um,you know, what are the big things91000:59:52,880 --> 00:59:57,400about, you know, dealing witha financial planners? Um, I grew91100:59:57,480 --> 01:00:00,840up during the mate off situation,and I actually went to UH and I91201:00:00,880 --> 01:00:04,840was telling you about this. Isat next to a kid in home room91301:00:04,880 --> 01:00:07,639who you know, ran off witha bunch of money, and he was91401:00:07,679 --> 01:00:12,599a financial planner, and I askedyou, you know, how do you91501:00:13,039 --> 01:00:15,559make me feel better about that?When I was sitting there with Todd and91601:00:15,599 --> 01:00:22,440we were talking with a client theway you guys have safeguards, it would91701:00:22,480 --> 01:00:25,239it makes me feel comfortable referring peopleto you. And in fact, we91801:00:25,280 --> 01:00:28,800had a client that was kind ofasking those questions. It made me feel91901:00:28,800 --> 01:00:30,800better about how the way he answeredthem. But it was also a client92001:00:31,039 --> 01:00:39,599that didn't necessarily need a financial plannerbecause their their disposable cash wasn't there yet.92101:00:39,679 --> 01:00:44,440He said, you know what,as your friend, as a fiduciary,92201:00:44,559 --> 01:00:46,960I don't recommend you start investing becauseyou need X amount of dollars before92301:00:46,960 --> 01:00:49,960you invest with you guys. Andit kind of made me feel good that92401:00:50,000 --> 01:00:52,440you guys aren't just taking you know, you're just taking everybody's money. You're92501:00:52,440 --> 01:00:57,159actually helping them out and letting themknow what's right and what's wrong. You92601:00:57,159 --> 01:01:00,599know, you're not just uh,you're just not taking in as much money92701:01:00,599 --> 01:01:04,079as you can. So it mademe feel good and I really appreciate that92801:01:04,119 --> 01:01:07,920and thank you for having me here. And on that, I did have92901:01:07,960 --> 01:01:13,480a few clients, uh that calledin, that were referred in and I93001:01:13,559 --> 01:01:17,719kind of wanted to talk. Ipromised I would talk about some of the93101:01:17,800 --> 01:01:23,920things that we uncovered during our meetings. Particular client asked this particular client exactly.93201:01:23,960 --> 01:01:29,480So one in particular was duan Celleclause. All right. So a93301:01:29,559 --> 01:01:35,519duan Celle clause to basically U toput in layman's terms, is it's in93401:01:35,519 --> 01:01:43,199the mortgage and a bank has theright to enforce h an immediate payment on93501:01:43,239 --> 01:01:46,320that mortgage if you fall into acertain category. You know, if you93601:01:46,360 --> 01:01:50,679owe three hundred thousand dollars, thatduan Celle clause, if it's triggered,93701:01:50,800 --> 01:01:52,840the bank can make you paid tothree hundred thousand dollars or will force a93801:01:52,880 --> 01:01:57,519cell of the home. All right. So, um, there was a93901:01:57,599 --> 01:02:02,519law that was passed called the Germanthe Garn Saint Germain Act back in eighty94001:02:02,519 --> 01:02:06,440two. All right, Garn andSaint Germain. I think it was a94101:02:06,440 --> 01:02:08,840Republican and Democrat. It was aderegulation, believe it or not. A94201:02:08,840 --> 01:02:14,960Democrat was looking for deregulation of thebanking system. But what it did is94301:02:15,000 --> 01:02:22,039that, yes, it was passedbasically making bank allowing banks to enforce a94401:02:22,159 --> 01:02:27,280due on sale clause unless you fallinto one unless you fall under one of94501:02:27,360 --> 01:02:30,360nine categories, all right, anda bunch of those categories not but might94601:02:30,400 --> 01:02:34,880not be relevant. But one ofthose categories if you take your home and94701:02:35,000 --> 01:02:38,400transfer into a vocable trust, allright. If you if you transfer the94801:02:38,440 --> 01:02:45,239home into a vocable trust, thebank cannot enforce the duan Celle clause.94901:02:45,519 --> 01:02:47,920You may get a snot nose mortgageguy who's probably been into business for a95001:02:49,000 --> 01:02:52,000year and tell you you can't transferto a revocable trust. That's untrue.95101:02:52,039 --> 01:02:54,679You have a federal protection that saysthat you can transfer it. Also,95201:02:55,079 --> 01:02:59,400if you pass away with the homeand it goes to a relative, Now95301:03:00,119 --> 01:03:02,840law did not define what relative means, but if you pass away and your95401:03:02,840 --> 01:03:07,840house goes to a relative, thebank cannot enforce to do on sale clause.95501:03:07,880 --> 01:03:15,519So basically, whoever your beneficiary isof that trust, that that relative,95601:03:15,679 --> 01:03:20,559they can keep on making those mortgagepayments without without the bank, you95701:03:20,599 --> 01:03:22,840know, putting up a fight.Well, I did not know, and95801:03:22,880 --> 01:03:27,360I did mortgages for ten years,I did not know that. Yeah.95901:03:27,440 --> 01:03:30,199In fact, I was talking tomy buddy who's a real estate property attorney,96001:03:30,199 --> 01:03:31,000says, we don't really deal alot, Matt. So it's I96101:03:31,000 --> 01:03:37,039guess it's exclusive to us A stateplanners. So interesting if someone dies and96201:03:37,159 --> 01:03:40,480they leave their house to their child, the child can continue to make the96301:03:40,559 --> 01:03:46,039mortgage famous. And even though thetitle to the property has changed exactly.96401:03:46,199 --> 01:03:50,880And that's the big thing, isthat the title is transferred. So and96501:03:50,920 --> 01:03:53,719there's the nine exceptions, but oneof the big things that one, it96601:03:53,800 --> 01:03:59,800has to be a personal residence.Okay, you can't transfer into an LLC.96701:04:00,400 --> 01:04:02,920You would probably want to get thatin writing from the bank saying they96801:04:02,920 --> 01:04:09,639won't trigger the Duancelle clause. Ithas to be a dwelling with less than96901:04:09,679 --> 01:04:14,320five and I think it's five dwellings. That's usually apartment buildings that they're trying97001:04:14,320 --> 01:04:17,039to commercial properties. But it's ait's a it's a personal residence. So97101:04:17,079 --> 01:04:21,280I just want people to realize that, you know, when you are dealing97201:04:21,400 --> 01:04:27,079with mortgage companies, when you're dealingwith banks sometimes and a lot of times97301:04:27,079 --> 01:04:30,000people that deal mortgages. They don'tunderstand it, and they may tell you97401:04:30,039 --> 01:04:32,920can't transfer into a revocable trust.That's absolutely incorrect. You can as long97501:04:32,960 --> 01:04:36,920as it's inter vievos and you arethe beneficiary, and a revocable trust you97601:04:36,960 --> 01:04:41,280are the beneficiary. Is there anylimit to it like a million dollar house97701:04:41,400 --> 01:04:45,039or no limits? Suker? Interesting? And when you refinance, the mortgage97801:04:45,039 --> 01:04:50,039company frequently will require you take itout of the trust, the property out97901:04:50,079 --> 01:04:55,400of the trust, put it injoint Tennessee, then close on your loan,98001:04:56,039 --> 01:04:58,880and then they'll typically like you didit back in correct. I've done98101:04:58,880 --> 01:05:01,519that several times with the refinances overthe years and never really had a problem98201:05:01,519 --> 01:05:03,280with In fact, you were tellingme the other day you had to double98301:05:03,360 --> 01:05:06,960check you You're just to make sureyou actually went double checked after you said,98401:05:08,079 --> 01:05:10,159I checked for you after, didyou? Yeah, you have the98501:05:10,159 --> 01:05:13,559Pema County Assessor ubic information. Yeah, absolutely, that's what I went to98601:05:13,599 --> 01:05:16,599the Pema County Assessor's website. Ithink it was the assessor or treasure probably98701:05:16,639 --> 01:05:20,639assessor. Uh, it is theassessor, Yeah, I think it was98801:05:20,679 --> 01:05:26,760the assessor that so this particular client, Well, can you talk about that98901:05:26,960 --> 01:05:30,239situation? That Well, we werejust kind of going through things, um,99001:05:30,519 --> 01:05:33,440because you know, they're worried thatthey will you know, they may99101:05:33,480 --> 01:05:36,760pass away with a mortgage on theproperty. Sure, they're worried that their99201:05:36,840 --> 01:05:41,679children, um uh, you know, they don't want to have to refin.99301:05:42,000 --> 01:05:44,000You know, you already have atwo percent right now, a two99401:05:44,039 --> 01:05:47,320percent mortgage. If they have torefinance at what six percent? Seven,99501:05:47,679 --> 01:05:51,599that's kind that's kind of the catalystfor this exactly. People are coveting the99601:05:51,679 --> 01:05:56,960mortgages, and that's one of thethings that kept the housing market from falling99701:05:56,960 --> 01:06:00,440apart, is people are just covetingthese mortgages and not wanting to sell even99801:06:00,440 --> 01:06:04,679though their property value is clearly goingdown, not dramatically, but I think99901:06:04,679 --> 01:06:09,960mine's down about ten percent from thepeak, and I think that's pretty typical.100001:06:10,119 --> 01:06:13,199Yeah, I definitely say so.Yeah. And that's what's keeping them100101:06:13,239 --> 01:06:17,239from selling, is is that covetingthose mortgage rates. I know I covet100201:06:17,320 --> 01:06:23,599mine, so so that was herbiggest concern is that, well, that100301:06:24,480 --> 01:06:28,079the child would not be able tokeep that mortgage rate. That's a lot100401:06:28,119 --> 01:06:31,639of people's concern is that, what'smy child going to do if they have100501:06:31,719 --> 01:06:34,400to refly. We want to keepthe house in the family. We don't100601:06:34,440 --> 01:06:38,000worry, you know, just youknow, and if if there is an100701:06:38,000 --> 01:06:40,840issue, if the bank does giveus, think you know, call an100801:06:40,880 --> 01:06:44,400attorney, have them chat, youknow, show them the show them a100901:06:44,480 --> 01:06:47,079law to say, hey, youthis, we are federally protected. You101001:06:47,119 --> 01:06:51,800cannot accelerate the mortgage. I hadno idea, and I can, but101101:06:53,039 --> 01:06:56,480I can see the catalyst for thatis that rate? Oh yeah, without101201:06:56,519 --> 01:07:01,519a doubting on this week. It'sinteresting. Uh there's golf. Uh no,101301:07:01,840 --> 01:07:08,840it's another I actually had a phonecall with another listener and uh,101401:07:08,960 --> 01:07:11,519something I did want to bring upbecause when I was I worked for a101501:07:11,519 --> 01:07:15,119pretty big firm in Phoenix, andthe last client I worked on it was101601:07:15,119 --> 01:07:19,719a business and they merge with anotheranother company, and it was their job101701:07:19,880 --> 01:07:26,440to reach out to former employees andpay out stale. I believe it was101801:07:26,960 --> 01:07:32,000part retirement some stock options. Okay, I would say a hundred of the101901:07:32,079 --> 01:07:36,119country. There was about one hundredformer employees we could not locate, so102001:07:36,320 --> 01:07:43,079we had to basically in seven oreight different states. We had to submit102101:07:43,159 --> 01:07:48,599those stock options to unclaimed personal property. A lot of people don't realize that102201:07:48,639 --> 01:07:55,239you can go on your states Unclaimedpersonal Property and look up look to see102301:07:55,519 --> 01:08:00,599if there's any money due to you. Because there's a listener at least last102401:08:00,639 --> 01:08:05,480week or the week before that hadunclaimed personal property from a diseased spouse that102501:08:05,519 --> 01:08:10,079they had no idea about and whereattempting to go get that from the state.102601:08:10,519 --> 01:08:12,679Yeah. I think we've talked aboutthat on the show a couple of102701:08:12,719 --> 01:08:15,920times that you go do it.I can't remember the website. Did you102801:08:16,039 --> 01:08:18,720do it this week or do youI haven't gone on, But you can102901:08:18,760 --> 01:08:24,520just google Arizona personal personal Property.You can do that for California. UM.103001:08:24,920 --> 01:08:27,960So it's pretty simple and it isamazing. As the older you get,103101:08:28,000 --> 01:08:30,720as life goes on, there's alot of things that have happened in103201:08:30,760 --> 01:08:32,800your life. And like you thisthis pension thing that you talked about,103301:08:33,079 --> 01:08:36,880I mean, who would ever know. Maybe maybe someone that worked for that103401:08:36,920 --> 01:08:41,600company didn't even know there was apension that they're due. Well, a103501:08:41,640 --> 01:08:45,319lot of times it's not the personwho's who it's due. They passed away,103601:08:45,000 --> 01:08:48,680the spouse moved and they didn't realizeand they've been trying to contact them,103701:08:48,720 --> 01:08:53,079sending it to the last last placeof residence. And that's all they're103801:08:53,079 --> 01:08:55,600really really required to do is sendit to the last place of residence.103901:08:55,600 --> 01:08:59,319And if they don't, if theydon't receive the mail, if they don't104001:08:59,399 --> 01:09:02,039contact them, then they kind ofwash their hands and say, Okay,104101:09:02,039 --> 01:09:05,800Arizona here take to take the property. If they look for it, good104201:09:05,800 --> 01:09:10,000for them. If they don't.If they don't, you know, and104301:09:10,079 --> 01:09:14,239then the State of Arizona holds itin perpetuity. I guess right. You104401:09:14,239 --> 01:09:15,640know, I don't know the rulesto that either. I would have to104501:09:15,680 --> 01:09:18,439look at look into that. Thatwould be something for next week. We'll104601:09:18,439 --> 01:09:21,520try to find out what the ruleis on that. But I've often wondered104701:09:21,560 --> 01:09:26,199that in the unclaimed property, howlong does the state have to hold that?104801:09:26,760 --> 01:09:31,720And there would seems like there wouldbe a fairly good size storage facility104901:09:33,079 --> 01:09:38,399or staff to manage all of this, because there has to be a ton105001:09:38,439 --> 01:09:43,359of it. Well, what theydo, and from my experience of actually105101:09:43,359 --> 01:09:45,880being part of the business that hadto submit the claims to the state,105201:09:46,359 --> 01:09:48,880they just basically cut a check tothe state and they hold it. So105301:09:48,920 --> 01:09:54,319I'm sure it's probably sitting in someaccount generating some sort of interest or sure105401:09:54,359 --> 01:09:58,119they're investing it or whatever they do. I don't know the administration side on105501:09:58,159 --> 01:10:01,119their end, but they're holding ontothe CA until somebody comes and claims it.105601:10:01,640 --> 01:10:08,279But unclaimed property is not uncommon,and we've had clients and we've had105701:10:08,439 --> 01:10:13,399co workers here that went to theunclaimed property in Arizona and actually found.105801:10:14,079 --> 01:10:18,000Yeah, unclaimed property. It's surprising. You don't expect it. And like105901:10:18,079 --> 01:10:21,000I say, the older you are, the better the chance that something happened106001:10:21,000 --> 01:10:26,079to kind of wiggle its way inthere. I know I have a pension106101:10:26,159 --> 01:10:29,560from when I worked for Merrilllynch onehundred years ago. I get thirty five106201:10:29,600 --> 01:10:32,039dollars a month from Marylynch. Well, I just found out I had a106301:10:32,119 --> 01:10:40,359Charles Schwab account that I just liquidatedthat I had no idea a fun fact.106401:10:41,159 --> 01:10:45,119I was on the IRS. Ilooked at my IRS transcript and I106501:10:45,159 --> 01:10:48,560saw that I had a fair marketvalue in a Charles Schwab account from ten106601:10:48,640 --> 01:10:53,319years ago for CPA firm I workedfor. So I called up Charles Schwab.106701:10:53,319 --> 01:10:55,520They're like, yeah, you know, we've been trying to contact you.106801:10:55,720 --> 01:10:59,479We have the we're holding a couplethousand dollars in your name in and106901:10:59,600 --> 01:11:02,279I in a wroth and a traditionalI said, okay, let's clean it107001:11:02,279 --> 01:11:06,880out. I bought myself into acomputer. There you go. It does107101:11:06,920 --> 01:11:11,119happened. I with a Merrilynch.You know, imagine getting thirty dollars a107201:11:11,159 --> 01:11:13,960month, even direct deposit, it'sannoying. At the end of the year107301:11:14,000 --> 01:11:15,880you get a ten ninety nine forthree hundred and sixty dollars. It's just107401:11:15,880 --> 01:11:18,920just dis annoying. I've tried totell them, you know, pay me,107501:11:19,479 --> 01:11:23,680you know, thousand dollars and I'llsign off on you can go away,107601:11:23,840 --> 01:11:28,319but they won't do it. No, I'm stuck with my big Merrilynch107701:11:28,359 --> 01:11:30,279pension for thirty dollars a month forthe rest of my life. So I107801:11:30,279 --> 01:11:34,520imagine there are other people out therethat had similar situations and their employer,107901:11:34,880 --> 01:11:39,159like Merrilynch, couldn't find them,and so this thirty dollars a month goes108001:11:39,199 --> 01:11:44,560into a pool somewhere in their nameand gets unclaimed. Jonathan, as always,108101:11:44,600 --> 01:11:47,640we appreciate your taking time to bewith us. Always always interesting stuff,108201:11:47,640 --> 01:11:50,680and what we try to do iswe try to talk about things that108301:11:51,239 --> 01:11:58,640you've You've actually been dealing with reallife things that other people may be dealing108401:11:58,640 --> 01:12:01,399with as well, but just haven'tthought to ask someone about it. Well,108501:12:01,399 --> 01:12:04,640now that I'm getting to know yourlisteners, I know exactly what questions108601:12:04,640 --> 01:12:09,359to ask and what to talk aboutevery week. We love having you here.108701:12:09,399 --> 01:12:11,960We appreciate the work, and pleasegive us a call if you want108801:12:11,960 --> 01:12:15,800to talk to Jonathan. First consultationis free. I'll talk to you right108901:12:15,800 --> 01:12:25,359after the present. Say it's allgood morning. Once again, it's the109001:12:25,439 --> 01:12:29,319Father's Day edition of the Money MattersShow. Happy Father's Day to all of109101:12:29,319 --> 01:12:31,720you dads out there, Happy Father'sDay Day. Best job in the world,109201:12:31,840 --> 01:12:34,840Thank you, buddy, best jobof best job someone can get.109301:12:35,640 --> 01:12:42,119We appreciate your listening. We Dylanand Dave. We're here without Todd.109401:12:42,199 --> 01:12:47,840Todd's in Mexico and Dean Is wentto Europe for a meeting with our clearing109501:12:47,880 --> 01:12:51,119firm. I think it's more ofa reward trip than a meeting, but109601:12:51,119 --> 01:12:58,920they do have some meetings, andhis relationship with the our clearing firm helps109701:12:59,079 --> 01:13:01,199make our firm run so much better. And if we need something, he109801:13:01,680 --> 01:13:05,840knows firsthand who to talk to itand they're fond of him. And he109901:13:05,920 --> 01:13:10,880went out dancing and with rubber soulshoes, which you're not supposed to wear110001:13:10,960 --> 01:13:15,000dancing, like tennis shoes things,and they got his foot caught and ended110101:13:15,119 --> 01:13:21,439up tearing his ACL. And he'sin Europe on crutches. It's not for110201:13:21,479 --> 01:13:24,800sure as ACL. They just thinkit he's not going to get an MRI110301:13:25,000 --> 01:13:28,760until he gets back to the States. But after spending a night in there110401:13:28,800 --> 01:13:32,279in a Dublin hospital, Dublin hospitalyet called me. He's like, where110501:13:32,319 --> 01:13:34,479do you think I am right now? And it was midnight his time,110601:13:34,520 --> 01:13:36,960so I was at a bar.He's like, I'm in the hospital.110701:13:38,000 --> 01:13:41,399I never would have guessed it.Yeah, he called me in and said110801:13:42,079 --> 01:13:44,159the same thing. You'll never guesswhere I am. And I said,110901:13:44,840 --> 01:13:46,199well, I think you're still inIreland right He goes, I'm in the111001:13:46,239 --> 01:13:51,840hospital calling everybody had nothing else todo anyway. It was a great week111101:13:51,880 --> 01:13:56,479for the market and um I lookedat the Target dropped to a new three111201:13:56,560 --> 01:14:00,279year low last week. Dylan,after picking up a couple more down grades,111301:14:00,439 --> 01:14:05,000is that LGBTQ boycott is joined byconcerns get this, Concerns that the111401:14:05,119 --> 01:14:11,840resumption of student loan debt in September, which is part of that. But111501:14:12,920 --> 01:14:16,840death ceiling deal. Yeah, thestudent loan debt payments I have to resume111601:14:16,880 --> 01:14:21,520in September. That that's gonna negativelyimpact Target. That's one of the reasons111701:14:21,520 --> 01:14:25,600they gave for the stock being death. That's a good reasoning too, because111801:14:25,840 --> 01:14:28,800what you're gonna spend now once theyresumed, we're gonn probably have two hundred111901:14:28,800 --> 01:14:31,319fifty dollars plus a month going towardsstudent loans. I wasn't before. Targets112001:14:31,319 --> 01:14:39,239considered premium compared to Walmart and allOkay, but Costco his Costco hits a112101:14:39,279 --> 01:14:43,199new fifty two week high because youcan buy them both, so targets more112201:14:43,239 --> 01:14:45,680of this. Target different from that. My question is Target is different.112301:14:45,680 --> 01:14:50,840They're more like in a sense,they're more luxurious than Walmart is how it's112401:14:50,880 --> 01:14:55,439looked at. So and then costthey go to Target for I mean people112501:14:55,439 --> 01:14:58,560that go to Target, they gothere for two things, end up leaving112601:14:58,560 --> 01:15:00,199with foreign knowledge with the stuff.They're not gonna go to Target now because112701:15:00,199 --> 01:15:03,439they're gonna have the student loans thatthey have to pay back. They're gonna112801:15:03,479 --> 01:15:05,680go to Costco. To buy thembulk, or they're gonna go to Walmart112901:15:05,800 --> 01:15:12,199or Fries or something, or Opersonsor something like that. You really do113001:15:12,319 --> 01:15:16,079see Target being more impacted than Walmartor Costco. I would say, so,113101:15:16,199 --> 01:15:18,239yep, interesting because I got togo to the discount stores if you113201:15:18,239 --> 01:15:20,439got to spend three hundred dollars onyour student loans all of a sudden,113301:15:20,640 --> 01:15:24,319very good point. I was listeningto a comedian years ago when it was113401:15:24,359 --> 01:15:27,520still Price Club. This was acomedian. She was on the East Coast113501:15:27,920 --> 01:15:30,960and she was explaining to the peopleon the East Coast what Price Club was.113601:15:31,000 --> 01:15:33,640And she goes, let me describeit this way. You would not113701:15:33,720 --> 01:15:38,359go to Price Club to buy cheese. She goes, you would go to113801:15:38,399 --> 01:15:42,920Price Club if you were going tobuild something out of the cheese. That's113901:15:42,920 --> 01:15:46,960fair pretty close. Target, pricelearnings, ratio, dividen and all.114001:15:47,199 --> 01:15:51,960It looks screaming like it's a screamingbuy. And I did have a client114101:15:53,760 --> 01:15:59,239call me last week and say,good job Greg. I think, give114201:15:59,239 --> 01:16:02,279Greg a shout out, say shouldn'twe be buying Target here? It's just114301:16:02,319 --> 01:16:05,039going straight down like a rock,you know, it's I said, it's114401:16:05,279 --> 01:16:09,279dirt cheap, but it's yeah,And he said, well, you're the114501:16:09,279 --> 01:16:12,359expert, and I said, well, actually, your it's your money.114601:16:12,960 --> 01:16:15,520You want to take a run ofTarget, I have absolutely no problem with114701:16:15,560 --> 01:16:17,880it, he texted me back.But I didn't get the text until the114801:16:17,960 --> 01:16:23,319next day. Have you had thathappen where? Yeah, maybe two days114901:16:23,399 --> 01:16:27,079later this text all of a suddencomes out of nowhere. And anyway,115001:16:27,119 --> 01:16:29,479make a long story short, Stockwas one twenty eight by the time I115101:16:29,520 --> 01:16:32,000saw the text, it's one thirtytwo and jumped to one thirty six.115201:16:32,600 --> 01:16:35,319And now it's going by down.Anyway, Target looks very, very cheap.115301:16:35,399 --> 01:16:43,560My only concern is, look atbud Look at Disney. Look at115401:16:43,600 --> 01:16:48,479how long these these boycotts, theseprotests, this negative press. So Disney's115501:16:48,479 --> 01:16:53,119about a year into it now,yeah, and they're kind of pushing away115601:16:53,159 --> 01:16:56,319from it, trying to get outof that whole thing. They're just trying115701:16:56,319 --> 01:16:59,359to do business now. But butyeah, but I mean Modela took over.115801:16:59,680 --> 01:17:01,680That's selling beer. Madelo is thenumber one beer, number one belling115901:17:01,720 --> 01:17:04,640beer. And that is Constellation Brands, who has had a good couple of116001:17:04,680 --> 01:17:08,439weeks with the news that it mighttakeover and then it did takeover. It116101:17:08,600 --> 01:17:13,720also owns fifty percent of Canopy GrowthConstellation Brands Yep, that they bought a116201:17:13,800 --> 01:17:16,640thirty nine dollars a sharing is nowsixty four cents. Yeah, how did116301:17:16,680 --> 01:17:21,279that work out? They're happy thatMadela is doing better. Yeah, when116401:17:21,279 --> 01:17:25,399you're a big company like that,you can some of your ills. Yeah.116501:17:25,439 --> 01:17:29,840The weedstocks just been getting clobbered eversince. The whole idea that they're116601:17:29,840 --> 01:17:33,279going to become federally legalized quick diedoff. Right. People just got out.116701:17:33,520 --> 01:17:38,359They're just no way that's going tohappen. It's a saturated market too.116801:17:38,960 --> 01:17:42,840Yeah. So, and then itturns out even in the legalize who116901:17:42,880 --> 01:17:46,079we're finding out here in the UnitedStates is more and more states legalize it,117001:17:46,560 --> 01:17:51,800that more than fifty percent of thesales are still illegal because you can117101:17:51,800 --> 01:17:55,840get yourselves cheaper. Yeah, andyou're gonna pay the tax on it,117201:17:55,880 --> 01:17:58,560That's what I'm saying, because that'sbecause of the taxes, because of the117301:17:58,600 --> 01:18:02,960taxes that are assessed to the growers, and the taxes are assessed at the117401:18:03,000 --> 01:18:08,279point of sale. You're gonna payquite a bit more for announce of marijuana117501:18:08,600 --> 01:18:12,199at a legal store here in Tucson. Then you're gonna pay on the street117601:18:12,199 --> 01:18:15,560corner. Yeah, that's a goodpoint. That was a better control.117701:18:15,760 --> 01:18:18,079Is it safer? Yes, allthat comes into play. But isn't it117801:18:18,119 --> 01:18:24,319interesting We thought if we just legalizedmarijuana, all that black market stuff will117901:18:24,319 --> 01:18:27,279go away. It hasn't. It'sthe old saying that you buy the rumor,118001:18:27,319 --> 01:18:29,800sell the news. Yeah, soyou bought the rumor that was going118101:18:29,840 --> 01:18:32,600to get legalized federally and then youjust selling news. But it was there118201:18:32,720 --> 01:18:36,960was a rare one last week,Dylan. Apple actually got a downgrade from118301:18:38,000 --> 01:18:41,840really yeah from Ubs. Wow.Ubs went from a buy to a hold118401:18:42,560 --> 01:18:46,239in This is one of the morepopular stocks in the world. And everybody118501:18:46,319 --> 01:18:49,920knows that Apple never goes down,just goes up. And so you can118601:18:49,960 --> 01:18:53,520buy that and any kind of anaccount. You buy that and your great118701:18:53,520 --> 01:18:58,800gramma's account, it's fine. Yeah, a good run up they have.118801:18:58,920 --> 01:19:05,039They said that they've continued pressure foriPhone demand and services. Not that's interesting118901:19:05,079 --> 01:19:10,159because are we at a point nowwhere everybody that needs a cell phone has119001:19:10,199 --> 01:19:13,199one? I would think so.I mean it seems like we're getting there119101:19:13,199 --> 01:19:16,319because you look at a Verizon thereis no growth now Verizon is the number119201:19:16,359 --> 01:19:21,840one provider of cell phone service inthe world. You see no growth there119301:19:21,840 --> 01:19:25,079at all. None. Yeah,because, like you said, everybody who119401:19:25,159 --> 01:19:29,479has a cell phone has one.All that is now is upgrades. There119501:19:29,560 --> 01:19:34,720was a gall in our building lastweek and the Yellow cab called and said119601:19:34,800 --> 01:19:40,520that they would This number was givenfor someone who needed a Yellow cab and119701:19:40,560 --> 01:19:43,680I thought, gosh, who couldthat be and why would they call our119801:19:44,079 --> 01:19:49,239office landline for that? Turns outthere was a older gal downstairs. There's119901:19:49,279 --> 01:19:55,439a kidney doctor downstairs. There wasan old, older gal who had had120001:19:55,439 --> 01:20:00,079her kidney appointment and needed a caband asked one of our employees to use120101:20:00,119 --> 01:20:04,960her cell phone to call the gap, and they gave our but the scale120201:20:05,000 --> 01:20:09,560did not have a cell phone.Interesting, and I was so surprised at120301:20:09,600 --> 01:20:12,439that. You know that. Yeah, you don't hear that very often,120401:20:12,600 --> 01:20:15,920You don't, You don't. I'veheard it more that people don't have emails120501:20:15,119 --> 01:20:19,039than cell phones. Yeah. Yeah. And the one thing I'll tell you,120601:20:19,079 --> 01:20:21,000the one thing I wouldn't want tobe long, I wouldn't want to120701:20:21,039 --> 01:20:25,720be buying you if you're investing,is saying what's a good investment right now?120801:20:26,119 --> 01:20:30,720It's certainly not checking accounts. It'sterrible. I'm seeing fewer and fewer120901:20:30,760 --> 01:20:33,319people with checking accounts. I mean, checking accounts are a dying are a121001:20:33,439 --> 01:20:38,760dying entity. It's unbelievable. Yeah. Yeah, well there's nothing, there's121101:20:38,800 --> 01:20:42,920no money to gain in there.You're just spending it as little as possible121201:20:42,920 --> 01:20:45,039in there, exactly. You know, so much business has gone away from121301:20:45,159 --> 01:20:50,560China. Recently, the Japan stockmarket rallied to a thirty three year high.121401:20:50,680 --> 01:20:57,479Japan. Now, Japan has beenboring since I was young. Not121501:20:57,600 --> 01:21:00,479a place to put money, nota not a good investment in place.121601:21:00,439 --> 01:21:08,479Their population is elderly, their industrieson matur but they did get a big121701:21:09,199 --> 01:21:14,039bump from the drop off in Chinabusiness. I'm from an overall excuse me,121801:21:14,079 --> 01:21:20,000an overhaul of corporate governance rules inthe country that now compel company executives121901:21:20,079 --> 01:21:27,880to improve shareholder returns. It's actuallya government mandated policy. Yeah. J122001:21:28,000 --> 01:21:32,279F Morgan analysts said last week thatthe structural change is starting to take in122101:21:32,359 --> 01:21:36,439Japan and could give the current marketrally stain power. So do you think122201:21:36,439 --> 01:21:40,680Toyota is going to do really well? Yeah? I think Taryota is gonna122301:21:40,680 --> 01:21:44,079make it. Yeah you think,I think they will. I'm saying maybe122401:21:44,079 --> 01:21:45,800they weren't even thinking of that before, and now they got the mandate for122501:21:45,880 --> 01:21:48,560it, it might do even better. You know, the Nazdak stocks here122601:21:48,640 --> 01:21:54,720on fire, but the exchange notso much. The Nazdak exchange, down122701:21:54,760 --> 01:21:59,239five percent for the year, droppedan another eleven percent on Monday after they122801:21:59,279 --> 01:22:03,520announced it able to buy software companya Denza for ten point five billions.122901:22:03,520 --> 01:22:08,520So what they're trying to do isthey're trying to diversify, which is a123001:22:08,600 --> 01:22:12,159smart thing to do if you're inbusiness, right, Diversification is a good123101:22:12,199 --> 01:22:17,199thing. Market did not like it. It is the NAZDAC exchange is largest123201:22:17,239 --> 01:22:24,439acquisition ever and the market is saying, we're not a big fan of you123301:22:24,520 --> 01:22:28,199to diverse. Fine, we kindof like you the stranglehold you have on123401:22:28,239 --> 01:22:31,159the NASDAC. Yeah, that's interesting. You got a tip for federal employees.123501:22:31,239 --> 01:22:34,520We deal with a lot of federalemployees here and their TSP rolling it123601:22:34,600 --> 01:22:38,399over and everything like that. Andwe know a lot of federal employees do123701:22:38,560 --> 01:22:43,560retire early and considerably to fifty nineand a half, so they roll over123801:22:43,560 --> 01:22:46,720their IRA into or their TSP intoan IRA. What I learned on Friday123901:22:46,840 --> 01:22:53,039was that if you retire the yearyou turn fifty five or later and then124001:22:53,159 --> 01:22:56,520say you leave it in the TSPup until you're before you're fifty nine and124101:22:56,560 --> 01:23:00,359a half, you will not incurthe ten percent penalty if you will dropped124201:23:00,399 --> 01:23:03,920from the TSP, but if youretire fifty four or earlier, you will124301:23:04,239 --> 01:23:08,239have that. And if you rollit into an IRA between that time,124401:23:08,560 --> 01:23:12,199IRA rules apply, which is,if you take it out before fifty nine124501:23:12,199 --> 01:23:14,760and a half, you will havea ten percent penalty, but if you124601:23:15,079 --> 01:23:16,920so, if you leave it inyour TSP, you won't have a penalty.124701:23:17,119 --> 01:23:19,640Which was interesting. I didn't knowthat. I'm actually I did know124801:23:19,680 --> 01:23:24,239that. I'm actually aware of thatbecause I had a situation a couple of124901:23:24,319 --> 01:23:29,439years ago where we had a federaland file a retired fifty five rolled his125001:23:29,600 --> 01:23:33,840IRA into excuse me, rolled hisTSP into an IRA because he had a125101:23:33,880 --> 01:23:40,479lot more investment choices. Yeah,two years in he needs money, we125201:23:40,479 --> 01:23:43,439send him the money. Yeah,then he goes to file his tax and125301:23:43,439 --> 01:23:47,479he goes, what is this tenpercent penalty? And the account explains,125401:23:47,520 --> 01:23:49,359well, because you're coming out ofan IRA. He goes, no,125501:23:49,560 --> 01:23:53,600I'm a TSP guy. No,no, No, you rolled it into125601:23:53,640 --> 01:23:56,520an IR. Yeah. So ifyou're between the ages, if you retire125701:23:56,560 --> 01:23:59,439fifty five and you think you mightneed money before fifty nine and a half,125801:23:59,720 --> 01:24:01,079you might want to but you wantthe more investment options, you might125901:24:01,119 --> 01:24:04,000want to leave a portion in yourTSP so you don't have that penalty.126001:24:04,239 --> 01:24:09,159Yeah. I had a new clientthat was coming from a TSP and I126101:24:09,159 --> 01:24:12,680said to him exactly, I said, do you understand because you're Fitch five,126201:24:12,760 --> 01:24:15,800you understand that if you need moneybefore fifteen nine and a half and126301:24:15,920 --> 01:24:17,680you do roll it into an IRA, there's gonna be a penalty right here.126401:24:17,800 --> 01:24:20,439I understand I'm not gonna need themoney. He knew. Yeah.126501:24:20,600 --> 01:24:25,159More importantly, I knew, yeahexactly because of that one situation we got126601:24:25,199 --> 01:24:28,319involved. You'll never forget it now. I'll never forget it now. Anyway,126701:24:28,560 --> 01:24:31,439we're coming to the end of thefifth segment. Got one more to126801:24:31,520 --> 01:24:35,680go, Dylan and I enjoy bringingthe show to you. Todd will be126901:24:35,960 --> 01:24:39,840back next week, but Dylan willbe gone. So it's just it's kind127001:24:39,840 --> 01:24:43,600of like June in the desert revolvingdoors. Everybody's trying to go somewhere else.127101:24:44,079 --> 01:24:48,840We'll be back right after this break. Thanks again for listening. Say127201:24:47,079 --> 01:24:53,640it's a welcome back. You're listeningto the final segment of this Father's Day127301:24:53,720 --> 01:24:56,880edition of the Money Matters Show.It's a happy Father's Day to everybody,127401:24:56,960 --> 01:25:00,039especially my dad out in Ireland.Hopefully he's having fun as much as you127501:25:00,079 --> 01:25:06,079can hobble around, Dave, HappyFather's Day. Yeah, because of Linda,127601:25:06,159 --> 01:25:10,800Thanks Linda. But yeah, Imean we've had a jam pack Shaw.127701:25:10,920 --> 01:25:13,239Is a lot of information going on, a lot of stuff going on127801:25:13,279 --> 01:25:16,239in the markets coming up to theend of the quarter with the FED positive127901:25:16,319 --> 01:25:19,000rates, everything like that, andit all comes down to what we talk128001:25:19,039 --> 01:25:21,319about all the time, is yourplan. Do you have a plan?128101:25:23,079 --> 01:25:25,880If you don't, give us acall. If you do have a plan128201:25:25,920 --> 01:25:28,960but you think it might be outdated, give us a call anytime you got128301:25:28,960 --> 01:25:30,560to think about it. We areglad to help. It's a free financial128401:25:30,560 --> 01:25:34,239plan that we offer and we justwant to help you guys feel at peace128501:25:34,640 --> 01:25:38,479with what you're doing in retirement,getting ready for it. If you're already128601:25:38,520 --> 01:25:41,920in it, how you're going todo the income do you need more income128701:25:41,960 --> 01:25:44,840from somewhere else? Are you goingto touch your assets or do you have128801:25:44,840 --> 01:25:46,520your good pensions going on, alot of Feds do have great pensions,128901:25:46,520 --> 01:25:49,239so they don't even need to touchtheir TSP. They just wanted to grow129001:25:49,560 --> 01:25:54,079most likely for their kids. Stufflike that. Social Security optimizer, we129101:25:54,119 --> 01:25:56,520can help you with that. Seewhen the best time is to take a129201:25:56,640 --> 01:26:01,680social Security based off numbers. Obviouslythere's other factors in that happened with social129301:26:01,680 --> 01:26:04,920Security with alengevity in your family,stuff like this, do you think you129401:26:05,000 --> 01:26:08,880might go back to work before yourfull retirement days? All that, But129501:26:09,319 --> 01:26:11,640it's all part of the conversation thatwe have with the financial plan. And129601:26:11,640 --> 01:26:15,560like you're saying, we've been havinga lot of current clients new clients.129701:26:15,600 --> 01:26:17,239They come in, they want todo the financial plants. It's just great129801:26:17,239 --> 01:26:20,680thing to help people with. Yeah, if you need that peace of mind,129901:26:20,720 --> 01:26:25,000we certainly can help for that.I gotta shout out to listener Doug130001:26:25,479 --> 01:26:28,760and he's in Carl's Bad, California. I know if you've ever been to130101:26:28,840 --> 01:26:32,079Carl's Bad, very cool, verycool town it is. Yeah, it's130201:26:32,119 --> 01:26:38,720a kind of on the way betweenSan Diego, and Agau and it's a130301:26:38,760 --> 01:26:44,279cool town. And he pointed outthat Carl's Bad has the largest desalinization plant130401:26:44,359 --> 01:26:49,119in the Western Hemisphere. He saidit can protest fifty million gallons a day.130501:26:49,560 --> 01:26:53,880Wow. Now, all the waterneeds in the Western United States,130601:26:53,880 --> 01:27:00,520in my opinion, could be solvedby these plans. But the governing authorities130701:27:00,560 --> 01:27:05,560in California are more interested in protectingmarine life than human life. Yep,130801:27:06,520 --> 01:27:10,760it sounds about right for them.There's currently twelve plants in operation, but130901:27:10,840 --> 01:27:15,199getting more builts, like getting anuclear power plan approved, it is unbelievable.131001:27:15,239 --> 01:27:18,439You know what California is also passingis that starting the thing next year,131101:27:18,840 --> 01:27:24,800they want to charge people electricity billsbased on their income. So if131201:27:24,960 --> 01:27:27,720you make one hundred and eighty thousanddollars, you were probably gonna pay five131301:27:27,800 --> 01:27:30,319hundred more dollars a year on yourelectric bill just because you pay more you131401:27:30,359 --> 01:27:33,640make more money. It's just they'retrying to do socialism over there. They're131501:27:33,680 --> 01:27:36,279giving you no incentives to work hardand make more money. They'd rather you131601:27:36,359 --> 01:27:41,920just make less money and give itall the government. The one interesting thing131701:27:41,920 --> 01:27:45,159I discovered on my trip over there, and I had not seen this in131801:27:45,239 --> 01:27:50,000the western United States, but it'spopping up pretty aggressively in Orange County.131901:27:50,600 --> 01:27:56,359Toll roads. Toll roads, Yeah, that's not a thing out on the132001:27:56,359 --> 01:27:58,920West. Usually that's all the Eastcoast. It's not a thing. I132101:27:58,920 --> 01:28:01,880actually had to go on line totoll roads dot com or some stupid thing132201:28:02,239 --> 01:28:09,319and and register my vehicle or elseI would be assessed fines for late payment.132301:28:09,560 --> 01:28:12,319There are reasoning for that, issaying they want to control the traffic132401:28:12,319 --> 01:28:15,439that happens like on the four orfive and all in LA area and just132501:28:15,560 --> 01:28:18,039like that, so they're gonna chargepeople. Yeah, but they didn't call132601:28:18,079 --> 01:28:20,399it a toll road. They calledus something else that This is the reason132701:28:20,520 --> 01:28:23,680I was like, this is atoll road, is what you're making it.132801:28:23,680 --> 01:28:29,439It's kind of like on you everwatch um not General Hospital, the132901:28:29,560 --> 01:28:32,399one in Seattle, UM grazon outof it. Yeah, thank you.133001:28:32,520 --> 01:28:38,199I've only I've only seen eighteen seasonsof it. They've got a spin off133101:28:38,600 --> 01:28:41,600from that called Station nineteen, whichis kind of good. It's kind of133201:28:41,640 --> 01:28:44,640like Chicago Fire. So it's ait's a cute show. Um, but133301:28:44,720 --> 01:28:47,399they don't have ambulances on this show. Now, I don't know if this133401:28:47,479 --> 01:28:49,960is real life Seattle or not,but there is no such thing as an133501:28:49,960 --> 01:28:57,439ambulance. They are aid cars,a ID cars. Why not ambulances?133601:28:57,840 --> 01:29:05,760I have no idea that probably lessthreatening, was less scary, dealing words133701:29:05,800 --> 01:29:11,840heard? Okay, big emotions,big emotions. Yeah, home builder lenar133801:29:12,000 --> 01:29:15,319all time high and isn't that amazing? You go back nine months ago,133901:29:15,960 --> 01:29:20,199the home builders were so out offavor because everybody knew the real estate market134001:29:20,239 --> 01:29:26,399was falling apart. Yeah, andguess what happened? They all nobody decided134101:29:26,439 --> 01:29:29,880to sell their house. Nobody's wantingto sell their house. Everybody is not134201:29:29,960 --> 01:29:34,439necessarily coveting their house, but covetingtheir mortgage rate exactly. So if you134301:29:34,479 --> 01:29:38,119want to buy a house, yougot to buy a new house. So134401:29:38,239 --> 01:29:41,960guess what the home builders are doing? Just great, all of them hitting134501:29:41,960 --> 01:29:44,720all time highs. It's funny howthat works. Yeah, because they were134601:29:44,720 --> 01:29:46,279dead in the water for a while, dead in the water. And healthcare,134701:29:46,359 --> 01:29:50,560you know, Friday, all ofthe insurers sold off United Healthcare,134801:29:50,640 --> 01:29:57,479Stagna, hemana um after after United. The CEO of United has said that134901:29:57,600 --> 01:30:04,279there has been a surge in onurgent surgeries surge in non urgent surgeries,135001:30:04,399 --> 01:30:11,039primarily elderly people doing elective surgery thatthey didn't do during the pandemic can kind135101:30:11,039 --> 01:30:15,000of put off and put off.And one thing that I know personally is135201:30:15,000 --> 01:30:17,399is orthopedic issues are going to beput off until you just can't take it135301:30:17,439 --> 01:30:21,520anymore. Yeah, until the painis Like your dad, we'll find out135401:30:21,520 --> 01:30:27,479when he gets back. But Itore my meniscus hike in the Grand Canyon,135501:30:27,800 --> 01:30:31,039and I dealt with it for aboutsix months until I just couldn't take135601:30:31,039 --> 01:30:40,960it anymore. Till the pain thatI'm going to endure through surgery is less135701:30:40,960 --> 01:30:44,439than what I'm having to deal withevery day on this with this armeniscus.135801:30:44,960 --> 01:30:46,720Yeah. Yeah, I mean youcould expect that too, because a lot135901:30:46,760 --> 01:30:49,840of people, well they weren't evenallowing elective surgeries for a while there none,136001:30:49,880 --> 01:30:53,800I mean for the longest time,through all of twenty twenty and most136101:30:53,880 --> 01:30:57,159of twenty twenty one, right,and now twenty twenty two, you can136201:30:57,199 --> 01:30:59,279start to do it. Well,here we are twenty twenty three, and136301:30:59,279 --> 01:31:00,560everybody's saying, well, I guesslet's go ahead and do it. Yeah,136401:31:00,560 --> 01:31:02,640exactly. I want to go backto Tesla. Did you see they136501:31:02,800 --> 01:31:05,720you're mister Tesla. Now, didyou see in China they have a concept136601:31:05,960 --> 01:31:10,279shop area that people can go seekind of see about the car. They136701:31:10,319 --> 01:31:14,119have an assembly line in there thatmakes a Tesla Model three within forty five136801:31:14,159 --> 01:31:18,159seconds. Oh my god, seconds, Holy cow. If they can get136901:31:18,159 --> 01:31:23,640that mass produced, that's insane.I went into the Tesla dealership on Oracle137001:31:23,680 --> 01:31:28,239and I just look around and theyhave a service department. And I said137101:31:28,279 --> 01:31:30,600to the guy, said, whywould you have a service department? He137201:31:30,640 --> 01:31:35,560goes, people come in because theyneed their tires rotated every ten thousand miles137301:31:35,640 --> 01:31:39,760and he said, uh, once. And some people come in for broken137401:31:39,760 --> 01:31:44,760windshields. I think, isn't thatlike Safeco or some safeguard or whose Why?137501:31:45,359 --> 01:31:47,159He says, I'll tell you thebig, biggest problem with his car.137601:31:47,279 --> 01:31:49,199Now, I go, what's that? And he takes me all his137701:31:49,279 --> 01:31:54,239smarty pants. He takes me overto this Tesla and he lifts up the137801:31:54,319 --> 01:31:58,319front which is a trunk. Yeah, it's not the engine. And there137901:31:58,439 --> 01:32:01,119is this little cap and he said, you've got to keep an eye on138001:32:01,199 --> 01:32:06,000that. It was windshell washer fluid. It's a good salesman. Yeah,138101:32:06,079 --> 01:32:09,560it's a good sale. This isgonna be mony of big issues. You138201:32:09,640 --> 01:32:13,800gotta keep that full. Yeah.Lastly, on Tesla, France wants on138301:32:13,880 --> 01:32:17,760the build a gigafactory there because theywant to up there ev market get a138401:32:17,760 --> 01:32:20,800boost in there in the European market. The issue is they're trying to ban138501:32:20,960 --> 01:32:25,680Twitter. Yeah, so they're likeat odds with Elon Musk right now.138601:32:25,720 --> 01:32:28,399But they want them to build agigafactory and then band Twitter on them.138701:32:28,560 --> 01:32:30,840Yeah. I don't. I don'tthink there's any Boston, certainly none of138801:32:30,880 --> 01:32:35,640us here Greenberg Financial that think thatthe electric cars are the solution to a138901:32:35,680 --> 01:32:41,279world pollution, solution to folution likethat. Um, but it's a step139001:32:41,279 --> 01:32:45,199in the right direction. That's Ithink we're We're support we're certainly supportive of139101:32:45,199 --> 01:32:48,560it. We're not interested in beingmandated in any way, shape or form.139201:32:48,600 --> 01:32:53,439Yeah, I don't think any ofus are anywhere near good with mandates.139301:32:53,600 --> 01:32:56,880No, we don't want that.It's up to you want had an139401:32:56,880 --> 01:33:00,840IPO, you know, initial publicoffering and IPO things that used to be139501:33:00,920 --> 01:33:05,600very common have become a very likea very very rare, very very rare.139601:33:06,000 --> 01:33:13,279And we actually had one this pastweek, a popular fast casual Mexican139701:33:13,680 --> 01:33:18,640restaurant Mediterranean Mediterranean thank you, calledCava, and I understand there's a couple139801:33:18,680 --> 01:33:21,760of them in Phoenix. That's whatTodd was saying. I haven't eaten there,139901:33:21,760 --> 01:33:26,039but he said it's good. It'skind of like the Mediterranean version of140001:33:26,079 --> 01:33:30,560Chipotle. That's why I've heard acouple of times. They came out offered140101:33:30,560 --> 01:33:34,359at twenty two dollars to share Thursdaymorning, started trading about three or four140201:33:34,399 --> 01:33:39,720hours into the trading day double yep, and then it gave back about ten140301:33:39,760 --> 01:33:42,319percent of that on Friday. Yeah, it had doubled. The thing is,140401:33:42,359 --> 01:33:45,479if they run their company the sameas Chipotle, they'll be a good140501:33:45,520 --> 01:33:49,399company, because chipol Stock is killingit. Pole Stock is unbelievable. It's140601:33:49,439 --> 01:33:53,159good management. It's it's like Ihave a good business model. They have140701:33:53,199 --> 01:33:56,920good management. They retain their employees, their board, everything. I eat140801:33:56,920 --> 01:33:59,079it from time to time, butI don't, finally, do nothing really140901:33:59,079 --> 01:34:02,119special about it. Every once ina while, it's easiness to get it.141001:34:02,319 --> 01:34:04,920Oh, it's pretty easy, andit's it's okay. You know,141101:34:04,960 --> 01:34:08,520I told you the other day outlike I'll eat anything that's wrapped in a141201:34:08,560 --> 01:34:11,640tortilla. Yeah, exactly. Ithink I could eat Brussels sprouts if they141301:34:11,680 --> 01:34:14,119were in a Kirkia. I'm gonnaget you that for your birthday. Brussels141401:34:14,399 --> 01:34:16,640Brussels sprouse wrapped in a burrito pickon, pick on me, huh,141501:34:17,079 --> 01:34:20,640you said it. I'm just thinkingthe most absurd thing. What's what's the141601:34:20,640 --> 01:34:25,640thing I just like in a motionin the world. Probably Brussels sprouts and141701:34:25,640 --> 01:34:29,319then maybe onions and tomatoes, sohey, put some unions and tomatoes on141801:34:29,359 --> 01:34:32,560the brussels. Probably wrap a minuteto see if I could actually actually tolerated.141901:34:32,840 --> 01:34:38,159You know, most of us havea Logitech equipment at some point,142001:34:38,279 --> 01:34:41,119or have it now, or havehad it in our house that they make142101:34:41,159 --> 01:34:45,119the keyboards and the mouth stuff.That's a I don't think it's mostes.142201:34:45,119 --> 01:34:49,279I think it's a mice. Thoughtof that with a computer mouse. Yeah,142301:34:49,279 --> 01:34:53,279you can kind of feeling in foryour dad there. I used to142401:34:53,279 --> 01:34:57,159teach him about his diction and he'sgot to make up for it. A142501:34:57,159 --> 01:35:00,800lot of fun to have around.Um. This other should dropped ten percent142601:35:00,840 --> 01:35:03,880on Wednesday. Their new CEO isleaving for an outside of company and they142701:35:03,960 --> 01:35:09,760just actually got the brand new earlygot in there and Charity kicking the tires142801:35:09,760 --> 01:35:12,359and going and I don't think,what's the company he's moving to. It142901:35:12,399 --> 01:35:16,199didn't jealous. It was an outwas an outside company that prompted City Group143001:35:16,239 --> 01:35:21,000to downgrade the stock I Robot.I robot jumped. On Friday twenty,143101:35:21,279 --> 01:35:27,439European regulators approved Amazon's attempt to acquirethat company. I Robot is the maker143201:35:27,479 --> 01:35:30,439of roomba. Yeah, the room. That was a great company during twenty143301:35:30,479 --> 01:35:33,720twenty during the pandemic. Oh yeah, they were off the charts and then143401:35:33,720 --> 01:35:38,560they pulled back a lot. Butyeah, they finally let Amazon. They143501:35:38,640 --> 01:35:42,039gave Amazon the go ahead, whichis all it needed, and they got143601:35:42,039 --> 01:35:45,319the go ahead, and there there. I guess, you know, Amazon's143701:35:45,399 --> 01:35:48,399got so much extra cash. I'mnot sure what they're thinking they're gonna do143801:35:48,520 --> 01:35:53,840with that. Make it their own. I guess on the Amazon they make143901:35:53,840 --> 01:35:56,000it cheaper and they'll sell more,because I'll buy a room if it's cheaper.144001:35:56,119 --> 01:35:59,319I'm not paying five hundred dollars forthe roombo Thursday morning, I ordered144101:35:59,399 --> 01:36:01,119something my wife if asked me toorder on Amazon, and when we got144201:36:01,119 --> 01:36:05,960home Thursday afternoon was sitting there andmy wife. My wife goes, we're144301:36:06,000 --> 01:36:10,439gonna have to find somebody else.These guys are really sloughing off on delivery.144401:36:10,560 --> 01:36:13,800I mean, it's just mind boggling. Anyway, we appreciate you listening144501:36:13,800 --> 01:36:15,720to us, just the two ofus, and next week it'll be just144601:36:15,760 --> 01:36:18,119the tow us, but it'll bea different two of us, and we'll144701:36:18,159 --> 01:36:21,760probably have Jonathan on next week andmaybe have some guests. And again we144801:36:21,800 --> 01:36:26,239appreciate you taking time out of yourFather's Day Sunday morning to listen to us.144901:36:26,720 --> 01:36:30,720We'll be back next week. Weall want to be happy and we145001:36:30,960 --> 01:36:33,159all want to be healthy, buta Greenberg financial what we're trying to be145101:36:33,399 --> 01:36:38,520is profitable next week. Say it'sall