March 9, 2025

Money Matters: Tariffs, Market Turmoil & Smart Financial Strategies

Money Matters: Tariffs, Market Turmoil & Smart Financial Strategies
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Money Matters: Tariffs, Market Turmoil & Smart Financial Strategies
Money Matters: Tariffs, Market Turmoil & Smart Financial Strategies

Welcome to Money Matters, brought to you by the Greenberg Financial Group! In this episode, we dive into the latest market volatility as investors react to uncertainty surrounding Trump's tariff decisions. With the stock market experiencing its worst...

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Welcome to Money Matters, brought to you by the Greenberg Financial Group! In this episode, we dive into the latest market volatility as investors react to uncertainty surrounding Trump's tariff decisions. With the stock market experiencing its worst week in months, we break down what’s driving the sell-off and what it means for your portfolio.
But that’s not all—we also share key financial planning strategies, including how we’ve helped clients maximize their philanthropic giving through efficient tax and investment tactics like Roth conversions. Plus, we cover the latest company-specific news impacting various industries so you can stay informed and prepared for what’s ahead.
Join us for expert insights and practical financial tips, and don’t forget to schedule your free financial plan with us to see how we can help you navigate these uncertain times. Tune in now!
If you would like to contact us to learn more about our firm and our process call us at 520.544.4909 or go to our website at www.Greenbergfinancial.com or email us at Contact@Greenbergfinancial.com

WEBVTT

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Good morning, everybody.

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This is that time once again, Sunday morning, eight o'clock.

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Right here, seven ninety. We're gonna bring you the money

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bat the Show with Dean Greenberg. We're gonna talk about

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the things you need to know. I know that fear

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is kind of coming in a little bit, and this

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is what we were looking for.

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Might get a little worse.

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I think we could have a little bounce the next

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time down when we kind of.

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Look for an opportunity.

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Yeah, probably another maybe five percent lower from here, I

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will be telling you to step up and buy. So

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I think there's a bounce that I think a retracement again,

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and then's sometime end of March, maybe even into April,

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we'll see a bottom and then I think we can

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rally pretty good for the rest of that quarter. Why

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taris taris tariss. Everybody's worried about tariffs, that's all you hear.

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Markets are getting worried about tariff. Well, it's not really

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so much to tarifs that are creating the havoc. And

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I'm gonna tell you that the little bit. But I

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got to tell you the markets have the climb pretty hard.

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We're down three percent for the week, in the SMP,

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three and a half in the NAVSAK, four percent in

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the wrestle, two and a half percent in the Dow,

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and two percent in the equal weighted S and P

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five hundred. There's risk in the market right now. Okay,

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there's a little bit risk in the market. We haven't

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been down for the year in a while, but we

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are right now. The S Andp's down two, Nasack's down

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almost six, Wrestle's down almost seven, equal Weighted S Andp's

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down almost one, and it down's down to half a percent.

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There are things that are going on that scare people.

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It's fear and greed. If you go back and listen

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a couple of shows ago, or you've been listening for

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the last I don't know, five or six shows, I've

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told you volatility is kicking in. Volatility will be here

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as we get through these first one hundred days of

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President Trump talking about the changes he's making and the

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terrorists and being tough, we're going to talk a little

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bit about that. Also, change doesn't come along without what

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we need to do, without having a little bit of problems,

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and there's always some type of risks and with that,

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you know, the money Matter show is sponsored by Greenberg

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Financial Group. Greenberg Financial Group is now a registered investment

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advisory and his fee only business. We no longer have

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a broken dealer and that's why they disclaim is a

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little different. We are no longer members of NASTACH and FINRA,

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are no longer members of CIPIK. However, we are members

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of the of the SEC. They are our regulators. Same

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thing as before. Nothing changes. The only thing that changes

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is how we look at the markets. Everything has risk.

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We keep telling you that. That's why we like to

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mitigate risk, which is what we've been doing. We talk

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about different products, we talk about different ideas, different strategies,

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Everything involved as some type of risk. Please understand those

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risks probably do investing. As these markets fall. The fear grows,

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even when we expect it. The fear grows. Even when

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we have cash on the sidelines.

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The fear grows.

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But the mentality we have right now is okay, when

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are we going to start putting money to work. When

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are we going to go ahead and come out of

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our hedging. When are we going to go ahead and

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take off those inverse funds. When are we going to

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go ahead and step up to the plate you're a

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little bit more risk conscious, you could do that already

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just a little bit of the time. There are some

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good opportunities out there, but I believe we still have

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more to go until we hit the bottom.

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And that's because of the word tariffs.

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Everybody's so afraid of tariffs because they think it's going

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to increase inflation.

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I got a different take on it. It might increase.

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And raise prices in the early stages as the supply

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chain gets funneled through, but don't think for one second

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businesses aren't preparing themselves to figure out what they can

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do not to have the terriffts and tax for the

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extra cost on people. And also when you hear twenty

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five and fifty percent on the terraff, you're not gonna

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see prices increase twenty five or fifty percent. It is

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done on the wholesale level, and that is no way

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ever passed on totally to the end user. There will

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be some maybe five percent, maybe ten percent in some cases,

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but it's gonna be temporary. I'm gonna tell you why.

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For two years, we listened to the Biden administration talk

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about trying to get down interest, trying to get down inflation.

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The Federal Reserve kept saying, we got to get inflation

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coming down. Never got to the mark that they wanted

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of two percent, but they still went ahead and insisted in.

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Cutting interest rates.

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But the problem was the Biden administration and most of

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the other administrations were all about spending money, give away money,

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spend money.

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Yes they did.

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When they said, oh, we cut the budget, they cut

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the budget increases. They never cut the budget, so we

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continually have more debt and more debt, more debt.

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So by them cutting the increase.

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In the spending, that did not stop the spending, and

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then we kept giving money away around the world, and

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we've always said we can't handle this debt. So now

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we get to the situation that the Federal Reserve tried

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to stop inflation by raising interest rates, but they never

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raised it enough to slow down the economy or to

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go ahead and increase decreased jobs by increasing unemployment. They

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tried to increase unemployment, but the job market was too tough.

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They tried bringing down inflation, but the economy was too strong.

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What is happening now is with tariffs only. Not only

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are we seeing the markets go down, we see in

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the ten year bond go from ten to seven all

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the way down to ten to ten seven, four to seven,

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down to four to two, and I think eventually going

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to see it back under four.

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Why is that important. That's what interest.

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Rates that we need that we care about are based

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off of. That's what mortgage rates are based off of.

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That's what car loans are based off of. That's important

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if that interest rates come down because before they went higher,

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didn't believe that defense should be raising low and interest rates.

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In the face of a strong economy, we see this

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full off, we will have higher unemployment. Why because there's

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so many government employees being let go or wanting to resign.

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We are cutting the extra fat out of the government.

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We're making the government smaller. That's going to increase unemployment.

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That's going to give us slow down with the tariffs

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to our economy. Temporarily, we might even have a recession.

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Maybe we won't. But do you remember even when we.

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Had the recession with Biden and which is defined by

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two quarters consistently having negative GDP at all, it didn't happen.

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No one ever would say, oh, it was a recession.

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It doesn't matter. We will still move forward. But well,

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it will do is bring down inflation because supply will

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increase and interest rates will drop, which will spur on

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the economy. So my take is the tariffs are gonna

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actually do what the Federal Reserve was trying to do

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before and slow down the economy so we can get

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inflation down so we can lower interest rates. That's what

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I believe tariffs.

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Are gonna go.

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Is it gonna cost more on the short run, yes,

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But now think about this. If things go up in price,

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people can't afford it, They're gonna look for something else.

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I'm gonna make it simple.

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If the price of steak goes up and people can't

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afford the stake that were buying it today and yesterday,

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they won't buy steak. They will buy hamburger. What will

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happen to the supply of steak. It will increase the

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supply of steak and the demand will come down, which

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means the prices will come down in order to get

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rid of the steak. So, now, if this price of

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steak comes down to the same price as hamburger, people

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are gonna say, why do I want to eat hamburger

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for the same price I can buy steak.

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They're going to buy steak.

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It's pretty clear to me, and I might be wrong,

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but you know what, most of these economists that you listen.

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Are always wrong.

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But I've been so far talking about the volatility in

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the market. I've been writing so far talking about how

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interest rates are. Trying to cut interest rates when the

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economy was so strong was a mistake. I was also

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right about you can't keep having government spending and think

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that we're going to go ahead and see inflation come down.

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Just not.

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So now we have the opposite. Yes, I agree. People

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are complaining.

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They don't like Elon Musk doing what he's doing. They

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don't like Trump doing what he's doing. But that's the minority.

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But they're a big mouse right now. They're the ones

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trying to do everything that you see in your laugh

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at for the most part, forty days into office, and

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all they could say is, oh, I haven't seen eight

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prices down.

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I haven't seen this down. You know what. That's what

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really upsets me is they don't give anyone a chance

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to do what they're doing.

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We gave Biden a chance and always everything kept going high,

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and everything kept going higher.

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They blamed it on Drump or the pandemic.

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But he had four years to try to do something,

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didn't do it, and the Federal Reserve for some reason,

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felt they had a lower interest rates, which was the

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wrong thing to do. So we start going ahead and

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increasing unemployment. You see tech companies have laid off people.

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You've seen you've seen real estate, plant companies, mortgage companies

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laying off people. Now you're seeing the government jobs decreasing.

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And that's what we're trying to do. People will have

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to adapt. You've also seen commitments from other from companies

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from other countries saying I will build in America. Well,

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if you build in America, you don't get tariffed.

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Think about that.

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So this twenty five percent tariff, so you want to

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save twenty five percent building in America. Honda's started a

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new plant Taiwan. Semi committed one hundred million dollars up

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and there up in Phoenix, they've been building a plant.

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Many of these companies are coming. I've heard Porsche wants

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to go ahead and start manufacturing cars in America. That's

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where Ford and GM and all will get there, where

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they get their competition from. You have to realize, and

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this is what does it Most people don't realize, Oh,

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it's global. We're trying to be a bully. We're trying

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to force people to do what we're doing. I'm going

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to put it to you bluntly. We've needed a president

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to step up a whole entire administration for the last

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fifteen years, maybe twenty years, twenty years, to go ahead

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and say I need to make changes to our government

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because we will go broke if we continually keep pushing

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Social Security down the road, making little changes, because eventually

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we're not going to have people that are young enough

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to pay for the people that are living longer social Security.

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You know, people laugh when someone said that Social Security

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was the biggest scam we've ever seen.

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Well, if you think about it.

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It's your money and your employer's money that goes into

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a fund. That fund then goes out and pays people

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that come over sixty five or so, maybe later now,

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maybe some people take it earlier, but sixty two plus right,

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and there's no money in there because our Congress uses

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that money for other things, which is ridiculous and should

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never have been allowed. That would be a reserve for

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us when we needed money. Think about the trillions of

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dollars that would be sitting in the Social Security fund

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if no one borrowed against it. Just grow, just growing.

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But think about this, why is it like a Ponzi scheme?

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Because the people in their twenties and their thirties and

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even their forties are paying into social Security to pay

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for the people that are sixty two, sixty five, seventy

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years plus, thinking that they might not ever get social

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Security when they get there. That is a socialistm system.

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I've always said I can't wait to someone will tackle

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the government so we can tackle social security. Clinton wanted

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to fix social security in the nineties when he balanced

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the budget, but the Republicans.

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Were against it.

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Bush came in and said we need to fix social security.

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Then the Democrats were against it. Sound familiar. This has

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been going on for ages. So what we need to

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do is get to the point that we no longer

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need security as such. But people are putting their money

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and the employer's money into a retirement account that cannot

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be used until they're in their sixties. And obviously you

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can't buy stocks. You can't buy so maybe you just

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buy government bonds and we keep interest rates down. You

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can buy five year, ten year twenty year thirty year bonds.

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We go ahead and.

247
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We are now buying our own bonds, keeping rates down,

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keeping the country going. Maybe as you're younger, twenty thirty

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or forty, you can get up to forty percent into

250
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indexes that would.

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Keep the markets going.

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There's reasons that we can do things that will help

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not just our economy but people's retirement to make us

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a rich country. The biggest thing you hear in today's

255
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world is that there's such a diverse diversion between billionaires.

256
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They always use billionaires. It's not that many billions as

257
00:16:00.519 --> 00:16:04.320
we know, maybe a thousand for maybe give it take

258
00:16:04.360 --> 00:16:09.759
one hundred to two, but millionaires versus the lower income people.

259
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You want to make the lower income people richer. We

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00:16:13.559 --> 00:16:16.679
need to give them opportunities to make more money by

261
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giving them education and the ability to put their own

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money away so that when they get to the point

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that they need that money, they are no looking looking

264
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at living off two thousand dollars a month. And then

265
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we have to subsidize with food and subsidize with everything else.

266
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It's not a very difficult formula, but we have to

267
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start someplace. It's just like, oh, you hear well, you

268
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know the whole thing with the border, which everybody wanted

269
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to both sides wanted to stop that. They just didn't

270
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do it. But what are they saying, Oh, we can't

271
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do it this way. We need a comprehensive plan for immigrants,

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an immigration policy.

273
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I agree, but it's Congress. Why do you keep talking?

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Put it down and do something, and don't tell me

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that lame thing that you put out there a year ago.

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And and Trump said no to it, you know, when

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he wasn't even involved other than trying to get his

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people to look at it and say, no, that's not good.

279
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There's a problem.

280
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There's a problem when all you see is the left

281
00:17:23.440 --> 00:17:28.319
going in unison and saying no to everything. And it

282
00:17:28.400 --> 00:17:30.599
couldn't be worse than you saw on the other night

283
00:17:30.839 --> 00:17:33.640
when they sat on their hands for everything that happened

284
00:17:34.079 --> 00:17:38.559
in that chamber during SPA. Trump's speech couldn't even stand

285
00:17:38.599 --> 00:17:41.799
for anything, which tells you they don't even know what

286
00:17:41.839 --> 00:17:45.400
they stand for because they won't tell us. Yes, there's

287
00:17:45.400 --> 00:17:48.960
a few of them that will. Somebody needs to step

288
00:17:49.079 --> 00:17:52.359
up on the left and say, listen, we know you

289
00:17:52.400 --> 00:17:55.920
guys are basically in charge, but these are the items

290
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we need for the border. These are the items we

291
00:17:59.480 --> 00:18:02.720
need for deportation, These are what we would like, and

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start with conversation. Here's my policy of economics. I don't

293
00:18:08.319 --> 00:18:11.319
agree with that your tariffing, but yes you do, because

294
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when Biden.

295
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Was in, he didn't get rid of them. Here's my

296
00:18:15.119 --> 00:18:16.559
plan for getting rid of inflation.

297
00:18:16.680 --> 00:18:20.599
We've never seen a plan by the last administration on

298
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how he was going to increase the.

299
00:18:22.319 --> 00:18:27.680
Supply or get down the inflation. Not once.

300
00:18:28.200 --> 00:18:31.359
So what happens is Trump comes in, he gets Elion Musk,

301
00:18:31.400 --> 00:18:33.680
he gets other people, he gets a great cabinet, and

302
00:18:33.799 --> 00:18:36.079
all they want to do is complain day in and

303
00:18:36.200 --> 00:18:39.880
day out about you can't do this, you can't do that,

304
00:18:40.119 --> 00:18:43.759
you can't do something. If you wait around the way

305
00:18:43.799 --> 00:18:46.319
they want it, Well, they should go ahead and investigate

306
00:18:46.480 --> 00:18:48.799
and put a plan together and then bring it to Congress,

307
00:18:49.000 --> 00:18:51.200
and then maybe a year and a half or so

308
00:18:51.480 --> 00:18:55.920
we could start thinking about implementing hogwash. That will never happen.

309
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You will never get it done. People don't like doers,

310
00:19:00.200 --> 00:19:05.319
understand that, because doers get things done regardless of what

311
00:19:05.359 --> 00:19:08.359
the other people think, because they have an idea, they

312
00:19:08.400 --> 00:19:11.759
have a plan, and when it's not working, they change it.

313
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Changing plans if they're not working is important. You saw

314
00:19:19.200 --> 00:19:22.759
and heard Trump the other day say, hey, I want

315
00:19:22.759 --> 00:19:25.680
to cut the I want to cut the government. We

316
00:19:25.759 --> 00:19:27.440
need to reduce jarge, but I want to keep the

317
00:19:27.480 --> 00:19:30.720
good ones. So the people in charge of each department

318
00:19:31.039 --> 00:19:32.720
tell me, who keep the good ones.

319
00:19:32.559 --> 00:19:34.720
And get rid of the others. If you don't, then

320
00:19:34.759 --> 00:19:39.400
we will. That's how it's going to work. And I'm

321
00:19:39.440 --> 00:19:40.079
okay with that.

322
00:19:40.839 --> 00:19:43.920
Because even the Democrats say, oh, I'm okay with us

323
00:19:44.599 --> 00:19:46.759
cutting the spending and getting rid of the.

324
00:19:46.680 --> 00:19:48.559
Fat and the fraud. I'm okay with that.

325
00:19:48.799 --> 00:19:51.000
And then they go onto this whole thing about medicaid

326
00:19:51.079 --> 00:19:55.640
and how medicaid is definitely full of fraud of fifty

327
00:19:55.680 --> 00:19:58.119
to one hundred billion a year, but they never did

328
00:19:58.160 --> 00:20:00.759
anything about it. They still we don't have a plan

329
00:20:00.839 --> 00:20:03.920
to get rid of it, how to fix it. We

330
00:20:04.039 --> 00:20:06.319
have people in there that are trying to fix it.

331
00:20:06.559 --> 00:20:09.400
And that's what you should be applauding. And that's why

332
00:20:09.599 --> 00:20:11.759
at the end of the day, our economy is going

333
00:20:11.839 --> 00:20:15.079
to do well. We're going to have some suffering right now.

334
00:20:15.359 --> 00:20:17.400
The rates are going to come down, inflation is going

335
00:20:17.440 --> 00:20:19.400
to come down, and the tariffs at the end of

336
00:20:19.440 --> 00:20:22.160
the day is going to be what starts us with

337
00:20:23.319 --> 00:20:26.000
a great economy again, because they're either going to get

338
00:20:26.000 --> 00:20:29.359
on board or we're going to start manufacturing here period.

339
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Okay.

340
00:20:32.519 --> 00:20:37.720
The other thing that's really upsetting me is this whole thing.

341
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How they looked at what happened in the White House

342
00:20:40.200 --> 00:20:44.559
the other day and they take it and they just think, oh,

343
00:20:44.599 --> 00:20:47.000
the world is against us. The world, Yes, the world

344
00:20:47.079 --> 00:20:50.160
is against us because we're doing something. These leaders around

345
00:20:50.200 --> 00:20:53.559
the world were taking advantage of us, and they figure

346
00:20:53.599 --> 00:20:55.880
they all get together, they can do it. Hey, listen,

347
00:20:56.799 --> 00:21:00.200
if you want peace, which I think I want and

348
00:21:00.279 --> 00:21:04.000
other people want, I want peace. I've always said that

349
00:21:05.200 --> 00:21:08.359
it doesn't matter who started this war because if you

350
00:21:08.400 --> 00:21:11.079
really want to get down to it, its just didn't start.

351
00:21:11.200 --> 00:21:11.519
Now.

352
00:21:11.839 --> 00:21:16.480
They've had two other skirmishes before. Yes, Russia is the aggressor,

353
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but this war goes back to how long, hundreds of years, centuries,

354
00:21:22.519 --> 00:21:24.160
wars for centuries.

355
00:21:23.640 --> 00:21:30.839
Have been going on and you don't know why, what

356
00:21:31.039 --> 00:21:34.039
is the real reason? Okay, power this that?

357
00:21:34.200 --> 00:21:36.720
Okay, well, fine, well, if we're going to come in

358
00:21:36.759 --> 00:21:39.319
and solve it, because we are the only ones that

359
00:21:39.359 --> 00:21:42.119
can get in the middle of this, then don't give

360
00:21:42.160 --> 00:21:44.920
me a hard time about just saying I don't care

361
00:21:44.960 --> 00:21:48.519
who started it, don't I just care about peace right now.

362
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And how you're going to get peace is by going

363
00:21:51.279 --> 00:21:54.039
ahead and finding out what both sides want and keep

364
00:21:54.119 --> 00:21:57.319
negotiating till you get a scenario that they agree with.

365
00:21:57.759 --> 00:22:02.000
So what happens is the people around the world. So

366
00:22:02.119 --> 00:22:06.519
I'm saying I'm with Ukraine, like we're not with Ukraine.

367
00:22:06.839 --> 00:22:10.359
My tax dollars go to Ukraine to help benefit them.

368
00:22:10.400 --> 00:22:11.720
But no one's asked a question.

369
00:22:12.160 --> 00:22:14.640
Why have people been saying it's three hundred and fifty

370
00:22:14.720 --> 00:22:17.319
billion and other people now are saying it's one hundred

371
00:22:17.359 --> 00:22:20.359
and eighty billion. Did they get three fifty Where is

372
00:22:20.400 --> 00:22:24.359
the other one hundred and seventy billion dollars? Nobody asked

373
00:22:24.400 --> 00:22:28.079
that question, where is it? No one don't tell me

374
00:22:28.119 --> 00:22:31.559
people exaggerating that much because they're not. There's money that's

375
00:22:31.599 --> 00:22:35.319
out there going someplace as we know that shouldn't be

376
00:22:35.359 --> 00:22:39.440
going places. Zelensky says, I only got that much. Biden

377
00:22:39.559 --> 00:22:41.640
was saying they got three hundred and fifty that's how

378
00:22:41.720 --> 00:22:43.559
much time, and they were saying they were getting how

379
00:22:43.680 --> 00:22:46.599
much money was it. Where did it go at the

380
00:22:46.680 --> 00:22:49.119
end of the day. Don't tell me this is not

381
00:22:49.200 --> 00:22:53.359
a transaction. You tell me another country in this world

382
00:22:54.279 --> 00:22:59.279
that taxes their their citizens, taxes their citizens and then

383
00:22:59.359 --> 00:23:02.880
cuts us a check and says, hey, thank you, here's

384
00:23:02.880 --> 00:23:08.200
a check. We pay taxes and then we cut checks

385
00:23:08.240 --> 00:23:11.400
to in the trillions of dollars around the world.

386
00:23:12.759 --> 00:23:13.480
Are you kidding?

387
00:23:14.599 --> 00:23:15.880
And we don't want to know where it's going on,

388
00:23:15.960 --> 00:23:18.880
what it's doing. I've always said we pay too much

389
00:23:18.960 --> 00:23:24.240
taxes when we have to pay so many people. But

390
00:23:24.519 --> 00:23:27.920
this is what really upsets me. All these people that

391
00:23:27.960 --> 00:23:32.559
are in an outrage about I'm with Ukraine are the

392
00:23:32.680 --> 00:23:38.359
same people that are with Palestine and against Israel. And

393
00:23:38.440 --> 00:23:43.839
how could that be because Israel was attacked. Okay, Israel

394
00:23:44.000 --> 00:23:47.319
was attacked just like Ukraine was.

395
00:23:47.839 --> 00:23:48.640
But we want to.

396
00:23:48.559 --> 00:23:53.480
Give enough money to Ukraine to squash Russia. But we're

397
00:23:53.559 --> 00:23:57.279
upset because Israel is able to do it with our help,

398
00:23:57.640 --> 00:24:00.640
and they are doing it. If we get so much

399
00:24:00.640 --> 00:24:03.559
to Russia with Europe and everybody else to squatch Russia

400
00:24:03.720 --> 00:24:05.880
would be in World War three. You think that Putin

401
00:24:05.960 --> 00:24:10.119
and Russia would let themselves go down without using warfare,

402
00:24:10.200 --> 00:24:12.839
That we don't even want to talk about it would happen.

403
00:24:13.200 --> 00:24:15.599
So at the end of the day, let's get to solve.

404
00:24:15.680 --> 00:24:18.359
Let's get peace there, peace in the Middle East, and

405
00:24:18.440 --> 00:24:19.880
let's start getting these tarifs on.

406
00:24:20.119 --> 00:24:20.759
Let's get an.

407
00:24:20.680 --> 00:24:23.759
Equal play and field for everybody, and let's start rocket

408
00:24:23.759 --> 00:24:24.960
and rolling with our economy.

409
00:24:25.039 --> 00:24:27.319
We'll be right back. Appreciate you all listening.

410
00:24:27.720 --> 00:24:30.160
Welcome back. This is the Money Matter Show. I'm Dave Shure,

411
00:24:30.160 --> 00:24:33.640
what I'm here with, Dylan Greenberg, Todd Goolick said, Bashian

412
00:24:33.680 --> 00:24:37.759
Borstini and Dean Greenberg, and we welcome into the Daylight

413
00:24:37.799 --> 00:24:41.880
Savings version of the Money Matter Show. Daylight Saving Times

414
00:24:42.000 --> 00:24:43.759
went on all over the country today.

415
00:24:43.599 --> 00:24:44.359
Right, it's kind of sad.

416
00:24:44.519 --> 00:24:46.000
Hopefully can st got it right?

417
00:24:46.240 --> 00:24:48.319
Yeah, Well, we all get to get up an hour

418
00:24:48.359 --> 00:24:51.319
earlier tomorrow. That's one of the It doesn't impact hardly

419
00:24:51.359 --> 00:24:53.960
anybody in too somebody, It definitely impacts the radio station,

420
00:24:54.400 --> 00:24:58.920
and it definitely impacts us and mail. Back in twenty

421
00:24:59.000 --> 00:25:03.000
years ago, right now, they expanded from six months to

422
00:25:03.000 --> 00:25:06.480
eight months the Ali Saving Time, and a year and

423
00:25:06.480 --> 00:25:08.759
a half of Mexico did away with DLA Saving Time.

424
00:25:08.839 --> 00:25:11.799
So who knows when are we gonna do that. Who

425
00:25:11.839 --> 00:25:14.640
knows anyway, it's I used to like it because they

426
00:25:14.640 --> 00:25:16.640
put me on the same time as California. But since

427
00:25:16.680 --> 00:25:18.839
my daughter's moving to two signs, doesn't matter anymore.

428
00:25:19.519 --> 00:25:20.240
It doesn't matter.

429
00:25:20.640 --> 00:25:21.079
That's uh.

430
00:25:21.240 --> 00:25:23.599
What a week in the markets. We had no very

431
00:25:23.680 --> 00:25:27.640
volatile week, up and down every which way. A lot

432
00:25:27.640 --> 00:25:29.000
of uncertainty right there.

433
00:25:29.599 --> 00:25:32.559
If the Trump tornadoes are causing the uncertainty, and the

434
00:25:32.599 --> 00:25:36.079
market hates uncertainty more than anything. You just don't know

435
00:25:36.160 --> 00:25:38.240
if when you wake up in the morning, are the

436
00:25:38.279 --> 00:25:40.480
tariff's gonna be on, They're gonna be off, They're gonna

437
00:25:40.480 --> 00:25:42.519
be double, they're gonna be you know. It's just it's

438
00:25:42.920 --> 00:25:45.559
a hard environment. And I think that's why you saw

439
00:25:45.599 --> 00:25:48.079
a lot of the quarterly earnings reports over the last

440
00:25:48.119 --> 00:25:52.119
two weeks give guidance that was cautious because they don't

441
00:25:52.160 --> 00:25:54.640
know either. I just don't know. I mean, if there

442
00:25:54.640 --> 00:25:57.200
are no terrorists, that's one thing, and if there's twenty

443
00:25:57.240 --> 00:25:59.359
five thirty percent tarifts, that's a whole other thing.

444
00:25:59.400 --> 00:26:01.480
And the market, like for a while it wanted a

445
00:26:01.519 --> 00:26:03.799
reason to sell off. It needed a reason to kind

446
00:26:03.799 --> 00:26:05.799
of come back. It's done nothing but go up. It

447
00:26:05.880 --> 00:26:09.240
seems like for the last couple of years, so this reason,

448
00:26:09.640 --> 00:26:12.079
you know, you could say definitely it's the uncertainty. But

449
00:26:12.559 --> 00:26:15.000
we've said for a while the market needed to come back,

450
00:26:15.440 --> 00:26:18.279
and it's not like we saw a crazy correction. It

451
00:26:18.400 --> 00:26:19.839
was three percent on the week.

452
00:26:20.039 --> 00:26:22.480
Yeah, this is actually healthy. We're about seven percent off

453
00:26:22.480 --> 00:26:25.480
of the high. You get a ten percent pullback almost

454
00:26:25.559 --> 00:26:29.000
every year going back historically, not unusual at all, so

455
00:26:29.519 --> 00:26:32.119
it gives you a little better foundation. I know, it

456
00:26:32.200 --> 00:26:33.880
isn't much fun when the market's going down.

457
00:26:34.079 --> 00:26:36.319
It is allowing some buy an opportunity though, in stocks

458
00:26:36.319 --> 00:26:37.839
that haven't been able to buy it because it been

459
00:26:37.839 --> 00:26:40.559
so high and not as I'm going. For example, in Vidia,

460
00:26:40.920 --> 00:26:43.559
it's dropped down to one o eight at one point again,

461
00:26:43.880 --> 00:26:45.920
and that hasn't been like that since last August, which

462
00:26:45.960 --> 00:26:49.160
had dropped too for two days. So it's kind of

463
00:26:49.200 --> 00:26:50.920
been in a sense if you're looking, if you've been

464
00:26:50.920 --> 00:26:52.519
looking at buy and it's been hard, it's nice time

465
00:26:52.519 --> 00:26:52.799
to buy.

466
00:26:53.160 --> 00:26:56.880
Dyln. Anything related to AI got crushed. I mean in

467
00:26:57.079 --> 00:27:01.000
video that makes the chips right of artists, who makes

468
00:27:01.200 --> 00:27:05.200
the cooling device for the ships? Yeah, eaton the company

469
00:27:05.240 --> 00:27:08.319
that provides the power, I mean, anybody that had any

470
00:27:08.359 --> 00:27:11.160
association with AI at all.

471
00:27:11.880 --> 00:27:13.359
Yeah, but it's also I mean it's a lot of

472
00:27:13.839 --> 00:27:15.920
in a sense, I think it's like a lot of fear,

473
00:27:15.920 --> 00:27:19.559
in the sense you'll take your gains mark stopped, start

474
00:27:19.640 --> 00:27:21.839
dropping like okay, I can get out. Now, I'll take

475
00:27:21.880 --> 00:27:24.160
my games and move on. Like Reddit, for example, God

476
00:27:24.200 --> 00:27:25.559
all the way up two hundred and thirty dollars a

477
00:27:25.599 --> 00:27:27.400
share and like two weeks later it's now back down

478
00:27:27.400 --> 00:27:30.119
to one hundred and thirty dollars a share. So people

479
00:27:30.160 --> 00:27:32.240
are just taking there. It's over bought, it's time to

480
00:27:32.240 --> 00:27:34.319
take profit. And then in those type of companies they

481
00:27:34.400 --> 00:27:36.279
just sell off and to look for other things.

482
00:27:36.359 --> 00:27:38.880
And speaking of that, how about Tesla, Well, now he's

483
00:27:38.920 --> 00:27:42.119
made a full round trip from the election, it doubled

484
00:27:42.400 --> 00:27:43.680
and now it was given all that back.

485
00:27:43.920 --> 00:27:47.160
It's been down every week since he took he went

486
00:27:47.240 --> 00:27:49.000
to Washington, yes soon as Washington.

487
00:27:49.119 --> 00:27:52.839
Yeah, yeah, we were scratching our heads when it had doubled,

488
00:27:52.880 --> 00:27:56.599
because we know that their business isn't booming. We know

489
00:27:56.680 --> 00:27:59.920
that there's an increasing competition, we know that there's a

490
00:28:00.039 --> 00:28:04.160
push back against much Regardless of what you think about him, Uh,

491
00:28:04.279 --> 00:28:07.720
there's half of the country that doesn't like him, and

492
00:28:07.839 --> 00:28:09.759
if they stopped buying his cars, well that's half the

493
00:28:09.759 --> 00:28:11.960
country not buying your car. So we were a little

494
00:28:12.240 --> 00:28:14.279
puzzled as the stock doubled.

495
00:28:14.359 --> 00:28:17.000
And like Dylan said, every single week since Elon took

496
00:28:17.160 --> 00:28:19.359
or went to Washington and took a role there in Doge,

497
00:28:19.640 --> 00:28:22.400
the stock has gone down. Peaked around four hundred and

498
00:28:22.400 --> 00:28:25.160
eighty dollars on December and eighteenth, and slush eight hundred

499
00:28:25.200 --> 00:28:28.160
billion dollars in market cap since then. You know what

500
00:28:28.200 --> 00:28:29.200
Bank of America did this.

501
00:28:29.160 --> 00:28:31.160
Week, Dave, I bet you they raised it to a

502
00:28:31.640 --> 00:28:33.119
sell or, to a seal.

503
00:28:34.160 --> 00:28:35.759
Downgrade the company from hole to sell.

504
00:28:35.839 --> 00:28:39.160
This week he got fifty saying you better sell.

505
00:28:39.440 --> 00:28:42.599
After a February that the Tesla stock dropped twenty seven percent.

506
00:28:42.720 --> 00:28:45.359
Where have you been? No, where have you been? You know?

507
00:28:45.440 --> 00:28:48.440
I think we we all heard a lot this week

508
00:28:48.480 --> 00:28:51.279
about maybe we ought to get out, maybe maybe we

509
00:28:51.319 --> 00:28:53.759
need to go to cash. But I'm hearing somebody saying

510
00:28:53.759 --> 00:28:56.759
he's going to cash. I got to remind you again

511
00:28:56.880 --> 00:29:00.000
that is not the way to go. You don't jump.

512
00:29:00.480 --> 00:29:02.680
It would be wonderful if you could be in cash

513
00:29:02.680 --> 00:29:04.880
when the market's going down and fully invested when it's

514
00:29:04.880 --> 00:29:06.319
going up. But that's not reality.

515
00:29:06.480 --> 00:29:08.599
Yeah, people have strong opinions on going to cash when

516
00:29:08.640 --> 00:29:10.240
the market's going down, but they have no plan to

517
00:29:10.240 --> 00:29:11.880
get back in, on how to get back in, on

518
00:29:11.920 --> 00:29:13.359
when to get back in. If you ask them, they

519
00:29:13.359 --> 00:29:15.640
don't know. They're just saying I want to get out

520
00:29:15.680 --> 00:29:17.559
now because it makes me sleep at night better.

521
00:29:17.960 --> 00:29:21.599
And we work really hard when we open a council

522
00:29:21.640 --> 00:29:24.319
with clients to make sure we have the right asset

523
00:29:24.440 --> 00:29:27.519
allocation so that you can ride through these and I

524
00:29:27.559 --> 00:29:31.160
had very few phone calls this week from people who

525
00:29:31.240 --> 00:29:31.839
were concerned.

526
00:29:32.720 --> 00:29:34.720
Yeah, we can say the same thing. I mean, obviously,

527
00:29:34.759 --> 00:29:37.960
the financial plan is what really helps people sleep at

528
00:29:38.039 --> 00:29:40.279
night because they understand it's not really just about the

529
00:29:40.319 --> 00:29:42.720
money management. It's about the whole plan and as long

530
00:29:42.759 --> 00:29:45.440
as the cash flow is consistent and the way we're

531
00:29:45.440 --> 00:29:48.359
managing the money is how we already discussed. They don't

532
00:29:48.359 --> 00:29:50.960
have the fear that some people do, especially in.

533
00:29:50.960 --> 00:29:53.680
Volatile environments like this. You could come in Monday morning

534
00:29:53.759 --> 00:29:56.519
Sunday night, Trump said, you know what, I'm going to

535
00:29:56.599 --> 00:29:58.880
pull all the TIFFs off for now and rethink this

536
00:29:58.880 --> 00:30:01.720
whole thing. The market's up fifteen hundred points. I mean,

537
00:30:02.039 --> 00:30:05.319
you just don't know. And I have never once in

538
00:30:05.799 --> 00:30:09.720
forty years of doing this seen someone go to cash

539
00:30:10.000 --> 00:30:12.480
and get back in cheaper, and the reason for that

540
00:30:12.599 --> 00:30:16.240
is obvious. For you to be going to cash, it

541
00:30:16.279 --> 00:30:18.960
means you're scared, and for you to get back in

542
00:30:19.000 --> 00:30:21.680
it means you're comfortable. And for you to be comfortable,

543
00:30:21.680 --> 00:30:24.440
the market has to be much higher than it is

544
00:30:24.680 --> 00:30:27.960
when you got out. And statistics that I that I

545
00:30:27.960 --> 00:30:30.200
thought about over the week during the week and I thought,

546
00:30:30.319 --> 00:30:31.720
I'm going to look it up, make sure I've got

547
00:30:31.720 --> 00:30:36.160
this right. Over the last thirty years, the average ready

548
00:30:36.200 --> 00:30:38.000
to return on the S and P five hundred has

549
00:30:38.039 --> 00:30:40.720
been thirteen percent for the last thirty years, thirteen percent

550
00:30:40.759 --> 00:30:46.519
per year. If you missed the ten best days days

551
00:30:46.559 --> 00:30:49.920
in thirty years, it goes to six and a half. Wow,

552
00:30:50.240 --> 00:30:52.200
from thirteen to six and a half if you missed

553
00:30:52.200 --> 00:30:56.079
the ten best days. So you can't go to cash

554
00:30:56.200 --> 00:30:59.200
because you're going to miss those days and it's going

555
00:30:59.279 --> 00:31:03.480
to skew your performance. When you open an account, you

556
00:31:03.519 --> 00:31:06.319
need to know what level of exposure to the market

557
00:31:06.359 --> 00:31:10.400
you're comfortable with. We know that the larger the exposure

558
00:31:10.440 --> 00:31:13.319
to the market, the better you're going to do over time.

559
00:31:13.480 --> 00:31:16.200
We know that if you can tolerate one hundred percent

560
00:31:16.319 --> 00:31:19.000
invested in the market, you're going to do better than

561
00:31:19.079 --> 00:31:23.319
any other acid allocation over time. But it's volatile and

562
00:31:23.319 --> 00:31:26.319
not a lot of people have that type of risk tolerance.

563
00:31:26.680 --> 00:31:29.200
So if you're a conservative, you might be fifty to

564
00:31:29.240 --> 00:31:32.559
fifty okay, So the market went down seven percent, you've

565
00:31:32.559 --> 00:31:33.480
lost three and a half.

566
00:31:34.279 --> 00:31:37.119
Well, and that's why we have a portfolio allocation that

567
00:31:37.160 --> 00:31:39.160
we call the SIM model, and that allows us to

568
00:31:39.279 --> 00:31:42.319
buy individual bonds to put away cash for three to

569
00:31:42.359 --> 00:31:45.359
five years if you need. If you're taking cash from

570
00:31:45.400 --> 00:31:47.839
your accounts each month and it's your new pension plan

571
00:31:47.920 --> 00:31:50.279
in a sense, from your retirement account, we put away

572
00:31:50.359 --> 00:31:52.759
cash in the side in bonds so that it can

573
00:31:52.799 --> 00:31:54.920
weather the storm of volatility and you don't have to

574
00:31:54.920 --> 00:31:56.960
worry about it during the year or during the next year.

575
00:31:57.119 --> 00:31:59.160
Because markets are up three out of four years on

576
00:31:59.200 --> 00:32:01.640
average if you look back one hundred years. So if

577
00:32:01.680 --> 00:32:04.079
you have the bonds and the money in safe place

578
00:32:04.160 --> 00:32:07.000
like that for five years, if the markets go down

579
00:32:07.079 --> 00:32:10.200
thirty percent in twenty twenty five, you're not really too

580
00:32:10.279 --> 00:32:13.279
worried if you're know that you're getting income in twenty

581
00:32:13.279 --> 00:32:16.559
twenty six from one of the bond ladders maturing.

582
00:32:16.400 --> 00:32:18.799
Right, Dylan and I and Todd, we have a clients

583
00:32:18.839 --> 00:32:23.599
that retired to Brown's November and heading into the retirement.

584
00:32:23.680 --> 00:32:26.400
She was super scared, super scared, didn't want to do

585
00:32:26.440 --> 00:32:28.599
it just because she couldn't see herself not receiving an

586
00:32:28.640 --> 00:32:29.359
income anymore.

587
00:32:30.480 --> 00:32:31.079
Didn't know that.

588
00:32:31.319 --> 00:32:33.000
She wanted to make sure that her money wasn't going

589
00:32:33.079 --> 00:32:35.079
to out or she wasn't going to outlive her money

590
00:32:35.319 --> 00:32:39.240
right in this market drop. Since she's become a client,

591
00:32:39.400 --> 00:32:42.960
the market's done nothing but Vaul, she's not calling scared

592
00:32:43.920 --> 00:32:47.119
sleepless nights just because she'd understands she did the financial plan.

593
00:32:47.440 --> 00:32:50.680
We got a risk tolerance questionnaire. She understands what she

594
00:32:50.720 --> 00:32:53.559
was getting herself into. And to Dylan's points on the

595
00:32:53.559 --> 00:32:55.799
sim model, we have five years of income.

596
00:32:55.480 --> 00:32:56.319
Put away for her.

597
00:32:56.799 --> 00:32:59.359
Yeah, and if you don't know what your risk tolerance is,

598
00:32:59.799 --> 00:33:02.400
are just really don't even know what that means, give

599
00:33:02.480 --> 00:33:03.920
us a call. We can help you with that. We

600
00:33:04.000 --> 00:33:08.079
have tools that help us define what your risk tolerance

601
00:33:08.200 --> 00:33:10.680
is and what a portfolio should look like. For you

602
00:33:11.160 --> 00:33:12.519
with that particulars dole.

603
00:33:12.960 --> 00:33:16.200
Yeah, we're able to analyze your current risk tolerance against

604
00:33:16.240 --> 00:33:19.279
your current portfolios risk tolerance, see if it matches up.

605
00:33:19.519 --> 00:33:21.799
But the risk tolerance, the scale of one to one

606
00:33:21.920 --> 00:33:23.720
hundred is going to tell us what is your six

607
00:33:23.799 --> 00:33:26.599
month comfort zone, meaning in a six month investment period,

608
00:33:26.599 --> 00:33:28.799
what is the max drop you want to see versus

609
00:33:28.799 --> 00:33:31.160
the max game that you could expect for the risk

610
00:33:31.480 --> 00:33:33.920
of your portfolio. But another thing to mention about this

611
00:33:34.039 --> 00:33:37.000
with risk mitigation, that's something that we specialize here that

612
00:33:37.039 --> 00:33:39.960
most firms don't is we don't take a passive approach.

613
00:33:40.000 --> 00:33:42.119
We're not going to say just wait it out, sit

614
00:33:42.200 --> 00:33:44.440
it and and it's going to be at all time

615
00:33:44.480 --> 00:33:47.440
highs eventually. We don't say that. We actually do take

616
00:33:47.480 --> 00:33:50.519
tactical strategies. One of the things we use is SDS,

617
00:33:50.880 --> 00:33:53.240
which is Sam David Sam and this is a ticker

618
00:33:53.279 --> 00:33:55.440
that will go up two percent when the market goes

619
00:33:55.519 --> 00:33:58.079
down one percent, and so we're able to hedge a

620
00:33:58.119 --> 00:34:00.920
portion of the account for these markets drops. And what

621
00:34:00.960 --> 00:34:02.519
it allows us to do is not have to go

622
00:34:02.599 --> 00:34:06.279
into cash. We can add this protection and if we're right,

623
00:34:06.599 --> 00:34:08.400
what happens is we're able to sell out of it,

624
00:34:08.440 --> 00:34:11.360
and we have all of a sudden cash when you sell,

625
00:34:11.559 --> 00:34:14.840
So then buy at lower markets. If you're wrong, obviously

626
00:34:14.880 --> 00:34:17.760
you suppress some returns, but you at least have that protection.

627
00:34:18.199 --> 00:34:20.719
And that's why we added that protection at market highs,

628
00:34:21.039 --> 00:34:23.840
knowing that this type of seven percent drop was imminent.

629
00:34:23.880 --> 00:34:25.960
It was going to happen at some point. And now

630
00:34:25.960 --> 00:34:29.400
that we have that position to easily buy at lower prices.

631
00:34:29.599 --> 00:34:32.679
And if you're even giving the remote thought to going

632
00:34:32.760 --> 00:34:35.360
to cash, don't do it. Just don't do it. If

633
00:34:35.679 --> 00:34:39.320
you are uncomfortable, then do a tax to buy some insurance.

634
00:34:40.400 --> 00:34:45.440
Buy some sds. Five percent of SDS covers ten percent

635
00:34:45.480 --> 00:34:47.800
of the s and P five hundred. So if you

636
00:34:47.840 --> 00:34:50.719
want to have ten percent protection, you buy five percent sds.

637
00:34:50.840 --> 00:34:53.719
You want twenty percent, you buy ten percent sds. But

638
00:34:53.760 --> 00:34:56.159
the nice part about that is then you don't if

639
00:34:56.199 --> 00:34:59.280
when the market does reverse, and it always does. When

640
00:34:59.280 --> 00:35:01.599
the market does, you don't have to quickly try to

641
00:35:01.599 --> 00:35:04.119
figure out what you need to buy. You just simply sell.

642
00:35:04.840 --> 00:35:07.079
It's very similar to the structured protection EAT as we're

643
00:35:07.079 --> 00:35:09.559
talking about. And eventually, when you have one hundred percent

644
00:35:09.599 --> 00:35:12.400
downside protection, it means you can only participate up to

645
00:35:12.440 --> 00:35:15.800
a certain percentage, and so you can mitigate that with

646
00:35:15.960 --> 00:35:19.760
other tools. And that's what we help specialize with. You

647
00:35:19.800 --> 00:35:22.599
don't have to understand all the nix and crannys of

648
00:35:22.599 --> 00:35:24.880
how to trade. Come in here. We can do it

649
00:35:24.920 --> 00:35:26.840
for you. We just got to understand your risk talance

650
00:35:26.880 --> 00:35:28.239
and what you can expect.

651
00:35:28.000 --> 00:35:30.440
By ten percent of the hedge and your protect twenty

652
00:35:30.440 --> 00:35:32.239
percent of the portfolio. Let's say you get a little

653
00:35:32.239 --> 00:35:34.400
bit more comfortable and to take half of it off,

654
00:35:34.880 --> 00:35:37.239
take half of the insurance off. If you get really

655
00:35:37.239 --> 00:35:39.239
comfortable to take it all off, you haven't destroyed your

656
00:35:39.360 --> 00:35:41.800
entire portfolio. We'll be back. We're coming up on a

657
00:35:41.800 --> 00:35:43.960
break here. We'll be back after this break. Thanks again

658
00:35:43.960 --> 00:35:46.400
for joining this. This is the Money Matter Show.

659
00:35:47.280 --> 00:35:49.119
Welcome back to the Money Matter Show. My name is

660
00:35:49.119 --> 00:35:51.960
Todd Glick. I'm here with Dylan Greenberg, Sebastian Borsini, and

661
00:35:52.119 --> 00:35:54.280
David Surewood. Well we have this week with the Dow

662
00:35:54.360 --> 00:35:57.440
down two point four percent. The Russell two thousand led

663
00:35:57.480 --> 00:36:01.079
the way down four percent lower, NASDAK Composite was down

664
00:36:01.119 --> 00:36:03.760
three point five and this SMP was down three point

665
00:36:03.840 --> 00:36:05.800
one something. To note, the equal weighted S and P

666
00:36:05.960 --> 00:36:07.800
was only down one point nine in the week. So

667
00:36:08.079 --> 00:36:11.360
again what we saw is the small caps, the technology,

668
00:36:11.400 --> 00:36:14.280
the risk related assets saw the bulk of the drop

669
00:36:14.320 --> 00:36:19.119
throughout the week. Some of those more stable value names

670
00:36:19.280 --> 00:36:21.519
have have done a little bit better over the course

671
00:36:21.519 --> 00:36:24.480
of the year. What we saw with the Dow, I

672
00:36:24.480 --> 00:36:27.320
think is, you know, companies still are performed by I

673
00:36:27.360 --> 00:36:29.639
think Verizon was up seven percent this week, but then

674
00:36:29.679 --> 00:36:31.639
you have like Boeing down and things like that. So

675
00:36:32.000 --> 00:36:34.440
not all value names are created equal, but certain value

676
00:36:34.480 --> 00:36:36.639
names are definitely holding in there much better than the

677
00:36:36.960 --> 00:36:38.280
risk assets as of late.

678
00:36:38.400 --> 00:36:40.480
And if the overall market it is still up nine

679
00:36:40.559 --> 00:36:43.840
tens to one percent for the year five hundred down

680
00:36:43.840 --> 00:36:47.639
two percent, right, but the equal weighted which includes all

681
00:36:47.679 --> 00:36:50.239
of the stacks is up almost one percent, So the

682
00:36:50.280 --> 00:36:52.000
market is still in good shape. If you had a

683
00:36:52.039 --> 00:36:55.000
balanced portfolio, interest rates to come down a little bit,

684
00:36:55.039 --> 00:36:58.360
bombs have have elevated a bit, So if you've had

685
00:36:58.360 --> 00:37:00.920
a balanced portfolio, you're to you should be up all

686
00:37:00.960 --> 00:37:04.280
up US midget for the year at this point.

687
00:37:04.400 --> 00:37:06.079
The reason that we look at the RSP is because

688
00:37:06.119 --> 00:37:10.800
of the obscene concentration within the allocations of the SMP

689
00:37:10.920 --> 00:37:14.159
five hundred, Right, you got the magnificent seven that carry

690
00:37:14.159 --> 00:37:18.360
that thing. Essentially, we do a little bit. We do

691
00:37:18.400 --> 00:37:21.000
a report here at Greenberg Financial and we follow the

692
00:37:21.079 --> 00:37:25.760
SMP sectors, SMP sectors, spider funds. So you got an XLK,

693
00:37:25.920 --> 00:37:28.800
which is your tech sector. Right, you could think of Apple,

694
00:37:28.920 --> 00:37:34.639
Microsoft and video XLE, think of Exon Chevron. Reason I

695
00:37:34.639 --> 00:37:36.679
want to bring light to it is because it's important

696
00:37:36.719 --> 00:37:39.079
to know what you're buying these funds, and not only

697
00:37:39.079 --> 00:37:41.800
what is in the funds, but how concentrated each allocation

698
00:37:41.880 --> 00:37:45.079
of the company is within the fund. In February, you

699
00:37:45.079 --> 00:37:49.679
have xl Y consumer discretionary. It dropped seven percent. Why

700
00:37:49.800 --> 00:37:52.960
because you had two big giant companies, Amazon weighted at

701
00:37:52.960 --> 00:37:57.000
twenty percent and Tesla weighted at thirteen percent. Amazon dropped

702
00:37:57.000 --> 00:37:59.800
ten and a half percent that month. Or Amazon dropped

703
00:37:59.800 --> 00:38:02.400
ten and a half percent that month. Tesla dropped nearly

704
00:38:02.440 --> 00:38:04.840
thirty percent, right, So that's why you see such a

705
00:38:04.920 --> 00:38:09.719
huge diversion within these sectors. Consumer Discretionary dropping seven percent.

706
00:38:09.840 --> 00:38:14.000
The next biggest dropper was XLK Technology at two and

707
00:38:14.000 --> 00:38:14.320
a half.

708
00:38:15.239 --> 00:38:18.159
It fashion does summaries at the end of each month.

709
00:38:18.559 --> 00:38:18.920
The Dow.

710
00:38:19.400 --> 00:38:21.639
We don't talk a lot about the Dow because it's

711
00:38:21.679 --> 00:38:24.440
just thirty stocks, but the thirty stocks are supposed to

712
00:38:24.480 --> 00:38:28.880
be representative of the overall economy. And honestly, for having

713
00:38:28.920 --> 00:38:31.960
only thirty stocks, it's pretty close. It's pretty close. I

714
00:38:31.960 --> 00:38:34.679
give them credit. Anything jump out at you in the

715
00:38:34.719 --> 00:38:36.719
Dow during February.

716
00:38:36.360 --> 00:38:39.199
Again, just Amazon, which was the reason why against the

717
00:38:39.199 --> 00:38:42.840
consumer discretionary discretionary sector dropped so much.

718
00:38:43.760 --> 00:38:45.920
Other than that, it was a top performing stock for

719
00:38:45.920 --> 00:38:46.239
the year.

720
00:38:46.320 --> 00:38:48.599
For the year so far, it's still three on still three,

721
00:38:48.840 --> 00:38:52.079
still three nineteen point seven, nearly twenty percent.

722
00:38:52.199 --> 00:38:53.079
That's just been amazing.

723
00:38:53.400 --> 00:38:54.480
The worst performer.

724
00:38:54.639 --> 00:38:57.880
Yeah, in Video and Vida still did still the bottom

725
00:38:57.960 --> 00:39:00.800
of that. And we we're joking said before, when they

726
00:39:00.840 --> 00:39:02.800
add a stock to the Dow, you want to shorten,

727
00:39:04.280 --> 00:39:06.960
it's goin a good down, Isn't that funny? I mean

728
00:39:07.119 --> 00:39:10.119
they had Walgreens, Walgreens got down, the sal Force, dot

729
00:39:10.159 --> 00:39:12.760
com it tang I think they had even in Video.

730
00:39:13.079 --> 00:39:15.159
Usually when you take one out to the company does

731
00:39:15.159 --> 00:39:17.639
well when you take it out, except for Walgreens. They're

732
00:39:17.639 --> 00:39:20.480
getting bought out to go private. How about that billion dollars?

733
00:39:20.519 --> 00:39:22.360
How about that we're not gonna have to have them

734
00:39:22.360 --> 00:39:24.519
to kick around anymore in video, Yeah.

735
00:39:24.320 --> 00:39:26.719
Exactly, and Video joined the Dell right around the same

736
00:39:26.760 --> 00:39:29.559
time that they also joined XLK. Xl K took their

737
00:39:29.599 --> 00:39:31.960
allocation from I want to say, two to three percent

738
00:39:32.159 --> 00:39:34.039
up to like ten or so. Yeah, right, and then

739
00:39:34.159 --> 00:39:36.400
videos to gun nothing but down since then.

740
00:39:37.039 --> 00:39:40.159
Yeah, it is, it's it's funny. Yeah. The Walgreens, as

741
00:39:40.199 --> 00:39:42.199
long as we were talking about it buying it bought

742
00:39:42.199 --> 00:39:43.719
out at eleven dollars and forty six.

743
00:39:43.800 --> 00:39:46.000
Yes, I was thinking it might be a cake under

744
00:39:46.039 --> 00:39:50.079
the cake over the Actually Second War has found a

745
00:39:50.079 --> 00:39:53.079
way to on their books where it makes sense to

746
00:39:53.119 --> 00:39:55.239
pay eleven forty six in cash for all of the

747
00:39:55.280 --> 00:39:56.199
shares of Walgreens.

748
00:39:56.239 --> 00:39:57.079
So when will that stop?

749
00:39:57.119 --> 00:39:59.360
Trading plows me away as soon as the deal is done.

750
00:39:59.440 --> 00:40:02.760
Probably sick months, gotcha, yeah, price six months. There'll be

751
00:40:02.880 --> 00:40:06.360
arbitrage in the meantime. Arbitrage is the stock is not

752
00:40:06.440 --> 00:40:08.519
going to be eleven forty six, because you know that's

753
00:40:08.559 --> 00:40:11.280
the maximum. What did it close out on Friday Taday?

754
00:40:11.440 --> 00:40:15.480
That something you pull up easily. It's not going to

755
00:40:15.480 --> 00:40:20.199
be eleven forty six unless you think there's some other sevenator.

756
00:40:19.880 --> 00:40:22.440
Thirty nine, well, eleven thirty six on the post.

757
00:40:22.400 --> 00:40:24.440
Eleven thirty six. Okay, so you buy it at eleven

758
00:40:24.519 --> 00:40:26.840
thirty six, and you buy a whole bunch of it

759
00:40:27.000 --> 00:40:28.679
hoping that you're going to be taken out at eleven

760
00:40:28.719 --> 00:40:32.199
forty two or eleven forty whatever it is. And that's arbitrage.

761
00:40:32.239 --> 00:40:36.000
That's called arbitrage. The problem with arbitrage is sometimes deals

762
00:40:36.079 --> 00:40:39.159
unexpectedly fall apart, and Walgreens is back at nine and

763
00:40:39.199 --> 00:40:41.599
a half bucks and you're sitting there with one hundreds

764
00:40:41.599 --> 00:40:43.920
of thousand of share. So you've got to be careful

765
00:40:43.920 --> 00:40:46.800
with arbitrage that the deal is solid, that the buyer

766
00:40:46.920 --> 00:40:51.920
has the wherewithal to complete the transaction. You also, the

767
00:40:51.960 --> 00:40:54.679
only time you're going to see a stock trading above

768
00:40:54.760 --> 00:40:58.760
the takeover price is if there's this, if there's a

769
00:40:59.039 --> 00:41:01.960
thought process that there might be another buyer out there.

770
00:41:02.840 --> 00:41:06.679
In other words, let's say somebody thought, I think now

771
00:41:06.719 --> 00:41:09.239
that Sycamore is going to take them private, they're going

772
00:41:09.320 --> 00:41:12.199
to be gone. This is the last chance for Amazon

773
00:41:12.280 --> 00:41:12.760
to jump in.

774
00:41:12.760 --> 00:41:13.239
And buy them.

775
00:41:13.320 --> 00:41:14.960
Not that they would obviously.

776
00:41:14.559 --> 00:41:17.599
But I don't see that with Walgreens, or just hasn't

777
00:41:17.639 --> 00:41:19.920
been that kind of interest in that stock. But you

778
00:41:19.960 --> 00:41:23.199
will see that from time to time where somebody offers

779
00:41:23.519 --> 00:41:26.119
fifty dollars for a stock and it opens at fifty three,

780
00:41:26.159 --> 00:41:28.920
and you're thinking, why would they do that because they

781
00:41:28.920 --> 00:41:31.519
think there are other offers coming that the fifty was

782
00:41:31.599 --> 00:41:33.800
the beginning of a bidding war.

783
00:41:34.519 --> 00:41:35.360
No, I don't see that.

784
00:41:35.360 --> 00:41:38.679
With Walgreens. Interest rate on the ten year Treasury twelve

785
00:41:38.679 --> 00:41:40.559
percent lower than it was in October.

786
00:41:41.360 --> 00:41:43.719
So every year Freddie Mack has gone down to six

787
00:41:43.760 --> 00:41:44.840
point sixty three percent.

788
00:41:44.960 --> 00:41:49.960
Now, yeah, locally, I had a borrower that locked in

789
00:41:50.039 --> 00:41:52.679
six and a half on a thirty year fixed. I

790
00:41:52.719 --> 00:41:56.159
had another client who wanted to refinance their house to

791
00:41:56.199 --> 00:41:59.400
get some money for travel, and they did a fifteen

792
00:41:59.480 --> 00:42:02.960
year fix at five and three quarters. So interest rates

793
00:42:03.039 --> 00:42:06.920
are coming down. And now what that tells you is

794
00:42:06.960 --> 00:42:07.480
that they're.

795
00:42:07.320 --> 00:42:10.559
Not down much. So, I mean it's maybe a fifty

796
00:42:10.599 --> 00:42:12.840
basis points. I mean in the tenure we're still four

797
00:42:12.880 --> 00:42:13.360
point four.

798
00:42:14.000 --> 00:42:16.480
Yeah, yeah, the ten years four point three.

799
00:42:16.599 --> 00:42:19.039
Four point three. We got to about four point nine

800
00:42:19.599 --> 00:42:20.679
in October.

801
00:42:20.800 --> 00:42:22.239
Twelve percent below where it was in October.

802
00:42:22.239 --> 00:42:23.840
They're right right, sixty basis points.

803
00:42:23.880 --> 00:42:25.920
As what I'm saying, yeah, it's down, and I saw

804
00:42:25.960 --> 00:42:27.800
the two year was below four for the first time

805
00:42:27.960 --> 00:42:28.760
three nine nine.

806
00:42:29.320 --> 00:42:33.360
I would to be surprised to possibly see rates go

807
00:42:33.480 --> 00:42:33.920
back up.

808
00:42:35.039 --> 00:42:37.119
You know, the bond market is telling you that the

809
00:42:37.119 --> 00:42:39.880
economy is slowing, and I think there's a lot of

810
00:42:39.880 --> 00:42:44.320
indications that the economy is slowing. I'm not saying dangerously slowing.

811
00:42:44.400 --> 00:42:48.679
I'm not expecting recession anytime in the near future. But

812
00:42:49.079 --> 00:42:53.079
almost all of the corporate reports this week were with

813
00:42:53.239 --> 00:42:55.599
cautious guidance. And again that may have to do with

814
00:42:55.639 --> 00:42:58.760
the tariffts that that if that were to settle down,

815
00:43:00.159 --> 00:43:03.280
might all go away. Next week we get the CPI

816
00:43:03.440 --> 00:43:07.719
on Wednesday, the PPI on Thursday. Again, those are market movers,

817
00:43:07.719 --> 00:43:08.199
both of them.

818
00:43:08.559 --> 00:43:12.360
Yeah, well big interest rate movers, which in Lewis the market.

819
00:43:12.039 --> 00:43:14.400
Moves absolutely and we had our worst We had our

820
00:43:14.400 --> 00:43:17.920
worst weeks since September. In China up five percent.

821
00:43:18.239 --> 00:43:20.119
Yeah, China's doing just fine right now.

822
00:43:20.199 --> 00:43:23.000
China has been the best performing market since the election.

823
00:43:23.320 --> 00:43:24.639
I think Europe is number two.

824
00:43:25.159 --> 00:43:25.400
Yeah.

825
00:43:25.960 --> 00:43:29.199
Yeah, that builds your dreams companies up like thirty five percent.

826
00:43:29.599 --> 00:43:32.079
You're to date, Ali Baba is just killing it.

827
00:43:32.360 --> 00:43:35.000
Build your dream being the electric car.

828
00:43:34.920 --> 00:43:37.840
Collectric car manufacturer, the biggest competitor of Tesla in China,

829
00:43:37.920 --> 00:43:40.679
and they're bigger than Tesla now as well.

830
00:43:40.440 --> 00:43:42.840
Just because of Mexico, right, I mean selling a ton there.

831
00:43:42.960 --> 00:43:43.920
They're doing a lot of business.

832
00:43:43.920 --> 00:43:46.360
They're China compared to Tesla as well.

833
00:43:46.360 --> 00:43:49.039
Say, you will see those be they're called BYD. It's

834
00:43:49.039 --> 00:43:50.920
building your dream. But there b y D is the

835
00:43:51.039 --> 00:43:53.800
thing simpleness on the vehicle, and you will see those

836
00:43:53.840 --> 00:43:56.599
around two son a little bit. Uh Mexico. They're not

837
00:43:56.639 --> 00:43:59.199
being sold in the United States to my knowledge, but

838
00:43:59.239 --> 00:44:00.920
they are being sold in Mexico and a few of

839
00:44:00.960 --> 00:44:02.039
them come across the border.

840
00:44:02.159 --> 00:44:05.360
I've only seen the by D cards with snorm license plates.

841
00:44:05.559 --> 00:44:08.480
Yeah, absolutely, yeah, I've seen I've seen one. I've only

842
00:44:08.480 --> 00:44:11.320
seen one. You've seen one, right, So they're around but

843
00:44:12.679 --> 00:44:16.400
hard to spot. Oil continues to drop down two seventy

844
00:44:16.400 --> 00:44:17.239
five last weekend.

845
00:44:17.320 --> 00:44:19.480
Down it was almost three bucks. I mean it's sixty

846
00:44:19.480 --> 00:44:21.840
seven dollars a barrel dollars. I don't know there's a

847
00:44:21.840 --> 00:44:25.159
big level here on oil. To me, I'm really I don't.

848
00:44:25.199 --> 00:44:27.239
I don't think it's gonna go below it. Dave, you

849
00:44:27.639 --> 00:44:29.800
think it you think it is, though.

850
00:44:29.719 --> 00:44:33.039
I think it ultimately could get into the fifties. Ultimately,

851
00:44:33.920 --> 00:44:35.760
does it pop back up a little bit, who knows.

852
00:44:35.760 --> 00:44:39.480
But what I found fascinating about the dropping oil, which

853
00:44:39.480 --> 00:44:43.480
has been down six percent this year, Chevron is up

854
00:44:43.519 --> 00:44:46.960
eight percent. Chevron stock is up eight percent, Xxon is

855
00:44:47.039 --> 00:44:51.199
up two percent. XL E, the the Energy ETF up

856
00:44:51.199 --> 00:44:51.760
two percent.

857
00:44:52.400 --> 00:44:55.119
Yeah, the CBX, the Chevron is really interesting. It's really

858
00:44:55.199 --> 00:44:56.800
held in there. If you look at a chart of

859
00:44:56.800 --> 00:44:58.360
oil the last two years and then look at the

860
00:44:58.440 --> 00:45:02.000
chart Chevron, you're that's definitely diverged.

861
00:45:02.280 --> 00:45:04.320
Yeah. I think if you just buy, if you were

862
00:45:04.320 --> 00:45:06.679
wanting one oil stock, I probably buy the XL E,

863
00:45:06.840 --> 00:45:09.440
the ETF, right, But I mean, if you just want

864
00:45:09.480 --> 00:45:12.760
one individual name, it's just Chevron's hard to beat. It

865
00:45:12.800 --> 00:45:15.679
seems like no matter what's going on, they're out performing

866
00:45:15.760 --> 00:45:18.960
Conico and Exon. They are the only oil company in

867
00:45:19.000 --> 00:45:21.280
the Dow. Stock in the Dow, I believe of the

868
00:45:21.320 --> 00:45:24.320
thirty stock in the Dow, I believe Chevron is the

869
00:45:24.320 --> 00:45:28.519
only oil company in there. Gold rebounded. You know, we

870
00:45:28.599 --> 00:45:30.599
talked last week about how finally had a big down

871
00:45:30.639 --> 00:45:34.639
week and rebounded by sixty nine dollars to finish the

872
00:45:34.679 --> 00:45:37.679
week at twenty nine oh five. Oh it was up yep.

873
00:45:39.199 --> 00:45:40.559
Gold jump sixty nine bucks.

874
00:45:40.559 --> 00:45:42.800
Why do you think oil is going to fifty just

875
00:45:42.840 --> 00:45:44.199
because of the demand slowan.

876
00:45:44.280 --> 00:45:47.079
Yeah, I think the demand will slow and I think

877
00:45:47.159 --> 00:45:49.960
the supply will increase with some of the policies on

878
00:45:50.079 --> 00:45:54.360
the Trump I could be totally wrong. It's just I've

879
00:45:54.360 --> 00:45:54.679
seen it.

880
00:45:54.920 --> 00:45:56.599
But if China's going to be doing as good as

881
00:45:56.960 --> 00:45:58.760
the market, their market claims it is.

882
00:45:59.199 --> 00:46:02.840
If China is actually and we talked two months ago

883
00:46:02.840 --> 00:46:07.480
about green shoots were now seen maybe more than green shoots,

884
00:46:07.519 --> 00:46:13.039
and if China were to re emerge as a growing economy,

885
00:46:13.519 --> 00:46:17.440
then that's going to change that thesis completely. But we've

886
00:46:17.480 --> 00:46:20.039
seen trying to rebound over the past six weeks now,

887
00:46:21.039 --> 00:46:24.199
six or seven weeks, and yet oil prices continue to

888
00:46:24.760 --> 00:46:25.360
move lower.

889
00:46:26.159 --> 00:46:31.760
So you heard of a TKO group. No, this is

890
00:46:31.800 --> 00:46:33.920
the people who owned WW and USCFC.

891
00:46:34.000 --> 00:46:35.639
Oh yeah, yeah, yeah, you talked about a couple of

892
00:46:35.639 --> 00:46:36.039
weeks ago.

893
00:46:36.119 --> 00:46:38.119
They're going to join the S and P five hundred

894
00:46:38.239 --> 00:46:41.760
effect of March twenty fourth, and as well as door Dash,

895
00:46:41.840 --> 00:46:45.239
Williams Sonma and a company called Expand Energy.

896
00:46:45.880 --> 00:46:47.880
Those there are new entries into the S and P

897
00:46:47.960 --> 00:46:50.639
five hundreds. I'm always interested in who they're removing from

898
00:46:50.679 --> 00:46:52.480
the S and P five, and a lot of times

899
00:46:52.480 --> 00:46:55.280
it's because companies have been taken over, like Walgreens, and

900
00:46:55.360 --> 00:46:58.039
they just they're just they're just going to disappear. I mean,

901
00:46:58.119 --> 00:47:01.239
you wouldn't want Walgreens in any index because it's not going.

902
00:47:01.039 --> 00:47:04.280
To Williams Sonoma owned a whole bunch with Williams.

903
00:47:03.880 --> 00:47:08.000
Sonomo owns Pottery, Barns and west Alm Yeah, as well

904
00:47:08.000 --> 00:47:11.079
as Williams Sonoma. Yeah, they're doing great, all time highs.

905
00:47:11.159 --> 00:47:15.360
It's crazy and they're just in an environment where you

906
00:47:15.360 --> 00:47:18.000
would not think they would be doing well. They're doing

907
00:47:18.159 --> 00:47:21.400
extremely well. We'll be back with more of the Money

908
00:47:21.400 --> 00:47:23.800
Matter Show after this break. Once again, we thank you

909
00:47:23.800 --> 00:47:25.280
for joining us. If you haven't come in for your

910
00:47:25.280 --> 00:47:28.519
free financial plan, got to do it. Thank you for listening.

911
00:47:29.719 --> 00:47:32.239
Welcome back to the second hour of The Money Matter Show.

912
00:47:32.280 --> 00:47:34.840
I'm Dylan Greenberg here with Todd Glick, Dave Sherwood, and

913
00:47:34.880 --> 00:47:37.440
Sebastian Borsini. For those of you just tuning in, the

914
00:47:37.519 --> 00:47:39.559
Dow was down two point four percent for the week.

915
00:47:39.800 --> 00:47:42.039
The SMP five hundred was down three point one percent,

916
00:47:42.039 --> 00:47:44.199
the NASDAK was down three and a half percent, the

917
00:47:44.280 --> 00:47:47.000
Russell two thousand was down four percent, and the equal

918
00:47:47.000 --> 00:47:50.159
weighted SMP five hundred was down one point nine percent.

919
00:47:50.760 --> 00:47:53.599
The NASDAK is down five point eight percent for the year,

920
00:47:53.599 --> 00:47:55.360
but that's not even the most. The Russell two thousand,

921
00:47:55.360 --> 00:47:57.880
which is small cap, is down almost seven percent for

922
00:47:57.920 --> 00:47:58.239
the year.

923
00:47:58.960 --> 00:47:59.119
Yeah.

924
00:47:59.400 --> 00:48:01.400
I never thought i'd live long enough to see what

925
00:48:01.440 --> 00:48:03.960
I saw during the State of the Union speech.

926
00:48:04.400 --> 00:48:05.079
That was awesome.

927
00:48:05.280 --> 00:48:08.679
It was unbelievable. I mean, it actually was entertainment. I

928
00:48:08.719 --> 00:48:11.239
don't normally watch those because there's a lot of promises

929
00:48:11.280 --> 00:48:15.039
that never happened and it's just grand standing essentially. But

930
00:48:15.320 --> 00:48:17.639
I just couldn't believe that holding the signs up like

931
00:48:17.800 --> 00:48:18.840
those children.

932
00:48:18.800 --> 00:48:20.119
Was the State of the Union, right, it was like

933
00:48:20.119 --> 00:48:22.119
an address to Congress. I didn't know if it was

934
00:48:22.159 --> 00:48:23.360
an official state of Union.

935
00:48:24.239 --> 00:48:26.199
It was annual State of the Union.

936
00:48:26.480 --> 00:48:28.960
Yeah, okay, I thought that was the first mask.

937
00:48:29.719 --> 00:48:33.400
I assumed it was. I don't know. I could be wrong.

938
00:48:33.599 --> 00:48:36.519
It seems like it's theatrics, like no Democrats stands for

939
00:48:36.599 --> 00:48:39.760
anything the Republicans say, and then Biden's and no Republicans

940
00:48:39.800 --> 00:48:41.880
stands for anything. The Democrats say, but.

941
00:48:41.840 --> 00:48:44.880
I mean and And there was some shouting out from

942
00:48:44.920 --> 00:48:47.920
the right, like Biden was president shouting out from the

943
00:48:48.000 --> 00:48:50.079
left time like we are we turning into England here,

944
00:48:50.159 --> 00:48:50.679
we're all going.

945
00:48:50.639 --> 00:48:52.679
To sign and yeah, that's a good point.

946
00:48:52.840 --> 00:48:54.320
Oh. The British thing is just crazy.

947
00:48:54.360 --> 00:48:55.920
I don't think a lot of people know that the

948
00:48:55.960 --> 00:48:56.880
British Parliament goes.

949
00:48:57.440 --> 00:48:59.519
Was just crazy. It's like being at a rock show

950
00:48:59.599 --> 00:49:03.000
or something. It's like being in the mosh pit. They're

951
00:49:03.079 --> 00:49:06.159
yelling and screaming, and that's the craziest thing. Like a

952
00:49:06.199 --> 00:49:11.280
third world country. Unbelievable. So I'm hiking on Sunday last

953
00:49:11.320 --> 00:49:14.719
Sunday afternoon and I pull on my phone just to

954
00:49:14.800 --> 00:49:16.840
kind of look at what the Markt's doing, and I

955
00:49:16.880 --> 00:49:20.320
look at Bitcoin and I go, what in the heck

956
00:49:20.440 --> 00:49:22.880
it happened here? The last time I looked at it

957
00:49:22.880 --> 00:49:26.000
was around eighty three, eighty four thousand, it was ninety two.

958
00:49:26.880 --> 00:49:30.480
And of course what happened is is Trump announced on

959
00:49:30.559 --> 00:49:34.519
Sunday that he was going to form a establish a

960
00:49:34.519 --> 00:49:38.440
crypto reserve, and now a crypto reserve. This is kind

961
00:49:38.440 --> 00:49:42.079
of an important designation. It's crypto reserve. He's also going

962
00:49:42.199 --> 00:49:46.480
to have a crypto stockpile. Okay, so what's the difference

963
00:49:46.559 --> 00:49:47.159
between the two.

964
00:49:47.480 --> 00:49:49.960
So he's not going to sell it crypto reserve.

965
00:49:50.079 --> 00:49:55.480
You actually are a periodic buyer the of bitcoin. Crypto

966
00:49:56.679 --> 00:50:00.079
crypto stockpile, you simply are not going to sell. And

967
00:50:00.119 --> 00:50:01.599
you know the United States has like what is one

968
00:50:01.679 --> 00:50:03.360
hundred and eighty five thousand bitcoin?

969
00:50:03.679 --> 00:50:05.719
Yeah, we get it from FBI seasons.

970
00:50:05.480 --> 00:50:08.800
We get from serve seats, from all the seizures and things.

971
00:50:09.159 --> 00:50:11.719
It's it's crazy. So are they going to have the

972
00:50:11.760 --> 00:50:15.360
stockpile and the one thing that I guess kind of what.

973
00:50:15.440 --> 00:50:18.039
I'm sorry, and that just gets odded to US's balance sheet.

974
00:50:18.360 --> 00:50:20.880
Well, yeah, they don't know how to sell it, right,

975
00:50:20.880 --> 00:50:22.000
So what's going to happen?

976
00:50:22.079 --> 00:50:22.679
What's going to happen?

977
00:50:23.800 --> 00:50:25.639
Think about when they get a big yacht. What do

978
00:50:25.679 --> 00:50:28.159
they do with the yacht? Like when they when they

979
00:50:28.159 --> 00:50:30.559
collect it from a tax evasion or something like that.

980
00:50:30.599 --> 00:50:33.280
I'll bet Trump drives it around. But that's what the

981
00:50:33.440 --> 00:50:34.480
that's what that's what happens.

982
00:50:34.559 --> 00:50:37.519
So they'll sees like huge jets and they have to

983
00:50:37.679 --> 00:50:39.440
find a buyer and then they put them on auction

984
00:50:39.519 --> 00:50:41.639
houses or something like that. So I've heard that they've

985
00:50:41.679 --> 00:50:44.559
they've auctioned off the bitcoin in the years past, but

986
00:50:44.639 --> 00:50:46.639
now there's a whole market, so it's obviously pretty easy

987
00:50:46.679 --> 00:50:47.800
to liquidate it into cash.

988
00:50:47.920 --> 00:50:51.400
Yeah, we're officially, as taxpayers going to be speculating in

989
00:50:51.440 --> 00:50:55.599
crypto with money that they don't have. But why not, right,

990
00:50:56.119 --> 00:50:57.599
let's take let's buy I hate it.

991
00:50:57.800 --> 00:51:00.719
I hate the word crypto though. That's that's my huge

992
00:51:00.760 --> 00:51:05.280
pet pee that Trump did. It should only be bitcoined it.

993
00:51:05.360 --> 00:51:06.960
Yeah, A, And I think.

994
00:51:06.840 --> 00:51:09.679
He's making a really big mistake because, as you said,

995
00:51:10.440 --> 00:51:14.280
now you're investing in a lot of unregulated stuff. And

996
00:51:14.360 --> 00:51:16.920
it's already bad enough that you're investing in bitcoin because

997
00:51:16.960 --> 00:51:19.400
of how volatile it is. At least it's regulated as

998
00:51:19.440 --> 00:51:22.880
a commodity. Everything else you're saying investing is not even regulated.

999
00:51:22.920 --> 00:51:24.360
They don't even know if it's a security, they don't

1000
00:51:24.360 --> 00:51:26.679
know if it's a commodity. A lot of gray areas there,

1001
00:51:26.719 --> 00:51:29.440
and you're putting government people's money into it. If that

1002
00:51:29.519 --> 00:51:31.400
all of a sudden gets rug pulled and it's down

1003
00:51:31.440 --> 00:51:33.159
forty percent, the whole idea is going to look like

1004
00:51:33.199 --> 00:51:35.639
it's terrible the whole project is gonna get shut down. Yeah,

1005
00:51:35.639 --> 00:51:37.559
and you're gonna look bad because of it. And so

1006
00:51:37.639 --> 00:51:39.639
I really think it was a mistake to add the

1007
00:51:39.639 --> 00:51:40.920
other crypto coins in there.

1008
00:51:41.159 --> 00:51:43.320
Last two weeks, we've seen bitcoin go from ninety eight

1009
00:51:43.320 --> 00:51:46.239
thousand to seventy eight thousand back to ninety four. I

1010
00:51:46.239 --> 00:51:47.320
think it got to on Monday.

1011
00:51:47.400 --> 00:51:48.639
Yeah, it's eighty six.

1012
00:51:49.840 --> 00:51:50.760
Beto's less than one.

1013
00:51:53.000 --> 00:51:55.880
That was so funny when the bitcoin et have had

1014
00:51:55.880 --> 00:51:59.480
a beto less than the market, volatility less than the market,

1015
00:51:59.480 --> 00:52:02.280
and Todd point it out, that's because the first nine

1016
00:52:02.320 --> 00:52:04.840
months it's been in business, Bitcoin has been pretty quiet.

1017
00:52:04.639 --> 00:52:06.880
Pretty stagnant, and at the same time, there's not history.

1018
00:52:06.920 --> 00:52:09.000
What's what's it on now? After this week, Dodd.

1019
00:52:10.119 --> 00:52:11.199
Still at one point one?

1020
00:52:11.360 --> 00:52:13.559
Yeah, yeah, at least it's more than the market.

1021
00:52:13.599 --> 00:52:13.800
Now.

1022
00:52:13.920 --> 00:52:14.440
The thing that.

1023
00:52:14.400 --> 00:52:16.559
Comes to my mind, and I've got a buddy that

1024
00:52:16.559 --> 00:52:18.800
that I hike with on the weekends, and he has

1025
00:52:18.880 --> 00:52:22.360
seven bitcoin He's at an average price of seventeen thousand.

1026
00:52:22.440 --> 00:52:24.199
He started buying it when it was like nine thousand,

1027
00:52:24.280 --> 00:52:27.239
and he kept buying one here, one there. He's got

1028
00:52:27.280 --> 00:52:30.480
seven of them at seventeen thousand. I'm saying why would't

1029
00:52:30.519 --> 00:52:32.840
you sell one? Why won't you sell two? Do something?

1030
00:52:33.159 --> 00:52:34.039
It's going to a million?

1031
00:52:34.079 --> 00:52:36.800
He thinks it's going absolutely what he thinks, it's going

1032
00:52:36.920 --> 00:52:40.239
much much higher. And where I sit and I look

1033
00:52:40.280 --> 00:52:45.480
at I think the everything that could possibly go right

1034
00:52:45.599 --> 00:52:51.480
for bitcoin under Trump has happened. Everything. They've gotten bitcoin

1035
00:52:51.840 --> 00:52:57.760
friendly people in positions of power, they've created a bitcoin reserve.

1036
00:53:00.039 --> 00:53:03.559
What else can possibly can he possibly do?

1037
00:53:04.559 --> 00:53:06.800
It's not what he can do, Dave. We're still in

1038
00:53:06.840 --> 00:53:09.639
like the third ending of adoption of this thing. We're

1039
00:53:09.679 --> 00:53:12.840
not even close to having actual rails for people that

1040
00:53:13.320 --> 00:53:15.960
they're not even close to people using this thing or

1041
00:53:15.960 --> 00:53:18.519
anything like that. But you commerce, but if you go

1042
00:53:18.559 --> 00:53:20.719
to third world countries, that's when it starts to get

1043
00:53:20.800 --> 00:53:23.719
used because it's an on rail ramp to use USD

1044
00:53:24.320 --> 00:53:27.079
which is a US DC and USDT, which is the tether,

1045
00:53:27.280 --> 00:53:29.960
and the stable coins of the US dollar, being able

1046
00:53:30.039 --> 00:53:33.239
to take whatever currents you have turn it into bitcoin.

1047
00:53:33.280 --> 00:53:36.599
You can then change that bitcoin into a US stable coin.

1048
00:53:37.000 --> 00:53:39.679
So it's an on rail onto a financial network that

1049
00:53:39.760 --> 00:53:41.880
most people can't get access to because they don't have

1050
00:53:41.960 --> 00:53:42.920
normal bank accounts.

1051
00:53:43.960 --> 00:53:44.079
Right.

1052
00:53:44.719 --> 00:53:46.400
I was just thinking, like it needs to have hit

1053
00:53:46.440 --> 00:53:49.280
a point of price stability. I would like to see

1054
00:53:49.599 --> 00:53:52.199
myself go to Whole Foods or whatever store and be

1055
00:53:52.199 --> 00:53:55.039
able to buy whatever I'm buying in bitcoin.

1056
00:53:55.199 --> 00:53:57.519
You don't have to if you have a stable coin

1057
00:53:57.559 --> 00:54:01.000
that I can easily transition into from bitcoin. What why

1058
00:54:01.000 --> 00:54:04.119
don't need I want to be a stable You need

1059
00:54:04.119 --> 00:54:05.400
to business too to give value.

1060
00:54:05.440 --> 00:54:06.960
That's that's what That's what I'm trying to get.

1061
00:54:06.960 --> 00:54:08.079
It has to be willing to accept it.

1062
00:54:08.239 --> 00:54:10.800
The business keep accepting dollars. All I have to do

1063
00:54:10.840 --> 00:54:14.960
is transition my bitcoin. I'm paying. I'm paying dollar bills

1064
00:54:14.960 --> 00:54:15.559
with my bitcoin.

1065
00:54:15.639 --> 00:54:20.320
Right now, I'm thinking, I'm thinking as a as someone

1066
00:54:20.360 --> 00:54:23.840
who owns no bitcoin. Okay, full disclosure here, I've never

1067
00:54:23.840 --> 00:54:29.000
owned a bitcoin that people who own bitcoin and aren't

1068
00:54:29.039 --> 00:54:33.079
taking profits now are going to regret it. Yeah, that's

1069
00:54:33.079 --> 00:54:36.719
that's my take. I know you're definitely wrong. I know

1070
00:54:36.760 --> 00:54:39.000
you difinitely disagree. We'll see, we'll see.

1071
00:54:39.039 --> 00:54:39.800
What's your time frame?

1072
00:54:40.000 --> 00:54:41.760
I was gonna say, it depends on what I think.

1073
00:54:41.639 --> 00:54:44.480
Over well, I don't know over the next six months.

1074
00:54:44.519 --> 00:54:45.199
I think by the.

1075
00:54:45.079 --> 00:54:46.960
Time you're by the time you're how old are you

1076
00:54:46.960 --> 00:54:50.000
gonna twenty three seventy four.

1077
00:54:50.079 --> 00:54:52.920
Right, we're not talking about the age.

1078
00:54:53.000 --> 00:54:56.239
When you get to eighty, bitcoin will be over two hundred.

1079
00:54:56.000 --> 00:54:59.719
Thousands, okay, and I think it might be over two dollars.

1080
00:55:02.199 --> 00:55:05.960
We'll see. Uh. I remember the tulip, the tulip, right.

1081
00:55:06.199 --> 00:55:08.639
Yeah, till you're frame the tulips in twenty twelve, and

1082
00:55:08.639 --> 00:55:10.400
then they said it again in twenty sixteen, they said

1083
00:55:10.440 --> 00:55:12.719
again in twenty twenty. I agree, and now then again

1084
00:55:12.800 --> 00:55:13.199
twenty one.

1085
00:55:13.280 --> 00:55:16.440
Now, every every single, every single bit coin sell off

1086
00:55:16.480 --> 00:55:18.480
has been followed by a new high, every single one.

1087
00:55:18.960 --> 00:55:22.119
So you you they've got the bulls have that again.

1088
00:55:22.159 --> 00:55:24.199
It depends on your time horizon though, because you could

1089
00:55:24.199 --> 00:55:26.000
be at ninety thousand right now, you could have taken

1090
00:55:26.039 --> 00:55:28.239
it all the way up from sixty. You're doing pretty good,

1091
00:55:28.519 --> 00:55:30.400
and then you see a drop back to that sixty

1092
00:55:30.440 --> 00:55:31.599
and you're out just because you're scared.

1093
00:55:31.719 --> 00:55:33.559
Yeah, they're just as awful. And the only reason we

1094
00:55:33.599 --> 00:55:35.679
talk about it is because there's a lot of people

1095
00:55:35.719 --> 00:55:38.400
talking about it. I think the general public trust of

1096
00:55:38.440 --> 00:55:40.920
the coin is still probably under twenty percent.

1097
00:55:41.280 --> 00:55:43.320
I will say this, phils are listening. If it gets

1098
00:55:43.320 --> 00:55:46.599
back up to one twenty, take your profits, yeah, because

1099
00:55:46.880 --> 00:55:49.760
there will be another crash, and then it'll do what

1100
00:55:49.800 --> 00:55:50.280
it does again.

1101
00:55:50.360 --> 00:55:51.199
Where are you a buyer?

1102
00:55:52.039 --> 00:55:53.039
I'm fine right here.

1103
00:55:52.960 --> 00:55:55.599
Now, Ben, where are you a buyer? For it starts plunging,

1104
00:55:55.800 --> 00:55:58.760
we can know, I'm saying at one twenty stop yeah,

1105
00:55:58.800 --> 00:55:59.400
and then no, we.

1106
00:55:59.320 --> 00:56:01.480
Should see out take it. It hits one twenty and

1107
00:56:01.480 --> 00:56:01.960
then he's.

1108
00:56:01.800 --> 00:56:02.800
Going down to sixties.

1109
00:56:02.800 --> 00:56:03.639
It's going the other way.

1110
00:56:03.719 --> 00:56:04.480
It's going to sixty.

1111
00:56:04.519 --> 00:56:06.239
You think it's going to sixty, and that's where you

1112
00:56:06.239 --> 00:56:08.280
get back in. Yeah. I think that's probably would be

1113
00:56:08.360 --> 00:56:11.079
a one channeling place. Just put your foot in the water.

1114
00:56:11.440 --> 00:56:14.519
We said last two weeks ago that if it could

1115
00:56:14.559 --> 00:56:16.719
not hold ninety two thousand, that there would be a

1116
00:56:16.760 --> 00:56:20.599
cascade of selling. And it did not hold. Ninety two thousand,

1117
00:56:20.719 --> 00:56:24.159
went to seventy eight. Now it bounced back a lot

1118
00:56:24.199 --> 00:56:28.159
of it due to Trump and his announcement. Had that

1119
00:56:28.199 --> 00:56:30.199
not happened, I don't know where it would be today.

1120
00:56:30.320 --> 00:56:33.920
Probably going to be in the seventies somewhere. But I

1121
00:56:33.920 --> 00:56:37.559
think you're right, Chad. I would my general thinking is

1122
00:56:37.599 --> 00:56:40.280
probably in the fifty sixty range somewhere, but you think

1123
00:56:40.280 --> 00:56:43.199
somewhere anywhere in the mid sixties. But some to watch

1124
00:56:43.440 --> 00:56:47.559
very volatile, very speculative Costco. How about Costco on Friday?

1125
00:56:47.599 --> 00:56:50.159
This was crazy. Costco's up thirty five percent in the

1126
00:56:50.239 --> 00:56:53.719
last twelve months. It was down eight percent on Friday. Now,

1127
00:56:53.719 --> 00:56:57.760
they did report a small earnings myths, but because sales

1128
00:56:57.760 --> 00:57:01.079
are reported monthly, the quarterly earnings report is generally a yawn,

1129
00:57:02.079 --> 00:57:06.639
but it does. Selling generally comes with that, just because

1130
00:57:06.679 --> 00:57:09.760
it always does. You know, there's kind of a knowing

1131
00:57:09.840 --> 00:57:13.639
that every quarter Costco will drop a little bit after

1132
00:57:13.639 --> 00:57:17.039
earning's well, it started dropping Friday morning and it just

1133
00:57:17.119 --> 00:57:20.039
kept dropping and dropping, and it ends up down eight percent.

1134
00:57:21.400 --> 00:57:23.880
My thought on that would be, it's very tempting. Costco

1135
00:57:23.960 --> 00:57:27.360
is a wonderful company. It's extremely expensive stock. It's fifty

1136
00:57:27.360 --> 00:57:32.039
five times earning. It's extremely expensive, probably oh probably five

1137
00:57:32.199 --> 00:57:36.079
times at least of any other retailer price to perfection,

1138
00:57:36.280 --> 00:57:40.760
extremely expensive stock, So be careful. My take, when you

1139
00:57:40.840 --> 00:57:44.400
have a large drop like that, it's going to take

1140
00:57:44.519 --> 00:57:47.840
some time. And it may be different with Costco because

1141
00:57:47.880 --> 00:57:50.239
it's such a quality company. But when you get a

1142
00:57:50.239 --> 00:57:54.920
big drop like that, generally that's not the last drop. Generally,

1143
00:57:54.920 --> 00:57:57.199
there's more to come. When you get that big of

1144
00:57:57.239 --> 00:58:01.239
a sell off, and it takes typically weeks or even

1145
00:58:01.320 --> 00:58:04.079
months for it to stabilize. So if you're if you've

1146
00:58:04.079 --> 00:58:07.719
been watching Costco, you're sorry, you misstant uh would like

1147
00:58:07.760 --> 00:58:11.039
to get in. My advice would be to maybe by

1148
00:58:11.079 --> 00:58:12.679
a quarter of what you want to end.

1149
00:58:12.639 --> 00:58:13.960
Up with what we don't.

1150
00:58:14.000 --> 00:58:15.320
Don't catch the falling knife, right.

1151
00:58:16.280 --> 00:58:18.719
Sometimes you do catch that falling knife, and boy, you

1152
00:58:18.800 --> 00:58:21.599
really really look smart. But generally you're in the in

1153
00:58:21.639 --> 00:58:25.559
the intensive carry unit with a badly cut hand. Generally

1154
00:58:25.559 --> 00:58:27.519
what happened when you try to catch the falling knife.

1155
00:58:27.559 --> 00:58:30.880
So let's talk about Tesla a little bit, buddy more.

1156
00:58:31.199 --> 00:58:33.119
We think we'll talk about it a little bit. But

1157
00:58:34.159 --> 00:58:37.000
the stock has just been been killed down forty percent.

1158
00:58:38.880 --> 00:58:41.639
Remember it hit that post election high, doubled and then

1159
00:58:41.719 --> 00:58:44.440
it was up four percent on Monday. Get this, it

1160
00:58:44.519 --> 00:58:47.000
was up four percent on Monday at the open after

1161
00:58:47.079 --> 00:58:51.599
Morgan Stanley named the stock a new top pick in

1162
00:58:51.800 --> 00:58:55.800
US autos. That was Monday, a new a top pick

1163
00:58:55.840 --> 00:58:59.440
in US autos. I'm thinking, wow, they expect a bounce

1164
00:58:59.480 --> 00:59:04.599
of fifty. However, it didn't work out well this week,

1165
00:59:05.039 --> 00:59:07.039
and they did say that on Monday, and.

1166
00:59:07.000 --> 00:59:09.239
I mean it comes in after the news like last week,

1167
00:59:09.280 --> 00:59:11.679
what would your come up would come out with the

1168
00:59:11.840 --> 00:59:14.159
fifty percent dropping sales on Tesla's right.

1169
00:59:14.039 --> 00:59:17.039
And then this week was was Last week was followed

1170
00:59:17.039 --> 00:59:20.480
by a news out of China that Tesla sales in

1171
00:59:20.519 --> 00:59:25.320
February and China were down fifty percent. Down fifty that's significant.

1172
00:59:25.320 --> 00:59:27.079
And I mean if I was an investor in Tesla

1173
00:59:27.199 --> 00:59:29.119
years ago and I'm thinking that Elon Musk is a

1174
00:59:29.159 --> 00:59:31.079
great CEO and he's you know, all in it for

1175
00:59:31.119 --> 00:59:35.280
the company, I'm a little bit weary here seeing how

1176
00:59:35.360 --> 00:59:37.960
much he's participating in the government, right, just because it's

1177
00:59:37.960 --> 00:59:39.880
his mind's on Tesla company.

1178
00:59:40.000 --> 00:59:42.679
See, I don't know, but does he have somebody running

1179
00:59:42.679 --> 00:59:44.840
at that No, of course rely. Yeah, it doesn't seem

1180
00:59:44.880 --> 00:59:45.760
like people believe it.

1181
00:59:46.360 --> 00:59:47.840
Yeah, I mean he's still the CEO, right, and he's

1182
00:59:47.840 --> 00:59:50.480
still got SpaceX that he's putting a lot of effort in.

1183
00:59:50.679 --> 00:59:52.079
They got a lot of co I mean he's got

1184
00:59:52.079 --> 00:59:53.480
Neuralink SpaceX.

1185
00:59:53.119 --> 00:59:55.400
Yeah, boring company that.

1186
00:59:55.000 --> 00:59:59.559
AI won that ax Hire whatever that's worth like eighty

1187
00:59:59.599 --> 01:00:00.960
five billion, that's one of his bigger companies.

1188
01:00:01.000 --> 01:00:02.840
Yeah, well I think that's part of kind of X right,

1189
01:00:03.159 --> 01:00:05.679
Like it's rock right, SpaceX thing blow up?

1190
01:00:05.760 --> 01:00:07.519
Right, SpaceX thing blew up?

1191
01:00:07.559 --> 01:00:08.079
R Yeah, I was.

1192
01:00:08.119 --> 01:00:10.840
That's what I want to talk about, was that SpaceX launch,

1193
01:00:10.920 --> 01:00:14.679
and I wanted to I forgot they have a coming

1194
01:00:14.760 --> 01:00:16.599
up trip to the Moon and I didn't know if

1195
01:00:16.599 --> 01:00:19.079
that was if that was the ship that blew up.

1196
01:00:19.079 --> 01:00:20.880
I don't think it was, but they were working with

1197
01:00:21.000 --> 01:00:24.199
NASA to make a to return back to the Moon

1198
01:00:24.239 --> 01:00:26.480
I think coming up in like twenty six like an

1199
01:00:26.480 --> 01:00:30.400
actual manned ship to that. So I wonder if this

1200
01:00:30.400 --> 01:00:33.119
this blow up is just gonna slow that down.

1201
01:00:33.280 --> 01:00:34.400
Yeah, I saw.

1202
01:00:34.519 --> 01:00:37.239
That was what I've really been supressed with is watching

1203
01:00:37.239 --> 01:00:42.239
the SpaceX like rocket launches and the I guess landings

1204
01:00:42.639 --> 01:00:44.559
you have like these. Have you guys seen a video

1205
01:00:44.599 --> 01:00:45.719
of it? I showed you one.

1206
01:00:45.800 --> 01:00:46.559
Yeah, it's pretty cool.

1207
01:00:46.599 --> 01:00:49.639
It's amazing. It's like you're watching a video game. Oh yeah, really,

1208
01:00:50.079 --> 01:00:51.599
I mean these rockets are coming in from out of

1209
01:00:51.599 --> 01:00:53.920
space that yeah, thousands of miles per hour and the

1210
01:00:53.960 --> 01:00:54.719
prongs catch them.

1211
01:00:54.840 --> 01:00:57.559
Yes, well they did that a like probably six months

1212
01:00:57.559 --> 01:00:59.920
ago for the first time. And you could see the

1213
01:01:00.079 --> 01:01:03.280
video of all the engineers just cheering and just going

1214
01:01:03.280 --> 01:01:06.880
absolutely nuts because it takes a lot of math to

1215
01:01:06.960 --> 01:01:07.760
figure that one out.

1216
01:01:08.039 --> 01:01:09.800
Oh yeah, phenomenal.

1217
01:01:09.960 --> 01:01:13.840
But yes, So the SpaceX was planning for mid twenty

1218
01:01:13.880 --> 01:01:18.079
twenty seven. It's called Artemis three and it's the next

1219
01:01:18.159 --> 01:01:22.360
planned man lunar mission and it's a collaboration between SpaceX

1220
01:01:22.400 --> 01:01:25.239
and that's okay. So well, no for sure if the

1221
01:01:25.280 --> 01:01:28.119
moon landing was fake or not. Yeah, by twenty.

1222
01:01:27.880 --> 01:01:29.920
Eight I was speaking of the speaking of math, I

1223
01:01:29.960 --> 01:01:31.880
was listening to I was. There was a friend of

1224
01:01:31.880 --> 01:01:34.559
my post on Facebook. He said, I'm sitting here during

1225
01:01:34.599 --> 01:01:39.320
my taxes wondering why I spend so much time in

1226
01:01:39.360 --> 01:01:45.800
school studying parallelograms rather than taxes. Could they please teach

1227
01:01:45.840 --> 01:01:47.320
me something that I'm going to use.

1228
01:01:47.320 --> 01:01:49.280
I could say the same thing about utility curves and

1229
01:01:49.280 --> 01:01:52.599
indifference curves and economics class. What good does that do?

1230
01:01:52.719 --> 01:01:52.880
Man?

1231
01:01:53.039 --> 01:01:55.760
That's all an interesting article here though, about this the

1232
01:01:56.320 --> 01:02:00.440
manned Moon mission. Of the prospects of how the start

1233
01:02:00.480 --> 01:02:04.719
ship blow up kind of hangs the prospects of mining

1234
01:02:04.719 --> 01:02:07.559
the Moon in the balance, And I kind of forgot

1235
01:02:07.760 --> 01:02:11.239
about that future of technology being able to mine like

1236
01:02:11.320 --> 01:02:14.239
asteroids or mining the moon or things like that. That'd

1237
01:02:14.280 --> 01:02:18.440
be really interesting thing mining the moon. Yeah, I mean

1238
01:02:18.480 --> 01:02:20.400
that's what they're talking about. But they talk, you know how,

1239
01:02:20.599 --> 01:02:25.440
They'll say, this asteroid has right, crazy, has all the

1240
01:02:25.440 --> 01:02:27.880
goal that would like solve world hug or whatever. It's like, well,

1241
01:02:27.880 --> 01:02:28.599
how do you get there?

1242
01:02:28.679 --> 01:02:28.840
Right?

1243
01:02:28.840 --> 01:02:30.719
How do you how do you figure that one out?

1244
01:02:30.960 --> 01:02:33.119
Theird thing about mining the moon is you probably wouldn't

1245
01:02:33.159 --> 01:02:35.519
get a lot of pushback from the environmentalists.

1246
01:02:35.760 --> 01:02:38.159
Yeah, you got a private company out of Colorado just

1247
01:02:38.280 --> 01:02:40.920
landed a rover on the moon. It has That company

1248
01:02:40.920 --> 01:02:42.719
has two undred employees and it just put something on

1249
01:02:42.719 --> 01:02:44.920
the moon. It has clear pictures of it, and everything

1250
01:02:45.079 --> 01:02:46.440
by the south bull of the moon is crazy.

1251
01:02:46.559 --> 01:02:48.559
The moon just fair game. If I'm smart enough, I

1252
01:02:48.559 --> 01:02:49.360
could send something.

1253
01:02:49.199 --> 01:02:55.239
To go ahead, try plant. That's how it goes.

1254
01:02:55.800 --> 01:02:58.519
I've been a big fan of Starbucks ever since so

1255
01:02:58.559 --> 01:03:02.840
Brian Nichols took over, and I don't drink coffees. I'm

1256
01:03:02.840 --> 01:03:05.800
sure they're thrilled, and I'm a big fan. Up thirty

1257
01:03:06.880 --> 01:03:09.719
dropped eleven percent in the past few days. A little

1258
01:03:09.760 --> 01:03:13.400
profit taking. So many changes going on, so many radical changes. Really,

1259
01:03:13.519 --> 01:03:16.119
I shouldn't say radical. Some of these dramatic changes by

1260
01:03:16.360 --> 01:03:19.679
Nichols layoffs at the corporate level. We talked about that

1261
01:03:19.840 --> 01:03:23.559
last week. Slicing the current menu by two thirds. You're

1262
01:03:23.559 --> 01:03:25.079
gonna get rid of a whole bunch.

1263
01:03:24.880 --> 01:03:27.239
Of the getting rid of eleven drinks. And the drinks

1264
01:03:27.239 --> 01:03:30.639
are all like the fancy frappucinos that take forever to make.

1265
01:03:30.679 --> 01:03:32.480
And that's what his idea was, get rid of these

1266
01:03:32.480 --> 01:03:34.880
fancy ones that are low. They don't sell a lot,

1267
01:03:35.199 --> 01:03:38.840
so it improves efficiency, efficiens, get people in and out

1268
01:03:38.920 --> 01:03:41.039
quicker from the drive through. But he's also I mean,

1269
01:03:41.079 --> 01:03:43.920
he's doing radical changes. You're saying, but it's going back

1270
01:03:43.920 --> 01:03:45.119
to whatever say radical.

1271
01:03:45.159 --> 01:03:47.679
I did say radical, and I took that back either way.

1272
01:03:47.760 --> 01:03:50.280
Dramatic change, dramatic changes. But they're going back to what

1273
01:03:50.280 --> 01:03:53.119
they were before is what he wants. The sharpiest that

1274
01:03:53.199 --> 01:03:56.480
Sebastian hates. They're riding on the cups again. He wants

1275
01:03:56.519 --> 01:03:59.840
to build these Starbucks. They get his stickers too home

1276
01:04:00.679 --> 01:04:03.760
again like more tozy. You want to stay there. They're

1277
01:04:03.800 --> 01:04:06.079
doing a refill, Like if you go in and you

1278
01:04:06.119 --> 01:04:08.920
buy your cup in there with the actual glass, you

1279
01:04:08.920 --> 01:04:11.239
get a free refill as you're staying in the shop.

1280
01:04:11.360 --> 01:04:13.280
You know what doing I changed my mind on the sharpiees.

1281
01:04:13.360 --> 01:04:14.199
It's it's personable.

1282
01:04:14.199 --> 01:04:16.440
It's because you had one on Friday that actually saying

1283
01:04:16.559 --> 01:04:16.960
you have one?

1284
01:04:17.000 --> 01:04:17.400
Did you have.

1285
01:04:18.840 --> 01:04:18.880
It?

1286
01:04:18.960 --> 01:04:21.000
Said happy Friday? You made it like it just got

1287
01:04:21.039 --> 01:04:21.960
me through the rest of the day.

1288
01:04:22.039 --> 01:04:23.280
Dave like that.

1289
01:04:23.360 --> 01:04:23.760
I like that.

1290
01:04:23.880 --> 01:04:26.440
No, that's that's he's going back to what Starbucks was

1291
01:04:26.480 --> 01:04:28.320
like about fifteen twenty years ago in that sense, and

1292
01:04:28.360 --> 01:04:30.800
like he wants they want people to hang out at Starbucks,

1293
01:04:30.800 --> 01:04:32.719
not make it a Dutch bros. We're in and out,

1294
01:04:32.760 --> 01:04:33.159
in and out.

1295
01:04:33.440 --> 01:04:35.639
I think the beauty of Nichols is is he was

1296
01:04:35.760 --> 01:04:38.440
CEO of Taco Bell. It was also CEO and I

1297
01:04:38.480 --> 01:04:42.360
can't think of the other thank you, but but Taco

1298
01:04:42.360 --> 01:04:43.320
Bell before I didn't know.

1299
01:04:43.320 --> 01:04:44.960
That he was Taco Bell too.

1300
01:04:45.000 --> 01:04:47.559
Yeah, that's great. All let those everywhere, right, So what

1301
01:04:47.639 --> 01:04:50.039
he's doing is he's going back to these companies. He

1302
01:04:50.159 --> 01:04:54.239
knows the good people, and he's he's pirating these good people.

1303
01:04:54.280 --> 01:04:56.039
You just got a new CFO there, right, you.

1304
01:04:56.039 --> 01:04:57.360
Got the CFO from Nordstrom.

1305
01:04:57.920 --> 01:05:01.199
I mean, knows these people and and connected and he

1306
01:05:01.320 --> 01:05:04.320
knows from his time at Taco Bell that Todd and

1307
01:05:04.400 --> 01:05:07.400
Dylan and Sebastian were really good. Right, So he goes

1308
01:05:07.400 --> 01:05:10.239
and gets Todd and Dylan and Sebastian brings them over.

1309
01:05:10.280 --> 01:05:12.559
So I don't know. It just seems to me that

1310
01:05:12.599 --> 01:05:15.519
if you're if you've been looking for an entry point

1311
01:05:15.360 --> 01:05:17.719
at Starbucks and one may be coming up here.

1312
01:05:17.800 --> 01:05:19.519
He's doing a good job, even working from home.

1313
01:05:19.880 --> 01:05:22.599
Yeah, isn't that funny? And we laughed about that. How

1314
01:05:22.800 --> 01:05:25.719
the headquarters is in Seattle. He lives in Huntington Beach

1315
01:05:25.800 --> 01:05:30.400
and probably lives pretty well in Huntington Beach. Why would

1316
01:05:30.400 --> 01:05:30.920
you break that?

1317
01:05:31.079 --> 01:05:33.280
I think also what you can make a case for

1318
01:05:33.440 --> 01:05:36.480
is look at the Chinese stock market and plot that

1319
01:05:36.559 --> 01:05:40.440
over Starbucks. It's a little bit of a correlation.

1320
01:05:40.559 --> 01:05:43.320
That's a very good because China would keep forgetting that

1321
01:05:43.400 --> 01:05:45.480
China is their number one market. And one of my

1322
01:05:45.559 --> 01:05:47.760
concerns with Nichols when he came on board is he

1323
01:05:47.800 --> 01:05:52.280
doesn't really have any experience in China. Chipotle's not in China.

1324
01:05:52.400 --> 01:05:55.119
Right, But China's kind of been the op like it's

1325
01:05:55.159 --> 01:05:58.039
come out, like you said, the green shoots. So it's

1326
01:05:58.079 --> 01:06:02.079
helped his numbers in the first couple of quarters. It's

1327
01:06:02.199 --> 01:06:04.280
coming off of what was really bad in China, right,

1328
01:06:04.719 --> 01:06:07.519
it could be driving the growth of that. We're starting

1329
01:06:07.519 --> 01:06:08.360
to see in the company.

1330
01:06:08.440 --> 01:06:10.159
I can't remember what they did, but they changed the

1331
01:06:10.199 --> 01:06:13.840
franchising in China. Do you recall, I don't the way

1332
01:06:13.840 --> 01:06:16.199
that you open a franchise or open up in Starbucks.

1333
01:06:16.280 --> 01:06:17.039
I'll look into.

1334
01:06:17.159 --> 01:06:19.400
Remember they were they were opening like one every nine hours.

1335
01:06:19.400 --> 01:06:20.920
I'll do some housekeeping the next week.

1336
01:06:20.960 --> 01:06:22.079
It was insane what they were doing.

1337
01:06:22.119 --> 01:06:23.159
What about Oda this week?

1338
01:06:23.840 --> 01:06:24.320
Go forward?

1339
01:06:24.679 --> 01:06:26.480
I guy just want to talk about go ahead. And

1340
01:06:26.480 --> 01:06:31.119
you brought great earnings, ok, reported justice earnings of seventy

1341
01:06:31.159 --> 01:06:36.079
eight cents per share. Just really good earnings or really

1342
01:06:36.159 --> 01:06:39.960
good outlook going forward for the company. And so they

1343
01:06:40.079 --> 01:06:44.199
do what do they do? They're a duo authentication method.

1344
01:06:44.320 --> 01:06:44.880
I like that.

1345
01:06:45.119 --> 01:06:45.800
Yeah, I like it.

1346
01:06:45.880 --> 01:06:48.079
So whenever we log into our computers here at Greenberg

1347
01:06:48.119 --> 01:06:49.960
Financial in the morning, I have to get a message

1348
01:06:49.960 --> 01:06:52.599
here to my phone or a link and it'll give

1349
01:06:52.639 --> 01:06:54.519
me a code. It'll give me a Dean has its

1350
01:06:54.559 --> 01:06:56.519
setup that you just push a button and it opens

1351
01:06:56.599 --> 01:06:57.679
up your systems.

1352
01:06:57.840 --> 01:06:59.519
You know. The people like the code you get when

1353
01:06:59.559 --> 01:07:02.000
you get from the text message. That's what two factor

1354
01:07:02.000 --> 01:07:04.719
authentication is, people. That's that's what OAKEA does. It's a

1355
01:07:04.800 --> 01:07:09.559
very simple thing. You'd be surprised, but apparently they're one

1356
01:07:09.559 --> 01:07:10.480
of the few companies that are.

1357
01:07:10.559 --> 01:07:11.840
They're one of the big Google.

1358
01:07:12.039 --> 01:07:15.159
Google has one of the authentication app Oaked has the

1359
01:07:15.199 --> 01:07:17.440
authentication app, and that's pretty much it Google.

1360
01:07:17.480 --> 01:07:20.000
For their authentication, you have to have the Google Mail app.

1361
01:07:20.000 --> 01:07:21.400
You have to go into it and say yes, this

1362
01:07:21.480 --> 01:07:23.199
is me. So for Oak that they just text you

1363
01:07:23.679 --> 01:07:26.039
full disclosure. We had a bunch of Oak to shares

1364
01:07:26.320 --> 01:07:28.559
and then with this pop we did sell. We took

1365
01:07:28.599 --> 01:07:31.199
our profit and ran in a sense, but it still

1366
01:07:31.199 --> 01:07:32.679
has a good outlook. But we were thinking it was

1367
01:07:32.719 --> 01:07:34.639
time for us to get out. We missed an opportunity

1368
01:07:34.679 --> 01:07:36.320
last year on a POP, so we decided to get

1369
01:07:36.320 --> 01:07:39.519
out now have everybody out and then raise some cash

1370
01:07:39.599 --> 01:07:41.800
and have other opportunities. But we still think it's a

1371
01:07:41.840 --> 01:07:42.840
good company.

1372
01:07:42.480 --> 01:07:45.639
And were technically classified as cybersecurity.

1373
01:07:44.960 --> 01:07:46.760
Right, yeah, it is. It's a it's the it's in

1374
01:07:46.800 --> 01:07:47.960
the cybers.

1375
01:07:47.920 --> 01:07:50.039
C I b R in a world where you have

1376
01:07:50.119 --> 01:07:52.639
to prove your digital identity more and more so.

1377
01:07:52.920 --> 01:07:56.360
It's increasing from just looking at is this a bike?

1378
01:07:56.599 --> 01:07:59.199
Is this a bike? Yes, I'm a human. It's more comfort.

1379
01:07:59.199 --> 01:08:00.480
It's getting better that.

1380
01:08:00.519 --> 01:08:02.920
And I get it seems like, I'm on a number

1381
01:08:02.920 --> 01:08:05.760
of different sites that are password protected and I keep

1382
01:08:05.800 --> 01:08:09.280
getting notices. Would you like to do duel you know,

1383
01:08:09.559 --> 01:08:13.199
authentic confecnication? No, no, I don't even like this.

1384
01:08:14.400 --> 01:08:15.719
Well maybe if you did Oak, they would have had

1385
01:08:15.719 --> 01:08:16.399
to even better earn.

1386
01:08:17.079 --> 01:08:20.239
Another company that did not have a good week was Netflix.

1387
01:08:20.479 --> 01:08:23.319
Netflix had been done doing really really well, got close

1388
01:08:23.399 --> 01:08:25.640
to it, I think the one thousand dollars level. Yeah,

1389
01:08:25.640 --> 01:08:27.760
I got afove it above a thousand. Yeah, but it's

1390
01:08:27.760 --> 01:08:28.800
really been selling.

1391
01:08:28.560 --> 01:08:29.439
Like three days ago.

1392
01:08:30.600 --> 01:08:32.199
That wasn't that long ago recent?

1393
01:08:32.560 --> 01:08:32.800
Yes?

1394
01:08:33.039 --> 01:08:34.000
Oh yeah, I mean.

1395
01:08:34.119 --> 01:08:35.960
All time high just like a week ago.

1396
01:08:36.520 --> 01:08:39.399
Oh no, that all time high was February tenth of

1397
01:08:39.880 --> 01:08:42.159
the all time high. Really, yeah, but it was above

1398
01:08:42.159 --> 01:08:44.680
a thousand. Just I mean it lost a lot this week.

1399
01:08:44.720 --> 01:08:47.520
I mean, if I this week, it lost ninety points.

1400
01:08:47.880 --> 01:08:50.479
So yeah, what do we finish that this week for Netflix?

1401
01:08:50.560 --> 01:08:51.239
Eight ninety one?

1402
01:08:51.920 --> 01:08:54.000
It dropped eighteen percent last two weeks. Wow.

1403
01:08:54.119 --> 01:08:56.960
Yeah, And the analyst if you look at the news,

1404
01:08:57.359 --> 01:08:59.880
there's differing opinions, which means no one really knows it

1405
01:09:00.039 --> 01:09:02.840
probably just more profit taking. They had run up really

1406
01:09:02.880 --> 01:09:05.800
heavily off their last earnings report. Everyone loved to hear

1407
01:09:05.880 --> 01:09:09.640
that they're increasing subscriptions, subscribers and things like that.

1408
01:09:09.560 --> 01:09:11.640
Really expanding into Mexico. And I think that that's good

1409
01:09:11.720 --> 01:09:13.199
for them. I'd be a buyer.

1410
01:09:13.239 --> 01:09:13.560
Okay.

1411
01:09:13.720 --> 01:09:16.399
I did see an analysts report that that the this

1412
01:09:16.520 --> 01:09:20.239
analyst thought that the subscriber boom that's been taking place

1413
01:09:20.319 --> 01:09:24.079
because of that password, them cracking down on the passwords.

1414
01:09:24.079 --> 01:09:25.880
I had to go get my own account. I used

1415
01:09:25.880 --> 01:09:26.680
to use my parents.

1416
01:09:27.000 --> 01:09:30.520
Okay, yeah, yeah, they cracking down the passwords just coming

1417
01:09:30.520 --> 01:09:33.279
to an end. And not the cracking down the passwords,

1418
01:09:33.319 --> 01:09:34.760
but the.

1419
01:09:34.239 --> 01:09:35.920
Amount of people like you who need to get a

1420
01:09:35.920 --> 01:09:36.800
new account.

1421
01:09:36.720 --> 01:09:40.720
Got a new explosion they experienced as a result of

1422
01:09:40.760 --> 01:09:43.880
that password cracking down is coming to and that's this

1423
01:09:43.920 --> 01:09:46.920
particular analyst thought that, So that may have something to do.

1424
01:09:47.079 --> 01:09:50.880
I had a Friday afternoon. I noticed Lily was down

1425
01:09:51.000 --> 01:09:54.640
five percent on Friday and Hymn's was up five percent.

1426
01:09:55.279 --> 01:09:57.560
They could find any news. Do you see any news?

1427
01:09:57.640 --> 01:09:59.800
Nova was down like three percent, But on Thursday they're

1428
01:09:59.840 --> 01:10:01.600
up about five and a half percent because they said

1429
01:10:01.600 --> 01:10:04.000
that they're going to cost their they're going to lower

1430
01:10:04.039 --> 01:10:07.000
their costs on their drug about fifty percent or something.

1431
01:10:07.000 --> 01:10:07.319
Crazy.

1432
01:10:07.479 --> 01:10:08.720
No they did the same thing Lily did.

1433
01:10:08.800 --> 01:10:09.159
Yeah, they did.

1434
01:10:09.159 --> 01:10:10.479
They went online.

1435
01:10:10.680 --> 01:10:12.199
Yeah, I'm not sure what happened on.

1436
01:10:12.319 --> 01:10:14.800
If you get online and do a subscriber thing with Novo,

1437
01:10:15.079 --> 01:10:17.560
it's the same thing. There will go v in their Ozambic.

1438
01:10:18.119 --> 01:10:21.319
They they are fifty half price, and it makes you wonder,

1439
01:10:21.560 --> 01:10:23.439
you know. And what Lily says, well, we're trying to

1440
01:10:23.439 --> 01:10:25.199
get it in the hands of more people, and I'm thinking,

1441
01:10:25.319 --> 01:10:27.920
how about trying to sell any you know? Is that

1442
01:10:27.960 --> 01:10:30.520
what's going on here is that it is has the

1443
01:10:30.640 --> 01:10:36.359
demand been weak enough? I'm not weak enough. Has the

1444
01:10:36.359 --> 01:10:39.720
demand been disappointing enough that you're having to lower the

1445
01:10:39.760 --> 01:10:43.279
price by half. That's a big price cut. Why would

1446
01:10:43.319 --> 01:10:47.239
you lower the price by half under any circumstance, Because

1447
01:10:47.279 --> 01:10:51.479
you're doing your thing for humanity, really, Lily, you're going

1448
01:10:51.520 --> 01:10:54.319
to do something for humanity. I mean, I appreciate the drugs,

1449
01:10:54.800 --> 01:10:55.079
you know, and.

1450
01:10:56.560 --> 01:10:57.880
I don't know that the drugs are the best for

1451
01:10:58.000 --> 01:10:59.119
society or humanity.

1452
01:10:59.319 --> 01:11:02.479
No. I mean, I'm here forty years post open heart surgery,

1453
01:11:02.520 --> 01:11:05.640
so uh, you know, I Big farmers kept me alive,

1454
01:11:05.760 --> 01:11:08.279
So I've got nothing but love for big pharma.

1455
01:11:08.319 --> 01:11:09.680
Big surgery kept you alive.

1456
01:11:09.800 --> 01:11:12.560
I had big surgery. Yeah too, but Big farmerstince then

1457
01:11:12.960 --> 01:11:16.640
because I've got you know when you have a jeans

1458
01:11:16.680 --> 01:11:19.840
that when you have bad jeans, Big Farmer can help

1459
01:11:19.880 --> 01:11:21.520
you keep those bad jeans at bay.

1460
01:11:21.760 --> 01:11:24.399
Whatever it was, just your Coca Cola. Let's be the die.

1461
01:11:24.680 --> 01:11:25.840
That's what's that's what's been.

1462
01:11:26.680 --> 01:11:28.840
A lot of coke can live to be very old.

1463
01:11:29.119 --> 01:11:30.079
I've heardless of what.

1464
01:11:30.399 --> 01:11:33.319
I've heard a spokesman for Coke, don't don't.

1465
01:11:33.760 --> 01:11:35.920
And I suppose the five million steps a year helps

1466
01:11:35.920 --> 01:11:41.640
to Maybe probably that's just so much. Just take I

1467
01:11:41.640 --> 01:11:43.640
would have been okay anyway. Anyway, we're coming to the

1468
01:11:43.720 --> 01:11:45.800
end of this segment. We appreciate you taking time out

1469
01:11:45.840 --> 01:11:47.439
to join us once again. If you haven't gotten that

1470
01:11:47.439 --> 01:11:50.319
free financial plan, give us a call. We're still doing

1471
01:11:50.319 --> 01:11:52.079
them or doing them by the bunches. We'd love to

1472
01:11:52.079 --> 01:11:52.520
see you.

1473
01:11:52.600 --> 01:11:54.319
Welcome back to the Money Matter Show. My name is

1474
01:11:54.319 --> 01:11:56.960
Sebastian Borersen him here with David Sherwood, Dylan Greenberg and

1475
01:11:57.000 --> 01:11:57.800
Todd click Junior.

1476
01:11:57.880 --> 01:11:59.760
Here in the office. We talk a lot about energy

1477
01:11:59.800 --> 01:12:02.640
dreams because Sebastian loves them, love them, and so does

1478
01:12:02.640 --> 01:12:07.399
Celsius loves might love more than I do. It's true. Yeah,

1479
01:12:07.560 --> 01:12:12.119
Dean and Sebastian love energy drinks. Sebastian, one of your favorites, Celsius.

1480
01:12:12.560 --> 01:12:15.119
It's been a a couple of fun weeks for.

1481
01:12:15.159 --> 01:12:19.520
Them, Huh, been killing it. They're going up just because

1482
01:12:19.560 --> 01:12:23.239
they acquired this new company called Elani New, and they

1483
01:12:23.319 --> 01:12:27.920
are Elani New that you could compare them to Celsius

1484
01:12:27.920 --> 01:12:29.840
about two to three years ago. Celsius two to three

1485
01:12:29.880 --> 01:12:33.920
years ago. They had ambassadors at colleges D one athletes

1486
01:12:34.119 --> 01:12:38.840
pitching their drinks. Elani New is now that same energy

1487
01:12:38.920 --> 01:12:41.960
drink that Celsius was about two to three years ago. Yes,

1488
01:12:42.640 --> 01:12:46.960
Celsius's market share has been declining, but upon this acquisition

1489
01:12:47.039 --> 01:12:50.239
of the company, I think it's a really good play

1490
01:12:50.279 --> 01:12:50.600
for them.

1491
01:12:50.800 --> 01:12:52.079
Oh, you and I talked about it, and I thought

1492
01:12:52.079 --> 01:12:54.079
it was a yawn, But it's really has not been

1493
01:12:54.119 --> 01:12:57.039
a yon I think. But you said something about about

1494
01:12:57.399 --> 01:12:58.239
females being.

1495
01:12:58.159 --> 01:13:01.960
Dressed drink Elani Knew. I mean, I personally won't probably

1496
01:13:01.960 --> 01:13:05.760
be walking around with the energy drink just because whatever.

1497
01:13:05.800 --> 01:13:09.000
It's pink, it's it's market early, it's girly, it's marketed

1498
01:13:09.079 --> 01:13:12.479
towards women, it is right, and they love it, especially

1499
01:13:12.520 --> 01:13:15.479
in the younger demographic in college and people that are

1500
01:13:15.520 --> 01:13:18.399
in gyms. If whenever I go to the gym LA fitness,

1501
01:13:18.520 --> 01:13:20.920
all I see girls holding Now it's not the Bang

1502
01:13:21.039 --> 01:13:23.439
energy drinks or the Rain energy drinks. It's a Lani

1503
01:13:23.520 --> 01:13:24.560
new energy drink.

1504
01:13:24.600 --> 01:13:26.159
Whatever it is, how do you fell?

1505
01:13:26.439 --> 01:13:27.199
I've never tasted it.

1506
01:13:27.239 --> 01:13:34.720
Actually, I think a l A n I and you Okay.

1507
01:13:34.840 --> 01:13:37.560
My problem with these energy drinks is there's always there's

1508
01:13:37.560 --> 01:13:39.399
always a new There's always a new one. Three years later,

1509
01:13:39.399 --> 01:13:40.199
there's always a new one.

1510
01:13:40.399 --> 01:13:43.680
Yeah right. I'm more looking at this as a trade

1511
01:13:43.760 --> 01:13:45.560
rather than a long term investors.

1512
01:13:45.800 --> 01:13:49.039
Stick with die Coke. You know, that's my energy drink.

1513
01:13:49.399 --> 01:13:50.000
I don't know anything.

1514
01:13:50.039 --> 01:13:50.199
You know.

1515
01:13:50.319 --> 01:13:53.119
A Intel was in the news again. Uh you know.

1516
01:13:53.199 --> 01:13:56.880
Nantel has quietly risen fourteen percent this year, up more

1517
01:13:56.920 --> 01:14:00.880
than two percent on Monday after Reuters said that Nvidia

1518
01:14:01.279 --> 01:14:05.920
and Broadcom are running tests with Intel in Nvidian Broadcom.

1519
01:14:06.279 --> 01:14:09.520
The test signal that both companies are heading closer to

1520
01:14:09.560 --> 01:14:13.680
committing hundreds of millions of dollars with a manufacturing contracts

1521
01:14:13.680 --> 01:14:17.039
at Intel. Remember we talked last week about the foundry

1522
01:14:17.720 --> 01:14:21.119
in Phoenix and most For those of you who don't know,

1523
01:14:21.439 --> 01:14:27.039
a foundry is a facility that actually manufactures the chips.

1524
01:14:27.600 --> 01:14:33.359
Taiwan Semi is a big foundry. Nvidia is a brain

1525
01:14:33.439 --> 01:14:40.640
trust that comes up with these spectacular designs for cutting

1526
01:14:40.760 --> 01:14:43.920
edge chips, but they have to be produced by someone

1527
01:14:44.159 --> 01:14:49.520
who has a foundry. It may be that Intel's future

1528
01:14:50.399 --> 01:14:55.399
is manufacturing products for others. I mean, maybe that's their future.

1529
01:14:56.079 --> 01:14:57.640
They can't seem to get out of their own way.

1530
01:14:58.760 --> 01:15:00.760
Well, wasn't that the plan for the boundary up there.

1531
01:15:01.239 --> 01:15:04.600
I certainly they're the plan was to get business from

1532
01:15:04.640 --> 01:15:08.119
others for the foundry, but I'm certain that that part

1533
01:15:08.159 --> 01:15:11.399
of the plan was to manufacture their own right, and

1534
01:15:11.760 --> 01:15:14.000
their own is really not Nobody wants.

1535
01:15:13.840 --> 01:15:14.680
Them that important.

1536
01:15:14.760 --> 01:15:18.159
IBM jump five percent on Friday, back up to it's

1537
01:15:18.199 --> 01:15:21.119
close to its all time high. That stock has just

1538
01:15:21.119 --> 01:15:25.000
continue to gain on the AI sector as well as

1539
01:15:25.079 --> 01:15:27.640
just It has something called Watson X which a lot

1540
01:15:27.720 --> 01:15:32.680
of businesses use to help with really just practical business applications.

1541
01:15:33.199 --> 01:15:35.640
I mean, imagine you have a supply chain in China

1542
01:15:36.079 --> 01:15:38.800
and it's getting routed to France and you need to

1543
01:15:38.800 --> 01:15:41.279
find a more efficient route. AI can run all those

1544
01:15:41.319 --> 01:15:44.119
different simulations of oh, use this company instead of this company,

1545
01:15:44.239 --> 01:15:45.760
or use this route instead of that route, and they'll

1546
01:15:45.760 --> 01:15:47.960
save you this x amount of dollars. And so there's

1547
01:15:48.319 --> 01:15:50.880
those commercials that you see on IBM on that kind

1548
01:15:50.880 --> 01:15:53.159
of are very vague and like just come see us,

1549
01:15:53.199 --> 01:15:55.640
we can help you. That's what they do. They business

1550
01:15:55.680 --> 01:15:57.880
have these problems and problems they don't even know they have,

1551
01:15:58.239 --> 01:16:02.000
and AI and before that their supercomputer was able to

1552
01:16:02.039 --> 01:16:06.199
help them find efficient ways to cost I.

1553
01:16:06.119 --> 01:16:08.199
Was watching the History Channel the other night on the

1554
01:16:08.239 --> 01:16:10.399
on the history of grocery stores, and it was quite

1555
01:16:10.399 --> 01:16:13.680
fascinating how they started off and how it was such

1556
01:16:13.720 --> 01:16:18.199
a such a bizarre idea for shoppers to go in

1557
01:16:18.239 --> 01:16:21.199
and select their own groceries. You gave a list to

1558
01:16:21.239 --> 01:16:23.199
someone and they would go get the groceries for you.

1559
01:16:23.680 --> 01:16:27.600
And then and the Kroger pioneered, okay, go ahead, go

1560
01:16:27.600 --> 01:16:30.800
ahead and get them yourself. And then they were like, no, well,

1561
01:16:30.880 --> 01:16:33.279
what what are you doing here? It was just such

1562
01:16:33.279 --> 01:16:37.600
a such an anyway, long story short, grocery store changed,

1563
01:16:37.640 --> 01:16:41.319
whether whether it be Safeway or Kroger's or or NP

1564
01:16:41.600 --> 01:16:46.640
or whatever, we're really doing well. The business was expanding dramatically.

1565
01:16:47.000 --> 01:16:49.600
The problem they had is is there was a bottleneck

1566
01:16:49.640 --> 01:16:52.520
at the checkout counter. Every one of them had the

1567
01:16:52.520 --> 01:16:55.920
same problem, a bottleneck at the checkout counter because it

1568
01:16:56.039 --> 01:16:58.600
was you ringing one at a time, ringing it all up.

1569
01:16:58.880 --> 01:17:02.439
So they all got to get other and invited companies

1570
01:17:02.479 --> 01:17:09.960
in to pitch a solution to this logjam. And interestingly,

1571
01:17:10.119 --> 01:17:13.640
the solution as we know today was the QR code

1572
01:17:13.720 --> 01:17:17.319
or the what did they call it on a barco debarco,

1573
01:17:17.399 --> 01:17:21.239
thank you, the barcode, which was IBM. IBM invented the barcode,

1574
01:17:21.680 --> 01:17:21.840
you know.

1575
01:17:21.880 --> 01:17:24.359
Speaking to IBM and A the inventions, we've been wondering

1576
01:17:24.399 --> 01:17:28.239
how they were. IBM was dormant for years, yes, and

1577
01:17:28.279 --> 01:17:30.920
then I read a story the other day about how

1578
01:17:31.199 --> 01:17:33.119
they've gotten back to where they were and how they've

1579
01:17:33.239 --> 01:17:35.880
expand their stock has just been killing it the last

1580
01:17:35.920 --> 01:17:38.439
five years or so. Their new CEO that took over

1581
01:17:38.560 --> 01:17:41.960
about probably five years ago, he's from within. He worked

1582
01:17:41.960 --> 01:17:45.800
at IBM for thirty years. He took over and he

1583
01:17:46.239 --> 01:17:49.680
kickstarted innovation again at IBM. The story was saying that

1584
01:17:49.760 --> 01:17:53.920
IBM has become had become so complacent where the employees

1585
01:17:53.960 --> 01:17:56.479
just didn't want to mess up. They didn't want to exactly.

1586
01:17:56.520 --> 01:17:58.359
It's it's similar to Intel. Intel I can get a

1587
01:17:58.359 --> 01:18:02.800
new CEO that invites innovation and not they were. The

1588
01:18:02.840 --> 01:18:05.520
employees were scared to do something to mess up, they

1589
01:18:05.520 --> 01:18:08.039
would get fired. So the CEO comes in and he says,

1590
01:18:08.880 --> 01:18:11.279
act work every day like you're gonna get fired. And

1591
01:18:11.319 --> 01:18:15.640
his idea behind that was innovate, mess up. It's okay

1592
01:18:15.680 --> 01:18:17.760
if you mess up. We're taking an approach where if

1593
01:18:17.800 --> 01:18:20.439
your team has something that fails that's new that we're

1594
01:18:20.439 --> 01:18:22.920
looking into, trying to do that's new, but it doesn't

1595
01:18:22.960 --> 01:18:25.560
work out, it's not one person's fault. It's no fault.

1596
01:18:25.800 --> 01:18:28.199
We're just moving on to something new and he now

1597
01:18:28.239 --> 01:18:31.399
and then he also put it to the teams. They

1598
01:18:31.399 --> 01:18:34.039
get up to five hundred thousand dollars on project managers

1599
01:18:34.039 --> 01:18:36.760
to mess with without having to go up to upper management.

1600
01:18:37.439 --> 01:18:41.439
So then they can just do more things, innovate more experience,

1601
01:18:41.840 --> 01:18:44.000
get out there and try and that's what kickstarted this

1602
01:18:44.520 --> 01:18:46.560
huge stock run in the last three years.

1603
01:18:46.720 --> 01:18:48.479
That may be what's going on in Threem as.

1604
01:18:48.399 --> 01:18:52.359
Well, or maybe so if Intel starts going off again,

1605
01:18:52.640 --> 01:18:53.560
maybe that's why too.

1606
01:18:53.920 --> 01:18:58.960
Yeah, IBM is really good at tracking people that they

1607
01:18:59.000 --> 01:18:59.960
have a long history.

1608
01:19:00.840 --> 01:19:03.680
So you were thinking somehow that's related to the barcode.

1609
01:19:03.760 --> 01:19:05.119
Yeah, just reminded me of it.

1610
01:19:05.239 --> 01:19:06.880
Okay, Yeah, I was fascinated.

1611
01:19:06.920 --> 01:19:08.439
They want to elaborate a little bit.

1612
01:19:09.800 --> 01:19:12.399
The same story. Interesting this is I find this fascinating

1613
01:19:12.439 --> 01:19:16.279
because I'm easily fascinated. The guy that invented the first

1614
01:19:16.600 --> 01:19:23.079
really creamy peanut butter, uh right, was a partnered with Swift,

1615
01:19:23.640 --> 01:19:28.600
which was a meatpacking company, to distribute it, and they

1616
01:19:28.840 --> 01:19:31.039
they had a funny name for it, but it ultimately

1617
01:19:31.039 --> 01:19:36.880
became Peter Pan. Anyway, they had a contractual dispute, the

1618
01:19:36.920 --> 01:19:40.199
company and the guy that invented Peter Pan. Uh. And

1619
01:19:40.399 --> 01:19:42.520
the guy that invented Peter Pan said the heck with you,

1620
01:19:42.680 --> 01:19:45.119
I am out of here, and he decided to go

1621
01:19:46.079 --> 01:19:48.119
get his own peanut butter. And guess what he came

1622
01:19:48.199 --> 01:19:49.960
up with in addition to coming up with Peter Pan

1623
01:19:50.479 --> 01:19:54.399
was skippy. Yeah, the same guy invented both. The same

1624
01:19:54.399 --> 01:19:56.319
guy invented both. That's pretty cool.

1625
01:19:57.039 --> 01:19:58.560
I mean, what do you do just change one gred here?

1626
01:19:58.640 --> 01:20:00.800
I mean, come on, well you have yeah, yeah, yeah,

1627
01:20:00.840 --> 01:20:02.560
probably have to have a little bit more than that.

1628
01:20:02.680 --> 01:20:04.880
Yeah, it were the patent rules, right, Yeah.

1629
01:20:04.720 --> 01:20:06.439
I think there, Yeah, they were. It was patented. And

1630
01:20:07.079 --> 01:20:09.199
and then of course Procter Gamble decides to get into

1631
01:20:09.199 --> 01:20:11.159
the game and they come up with they come up

1632
01:20:11.159 --> 01:20:14.520
with their peanut butter. So it's a It became a

1633
01:20:14.600 --> 01:20:16.560
pretty big business. I thought it was interesting. The guy

1634
01:20:16.600 --> 01:20:19.119
that that developed Peter Pan also developed.

1635
01:20:18.760 --> 01:20:21.439
The history of products and the industries and businesses.

1636
01:20:21.720 --> 01:20:26.079
You know. In nineteen thirty three, PEPSI was really really

1637
01:20:26.119 --> 01:20:29.720
struggling under a lawsuit from Coca Cola, and they offered

1638
01:20:29.720 --> 01:20:33.600
to sell Coca Cola the entire company for fifty thousand dollars.

1639
01:20:33.920 --> 01:20:37.159
Yeah, wow, we'll go. And Cols got a very interesting

1640
01:20:37.199 --> 01:20:39.199
story of how it got created. It was like, literally,

1641
01:20:39.439 --> 01:20:41.439
I believe a doctor and he was like trying to

1642
01:20:41.479 --> 01:20:43.920
find these different recipes and started selling them all the

1643
01:20:43.960 --> 01:20:47.159
back of his truck. And then you know, it's really fascinating.

1644
01:20:47.520 --> 01:20:50.840
Mario Mario bros. Yeah, he's a real person that rented

1645
01:20:50.840 --> 01:20:53.159
the warehouse to Nintendo back in the day. That's nah,

1646
01:20:53.520 --> 01:20:54.760
the character Mario.

1647
01:20:55.119 --> 01:21:00.279
Seriously, holy cow, holy kah. We had a bunch of

1648
01:21:00.279 --> 01:21:02.760
earnings reports this week. Just a couple of highlights of

1649
01:21:03.399 --> 01:21:06.079
Abercrombie and Fitch. That's one that we just could not

1650
01:21:06.279 --> 01:21:09.479
understand what had happened there. That stock had rallied eight

1651
01:21:09.760 --> 01:21:14.680
hundred percent in eighteen months ending in December of last year,

1652
01:21:15.079 --> 01:21:16.560
eight hundred percent.

1653
01:21:17.159 --> 01:21:18.960
So I told you why that was happening though, Well

1654
01:21:19.039 --> 01:21:22.079
you did. Yeah, they reinvented their whole way. They grew

1655
01:21:22.159 --> 01:21:24.199
up with the people that the group buying their stuff

1656
01:21:24.239 --> 01:21:27.279
twelve years ago. But it's still eight I mean it's huge,

1657
01:21:27.279 --> 01:21:28.319
but that's a big reason.

1658
01:21:28.680 --> 01:21:31.960
Well sens it has fallen by fifty percent, and it

1659
01:21:32.079 --> 01:21:37.640
opened sixteen percent lower Wednesday after the dreaded week guidance,

1660
01:21:37.960 --> 01:21:41.600
and we saw weak guidance from CrowdStrike. I saw weak

1661
01:21:41.640 --> 01:21:45.920
guidance from Box. I saw the aero Vironment. Do you

1662
01:21:45.960 --> 01:21:47.319
know them Steabaska?

1663
01:21:47.439 --> 01:21:47.720
You like.

1664
01:21:49.239 --> 01:21:53.640
It's an unmanned aircraft maker unmanned aircraft Yeah, I don't

1665
01:21:53.680 --> 01:21:59.159
think so, that's Tom You know aero Vironment. This is crazy,

1666
01:21:59.199 --> 01:22:01.199
down fifteen percent send in the last twelve months, down

1667
01:22:01.199 --> 01:22:03.720
twenty two percent of the open On Wednesday, the firm

1668
01:22:03.800 --> 01:22:08.600
reported weaker than expected for your guidance. Stock rebounded and

1669
01:22:08.600 --> 01:22:12.079
close pretty much flat that day, And I'm thinking, apparently

1670
01:22:12.119 --> 01:22:16.319
there are more people interested in pilot less airplanes than me. Yeah,

1671
01:22:16.600 --> 01:22:20.439
I'm really not interested in pilotless airplanes on any level.

1672
01:22:20.560 --> 01:22:23.840
No, definitely not. What would you say, Ambercrombie was up

1673
01:22:23.880 --> 01:22:24.840
eight hundred percent and how.

1674
01:22:24.800 --> 01:22:26.439
Long eighteen months?

1675
01:22:26.560 --> 01:22:27.159
Eighteen months?

1676
01:22:27.239 --> 01:22:31.600
Have you heard of Sea Limited Limited? Yeah? Se Se

1677
01:22:31.680 --> 01:22:33.640
is up one hundred and thirty percent over the last year,

1678
01:22:34.279 --> 01:22:36.279
like twenty nine percent year to date. This is a

1679
01:22:36.279 --> 01:22:38.319
company that's basically PayPal for Asia.

1680
01:22:39.920 --> 01:22:43.920
PayPal for Asia. Okay, is it publicly traded here?

1681
01:22:44.159 --> 01:22:46.720
It is publicly traded. It's on the New York Stock Exchange.

1682
01:22:47.479 --> 01:22:50.239
They just reported earnings came right in line with the

1683
01:22:50.279 --> 01:22:54.239
expectations on March fourth, and they continue to increase their

1684
01:22:54.279 --> 01:22:57.359
net margin and their revenue figures quarter over quarter, last

1685
01:22:57.359 --> 01:22:59.159
five quarters in a row. Actually, they've been increasing their

1686
01:22:59.159 --> 01:23:02.800
revenue figures and their net margins. So very interesting company.

1687
01:23:02.920 --> 01:23:05.960
Something you should be aware about is they have a

1688
01:23:06.000 --> 01:23:08.680
really really high price to earnings ratio because they just

1689
01:23:08.720 --> 01:23:12.000
started to have earnings just a while ago. So as

1690
01:23:12.039 --> 01:23:14.199
they have that problem of having an e Now what's

1691
01:23:14.239 --> 01:23:18.720
the number, but well, the trailing was always higher. The

1692
01:23:18.720 --> 01:23:21.640
ford's only like fifty six, but the trailings one hundred

1693
01:23:21.640 --> 01:23:22.119
and eighty six.

1694
01:23:22.760 --> 01:23:24.680
Yeah, we've talked before about it. If you have no E,

1695
01:23:25.279 --> 01:23:27.359
it's hard to value you what you are. But if

1696
01:23:27.359 --> 01:23:29.520
you start having an E, then you're going to have

1697
01:23:29.600 --> 01:23:30.239
a pe.

1698
01:23:31.079 --> 01:23:32.960
The thing that's really interesting about this stock because this

1699
01:23:32.960 --> 01:23:36.319
stock went up to all back back in twenty twenty

1700
01:23:36.399 --> 01:23:39.199
one when you have that crazy throw at dart everything works.

1701
01:23:39.239 --> 01:23:41.199
It went up to three hundred and seventy dollars per

1702
01:23:41.279 --> 01:23:43.560
share and it's currently at one hundred and thirty five.

1703
01:23:43.680 --> 01:23:45.760
It went down all the way to about like thirty

1704
01:23:45.840 --> 01:23:48.920
nine dollars per share from three seventy, so it had

1705
01:23:49.039 --> 01:23:52.119
quite a rundown and it's starting to get some legs

1706
01:23:52.119 --> 01:23:53.399
back over the last couple of years.

1707
01:23:53.439 --> 01:23:57.359
Some of it drops over the last month in stock,

1708
01:23:58.279 --> 01:23:59.439
there's just a.

1709
01:23:59.359 --> 01:24:01.720
Whole pint is a way to say, yeah, I mean.

1710
01:24:01.920 --> 01:24:04.000
Worse than that, even Todd. There's a bunch of stocks

1711
01:24:04.039 --> 01:24:07.079
down fifty percent. And we'll be back with the final

1712
01:24:07.159 --> 01:24:10.159
segment of the Money Matter Show. Thanks again for joining

1713
01:24:10.319 --> 01:24:11.560
us on this Sunday morning.

1714
01:24:12.000 --> 01:24:14.720
Welcome back to the final segment of the Money Matter Show.

1715
01:24:14.760 --> 01:24:16.640
We had a busy show this week with a lot

1716
01:24:16.680 --> 01:24:19.520
of stuff going on, you know, with all the uncertainty

1717
01:24:19.560 --> 01:24:21.439
with the Trump tariffs. We don't know when it's going

1718
01:24:21.520 --> 01:24:23.279
to go and acted what's gonna happen with it, But

1719
01:24:23.279 --> 01:24:25.359
we're trying to navigate the markets. It's kind of a

1720
01:24:25.439 --> 01:24:28.600
roller coaster right now. And with that, I mean, that's

1721
01:24:28.600 --> 01:24:30.800
why we do the financial plan. We didn't have a

1722
01:24:30.840 --> 01:24:32.880
lot of people, a lot of our clients didn't call us.

1723
01:24:34.000 --> 01:24:36.640
There's a hundred percent song ever, yeah, yeah, one hundred

1724
01:24:36.640 --> 01:24:38.079
percent free financial plan.

1725
01:24:38.000 --> 01:24:40.239
Hundred percent free. We like to help people with it.

1726
01:24:40.279 --> 01:24:42.359
We like to educate people during it, and it helps

1727
01:24:43.439 --> 01:24:46.000
sleep better at night in a sense. They don't call

1728
01:24:46.079 --> 01:24:48.079
when the markets are as valatile as they are right

1729
01:24:48.119 --> 01:24:51.000
now because we take the extensive time to go through

1730
01:24:51.039 --> 01:24:53.880
their plan, talk about how we'll invest it, make sure

1731
01:24:53.880 --> 01:24:57.159
they understand what they'll be invested in, and understand the

1732
01:24:57.239 --> 01:24:58.880
risk talks. That's the biggest thing we talked about in

1733
01:24:58.880 --> 01:25:01.880
the first hour of the show. Tolerance. It's the most

1734
01:25:01.920 --> 01:25:04.760
important thing when you're investing, because then if your risk

1735
01:25:04.800 --> 01:25:07.319
tolerance is very low yet you're all in stocks right

1736
01:25:07.439 --> 01:25:10.960
this last week, you wouldn't be sleeping very well. But

1737
01:25:11.000 --> 01:25:12.840
if you're very low risk tolerance and you're in a

1738
01:25:12.880 --> 01:25:14.279
lot of bonds, you would have been fine because that's

1739
01:25:14.279 --> 01:25:15.600
how you know. So that's what we want to do

1740
01:25:15.640 --> 01:25:19.000
before we get to invest in your account. We want

1741
01:25:19.039 --> 01:25:20.880
to make sure we know we're on the same page

1742
01:25:20.880 --> 01:25:22.760
your risk tolerance on what you're comfortable with investing. And

1743
01:25:22.800 --> 01:25:25.439
we do do the own money management here along with

1744
01:25:25.479 --> 01:25:28.720
the financial plan and work. In a sense, we're a

1745
01:25:28.760 --> 01:25:33.560
small family office. Family offices are usually for billionaires and

1746
01:25:33.600 --> 01:25:36.159
all those families that just work with one family, they

1747
01:25:36.199 --> 01:25:38.319
do everything. They got their state planning, they got their

1748
01:25:38.479 --> 01:25:41.279
charitable giving, they got their financial planning, they got all

1749
01:25:41.279 --> 01:25:45.159
their other entrepreneurial ideas that go through that office. We

1750
01:25:45.279 --> 01:25:46.760
like to do that. We like to bring an aspect

1751
01:25:46.800 --> 01:25:49.720
of that to our clients, multiple clients. We do that

1752
01:25:49.760 --> 01:25:52.239
through our financial plan and our money management, but then

1753
01:25:52.239 --> 01:25:54.560
we also team up with Edward Law Firm to do

1754
01:25:54.600 --> 01:25:57.119
a state plan and he Jonathan Sabilia, works out of

1755
01:25:57.119 --> 01:25:59.119
our office. I know you've heard him on the radio

1756
01:25:59.159 --> 01:26:02.560
show before. He has this radio show sometimes on Saturdays.

1757
01:26:02.800 --> 01:26:05.520
We also work with Johnson and Johnson Taxi Group over

1758
01:26:05.600 --> 01:26:08.800
on Oracle and we try to bring a one stop

1759
01:26:08.880 --> 01:26:12.000
shop idea to our clients because we feel that It

1760
01:26:12.000 --> 01:26:15.399
makes it easier, makes more efficient. You don't have to

1761
01:26:15.399 --> 01:26:17.680
go around town trying to find somebody else. You can

1762
01:26:17.720 --> 01:26:19.479
call us. We can get you set up with other people.

1763
01:26:19.479 --> 01:26:20.920
We have Q and a group who we work with

1764
01:26:20.920 --> 01:26:23.560
which it comes to Medicare, we have all these different

1765
01:26:23.880 --> 01:26:27.520
outlets that are available to you and we try to

1766
01:26:27.560 --> 01:26:31.079
provide a family office for any investor size doesn't have

1767
01:26:31.119 --> 01:26:32.239
to be ultra wealthy.

1768
01:26:32.760 --> 01:26:35.159
Yeah, we have a lot of resources and it ultimately

1769
01:26:35.199 --> 01:26:38.119
that's why we started doing financial plans because we realize

1770
01:26:38.159 --> 01:26:40.439
clients don't just want help with their money management, they

1771
01:26:40.439 --> 01:26:43.600
want helps with their entire financial life all the decisions

1772
01:26:43.640 --> 01:26:45.479
that come along with it. And when we do the

1773
01:26:45.520 --> 01:26:48.359
financial plan, it's really interesting of all the different questions

1774
01:26:48.359 --> 01:26:50.760
and concerns that pop up, and sometimes even the client

1775
01:26:50.800 --> 01:26:53.640
didn't even know they had. As Dylan says, we have

1776
01:26:53.760 --> 01:26:55.920
Medicare specialists. A lot of times people don't know that

1777
01:26:55.920 --> 01:26:59.279
there's a difference between Medicare advantage and Medicare supplement. What's

1778
01:26:59.279 --> 01:27:01.840
the pro and con What do I need? Yeah, we

1779
01:27:01.880 --> 01:27:04.039
can talk vaguely about it, but we would rather you

1780
01:27:04.119 --> 01:27:06.600
speak with an actual specialist who does this every single day.

1781
01:27:06.600 --> 01:27:09.159
And we have those resources. Same with the tax side.

1782
01:27:09.159 --> 01:27:12.119
Obviously we can help with talking about strategies, looking at

1783
01:27:12.199 --> 01:27:14.840
estimations on what we could say from roth conversions and

1784
01:27:14.880 --> 01:27:17.279
things like that from a cash flow perspective, but then

1785
01:27:17.319 --> 01:27:20.319
we have to look work with an expert to make

1786
01:27:20.359 --> 01:27:22.840
sure that everything is looking good. Same with the estate

1787
01:27:22.840 --> 01:27:26.279
planning side. We know how to transfer assets most efficiently,

1788
01:27:26.319 --> 01:27:28.680
but we need to have an attorney actually put it

1789
01:27:28.720 --> 01:27:31.439
in law right and he is the one that actually

1790
01:27:31.439 --> 01:27:33.000
puts the recommendations at the end of the day. So

1791
01:27:33.159 --> 01:27:35.560
we have all these different resources. One that I really

1792
01:27:35.800 --> 01:27:39.119
am proud that we've developed over the last i'd say

1793
01:27:39.479 --> 01:27:42.880
year or so is our phillent tropic side of our business,

1794
01:27:42.960 --> 01:27:46.720
because people don't really understand all the tax advantages and

1795
01:27:46.760 --> 01:27:49.359
strategies you can do when you start gifting and when

1796
01:27:49.399 --> 01:27:53.199
people reach this distribution or gifting phase, if you're not

1797
01:27:53.479 --> 01:27:57.000
in that ultra high net worth client tele circle, you

1798
01:27:57.119 --> 01:28:00.159
are not going to get privy to the type of

1799
01:28:00.239 --> 01:28:04.119
strategies and things like donor advise funds, endowments. What are

1800
01:28:04.159 --> 01:28:06.800
the differences between the two? What are all the deductions

1801
01:28:06.800 --> 01:28:09.039
that you can take against your adjusted gross income from

1802
01:28:09.319 --> 01:28:13.159
these type of contributions? Qcds, which are qualified charitable distributions

1803
01:28:13.159 --> 01:28:16.079
out of your iras. And also some people don't even

1804
01:28:16.119 --> 01:28:18.279
know simple things like what is a step up and basis.

1805
01:28:18.479 --> 01:28:21.039
There's a lot of things from a tax advantage standpoint

1806
01:28:21.199 --> 01:28:23.520
that you can play games with by taking from this

1807
01:28:23.560 --> 01:28:26.439
account rather than this account while giving, and it helps

1808
01:28:26.439 --> 01:28:28.479
you while living as well, not just the end of

1809
01:28:28.520 --> 01:28:31.760
the plan. So you know, I just took the Trusted

1810
01:28:31.800 --> 01:28:36.079
Charitable Advising certification and we work with the Jewish Community

1811
01:28:36.079 --> 01:28:39.439
Foundation that helps vet organizations for our clients. If they

1812
01:28:39.680 --> 01:28:42.840
are trying to look for an organization that you know

1813
01:28:42.960 --> 01:28:46.600
helps with homeless or or helps with people going through

1814
01:28:46.640 --> 01:28:49.880
domestic violence, they'll make sure that that organization is doing

1815
01:28:49.960 --> 01:28:51.600
what they say with the money. If you want to

1816
01:28:51.600 --> 01:28:54.319
put a grant together, we'll help you find where to

1817
01:28:54.359 --> 01:28:57.880
fund that grant and then ultimately the Community Foundation helps

1818
01:28:57.920 --> 01:29:00.079
make sure that the grant is followed and things like that.

1819
01:29:00.199 --> 01:29:04.000
So with all the different complexities of financial life, our

1820
01:29:04.079 --> 01:29:05.680
job is to make it simple and take care of

1821
01:29:05.680 --> 01:29:07.279
it for you. What I always like to tell people

1822
01:29:07.359 --> 01:29:10.640
is where your CFO. You're the CEO, you make decisions.

1823
01:29:10.680 --> 01:29:13.720
We give you advice on where the business is going

1824
01:29:13.720 --> 01:29:15.399
and where we think you should take it, but ultimately

1825
01:29:15.399 --> 01:29:17.720
it's your decision and we tell you how to execute

1826
01:29:17.720 --> 01:29:18.479
it most efficiently.

1827
01:29:18.600 --> 01:29:21.720
Yeah. And that charitable foundation, the Jewish Charitable Foundation. You

1828
01:29:21.760 --> 01:29:23.239
don't have to be Jewish too.

1829
01:29:23.439 --> 01:29:25.800
Yeah, it doesn't have any leanings towards Yeah.

1830
01:29:25.640 --> 01:29:27.640
It's just that's what's the name of it. But anybody

1831
01:29:27.640 --> 01:29:29.600
can invest with them. And it's a great thing to

1832
01:29:29.600 --> 01:29:31.039
do if you don't know exactly what you want to

1833
01:29:31.079 --> 01:29:33.479
donate to, but you want to know you want to

1834
01:29:33.520 --> 01:29:35.840
donate something. It gives you time and it gives you

1835
01:29:35.920 --> 01:29:36.520
breathing room.

1836
01:29:36.720 --> 01:29:39.000
I can speak honestly about the financial plans because I'm

1837
01:29:39.039 --> 01:29:42.920
not involved with them. You guys do them, and I'm

1838
01:29:43.000 --> 01:29:45.199
always amazed, and I've said it in a few of them.

1839
01:29:45.359 --> 01:29:48.319
I'm always amazed at what peace of mind people get

1840
01:29:48.439 --> 01:29:50.920
from the financial plan. But I think the thing that

1841
01:29:51.039 --> 01:29:54.960
amazes me the most is the level of sophistication. I've

1842
01:29:54.960 --> 01:29:57.239
been in this business a long time seeing a lot

1843
01:29:57.279 --> 01:30:01.720
of financial plans. The level of sophistication that's provided for

1844
01:30:01.800 --> 01:30:05.800
something that's totally free is ridiculous. It's ridiculous.

1845
01:30:05.800 --> 01:30:07.479
I think there's a lot of detail in the plan

1846
01:30:07.520 --> 01:30:10.079
and That's why a lot of clients feel comfortable once

1847
01:30:10.119 --> 01:30:12.680
they eventually do sign up as to be a client.

1848
01:30:13.079 --> 01:30:15.119
We've gone through all the steps and all the details,

1849
01:30:15.159 --> 01:30:17.079
and all the questions and all the scenarios that they

1850
01:30:17.119 --> 01:30:19.800
might have. Whether social Security might get cut, I know

1851
01:30:19.840 --> 01:30:23.680
that's a big one. All the time inflation stays higher

1852
01:30:23.720 --> 01:30:26.039
than they expect, all those different scenarios, we can show

1853
01:30:26.039 --> 01:30:28.680
how it can impact your plan in real time and

1854
01:30:29.039 --> 01:30:32.199
see if it even matters to your overall plan and

1855
01:30:32.239 --> 01:30:34.640
put your questions the rest with answers that make it

1856
01:30:34.680 --> 01:30:35.399
feel comfortable.

1857
01:30:35.560 --> 01:30:37.840
Yeah, sometimes people have concerns and then we've run it

1858
01:30:37.880 --> 01:30:40.199
through the plan and they realize it was never never

1859
01:30:40.199 --> 01:30:42.199
been a concern in the first place. But you can

1860
01:30:42.239 --> 01:30:44.399
make something feel so big and so stressful in your

1861
01:30:44.399 --> 01:30:46.479
head if you don't actually go through the plan and

1862
01:30:46.520 --> 01:30:47.439
realize it right.

1863
01:30:47.439 --> 01:30:49.279
And I think the ability for the software and the

1864
01:30:49.279 --> 01:30:51.640
financial plan to be able to visualize it for you,

1865
01:30:52.279 --> 01:30:54.680
being able to sit in and see how your accounts

1866
01:30:54.720 --> 01:30:58.840
can perform over these next thirty years thousand different trials.

1867
01:30:58.840 --> 01:31:03.479
We could look inside numbers again, the visualization aspect of

1868
01:31:03.520 --> 01:31:03.840
it is.

1869
01:31:03.960 --> 01:31:05.920
Yeah, clients like seeing the plan. I mean at the

1870
01:31:06.000 --> 01:31:08.079
end of the day, if you're working with some advisor

1871
01:31:08.159 --> 01:31:10.359
that's doing the financial plan behind a computer or even

1872
01:31:10.399 --> 01:31:13.399
on their on their little notebook or something, it you're

1873
01:31:13.439 --> 01:31:15.279
just talking in the air, or they give you a

1874
01:31:15.279 --> 01:31:18.800
big illustration that has all these numbers and the book book,

1875
01:31:19.039 --> 01:31:20.600
I don't know even know how to digest it.

1876
01:31:20.600 --> 01:31:23.319
And not to mention the fact that a lot of

1877
01:31:23.319 --> 01:31:25.399
those times that financial plan that you come up with

1878
01:31:25.600 --> 01:31:28.479
for maybe at a different firm is stagnant right ours

1879
01:31:28.560 --> 01:31:30.840
is not. It's very dynamic. So if you become a

1880
01:31:30.880 --> 01:31:32.840
client and you need to purchase a car in about

1881
01:31:32.840 --> 01:31:35.119
three years, we want to hear about that. We want

1882
01:31:35.119 --> 01:31:36.920
to put it into the plan and see the most

1883
01:31:36.960 --> 01:31:39.640
cost efficient way for the plan, the course of the plan,

1884
01:31:39.720 --> 01:31:41.000
and how it's going to affect the plan.

1885
01:31:41.159 --> 01:31:43.159
I think it's amazing because you've got you've got the

1886
01:31:43.199 --> 01:31:45.520
tools where say, okay, if you live to be eighty five,

1887
01:31:45.640 --> 01:31:48.279
here's the scenario. Now, if you live to be ninety,

1888
01:31:48.319 --> 01:31:50.680
here's the scenario. If you live to be ninety five,

1889
01:31:50.720 --> 01:31:52.479
here's because none of us know.

1890
01:31:52.960 --> 01:31:54.880
Yeah, we could play a lot of what if scenarios,

1891
01:31:55.159 --> 01:31:57.560
which which is really nice. And when you come in

1892
01:31:57.600 --> 01:31:59.800
for the first initial meeting, we create your financial plan

1893
01:31:59.840 --> 01:32:02.399
right there, but that's not really the plan that we're

1894
01:32:02.399 --> 01:32:04.960
going to end up implementing because in the second meeting,

1895
01:32:05.000 --> 01:32:06.880
based on how you answer the risk tolerance that we

1896
01:32:06.960 --> 01:32:09.600
send you, that's when we come back with proposal, and

1897
01:32:09.640 --> 01:32:12.439
that's going to have your recommendation suggestions based off the

1898
01:32:12.439 --> 01:32:14.600
original plan that you created. Even if you didn't have

1899
01:32:14.640 --> 01:32:16.600
a plan, we just create a plan from what you

1900
01:32:16.680 --> 01:32:19.039
currently have then with the risk and then we create

1901
01:32:19.119 --> 01:32:21.359
a plan on top of that of what our recommendations

1902
01:32:21.439 --> 01:32:24.720
are in that and so that's that's how the process works.

1903
01:32:24.920 --> 01:32:26.680
There is homework the.

1904
01:32:26.680 --> 01:32:27.800
Risk tolerance question here.

1905
01:32:27.840 --> 01:32:29.840
No, no, no, no, there's homework before the meeting.

1906
01:32:29.880 --> 01:32:32.640
Oh well yes, I mean we send you, we send

1907
01:32:32.640 --> 01:32:34.159
you an email and you have to get a list

1908
01:32:34.199 --> 01:32:36.039
of all this stuff. I mean, account statements, if you

1909
01:32:36.039 --> 01:32:38.239
have insurance policies. You got to know how much you're making,

1910
01:32:38.279 --> 01:32:40.680
if you're still working when you want to retire, what

1911
01:32:40.720 --> 01:32:43.600
your current expenses are. One of the hardest ones.

1912
01:32:43.880 --> 01:32:45.640
Say that's our favorite one, the expense figure.

1913
01:32:45.720 --> 01:32:47.600
Right, it's a hard one. That's a hard one.

1914
01:32:47.640 --> 01:32:49.520
Most people don't know what Most people will say they're

1915
01:32:49.560 --> 01:32:52.039
making ten thousand and you know, they'll tell me how

1916
01:32:52.039 --> 01:32:53.680
I'm spending six thousand, and what I love to do

1917
01:32:53.720 --> 01:32:56.720
is say, okay, so where's the four thousand going? And

1918
01:32:56.439 --> 01:32:59.840
they usually have not a good answer for it, so

1919
01:33:00.399 --> 01:33:02.640
they realize that they're spending more than that six thousand.

1920
01:33:02.680 --> 01:33:05.239
So always do that first. Don't try to add up

1921
01:33:05.239 --> 01:33:07.600
your expenses. That's one of my pet pee's When people

1922
01:33:07.600 --> 01:33:09.039
try to do their budget, you're always going to miss

1923
01:33:09.039 --> 01:33:11.479
something if you try to add them up. Work backwards,

1924
01:33:11.560 --> 01:33:14.000
what's coming in the door, what's left afterwards?

1925
01:33:14.319 --> 01:33:15.760
Yeah, And I think the other thing that I like

1926
01:33:15.800 --> 01:33:19.319
about it is a different market scenarios. If we have

1927
01:33:19.359 --> 01:33:22.079
a two thousand and eight type meltdown, here's what your

1928
01:33:22.079 --> 01:33:25.319
allocation can look like. If we have a rally, Here's

1929
01:33:25.319 --> 01:33:27.880
what if intertrates rise, Here's what's gonna look like. Yeah,

1930
01:33:28.000 --> 01:33:29.439
if we have a stock market rally.

1931
01:33:30.239 --> 01:33:32.119
And for the people that are worried about social security cut,

1932
01:33:32.159 --> 01:33:33.760
if you really want to run the scenario, we can

1933
01:33:33.800 --> 01:33:36.720
do it for you. But it's an unrealistic fear. I mean,

1934
01:33:36.760 --> 01:33:39.319
there is no legislat I had another client coming this week.

1935
01:33:39.680 --> 01:33:41.720
They're trying to work on cutting solid security. They're not

1936
01:33:41.760 --> 01:33:44.880
working on it. There is no even words on legislative

1937
01:33:44.880 --> 01:33:46.560
paper even trying to be proposed to get.

1938
01:33:46.479 --> 01:33:48.439
That can down the road as long as possible, because

1939
01:33:48.439 --> 01:33:50.600
no politician wants to be the one to actually have

1940
01:33:50.720 --> 01:33:51.640
solid security cut.

1941
01:33:51.720 --> 01:33:55.039
It's closer taxes removed from sold security, not removing.

1942
01:33:55.039 --> 01:33:57.800
So especially reminder of people with our money. Okay, it's

1943
01:33:57.800 --> 01:34:00.880
our money. It's not an entitle a program is our money.

1944
01:34:00.960 --> 01:34:03.039
And we have guns, and we have a lot of guns.

1945
01:34:03.039 --> 01:34:05.800
We way more guns than the government anyway. But you're right,

1946
01:34:05.840 --> 01:34:09.680
I'm hearing that same thing whenever people get concerned. You know,

1947
01:34:09.760 --> 01:34:13.159
the half of the population is concerned about by Trump,

1948
01:34:13.279 --> 01:34:15.760
you know, by Musk and what's going on. So, oh,

1949
01:34:15.760 --> 01:34:18.119
they're gonna cut my Social Security. They're gonna take away

1950
01:34:18.159 --> 01:34:21.319
my retirement account. Oh, the government's gonna come and confiscate

1951
01:34:21.359 --> 01:34:22.119
your retirement account.

1952
01:34:22.159 --> 01:34:22.359
Huh.

1953
01:34:22.359 --> 01:34:25.680
I've been hearing that. I've been hearing that for forty years, ton, Yeah,

1954
01:34:25.840 --> 01:34:28.760
I'm gonna that for forty years. They're gonna cut my

1955
01:34:28.760 --> 01:34:31.880
Social Security. No they're not. They're trying to find ways

1956
01:34:31.880 --> 01:34:34.720
to save it. What they might do is extend the

1957
01:34:34.760 --> 01:34:38.359
amount of time before you can get benefits.

1958
01:34:37.880 --> 01:34:40.760
If anything. Right now, you should be rooting on because

1959
01:34:40.800 --> 01:34:43.800
they might get taxes removed from Social Security and that

1960
01:34:43.920 --> 01:34:45.199
just means more money in your pocket.

1961
01:34:45.199 --> 01:34:49.039
And didn't didn't that not taxing social Security past the House?

1962
01:34:49.520 --> 01:34:51.279
And I do believe it passed.

1963
01:34:51.640 --> 01:34:53.560
I don't know what. And I went to Google this

1964
01:34:53.640 --> 01:34:55.319
last night and I couldn't get it to come up.

1965
01:34:55.359 --> 01:34:58.520
They kept showing me other things. What the total Social

1966
01:34:58.520 --> 01:35:01.600
Security benefits paid per year are in the United States.

1967
01:35:01.680 --> 01:35:04.439
I don't know what that is, but it's probably as

1968
01:35:04.520 --> 01:35:06.520
hundreds of billions, I would think.

1969
01:35:07.079 --> 01:35:08.720
I think if I did the I think it's like

1970
01:35:08.760 --> 01:35:09.600
five hundred billion.

1971
01:35:09.920 --> 01:35:12.199
If it's five hundred billion, okay, so that five hundred

1972
01:35:12.199 --> 01:35:15.640
billion is taxed as regular income. So you're going to

1973
01:35:16.279 --> 01:35:20.479
in a country that's going down the toilet financially, stop

1974
01:35:20.920 --> 01:35:24.560
receiving that tax base. Oh that makes that makes so

1975
01:35:24.640 --> 01:35:29.520
much sense As a Social Security recipient, I'm all in.

1976
01:35:29.560 --> 01:35:30.439
But it's the stupidest thing.

1977
01:35:30.640 --> 01:35:33.279
Twenty twenty five, the Soil Security Administration is projected distribute

1978
01:35:33.279 --> 01:35:35.560
approximately one point six trillion dollars in benefit.

1979
01:35:35.720 --> 01:35:38.880
One point six trillion. Let's let's not pay tax on that. Anyway.

1980
01:35:39.119 --> 01:35:41.640
We're coming to the end of another money matter show.

1981
01:35:41.960 --> 01:35:44.199
We appreciate you taking time out of your business schedule

1982
01:35:44.239 --> 01:35:46.960
to join us. We love having an audience because if

1983
01:35:46.960 --> 01:35:48.399
we didn't have an audience to be kind of stupid,

1984
01:35:48.479 --> 01:35:51.479
right anyway, We want to be happy, and we all

1985
01:35:51.479 --> 01:35:53.079
want to be healthy, because if we're not healthy, we're

1986
01:35:53.079 --> 01:35:53.880
probably not happy.

1987
01:35:54.159 --> 01:35:55.199
And a Greenberg financial

1988
01:35:55.359 --> 01:35:58.760
Or re trying to be is profitable set