Mitigating Risk and Finding Support in a Volatile Market

WEBVTT 1 00:00:00.080 --> 00:00:03.560 Good morning, everybody. This is the Money Matter Show. It's Sunday morning, 2 00:00:03.560 --> 00:00:10.320 eight o'clock right here on seven ninety knst. Over the next two hours, 3 00:00:10.359 --> 00:00:13.439 we're going to try to bring you our opinions, our ideas. What's 4 00:00:13.480 --> 00:00:18.079 going on in the markets and how it's being affected by everything going on. 5 00:00:18.160 --> 00:00:22.480 And man, is there a lot going on. You try to look at 6 00:00:22.519 --> 00:00:25.800 out there and you go wow, no, wonder the markets going down. 7 00:00:26.359 --> 00:00:30.000 We had the chairman of the Federal Reserve that just wants to break it, 8 00:00:30.600 --> 00:00:37.000 break the economy. We've got the war that keeps getting worse over in the 9 00:00:37.000 --> 00:00:42.320 Middle East than they talk about escalation. We got the other war in Ukraine. 10 00:00:42.560 --> 00:00:49.600 We got Russia talking about testing nuclear weapons again, getting rid of the 11 00:00:49.679 --> 00:00:56.280 ban. I mean, it's just a joke. And then we sit here 12 00:00:57.439 --> 00:01:00.679 listening to Biden ask for another one hundred and six billion dollars for aid to 13 00:01:00.759 --> 00:01:07.879 everybody. Meanwhile, we can't afford what we're doing here now. I'm not 14 00:01:07.959 --> 00:01:11.599 saying we don't give aid. What I'm saying is, let's get her act 15 00:01:11.599 --> 00:01:19.400 together. Guys. Oil got backed over ninety dollars a barrel. The UAW 16 00:01:19.680 --> 00:01:25.239 is still on strike, the prices of cars are going to go through the 17 00:01:25.319 --> 00:01:30.040 roof. We need to bring down inflation, and we need to all help 18 00:01:30.120 --> 00:01:37.879 bring down inflation, including our damned government who can't even get the Republican speaker 19 00:01:38.519 --> 00:01:48.159 back in when that is probably the biggest blunder I have seen in politics for 20 00:01:48.239 --> 00:01:57.560 a long time. And it's not about Oustingham ousting McCarthy with eight people. 21 00:01:57.439 --> 00:02:01.840 That's not what I'm talking about. The rules, that's the rules. But 22 00:02:01.920 --> 00:02:07.640 we talk about always having a plan, because if you don't have a plan, 23 00:02:07.759 --> 00:02:13.159 you end up looking like idiots. And now they're on the third, 24 00:02:13.240 --> 00:02:20.000 fourth, whatever, fifth vote for Jim Jordan. How did they not have 25 00:02:20.120 --> 00:02:23.280 somebody in mind that can get all the votes when he ousted the one guy 26 00:02:23.719 --> 00:02:32.000 that was in communication of trying to put the deals together. Eight people do 27 00:02:32.120 --> 00:02:40.240 not represent the entire country. The Republicans as a group have the power, 28 00:02:42.479 --> 00:02:46.879 but once they fracture, we don't have the power anymore, which makes us 29 00:02:46.919 --> 00:02:51.560 look bad and people on the other side saying, Okay, how do we 30 00:02:51.599 --> 00:02:54.680 get some of this power even though we don't have the numbers, Because there's 31 00:02:54.680 --> 00:03:00.000 a lot of moderate Republicans that are saying this is ridiculous, and it is 32 00:03:00.240 --> 00:03:04.560 ridiculous and it's not ridiculous because they asked McCarthy to step down and they voted 33 00:03:04.560 --> 00:03:09.000 against it. How to vote of confidence against them? What's ridiculous is that 34 00:03:09.520 --> 00:03:14.080 people think that if you don't get what you want, you automatically get rid 35 00:03:14.080 --> 00:03:16.680 of somebody without a compromise. There's one, okay, so you get rid 36 00:03:16.680 --> 00:03:23.240 of them, But you don't have a plan. What was their plan to 37 00:03:23.319 --> 00:03:29.719 put the House speaker in in the midst of everything that's going on. You 38 00:03:29.800 --> 00:03:34.360 need a speaker to be able to put to bring together to the table of 39 00:03:34.439 --> 00:03:43.840 Lord's proposals ideas to be voted on. And we sit here for three weeks 40 00:03:43.879 --> 00:03:52.800 now without somebody holding the gavel. Maybe you don't think it's bad. I 41 00:03:52.919 --> 00:03:57.039 do. If you want to do it, have a plan. I've never 42 00:03:57.080 --> 00:04:01.719 done anything without understanding the consequences of both sides of something. Figure it out. 43 00:04:03.599 --> 00:04:06.800 Every time I invest in the market, to have a plan. If 44 00:04:06.840 --> 00:04:11.159 it's going down, what level do I go ahead and reduce my risk? 45 00:04:11.400 --> 00:04:14.360 If it's going up at what level do I reduce my risk? I mitigate 46 00:04:14.439 --> 00:04:16.959 risk. When the markets get too high, then I start selling off some. 47 00:04:17.720 --> 00:04:20.560 But I never come out of everything because I know I could be wrong, 48 00:04:21.160 --> 00:04:26.720 just like these guys are wrong. They don't have anyone to replace them, 49 00:04:26.920 --> 00:04:31.959 so we go down the road with nothing. What we do is we 50 00:04:32.639 --> 00:04:40.959 want to lax any sanctions we have on countries already. So this week we 51 00:04:41.160 --> 00:04:46.959 lacks the sanctions we have on Venezuela oil. Why do we have sanctioned on 52 00:04:46.000 --> 00:04:49.000 them in the first place? Why are we allowing them to pump more oil 53 00:04:49.079 --> 00:04:58.240 but we won't? How ridiculous common sense is that that we're trying to do 54 00:04:58.319 --> 00:05:02.399 the carbon deal right clean eze. I want that, but we won't do 55 00:05:02.439 --> 00:05:10.519 it here, but we're gonna let other people do it everywhere else. Start 56 00:05:10.600 --> 00:05:16.079 drilling our damn oil, start reducing the regulations, relaxing on the regulations, 57 00:05:16.279 --> 00:05:19.639 and they could oil down, so our inflation could come down. So a 58 00:05:19.720 --> 00:05:27.240 fed Champian doesn't have to sit there on in the island by himself talking about 59 00:05:27.240 --> 00:05:30.800 how he has to keep rates higher for longer, and now he sees the 60 00:05:30.879 --> 00:05:33.439 risk. We are gonna break the banks. I am telling you that we're 61 00:05:33.480 --> 00:05:39.720 gonna break these regional and small type banks. They can't do all loans. 62 00:05:43.360 --> 00:05:46.879 Now, they're gonna start seeing problems next year with people with the loans, 63 00:05:46.959 --> 00:05:53.600 especially commercial loans come and do that were maybe at five six percent, and 64 00:05:53.639 --> 00:06:00.680 now they're gonna be looking at nine maybe depending on the on the on the 65 00:06:00.720 --> 00:06:06.240 asset. Consumer loans, personal loans, they're ten to eleven twelve percent. 66 00:06:06.759 --> 00:06:12.759 Mortgages are over eight and a half percent. It's one thing. If it 67 00:06:12.839 --> 00:06:16.040 was gradually over five or six or seven years, it's another one. It's 68 00:06:16.120 --> 00:06:19.800 less than two years, less than a year and a half. We're pounding 69 00:06:19.800 --> 00:06:27.040 away at these interest rates. That's a problem, But yet we don't cut 70 00:06:27.079 --> 00:06:31.160 spending. Every one of you that are listening to me, understand what I'm 71 00:06:31.199 --> 00:06:36.160 saying right now. If it costs more money to go to the grocery store, 72 00:06:36.639 --> 00:06:42.519 more money to go to the guests and fill up your car, more 73 00:06:42.600 --> 00:06:46.360 money to pay for electricity, more money to pay for water, more money 74 00:06:46.360 --> 00:06:54.680 to just live, where's it come from. Ninety nine points nine percent of 75 00:06:54.680 --> 00:06:59.680 the people must stop spending so much. Cut out some things. And it's 76 00:06:59.680 --> 00:07:04.920 always about entertainment or drinking a partying, or going on trips or doing something 77 00:07:04.959 --> 00:07:11.839 other than your basic living. And when that happens, it brings down the 78 00:07:11.879 --> 00:07:16.439 economy. Because if someone doesn't go on vacation, then that hotel room is 79 00:07:16.480 --> 00:07:19.600 not being filled. That means they don't need as many workers there. That 80 00:07:19.680 --> 00:07:24.560 means the food people, the truck people, the transportation people, you name 81 00:07:24.600 --> 00:07:28.879 it. They all start getting down and then everyone starts laying off people down 82 00:07:28.920 --> 00:07:34.399 the road. Is that what Chairman Powell wants? Probably not, but he 83 00:07:34.480 --> 00:07:40.120 won't do anything because he cannot do anything without the rest of the government helping 84 00:07:40.160 --> 00:07:45.759 them. This is the Money Matter Show, as you know, and it 85 00:07:45.800 --> 00:07:48.680 is brought to you by Greenberg for an Ancier Group. Greenberg Financier Group is 86 00:07:48.680 --> 00:07:53.639 both the registered investment advisory and he broke a dealer were registered with the sec 87 00:07:54.199 --> 00:07:57.240 members of Froom, members of SIPICK. We talk about a lot of different 88 00:07:57.240 --> 00:08:01.279 stuff on this show. We talk about product strategy, these ideas. We 89 00:08:01.319 --> 00:08:05.759 all have our own opinions. If you don't realize that everything everything you do, 90 00:08:05.839 --> 00:08:13.360 we do, anybody does as risk, then you're not listening to what's 91 00:08:13.399 --> 00:08:18.079 out there. Risk is everywhere. Understand the risk, calculate the risk, 92 00:08:18.319 --> 00:08:22.000 and don't be afraid of the risk as long as it's what you can handle. 93 00:08:22.199 --> 00:08:24.600 If you can't handle any risk, you better be in a money market 94 00:08:24.600 --> 00:08:28.800 fund, government securities, and that's fine. We got people that just buy 95 00:08:28.839 --> 00:08:33.240 government securities now paying us over five percent. They're happy. We're happy. 96 00:08:33.440 --> 00:08:37.639 We'll do what your needs are and your risk tolerance are. But we have 97 00:08:37.759 --> 00:08:41.480 a plan. Our government doesn't have the plan. The Republicans don't have a 98 00:08:41.480 --> 00:08:46.200 plan. I don't know what a plan is. In Israel, I think 99 00:08:46.200 --> 00:08:56.440 they have a plan. They're supporting them. It's still just chast me that 100 00:08:56.559 --> 00:09:01.240 our universities, these young people who are absolutely preserved, don't understand the damn 101 00:09:01.320 --> 00:09:09.919 thing having pro Palestine rallies. Don't they understand this is not against the Palestinian 102 00:09:09.960 --> 00:09:20.200 people. Israelis and Palestinian people live and commingle their lives together. There's not 103 00:09:20.240 --> 00:09:26.519 a wall like there was in Berlin, East Germany and West Germany. Now 104 00:09:28.360 --> 00:09:35.559 there's a war. There's a fence with openings that people go back and forth. 105 00:09:35.759 --> 00:09:39.600 They have to have permits for work permits and stuff. Sure, but 106 00:09:39.720 --> 00:09:48.600 they can live together. That's where they were going. But Harmas came off 107 00:09:48.639 --> 00:09:56.000 as good Palestinian people, but they were really wolf. There were sheep and 108 00:09:56.080 --> 00:10:01.960 wolves. There were wolves in sheep clothing. They were the Trojan horse. 109 00:10:01.639 --> 00:10:11.200 They invaded within. So when people say pro Palestine, pro Palestine. This 110 00:10:11.399 --> 00:10:15.000 is great. They're fighting for Palestine. They are not fighting for Palestine. 111 00:10:16.240 --> 00:10:24.519 Has Bola and Hamas are not fighting for Palestinians. They are fighting for the 112 00:10:24.519 --> 00:10:30.480 cause that Iran tells him the hate Israel and all these people that are protesting 113 00:10:30.480 --> 00:10:37.639 are the same left liberals that tell everyone they're racist and tear down all the 114 00:10:37.720 --> 00:10:41.559 statues and get rid of everything else. But they won't go ahead and go 115 00:10:41.600 --> 00:10:52.000 against Hamas and Headpola, which means the pro Iran and anti Semites. Where's 116 00:10:52.000 --> 00:10:58.080 the hate there. We have very selective ability to talk to people about what 117 00:10:58.120 --> 00:11:01.240 they want and what they don't want, but you cannot talk to people that 118 00:11:01.320 --> 00:11:09.799 are brain dead that don't understand the difference between the terrorist groups and the Palestinian 119 00:11:09.840 --> 00:11:16.360 people. And if you do not think that the Israelis are trying to do 120 00:11:16.440 --> 00:11:22.399 everything not to go ahead and kill civilians, then you're crazy. They have 121 00:11:22.480 --> 00:11:26.600 given them time. It's harmas that do not let the Palestinians out of their 122 00:11:26.600 --> 00:11:33.080 own country for safety because they know don well the only protection they're going to 123 00:11:33.159 --> 00:11:39.919 get when Israeli comes in and just mows them down will be the world saying, 124 00:11:39.960 --> 00:11:45.799 oh they killed civilians. They're using them as human shields. But nobody 125 00:11:45.960 --> 00:11:50.879 talks about Israelis getting slaughtered in their homes, in their beds, on the 126 00:11:50.919 --> 00:11:58.039 kibbutzers at a music festival. We got a problem. We got a problem 127 00:11:58.039 --> 00:12:03.200 in America. And tell you something. They're infiltrating America, and I believe 128 00:12:03.240 --> 00:12:11.120 that just like they infiltrated our air trapped our pilots training, and we're able 129 00:12:11.120 --> 00:12:16.279 to get into the seven forty sevens and demolish the World Trade Center and the 130 00:12:16.360 --> 00:12:24.440 Pentagon and then the heroes that brought them down in Pennsylvania. Let's face it, 131 00:12:24.480 --> 00:12:31.279 guys, we are blind to anything because we're afraid of something. Saying 132 00:12:31.399 --> 00:12:35.360 something, Looking at something the wrong way. Is somebody trying to cancel somebody 133 00:12:37.120 --> 00:12:41.799 until it happens to you. And I don't want it to happen to us. 134 00:12:41.679 --> 00:12:46.679 But you know they're coming over the border. We live here. We 135 00:12:46.759 --> 00:12:52.320 hear about it. I know people on the border control patrol they see it, 136 00:12:52.399 --> 00:12:58.240 hear it all the time. But we act like, no, I 137 00:12:58.360 --> 00:13:03.840 hate America. I hate Israelies. Then you know what, go fight for 138 00:13:03.919 --> 00:13:11.679 Hamas or has Bola or some other place, but get the hell out of 139 00:13:11.720 --> 00:13:16.320 here. I'm tired of it. I'm tired of watching education go down the 140 00:13:16.399 --> 00:13:22.200 drain. I'm tired of listening to kids that don't know what is going on 141 00:13:22.279 --> 00:13:28.879 and they think it's cool to protest against anything that makes sense. But we 142 00:13:28.960 --> 00:13:33.360 have to have it because it's free speech. But when we have free speech, 143 00:13:33.120 --> 00:13:39.559 we get centured. When we want to be pro life and there's violence, 144 00:13:39.600 --> 00:13:46.879 we get sentient. How many people got arrested at the Capitol when they 145 00:13:46.919 --> 00:13:52.399 went in there with their sit down and started protesting, telling you that they 146 00:13:52.480 --> 00:13:56.559 want to cease fire and Israel and everything else, basically blame in Israel pro 147 00:13:56.600 --> 00:14:05.440 Palestidians. How many people got arrested? I thought you weren't allowed in the 148 00:14:05.480 --> 00:14:11.279 capitol to be protesting inside the capitol, or you get arrested or is it 149 00:14:11.440 --> 00:14:16.080 just that the people on the right side get arrested? And I understand it 150 00:14:16.159 --> 00:14:22.960 wasn't the same level that happened on January sixth. I get that. You 151 00:14:22.960 --> 00:14:26.240 don't have to tell me that. I get that, But you know what, 152 00:14:28.000 --> 00:14:35.559 they always make excuses because I remember the Summer of Love in Seattle not 153 00:14:35.600 --> 00:14:41.039 too long ago, blowing up police stations, setting everything on fire, demolishing 154 00:14:41.120 --> 00:14:46.240 property, federal property. Oh, it's a summer of love. We can't 155 00:14:46.279 --> 00:14:52.159 do anything to them. But if the right does anything steps out of line, 156 00:14:52.480 --> 00:14:54.559 and they can go ahead and do something, they do. They arrest 157 00:14:54.639 --> 00:15:01.519 people left and right and throw away to keep pretty much. They come up 158 00:15:01.519 --> 00:15:05.240 with ideas, they come up with ways to hurt their opponents. I mean, 159 00:15:05.279 --> 00:15:09.240 look what Trump is going through. Come on like him or not like 160 00:15:09.320 --> 00:15:16.480 him. What he's going through is insane, insane. Anybody that's in the 161 00:15:16.559 --> 00:15:22.080 real estate business has tell you right now, they put down what they a 162 00:15:22.639 --> 00:15:30.080 price on their buildings. If there's nobody going out there and doing an estimate, 163 00:15:30.840 --> 00:15:35.120 they're estimating. And if the benks don't like it, they'll come back 164 00:15:35.159 --> 00:15:39.480 and tell you, I think that's high. They'll get an appraisal, and 165 00:15:39.559 --> 00:15:41.840 every once in a while they do do an appraisal, so can't go that 166 00:15:41.879 --> 00:15:48.919 many years without it. But they exaggerate. The media exaggerates because everyone wants 167 00:15:48.919 --> 00:15:52.399 you to think that Trump did all these illegal things and there's no way should 168 00:15:52.399 --> 00:15:58.240 be president. Take it all away. But think about what they did with 169 00:15:58.279 --> 00:16:04.320 Trump. They lied about him with Russia, lied lied about him with Ukraine, 170 00:16:04.679 --> 00:16:10.120 lied about him with China. But what did he accomplish Look what he 171 00:16:10.200 --> 00:16:15.840 did in the Middle East. He came with the Abraham Peace Accord. He 172 00:16:15.960 --> 00:16:22.960 was just getting the Arabs and the Jews to start talking and agreeing to some 173 00:16:23.000 --> 00:16:30.799 type of piece of working together. And what did we get. As soon 174 00:16:30.840 --> 00:16:36.679 as Biden came in, what did he do? He broke that up. 175 00:16:36.720 --> 00:16:41.559 He got rid of it because he decided to take the sanctions off Iran. 176 00:16:44.399 --> 00:16:48.440 Iran was being squeezed. That's why the Middle the countries in the Middle East 177 00:16:48.480 --> 00:16:55.399 started to talk with Israel. Israelis because Iran was economically not able to do 178 00:16:55.440 --> 00:17:03.200 what they needed them to do. What happens Nukid, everybody was worried, 179 00:17:03.240 --> 00:17:07.079 we're going to go to war with Russia or China. Well guess what happened 180 00:17:07.079 --> 00:17:15.920 on the Biden Now we're talking about nuclear testing again. But no, it 181 00:17:15.960 --> 00:17:18.119 was everybody else. Tony of the Trump sits there with the red button at 182 00:17:18.200 --> 00:17:22.920 night, and what if he just decides to push it? Just stupid, 183 00:17:23.359 --> 00:17:30.680 stupid images that the media put out. It's Biden's group that's getting us there. 184 00:17:30.599 --> 00:17:34.640 It's this left that allows everyone to do what they want to do and 185 00:17:34.759 --> 00:17:41.480 keeps agreeing with them, and they won't compromise. It's the regulations that we 186 00:17:41.599 --> 00:17:49.079 put on oil, and we go from being absolutely independent energy independent to have 187 00:17:49.119 --> 00:17:53.359 an export again. But the craziest thing is what did they say to us 188 00:17:53.359 --> 00:18:03.440 when they started going into our reserves or oil preserves, that we'll buy back 189 00:18:03.559 --> 00:18:06.200 oil when it gets down to the seventies. We're gonna bring the price of 190 00:18:06.240 --> 00:18:07.759 oil down. Yeah, they wrote those coat tails all the way down to 191 00:18:07.799 --> 00:18:11.359 seventy. In fact, they got to sixty one. And you heard on 192 00:18:11.400 --> 00:18:18.599 our show, we kept saying, has anybody heard about us replenishing the spr 193 00:18:19.519 --> 00:18:23.480 No, we didn't because they didn't. But this week I heard they're gonna 194 00:18:23.480 --> 00:18:30.000 stop buying like four or six million barrels back into the reserve. They're gonna 195 00:18:30.000 --> 00:18:41.640 stop buying oil back and increasing oil reserves this week at ninety dollars. But 196 00:18:41.680 --> 00:18:47.680 no one makes a big deal. No one questions them. They need to 197 00:18:47.680 --> 00:18:52.319 be questioned on their economic fiscal ideas of what they're doing. They are going 198 00:18:52.359 --> 00:18:56.200 to bankrupt the hell out of this country. We cannot keep giving hundreds of 199 00:18:56.200 --> 00:19:00.119 billions of dollars away when we can't even go ahead live here. Interest rates 200 00:19:00.160 --> 00:19:03.480 are so high right now, you're gonna see at default rate that's gonna go 201 00:19:03.559 --> 00:19:07.519 through the roof next year. If these rates don't come down, people are 202 00:19:07.599 --> 00:19:11.880 using their savings to be able to pay for things. They're gonna stop paying 203 00:19:11.920 --> 00:19:14.680 on credit cards. The credit cards are gonna get maxed up. People are 204 00:19:14.680 --> 00:19:18.480 gonna say, well on credits ruined already. I'm just gonna wait this out. 205 00:19:18.960 --> 00:19:21.680 Hopefully the government will go ahead and make a deal. They did with 206 00:19:22.519 --> 00:19:25.799 what they were trying to do on government loans, and it comes over the 207 00:19:25.839 --> 00:19:29.480 idea, oh, well, you know these government loans, these school loans 208 00:19:29.680 --> 00:19:32.880 that these kids have, we'll pay them off. Because in that way of 209 00:19:32.880 --> 00:19:36.640 the help with retirement, I promise you they were putting no money away for 210 00:19:36.759 --> 00:19:42.720 retirement while they were not having to pay those loans. If they were doing 211 00:19:42.759 --> 00:19:45.440 it, they didn't increase it. If they weren't doing it, they didn't 212 00:19:45.480 --> 00:19:55.319 add to it. Kids don't do that unless they have people that they respect 213 00:19:55.559 --> 00:19:57.160 that can show them what to do and have them help them do it. 214 00:20:00.119 --> 00:20:08.160 Everything in this world right now just seems like seated the pants decisions. I 215 00:20:08.200 --> 00:20:15.880 don't see anyone strategically enough making a plan that could even project that plan. 216 00:20:17.279 --> 00:20:22.039 So it makes sense to us, the American people, the Republicans make no 217 00:20:22.119 --> 00:20:26.240 sense. The border makes no sense, the wars make no sense. Giving 218 00:20:26.279 --> 00:20:33.359 away money indiscriminately and not nowhere it goes makes no sense. Putting everything down 219 00:20:33.680 --> 00:20:41.440 as we need this for climate climate change money. Otherwise the world won't be 220 00:20:41.480 --> 00:20:47.119 here in fifteen years hogwash and hear it forever. And you know what. 221 00:20:47.359 --> 00:20:51.960 In fact, I was watching a special going back millions of years and they 222 00:20:51.960 --> 00:20:56.160 were talking about the two or three ice ages we've gone through and the animals 223 00:20:56.200 --> 00:21:00.000 that were on the planet and how they're then when they melted and the continent 224 00:21:00.160 --> 00:21:02.640 came together, and that's how animals went from one side to the other. 225 00:21:03.319 --> 00:21:07.160 You know, they were talking about climate changes when there was no talk about 226 00:21:07.160 --> 00:21:14.559 climate change because there was nobody talking. So what's the difference between millions of 227 00:21:14.640 --> 00:21:19.799 years and thousands of years ago than to where it is today? Just different 228 00:21:19.839 --> 00:21:26.160 causes, I guess over a period of time, this is the things that 229 00:21:26.240 --> 00:21:32.759 happened, and you adapt as a society or you don't. You're adapt as 230 00:21:32.799 --> 00:21:40.039 animals or you don't, and then it evolves back. So when you look 231 00:21:40.079 --> 00:21:42.559 at all this, why are we fighting, why are people dying? Why 232 00:21:42.599 --> 00:21:45.000 are these things going on? Because we're here for such a short period of 233 00:21:45.000 --> 00:21:51.200 time. Think about that. They need to all get their act together. 234 00:21:52.519 --> 00:21:57.000 They all need to start working together. We as the United States need to 235 00:21:57.000 --> 00:22:03.200 get strong again. He needs to get strong. Watching the markets go down 236 00:22:03.079 --> 00:22:07.680 two and a half percent for the dial for the S and P this week, 237 00:22:07.960 --> 00:22:14.160 another three percent for the Nasdaq, I mean, the everything's down except 238 00:22:14.160 --> 00:22:18.640 the S and P and the Nasdaq that had those magnificent seven stocks. We'll 239 00:22:18.640 --> 00:22:22.400 be talking about some of them later, like Netflix and all two, but 240 00:22:22.440 --> 00:22:26.319 the rest of two thousands down down four and a half percent year to date, 241 00:22:27.240 --> 00:22:30.759 and the equal weighted S and P five hundred, which is where people 242 00:22:30.839 --> 00:22:38.480 diversifying their mutual funds, is down three percent for the year. Bonds, 243 00:22:38.519 --> 00:22:45.960 intermediate long term bonds are getting killed. They're down over twenty percent again this 244 00:22:45.079 --> 00:22:55.839 year because interestrates keep going higher, causing effect risk. You need a plan 245 00:22:56.519 --> 00:23:00.119 on how to mitigate your risk, and the only way you get that is 246 00:23:00.119 --> 00:23:04.240 to a financial plan, retirement plan. You have to know everything you got. 247 00:23:04.400 --> 00:23:08.079 We do a great job doing that because it's not just putting in numbers, 248 00:23:08.319 --> 00:23:14.519 it's understanding the person. It's their life, what they're trying to achieve, 249 00:23:15.440 --> 00:23:17.359 and how long they want to achieve it, and what they want to 250 00:23:17.400 --> 00:23:21.640 do when they get to retirement. The plan is always about the retirement because 251 00:23:21.680 --> 00:23:25.279 that's when your income drives out. So retirement maybe it's not. It's about 252 00:23:25.279 --> 00:23:27.599 when you don't have a job anymore, whether it's because you're retiring or you 253 00:23:27.599 --> 00:23:32.640 get laid off. You gotta have some type of plan. And if your 254 00:23:32.680 --> 00:23:34.920 plan is I'm gonna live off the government, well go ahead and do it, 255 00:23:36.839 --> 00:23:37.839 because one day you're gonna wake up and they're gonna say, hey, 256 00:23:37.839 --> 00:23:41.720 I got cut I gotta cut Medicare, I gotta cut Social Security, and 257 00:23:41.759 --> 00:23:44.039 they're gonna have to do that one day if we don't get a hands around 258 00:23:44.079 --> 00:23:47.759 it, because there's people are living longer and there's not enough people in the 259 00:23:47.839 --> 00:23:51.519 work force that are gonna want to keep seeing their taxes raised to pay for 260 00:23:51.559 --> 00:23:56.680 the older people. And I don't blame them. After all these years, 261 00:23:56.720 --> 00:24:00.880 you would think somebody, some smart person would come up with a different idea 262 00:24:00.200 --> 00:24:04.960 on how to make it all work. But no, they don't. They 263 00:24:06.000 --> 00:24:07.759 just keep poking, kicking the can down the road, and then they get 264 00:24:07.759 --> 00:24:11.759 eighty ninety years old they die. In the next group that was fifty and 265 00:24:11.799 --> 00:24:15.960 now seventy they keep doing the same thing. We need changes, real changes 266 00:24:17.400 --> 00:24:22.440 for the people of America before we're the ones that become instinct. We'll be 267 00:24:22.519 --> 00:24:29.799 back with everybody. I do appreciate everybody listening to the Money Matter Show. 268 00:24:33.279 --> 00:24:37.640 Welcome back everybody. This is the Money Matter Show. This is Dean Greenberg, 269 00:24:37.680 --> 00:24:42.000 I got Dave Show with Dylan Greenberg and of course Todd Glick. We 270 00:24:42.119 --> 00:24:45.960 are going to bring you a lot of information today, so stay through the 271 00:24:45.960 --> 00:24:49.680 whole time because there was a lot of stuff going on. But to start 272 00:24:49.720 --> 00:24:55.400 off, the market's were all down again this week and they're kind of getting 273 00:24:55.400 --> 00:24:59.319 scary. I'm not going to deny it, but that's when you got to 274 00:24:59.359 --> 00:25:03.480 be looking the well. There's a good support at forty forty two hundred on 275 00:25:03.519 --> 00:25:06.640 the S and P five hundred. Right. We've been going down there twice 276 00:25:06.640 --> 00:25:10.200 now and bounced off of it. We closed it forty two to twenty four. 277 00:25:11.480 --> 00:25:15.240 I'm thinking we probably go open down on Monday and maybe get a bounce 278 00:25:15.279 --> 00:25:18.400 on Tuesday, hopefully. The problem I have I looked at the technicals on 279 00:25:18.440 --> 00:25:23.200 it under forty two hundred. There's really no real support levels unless you go 280 00:25:23.240 --> 00:25:29.240 way back and the idea is you want to try to find some some some 281 00:25:29.400 --> 00:25:33.839 channels on it. So when you have that situation, the risk get higher. 282 00:25:34.680 --> 00:25:37.920 So that's why you don't want to buy right away, because this market 283 00:25:38.160 --> 00:25:42.319 could even if it turns around, which just like you're saying, it's probably 284 00:25:42.359 --> 00:25:45.519 going to make a lower high and it come down again, and then you 285 00:25:45.640 --> 00:25:48.400 usually see it just bounce around a little bit in a week or two, 286 00:25:48.799 --> 00:25:52.160 back and forth, back and forth, and that puts the bottom in and 287 00:25:52.160 --> 00:25:56.440 then you start because it doesn't go from decline to up right away. Decline, 288 00:25:56.519 --> 00:26:00.000 of course, up a little bit, coming down a little bit. 289 00:26:00.079 --> 00:26:03.319 It bounces around the bottom, back and forth, back and forth, starts 290 00:26:03.359 --> 00:26:06.599 taking off, gets higher than that last high that they had, and then 291 00:26:06.640 --> 00:26:10.319 it all breaks out. And you know, you got between now and the 292 00:26:10.400 --> 00:26:12.720 end of the year that we could have a decent move up if some of 293 00:26:12.759 --> 00:26:18.000 these things start getting a hands around them, any of these things, rising 294 00:26:18.000 --> 00:26:22.200 interest rates, rising oil prices, the war in Ukraine, the war in 295 00:26:22.519 --> 00:26:25.920 Israel, anything gets better. H this market is ready to go. And 296 00:26:26.279 --> 00:26:30.440 we have to keep in mind first of November to the end of January responsible 297 00:26:30.519 --> 00:26:37.039 for sixty percent of all gains historically, So we're entering a very strong period 298 00:26:37.319 --> 00:26:41.160 for the market historically, Yeah, I mean right now for this year historically 299 00:26:41.359 --> 00:26:44.759 is September was bad, August was bad, which usually is beginning in the 300 00:26:44.759 --> 00:26:47.680 middle of October's bad, and then we do see a run up to the 301 00:26:47.759 --> 00:26:48.839 end of the year. So if historically, I mean, it's showing a 302 00:26:48.880 --> 00:26:52.279 normal year, right, it really is. It is a script in a 303 00:26:52.359 --> 00:26:55.119 sense, it's showing the normal scripts, kind of the normal script. Yeah. 304 00:26:55.160 --> 00:26:57.359 So we'll see obviously how it ends. But in your career, how 305 00:26:57.400 --> 00:27:03.559 many times have we seen the bottom scariest heck in October? Yeah? Often, 306 00:27:03.759 --> 00:27:06.279 and then the bottom's in and then next thing you know, we're looking 307 00:27:06.279 --> 00:27:08.039 at Wow, we just rallied five percent to the end of the year. 308 00:27:08.160 --> 00:27:11.519 More right, And when it does, when it does reverse, reverses so 309 00:27:11.720 --> 00:27:15.519 violently and so quickly that Thursday you can't get out and then get back in. 310 00:27:15.960 --> 00:27:19.880 That's just simply not going to happen. But more importantly, how appropriate 311 00:27:19.960 --> 00:27:26.000 is it, guys, that we would end the hottest summer in history with 312 00:27:26.200 --> 00:27:32.559 the hottest October, the latest hundred degree day ever, Yeah, Friday in 313 00:27:32.799 --> 00:27:37.119 history, Yep, Friday. It was actually Thursday, and then Friday, 314 00:27:37.200 --> 00:27:41.240 so both days never had one hundred degree day this late in the month of 315 00:27:41.279 --> 00:27:45.440 October. Ever, the good news is winter is coming next week. Yeah, 316 00:27:45.480 --> 00:27:48.920 we're I'm looking at temperatures in the low seventies for a high, which 317 00:27:48.960 --> 00:27:52.000 means the overnight lows are in the low fifties. I just need to figure 318 00:27:52.039 --> 00:27:56.079 out what goes through your brain. We're talking about the markets and everything, 319 00:27:56.279 --> 00:28:02.000 and somehow you start talking about the weather. I don't understand how that happens. 320 00:28:02.119 --> 00:28:06.519 We're talking about now history, We're talking about historical trends, right, 321 00:28:06.920 --> 00:28:10.279 so we've got a new historical trend here. We're hotter. Now, Okay, 322 00:28:11.240 --> 00:28:14.559 I'm like, okay, you see, I want to talk about the 323 00:28:14.559 --> 00:28:17.160 markets. How about it? People want to listen to the markets, and 324 00:28:17.200 --> 00:28:21.440 somehow you got to put in the weather. About interestration, that's why interestration 325 00:28:21.559 --> 00:28:23.240 new sixteen year high there, I mean that's yeah. The ten year hit 326 00:28:23.319 --> 00:28:26.400 over five percent on Wednesday night for the first time since two thousand and sevens 327 00:28:26.559 --> 00:28:30.079 you Drake's over eight for the first time in twenty three years. Yeah, 328 00:28:30.119 --> 00:28:34.519 it's all yeah, uh trying his GDPs cranking along. Huh? What about 329 00:28:34.559 --> 00:28:37.720 just a personal loan? Now? It's ten eleven twelve percent. Raise it 330 00:28:37.759 --> 00:28:41.000 for a personal loan. Yeah, for most people think about credit cards. 331 00:28:41.200 --> 00:28:44.759 What do you think? But you don't think they've been raising the interest rates 332 00:28:44.759 --> 00:28:48.480 on everyone that hasn't been paying off they were They are called every month. 333 00:28:48.519 --> 00:28:52.279 You know, we commonly say twenty percent, but it's probably much above that 334 00:28:52.359 --> 00:28:55.799 now. Huh. It's usually around twenty three twenty four percent I've seen. 335 00:28:55.839 --> 00:28:59.640 Yeah, how do you pay it off? That's crazy, that's crazy. 336 00:29:00.480 --> 00:29:03.519 That means if you have one thousand dollars on there, you got two hundred 337 00:29:03.519 --> 00:29:07.839 and forty dollars of interest each year. Yeah, I mean, how do 338 00:29:07.880 --> 00:29:11.400 you ever catch up? Oil? Touch ninety Deen, I think you mentioned 339 00:29:11.440 --> 00:29:15.319 in your monologue finished the week at eighty eight seventy five, up a buck 340 00:29:15.359 --> 00:29:19.119 on the week. Gold continues to just soar and has nothing. And we've 341 00:29:19.160 --> 00:29:25.599 talked a nauseum about the gold being tied to the dollar. Gold moves inversely 342 00:29:25.880 --> 00:29:29.920 to the dollar. This move off of eighteen hundred to nineteen eighty two, 343 00:29:29.960 --> 00:29:34.039 almost almost more than a ten percent move, has been strictly based upon the 344 00:29:34.119 --> 00:29:41.000 war. The dollar has not budged, so it's got Cosco costco, costco 345 00:29:41.119 --> 00:29:44.200 can't buy enough gold to sell it out to their customers. You want to 346 00:29:44.200 --> 00:29:48.079 hear an interesting Costco story? This is really cool. They've got a new 347 00:29:48.119 --> 00:29:52.880 CEO and it was expected. It's, you know, the chain of everybody's 348 00:29:52.119 --> 00:29:56.599 moving along. Ron Vaccarus, I believe it is fifty eight years old. 349 00:29:57.039 --> 00:30:03.119 He's been with Costco for forty year. He's the new CEO. Guess what 350 00:30:03.200 --> 00:30:07.440 his first job was to Costco? Forklift driver. He started at Costco as 351 00:30:07.440 --> 00:30:11.599 a forklift driver and he's now the CEO. I've heard them both. I've 352 00:30:11.599 --> 00:30:15.440 heard those stories before that it's great. Yeah, talking about like just business 353 00:30:15.440 --> 00:30:22.119 and stuff. It's like, what is the UAW doing? I Farley, 354 00:30:22.240 --> 00:30:26.519 the head of Ford, thinks that the new UAW head is a little bit 355 00:30:26.559 --> 00:30:30.880 wacko. Well, he doesn't want to make a deal because it's about him, 356 00:30:30.960 --> 00:30:33.759 doesn't he want to make a deal at all? Right? Then over 357 00:30:33.799 --> 00:30:37.640 a month and in this economy and what's going on, how does he think 358 00:30:37.680 --> 00:30:41.759 it's going to benefit not only his own people, which is only cares about 359 00:30:41.759 --> 00:30:45.200 getting more money, but they're gonna get laid off, Dave. If people 360 00:30:45.240 --> 00:30:48.160 don't have the money to buy the cause because they're too expensive, start shutting 361 00:30:48.200 --> 00:30:52.519 him down. Yeah right, because remember what they do when we get a 362 00:30:52.519 --> 00:30:59.480 recession, they shut down plants for a period of time to catch up with 363 00:30:59.519 --> 00:31:03.119 the demand. Sure, and that means when you shut down a plant, 364 00:31:03.519 --> 00:31:07.319 you can't pay people, so they go on. That's all he's doing. 365 00:31:07.559 --> 00:31:12.240 He's sending these people like slaughtered Lamb to eventually be on the unemployment line. 366 00:31:12.359 --> 00:31:15.880 Well and at the very least, at the very best, maybe they break 367 00:31:15.920 --> 00:31:19.599 even four or five years down the road financially, and in the meantime, 368 00:31:19.640 --> 00:31:25.519 he's building a name for himself. It just does seem misguided at this point, 369 00:31:25.559 --> 00:31:27.240 not even close. This is what I'm talking about. In today's world. 370 00:31:27.279 --> 00:31:30.400 No one knows how to compromise. They don't want to make deals. 371 00:31:30.640 --> 00:31:36.720 They want to keep dividing. And the people are following him out of getting 372 00:31:36.759 --> 00:31:40.079 more and more pissed off because they like, wait a second, this wasn't 373 00:31:40.079 --> 00:31:42.000 supposed to be this long. There was supposed to be this, We're supposed 374 00:31:42.000 --> 00:31:47.079 to get this big raise. Everybody was compromising, and now I can't feed 375 00:31:47.079 --> 00:31:49.880 my family. Yeah. Absolutely, they're going to run out of guess what 376 00:31:51.519 --> 00:31:56.440 union benefits. Speaking of lack of compromise, the chaos continues in Congress, 377 00:31:56.519 --> 00:32:00.480 right, I know what. Jim Jordan lost three votes. He's not on 378 00:32:00.519 --> 00:32:02.519 it anymore because he can't get the majority vote. And then they just got 379 00:32:02.599 --> 00:32:07.000 no plan there. I gotta tell you, as I watched this, they 380 00:32:07.039 --> 00:32:10.799 are giving clowns a bad name. That's what's happening. Yeah, they're giving 381 00:32:10.799 --> 00:32:15.079 clowns a bad name. It's it's disgusting that they didn't have a plan, 382 00:32:15.519 --> 00:32:16.400 and I don't know what it is. How do you how do you at 383 00:32:16.400 --> 00:32:22.440 that level decides to basically get rid of somebody, fire somebody because you can 384 00:32:22.480 --> 00:32:24.440 have one vote and vote against him. You fire them, and you don't 385 00:32:24.440 --> 00:32:29.000 have enough votes your person, whoever that person is, to get in. 386 00:32:29.759 --> 00:32:35.240 And what's just due to the Republican's chances going forward? It's just it's troubling 387 00:32:35.480 --> 00:32:37.519 to me. A chance to a joke. How do you have to pop 388 00:32:37.680 --> 00:32:42.680 like you've got a party you can't govern? Yeah, it took McCarthy long 389 00:32:42.799 --> 00:32:45.599 enough to get voted in anyways, and then now Jim Jordan canon, who 390 00:32:45.599 --> 00:32:47.240 else? Who are they going to put up next? Like Max mac Gates, 391 00:32:47.519 --> 00:32:50.799 he's not going to get the majority either. I don't understand what they're 392 00:32:50.839 --> 00:32:55.839 doing. We pay these guys to work for US US as cumulative, which 393 00:32:55.880 --> 00:33:00.960 means on the right side, you got conservatives, ultra can conservatives, and 394 00:33:00.039 --> 00:33:05.319 minor conservatives, which means we have to all compromise. Yeah, okay, 395 00:33:05.880 --> 00:33:09.240 and we don't. I just think it's it's really as all. I'm a 396 00:33:09.240 --> 00:33:14.200 lifelong Republicans, just a stain on the party that that we can't. I'm 397 00:33:14.240 --> 00:33:16.640 saying, I'm politics politics, okay, because I think it's terrible. On 398 00:33:16.640 --> 00:33:22.160 the other side, how the Democrats all get in line and have no opinions 399 00:33:22.160 --> 00:33:23.599 on their own. Yeah, like when they were saying, just vote yes 400 00:33:23.599 --> 00:33:27.359 on the Act and we'll read it later. They have no opinion at all. 401 00:33:27.519 --> 00:33:30.599 Yeah, except here's what they do. They haven't. They all get 402 00:33:30.640 --> 00:33:32.960 in line and have an agenda, and the agenda gets passed because they all 403 00:33:34.039 --> 00:33:37.480 are in line right where the Republicans are are a bunch of cats trying to 404 00:33:37.519 --> 00:33:42.559 you know, everybody's got don't have a problem with with with with uh discussing 405 00:33:42.599 --> 00:33:47.160 things having opposite opinions, But I don't. I don't. I dislike when 406 00:33:47.279 --> 00:33:52.680 human beings in that powered position can't come up with a compromise. If they 407 00:33:52.720 --> 00:33:55.720 can't compromise their agenda is going to be thrown. If you have five things 408 00:33:55.759 --> 00:33:59.240 you want, and you got five things you want, I have five things 409 00:33:59.240 --> 00:34:01.440 I want. Let's all put one thing on the table that we have to 410 00:34:01.559 --> 00:34:06.279 have. Boom, let's put a second thing on the table. That's it. 411 00:34:06.400 --> 00:34:07.960 We got the six things. Maybe you don't get three. You don't 412 00:34:07.960 --> 00:34:10.440 get three, I don't get three, but we all get we get a 413 00:34:10.480 --> 00:34:15.760 couple of things that we wanted. The back to the market. The difference 414 00:34:15.760 --> 00:34:20.360 between the ten year and the two year dean is narrowed to seventeen basis point. 415 00:34:20.400 --> 00:34:22.639 We're going to flat line. So we're gonna flat line very soon. 416 00:34:22.679 --> 00:34:27.280 And we were we were one hundred basis points difference between those two inverted just 417 00:34:27.480 --> 00:34:30.159 two months ago. So what does that mean when it's flat lines good, 418 00:34:30.199 --> 00:34:32.320 that's good. That's a very good thing. Uh. Normal yield curve is 419 00:34:32.320 --> 00:34:36.239 supposed to be good, and we are working our well, well, that's 420 00:34:36.239 --> 00:34:38.679 not a normal yield curve. But flat line is not the normal. That's 421 00:34:38.679 --> 00:34:43.000 step one. That's step one. I mean, you gotta go flat line. 422 00:34:43.199 --> 00:34:46.039 If you're inverted one one hundred basis points, you gotta go flat line. 423 00:34:46.320 --> 00:34:51.920 A normal, normal yield curve is when the short rates are lower than 424 00:34:51.960 --> 00:34:54.000 long term rate normal and you get and you get paid more of for holding 425 00:34:54.000 --> 00:34:58.880 onto the security. Correct, correct, and then that's where it appears. 426 00:34:58.920 --> 00:35:00.960 That's where we're working towards. And that's a good thing. That's a good 427 00:35:01.000 --> 00:35:05.280 thing for the credit markets. That's a good thing for the economy. And 428 00:35:05.599 --> 00:35:07.119 you would think a good thing for the markets, Yeah, you would think. 429 00:35:07.159 --> 00:35:10.840 So bitcoin had a great week, up ten percent. It's at the 430 00:35:10.880 --> 00:35:15.119 highest level since early August. Yeah, people use it as a fight to 431 00:35:15.199 --> 00:35:16.480 safety. Now. I think you're talking about it. That's what's happening. 432 00:35:16.480 --> 00:35:20.440 I think it's like the digital goal. It's how I slicked that it again, 433 00:35:20.880 --> 00:35:24.000 even though it's vautile as it's really volatile, it always is, always 434 00:35:24.039 --> 00:35:27.719 has been, it always has been. It's not for the fainthearted, that's 435 00:35:27.719 --> 00:35:31.079 for sure. You think people really believe that, or they get the media 436 00:35:31.119 --> 00:35:35.679 gets it out there, the bitcoin media gets it out there. Oh this 437 00:35:35.719 --> 00:35:37.039 is the safe thing, get onto this. The dollars going down, this 438 00:35:37.119 --> 00:35:40.239 is you know, and all this other stuff. I think that the propaganda 439 00:35:40.280 --> 00:35:44.679 that's out there people believe because they want to believe it. Well, the 440 00:35:44.719 --> 00:35:47.039 primary reason you buy something is because you think it's going to become more valuable 441 00:35:47.039 --> 00:35:51.199 in the future. All right, we got we got to take a break. 442 00:35:51.239 --> 00:35:53.599 We'll be right back. We do all appreciate that you do. Listen 443 00:35:53.880 --> 00:36:10.559 to All Money Matter show. Thank you say. It's only welcome back everybody. 444 00:36:10.639 --> 00:36:14.440 It's the money about the show. We got Todd Gleke, Dylan Greenberg, 445 00:36:15.159 --> 00:36:20.519 Dave Sherwood and myself Dean Greenberg bringing you our opinions, our ideas and 446 00:36:20.559 --> 00:36:23.760 the facts of what's going on in this country and the markets. They're talking 447 00:36:23.760 --> 00:36:28.400 about Congress and we were in the last segment you want a fun fact? 448 00:36:29.159 --> 00:36:34.480 Yeah, what's the fun You're a fun fact. So why are Republicans elephants 449 00:36:34.880 --> 00:36:38.880 and Democrats donkeys? I don't know what you ever thought about that. In 450 00:36:39.000 --> 00:36:45.000 eighteen seventy nine, get this. Eighteen seventy nine, the most influential political 451 00:36:45.039 --> 00:36:47.440 cartoonist was a guy named Thomas Nast, and he worked for Harper's Weekly. 452 00:36:49.280 --> 00:36:54.760 He published a series of cartoons that depicted Republicans as a big, lumbering creature 453 00:36:54.880 --> 00:37:00.679 with no direction. He drew an elephant, and he depicted the Democrats as 454 00:37:00.760 --> 00:37:05.760 cantankerous, stubborn group. And he drew a donkey. Even though both of 455 00:37:05.800 --> 00:37:13.199 these depictions of the parties are derogatory, they've stuck. Though it was actually 456 00:37:13.199 --> 00:37:15.679 a political cartoonist who was making fun of them, they came up with the 457 00:37:15.679 --> 00:37:20.239 elephant and the donkey, and they stick to this day. That's pretty funny. 458 00:37:20.360 --> 00:37:22.639 You want a not so fun fact? Yeah, you know, the 459 00:37:22.800 --> 00:37:28.159 US has four percent of the world's population and seventy five percent of the world's 460 00:37:28.199 --> 00:37:32.280 lawyers. How scary is that. That's why get this dean. Ninety four 461 00:37:32.360 --> 00:37:37.320 percent of all lawsuits filed in the world are filed in the United States. 462 00:37:37.760 --> 00:37:42.360 People are trying to sue for anything, anything because all yours are all looking 463 00:37:42.360 --> 00:37:49.199 for work. Wait, way too many retigious society and regulatory It's just gotten 464 00:37:49.239 --> 00:37:53.880 horrible litigious country because we have too many lawyers, well society because people always 465 00:37:53.880 --> 00:37:58.800 are looking anything happens. Ooh did you sue? Oo? Did you sue? 466 00:37:59.039 --> 00:38:02.480 Yeah? Default, isn't it. You know, I've never started a 467 00:38:02.519 --> 00:38:07.679 lawsuit in my life. I've had to defend some, but I've never started 468 00:38:07.679 --> 00:38:10.159 one. I've never seen and I always have won everyone I've been in I've 469 00:38:10.159 --> 00:38:14.679 won. Yeah, because if you're fighting back, it's because you believe you're 470 00:38:14.760 --> 00:38:16.800 right. Well, sure, and if you're right, it's going to prevail. 471 00:38:17.400 --> 00:38:22.679 And people usually sue because they think they have the advantage. And we've 472 00:38:22.679 --> 00:38:27.599 been watching raytheon stock pretty closely and it did edge up a little bit last 473 00:38:27.599 --> 00:38:30.719 week despite the weak market, but not what you'd expect. With the UH 474 00:38:30.880 --> 00:38:36.599 Patriot missile rebuilding cycle that they're entering. They're going to be building, you 475 00:38:36.639 --> 00:38:40.320 know, thousands and thousands of Patriot missiles that they would not otherwise have been 476 00:38:40.360 --> 00:38:44.840 building. It can't be a bad thing. So the iron dome, I 477 00:38:44.880 --> 00:38:45.920 don't know if you know this, the iron dome in Israel, right, 478 00:38:46.000 --> 00:38:51.559 correct, when they say they have to replenish it, they just have to 479 00:38:51.559 --> 00:38:54.320 replenish it with missiles. I don't understand they have an iron dome because of 480 00:38:54.360 --> 00:38:58.360 the Patriot missile. Right. But it's not like at first they make it 481 00:38:58.360 --> 00:39:00.159 sound like you got this dome that's over that like it, you know, 482 00:39:00.199 --> 00:39:05.239 it's like the biasphere, you get the dome that comes down. No, 483 00:39:05.320 --> 00:39:07.960 it's not like that. That'd be a big dome attact anything coming in. 484 00:39:07.039 --> 00:39:10.159 So it's just the missiles shoot off whatever they're in. And they saw you 485 00:39:10.480 --> 00:39:13.920 said that, I think you said three thousand right the first day, and 486 00:39:13.960 --> 00:39:17.199 then tens of thousands of thousands of them. And each time they shoot one 487 00:39:17.239 --> 00:39:21.719 off, a Patriot missile has to get shot at it to bring it down. 488 00:39:22.000 --> 00:39:23.960 But and I guess I guess that probably automatic. Right, they detect 489 00:39:23.960 --> 00:39:28.440 them and go yeah they yeah, the heat the heat seekers and and they're 490 00:39:28.440 --> 00:39:31.039 about ninety seven percent accurate. So some missiles do get through, but very 491 00:39:31.039 --> 00:39:36.400 few. But all of those thousands and thousands of Patriot missiles that have been 492 00:39:36.400 --> 00:39:39.800 shot to protect Israel have to be replaced exactly if you're going to have the 493 00:39:39.840 --> 00:39:43.840 Iron Dome. Yeah, if we were in different week where the markets weren't 494 00:39:43.840 --> 00:39:45.199 bad as a whole, I'm sure Rathiel would have gone up a little more. 495 00:39:45.519 --> 00:39:49.880 Seems like it everything was as down as best sentiment around the markets and 496 00:39:49.880 --> 00:39:52.559 everything like that, so people weren't jumping in. But no, that didn't 497 00:39:52.559 --> 00:39:58.760 go up. That don't see. It didn't go up. And the Iron 498 00:39:58.840 --> 00:40:01.239 Dome, that's why we're talking about, right, right, didn't do any 499 00:40:01.400 --> 00:40:05.599 hockey. Martin didn't much. No, you're absolutely right. That whole area. 500 00:40:05.679 --> 00:40:07.559 You would think it would be really flying, but it hasn't been. 501 00:40:07.639 --> 00:40:12.280 I'll tell you The one area that's really getting trashed is is solar stocks. 502 00:40:12.840 --> 00:40:15.119 Yeah, they got hammered last It was Friday, really Friday, was it 503 00:40:15.280 --> 00:40:19.159 was the big the big Yeah. The et F T A N dropped a 504 00:40:19.440 --> 00:40:22.280 roughly seven percent as a whole, right, but I mean you had one 505 00:40:22.320 --> 00:40:24.760 it's called solar Edge dropped over thirty percent. YEP. It is because they 506 00:40:24.760 --> 00:40:28.639 had this terrible revenue for the third quarter, gross margins, operating, the 507 00:40:28.639 --> 00:40:31.559 income all below expectations. And then the CEO comes out and says fourth quarter 508 00:40:31.639 --> 00:40:35.119 is going to be even worse. And I think a lot of that hill 509 00:40:35.159 --> 00:40:38.599 and too, is coming from Europe. It is. So it's unexpected cancelations 510 00:40:38.679 --> 00:40:45.039 and push outs, sudden unexpected cancelations, sudden substantial yep, pushouts of existing 511 00:40:45.079 --> 00:40:52.000 backlogs from the company's European distributors. And guess what what is that telling you? 512 00:40:52.159 --> 00:40:55.400 Okay, people are saying, hey, this whole thing with you know, 513 00:40:55.519 --> 00:41:00.480 with with alternate power, great, but right now that's on the back 514 00:41:00.519 --> 00:41:02.639 burner. What I need to pay the bills. It's also the issue is 515 00:41:02.800 --> 00:41:06.679 it's slow installation rates. Was the problem. So these people are like, 516 00:41:06.719 --> 00:41:08.119 screwt, We're not doing it's taking too long, We're just gonna get out 517 00:41:08.280 --> 00:41:13.360 well in interest rates so high, the numbers aren't working exactly like they used 518 00:41:13.360 --> 00:41:15.119 to work on interest rates. We're half of That's what Zach was saying. 519 00:41:15.159 --> 00:41:20.440 The one the guy that we have solar, he said, the the the 520 00:41:20.039 --> 00:41:22.880 the rates to that people were borrowing with so much lower, so it made 521 00:41:22.880 --> 00:41:27.119 so much sense. So the cost of money is so much higher. Yes, 522 00:41:27.320 --> 00:41:31.920 unless you're putting the whole thing out in cash. It's it's it takes 523 00:41:31.960 --> 00:41:36.760 you takes more to get your return on your equity, on your investment. 524 00:41:36.960 --> 00:41:40.239 I want to spend a minute Dean talking about customer service. We we don't 525 00:41:40.280 --> 00:41:46.320 talk about it much. We believe our customer services is as good as anyone's 526 00:41:46.360 --> 00:41:50.719 in the country. I can't really say that it's better than anybody else because 527 00:41:50.800 --> 00:41:53.639 there are other people with good service. But this past week I had occasion 528 00:41:54.000 --> 00:41:59.440 to deal with a national bank here in Tucson. I have a ninety year 529 00:41:59.480 --> 00:42:02.000 old client with an eighty four year old wife. They don't have a cell 530 00:42:02.000 --> 00:42:07.159 phone, they don't have a computer. They have set up some of their 531 00:42:07.159 --> 00:42:10.000 payments on automatic payments, some of their utilities and things. I helped him 532 00:42:10.039 --> 00:42:15.920 do that now they can't see who's getting paid what. Long story short, 533 00:42:16.199 --> 00:42:20.760 the world's kind of passing them by, if you will. And so they 534 00:42:20.760 --> 00:42:24.880 needed to get an appointment with this bank and to get some they couldn't get 535 00:42:24.880 --> 00:42:30.800 anyone to return their calls. I finally took it upon myself to get them 536 00:42:30.800 --> 00:42:34.480 an appointment. I got a hold of someone at this bank, the manager 537 00:42:34.519 --> 00:42:37.760 of the branch actually, and he said he would call them that day. 538 00:42:37.079 --> 00:42:39.760 The next day, I called my client to see if he had called. 539 00:42:39.880 --> 00:42:44.320 He had not called, so I called again. He said, yeah, 540 00:42:44.400 --> 00:42:47.840 yeah, I got tied up with somebody. Finally, three days later he 541 00:42:47.880 --> 00:42:51.599 did call them and set an appointment for them to come in next week. 542 00:42:51.639 --> 00:42:54.119 But I mean, that's no way to run a business. You can't get 543 00:42:54.159 --> 00:42:58.119 a hold of the people in charge. I have left messages for him for 544 00:42:58.480 --> 00:43:01.559 two consecutive days. Uh, It's it's ridiculous, it is. I mean, 545 00:43:01.920 --> 00:43:05.840 I always tell people if you email me and I don't respond, the 546 00:43:05.880 --> 00:43:10.559 same day, I've died. It's that simple. If I don't respond, 547 00:43:10.840 --> 00:43:14.760 should say that, because it could be on the weekend and maybe your phone 548 00:43:15.400 --> 00:43:19.599 wasn't working or something. I don't think even on a weekend that I wouldn't 549 00:43:19.599 --> 00:43:22.559 respond to anything. We all try to respond. Don't want to watch in 550 00:43:22.559 --> 00:43:25.079 the NFL. If I get an email from somebody, oh absolutely, I 551 00:43:25.480 --> 00:43:28.960 respond to say, even if it's about Hey, I'll have somebody get in 552 00:43:28.960 --> 00:43:31.679 touch with you on Monday. Thanks for the like, thanks for the no. 553 00:43:31.719 --> 00:43:35.239 I mean, this customer service it's a it's a lost hour, it 554 00:43:35.360 --> 00:43:37.920 isn't it. And it's so frustrating when you get involved with customer service. 555 00:43:37.960 --> 00:43:43.800 It's so poor. And on the on the phone message for this national bank 556 00:43:43.920 --> 00:43:46.239 and I'm not going to name who was, it says, are we are 557 00:43:46.280 --> 00:43:51.920 so proud of our excellent customer service? Are you serious? You have no 558 00:43:52.000 --> 00:43:54.280 customers. Maybe it's against their peers. Yeah, like the other national banks 559 00:43:54.280 --> 00:43:57.800 that have the big call centers and everything. But I mean that's common. 560 00:43:57.840 --> 00:44:00.159 The clients hate the call centers. I mean I hate call centers. When 561 00:44:00.159 --> 00:44:01.960 I have to call AT and T or something like that, you just get 562 00:44:02.000 --> 00:44:05.880 bounced around until hopefully somebody knows what they're talking about. I wanted to talk 563 00:44:05.920 --> 00:44:09.639 to you can understand them. Yeah, okay. I there's nothing more frustrating 564 00:44:10.119 --> 00:44:13.559 than when you try to call up something and don't even know what you're really 565 00:44:13.599 --> 00:44:17.119 trying to get and it goes out and next thing, GE's somebody from India 566 00:44:19.280 --> 00:44:22.880 or Asia or something. And I try to be very polite, I say, 567 00:44:22.920 --> 00:44:27.719 I'm sorry, I'm having trouble understanding you can we slow this down or 568 00:44:27.760 --> 00:44:30.639 is there somebody else I can speak to? You know, so we get 569 00:44:30.679 --> 00:44:32.039 this right, I mean, you know, and they're very good about it, 570 00:44:32.360 --> 00:44:37.079 but it's frustrating. But that's the other thing that bothers me is those 571 00:44:37.119 --> 00:44:42.119 computerized answering service. Oh my god, as long as I'm at charge here, 572 00:44:42.719 --> 00:44:47.599 I will never have a computerized answering service, okay, because there's nothing 573 00:44:47.599 --> 00:44:52.000 more frustrating, especially when you're involved with your money, all right, getting 574 00:44:52.039 --> 00:44:58.679 sent to someone and then not even having then and then having a go through 575 00:44:58.719 --> 00:45:01.280 this whole thing. What's your extension, what's this? Hit this? Put 576 00:45:01.280 --> 00:45:04.599 the name in, and then it goes look through all that, and then 577 00:45:04.639 --> 00:45:07.320 you finally give a message, and like you say, sometimes they don't even 578 00:45:07.400 --> 00:45:10.599 call you back for a couple of days. Yeah. Yeah, it's just 579 00:45:10.639 --> 00:45:15.400 it's very frustrating. Customer services are lost. Art At Greenberg Financial, we 580 00:45:15.559 --> 00:45:19.800 promise you great customer service, period and if not, you tell me. 581 00:45:19.960 --> 00:45:22.599 Yeah, absolutely, you won't. It won't. You won't be talenting anything 582 00:45:22.639 --> 00:45:28.960 because we have all of us concentrate on the customer service. Things slip through 583 00:45:29.239 --> 00:45:30.679 once in a blue mood. We're not letting things. We fix it. 584 00:45:32.800 --> 00:45:36.920 We don't want to allow things to slip through. All right. So that 585 00:45:37.159 --> 00:45:45.639 new lows pandemic post pandemic lows for Pfizer and modernas as this COVID thing is 586 00:45:45.719 --> 00:45:49.800 just not really getting much traction, They're back to being the stagnant or pfiserly 587 00:45:49.880 --> 00:45:52.079 is back to being the stagnant value stock. Yeah, c DC said. 588 00:45:52.360 --> 00:45:54.480 You know, when it was in the fifties, we were saying on this 589 00:45:54.599 --> 00:46:00.559 radio show, sell that stock value socks are down this year. Okay, 590 00:46:00.800 --> 00:46:04.159 a lot of them will even getting killed, all right. I mean we 591 00:46:04.239 --> 00:46:06.920 need to keep these tech stocks up. They have to have good earnings and 592 00:46:06.960 --> 00:46:10.119 move higher if we want any chance of this market staying Up's going to lead 593 00:46:10.119 --> 00:46:13.599 the way for sure. If it doesn't lead the way, we're in trouble 594 00:46:13.639 --> 00:46:16.199 this last quarter. Busy week next week for earning to Microsoft, Google, 595 00:46:16.559 --> 00:46:21.480 Amazon, Meta all next week yep. So that's gonna go along. Video 596 00:46:21.559 --> 00:46:25.360 it comes out afterwards after the big one, right, that's usually about last. 597 00:46:25.519 --> 00:46:30.360 Yeah, we're gonna get a let's talk about in video because it's taken 598 00:46:30.400 --> 00:46:36.320 a big wash here because of the of the White House obviously not allowing certain 599 00:46:36.360 --> 00:46:39.760 ships now to be able to be sold to China because they don't want their 600 00:46:39.800 --> 00:46:44.960 military to have the artificial intelligence of what our military is. And I think 601 00:46:44.960 --> 00:46:46.280 we're all in on that. Yeah, I don't have a problem with that. 602 00:46:46.679 --> 00:46:51.800 But what people don't realize is that in the video also knows this, 603 00:46:52.639 --> 00:46:57.239 and it won't take them very long to find the chip that meets the the 604 00:46:57.239 --> 00:47:00.880 the the the level that will let them sell it to China. Not only 605 00:47:00.880 --> 00:47:04.559 that, but in the short term they have so much demand they can't even 606 00:47:04.599 --> 00:47:07.920 know around the world, everybody else around the world, whatever was going to 607 00:47:07.000 --> 00:47:09.840 China, everybody else is doing it. The demand is off the charts right 608 00:47:09.840 --> 00:47:15.760 now until twenty twenty five, they are going to keep beating. Earnings dropped 609 00:47:15.760 --> 00:47:17.960 from four hundred five hundred down to four hundred, right close to four hundreds. 610 00:47:19.079 --> 00:47:21.880 And the people that were at seven fifty, so they went to six 611 00:47:21.960 --> 00:47:24.199 seventy five on the price, and they went from six fifty to six twenty 612 00:47:24.199 --> 00:47:28.199 five. They went the lowest I saw with City Bank said, oh I 613 00:47:28.199 --> 00:47:30.639 think that I don't think we can hit over six hundred. So my estimate 614 00:47:30.679 --> 00:47:35.320 now is five seventy five. Yeah, and it's currently four ten. Yeah. 615 00:47:35.480 --> 00:47:38.239 There you go. That's that's the lowest lowest one out there. Right, 616 00:47:38.880 --> 00:47:40.880 all right, we got to take a short break, will be right 617 00:47:40.880 --> 00:47:53.480 back. Thank you for listening. Say it's only a name. Welcome back 618 00:47:53.480 --> 00:47:58.280 everybody for the second now with the Money Matter Show, we got Dylan, 619 00:47:58.440 --> 00:48:01.440 Todd, Dave, and myself, and then we also have a guest on 620 00:48:02.159 --> 00:48:07.719 that is going to talk about the federal employee program that we're doing and the 621 00:48:07.719 --> 00:48:12.199 workshop very very important. Dylan, you can give a little bit more. 622 00:48:12.320 --> 00:48:15.280 Yeah, So this next segment after this one, it's gonna be Sean McCoy 623 00:48:15.320 --> 00:48:17.719 from Federal Employee Benefit Advocates is going to come on and we're going to talk 624 00:48:17.760 --> 00:48:22.280 to him about the upcoming workshop that we're hosting on December thirteenth over at the 625 00:48:22.320 --> 00:48:27.880 Tucson Association Realtors. It's for federal employees, whether they're getting ready to retire 626 00:48:27.880 --> 00:48:30.719 in the next year, ten years, or they're starting trying to get interested 627 00:48:30.760 --> 00:48:35.039 in what's going on with their retirement plan because I mean, if you're a 628 00:48:35.079 --> 00:48:37.960 federal employee, you know that you're having a unique retirement plan, whether it's 629 00:48:37.960 --> 00:48:42.639 the pension, the FACILLY, the FEHB, all of that different stuff goes 630 00:48:42.639 --> 00:48:46.559 into us. So that's why we hold a special seminar workshop for federal employees 631 00:48:46.599 --> 00:48:49.840 because we know there's a lot that goes into it and we want you to 632 00:48:49.920 --> 00:48:52.840 be ready for retirement. So it's free to go. You can actually probably 633 00:48:52.880 --> 00:48:57.000 get a pay day off for most departments. I think there's only been one 634 00:48:57.039 --> 00:49:00.920 I remember that didn't allow us that form S F one eighty two. If 635 00:49:00.960 --> 00:49:04.840 your department offers it, then you'll get to pay a day off. So 636 00:49:04.880 --> 00:49:07.280 if you're interested in your federal employee, give us a call at five two 637 00:49:07.360 --> 00:49:10.280 zero five four four four nine zero nine and we'll be happy to sign you 638 00:49:10.400 --> 00:49:14.920 up for it. Like I said, it's free. It's just an educational 639 00:49:15.000 --> 00:49:16.519 workshop, will provide launch everything like that. It's a great day, a 640 00:49:16.519 --> 00:49:20.960 lot of information to learn. But Sean McCoy will be going into more depth 641 00:49:21.280 --> 00:49:24.000 this next segment about what we're going to go over that day. So what 642 00:49:24.079 --> 00:49:29.079 a great, great opportunity. Yeah, he's been doing it for years. 643 00:49:29.320 --> 00:49:30.320 Obviously he'll go more into it. But he's been doing it for years. 644 00:49:30.320 --> 00:49:34.679 He's helped thousands of different federal employees done this all over the country. It's 645 00:49:34.719 --> 00:49:37.519 a great thing to do. But since we're starting the next hour, I 646 00:49:37.519 --> 00:49:38.760 want to go back to the markets. We got the dial that was down 647 00:49:38.760 --> 00:49:42.360 one and a half percent for the week. The S and P five hundred 648 00:49:42.400 --> 00:49:45.840 was down two point four for the week, NASDAK was down three point two 649 00:49:45.840 --> 00:49:49.760 percent, and then Russell two thousand was down two point two percent. Interestingly 650 00:49:49.880 --> 00:49:52.320 enough, the equal weighted SMP five hundred, which we've been harping on a 651 00:49:52.320 --> 00:49:55.400 lot more this year, was down exactly two point four percent as well. 652 00:49:55.519 --> 00:49:59.880 And definitely five hundreds is down. Dollar is down for the year, the 653 00:50:00.159 --> 00:50:02.400 equalated S and P five hundred is down for the three percent for the year. 654 00:50:02.880 --> 00:50:06.159 Russell two thousands down the most for the year, which is down four 655 00:50:06.159 --> 00:50:07.840 and a half percent. I mean, the Nasdaq's twelve percent off the high 656 00:50:07.840 --> 00:50:12.079 of the year was but still at twenty four percent because tech has been riding 657 00:50:12.119 --> 00:50:15.760 it. We said during the first hour it's not unusual for September and October 658 00:50:15.760 --> 00:50:19.840 to be week yep in November, December, January to be the strongest three 659 00:50:19.880 --> 00:50:22.400 months of the year. Uh, there have been times when December has been 660 00:50:22.440 --> 00:50:27.280 a nightmare, but generally it's a good month. November is generally a good 661 00:50:27.320 --> 00:50:31.559 month. And so hopefully we can get through the next what seven business days 662 00:50:31.599 --> 00:50:36.320 I think it is, or eight seven or eight business days and in October 663 00:50:36.360 --> 00:50:38.519 without any kind of major problem where you geteah, pretty much like a full 664 00:50:38.559 --> 00:50:42.440 week next week or this coming week, and then we got like one day, 665 00:50:42.679 --> 00:50:44.559 well I think it's a couple of days, yeah, two days, 666 00:50:44.599 --> 00:50:47.960 yeah, and the next week and I don't know the Christmas high y'all noticed, 667 00:50:49.480 --> 00:50:52.559 But we had an interesting bitcoin rally this week. We talked about We 668 00:50:52.599 --> 00:50:54.400 talked about that earlier. Yeah, did did you have any insight into that? 669 00:50:54.559 --> 00:51:00.599 Well, I think the the buzz, the hype around next year having 670 00:51:00.639 --> 00:51:02.599 which I've talked about before. I won't go into detail, but the havening 671 00:51:02.639 --> 00:51:07.239 of twenty four I think it's starting to get real. Not only you have 672 00:51:07.280 --> 00:51:09.719 the spot ETF, the whispers. There was this fake article that happened on 673 00:51:09.800 --> 00:51:14.159 Monday that said black Rock was approved by the SEC for the spot ETF. 674 00:51:14.199 --> 00:51:17.320 It turned out to be complete bogus, but bitcoin had a surge to twenty 675 00:51:17.320 --> 00:51:22.239 eight thousand, gave it all back up in ten minutes, but then that 676 00:51:22.239 --> 00:51:24.039 started the rally for the week, and now we're back up to thirty thousand. 677 00:51:24.119 --> 00:51:28.440 So I do think there's some hype being built in there. And when 678 00:51:28.480 --> 00:51:31.760 you see bitcoin up nine percent on a week when the markets NASDAK itself was 679 00:51:31.800 --> 00:51:36.320 down three percent. Bitcoin's the risky asset. It shouldn't be up that, 680 00:51:36.480 --> 00:51:39.199 but they're calling it. On Friday, there's even a headline that said they're 681 00:51:39.199 --> 00:51:42.639 going for the safety of it, and I was like, I don't think 682 00:51:42.639 --> 00:51:45.079 bitcoin's got safety. Yeah, I think those are talking heads. That's what 683 00:51:45.079 --> 00:51:47.840 we talked about. Yeah, maybe they're just a bitcoin media coming out and 684 00:51:47.880 --> 00:51:52.199 saying it's a safe haven like gold, like digital gold. Right it's just 685 00:51:52.320 --> 00:51:53.920 well, I think obviously not. We see that with gold right now. 686 00:51:53.960 --> 00:51:58.039 I mean gold had the last two weeks, it's just taken off and everyone 687 00:51:58.119 --> 00:52:00.599 has the idea of it's a safe haven. But at the end of the 688 00:52:00.679 --> 00:52:02.440 day, I mean, how safe is it. We've seen the performance, 689 00:52:02.480 --> 00:52:07.760 we know the actual So I mean we know talking heads they love to find 690 00:52:07.800 --> 00:52:12.320 reasons that aren't really the reason. Yeah, we do get questions sent to 691 00:52:12.400 --> 00:52:15.119 us at contact at Greenberg Financial dot com. We do, and Sebastian has 692 00:52:15.159 --> 00:52:19.760 those questions, what do you go on to I got a couple this week? 693 00:52:19.800 --> 00:52:22.920 How are we doing? Guys doing well? You don't care give us 694 00:52:22.920 --> 00:52:25.800 a question. That's your answer every time, Dave, it's just call me 695 00:52:25.880 --> 00:52:29.480 courtesy to ask. You could just be nice, you know what, You're 696 00:52:29.559 --> 00:52:31.599 right, I don't care. Here's the question. Somebody told me last year 697 00:52:31.599 --> 00:52:34.440 would have given up for lent, and I said, I'm giving up being 698 00:52:34.519 --> 00:52:37.480 nice. Get to work now. It's been three hundred and sixty five days. 699 00:52:37.920 --> 00:52:40.639 I'm gonna give it up again. You liked it so much that he 700 00:52:40.679 --> 00:52:44.599 just gave it up. Yeah, I gat get over it all right. 701 00:52:44.639 --> 00:52:46.320 So a little bit of a longer question this time around. This one comes 702 00:52:46.320 --> 00:52:50.559 in from Carl. He says, good morning. I often hear you refer 703 00:52:50.639 --> 00:52:52.519 to the S and P five hundred as an indicator of what's going on in 704 00:52:52.559 --> 00:52:57.199 the market, while I always have been leaning towards the Dow, which do 705 00:52:57.239 --> 00:53:00.039 you think is more of a more realistic indocation of what is going on in 706 00:53:00.079 --> 00:53:04.840 the marketplace? So go ahead, dot Yeah, I mean so the Dow 707 00:53:04.960 --> 00:53:07.480 is always the most talked about one. It's the biggest number. It seems 708 00:53:07.519 --> 00:53:09.119 like it's always the big number on the TV shows that you're the oldest, 709 00:53:09.400 --> 00:53:14.199 it's the oldest as well. Really, what the Dow is is thirty stocks 710 00:53:14.599 --> 00:53:17.480 that a committee picks and they waited so if they don't think like and they 711 00:53:17.480 --> 00:53:20.800 can switch it out whenever they want, Like they just switched out what was 712 00:53:20.840 --> 00:53:24.920 it they switched out something for Walgo Greens got the company that kicked out maybe 713 00:53:25.320 --> 00:53:29.400 it was g And they do that periodically every few years. They kick them 714 00:53:29.440 --> 00:53:30.960 out and then because they're not performing, and if they kick them out, 715 00:53:30.960 --> 00:53:34.880 they tend to do better after. That's truly, if you get it and 716 00:53:35.599 --> 00:53:37.920 it's short the newest stock that's been added, you generally do. Really it's 717 00:53:37.960 --> 00:53:40.800 really interesting. Yeah, but so it's only thirty stocks and it's picked by 718 00:53:40.840 --> 00:53:44.519 a committee. It's not market cap, it's not how big the company is, 719 00:53:44.559 --> 00:53:46.920 how well the company it does. The S and P five hundred is 720 00:53:47.280 --> 00:53:52.039 five hundred company, five hundred and four companies. Yeah, they're exactly. 721 00:53:52.079 --> 00:53:54.679 Yeah, there's some stocks have two classes. Yeah, but it's like Google 722 00:53:54.679 --> 00:53:59.760 Google. Yeah, so it's five hundred companies of the largest companies in the 723 00:54:00.159 --> 00:54:02.320 in the world that trade on the New York Socks, Chans and all that, 724 00:54:04.000 --> 00:54:07.400 and that's how it's weighted, So it's five hundred largest companies, and 725 00:54:07.400 --> 00:54:13.519 it's a bigger diversification and adds more real life aspect of what's going on, 726 00:54:13.599 --> 00:54:16.280 not just thirty stocks that somebody's picking. And it is market cap weighted, 727 00:54:16.360 --> 00:54:21.400 however, so you can get it can get skewed like it is this year 728 00:54:21.440 --> 00:54:25.719 where you have seven stocks, the notorious ones we've always talked about, the 729 00:54:25.760 --> 00:54:30.039 Metas and the Amazons and the Apples of the world that are skewing the index. 730 00:54:30.400 --> 00:54:35.599 And probably if you're wanting to see how the market is doing, how 731 00:54:35.679 --> 00:54:42.800 your portfolio is doing, that equal weighted SMP five hundred symbol RSP is probably 732 00:54:42.880 --> 00:54:46.679 the best single indicator of how the overall market is doing. And that's why 733 00:54:46.719 --> 00:54:52.320 this year seems it's just fabricated because SMP five hundred is up ten percent, 734 00:54:52.920 --> 00:54:57.239 the RSP is down three percent. But what you see on CNBC and Fox 735 00:54:57.280 --> 00:55:00.599 News and CNN, whatever you're watching is the S and P five hundred. 736 00:55:00.679 --> 00:55:04.599 So you're looking at your account saying, why am I not up ten percent? 737 00:55:04.960 --> 00:55:07.440 But most of the time you're not even one hundred percent In equities, 738 00:55:07.480 --> 00:55:09.760 which is you'd have to be to be an SMP five ten percent. But 739 00:55:09.800 --> 00:55:13.440 also I mean equal way, it's down three percent of most companies unless you 740 00:55:13.480 --> 00:55:15.599 pick those seven companies, not gonna be up. I left a little bit 741 00:55:15.599 --> 00:55:19.199 of Carl's question now I want to give them some credit, because he was 742 00:55:19.440 --> 00:55:22.360 onto something here. He says, I've noticed the regardless of which index I 743 00:55:22.440 --> 00:55:24.840 choose, it seems the most most of the movements is always based on some 744 00:55:25.599 --> 00:55:30.320 on the same alphabet Tesla Meta, those types of companies. So in my 745 00:55:30.440 --> 00:55:32.480 view, he says, this is a bad thing. More so since those 746 00:55:32.519 --> 00:55:36.280 big four are in many ways a monopoly. I would think that a true 747 00:55:36.320 --> 00:55:39.320 bull market would be driven by small cap outfits, as they would reflect a 748 00:55:39.360 --> 00:55:44.880 more consistent consumer based growth pattern. This is what made me wonder just how 749 00:55:45.079 --> 00:55:49.360 the real economy is portrayed within these markets. I think the RSP that they 750 00:55:49.440 --> 00:55:52.239 equal, waited s and P five hundred is where you want to look. 751 00:55:52.480 --> 00:55:55.239 The real economy is not going to be the small cap stocks. Those are 752 00:55:55.280 --> 00:55:59.880 the emerging markets, those are the new companies. That's not the real economy. 753 00:56:00.159 --> 00:56:05.960 The real economy are the five hundred largest stocks in this country equally waited. 754 00:56:06.400 --> 00:56:08.920 Okay. Also, there's some fun facts about the Dow Jones that was 755 00:56:08.960 --> 00:56:15.079 created by Charles Dwell who was a journalist and he started was one of the 756 00:56:15.079 --> 00:56:17.800 ones that created the Wall Street Journal. And it started with twelve stocks. 757 00:56:19.079 --> 00:56:22.800 That was it twelve initially it was initially twelve. Can you guess the year 758 00:56:23.079 --> 00:56:29.360 nineteen twenty six? No, nineteen thirty one? Wrong, forty three wrong? 759 00:56:29.440 --> 00:56:34.840 Centuries eighteen hundreds, wow, eighteen ninety six containing twelve stocks, expanded 760 00:56:34.840 --> 00:56:37.320 in thirty stocks in nineteen twenty eight, and that's the numbers still making take 761 00:56:37.480 --> 00:56:43.679 a day. But the oldest dallastock ever and it's no longer in it. 762 00:56:45.280 --> 00:56:51.519 Oh this mean how the oldest stock that was in the Dow Ge Yeah. 763 00:56:51.679 --> 00:56:53.599 GE started in eighteen ninety six, ended in twenty eighteen. Yeah, that 764 00:56:53.679 --> 00:56:57.320 was amazing. When they removed G, that was like a heck of a 765 00:56:57.400 --> 00:57:00.320 day for those of us who have been around a while, like really taking 766 00:57:00.400 --> 00:57:04.360 GE the down court. Since then, G's taken off and they replaced it 767 00:57:04.400 --> 00:57:06.880 with Walgreens, which is falling apart. That was one of the things I 768 00:57:07.039 --> 00:57:10.360 was shocked by was GE's top five performer sh it up with Meta in the 769 00:57:10.400 --> 00:57:14.639 video. I'm just like, because they broke off their companies and they started, 770 00:57:14.639 --> 00:57:16.360 they did a lot better with that they did, but they also reverse 771 00:57:16.440 --> 00:57:22.599 split, and generally reverse split is a kiss. When a stock reverse splits, 772 00:57:22.719 --> 00:57:28.239 you want out fast. And when Ge reverse split, I sold all 773 00:57:28.239 --> 00:57:31.320 of our GE and it promptly went down about twenty percent, and I felt 774 00:57:31.360 --> 00:57:35.480 like a genius. And now it's doubled. That seems like one of the 775 00:57:35.519 --> 00:57:38.679 only instances that happened. It is it's so rarely, so rare reverse split 776 00:57:38.760 --> 00:57:40.880 is because it's for a reason. Yeah, I was feeling pretty good there 777 00:57:40.960 --> 00:57:45.960 for a while. Hey, you got another question for us? I do 778 00:57:45.039 --> 00:57:47.639 have another one that came in from Wayne, he asked. He says, 779 00:57:47.639 --> 00:57:51.599 Hello, I have two children headed off to college within the next five years. 780 00:57:52.079 --> 00:57:54.760 I'm ready to start saving for their education. What are some effective investment 781 00:57:54.800 --> 00:57:59.840 options to help cover their tuition costs. I'm not really sure if he's referring 782 00:57:59.880 --> 00:58:05.440 to investment vehicles or what type of plan I suppose, but yeah, I 783 00:58:05.440 --> 00:58:08.679 mean it's a it's a loaded question because it comes down to your preferences as 784 00:58:08.719 --> 00:58:12.360 a parent. I mean, if you have something where you're you want a 785 00:58:12.400 --> 00:58:15.639 lot of control, you have. You have a lot of options. You 786 00:58:15.679 --> 00:58:17.079 have utmas, you have ugmas, you have five twenty nine plans, you 787 00:58:17.079 --> 00:58:21.800 have corvidels to essays, and then you can just do individual accounts. You 788 00:58:21.800 --> 00:58:24.199 can open up a roth IRA. Right. There's so many points, and 789 00:58:24.280 --> 00:58:28.559 that's why I won't even start to try to answer that question. It comes 790 00:58:28.559 --> 00:58:30.719 down to the financial plan. I mean, if you're going to be doing 791 00:58:30.800 --> 00:58:35.079 something on a multi year basis of paying out money and draining assets, it 792 00:58:35.119 --> 00:58:39.400 needs to be done with a financial plan, or you're really just I mean, 793 00:58:39.400 --> 00:58:44.239 I don't know what the word is. I think that's a good answer, 794 00:58:44.280 --> 00:58:49.280 Todd. It really is individualized. If you wanted to give the child 795 00:58:49.320 --> 00:58:52.280 a large sum of money, you'd have to go five twenty nine. Right. 796 00:58:52.559 --> 00:58:54.960 If you want to give the child a custodial account where they're going to 797 00:58:54.960 --> 00:58:59.480 pay all the taxes, you do uniform trust to minors. If you would 798 00:58:59.519 --> 00:59:04.119 like to have total control over it in case your child doesn't turn out to 799 00:59:04.119 --> 00:59:07.199 be, you know, the next rocket scientist, then you would do a 800 00:59:07.280 --> 00:59:12.199 joint account, just title a college account, or ROTH in your own name. 801 00:59:12.239 --> 00:59:14.039 You could do a ROTH in your own name. Sure, So there's 802 00:59:14.119 --> 00:59:17.000 lots of options. And that's where the financial plan comes in to play. 803 00:59:17.119 --> 00:59:21.400 Hey, uh, Tesla, what a week for Tesla? Right? I 804 00:59:21.480 --> 00:59:27.800 was I was hiking on a week ago yesterday and the guy asked me what 805 00:59:27.840 --> 00:59:31.599 I thought about Tesla and I said the car because I was wearing a Tesla 806 00:59:31.639 --> 00:59:35.159 T shirt. And I said you mean the car and he goes, no, 807 00:59:35.239 --> 00:59:37.639 it's dock. I said, sell it. I'm feeling pretty good about 808 00:59:37.679 --> 00:59:40.920 that advice right now, and I'm thinking that when I go to Tomamark the 809 00:59:40.960 --> 00:59:44.239 next time, if I see him, he'll be wanting to know what else 810 00:59:44.280 --> 00:59:45.639 I like. Well, you felt pretty good about G two, So that's 811 00:59:45.679 --> 00:59:49.519 any indication? Good point, gott to go buy points. Tesla did tank 812 00:59:49.679 --> 00:59:53.199 last week. It tanks ten percent lower on Thursday morning after reporting the disappointing 813 00:59:53.280 --> 00:59:58.559 quarter. This is the interesting part. At ten percent decline in operating margins 814 00:59:58.960 --> 01:00:04.559 and very cautious. Elon Musk was concerned about the economy. He's saying that 815 01:00:04.599 --> 01:00:07.920 the cyber truck will probably take a year to eighteen months to become profitable. 816 01:00:08.360 --> 01:00:15.079 If ever, you know the he's lowering prices because he's concerned about affordability. 817 01:00:15.760 --> 01:00:19.360 They're losing market share, which is which you expect right. For a long 818 01:00:19.400 --> 01:00:22.920 time, they were the only horse in the race. Now there's a lot 819 01:00:22.960 --> 01:00:25.360 of them. You drive around town and look at the Cloud license plates. 820 01:00:25.400 --> 01:00:30.679 They're not all Tesla's. There's as I saw BMW the other day and it 821 01:00:30.760 --> 01:00:37.000 wasn't that that little BMW came out with an electric vehicle a few years back. 822 01:00:37.079 --> 01:00:39.079 That's kind of a funky looking thing. It's kind of almost square, 823 01:00:39.519 --> 01:00:45.199 doesn't really look like a BMW. This was actually a BMW looking BMW Loo 824 01:00:45.440 --> 01:00:50.400 look good and had the Cloud license plate on it. I did see Elucid 825 01:00:50.480 --> 01:00:53.079 car last weekend. Lucid. Yeah, it was actually a cooler looking than 826 01:00:53.119 --> 01:00:55.559 the original one. I don't know if it's because it was just all white, 827 01:00:55.599 --> 01:00:58.719 but it looked a lot better than the original one we talked about. 828 01:00:58.960 --> 01:01:01.599 Yeah, the ones i've seen are kind of in a gold or a brown. 829 01:01:01.679 --> 01:01:06.320 Is that weyan They only have a couple of colors. It actually pretty 830 01:01:06.320 --> 01:01:07.599 cool and it was white. It was all white. Yeah. I think 831 01:01:07.599 --> 01:01:12.960 it's time for a trip to the EV Garage and the EV Garage. The 832 01:01:12.960 --> 01:01:15.320 EV Garage, that's a good segue, right, the EV Garage. This 833 01:01:15.360 --> 01:01:20.719 week we're going to talk about the Big Lie what's that. The real big 834 01:01:20.760 --> 01:01:25.400 lie, The real big lie is range range numbers. They represent the range 835 01:01:25.440 --> 01:01:29.599 you can get. When you see an advertised range on an electric vehicle, 836 01:01:29.960 --> 01:01:32.760 you're seeing the range that you get in the perfect world in which none of 837 01:01:32.840 --> 01:01:38.320 us live. And lithium ion battery appears to have a maximum range of about 838 01:01:38.320 --> 01:01:43.000 three hundred miles in that perfect world. And by perfect world, I mean 839 01:01:43.119 --> 01:01:46.119 flat ground, seventy degree weather, sixty five miles. Nobody drives like that, 840 01:01:46.199 --> 01:01:51.039 nobody. The largest car company in the world is Toyota, and they've 841 01:01:51.039 --> 01:01:53.559 been focusing on the hybrid. But back in April, a new CEO took 842 01:01:53.559 --> 01:02:00.480 the range range and changed the direction of Toyota to electric. About ten days 843 01:02:00.480 --> 01:02:05.880 ago, toyotastruck a deal with Japanese oil company and I'm going to murder this. 844 01:02:06.480 --> 01:02:15.519 I demutsu Kosin to mass produce ultra high range electric vehicle solid state batteries. 845 01:02:15.519 --> 01:02:19.199 Now, let them them solid state batteries that have a range of nearly 846 01:02:19.280 --> 01:02:24.760 one thousand miles and can charge in ten minutes. The technology has been in 847 01:02:24.840 --> 01:02:28.920 development with at this oil company since two thousand and one. Because they could 848 01:02:28.920 --> 01:02:31.519 see the riding on the wall. There's going to be decreasing demand for oil. 849 01:02:31.800 --> 01:02:36.119 So how about we get involved in the battery business that helps to offset 850 01:02:36.159 --> 01:02:38.199 the oil. That doesn't make any sense. What you mean, how could 851 01:02:38.199 --> 01:02:40.960 you be in two thousand and one thinking we're going to be using decreasing demand 852 01:02:42.119 --> 01:02:45.960 of oil when population is increasing. No, two thousand and one being the 853 01:02:45.400 --> 01:02:50.400 increase in the in electric vehicles. They can see the electric vehicles were good, 854 01:02:50.440 --> 01:02:52.400 but not that we're going to use less oil. No, we will 855 01:02:52.519 --> 01:02:57.079 use less oil. That's how we want it. We have a larger population 856 01:02:57.119 --> 01:02:59.559 than we did in two thousand and one. If you if you were to 857 01:02:59.599 --> 01:03:02.719 have a fifteen or twenty million electric vehicles, you're going to use less oil 858 01:03:04.519 --> 01:03:07.199 in maybe just America, we're talking about the world. Yeah, I'm talking 859 01:03:07.320 --> 01:03:09.639 exactly no, because the people in the world are going to use actual oil 860 01:03:09.679 --> 01:03:14.960 now. Anyway, this if you can get a electric vehicle that can go 861 01:03:15.000 --> 01:03:20.679 one thousand miles and charge in ten minutes, you'd there'd never be a reason 862 01:03:20.679 --> 01:03:23.159 to own a gasoline powered car again in your life. As a game changer. 863 01:03:23.320 --> 01:03:29.519 Here's the problem. The mass production is hard with solid state batteries. 864 01:03:29.960 --> 01:03:32.239 They think they've got it figured out, but it's probably not going to be 865 01:03:32.239 --> 01:03:37.159 available for retail clients for five years. Do you know if graph fight goes 866 01:03:37.159 --> 01:03:39.320 into those solid state batteries, I don't. I know lithium does. Okay. 867 01:03:39.320 --> 01:03:42.840 The only reason I ask is because I saw a report today that said 868 01:03:43.079 --> 01:03:45.599 China has released plans to restrict these exports of graph Fight, a crucial mineral 869 01:03:45.599 --> 01:03:51.960 for the manufacturing process of these batteries within these electric vehicles. This came in 870 01:03:52.000 --> 01:03:55.400 just a few days after United States imposed additional limits on the kinds of semiconductors 871 01:03:57.440 --> 01:04:01.480 that American companies can sell to these Chinese two interesting. Yeah, but at 872 01:04:01.480 --> 01:04:04.079 the end of the day, I mean CNBC talked about it too. House 873 01:04:04.159 --> 01:04:08.840 China going to enforce that. There's a lot of people that they don't really 874 01:04:08.840 --> 01:04:14.679 know how they could. So it's made just for enforce the restrictions I mean 875 01:04:15.719 --> 01:04:18.000 graphite, Yeah, I mean just because you say you're not supposed to. 876 01:04:18.159 --> 01:04:20.679 We know what, China will say a lot of things and never actually do 877 01:04:20.760 --> 01:04:24.960 it. So it might just be a tip for tap on a you know, 878 01:04:24.960 --> 01:04:28.239 because all they care about is, you know, perception. So if 879 01:04:28.280 --> 01:04:30.840 it's on their China state media that we're fighting back, you know, I 880 01:04:30.239 --> 01:04:34.039 mean, they they're coming after US on our chips, so the US Chip 881 01:04:34.039 --> 01:04:39.280 Act, which we talked about this week, we did, But again, 882 01:04:39.440 --> 01:04:42.559 I think it's it's one of those things that the China's all about perception, 883 01:04:44.119 --> 01:04:47.960 the like the four point nine percent GDP growth, not only that, or 884 01:04:48.000 --> 01:04:50.400 like the twelve hundred people that got COVID out of the two billion that live 885 01:04:50.440 --> 01:04:56.559 there. Yes, yes, and again we've got Moderna and Fighter hitting new 886 01:04:56.599 --> 01:05:02.360 fifty or new post pandemic lows because of the lack of a demand at this 887 01:05:02.400 --> 01:05:06.199 point. Now it is mid October, right, so it's not we're not 888 01:05:06.280 --> 01:05:11.880 yet into the season where you'd expect it to really ramp up. But Pfizer 889 01:05:12.000 --> 01:05:16.440 was saying they expect twenty five percent of American people to get the new vaccine, 890 01:05:16.920 --> 01:05:21.079 and I'm not seeing that happening, and apparently others aren't either, which 891 01:05:21.159 --> 01:05:28.480 is why the stock of Walgreens, CBS, Moderna, Pfizer are all tanking. 892 01:05:28.760 --> 01:05:30.480 Yeah. No, there's no way that twenty five percent. You just 893 01:05:30.480 --> 01:05:33.280 can't imagine. It's hard. It's hard to make, especially when I hear 894 01:05:33.280 --> 01:05:36.400 the people who have had the five vaccines and they're saying, how many vaccines 895 01:05:36.400 --> 01:05:40.400 do I need? When those people start saying that, I mean, how 896 01:05:40.639 --> 01:05:43.960 how much demand is there left? Well, I think you know I have 897 01:05:44.159 --> 01:05:46.280 I've had three vaccines. I think there's been that, there's been four, 898 01:05:46.280 --> 01:05:49.440 and now a fifth one. I lost track. I don't know. I 899 01:05:49.840 --> 01:05:53.800 know I know people who have had five. Yeah, I think you forget 900 01:05:54.320 --> 01:05:57.199 one guy in India. Member he had thirty. The one guy in India 901 01:05:57.199 --> 01:06:01.840 had thirty and has never felt better and his back pain has gone away. 902 01:06:02.320 --> 01:06:08.840 Really Okay, so this is the new uh uh no placebo effect? Yeah, 903 01:06:08.960 --> 01:06:12.880 I did that. That couldn't possible to lose weight too. Yeah, 904 01:06:12.920 --> 01:06:15.440 I'm thinking at this point, I know, I know I've had three vaccines. 905 01:06:15.480 --> 01:06:18.800 I know I've had COVID twice, probably had it four or five times, 906 01:06:19.039 --> 01:06:23.639 right, And along with three vaccines, I'm thinking I kind of probably 907 01:06:23.679 --> 01:06:27.039 built up some kind of an immunity here. Nope, you know, I 908 01:06:27.039 --> 01:06:30.239 think it's important though. Let's let's talk about China again though, because what 909 01:06:30.599 --> 01:06:33.480 what's going on in Macau is really interesting. They said that the traffic is 910 01:06:33.559 --> 01:06:39.039 just about normal for for domestic traffic, and they're they're still down about twenty 911 01:06:39.039 --> 01:06:44.800 five percent from visitors from pre pandemic levels. But if that gets back. 912 01:06:44.880 --> 01:06:47.639 I mean, you're going to see people like I believe when it has a 913 01:06:47.679 --> 01:06:55.039 lot of exposure, right, and then Las Vegas Sands that company, so 914 01:06:55.280 --> 01:06:58.519 that's an interesting thing. We see Nike getting a bid over the last couple 915 01:06:58.559 --> 01:07:01.280 of weeks, which there's n about them, as well as Starbucks having a 916 01:07:01.280 --> 01:07:04.800 lot of their business in China and that was kind of weighing on those stocks. 917 01:07:04.800 --> 01:07:08.079 And now we've seen a little bit of a change there. So we're 918 01:07:08.079 --> 01:07:12.039 seeing some better sentiment coming out of China. And with their rate cuts, 919 01:07:12.079 --> 01:07:15.519 they actually they did not rate cut just over the over last night. They 920 01:07:15.599 --> 01:07:19.679 could have, but they didn't, so it's showing some you know, robustness 921 01:07:19.679 --> 01:07:26.360 there. Las Vegas Sands reported good results last week and good results in Vegas 922 01:07:26.360 --> 01:07:30.679 and good results in Macau which helped boost WIN a little bit. But Win 923 01:07:30.800 --> 01:07:32.480 is way down. It is down again. It was over one hundred again 924 01:07:32.480 --> 01:07:34.519 and now it's back to eighty seven. It was over one hundred and ten. 925 01:07:34.920 --> 01:07:39.159 Yeah, over one hundred and ten level. Now it's down what ninety 926 01:07:39.280 --> 01:07:43.159 is in the eighties. Eight in the eighties now, I mean, and 927 01:07:43.239 --> 01:07:48.000 going back to that, if Macau can get his normal traffic, Las Vegas 928 01:07:48.000 --> 01:07:51.719 sands Win. The other six casinos that are in there, they have a 929 01:07:51.719 --> 01:07:55.639 stronghold on that area. They're not allowed. No other casinos allowed to go 930 01:07:55.679 --> 01:07:59.000 in there for another seven eight years. Yeah, so you can just get 931 01:07:59.039 --> 01:08:01.960 back to normal, it'll help win a lot. Yeah. I wonder if 932 01:08:02.039 --> 01:08:06.119 MGM has any exposure to China. They do. Yeah, I think it's 933 01:08:06.199 --> 01:08:11.840 three, three or four US companies have exposure there and then a couple of 934 01:08:11.880 --> 01:08:15.960 Chinese ones. We talked about how Walgreens and CBS have been struggling to right 935 01:08:16.039 --> 01:08:19.800 aid, which is along struggling pharmacy chain. I went ahead and filed for 936 01:08:19.880 --> 01:08:27.920 bankruptcy Sunday because of guess what flowing COVID demand, rising debt, and lowsuits 937 01:08:27.960 --> 01:08:31.439 related to the opioid crisis. That's a deadly combination, isn't it. Yeah. 938 01:08:31.720 --> 01:08:34.880 I mean, have you talked about Netflix and we did not? Let's 939 01:08:34.880 --> 01:08:39.000 go ahead and talk. I mean, Netflix was an incredible earnings report. 940 01:08:39.399 --> 01:08:43.119 It was just doing terrible as a stock leading up to earnings, and I 941 01:08:43.119 --> 01:08:45.199 couldn't figure out why it just kept selling off and selling off, and then 942 01:08:45.319 --> 01:08:49.319 boom, earnings come out and I think it was up fifteen percent the next 943 01:08:49.399 --> 01:08:53.920 day, held on Friday, even when the markets were down at Held and 944 01:08:53.960 --> 01:08:58.479 it wasn't really the earnings report so much as the subscriber number. The password 945 01:08:58.520 --> 01:09:01.960 crackdown, right, and that's the they are attributing that to the password crackdown, 946 01:09:02.000 --> 01:09:05.279 which started just a few months ago. Right, yeah, I'm like, 947 01:09:05.319 --> 01:09:09.239 and now they're back to growth. I think it was a year ago 948 01:09:09.239 --> 01:09:12.399 they were saying they lost two hundred thousand subscribers, which actually turned out to 949 01:09:12.399 --> 01:09:15.279 be a million subscribers. So they're on the decline because the market's getting more 950 01:09:15.319 --> 01:09:18.399 saturated and they stop growing as much. But now they're looking at as more 951 01:09:18.399 --> 01:09:23.079 growth. Also, they're looking into getting to live sports. Yeah, that'd 952 01:09:23.119 --> 01:09:26.600 be very interesting. They're starting with golf and they're looking to do that, 953 01:09:26.760 --> 01:09:28.880 so it's going to be open up a whole new thing. I know they've 954 01:09:28.880 --> 01:09:30.279 been trying to get into gaming as well. I don't know where they stand 955 01:09:30.279 --> 01:09:33.520 on it, but they're trying to get into different avenues because they know their 956 01:09:33.520 --> 01:09:38.279 content can only be so much their business when every other company is doing the 957 01:09:38.279 --> 01:09:41.800 same. It's like anything in this streaming world, it's all about subscriber growth, 958 01:09:41.800 --> 01:09:45.600 and subscriber growth that's a good thing, right, Hey, lithium stocks 959 01:09:45.880 --> 01:09:49.159 plunged on Wednesday. We've got a client that was wanting to buy lithium stocks 960 01:09:49.159 --> 01:09:53.640 when we're looking at it. Bank of America downgraded the group on Wednesday, 961 01:09:53.680 --> 01:10:00.239 saying increased production of lithium has brought the market from shortages to sufficient supplies and 962 01:10:00.279 --> 01:10:03.399 predicts it in twenty twenty four and twenty twenty five there's going to be oversupply 963 01:10:03.920 --> 01:10:09.760 more lithium then we can possibly use again, not due to a decrease in 964 01:10:09.840 --> 01:10:15.399 demand for lithium, but an increase in supply. Now do you look at 965 01:10:15.439 --> 01:10:17.520 me quizically, Yeah, because I just don't understand how. I mean, 966 01:10:17.520 --> 01:10:20.399 if you have all these evs getting built out, how do you not have 967 01:10:20.479 --> 01:10:27.199 the demand No to the demand for lithium, the production the production is now 968 01:10:27.279 --> 01:10:31.199 paced to demand. So we're producing more of something more more lithium than we 969 01:10:31.279 --> 01:10:34.479 need, more lithium than we need, kind of like because the vacue, 970 01:10:34.560 --> 01:10:38.880 right, Because I mean, lithium has such a big CO two penalty to 971 01:10:38.960 --> 01:10:41.840 mine that out of the ground. So if we're just doing it for no 972 01:10:41.920 --> 01:10:45.439 reason, I mean, that's that's reason. No. Yeah, he's saying 973 01:10:45.479 --> 01:10:47.359 because with all the Coe two it takes to mine it. If you're over 974 01:10:47.439 --> 01:10:49.920 mining, why do you need to keep over mining? No, No, 975 01:10:50.119 --> 01:10:53.880 that's what that's why the price is plumbing. And of course what will happen 976 01:10:53.880 --> 01:10:57.720 when the price plumbers is you'll stop mining. They'll pull back. They just 977 01:10:58.079 --> 01:11:00.800 have to the part of it. Airline kinds they at Airline ETF hit a 978 01:11:00.800 --> 01:11:06.039 new fifty two weeks low after disappointing quarterly results from United in American and we 979 01:11:06.039 --> 01:11:09.880 can all guess what that is, right, higher oil prices. Yeah, 980 01:11:10.000 --> 01:11:14.279 that's it doesn't take a genius. That one doesn't take a genius to figure 981 01:11:14.279 --> 01:11:17.600 out. It's a it's a difficult time to be trying to run an airline. 982 01:11:18.119 --> 01:11:23.119 Uh, if you've got a travel starting to taper off a bit, 983 01:11:23.760 --> 01:11:29.000 not only because the seasonality, but because of the of everyone's been everywhere they 984 01:11:29.039 --> 01:11:31.319 want to go, right and since the pandemic. But then you put oil 985 01:11:31.359 --> 01:11:34.079 prices into that. We are going into the holiday season, though, and 986 01:11:34.079 --> 01:11:36.840 people are going to travel regardless of prices. It will because they want to 987 01:11:36.960 --> 01:11:42.079 in a sense they will. So first quarter next the should have better results. 988 01:11:42.119 --> 01:11:45.359 You think Peloton down fifty percent in the last ninety days, So guess 989 01:11:45.359 --> 01:11:49.319 what bank of America decided this is a good place to downgrade the stock. 990 01:11:50.159 --> 01:11:54.880 Funny how they are. I was like, are you kidding me? You 991 01:11:54.960 --> 01:11:57.880 had me in this stock and I've lost fifty percent of my money and I 992 01:11:57.960 --> 01:12:01.199 saying, you know what, get out out. It's not good. Anyway, 993 01:12:01.279 --> 01:12:04.199 we appreciate your joining us on this Sunday morning. We have fun bringing 994 01:12:04.279 --> 01:12:09.840 you to the show. We will be back with the next segment is the 995 01:12:10.640 --> 01:12:14.520 Fed correct We got We got Sean McCoy on, and then we'll have John, 996 01:12:14.600 --> 01:12:26.199 our lawyer in and we'll talk to you right after Spreak says welcome back. 997 01:12:26.239 --> 01:12:28.840 You're listening to the Money Matter Show. I'm Dylan Greenberg. I'm here 998 01:12:28.840 --> 01:12:30.800 with Todd Glick and we have a special guest on the radio show today. 999 01:12:31.359 --> 01:12:36.600 As you might know out here, we are hosting a Federal Retirement Benefit Seminar 1000 01:12:36.720 --> 01:12:41.960 workshop on December thirteenth O. We're at the Tucson Association Realtors and we have 1001 01:12:42.000 --> 01:12:45.520 a special speaker that's coming out actually that day to host the entire Seminar's name 1002 01:12:45.560 --> 01:12:49.880 is Sean McCoy. He is with Federal Employee Benefit Advocates and they'll be flying 1003 01:12:49.920 --> 01:12:55.720 in that day talking everything retirement for federals. We all know that it's very 1004 01:12:55.760 --> 01:12:59.279 specialized, very unique. So he's been doing it for years, He's talked 1005 01:12:59.319 --> 01:13:01.319 thousands of different and federal employees throughout the years. I'm going to let him 1006 01:13:01.359 --> 01:13:03.920 go into more detail about what he's done, how long has he been in 1007 01:13:03.960 --> 01:13:08.520 it. So welcome Sean, thank you for coming on our show. Well, 1008 01:13:08.520 --> 01:13:10.800 thanks Gas, I'm glad to be here. Looking forward to making the 1009 01:13:10.840 --> 01:13:15.119 trip out to Tucson here in December. The weather hopefully will be nice and 1010 01:13:15.479 --> 01:13:19.359 we'll have a good interaction with the folks that attend. Yeah, we're really 1011 01:13:19.359 --> 01:13:23.399 looking forward to it. The things that we find so much is that the 1012 01:13:23.960 --> 01:13:30.600 unique and complex factors that come into play for a federal employee's retirement is almost 1013 01:13:30.760 --> 01:13:34.720 it's not talked about enough. And that's where people like you come in because 1014 01:13:34.720 --> 01:13:39.319 you're really the expert. So talk a little bit about how you've gotten that 1015 01:13:39.399 --> 01:13:43.159 expert status through the years, how you know everything you know about the retirement 1016 01:13:43.159 --> 01:13:45.359 benefits, because it's such a complex space to talk about. How you got 1017 01:13:45.399 --> 01:13:51.039 into the business too and why and you're reasoning behind everything absolutely well, guys, 1018 01:13:50.600 --> 01:13:57.199 as you alluded to the federal space for employee benefits is very different than 1019 01:13:57.199 --> 01:14:02.039 what you see in ARISKA base plans, which the non federal space. And 1020 01:14:02.359 --> 01:14:08.479 the biggest challenge that I found when I first got into it was that there's 1021 01:14:08.600 --> 01:14:12.439 just not a lot of information out there generally that's in a comprehensive situation. 1022 01:14:12.560 --> 01:14:15.600 Now, my background is I've got about thirty six years of experience in and 1023 01:14:15.640 --> 01:14:21.199 around the financial services industry, and for the last fourteen years I've been doing 1024 01:14:21.239 --> 01:14:27.199 federal employee benefit briefings. I probably spoke to around thirty five thousand suberal employees 1025 01:14:27.239 --> 01:14:31.560 and probably delivered somewhere in the excess of about fourteen hundred total employee benefits seminars. 1026 01:14:31.560 --> 01:14:34.920 So over the years, what I've been able to do is compile information 1027 01:14:35.039 --> 01:14:39.960 through a variety of sources and put them into a format I think is easy 1028 01:14:40.000 --> 01:14:44.840 to understand and it helps people to identify certain key points that they need to 1029 01:14:44.840 --> 01:14:47.600 pay attention to based on whether they're in the early, mid or late career. 1030 01:14:48.199 --> 01:14:53.159 I was a former securities registered representative. I gave all those licenses up 1031 01:14:53.199 --> 01:14:57.079 when I started doing that, and so now my company, Federal Employee Benefits 1032 01:14:57.079 --> 01:15:00.319 Advocates. We are an educational company. And we are advocates for federal employees 1033 01:15:00.359 --> 01:15:04.039 to make sure that they have the knowledge that they need and the tools and 1034 01:15:04.079 --> 01:15:09.560 the resources available to help them plan for their family while they're working and then 1035 01:15:09.600 --> 01:15:13.680 also to plan hopefully to have a comfortable retirement. Yeah, and we're super 1036 01:15:13.680 --> 01:15:17.840 excited to have you, like we said on December thirteenth, because by working 1037 01:15:17.880 --> 01:15:24.439 together, you have a very unique Federal Workshop booklet that you actually take each 1038 01:15:24.640 --> 01:15:28.880 attendee through and so maybe spend a little bit of time of what kind of 1039 01:15:29.039 --> 01:15:33.199 lady expectations for what to expect at the seminar, what are the things that 1040 01:15:33.399 --> 01:15:36.920 they're going to be supplied, and how it's going to help them prepare for 1041 01:15:36.960 --> 01:15:43.439 retirement. Well, the way that the briefing is designed is it's designed to 1042 01:15:43.520 --> 01:15:48.880 address first the issues regarding retirement and so for the first employees as well as 1043 01:15:48.880 --> 01:15:54.119 the csrs, if any of those attend. If any of those employees attend, 1044 01:15:54.680 --> 01:15:59.840 primarily for the FIRS, you have three different sources of income coming in 1045 01:16:00.119 --> 01:16:03.119 your retirement. Which is your retirement annuity that the federal government provides to you 1046 01:16:03.159 --> 01:16:09.079 if you meet the criteria, Social Security, which is the benefit that all 1047 01:16:09.119 --> 01:16:12.640 Americans are available to if they pay into the system and have enough orders to 1048 01:16:12.720 --> 01:16:15.319 qualify. And then the final thing, which is the Thrift Savings Plan, 1049 01:16:15.319 --> 01:16:20.880 which is kind of a unique defined contribution program in the various investment options that 1050 01:16:20.920 --> 01:16:25.439 it has. And there's been a lot of exciting things that have happened with 1051 01:16:25.560 --> 01:16:29.840 the TSP in the last several years. But we'll go through those retirement benefits 1052 01:16:29.880 --> 01:16:32.000 first, and then we'll go into what we call the risk management, which 1053 01:16:32.000 --> 01:16:38.399 we think such as your federal employees through life insurance, health insurance, the 1054 01:16:38.720 --> 01:16:42.399 long term care. We won't go into that a lot, we'll talk about 1055 01:16:42.399 --> 01:16:45.640 it, and then we'll talk about the various disability benefits. So each participant 1056 01:16:45.720 --> 01:16:50.880 will receive a high quality workbook. There'll be some exercises that we take people 1057 01:16:50.960 --> 01:16:56.319 through to help them kind of navigate where their benefits are and some things that 1058 01:16:56.359 --> 01:17:00.600 they can expect. And then we will have ample time for questions for the 1059 01:17:00.600 --> 01:17:03.760 individuals as well, as I believe you gentlemen, will be offering a chance 1060 01:17:03.800 --> 01:17:09.319 to have the folks sit down with you afterwards and answer some individual questions. 1061 01:17:09.359 --> 01:17:12.640 So that's what they can expect from the program. And as I said, 1062 01:17:12.640 --> 01:17:15.800 each participant will get a booklet that'll help them follow along with a copy of 1063 01:17:15.800 --> 01:17:19.760 the slide that will go through. Yeah, we will definitely do that if 1064 01:17:20.039 --> 01:17:24.960 an attendee is interested in sitting down. After that's we compile it all together. 1065 01:17:25.000 --> 01:17:27.319 We do the financial plan. We have the federal side as well, 1066 01:17:27.520 --> 01:17:30.319 and we help them look at what their retirement could look like as a federal 1067 01:17:30.319 --> 01:17:33.960 employee with their pension and the TSP and life insurance, anything they might need 1068 01:17:34.039 --> 01:17:38.840 during retirement. That's what we do after the fact of the seminar after all 1069 01:17:38.840 --> 01:17:43.760 that. Yeah, and the purpose of the financial plan for a lot of 1070 01:17:43.800 --> 01:17:48.279 people is seeing the current snapshot of their financial life right now, and then 1071 01:17:48.520 --> 01:17:54.840 we can project out and model based on a whole array of different variables that 1072 01:17:54.880 --> 01:17:58.880 can come into play. We can model how that plan will work depending on 1073 01:17:58.960 --> 01:18:02.680 different variations factors coming into play. So that's where the peace of mind comes 1074 01:18:02.720 --> 01:18:05.720 in for a lot of these people. When you understand your benefits and then 1075 01:18:05.760 --> 01:18:09.359 you understand how those benefits are going to work for you into the future, 1076 01:18:09.560 --> 01:18:14.239 you can actually sleep at night knowing that you are maximizing your retirement pension as 1077 01:18:14.239 --> 01:18:17.880 well as maximizing the other benefits that come with a federal so sean based on 1078 01:18:17.880 --> 01:18:23.279 your interactions and experience, what are some unique challenges or opportunities that federal employees 1079 01:18:23.319 --> 01:18:27.039 may face in the retirement planning compared to other sectors and how can they best 1080 01:18:27.039 --> 01:18:31.079 address them? Well, first off, I think it's important that no matter 1081 01:18:31.079 --> 01:18:35.079 where you are in your career, your early, middle, or late career, 1082 01:18:35.680 --> 01:18:41.640 you're going to benefit from coming to this particular briefing because the things that 1083 01:18:41.720 --> 01:18:45.840 we'll talk about will be covering all of the different issues that you face at 1084 01:18:45.880 --> 01:18:49.079 different points in time in your career. But one of the unique challenges that 1085 01:18:49.119 --> 01:18:57.520 federal employees have that other people don't have is the ability to retire much earlier 1086 01:18:57.520 --> 01:19:00.359 than most Americans. You can retire as ear is fifty seven if you have 1087 01:19:00.439 --> 01:19:04.359 thirty years of service, and in doing so, that means that you've got 1088 01:19:04.399 --> 01:19:10.079 a unique challenge in terms of the longevity because most Americans don't retire until they're 1089 01:19:10.119 --> 01:19:14.119 sixty seven, So that means that's an additional ten years of planning. And 1090 01:19:14.159 --> 01:19:17.520 that's where the TSP comes in. It's the singular most important part of the 1091 01:19:17.560 --> 01:19:21.720 retirement and it's the only ones that the employees can control. Some other things 1092 01:19:21.720 --> 01:19:27.000 that they face that are unique in that first, classified federal employees don't get 1093 01:19:27.000 --> 01:19:30.119 a cost of living adjustment until they reach sixty two, and so that can 1094 01:19:30.199 --> 01:19:34.960 create a challenge in them in terms of planning and projecting. So the important 1095 01:19:34.960 --> 01:19:39.399 part of that is to make sure that they're utilizing the benefits while they're employed 1096 01:19:39.680 --> 01:19:43.840 and that they're prepared for the different things that happened after they are employed in 1097 01:19:43.960 --> 01:19:48.319 going into retirement. Yeah, exactly, and that is very unique in the 1098 01:19:48.359 --> 01:19:51.920 sense of that they retire fifty seven. There's also and then's obviously there's different 1099 01:19:53.439 --> 01:19:56.840 parameters that they can get. They can have the supplemental Social Security and different 1100 01:19:56.880 --> 01:20:00.560 things like that, which are details that you will go into during the presentation 1101 01:20:00.640 --> 01:20:03.920 during their workshop on December thirteenth. But it's that idea that we just know 1102 01:20:04.000 --> 01:20:09.720 that it's unique and everything like that. So I mean also in that sense, 1103 01:20:09.760 --> 01:20:12.840 what are some of the most common misconceptions that you've seen federal employees have 1104 01:20:13.359 --> 01:20:17.159 about their retiring benefits and how can they be addressed? Well, I think 1105 01:20:17.199 --> 01:20:23.119 some of them have to do with the taxation of the annuity. A lot 1106 01:20:23.159 --> 01:20:27.119 of folks are not familiar with how they're packed, so that's one issue Another 1107 01:20:27.239 --> 01:20:30.159 issue is that when they retire, some of their benefits are going to go 1108 01:20:30.239 --> 01:20:33.800 away. So some of the things such as the ability to pay for their 1109 01:20:33.800 --> 01:20:38.640 health insurance on a pre tax basis will go away. Some of the other 1110 01:20:38.680 --> 01:20:42.760 benefits that they have, such as the flexible spinning account, will go away. 1111 01:20:43.000 --> 01:20:45.479 And those are items that you know they can utilize while they're employed, 1112 01:20:45.520 --> 01:20:49.359 but after they're retired, those are benefits that they're not going to have available. 1113 01:20:49.720 --> 01:20:55.079 Also, you mentioned the Special Retirement Supplement. That is another area that 1114 01:20:55.159 --> 01:20:58.880 people are not often familiar with of how they have to qualify for that, 1115 01:20:59.439 --> 01:21:01.399 and the fact that if they do go out and work after they've retired and 1116 01:21:01.399 --> 01:21:04.880 they earn income, that some of that money could be offset from that. 1117 01:21:05.399 --> 01:21:10.920 And then the other one that can be quite a challenge is if someone has 1118 01:21:11.000 --> 01:21:15.319 military service, and whether that's they retired from the military, they did a 1119 01:21:15.399 --> 01:21:18.279 stint in the military, or they had some reservist time where they were deployed. 1120 01:21:18.960 --> 01:21:24.960 Oftentimes I find that federal employees are not familiar with the process and the 1121 01:21:25.039 --> 01:21:29.840 rationale behind buying or making deposits for that military service. So there's some of 1122 01:21:29.880 --> 01:21:33.800 the unique things that you can expect that we'll cover in the briefing or the 1123 01:21:33.840 --> 01:21:39.039 seminar on the thirteenth there and Tusaw. Yeah. Another one that came to 1124 01:21:39.079 --> 01:21:42.279 mind was the sick leave. Right. I think a lot of federal employees 1125 01:21:42.319 --> 01:21:45.319 they walk over that just not knowing all the rules behind that. Right, 1126 01:21:45.399 --> 01:21:48.880 Jean, I'm sorry you cut out for just one moment. What did you 1127 01:21:48.920 --> 01:21:53.000 say? I said, the sick leave, the calculations and how that might 1128 01:21:53.039 --> 01:21:58.439 be added back in, right, Pa. Sickly is something that since twenty 1129 01:21:58.640 --> 01:22:01.079 ten, federal employees have been able to use sickly to enhance their annuity. 1130 01:22:01.800 --> 01:22:08.760 And it's a benefit that will allow them to enhance their annuity, but it 1131 01:22:08.800 --> 01:22:13.359 doesn't meet the minimum service requirement. So I'm here in Louisiana and we have 1132 01:22:13.760 --> 01:22:15.239 a little saying when we give you a little something extra, we call it 1133 01:22:15.359 --> 01:22:18.840 lanyat, and so that's what we would say that the sickly is. It's 1134 01:22:18.880 --> 01:22:24.520 a little lath, a little something extra that can allow you to cash in 1135 01:22:24.560 --> 01:22:27.800 on your sickly to be paid on it for the rest of your life, 1136 01:22:27.960 --> 01:22:30.640 and also if you provide a survivor benefit for the rest of their lives. 1137 01:22:31.760 --> 01:22:35.600 And then another good question that we saw that from your experience, what are 1138 01:22:35.640 --> 01:22:41.720 the most effective resources or tools available for federal employees to optimize their retirement plans 1139 01:22:41.720 --> 01:22:45.359 and benefits. Well, certainly, I know that some of the tools that 1140 01:22:45.399 --> 01:22:50.239 you gentlemen have available to show them the analysis of their benefits and project out 1141 01:22:50.760 --> 01:22:57.840 and that's important. Obviously, they have access to OPM dot gov, which 1142 01:22:57.880 --> 01:23:03.079 is the imistration for the pension and the ones who actually calculated and do the 1143 01:23:03.119 --> 01:23:10.760 payout. There's TSP dot gov, which is the TSP website. There's a 1144 01:23:10.760 --> 01:23:15.079 couple of websites that your listeners may not be familiar, which is FSA, 1145 01:23:15.199 --> 01:23:17.840 feds dot com and ben e fed. Those have to do with the Flexible 1146 01:23:17.840 --> 01:23:23.079 Spending account. And so what's coming up here very shortly is the open season, 1147 01:23:23.640 --> 01:23:26.479 and so you know, by having a chance to attend this seminar, 1148 01:23:27.239 --> 01:23:30.920 you know you'll pick up on some information hopefully before the open season has closed. 1149 01:23:30.920 --> 01:23:34.159 Well, the open season will actually close before the seminar. But there 1150 01:23:34.159 --> 01:23:38.239 are some items that you do want to pay attention to, and that would 1151 01:23:38.279 --> 01:23:43.279 be making sure that you make the right selection during the open season and that 1152 01:23:43.359 --> 01:23:47.439 you really take a look at your health insurance provider, which unfortunately this year 1153 01:23:47.520 --> 01:23:51.479 is going up on an average for the participants of about seven point seven percent, 1154 01:23:53.199 --> 01:23:59.199 and then also the ability to enroll in the Flexible Spending Account and as 1155 01:23:59.199 --> 01:24:02.319 well as doing you on the dental programs that you're currently enrolled in. Awesome. 1156 01:24:02.680 --> 01:24:04.880 Well, we are coming up on a break here, Sean. We 1157 01:24:05.000 --> 01:24:10.800 really appreciate you coming on the show explaining your expertise and everything to expect at 1158 01:24:10.840 --> 01:24:15.640 our seminar. Again, the workshop is a Federal employee education workshop. It's 1159 01:24:15.640 --> 01:24:19.760 going to be held at the Tucson Association of Relators on December thirteenth from eight 1160 01:24:19.760 --> 01:24:23.960 am to four pm. You can even possibly get a day off if you 1161 01:24:24.000 --> 01:24:28.680 ask your agency for the SF one eighty two and they offer that. So 1162 01:24:29.000 --> 01:24:31.800 again, it's going to be a great event. Anyone less than ten years 1163 01:24:31.880 --> 01:24:38.680 definitely take advantage and take it and finally have that security that everyone's looking for 1164 01:24:38.880 --> 01:24:42.159 as you approach retirement. Thank you everyone for listening. We'll be back on 1165 01:24:42.199 --> 01:24:47.600 the Money Matter Show. Thank you, Sean, Thank you say it's only 1166 01:24:47.680 --> 01:24:54.199 a name. Welcome back to the Money Matter Show. My name is Sebastian 1167 01:24:54.199 --> 01:24:58.960 bor Senium here with Dave Sherwood, Todd Click Junior and a good friend Jonathan 1168 01:24:59.079 --> 01:25:03.720 Sabilia. Guys, all right, it was a beautiful week. And John, 1169 01:25:03.800 --> 01:25:08.279 I mean we we had one of our first tag team specials, me 1170 01:25:08.279 --> 01:25:12.960 and you together. We we did we we did collaborate on a client. 1171 01:25:13.000 --> 01:25:17.479 It was very successful and very productive. Yeah, we're we're looking forward to 1172 01:25:17.560 --> 01:25:21.279 doing that into the future because, as Dean said, the way he built 1173 01:25:21.319 --> 01:25:26.359 this firm was really in a way to have almost the whole financial mall in 1174 01:25:26.359 --> 01:25:29.960 one place. Right, you have everything you need in one stop and we 1175 01:25:30.000 --> 01:25:32.399 can take care and service you in any areas that you have. So having 1176 01:25:32.399 --> 01:25:36.159 that ability and really, I mean when it comes to financial planning, the 1177 01:25:36.279 --> 01:25:42.279 most closest cousin probably is a state planning. State planning in taxes, right, 1178 01:25:42.479 --> 01:25:45.880 both of my specialty. And that's why we it's really nice to work 1179 01:25:45.000 --> 01:25:47.399 so well. You know, we work well together so well. And that 1180 01:25:47.479 --> 01:25:50.880 was always my goal when I first started out, was to be part of 1181 01:25:50.920 --> 01:25:56.399 a family office, which is basically, you know, these super wealthy people 1182 01:25:56.439 --> 01:26:01.359 they just have a one stop shop financial and legal in texts home they can 1183 01:26:01.439 --> 01:26:04.479 go to where it's all taken care of under one roof. In fact, 1184 01:26:04.520 --> 01:26:08.079 I had a buddy I used to do when I did Texas. He was 1185 01:26:08.119 --> 01:26:11.920 a lawyer and he left to go to a family office and his job was, 1186 01:26:12.399 --> 01:26:15.600 you know, some of the more wealthy people. What his job was 1187 01:26:15.600 --> 01:26:19.199 was to one of the clients. He was telling me that was traveling over 1188 01:26:19.239 --> 01:26:25.640 to Africa and he had a little bit of a medical condition. So his 1189 01:26:25.800 --> 01:26:30.720 job was to fined every hospital in every town in Africa that he was going 1190 01:26:30.720 --> 01:26:34.840 to go to and contact that hospital to let him let them know that we're 1191 01:26:34.960 --> 01:26:40.640 going to have an American in there that has a special condition and he may 1192 01:26:40.960 --> 01:26:45.640 and he will be there at some point to get some sort of testing or 1193 01:26:45.720 --> 01:26:47.399 up there. I don't know if it was dialysis or what, but it 1194 01:26:47.439 --> 01:26:50.520 was his job to make sure, you know, his this guy's vacation went 1195 01:26:50.520 --> 01:26:57.119 along smoothly. Yeah, I mean it kind of put some picture or color 1196 01:26:57.159 --> 01:27:00.399 around that comment. I mean, we do things like house calls, right 1197 01:27:00.439 --> 01:27:02.560 and if someone's not able to always drive, we will drive out and the 1198 01:27:02.680 --> 01:27:06.279 SeaBASS as many times droven out to get a signature to a client. And 1199 01:27:06.319 --> 01:27:11.000 that's what we're all about. That customer service that you will not find at 1200 01:27:11.039 --> 01:27:15.039 a big house because why would they offer it. It's not profitable for them, 1201 01:27:15.319 --> 01:27:18.520 Like it and also it's waste of time for a big wirehouse like that. 1202 01:27:18.560 --> 01:27:21.800 Well, for us, it's what sets us apart. It's what we 1203 01:27:21.880 --> 01:27:27.159 focus on. Customer services is number one. I mean that that's what makes 1204 01:27:27.239 --> 01:27:30.800 us so unique. Well, there's any things make us unique, right, 1205 01:27:30.920 --> 01:27:35.000 but customer service, above and beyond the norm is what we want to bring 1206 01:27:35.079 --> 01:27:39.479 to the table. Yeah, we want we want to say something that we 1207 01:27:39.520 --> 01:27:43.680 would do and really you would do that for us. That's that's the type 1208 01:27:43.720 --> 01:27:45.319 of people we want to be. We may not call up the hotel and 1209 01:27:45.520 --> 01:27:48.520 the Barbados to let them know you're coming, but we'll make sure you come 1210 01:27:48.520 --> 01:27:50.359 here. You're gonna get you know, we're going to take a look at 1211 01:27:50.399 --> 01:27:55.159 every single situation, make sure your money's protected, it's going where you wanted 1212 01:27:55.159 --> 01:27:57.880 to go, and grow as fast as it can. Are you and John 1213 01:27:57.880 --> 01:28:00.560 anathing to tell us about your little collaboration so we get an idea of the 1214 01:28:00.640 --> 01:28:04.880 types of things that people might expect here. Yeah, So essentially a client 1215 01:28:04.920 --> 01:28:09.840 came in and their goal was preservation of principle and they came in too inherit, 1216 01:28:10.119 --> 01:28:13.760 inherited some money and needed to know what to do with it. Didn't 1217 01:28:13.760 --> 01:28:15.199 know what to do with it, and the goal was preservation of principle, 1218 01:28:15.239 --> 01:28:19.119 and so me and Dave we sat down and devised a strategy of how we 1219 01:28:19.119 --> 01:28:23.119 were going to take part of that. And like we've said many times on 1220 01:28:23.119 --> 01:28:26.800 the show, preservation of Principle, it's a great time because you have a 1221 01:28:26.800 --> 01:28:30.760 really high interest rates. You have treasury ladders paying a ravage around five percent 1222 01:28:30.880 --> 01:28:32.880 right now for a five year ladder. You have magas that are paying five 1223 01:28:32.920 --> 01:28:36.199 point five. So there's a lot of options out there at Vanguard money Market 1224 01:28:36.239 --> 01:28:40.199 five point two, So a lot of options out there, and that's what 1225 01:28:40.239 --> 01:28:45.159 we are side of our business, right. And then she also needed help 1226 01:28:45.239 --> 01:28:47.640 with in a state right, getting an updated trust. I mean, how 1227 01:28:47.720 --> 01:28:53.119 old was the old will and power? Now I wasn't a trust, sorry, 1228 01:28:53.279 --> 01:28:57.359 it was Actually she was thinking that she needed to trust. And then 1229 01:28:57.399 --> 01:29:00.960 you said that you don't need a trust. And I think that's what's so 1230 01:29:00.119 --> 01:29:04.560 unique about John is he won't sell you something you don't need. He will 1231 01:29:04.560 --> 01:29:09.159 tell you no, we can do this a lot more efficiently, right exactly. 1232 01:29:09.239 --> 01:29:10.960 And you know I looked at it and I said, you know, 1233 01:29:11.119 --> 01:29:14.800 it's they were coming into a lot of money and they were at the financial 1234 01:29:15.720 --> 01:29:18.880 They were at a financial level where you could do a revocable living trust, 1235 01:29:18.960 --> 01:29:25.800 but we avoided that because it was unnecessary. Everything they had was design beneficiary 1236 01:29:25.840 --> 01:29:31.159 designated, meaning you can throw a beneficiary on its ownership and if something happened 1237 01:29:31.159 --> 01:29:34.760 to the person who owned it, it would go directly to them, avoiding 1238 01:29:34.800 --> 01:29:39.640 probate, which is usually our goal. And so we just made an update 1239 01:29:39.840 --> 01:29:43.680 to the will and this specific person, you know, not naming names, 1240 01:29:43.720 --> 01:29:47.720 but they had four children. Since the original drafting of the will, one 1241 01:29:47.760 --> 01:29:53.199 of the children passed away and they wanted to disinherit the other child, so 1242 01:29:53.319 --> 01:29:55.600 only two were going to get the assets. So we had to make an 1243 01:29:55.640 --> 01:30:00.720 update and make sure that third child did not receive any any benefit exactly. 1244 01:30:00.800 --> 01:30:05.800 And so you know, encompassing all that in one meeting was it was a 1245 01:30:06.920 --> 01:30:11.479 packed full hour, that's for sure, but you know, doing it all 1246 01:30:11.520 --> 01:30:13.880 in one meeting, I mean, where else can you get that? Right? 1247 01:30:13.880 --> 01:30:17.039 But the client did come in with inherited money that she didn't really need 1248 01:30:17.560 --> 01:30:21.119 and didn't know what to do with it, and had the will situation, 1249 01:30:21.199 --> 01:30:26.119 and it was all handled right here in one meeting, in one media. 1250 01:30:26.199 --> 01:30:29.039 Yeah, they had questions about taxation. And you know, I want to 1251 01:30:29.039 --> 01:30:31.239 give my child one hundred thousand dollars And I said, okay, go ahead. 1252 01:30:31.840 --> 01:30:36.039 You know there's no tax involved. You're well underneath the unified you know 1253 01:30:36.079 --> 01:30:41.439 the exemption amount. Uh. You know if you may want to file the 1254 01:30:41.520 --> 01:30:44.600 seven or nine, which is a gift tax return, just to report the 1255 01:30:44.640 --> 01:30:48.880 gift, but you won't know taxes on it. So what about the I 1256 01:30:48.920 --> 01:30:51.840 was under the impression of the maximum you could give to any one person in 1257 01:30:51.880 --> 01:30:58.279 one year seventeen grand. Well you can give So that's the that's the exclusion 1258 01:30:58.279 --> 01:31:00.319 about excuse me, I said exemption. That's the exclusion a mount So you 1259 01:31:00.359 --> 01:31:06.039 don't have to necessarily file a gift tax return if it's below seventeen thousand dollars 1260 01:31:06.079 --> 01:31:09.640 per year. But just because it's above that amount doesn't mean you're going to 1261 01:31:09.720 --> 01:31:12.560 pay taxes. The Irish just wants to know about it. Oh, I 1262 01:31:12.600 --> 01:31:16.159 say, so, who would then determine what the tax would be? Would 1263 01:31:16.159 --> 01:31:20.000 it be based upon the recipient's tax bracket? No, it's going to be 1264 01:31:20.039 --> 01:31:24.800 based It's not going to be based on the tax bracket. The gift will 1265 01:31:24.800 --> 01:31:29.479 be basically be tied into your state tax and it will be tax at forty 1266 01:31:29.520 --> 01:31:33.439 percent if you go over the unified credit amount. We see all the time, 1267 01:31:34.079 --> 01:31:38.199 and you know what's going on out there in the real world where people 1268 01:31:38.199 --> 01:31:42.319 are giving their kids fifty dollars one hundred down dollars and nobody's saying the thing 1269 01:31:42.359 --> 01:31:47.039 about it. So the reality of it is as a taxpayer, fortunately there's 1270 01:31:47.039 --> 01:31:51.119 no way to track that, or unfortunately there's no way to track that. 1271 01:31:51.920 --> 01:31:58.720 One great thing I'm doing for a client this week is they have a business 1272 01:31:59.159 --> 01:32:02.199 and they have young kids kids, And what we're doing is, you know, 1273 01:32:02.239 --> 01:32:06.399 you're able to give a child under eighteen, give they're able to work 1274 01:32:06.439 --> 01:32:11.680 for the company, and you're able to pay them. And if you if 1275 01:32:11.720 --> 01:32:15.079 you pay them less than thirteen thousand, eight hundred dollars, they won't have 1276 01:32:15.119 --> 01:32:20.079 to pay taxes. So that'll be a deduction on your business income return and 1277 01:32:20.119 --> 01:32:24.840 they'll be able to receive the income and not have to pay any taxes. 1278 01:32:24.880 --> 01:32:28.359 But what's great about that is that's their an income. What can you do 1279 01:32:28.399 --> 01:32:30.760 with their an income? Put into a wroth? And if you put a 1280 01:32:30.840 --> 01:32:35.239 raw six thousand dollars into a wroth at fifteen years old, at fifteen years 1281 01:32:35.239 --> 01:32:40.199 old, and then a six thousand at sixteen and six and six thousand at 1282 01:32:40.239 --> 01:32:45.359 seventeen compound interest at sixty five. What do you think that number is about? 1283 01:32:45.880 --> 01:32:49.680 Well, I mean six thousand about nine percent starting nine about two million. 1284 01:32:49.720 --> 01:32:54.439 I think it's about one point seven million dollars, So I was pretty 1285 01:32:54.439 --> 01:32:58.680 close. That's doing the six thousand dollars into a roth every year for how 1286 01:32:58.760 --> 01:33:01.000 long? If you just put eighteen thousand dollars and let it sit there at 1287 01:33:01.079 --> 01:33:06.640 nine percent compound interest after fifty years? Yeah, So that's all you ever 1288 01:33:06.680 --> 01:33:10.399 put in, is the eighteen thousand dollars went. I went on and I 1289 01:33:10.479 --> 01:33:13.760 checked it today. It's about one point seven million dollars. That's amazing. 1290 01:33:14.119 --> 01:33:16.760 And that's that I mean. I remember Dean telling me that with his son 1291 01:33:16.840 --> 01:33:20.680 Matthew, he would Matthew was a model, a baby model for you know, 1292 01:33:20.920 --> 01:33:25.239 and he would pay him earned income and then they used that as started 1293 01:33:25.239 --> 01:33:29.079 the wroth. And so using that type of idea, and if you're a 1294 01:33:29.079 --> 01:33:31.479 business owner, you have so many options available to you, you need to 1295 01:33:31.520 --> 01:33:35.079 have an expert so you can actually know if you're taking advantage of all the 1296 01:33:35.079 --> 01:33:40.520 benefits available to including how to what type of a business that you are, 1297 01:33:40.720 --> 01:33:45.159 right, that's we've talked about that a little bit. Whether you're a chapter 1298 01:33:45.239 --> 01:33:48.439 as corp. Yeah, it doesn't matter. It could be any business as 1299 01:33:48.479 --> 01:33:53.720 long if you have an employee, you can pay them payroll and it'll reduce 1300 01:33:53.760 --> 01:33:59.000 your net income and by thirteen thousand and eight to fifty whatever you want to 1301 01:33:59.039 --> 01:34:01.399 pay them, whatever they're in earned income is and then they'll be able to 1302 01:34:01.439 --> 01:34:04.279 take it. They'll not have to pay taxes on it. And then you 1303 01:34:04.319 --> 01:34:11.039 start that roth and so an individual doesn't pay income tax until their income exceeds 1304 01:34:11.119 --> 01:34:14.159 that thirteen thousand and eight fifty. Is that the twenty twenty three Yes, 1305 01:34:14.439 --> 01:34:17.720 okay, and this particular child. Let's say you have two children working for 1306 01:34:17.760 --> 01:34:21.640 the company getting paid thirteen thousand, eight hundred. What do they have to 1307 01:34:21.680 --> 01:34:25.560 do? I mean, do they actually have to show up? Well, 1308 01:34:25.600 --> 01:34:29.039 they got to do a job. Okay. You know. Let's maybe you've 1309 01:34:29.039 --> 01:34:30.880 got a couple of young kids that you want to put on the website and 1310 01:34:30.920 --> 01:34:34.960 have their pictures marketing. You know, I'm a family business. You know, 1311 01:34:35.039 --> 01:34:40.960 that could be considered some sort of that's considered employee. Have them cleaned, 1312 01:34:41.119 --> 01:34:44.399 you know, clean up the trash every once in a while, it's 1313 01:34:44.720 --> 01:34:47.399 or maybe you just have them participate in some sort of in some of the 1314 01:34:47.399 --> 01:34:50.159 actual day to day stuff. I don't know, that's that's something you're gonna 1315 01:34:50.159 --> 01:34:53.520 have to make it. I don't want to travel down that road. No, 1316 01:34:53.640 --> 01:34:55.640 I get it, I get it. I'm just scariously. You can't 1317 01:34:55.680 --> 01:34:58.920 just give them thirteen thousand, eight hundred. They actually have to be performing 1318 01:34:59.039 --> 01:35:03.479 a duty and and I guess in theory the duty would have to have that 1319 01:35:03.680 --> 01:35:08.880 value to you, right, You can't have them come in once a month 1320 01:35:08.920 --> 01:35:11.880 and empty the trash and pay them thirteen thousand, eight hundred. Yeah, 1321 01:35:11.920 --> 01:35:15.079 the irs, I'm sniffing around the last. What they're doing day to day? 1322 01:35:15.640 --> 01:35:17.800 Well, and that's like so many things in life. You know, 1323 01:35:17.880 --> 01:35:23.720 if it's not a problem unless you get caught. And so if you and 1324 01:35:24.079 --> 01:35:27.279 what we always were big advocates here played by the rules, right, that's 1325 01:35:27.359 --> 01:35:30.359 that's the best way to stay out of troubles. But that's why I prefaced 1326 01:35:30.359 --> 01:35:32.079 it. I said, have them come to a job and then pay them 1327 01:35:32.079 --> 01:35:35.960 earned income thirteen and fifty dollars. Right now, I want to make sure 1328 01:35:36.000 --> 01:35:42.000 that everyone understood that that was the case, and that you and you you 1329 01:35:42.039 --> 01:35:46.199 shouldn't be giving money over and above seventeen thousand without filing the appropriate return. 1330 01:35:46.319 --> 01:35:51.199 So I think it's a judge Like Judge Judy said, if you if you 1331 01:35:51.279 --> 01:35:56.039 play by the rules, you don't need a good memory. You know that's 1332 01:35:56.079 --> 01:35:58.439 right. I think there's something to be said for that. All right, 1333 01:35:58.479 --> 01:36:01.640 So we're coming at the end of another show. Anybody got any gems of 1334 01:36:01.760 --> 01:36:05.720 wisdom here? Fifty two week high on Lulu Lemon last week after they were 1335 01:36:05.720 --> 01:36:11.359 added to the S and P five hundred something good happening to somebody. That 1336 01:36:11.479 --> 01:36:14.680 curve is not no curve no more. It's basically a line of this point 1337 01:36:14.760 --> 01:36:18.319 seventeen basis points on that on that yield curve. We appreciate your taking time 1338 01:36:18.359 --> 01:36:20.399 to listen to us. So again we're coming to the end of the show. 1339 01:36:20.479 --> 01:36:25.960 Jonathan, thank you. Welcome at Greenberg Financial. We want to be 1340 01:36:26.000 --> 01:36:29.720 happy, and everybody want to be happy. Yeah, most important thing. 1341 01:36:29.920 --> 01:36:32.640 I think it would be healthy. But at the end of the day, 1342 01:36:33.279 --> 01:36:39.479 what we're trying to be here at Greenberg Financial is probitable. See you next week.