SP500 Hits A New All Time High Again!

WEBVTT100:00:00.160 --> 00:00:03.520Good morning everybody. It's that timeonce again, Sunday morning, eight o'clock.200:00:03.600 --> 00:00:08.919It's Money Matters with Dean Greenberg.I appreciate you listening. I appreciate300:00:08.960 --> 00:00:14.199you asking questions. I appreciate youdoing business with us. I am just400:00:14.320 --> 00:00:19.519happy that I run into a lotof people that actually have heard us either500:00:19.559 --> 00:00:25.640here, TV, podcast, youname it, and they like the information.600:00:25.879 --> 00:00:31.079It's helping them. It's helping alot of people. And lately it's700:00:31.120 --> 00:00:35.119been pretty hot. It's good.You know, We've been hitting the markets800:00:35.159 --> 00:00:42.679pretty good right now. And I'mtelling you it's a very interesting time because900:00:42.719 --> 00:00:47.079I'm going to talk about both sideshere of the markets, because you know,1000:00:47.200 --> 00:00:49.520you got to be confused. Youhear these people come on and they1100:00:49.520 --> 00:00:54.320say, oh, this market overvalued, overvalue, can't go any higher,1200:00:55.240 --> 00:00:57.479and it falls a little bit.Next thing, you know, a rocket1300:00:57.640 --> 00:01:03.759ships up. That's a saying,oh, this market can keep going,1400:01:03.920 --> 00:01:07.519going going, and this is whyeconomy is great. This is great.1500:01:07.560 --> 00:01:14.120That's great. You know, soyou really have to say, where are1600:01:14.159 --> 00:01:21.719we what's going on? Because themarkets aren't doing great. What's doing great1700:01:22.959 --> 00:01:27.719are the technology stocks that are involvedwith AI. They are moving the markets1800:01:27.799 --> 00:01:37.640once again in the video has turnedinto the dolling and the momentum mover of1900:01:37.719 --> 00:01:42.400the markets as goes the video,as goes the markets. Now, that2000:01:42.519 --> 00:01:49.239used to be IBM. Well beforethat, it was GM and the autos2100:01:49.400 --> 00:01:55.319and the industrials nifty to fifty inthe fifties, and then as we came2200:01:55.319 --> 00:02:00.400out, we started getting into itIBM. In the in the seventies and2300:02:00.480 --> 00:02:06.280eighties and even nineties, it wasall about IBM. IBM was the bell2400:02:06.359 --> 00:02:09.520Weather curve, bell Weather stock,and as we moved in, it started2500:02:09.520 --> 00:02:15.719becoming technology stocks, and it startedto them be Apple and Microsoft, and2600:02:15.800 --> 00:02:19.159those were the earnings that drove themarkets. And we've been on this tech2700:02:19.240 --> 00:02:27.879boom ever since. Now I'm notsaying Apple isn't still influential or Microsoft especially2800:02:28.120 --> 00:02:32.800too, but guess what in navideo isn't that sweet spot right now?2900:02:34.759 --> 00:02:38.800And it's hard to hold on whenthe stock has gone up. I mean3000:02:38.840 --> 00:02:42.120it was twenty two December twenty two, it was in the one twenty range3100:02:43.199 --> 00:02:47.639and now it's touching eight hundred dollars, So it's hard to say, oh3200:02:47.680 --> 00:02:52.319wow, I can buy this thing. But you know, if you think3300:02:52.360 --> 00:02:55.960about it, if you believed init. It did fall from seven forty3400:02:57.039 --> 00:02:59.919or something down to the six tosixty level before they came out with her.3500:03:00.360 --> 00:03:05.879And then the earnings came out andthey blew everyone away. They knew3600:03:05.919 --> 00:03:07.599they were going to be good,but no one expected it to be boom3700:03:07.599 --> 00:03:13.400boom boom right down. Being greatlifted the entire market up and lifted the3800:03:13.400 --> 00:03:22.919whole tex up. Those those techstocks like Amazon and and Meta and Microsoft3900:03:23.560 --> 00:03:28.520and the video all ran. Thevideo ran up one hundred and ten points,4000:03:28.840 --> 00:03:35.479one hundred and ten points. That'samazing in one day. But then4100:03:35.520 --> 00:03:40.240you have super micro Computers, whicha lot of you don't know SMCI on4200:03:40.280 --> 00:03:47.840that news for the second time itran two hundred and fifty points. You4300:03:47.919 --> 00:03:51.199have to scratch your hand to go, wait a second, this is a4400:03:51.240 --> 00:03:57.280little ridiculous. Well then on Friday, after Thursday's big move up, you4500:03:57.360 --> 00:04:00.599saw super micro fall over one hundredpoints one down about one hundred and fifty.4600:04:01.400 --> 00:04:05.240But the video is still went up. So it tells you quality is4700:04:05.280 --> 00:04:08.400where you have to keep your money. The rest of it's a gamble.4800:04:08.960 --> 00:04:12.560The rest of it's a quick trade. It's a gamble. But the good4900:04:12.599 --> 00:04:16.600companies, the Video, Microsoft,Amazon. I still like Apple. You5000:04:16.600 --> 00:04:19.759can't say you don't like Apple.I know it might be a little stodgy5100:04:20.240 --> 00:04:28.560now Meta. These are the AIbig giants that are gonna keep moving up,5200:04:28.600 --> 00:04:31.399and you look for opportunities on pullbacks. You keep a core position.5300:04:31.839 --> 00:04:34.800They rally sell some. If youdon't want to buy them individually, that's5400:04:34.839 --> 00:04:41.240okay, buy them in the inthe in the ETFs that hold them.5500:04:41.560 --> 00:04:43.720That's why you have to tell someindexes on them, like the S and5600:04:43.759 --> 00:04:46.639P or the qqqs they also havethem. But remember, when they do5700:04:46.680 --> 00:04:50.879get knocked down, you're gonna gethurt. So you have to know what5800:04:50.879 --> 00:04:55.759you're doing and how to do it. But that's what's making the market move.5900:04:57.399 --> 00:05:01.959The rest of the market is stilllagging, albeit not badly. Okay,6000:05:02.000 --> 00:05:04.240but just give you an idea.The S and P five hundred,6100:05:04.519 --> 00:05:09.879which these big cap stocks actually moved. The S and P is up about6200:05:09.879 --> 00:05:14.959six percent six point seven percent forthe year. The equal weighted S and6300:05:15.000 --> 00:05:17.519P, which also has these inbut they're all equal weighted, Some don't,6400:05:17.519 --> 00:05:21.480some can't move it more than theothers. That's up two point seven6500:05:21.519 --> 00:05:27.439percent, So it's lagging by fourpercent and the Navstack's up six point six6600:05:29.199 --> 00:05:32.920the rest of the market the Wrestletwo thousands only up is down to half6700:05:32.959 --> 00:05:38.680a percent, and the Dow's onlyup three point eight percent now three point6800:05:38.680 --> 00:05:42.680eight percent, two point seven percent. Those are good reasonable numbers for two6900:05:42.759 --> 00:05:49.920months into the year. They're sustainable. But how far and how far will7000:05:49.959 --> 00:05:55.079these other companies go on evaluation basis? The S and P is at twenty7100:05:55.120 --> 00:06:00.759one twenty two on a pe basisprice earnings Rachel and the high but doesn't7200:06:00.759 --> 00:06:08.639mean it can't go higher. TheVideo, which is going through the ceiling,7300:06:08.680 --> 00:06:14.480still has a lower price earnings ratiothan some of the other stocks that7400:06:14.560 --> 00:06:20.360are also moving higher because their blowoutearnings are incredible, because they're the ones7500:06:20.399 --> 00:06:25.600with the with the chip that everyoneneeds for AI. Does that mean it's7600:06:25.680 --> 00:06:30.120sustainable to go higher? I don'tknow. I trimmed some. This is7700:06:30.160 --> 00:06:35.040a trimming party, not a sellingparty. It's a hedging party, not7800:06:35.120 --> 00:06:40.199a selling party. You trim backsome of the positions that ran. I7900:06:40.199 --> 00:06:43.199mean, you know, you hadthe Video in your portfolio might have been8000:06:43.199 --> 00:06:46.399five percent, now it's sixteen totwenty portfolio. You gotta be smart and8100:06:46.439 --> 00:06:53.439say I gotta take it down toat least ten percent, right, doesn't8200:06:53.480 --> 00:06:58.360that make sense? Allocations a lot? Now you say, well where else8300:06:58.399 --> 00:07:01.160would I go? Well, gonnago into other companies that are gonna be8400:07:01.199 --> 00:07:04.759high fliers like this, because they'vealready all run. So if you want8500:07:04.759 --> 00:07:08.680to just keep cashing a money marketingearn five percent, you can do that8600:07:08.879 --> 00:07:13.279obviously and wait for throwing these thingsto come back down and dollar cost savage8700:07:13.319 --> 00:07:19.079in, or you can look someother places. Intel has not really moved8800:07:19.120 --> 00:07:24.040that much, but if you watchit, it's starting to creep high IBM.8900:07:24.439 --> 00:07:27.240Now, they're not gonna be stockslike this that are gonna move,9000:07:28.040 --> 00:07:31.800you know, hundreds of points.But be realistic, how often does that9100:07:31.920 --> 00:07:35.639happen? You know, you hadMETAP twenty, you thought that was good,9200:07:35.639 --> 00:07:39.639but if you had the videos upone hundred and ten, that bleue9300:07:39.720 --> 00:07:44.000the doors, that blew my mindwatching that go up? Now? Am9400:07:44.040 --> 00:07:46.079I happy? I have? Someof of course, but it makes me9500:07:46.160 --> 00:07:57.240nervous. But here's the thing.Valuations are too high, and markets getting9600:07:57.240 --> 00:08:05.839a little overextended. Debt is toohigh, immigration policies are horrible, everything's9700:08:05.879 --> 00:08:09.600horrible, and the markets keep goinghigher and I'm going to give you that9800:08:09.680 --> 00:08:15.560example after I tell you that GreenbergFinancial Group is both a registered investment advisory9900:08:15.800 --> 00:08:20.600and it broke a dealer. Obviouslythey sponsored the show. They talk about10000:08:20.600 --> 00:08:24.959different products, different strategy, differentideas, different things on the show.10100:08:24.120 --> 00:08:28.079Everything has risk. Understand everything hasrisk. There's nothing that they talk about10200:08:30.000 --> 00:08:33.080or anyone on the show talks aboutthat doesn't have some risk. And we10300:08:33.159 --> 00:08:37.799really want you to understand risks priorto investing. And even though you have10400:08:37.799 --> 00:08:39.960a stock that might go up onehundred or two undred points a day,10500:08:41.000 --> 00:08:45.879there's risk. Yes it's great riskbecause it's going higher, but now it's10600:08:45.879 --> 00:08:50.440too much of your portfolio and yougot to probably pull back a little bit.10700:08:52.399 --> 00:08:58.039Risk is important to understand your risk, is important to understand understanding the10800:08:58.960 --> 00:09:05.120idea in the market that things areallocated according to your ask tolerance. But10900:09:05.200 --> 00:09:11.000what most people don't talk about ismitigating risk. And we commit to mitigating11000:09:11.080 --> 00:09:16.399risk so I don't have to sellout and take tag these big tax gains.11100:09:16.440 --> 00:09:20.759Here, I know how to beable to mitigate my risk in the11200:09:20.759 --> 00:09:24.639overall market, mitigate risk on individualstock positions that have move too much.11300:09:24.879 --> 00:09:30.320If I don't want to sell thosepositions. Trimming a position is not bad,11400:09:31.120 --> 00:09:35.519but you know you still have toomuch allocation. Trimming mitigate your risk,11500:09:35.360 --> 00:09:43.159and it's very important to understand howyou mitigate risks. Very important.11600:09:43.120 --> 00:09:46.759So I told you I was goingto tell you the other side of the11700:09:46.799 --> 00:09:56.559coin. There's a story out thereright now that if you look at the11800:09:56.639 --> 00:10:01.320right things, you can say thatwe we have one more evolution going on,11900:10:01.919 --> 00:10:05.159especially in those of us that areover sixty in our lives, that12000:10:05.159 --> 00:10:09.919are going to change everything. Wesaw it in the eighties and the nineties12100:10:09.960 --> 00:10:13.919as computers came in. We sawthose those big computers. I mean we12200:10:15.039 --> 00:10:18.000used to have the punch cards incollege and the rooms were used just to12300:10:18.039 --> 00:10:24.320do incredible calculations. I mean youneeded a whole basement to put in computers12400:10:24.480 --> 00:10:30.759so people can you know, usethem up up for their calculations and their12500:10:30.879 --> 00:10:33.759projects that they were doing well.That moved and moved, and computers,12600:10:33.799 --> 00:10:39.519personal computers got smaller and smaller,faster and faster, until we were able12700:10:39.519 --> 00:10:43.279to do almost anything on the computer. And the internet. Those were the12800:10:43.320 --> 00:10:50.279two life changing movements that we endedup having, and from the late eighties12900:10:50.360 --> 00:10:54.399through the nineties, to the earlytwo thousands. Then as we started progressing13000:10:54.440 --> 00:10:58.679with the Internet and Google and thingswere getting faster and faster. That changed13100:10:58.679 --> 00:11:03.440everybody his life. And we hadthe social media that was sort of a13200:11:03.480 --> 00:11:11.919byproduct of everything going on. Whenwe got the smartphones. The smartphones was13300:11:11.960 --> 00:11:16.799another revolutionary change that we've gone throughfor the last I don't know, fifteen13400:11:16.879 --> 00:11:22.360years or so. Everything we hadto do on a huge computer in a13500:11:22.440 --> 00:11:28.200basement, we couldn't even do everythingwe do on a helthhold phones. So13600:11:28.279 --> 00:11:31.080people are addicted to now white lookingat their phone, scrolling through the facebooks13700:11:31.120 --> 00:11:39.799and scrolling through Instagram looking for stuff, messaging, texting. As a society,13800:11:39.840 --> 00:11:43.480we've changed. So what's the nextstep? I believe we were at13900:11:43.480 --> 00:11:50.000the doorsteps of AI. Now noneof us really understand AI, just like14000:11:50.039 --> 00:11:56.320I really didn't understand social media.I didn't really understand the smartphone. And14100:11:56.360 --> 00:12:01.559then you know, with computers,nobody understood what Google and the Internet and14200:12:01.559 --> 00:12:05.240all that thing really was going topan out to be. And today we14300:12:05.320 --> 00:12:11.799can't live without it, but it'smade the world closer. So AI.14400:12:11.919 --> 00:12:13.879When you think of AI, artificialintelligence, I mean you can think of14500:12:15.159 --> 00:12:18.879robots, you can think of manufacturing, you can think of healthcare. But14600:12:18.000 --> 00:12:22.600you know what we see sometimes is, you know, people just going on14700:12:22.639 --> 00:12:24.559the computer and they need some information. They go to AI and they get14800:12:24.559 --> 00:12:31.399a whole summary or book even orreport and they write it for you,14900:12:33.120 --> 00:12:39.120which is pretty amazing, but it'seasy information. But that's just the start15000:12:39.159 --> 00:12:41.279of it. Where you know,when you think of AI, a lot15100:12:41.279 --> 00:12:46.960of people just think of like visionpro and and and whatever they have on15200:12:46.000 --> 00:12:52.399the vquest from Meta and you know, so putting those big goggles on and15300:12:52.759 --> 00:12:56.600you're immensed in that in the wholething, in the whole experience of what's15400:12:56.639 --> 00:13:01.080going on. Well, now AIis going to be so much bigger,15500:13:01.159 --> 00:13:05.919so much better. We don't evenknow where it's gonna take us, but15600:13:05.039 --> 00:13:11.679it's changing the world. Maybe notfor the better, but it's gonna happen.15700:13:13.600 --> 00:13:18.000But they're gonna be able to doeverything for us. They're gonna make15800:13:18.080 --> 00:13:24.519us smarter because we have information outof fingertips. We're gonna entertainment world is15900:13:24.559 --> 00:13:30.039gonna be incredibly different. The waywe drive cars are gonna be incredibly different,16000:13:31.159 --> 00:13:35.639the way we watch TV, theway we do anything in our lives.16100:13:35.840 --> 00:13:39.080In the next five or ten yearsis gonna be incredibly different. Do16200:13:39.159 --> 00:13:43.200you remember when those big flat screensTVs were coming out twelve fifteen years ago?16300:13:43.960 --> 00:13:48.960Everybody wanted one, but only thepeople that can afford five or seven16400:13:48.039 --> 00:13:52.240thousand dollars could get like a fiftyinch fifty five inches. You wanted one16500:13:52.279 --> 00:13:56.360of the big ones, they werefifty grand. I ain't gonna eighty inch16600:13:56.600 --> 00:14:05.200beautiful great TV for three thousand dollars. There used to be like fifty seventy16700:14:05.200 --> 00:14:09.000five, sixty fifty and sixty inchTVs. They you can battle for five16800:14:09.039 --> 00:14:15.440six hundred bucks. Now the wholeidea is everything is changing. So if16900:14:15.480 --> 00:14:20.279you go with that idea, andthen we slipped this into it, history17000:14:20.360 --> 00:14:26.159repeating itself. Now this is ahigher level to look at, but history17100:14:26.240 --> 00:14:30.080repeating itself. Right, We hadthe pandemic over one hundred years ago,17200:14:30.120 --> 00:14:35.519correct, then you know we hadall the things that went better, and17300:14:35.519 --> 00:14:39.919then we had what in the twenties, We had the Roaring twenties until about17400:14:39.919 --> 00:14:45.080twenty nine. So could ai bethe start for the next three to five17500:14:45.159 --> 00:14:50.840years of the Roaring twenties for us? And it can? And even if17600:14:50.879 --> 00:14:54.960you look back at that time,the markets also fell. They didn't go17700:14:56.039 --> 00:15:00.519straight up, but when they wentup, they went massively aggressive to the17800:15:00.600 --> 00:15:05.840upside. Now, with so muchhigher, you're gonna have moves like we17900:15:05.000 --> 00:15:09.080have. But you have to besmart about it. You have to allocate18000:15:09.159 --> 00:15:11.240portfolios. You have to be ableto know that you're not going to sell18100:15:11.279 --> 00:15:16.679out if the markets go down.So maybe you're not in individual sicks,18200:15:16.720 --> 00:15:20.120maybe you're just in indexes. Butif you need income, your portfolio is18300:15:20.120 --> 00:15:24.519gonna look totally different. If you'retaking money out to live on, it's18400:15:24.519 --> 00:15:26.559gonna be totally different. If youhave mastered your wealth, it's gonna be18500:15:26.600 --> 00:15:31.759totally different. So if you sayI only with ten to twenty percent,18600:15:31.799 --> 00:15:35.240I want to be aggressed in myportfolio. That ten or twenty percent is18700:15:35.279 --> 00:15:41.840going to be used towards the AIevolution. But that can be up and18800:15:41.879 --> 00:15:46.120down and volatile and everything else.While the rest of your portfolio it's pretty18900:15:46.159 --> 00:15:50.480much balanced, meaning it's gonna ekeout that returns hopefully that you want.19000:15:52.240 --> 00:15:54.919Now we add this in with we'rein an election year. I don't think19100:15:54.919 --> 00:15:58.720we have a huge downturn. Imean, uh coming this year. I19200:15:58.720 --> 00:16:03.000think that turn downturn comes next year. I think there's a lot of political19300:16:04.559 --> 00:16:07.360fear out there. If you know, if you're on one side, if19400:16:07.360 --> 00:16:11.799Trump gets in, what's going tohappen? If if Biden or his substitute19500:16:11.840 --> 00:16:18.120gets in, what's going to happen? You know, and everyone split.19600:16:21.960 --> 00:16:29.279But it's amazing to me how manypeople believe both sides. Okay, but19700:16:29.320 --> 00:16:40.559the one thing I'm going to tellyou that I don't understand is how I19800:16:40.559 --> 00:16:49.080guess people are so skewed towards whateverinformation they're reading on social media or hearing19900:16:49.080 --> 00:17:00.440from TV or whatever. Because anyonetells me that the economy today is better20000:17:00.519 --> 00:17:03.759than where it was, doesn't understandwhat's happening. Yeah, the stock market's20100:17:03.799 --> 00:17:11.599higher. Understand it's AI that's movingthe stock market, But overall, keeping20200:17:11.680 --> 00:17:15.359up with inflation? Is the stockmarket higher? If we've averaged six percent20300:17:15.440 --> 00:17:22.359seven percent inflation? If the marketshaving average that, what's your real rate20400:17:22.400 --> 00:17:26.720of return? And then paying taxes, what's a real rate of return?20500:17:26.839 --> 00:17:32.119Sure, wages have gone up,but so is every single price. When20600:17:32.119 --> 00:17:36.960you go to the grocery store.There's not a person I know, middle20700:17:36.960 --> 00:17:38.920class, lower class, even upperclass that goes to the grocery store and20800:17:38.960 --> 00:17:42.880doesn't say, I can't believe howmuch it costs to buy this, this,20900:17:42.920 --> 00:17:48.960and this twenty twenty five percent higher. We haven't had that type of21000:17:48.960 --> 00:17:55.000inflation, but that's how much everything'sgone on. Wages are through the roof21100:17:55.039 --> 00:17:59.599and they're not coming back, they'reonly going higher. So AI is going21200:17:59.680 --> 00:18:04.839to help these companies be productive withouthaving to bring on more labor. But21300:18:04.920 --> 00:18:11.480I listen to the people's on theleft that tell me, well, Biden's21400:18:11.519 --> 00:18:18.319doing a great job. He's bringingdown inflation. I said he brought up21500:18:18.359 --> 00:18:21.880inflation, and they go, ohno, they inherited that from Trump.21600:18:22.160 --> 00:18:29.480Really, because the only way youcan match apples to apples is go before21700:18:29.519 --> 00:18:36.119the pandemic. Go to twenty eighteennineteen's economy versus today's economy and tell me21800:18:36.160 --> 00:18:40.880people don't feel richer in eighteen tonineteen than they do today, and that's21900:18:40.920 --> 00:18:47.240because inflation was under one percent.Inflation is the biggest killer you can have22000:18:48.039 --> 00:18:51.599to your income, to your growth, to what happened. Sure, are22100:18:51.599 --> 00:18:52.920your prices of your house go upand then you want another house. It's22200:18:52.960 --> 00:19:02.039the same thing. The only wayinflation helps is if you pass on and22300:19:02.200 --> 00:19:10.079everything gets gets put at the higherprices so your airs benefit. And that's22400:19:10.119 --> 00:19:14.680gonna change if we do not changethe tax code, if we don't make22500:19:14.720 --> 00:19:18.000the Trump taxes permanent. Wait tillyou see what it's gonna happen to with22600:19:18.039 --> 00:19:22.599state taxes. That's one of thereasons I've partnered up with the state Planners22700:19:22.680 --> 00:19:30.440and accountant CPAs their expertise is gonnahelp guide us through all this. But22800:19:30.519 --> 00:19:34.759I don't get it. I don'tunderstand how people can't be common sense.22900:19:37.400 --> 00:19:41.960I get it this whole boarder thingit's not gonna go through. And I23000:19:41.000 --> 00:19:45.880get it's political on both sides.I get why Trump says, wait,23100:19:45.240 --> 00:19:48.519I get why Biden wants to doit now, But I say, well,23200:19:48.519 --> 00:19:51.799why didn't Biden want to do itlast year? The year before.23300:19:52.680 --> 00:19:55.160Well, they didn't think there wasa crisis, right, they said in23400:19:55.160 --> 00:20:00.000those crisis is the same crisis wehad then that we have now. We23500:20:00.079 --> 00:20:04.799all have to understand and stop lyingto ourselves just because we're on one side23600:20:04.799 --> 00:20:08.960of the other. We don't needloyalty through and through, because, believe23700:20:10.039 --> 00:20:12.160me, in Washington, they ain'tloyal to one side of the other.23800:20:12.400 --> 00:20:19.000They're loyal to themselves. And it'snot the people of America. I ask23900:20:19.079 --> 00:20:22.359people all the time, why arewe in wars? Now? We weren't24000:20:22.359 --> 00:20:26.359in wars with Trump. Oh.Trump was the one that was scared everybody.24100:20:26.519 --> 00:20:30.440Okay, we weren't in wars.Oh he was gonna put us in24200:20:30.480 --> 00:20:36.279World War three? What are wein now? We didn't have Ukraine.24300:20:36.480 --> 00:20:40.319Well it's because he was buddies withRussia. Well we didn't have Israel and24400:20:40.880 --> 00:20:47.680all going on it. You forgetthat Trump got peace, the Abraham Accord24500:20:47.839 --> 00:20:53.640was in the Middle East. It'sderangement in my mind that people can't understand24600:20:53.640 --> 00:21:00.440and be honest about what's good andwhat's bad. Biden could be great president24700:21:02.039 --> 00:21:07.039if he did a couple of thingsright. Fix the border, ride the24800:21:07.079 --> 00:21:11.880coattails of what's going on in themarkets, bring inflation down, allow us24900:21:11.920 --> 00:21:18.279to drill more. The funniest thingI heard is, oh, we're putting25000:21:18.319 --> 00:21:22.839five hundred more sanctions on Russia.I thought we sanctioned the heck out of25100:21:22.880 --> 00:21:25.720them already, where they can't evenmove. This is why I say that25200:21:25.720 --> 00:21:33.240it's all bs. It's never reallydoing anything. I told somebody the other25300:21:33.359 --> 00:21:38.079day that there was no war inIsrael. Because Iran, who goes ahead25400:21:38.359 --> 00:21:47.160and able to go ahead and backHamas didn't have the money because we stopped25500:21:47.200 --> 00:21:52.960them getting the money. We frozetheir accounts. They go where they get25600:21:52.000 --> 00:21:55.559the money. I said, Bidenallowed them to have their money back six25700:21:55.640 --> 00:21:59.359billion, ten billion, whatever itis, by allowing it to flow back25800:21:59.400 --> 00:22:03.680into Iran. Well, I didn'tsee that. I don't know anything about25900:22:03.680 --> 00:22:06.160that, I said, look itup. It's all over the Google,26000:22:06.640 --> 00:22:10.920the same crap that you get thatyou hate Trump and everything else, and26100:22:11.000 --> 00:22:15.119all you hear is character. Ofcourse, you don't want your president to26200:22:15.119 --> 00:22:19.359have the type of character that they'retrying to characterize him as. I get26300:22:19.400 --> 00:22:25.599that, But you know what,if it was a free, actually a26400:22:25.640 --> 00:22:30.319really free political situation, bid,they would have the same stuff and probably26500:22:30.359 --> 00:22:33.319be put away too, and almostevery other one would have if Clinton would26600:22:33.319 --> 00:22:40.279have Bush probably had a chance goingahead. And when he went into Iraq26700:22:40.359 --> 00:22:47.319and all making up stuff, wereally knew the truth both sides lie.26800:22:48.319 --> 00:22:52.079When are we going to get thatthrough our heads? And I ask people26900:22:52.119 --> 00:22:56.200all the time, do you thinkthat if we took a vote in the27000:22:56.240 --> 00:23:00.799world, whether they're you were,whether citizens of countries want to have wars?27100:23:03.640 --> 00:23:06.720Would say, no, I don'twant my loved ones getting killed.27200:23:06.720 --> 00:23:10.680I don't want my neighbors and friendsgetting killed. No, I don't want27300:23:10.680 --> 00:23:12.799wars. Why do we have wars? I asked that question all the time.27400:23:12.839 --> 00:23:19.440People can't answer it. Why arewe in? Why are we helping27500:23:19.559 --> 00:23:23.319Ukraine and giving them money, andthe same token helping Russia by buying oil27600:23:23.519 --> 00:23:30.319from India and Turkey and everybody elsethat has Russian oil. Why haven't we27700:23:30.359 --> 00:23:33.960shut it off and just got ridof the war back in the fifty sixth27800:23:33.960 --> 00:23:37.400and when we had we had asix day war. Israel got attacked and27900:23:37.400 --> 00:23:40.720in six days it was done.Why is this war going to be carried28000:23:40.759 --> 00:23:45.559out now? Why aren't we sanctionedIran? Why aren't we just blown this28100:23:47.000 --> 00:23:52.079everyone apart that goes ahead and attacksus because we want to just stay and28200:23:52.200 --> 00:23:59.440keep it going because somewhere behind thiswhole scene, it's economically profitable for all28300:23:59.480 --> 00:24:07.519these government means to survive. That'sthe problem we have. The shenanigans that28400:24:07.519 --> 00:24:11.519are going to go on in thisnext election will probably blow our minds.28500:24:11.920 --> 00:24:15.720Well, we'll see. We havea lot to talk about today. The28600:24:15.759 --> 00:24:18.079markets are doing great, but becautious, be careful, and we're going28700:24:18.119 --> 00:24:22.400to talk about mitigating risk. We'llbe right back. It's the Money Matter28800:24:22.480 --> 00:24:30.200Show. Thank you so much andappreciate you listening. Welcome back everybody to28900:24:30.279 --> 00:24:33.200the second part of the Money matOf Show. We got Dave Sherwood back29000:24:33.240 --> 00:24:40.359this week. We got Dylan Greenberg, Todd Licky and myself to bring you29100:24:40.359 --> 00:24:41.720a lot of information. There's alot of things we can talk about today.29200:24:42.279 --> 00:24:47.480It was the week of Nvidia,and literally that that I think Nvidia29300:24:47.559 --> 00:24:51.720has become the most important stock onthe market. It's now the third largest29400:24:51.720 --> 00:24:56.000company behind Apple and Microsoft. Italked about that in my UNO. It29500:24:56.079 --> 00:25:00.799used to be the nifty to fiftyGM and at Tea with the ones,29600:25:00.839 --> 00:25:04.440then IBM in the eighties and thenineties, then Apple. Right now it's29700:25:04.480 --> 00:25:07.279the video and it makes all thesense in the world. If the rally,29800:25:07.319 --> 00:25:11.480in fact, is being driven byexcitement about AI, which I think29900:25:11.519 --> 00:25:15.799it is, then the supplier ofthe top end AI material has to be30000:25:15.880 --> 00:25:19.839doing well or the whole thesis isflawed. Right, And when they came30100:25:19.880 --> 00:25:22.640out on and you saw Monday andTuesday, it was a lot of the30200:25:22.680 --> 00:25:26.119market was real iffy, because therewas real a lot of nervousness ahead of30300:25:26.160 --> 00:25:30.000those earnings. On Wednesday, afterthe close, the option said that it30400:25:30.039 --> 00:25:33.839was a ten percent movie in neitherdirection, and I wouldn't have believed that30500:25:33.880 --> 00:25:37.680they could announce anything that would makeit move up ten percent. And that30600:25:37.799 --> 00:25:41.359kind of was the consensus, don'tyou think. And they came out and30700:25:41.400 --> 00:25:44.799they reported stellar numbers, and itwas just kind of like this relief rally,30800:25:44.880 --> 00:25:48.519Oh, thank goodness, it's stillon well, which yeah, But30900:25:48.680 --> 00:25:52.519what I think is, though thisis the next evolution in all lifetime day,31000:25:52.519 --> 00:25:56.160this will probably the last one inall lifetime that can last five or31100:25:56.160 --> 00:25:59.519ten, fifteen years. That's goingto change everything. We're in the beginning31200:25:59.519 --> 00:26:03.000stage of of AI. Most peoplethink of AI entertaining games. It's gonna31300:26:03.000 --> 00:26:07.799be taking over everything of the waywe live. I mean, uh,31400:26:07.079 --> 00:26:11.680you know, eventually you're gonna haveyour phone in that vision pro. It's31500:26:11.680 --> 00:26:15.200gonna be contact, it's gonna beglasses. You're not gonna have this physical31600:26:15.200 --> 00:26:17.799phone anymore. You're not gonna havethat physical wallet anymore. Well, and31700:26:17.839 --> 00:26:22.839it's not gonna we're gonna be wearingNo, it's not gonna like glasses.31800:26:22.880 --> 00:26:26.839I mean Google's already kind of comeout with stuff like that. As these31900:26:26.839 --> 00:26:30.359semiconductors get smaller, as the technologyimproves on itself, you're gonna be able32000:26:30.400 --> 00:26:32.839to make smaller and smaller technology.It does more and more and more.32100:26:33.400 --> 00:26:34.799And that's the idea. What ifwe don't want to wear glasses though,32200:26:36.079 --> 00:26:40.440then contacts Eventually, they'll make contactseventually. Eventually that they might make it32300:26:40.440 --> 00:26:42.480as like it's just looking like ahearing aid or something like that. Yeah,32400:26:42.960 --> 00:26:45.039and it's gonna be like it's not. I mean, look at the32500:26:45.119 --> 00:26:48.400cell phone and it would be acultural norm, So it won't be everyone32600:26:48.400 --> 00:26:51.880will do it. It's gonna beso different, right, I mean,32700:26:51.920 --> 00:26:53.119that's what I'm trying to say.But it's gonna do. I mean,32800:26:53.799 --> 00:26:56.799I love it in the healthcare field. I think it's great. Yes,32900:26:56.839 --> 00:27:00.680but it's gonna change sports. It'sgoing to change entertainment. It's going to33000:27:00.759 --> 00:27:04.319change how we eat, how weprepare them, everything that happens. I33100:27:04.359 --> 00:27:08.079mean, everyone's going to have arobot in the house. Yeah, you33200:27:08.119 --> 00:27:14.440know, it's going to be crazy. I handed to Robert Oppenheimer, who's33300:27:14.440 --> 00:27:18.440the chief strategist with Golden Sachs threeor four months ago on this show,33400:27:18.960 --> 00:27:22.960we said that he said, thisis a structural change that could go on33500:27:22.119 --> 00:27:26.680for years. Yeah. The onlyreason I'm a little scared of that is,33600:27:26.720 --> 00:27:30.720you know, Navidia reached two trilliondollars in market cap faster than any33700:27:30.759 --> 00:27:36.160other company in history. The onlytwo that's ever done are Apple and Microsoft.33800:27:36.440 --> 00:27:40.279Apple took five hundred and sixteen tradingdays. Microsoft took five hundred and33900:27:40.279 --> 00:27:44.279forty three trading days, Navidia onehundred and seventy five. I think one34000:27:44.319 --> 00:27:48.079of the things that I that stoodout to me about the inn Video's move,34100:27:48.119 --> 00:27:52.880which on Thursday was just unbelievable,over one hundred points up. That34200:27:52.079 --> 00:27:59.680was the biggest increase one day increasein market cap in history for any stock.34300:28:00.400 --> 00:28:03.279The CEO made ten billion dollars inone day. I gotta believe people34400:28:03.240 --> 00:28:07.400who short that stock for some reason, these hedge funds and all I think34500:28:07.400 --> 00:28:11.640going into the earnings report, itwas like that they can't possibly do well34600:28:11.720 --> 00:28:15.119enough to justify the move they've had, or it could have just been you34700:28:15.160 --> 00:28:18.359know, hedging in a way,like you're just offsetting some of your long34800:28:18.400 --> 00:28:22.880position to protect yourself. But Ithink in the new term and video is34900:28:22.920 --> 00:28:26.119going to be the stock you needto watch to see how the overall market's35000:28:26.160 --> 00:28:30.640doing, because they They're Rightdean,there are different stocks in different times in35100:28:30.680 --> 00:28:33.319our life that are important right now. It's then videos. So history from35200:28:33.319 --> 00:28:37.720a few years ago. Yeah,that's why is repeating itself. This is35300:28:37.759 --> 00:28:42.119what twenty twenty four you got fiveyears before the before twenty nine to thirty35400:28:42.160 --> 00:28:47.559comes, we have all got therowing twenties. That that's kind of what35500:28:47.559 --> 00:28:51.200you're thinking coming out of the pandemic, Well it is. It has odd.35600:28:51.200 --> 00:28:53.079It's odd, that's one hundred years. It's odd that we're about to35700:28:53.160 --> 00:28:56.400change right now, you know.And it was coming out of a pandemic35800:28:56.440 --> 00:29:00.240a hundred years ago too. MarkTwain says history doesn't repeat itself, but35900:29:00.319 --> 00:29:03.839it does rhyme. Did you guysnotice that this past week the Japan Nike36000:29:04.000 --> 00:29:07.799index hit an all time high.Yeah, for the first time since the36100:29:07.799 --> 00:29:11.799mid eighties, and then were ina recession because they were in that last36200:29:11.839 --> 00:29:17.279decade in the nineties. Yeah.And one is you know a country we36300:29:17.359 --> 00:29:21.240don't really look at a lot becauseof the elderly population. Well that's why36400:29:21.279 --> 00:29:23.000that whole thing happened in the nineties. They don't have a good labor for36500:29:23.079 --> 00:29:27.279US nineties. It lasted for twentyfive years. Yeah, but that particular36600:29:27.359 --> 00:29:30.839nineties they had zero growth in theGDP. It was like, but it36700:29:30.920 --> 00:29:36.359lasted up until recently. All theirproblems from there, I mean, but36800:29:36.480 --> 00:29:40.000they didn't do anything to stimulate iteither. That's the one thing about our36900:29:40.079 --> 00:29:42.799countries. Well, they inflated theircurrency like crazy. You know. Well,37000:29:42.799 --> 00:29:45.880we're all focused on AI. Iwas looking at a couple of other37100:29:45.960 --> 00:29:51.640economic numbers. A credit card delinquencysurged by more than fifty percent and twenty37200:29:51.680 --> 00:29:56.319three which is not good for aneconomy that's seventy percent dependent on retail sales.37300:29:56.680 --> 00:30:02.880Retail sales declined in genuarly, layoffsing into the millions. Now inflation37400:30:03.079 --> 00:30:06.839is moving up. PPI, CPIwere both bad. Interest rates hit the37500:30:06.880 --> 00:30:11.079highest level since Thanksgiving, and oilwent up to almost eighty bucks a barrel.37600:30:11.119 --> 00:30:15.119Before we get off credit, arewe sure if I was looking at37700:30:15.200 --> 00:30:18.359report that credit card balances are nothigher than they were before the pandemic with37800:30:18.480 --> 00:30:26.519delinquencies, right, and so that'scredit card delinquent fifty percent right now?37900:30:26.559 --> 00:30:30.799Did that go from two to fourpeople know exactly. That's a hard thing38000:30:30.839 --> 00:30:33.079to tell, which brings me toa fun fact. Okay, right,38100:30:33.119 --> 00:30:37.119you want a fun fact. Thebest performing stock over the last thirty years.38200:30:38.359 --> 00:30:41.880None of you are going to getit, as you would think.38300:30:41.880 --> 00:30:45.799It's oh, stop, you've ruinedit for me. No. I know38400:30:45.880 --> 00:30:48.880this Monster Energy, and I toldhim about like five days ago about it38500:30:49.279 --> 00:30:52.680the best performing stock in the lastthirt years because it was a penny.38600:30:52.839 --> 00:30:56.240It was like worth like four that'sthe It was up two hundred thousand percent38700:30:56.559 --> 00:31:00.279in the last thirty years. Twohundred thousand Now, with that said,38800:31:02.079 --> 00:31:04.400it started off with ten cents,right, okay, so yeah, okay,38900:31:04.440 --> 00:31:07.279so does that does that qualify?But my way, it's like bitcoin,39000:31:07.319 --> 00:31:10.559right, it started at a penny, so it's like up four hundred39100:31:10.559 --> 00:31:14.160thousand percent. Well you're kind ofoh it qualifies, because that's crazy that39200:31:14.200 --> 00:31:15.440it's stock. You go from tencents to where I think it's like thirty39300:31:15.440 --> 00:31:19.559bucks. Now Monster Energy number oneperforming stock over the last thirty years.39400:31:19.799 --> 00:31:23.039I'm surprised at that. Yeah,I learned about it. Yeah, very39500:31:23.079 --> 00:31:26.359spread. It would have been niceif you bought it then, but it's39600:31:26.440 --> 00:31:27.640kind of been doing nothing over thelast few years. You know, that's39700:31:27.640 --> 00:31:30.759a good point because I look atyour Yeah, I looked at the last39800:31:30.799 --> 00:31:33.480twelve months. It's up seven percent. Right, well, you wouldn't want39900:31:33.480 --> 00:31:36.880to stock it's up seven percent inthe last twelve months. Now, you've40000:31:36.920 --> 00:31:38.920been mad. Last twelve months beenpretty good, right, well? It40100:31:38.920 --> 00:31:41.960dependence. I mean there are alot of stocks only upset someone down.40200:31:42.480 --> 00:31:45.480Okay, if you if you're notin the technology ones, they ain't moving40300:31:45.680 --> 00:31:48.519well. And that's a good pointtoo. I mean, you know a40400:31:48.519 --> 00:31:51.640lot of people in dividend paying stocksand not moving that much. No,40500:31:51.680 --> 00:31:53.559they aren't. And we did seethe market the rally broad Now though,40600:31:53.599 --> 00:31:57.640I noticed that DVY hit a newexcuse me, v YM hit a new40700:31:57.640 --> 00:32:00.960fifty two weeks high. VTV hita new fifty two guy. These are40800:32:01.640 --> 00:32:06.640value etf and they hit new fiftytwo week guys. So it has expanded40900:32:06.640 --> 00:32:08.559out, Dean, he probably talkedabout it on your monologue. With the41000:32:09.359 --> 00:32:13.680year to date, the S andP five hundred is up six point seven41100:32:13.720 --> 00:32:17.960percent. The equal weight it isup two point seven percent, okay,41200:32:19.279 --> 00:32:21.680right, but last week we hadthat kind of when you were gone,41300:32:21.960 --> 00:32:23.759they equal weight. It finally outpacedthe S and P first. Yes,41400:32:23.839 --> 00:32:27.000yes, and it was actually twoweeks ago I think it was down for41500:32:27.039 --> 00:32:30.319the year. Yeah, and it'sup two point seven so it's actually gotten41600:32:30.880 --> 00:32:32.759a little bit of ahead of steam. So it's nice to see. What's41700:32:32.799 --> 00:32:37.599going to make this move last isstability. Well, I think what we41800:32:37.759 --> 00:32:40.480need to look at too, andthis is to Dean's point of the Russell41900:32:40.519 --> 00:32:45.359two thousand, right, year todate down point four percent. That's those42000:32:45.400 --> 00:32:49.119low quality companies. Yeah right,they're not high quality companies. They're yet42100:32:49.160 --> 00:32:52.920to prove themselves and the market isn'twanting them right now. I think we42200:32:52.960 --> 00:32:58.240had said December early January that thisis going to be the year of value42300:32:58.519 --> 00:33:01.960versus the Magnificent seven, and thenit has not been. It's a fantastic42400:33:02.000 --> 00:33:10.920four now. Yeah, it's ameta. It's in Vidio Soft, Navidia42500:33:12.039 --> 00:33:15.880and Amazon. And Amazon's in bigtrouble though. That's the problem with this.42600:33:15.039 --> 00:33:17.920Amazon is in big trouble. Whyare they in trouble, David?42700:33:19.039 --> 00:33:24.480Because Walgreens is being removed from thedoll and replaced with Amazon and ant had42800:33:24.519 --> 00:33:30.240the last three stocks they put inthe Dow have all tanked. And you42900:33:30.279 --> 00:33:35.319know this is interesting that Walgreens wasin the Dow Jones Industrial Average for six43000:33:35.400 --> 00:33:39.240years, which is the shortest stintin history. And during that six years,43100:33:39.279 --> 00:33:43.400I lost sixty seven percent of itsvalue. And Dean, as you43200:33:43.480 --> 00:33:46.559and you've spoken before on the show, you get the stock as that bad43300:33:46.640 --> 00:33:50.119of a performer, they're going toreplace it. Well, that's why you43400:33:50.160 --> 00:33:55.480buy indexes, this party you callportfolio, because the index will inevitably go43500:33:55.559 --> 00:33:59.920up to new highs because if they'renot performing the stocks, they get out43600:34:00.039 --> 00:34:01.920the ones that aren't performing and theybring in the ones that perform. But43700:34:01.960 --> 00:34:05.599I think that goes even deeper.If you look at the performance of the43800:34:05.640 --> 00:34:08.360S and P five hundred versus theDow over the last twenty years, one43900:34:08.400 --> 00:34:13.320does way better than the other.And it could just be because trying to44000:34:13.360 --> 00:34:15.639pick thirty stocks versus five hundred isa little harder. It is hard.44100:34:15.920 --> 00:34:20.079It is hard. They got tobe right on those thirty compared to being44200:34:20.159 --> 00:34:22.079right on average on five hundred.And if you focus on the Dow,44300:34:22.159 --> 00:34:25.679you're not focusing on the market.No you're not. You're focusing on thirty44400:34:25.679 --> 00:34:29.119stocks. Well, but here's thething I think when you're looking at it44500:34:29.159 --> 00:34:31.039and say, hey, I wantto get out of these like Magnificence of44600:34:31.039 --> 00:34:35.079seventy and things like that, andI want to be more quality equally by44700:34:35.119 --> 00:34:37.280the Dow. Those stocks are boughtwhen the markets go down, when the44800:34:37.320 --> 00:34:40.320market's always a fell hard, thefirst stocks that come back is the Dow.44900:34:40.559 --> 00:34:45.239I was sorry about this. THENDANDow were equated. Okay, which45000:34:45.280 --> 00:34:50.760one both is quality? You getwhere you get around the problem of having45100:34:50.760 --> 00:34:53.119concentration. Yeah, both, Ilike them both. I like them both.45200:34:53.800 --> 00:34:57.360I mean, uh, I almostthink you take a little money off45300:34:57.440 --> 00:35:01.599S and P five hundred spy spynow and moving into RSP the equal weighted45400:35:02.239 --> 00:35:07.760just because if you want to bea little bit more I guess a little45500:35:07.840 --> 00:35:12.800less risky, right, Yeah,you're lowering your beta, yeah a bit.45600:35:12.880 --> 00:35:15.559And that's but I don't think thesestocks are rolling over yet. I45700:35:15.599 --> 00:35:19.800think they'll have pullbacks like they did, but I think they're gonna keep moving.45800:35:19.800 --> 00:35:21.719But you know what we've been sayingon the show, Right, we45900:35:21.760 --> 00:35:23.360had Magnificent seven, then we hadSuper six, and you just set out46000:35:23.360 --> 00:35:25.599of test for and then to me, I'm just thinking, like this is46100:35:25.599 --> 00:35:30.159getting more and more and more concentrated. That's not a recipe for success.46200:35:30.320 --> 00:35:34.000No, there's no risk right now. If you're a money manager, you46300:35:34.079 --> 00:35:40.519hate this market because the stocks thatyou as an analogication process, it's hard46400:35:40.559 --> 00:35:45.239to do, so it's hard toexplain. Hey, you got two percent46500:35:45.320 --> 00:35:51.079in the video, not ten percent. You have a position in bombs earning46600:35:51.119 --> 00:35:54.800four and a half five. Sowhen you when you're doing that, you46700:35:54.880 --> 00:35:57.960have to do it. All right, We got to take a break.46800:35:58.000 --> 00:36:00.719We'll be right back. Thanks forlistening. Oh, welcome back everybody.46900:36:01.039 --> 00:36:05.559This is the Money Matter Show.We got Dave, Dylan Todd of myself47000:36:05.599 --> 00:36:07.559here to bring you a whole bunchof good information. Hey, listen,47100:36:08.679 --> 00:36:13.800you know we have a new team, not a new team. We've increased47200:36:13.840 --> 00:36:17.039our team, all right, andwe're team members, right. We still47300:36:17.079 --> 00:36:21.800have our group, which is alwaysa team concept and I've always been a47400:36:21.800 --> 00:36:24.719team concept guy. And now we'veadded on as you know, we have47500:36:24.760 --> 00:36:30.599our state planner in our office onjohn Sabilia, which is great. It's47600:36:30.679 --> 00:36:35.239been a great relationship helping us witha state planning and sending things out.47700:36:35.480 --> 00:36:38.559He's going to become one of themost important people coming into next year,47800:36:39.199 --> 00:36:44.800depending on what we do with theTrump tax. Yeah. I mean this47900:36:44.880 --> 00:36:49.119is the sunset of the estate planningexact. Yeah, number two. And48000:36:49.159 --> 00:36:52.000we've been trying to do this fora while. We found an accounting group48100:36:52.119 --> 00:36:57.000that we actually have been using,but they've been taken over. And we48200:36:57.039 --> 00:37:01.719really like these guys, the JohnsonBrothers, Joel and Cy, and we48300:37:01.800 --> 00:37:05.599appreciate those those of you that needaccountant, call us. We're going to48400:37:05.639 --> 00:37:07.079hook you up with them, samevice versa. They do that too.48500:37:07.519 --> 00:37:13.079These guys are good the CPAs they'vebeen around, whether it's business or in48600:37:13.159 --> 00:37:15.719corporate or its individual. They cando it all. And you know,48700:37:16.039 --> 00:37:21.360they took over a great practice fromScott Maya and who we sent a lot48800:37:21.400 --> 00:37:24.119of business to, and now it'sthe Johnson Brothers. So we have accountants,48900:37:24.679 --> 00:37:30.440the state plan, is, financialplan is and money managers all under49000:37:30.440 --> 00:37:36.280one roof. This week I hadtwo calls about people whose accountants have retired49100:37:36.320 --> 00:37:38.239and they want somebody to do theirtaxes. I had two calls from people49200:37:38.239 --> 00:37:42.599who have moved here from out ofstate and would like to have someone local49300:37:43.000 --> 00:37:47.000do their taxes. And I'm tellingyou, Denis mentioned before the Johnson brothers,49400:37:47.039 --> 00:37:52.000Joel and Cy. They're not onlyCPAs, but they're good guys,49500:37:52.440 --> 00:37:58.159and they're nice guys, and they'refun to be around and I like them49600:37:58.159 --> 00:38:02.000a lot. Yeah, so faras a good partnership. Well, going49700:38:02.039 --> 00:38:06.480along April second, we will havethat event that we're really looking forward to49800:38:06.679 --> 00:38:08.360at the La Paloma Country Club andit's going to be a road to your49900:38:08.400 --> 00:38:12.519financial success. So we're going tohave the panel, the whole team at50000:38:12.519 --> 00:38:15.679Greenberg Financial Group but as well asthe Johnson Group brothers. They are going50100:38:15.760 --> 00:38:20.159to be out there talking about thestate I mean taxes. John Sabilly will50200:38:20.159 --> 00:38:22.440be out talking about a state planningand it's really all about the risks that50300:38:22.480 --> 00:38:27.000could be coming about in the nexttwo years because, like Dean says,50400:38:27.000 --> 00:38:30.039with the sun setting of that taxAct that Trump put in, that happens50500:38:30.039 --> 00:38:35.480in twenty six depending on what presidentends up in there starting on January I50600:38:35.519 --> 00:38:38.119think twenty first, twenty twenty five, that's when the next one takes over.50700:38:38.840 --> 00:38:44.159So that's kind of the first ideathat we'll have on what we need50800:38:44.199 --> 00:38:46.800to start being prepared for. Andso this symposium that we're putting together on50900:38:46.840 --> 00:38:52.119April second will kind of outlay,what potential risk could be on the horizon,51000:38:52.159 --> 00:38:54.159as well as how to prepare forthem now what kind of strategies to51100:38:54.199 --> 00:38:58.639implement now. So not only willit be Greenberg Financial Group, Johnson Group,51200:38:58.679 --> 00:39:01.079and the john sabilia the state,but you also have a special guest51300:39:01.119 --> 00:39:05.320speaker, James T. Harris,which is the morning host on KNST seven51400:39:05.440 --> 00:39:08.920ninety to get some more political electionbackground and information on those things as well.51500:39:08.960 --> 00:39:15.519So it's going to be a completein depth symposium and lunches included as51600:39:15.559 --> 00:39:16.880well. So if you want informationon it, feel free to give us51700:39:16.880 --> 00:39:21.960call five to you said it forApril twenty second, after the taxes deadline.51800:39:22.000 --> 00:39:25.239You had to pull the Johnson Brothersout of the offices on April second,51900:39:25.559 --> 00:39:30.840right when when the fire's really hot. I know there's from twelve to52000:39:30.880 --> 00:39:34.119three. Yeah, it'll be allright. Yeah, that's not too bad.52100:39:34.199 --> 00:39:37.280And it'll be good too because it'swe're gonna be talking a little bit.52200:39:37.320 --> 00:39:38.199But then we have a panel forthe last part of it where you52300:39:38.199 --> 00:39:43.480can ask any questions you might havefor us for stay playing with Johnson Billia52400:39:43.599 --> 00:39:45.719or tax planning for the Johnson brothers. No, I mean that's a great52500:39:45.760 --> 00:39:49.400group, and I think a lotof people would like to meet the morning52600:39:49.440 --> 00:39:52.800host of at Canasto then, yeah, the new one, the new guying.52700:39:52.840 --> 00:39:54.400Yeah, exactly. So again it'slike Todd said, if you are52800:39:54.400 --> 00:39:57.199interested, to just give us acall and we can get you signed up52900:39:57.239 --> 00:40:00.599for it. It's from April second, from twelve pm to three pm.53000:40:00.280 --> 00:40:02.920Yeah. And uh, you knowyou talked a little bit about rates earlier,53100:40:04.119 --> 00:40:06.679Dave. You know, we bethe two year four point sixty nine,53200:40:06.840 --> 00:40:09.320the ten year four point twenty five. That's a that's a widening of53300:40:09.360 --> 00:40:14.679that pretty significant one, pretty significant. It was almost it was almost flat53400:40:15.119 --> 00:40:17.159a month ago, Yeah, almostflat. Now it's gone to almost fifty53500:40:17.159 --> 00:40:23.639basis points. It's I don't knowwhat that's telling. That's supposed apparently three53600:40:23.719 --> 00:40:28.079years now. Yeah, I meanwe all know the bomb market dwarfs the53700:40:28.079 --> 00:40:30.679stock marketing size and that's hard forpeople to believe. I mean, bon53800:40:30.880 --> 00:40:31.960I, I think it's like fourtimes the size of the stock market.53900:40:31.960 --> 00:40:35.559It is way more important than thestock market, and so you think there's54000:40:35.599 --> 00:40:39.320more smart money in that bucket,which the inversion tells us that that's not54100:40:39.360 --> 00:40:43.679a good thing coming. But that'sthat bad thing that's coming has happened for54200:40:43.719 --> 00:40:46.480eighteen months now and it still hasn'tcome. So yeah, whether it will54300:40:46.480 --> 00:40:50.440come to fruition, who knows.But the fact that it is inversioning is54400:40:50.480 --> 00:40:53.559not something we would like to see. The uh we saw oil after spiking54500:40:53.639 --> 00:40:58.800from the high sixties up to almosteighty bucks a barrow, yea, and54600:40:58.920 --> 00:41:02.559the week down two dollars seventy sixfifty. We'd like to see that down.54700:41:04.039 --> 00:41:07.039Interest rates, of course, spiketo the highest level since Thanksgiving.54800:41:07.480 --> 00:41:10.159They did ease a little at theend of the week, and we don't54900:41:10.159 --> 00:41:15.199need interest rates ticking up. Wegot this Goldielock scenario going on where we've55000:41:15.239 --> 00:41:20.039got good economic growth with declining inflation, oil prices and interest rates. That's55100:41:20.079 --> 00:41:23.719just absolute perfect scenario. Quick takea picture, right. We don't want55200:41:23.760 --> 00:41:29.320to see anything like rising oil prices, rising interest rates. We saw inflation55300:41:29.440 --> 00:41:32.039chick up. Last week's CPI andPPI were both not good, but the55400:41:32.719 --> 00:41:39.280AI interesting AI pretty much dwarfed allof the negative news that I spoke about55500:41:39.440 --> 00:41:45.000a little earlier. Gold up thirtyseven dollars on the week to twenty forty55600:41:45.039 --> 00:41:51.000eight. Gold moved in verty seven. Yeah, twenty thirty five. You55700:41:51.079 --> 00:41:53.840got twenty thirty seven, which wouldbe the twenty forty eight I think is55800:41:53.880 --> 00:42:00.079the March contract. Twenty thirty sevenis the April contract, I think anyway55900:42:00.599 --> 00:42:02.960around there. I got a thirtyseven bucks so it was up for the56000:42:04.000 --> 00:42:07.039week. Is it was up theweek? Yeah? Okay, got that56100:42:07.079 --> 00:42:13.000bitcoin first down week since mid January. Not much down two percent on the56200:42:13.000 --> 00:42:17.480week. And again, Scott Todd, we're not using the actual bitcoin itself,56300:42:17.480 --> 00:42:21.559which is open twenty four to seven. Yeah, we're using the ETF56400:42:21.599 --> 00:42:23.760clothes on Friday of last week,and the ETF closed on Friday of the56500:42:23.800 --> 00:42:28.880week before, and it was twopercent lower. That's the first time we've56600:42:28.920 --> 00:42:34.920seen that in a little over amonth. Right, the ETFs going well56700:42:35.079 --> 00:42:37.679after the ETFs got approved. Yeah, much Well the ETFs got approved.56800:42:37.679 --> 00:42:42.199That was so interesting to eat weekly. The thinking process, right, was56900:42:42.239 --> 00:42:45.199that approval of the ETFs was goingto cause bitcoin to take off? Yeah,57000:42:45.280 --> 00:42:50.760the ETFs were approved in bitcoin tankedand then it took off. Well.57100:42:50.800 --> 00:42:52.119As the thing is, it tookoff before they got approved too,57200:42:52.199 --> 00:42:57.480So it's like were they allowed tobuy bitcoin before they got approval. It57300:42:57.639 --> 00:43:00.639is interesting. This is weird.There's there's one. One of the mysteries57400:43:00.639 --> 00:43:05.239of life, right, We'll figuredout one day. We had to continue57500:43:05.280 --> 00:43:08.840to see electric vehicle price cuts,which which is the only way you're ever57600:43:08.880 --> 00:43:13.760going to expand that market is youget to a point where everybody that can57700:43:13.800 --> 00:43:17.760afford an EV has one, rightor that wants one and can afford one.57800:43:17.920 --> 00:43:21.280Now you've got to find a wayto get it in the hands of57900:43:21.320 --> 00:43:23.559people that maybe can't pony up fiftygrand. And the way they're doing that58000:43:23.719 --> 00:43:29.079is they're dropping the prices because demandis waning. Tesla has been steadily cutting58100:43:29.079 --> 00:43:34.280prices. Ford Is joined the pricecut party, dropping their mock e by58200:43:34.320 --> 00:43:37.079eighty one hundred dollars, but itstill cost you forty eight eight ninety five,58300:43:37.440 --> 00:43:40.760which is one thousand bucks higher thanthe long range Tesla Model Y,58400:43:40.800 --> 00:43:45.519which frankly makes no sense at all. Tesla has been doing it for sixteen58500:43:45.599 --> 00:43:49.639years, and I understand the FordMochi is pretty cool looking car, but58600:43:49.719 --> 00:43:52.000they're brand new to this. I'mnot sure why we cost one thousand bucks58700:43:52.079 --> 00:43:54.760more than the Tesla. Speaking ofcars, not a car maker, but58800:43:54.880 --> 00:43:59.559Carvana. Their shares jumped nearly thirtypercent in the pre market trading on Friday58900:44:00.239 --> 00:44:04.800as a company reports its first annualprofit in history. Talk about a wild59000:44:04.920 --> 00:44:07.519ride. That was a crazy stuckback in the day, three hundred and59100:44:07.559 --> 00:44:12.119seventy six dollars in August of twentyone. Wow, it plunged to three59200:44:12.159 --> 00:44:15.760dollars, from three seventy six tothree dollars, and they were all but59300:44:15.840 --> 00:44:20.440gone. Right. I remember yousaying there was a carbona store near their59400:44:20.480 --> 00:44:24.039headquarters home up the headquarters near yourhome in Phoenix. Can that be a59500:44:24.159 --> 00:44:29.320vending machine of cars? Yeah?Yeah, they have one in Tempee that's59600:44:29.320 --> 00:44:32.039the vending machine, but they're alsoheadquartered in Tempiez. We three dollars a59700:44:32.079 --> 00:44:36.480share and left for dead, frankly, and then just away it went up59800:44:36.559 --> 00:44:38.639thirty percent on Friday when we couldn'tget the micro chips for the cars.59900:44:38.679 --> 00:44:42.039I think that that had probably hada big thing to do with it.60000:44:42.039 --> 00:44:45.519They shifted into used cars a lot. That's been a huge seller. Yeah,60100:44:45.679 --> 00:44:47.920for their company. Really was probablyI think Todd said before two thirds60200:44:47.960 --> 00:44:51.880of all car sales are used,right, Yeah, and so you really60300:44:51.920 --> 00:44:57.199haven't been able to buy a usedEV until recently. I don't know that's60400:44:57.199 --> 00:44:59.960going to make it every Rivian wasdown twenty percent at the open on their60500:45:00.360 --> 00:45:05.119to an all time low. Theyreported larger than expected Lossy're going to lay60600:45:05.119 --> 00:45:08.960off ten percent of the staff andpredicted lower production. Same story at Lucid60700:45:09.480 --> 00:45:15.239as the e V fervor dies down. Yeah, loose it out in uh60800:45:15.559 --> 00:45:21.280Cossack. That's where their facilities.A factory is massive. Yeah. Now60900:45:21.480 --> 00:45:24.679I saw a Lucid. I sawsomething when I went to Orange County the61000:45:24.760 --> 00:45:30.079last time I saw a Lucid buildingat the intersection of Interstate ten and Interstate61100:45:30.119 --> 00:45:35.280eight. Is that the factory Ithink? Or is the factory more and61200:45:35.679 --> 00:45:38.400more west of Castle Grand. No, it's it's at that intersection when they61300:45:38.440 --> 00:45:44.039try that that is the factory.Factory was a huge, big building with61400:45:44.159 --> 00:45:47.320Loocid on the side. Yeah,that's the one. Yeah, that's that's61500:45:47.599 --> 00:45:53.199That's been a great deal for aCastle Grand, right, great deal for61600:45:53.280 --> 00:45:58.199Casa Gran Solar Edge. You guysbeen know more about this than I do.61700:45:58.320 --> 00:46:00.920Of a death spiral for the lasttwelve months, down seventy five percent,61800:46:01.360 --> 00:46:06.840lost another twenty percent at the openon Wednesday, after reporting revenue guidance61900:46:07.400 --> 00:46:09.719well below expectations. We saw alot of that this week, where companies62000:46:09.760 --> 00:46:15.079came out with good earnings, goodrevenue, good earnings, and disappointing guidance.62100:46:15.599 --> 00:46:19.000Yeah. I mean the solar wholespace to us was interesting because of62200:46:19.039 --> 00:46:22.719its interest rate sensitivity and understanding thatthe possibility of rates going lower is higher62300:46:22.760 --> 00:46:27.840than I'm going higher. So theidea of solar makes sense. But when62400:46:27.840 --> 00:46:31.840you look at TAN and you compareit against FSLR, you realize FSLR is62500:46:31.880 --> 00:46:37.280the only good solar company that's inthat ETF, and Solar Edge is one62600:46:37.320 --> 00:46:42.840of those companies dragging down TAN andPID. Remind me why that is because62700:46:43.480 --> 00:46:47.360per Solar, they make the actualvertically integrated right, so they're making the62800:46:47.360 --> 00:46:52.280big panels all the production of theirprocess, you know, So like in62900:46:52.719 --> 00:46:58.639solar Edge just makes the actual systemthat collects the energy from the panel.63000:46:58.679 --> 00:47:02.599They don't create the panels. Andso first Solar makes the panels, they63100:47:02.639 --> 00:47:06.440make the system, they make thebest they do the whole nine yards,63200:47:06.760 --> 00:47:09.119and so they don't have to outsourcethe other stuff. So if you're gonna63300:47:09.159 --> 00:47:14.840invest in this space, you probablywant to stay away from the ETF and63400:47:14.920 --> 00:47:20.079you want to go and warning itis a volatile space. Okay, very63500:47:20.159 --> 00:47:24.639volatile space. So you know thatgoing in, if you're a aggressive investor,63600:47:24.840 --> 00:47:28.119it might be something you want totake a look at, if you'd63700:47:28.159 --> 00:47:30.840want to stick with First Solar,not with the ETF, not with Solar63800:47:30.960 --> 00:47:34.280Edge, or some of these othercompanies. We're coming up on a break63900:47:34.400 --> 00:47:38.079here, Sebastian. We will beback after this break. After this break,64000:47:38.280 --> 00:47:43.360we appreciate your joining us on thisSunday morning. Welcome back, everybody.64100:47:43.440 --> 00:47:46.000Second part of the Money Matter Show. Remember you can always go back64200:47:46.000 --> 00:47:52.239and listen anytime anywhere on podcasts.It's Money Matters with Dean Greenberg on every64300:47:52.280 --> 00:47:55.480single platform, including all website.All you have to do is go click,64400:47:55.719 --> 00:48:00.639boom, listen, go jogle,work out, do anything you'll learn64500:48:00.719 --> 00:48:04.519as you get in shape. Secondhalf of the Showdyn't you want to give64600:48:04.599 --> 00:48:06.760us a recap? Yeah, forthose of you just tuning in. For64700:48:06.800 --> 00:48:08.360the week, the Dow is upone point three percent, the SMP was64800:48:08.440 --> 00:48:13.119up one point seven percent, theNazak was up one point four percent,64900:48:13.480 --> 00:48:15.880the Russell two thousand, the smallcap was down point eight percent, and65000:48:15.920 --> 00:48:20.039the equal weighted S and P fivehundred was up one point three percent,65100:48:20.760 --> 00:48:24.320and it was a weird SMP fivehundred is slightly beating the NASDAK six point65200:48:24.360 --> 00:48:28.039seven percent. That's interesting, isn'tit that the S and P five hundred65300:48:28.039 --> 00:48:30.280would beating the NASDAK. Yeah.The nasac's up six point six percent,65400:48:30.360 --> 00:48:32.800so barely. Yeah, I meanit's tenth of a small gap. Is65500:48:32.800 --> 00:48:37.559still getting hit the hardest. They'rethe only ones down out of the major65600:48:37.599 --> 00:48:40.400indices. And it was it wasn'tNvidia kind of week. Like we said65700:48:40.400 --> 00:48:45.199in the first hour, It's allwas all about Nvidia. They are the65800:48:45.480 --> 00:48:50.320engine that drives AI. AI isthe engine that's been driving this rally.65900:48:50.880 --> 00:48:54.880It's important that Nvidia is doing greatbecause then you interpolate that the rest of66000:48:54.880 --> 00:48:59.480AI is doing great, and themarket rally is justified, and I moves66100:48:59.519 --> 00:49:04.159with it, but had nothing onits own SMCI Oh my god, two66200:49:04.199 --> 00:49:07.159hundred and fifty points in that day. I think no reason other than it's66300:49:07.199 --> 00:49:10.840part of it, I know.And here here's a warning. Guys.66400:49:10.960 --> 00:49:15.639All right, you're gonna hear everyTom Dick and Harry. You're gonna get66500:49:15.679 --> 00:49:19.960every email with every newsletter telling you, hey, you might have missed the66600:49:20.039 --> 00:49:22.440video. But we have the nextvideo, we have the next Amazon,66700:49:22.800 --> 00:49:27.400we have the next Beta. Yougotta buy in these these youths coming,66800:49:27.440 --> 00:49:30.639you gotta buy it. Listen toall newsletter, Buy a newsletter and you'll66900:49:30.639 --> 00:49:32.880find these guys. There's no reasonthat you have to fool around with those.67000:49:32.920 --> 00:49:37.199When they get bigger and stronger thanthere's there. Buy the good companies67100:49:37.320 --> 00:49:40.639on pullbacks. They will probably buyup some of these other companies, but67200:49:40.679 --> 00:49:44.440they know which ones are good andwhich you're not good. But you're gonna67300:49:44.480 --> 00:49:47.440get everybody out there trying to tellyou they got the next uh, the67400:49:47.840 --> 00:49:52.639next shiny thing that's gonna be ableto take over, you know. And67500:49:52.679 --> 00:49:58.119it's always talking about penny stocks thatare five dollars or lessons saying we picked67600:49:58.119 --> 00:50:00.199Amazon in two thousand and one wasthree, we picked Apple when it was67700:50:00.239 --> 00:50:04.679nothing. And it's always those goingback to the first dot com bubble.67800:50:05.159 --> 00:50:07.960Just be aware, listen. We'llyou know, we all like a stock67900:50:08.039 --> 00:50:12.480here there that might be there,but we look at it, we analyze68000:50:12.480 --> 00:50:15.599it, and we want it toat least be a supply it to these68100:50:15.599 --> 00:50:20.519big companies. I mean, mostof those services ask for like a yearly68200:50:20.639 --> 00:50:24.000performance or ask for timestamps, andthen you realize they don't have them because68300:50:24.000 --> 00:50:28.679it's all just figazi. The onething that I that I continue to hear,68400:50:28.679 --> 00:50:31.159and I've talked about this on theshow before. There are so many68500:50:31.559 --> 00:50:37.960people out there trying to sell younewsletters and or trying to sell you gold,68600:50:37.280 --> 00:50:40.559and the easiest way to do thatis to say something that will scare68700:50:40.599 --> 00:50:45.800you, because fear is the strongesthuman emotion, much stronger than any other68800:50:45.880 --> 00:50:51.559human emotion. And the latest,again, on and on digital dollar.68900:50:51.719 --> 00:50:58.800I keep hearing about digital dollar.I got a call from a pretty sophisticated69000:50:58.840 --> 00:51:01.960investor six months ago. He calledme about this digital dollar, and he69100:51:02.000 --> 00:51:07.000called me again about it this pastweek. The government's gonna convert our currency69200:51:07.000 --> 00:51:10.199to digital dollars. Biden's approved it, Congress has signed off on it.69300:51:10.280 --> 00:51:15.719People, there is no digital dollar. It does not exist. They cannot69400:51:15.760 --> 00:51:20.920convert. Nobody's gonna convert your currencyto digital dollars because there aren't any digital69500:51:20.920 --> 00:51:25.239dollars. Well, I don't understandthe whole like like they're already technically digital,69600:51:25.239 --> 00:51:29.800Like if you log into your bankaccount, you're not seeing their digits69700:51:29.800 --> 00:51:34.400on a screen. This is thisis an actual digital dollar similar to bitcoin,69800:51:34.519 --> 00:51:37.320right, Like, what what's soscary for these people that you can't69900:51:37.320 --> 00:51:42.079hold an actual dollar anything that threatensyour cash? But it can still cash.70000:51:42.159 --> 00:51:44.559And it used to back in theday, it was They're gonna come70100:51:44.599 --> 00:51:49.559and take your retirement account. It'sthe Congress is talking about taking your retirement70200:51:49.599 --> 00:51:53.760account to balance the budget deficit.And people actually believe that. They actually70300:51:53.800 --> 00:51:59.320believe that. They actually believe thatbecause they see it from so many different70400:51:59.360 --> 00:52:05.199sources. And these are again newslettersand goal sellers who are trying to scare70500:52:05.280 --> 00:52:12.519you into buying their newsletter so youdon't get caught with cash when the digital70600:52:12.559 --> 00:52:17.400dollar conversion takes place. There isno digital dollar. Not bad even if70700:52:17.559 --> 00:52:22.800like, even if that event happens, How is your physical cash worth more70800:52:22.800 --> 00:52:27.199than the digital cash? You know, it's anything that impacts your cash,70900:52:27.280 --> 00:52:30.440that's the bottom line. But it'slike, how does it impact your cash?71000:52:30.480 --> 00:52:35.360Congress is actually Congress actually has talkedabout a digital dollar and whether there's71100:52:35.400 --> 00:52:39.840a place for it and whether ifit happens, what actually impacts are there71200:52:42.159 --> 00:52:45.760todd I as far as what wouldhappen if what would really change if they71300:52:45.840 --> 00:52:50.559digitize don't use debit cards, weuse credit cards, we use Apple Pay,71400:52:50.639 --> 00:52:53.679we use our phones to pay.Very little transactions are done with physical71500:52:53.960 --> 00:52:58.480dollars anymore. Anyways, The bottomline is is these people are trying to71600:52:58.480 --> 00:53:00.960get people to believe that they'll geta go to go into the banks and71700:53:00.400 --> 00:53:04.599all that. But it's just thinkabout those people who actually somewhat believe those71800:53:04.639 --> 00:53:07.920people are telling them that. It'slike, just think about it. Just71900:53:07.960 --> 00:53:10.119think about it. There is nodifference even if that event happens, which72000:53:10.159 --> 00:53:14.960is not going to happen. Evenif it happened, it's no different.72100:53:15.079 --> 00:53:17.159You're already using digital cash, ifyou use a debit card, if you72200:53:17.239 --> 00:53:21.840use your phone. Most people don'tuse cash anymore. No, it's we72300:53:21.920 --> 00:53:25.000have a digital economy. That's howthat happened. Last time. You know,72400:53:25.239 --> 00:53:29.519whence the last time somebody gave youchange, right, I guess you'd72500:53:29.559 --> 00:53:31.239have to use cash if you're goingto get changed, right. We used72600:53:31.280 --> 00:53:35.920to keep a jug, you know, are change in there, right,72700:53:35.960 --> 00:53:37.599and then every now and then wetake go to the store and try to72800:53:37.599 --> 00:53:40.239get some cash out of it.I don't even know where the jug is72900:53:40.360 --> 00:53:45.880anymore. Uh. When people askfor change, like if you get changed73000:53:45.880 --> 00:53:49.039back from a store these days,most people just donate it. Like there's73100:53:49.039 --> 00:53:51.000a little box there. I'm justthrowing my change in there. I don't73200:53:51.000 --> 00:53:53.119want the hassle to bring it backto my car. Keep it in my73300:53:53.159 --> 00:53:57.159way, Like well, Davis saying, if they're talking about it the on73400:53:57.199 --> 00:54:00.880a commercials and still fear, it'sare to hear like you're saying, but73500:54:00.960 --> 00:54:02.639it's just the way they say iton the commercials and still fear. So73600:54:02.639 --> 00:54:06.320you buy the newsletter. They don'tcare about you. Yeah. And then73700:54:06.320 --> 00:54:08.199one of the worst is Pat Boone. What happened to Pat Boone? Pat73800:54:08.239 --> 00:54:10.800Boone back in the day, youguys, none of you guys even know73900:54:10.800 --> 00:54:16.440who Pat Boone is. He's agold salesman. Never mind, you know74000:54:16.519 --> 00:54:22.639Kendrick Lars. Pat Boone is afear sailler. He's a fear seller.74100:54:23.079 --> 00:54:28.280Walmart. If you look at ifyou own Walmart and look at it this74200:54:28.320 --> 00:54:30.199weekend, you're gonna go, ohmy goodness, what happened? Right?74300:54:30.360 --> 00:54:35.480Other Walmart news though, well they'resplit in that's what three yeah, three74400:54:35.519 --> 00:54:37.320to one huge. We talked aboutthis last week, Dylan. Yeah,74500:54:37.360 --> 00:54:42.000the video that deal went through they'rebuying video for two point three billion dollars74600:54:42.000 --> 00:54:45.239in cash, and this move wasto help their Walmarts to add business.74700:54:45.320 --> 00:54:47.400So on that points, Roku tooka huge hit off the off of this74800:54:47.519 --> 00:54:52.360news, even after their drop afterearnings. Uh, selling and Roku kind74900:54:52.360 --> 00:54:53.880of seems a little bit overdone tome. You have to consider upon the75000:54:53.920 --> 00:55:00.840acquisition, will Amazon still sell VisioTVs Walmart? On what? What about75100:55:00.880 --> 00:55:06.119targets? Would targets still want tosell competing Walmart TVs? Right? Because75200:55:06.119 --> 00:55:09.519if Walmart owns Visio, they mightnot be able to sell TVs Amazon or75300:55:09.599 --> 00:55:14.840Target exactly. So Walmart. That'sinteresting though Walmart doesn't sell the Fire,75400:55:15.280 --> 00:55:19.480the Fire TV's Roku's Fire TVs.It never did, so I'm trying to75500:55:19.480 --> 00:55:22.880figure, you know, is thisgoing to actually result in some shelf space75600:55:22.920 --> 00:55:25.280freeing up at other retailers for Rokuwould come in and take some of that75700:55:25.320 --> 00:55:30.880market share away. Interesting, butwe'll see. Wait, I'm confused what75800:55:30.159 --> 00:55:34.719you have the Roku and Fire TV. They're different Amazon Fire, Roku and75900:55:34.800 --> 00:55:37.480Amazon Fire are different things. Soyou're saying Walmart used to sell Roku.76000:55:37.719 --> 00:55:40.480No they don't. They don't.What I'm trying to get at is like,76100:55:40.559 --> 00:55:45.559why would why would Target or Amazonwant to want to sell the Visio76200:55:45.599 --> 00:55:49.639TVs if they're from a competing retailer. Well, does Target make TVs?76300:55:50.000 --> 00:55:52.159No, so what's their competition?Don't want to buy? No, he's76400:55:52.159 --> 00:55:55.840saying they'll put Roku TVs on theirshelves rather than Visio, Visio Walmart to76500:55:55.840 --> 00:56:01.079make money off what they sell iswhat he's saying. The party where they76600:56:01.119 --> 00:56:04.639just put TVs on don't carry thatbrand. Yeah, that's what he say.76700:56:05.400 --> 00:56:09.400Think an Amazon, is that anentry point for Roku to you know,76800:56:09.440 --> 00:56:14.079take more. That's a little premature. No, totally, I totally76900:56:14.119 --> 00:56:16.400agree. I just think the again, like I said, selling in a77000:56:16.400 --> 00:56:19.880little a little overdone. I'm goingto be interesting to watch. No,77100:56:20.320 --> 00:56:22.679definitely gonna be interesting to watch.I'm sorry. I'm sorry that the Dean77200:56:22.719 --> 00:56:27.400stepped away for a minute because myEV garage was kind of built for Dean77300:56:27.519 --> 00:56:31.679this week, because my EV garagethis week is about hybrid cars. Hybrid77400:56:31.719 --> 00:56:37.679cars are more popular than electric cars, right, Yeah, recently we've seen77500:56:37.760 --> 00:56:43.079hybrid cars replaced by plugging hybrids.I don't know why. What's the difference77600:56:43.079 --> 00:56:47.519between the two. You have toplug it in. In a plug in77700:56:47.599 --> 00:56:51.719hybrid, the electric battery is theprimary source of the car. When the77800:56:51.760 --> 00:56:55.039battery runs down, the internal combustionthe engine takes over. In a traditional77900:56:55.159 --> 00:56:59.039hybrid, todd, do you havea traditional hybrid? The battery only provides78000:56:59.159 --> 00:57:01.880enough power to drive around town andgets you a little bit better gas mileage.78100:57:01.920 --> 00:57:07.400Shut up, Mahonde. Battery sizeand costs different, since the electric78200:57:07.440 --> 00:57:12.119battery and a plug in is largerand more expensive to replace. Battery recharging78300:57:12.199 --> 00:57:15.400capability is also different. A plugin hybrid may be able to get a78400:57:15.599 --> 00:57:20.360little charge through regenerative breaking, butsince it has a larger battery that it78500:57:20.400 --> 00:57:23.519relies on more, it needs tobe connected to an external power source to78600:57:23.559 --> 00:57:30.639fully recharge. Right. Traditional hybridsrecharge their electric batteries through regenerative braking.78700:57:30.800 --> 00:57:32.079Yep. That's why going up mountainsit's not a good time, not a78800:57:32.079 --> 00:57:34.760good time, no, I hearyou, I hear you. And going78900:57:34.800 --> 00:57:37.440down mountains is wonderful yep, greatgas mileage. They think that he created79000:57:37.440 --> 00:57:42.159by the breaking process and converted electric. So the disadvantage of a plug in79100:57:42.239 --> 00:57:44.800hybrid, we've we've talked about thisa little bit and saying, gosh,79200:57:44.800 --> 00:57:46.719it seems like the plug in hybridwould be the worst of both worlds.79300:57:46.719 --> 00:57:50.960You gotta plug in and you haveall the maintenance issues that come with a79400:57:51.000 --> 00:57:53.920traditional car. Right, But itkind of makes sense if you think about79500:57:53.960 --> 00:57:58.440it, because the plug in hybridyou get twenty five to fifty miles on79600:57:58.480 --> 00:58:01.880your battery. So you plug itin. If all you're doing is going79700:58:01.880 --> 00:58:06.119to working back, you could dothat for an entire week and not use79800:58:06.159 --> 00:58:09.719one ounce of gasoline, not anounce, And then if you want it79900:58:10.039 --> 00:58:14.599good for your car, isn't itlike gas sitting in your car not used.80000:58:14.679 --> 00:58:17.280Bad? That's coming up. Okay, we're about It's a very good80100:58:17.280 --> 00:58:21.920observation. Though. Gasoline, thatis a problem. You've got to use80200:58:21.960 --> 00:58:27.559the gas from time to time becausegasoline's shelf life it's about three months three80300:58:27.599 --> 00:58:31.119months gasoline starts to degrade. Now, there are two things you can do.80400:58:31.519 --> 00:58:35.800One is you can use the gasolinefrom time to time, take a80500:58:35.840 --> 00:58:38.880trip to Phoenix back right. Theother is there's actually our additives that you80600:58:38.880 --> 00:58:42.800can put in your tank. Oneof our clients told me that that sounds80700:58:42.880 --> 00:58:45.320horrible. An additive in your tankto make the gas long, but that's80800:58:45.360 --> 00:58:50.880only if you're if you haven't usedthe gasoline for three months. Keep in80900:58:50.960 --> 00:58:53.639mind, this is twenty five tofifty miles, So you're gonna go to81000:58:53.639 --> 00:58:57.400Phoenix from time to time. You'regonna go to San Diego from time to81100:58:57.440 --> 00:59:01.039time. And I find that somewhatappealing, that ability to do both,81200:59:01.119 --> 00:59:07.199to have the the savings of anelectric vehicle around town. The big hassle81300:59:07.280 --> 00:59:10.400to me is, like I saidearlier, you have to plug in every81400:59:10.480 --> 00:59:13.519night. What I was gonna say, what type of charger do you need81500:59:13.559 --> 00:59:15.079for that is the same one thatyou have, same as I have.81600:59:15.280 --> 00:59:21.960What about the pricing of plugs andtraditional the pricing of plugins versus traditional hybrids,81700:59:22.840 --> 00:59:25.400as far as the cost to buythem, you mean higher. I'm81800:59:25.440 --> 00:59:29.920sure I didn't check that. Idon't know, but we'll check that and81900:59:30.000 --> 00:59:31.760get back to you. But I'mguessing the plug in hybrids are higher than82000:59:31.800 --> 00:59:37.760the traditional hybrids because they're actually they'recooler. Uh, they'll do more well,82100:59:37.000 --> 00:59:40.199it's all. It all depends onwhat kind of savings you get,82200:59:40.280 --> 00:59:45.400right, I'm sure the plugins areway faster. Uh yeah, yeah that82300:59:45.880 --> 00:59:47.239I hope you have that snap Howabout you. Do you have that snap?82400:59:47.719 --> 00:59:51.800No, not even close. Okay, I probably have the opposite in82500:59:51.840 --> 00:59:53.079your car. I've never been hybrid. I've never been in a car that82600:59:53.119 --> 00:59:58.119has as low acceleration as this car. Like it's to the point where I82700:59:58.119 --> 01:00:02.000think any car could beat me.My Tesla's speed is is borderline terrified.82801:00:02.199 --> 01:00:07.400I know, like a completely differentends of the spectrum. It's you notice,82901:00:07.440 --> 01:00:10.119I mean you you put the pedaldown and you snapped your head back,83001:00:10.159 --> 01:00:14.039and he's like, holy cowels inyour face. You can you can83101:00:14.079 --> 01:00:16.239hear your face pulled back. Imean, it really is amazing. Vic.83201:00:16.760 --> 01:00:21.360By the way, I had myfirst service on my Tesla last week.83301:00:21.400 --> 01:00:22.559Did you see Yeah, you're reallyexcited him out there. I was83401:00:22.559 --> 01:00:25.920pretty excited about it. He cameto the office, he got my key,83501:00:27.239 --> 01:00:30.320which is a credit card shaped thingthat says Tesla on it, took83601:00:30.360 --> 01:00:34.960it down there, and about thirtyminutes later he was back and my tirifts83701:00:35.000 --> 01:00:37.639had been rotated and my service wasdone. Because that's pretty much it.83801:00:38.480 --> 01:00:44.519The plug in hybrid UH does havesome advantages, but it also has the83901:00:44.599 --> 01:00:49.000disadvantages of an electric vehicle. Onthe disadvantages of a gasoline part vehicle.84001:00:50.119 --> 01:00:54.559So you're saying it has double disadvantages, Yes, double disadvantages. Absolutely.84101:00:54.639 --> 01:00:59.239All right, on that note moreacquisitions. Last week, Capital One bought84201:00:59.239 --> 01:01:04.800to Discover Finance for thirty five billiondollars, making it the largest Capital One84301:01:04.880 --> 01:01:07.639bought Discover Financial. I thought it'sgetting stopped out though, I wonder if84401:01:07.679 --> 01:01:10.239it's going to go through. Well, they obviously got to get it approved.84501:01:10.320 --> 01:01:15.079But what do you think they're acquiringthat don't see it? They wouldn't84601:01:15.079 --> 01:01:19.360want that FDC what they're Yeah,it's gonna be all that stuff. But84701:01:19.400 --> 01:01:22.079what they're trying to what they ifit does go through, what it would84801:01:22.079 --> 01:01:25.320happen is it will make it thelargest credit card company by loans and third84901:01:25.400 --> 01:01:30.719largest by purchase volume. And whatit really wants is discovers payment network,85001:01:30.760 --> 01:01:34.119which is like the rails. Isthe main reason behind buying it because it85101:01:34.239 --> 01:01:40.000shuffles the digital dollars. Digital dollarsare real consumers and merchants collecting money along85201:01:40.039 --> 01:01:47.039the way, So Capital One couldessentially own the railwork way from buying using85301:01:47.039 --> 01:01:51.079your credit card to buy something atWalmart. I just love the idea that85401:01:51.119 --> 01:01:54.440people think, like these big businessesare really like sending crates of dollars to85501:01:54.480 --> 01:02:00.000each other, Like that's how they'redoing business. Like when they're settling these85601:02:00.039 --> 01:02:04.599big loans and settling, they're justsending these physical like no, it's digital.85701:02:06.159 --> 01:02:12.239We only do that with Iran.Yeah right, those videos are crazy.85801:02:12.440 --> 01:02:15.719Create the money is all we dowith Iran. Yeah, the money,85901:02:15.760 --> 01:02:22.320right. Yeah. You don't getme started on these immigrants getting ten86001:02:22.360 --> 01:02:25.400thousand dollars and we can't give anythingto our homeless. We can't even build86101:02:25.679 --> 01:02:30.880a mental health we don't. Westopped mental health facility because we didn't have86201:02:30.880 --> 01:02:34.280the funding. Speaking speaking of it, looks like we have plenty of funding.86301:02:34.639 --> 01:02:37.400Yeah, well we don't. Wecan print. We just keep printing.86401:02:37.440 --> 01:02:39.400I mean, if you see thehomeless problem since our mental health facilities86501:02:39.599 --> 01:02:43.960were shut down, it's kind ofwhat happened, right. They don't have86601:02:43.960 --> 01:02:45.960any other place to go. No, it's true, absolutely, absolutely so86701:02:45.960 --> 01:02:49.639where do they go on the streets? Speaking of immigrants that you guys hear86801:02:49.639 --> 01:02:53.239about the Courage to Courage to ServeAct that we're introducing. No, it's86901:02:53.239 --> 01:02:57.519getting introduced to it's being introduced.It's not pasted yet, but the US87001:02:57.599 --> 01:03:00.599is introducing the Courage to Serve Act. This new old expedite the migrants path87101:03:00.679 --> 01:03:05.760to citizenship by requiring them to servein them at the US military. What87201:03:05.800 --> 01:03:08.280do you think about that? Character? Sure, I I think if you87301:03:08.320 --> 01:03:10.519want to be in this country andyou want to serve from our country,87401:03:10.559 --> 01:03:13.760then let's do it. I guessthat's a good meaning. At all of87501:03:13.800 --> 01:03:16.880the immigrants are under thirty. Huhdo you have to be under thirty be87601:03:16.880 --> 01:03:21.639in a military? I think ifyou were to get an INFRA treatment in87701:03:21.679 --> 01:03:23.320his forties or fifties, it mightbe kind of pointless. I mean,87801:03:23.320 --> 01:03:27.760at this point, half the militaryis just making drone strikes. You just87901:03:27.760 --> 01:03:29.679got to click a button on akeypad. I don't think you have to88001:03:29.679 --> 01:03:32.000be a super infit shape for that. But I see your point. Maybe88101:03:32.159 --> 01:03:36.679maybe you have to be under thirty. I don't know that's it's just so88201:03:36.719 --> 01:03:42.760many that the whole mess that's beencreated by the border is just beyond me.88301:03:42.960 --> 01:03:45.400I don't understand how anyone in theright Yeah, and it took into88401:03:45.440 --> 01:03:49.480an election here for the Bide administrationto acknowledge that there's an issue. Yeah88501:03:49.760 --> 01:03:52.679ninefore the election goes Yeah, yeah, well you need to tighten up that88601:03:52.719 --> 01:03:55.719border, well conveniently took until theelection your first three years. No,88701:03:57.000 --> 01:03:59.840there's nothing wrong with you. Guysare crazy. It sucks for the type88801:03:59.880 --> 01:04:01.480of for the people that try tomake it a point to come across,88901:04:01.840 --> 01:04:05.880you know, legally, it reallyde insensivizes that. In my opinion,89001:04:06.119 --> 01:04:11.440I just don't understand how it's goodfor anybody. How's it good for the89101:04:11.440 --> 01:04:15.239the person from Mexico that's allowed intoyou know, it's only good for one89201:04:15.239 --> 01:04:17.840person, and it's the socialist personthat's leading this whole thing, because they're89301:04:17.880 --> 01:04:20.519gonna get their vote, their votes, right, those people are getting all89401:04:20.519 --> 01:04:23.199this free money. They think that'show the system works. Well, I89501:04:23.239 --> 01:04:26.559feel if they are allowed to vote, well, they're gonna let them.89601:04:26.880 --> 01:04:31.960They're definitely figuring out way. Wethought from day one that that was the89701:04:32.000 --> 01:04:34.719whole idea. Just bring in awhole bunch of Democrats right from Mexico.89801:04:34.960 --> 01:04:39.239They're part of the military now thatthere should be allowed to vote if they89901:04:39.239 --> 01:04:42.159make them, if they make themserve anyway, that's a Now we're getting90001:04:42.159 --> 01:04:46.280involved in Dean's monologue. We tryto make there's some money matter show well,90101:04:46.360 --> 01:04:49.480ferrari I mean, I've talked aboutit before. It continues to have90201:04:49.679 --> 01:04:54.960just killer weeks. It's up fiftyeight percent over the last year. And90301:04:55.159 --> 01:04:58.960uh, there's just something about Ferrarithat just keeps the track. I mean,90401:04:59.000 --> 01:05:01.360why is that company doing so muchbetter than all the other cars?90501:05:01.920 --> 01:05:06.400I don't know other than that,other than it's a very desirable car that's90601:05:06.440 --> 01:05:10.840available to a very small part ofthe population. Yeah, I don't think90701:05:11.440 --> 01:05:15.119is Lamborghini public. They're a privatecompany pretty sure, Rolls Royce and the90801:05:15.159 --> 01:05:17.280public, but they also have theirplane engines and stuff like that that they90901:05:17.280 --> 01:05:23.960do, so it's a little differentpublic Prsch's public. How's the dude compared91001:05:23.960 --> 01:05:28.400to That's interesting. I'm pretty suretrade is about seven dollars. Yeah,91101:05:28.440 --> 01:05:31.360yeah, what I mean, yes, Ferrari kills it and they and they91201:05:31.440 --> 01:05:34.119keep saying that they don't want toincrease production and that's the main thing.91301:05:34.119 --> 01:05:36.360They want to keep the exclusivity.Like we talked about the other day,91401:05:36.679 --> 01:05:40.239their suv has sold out for twoor three years and it hasn't even come91501:05:40.280 --> 01:05:42.679out yet. Well, and it'sit's just it's just a sadust symbol,91601:05:42.760 --> 01:05:45.679right, and they know it,and that's what they lean into and it's91701:05:45.679 --> 01:05:51.400working. And a brand of clothes, yeah, like Goose, your Valencia91801:05:51.400 --> 01:05:55.679Agar whatever those are. No,you buy a Ferrari because you can't take91901:05:55.719 --> 01:05:59.199your house everywhere, and you buya Rollex because you can't get to Ferrari92001:05:59.280 --> 01:06:03.480in the house. You know,it's simple. Biden administration is canceling smart92101:06:03.559 --> 01:06:09.000student debt. They're canceling one pointtwo billion dollars more of debt. I92201:06:09.000 --> 01:06:11.880think it's up to like one hundredand thirty billion or something. This round92301:06:11.960 --> 01:06:15.480is going to be affected on nearlyone hundred and fifty three thousand borrowers,92401:06:15.880 --> 01:06:19.679and it's to relieve people who havemade replaint payments and they had initially twelve92501:06:19.719 --> 01:06:26.039thousand or less, and they've beenpaying for a decade. The uh,92601:06:26.119 --> 01:06:30.159what's his name? The defense theSecretary of Education said that if you've been92701:06:30.199 --> 01:06:32.880paying for a decade, you paidlong enough, You paid your due.92801:06:33.039 --> 01:06:36.079I've been paying my mortgage for adecade. Can I get so you've done92901:06:36.079 --> 01:06:40.119your part. You deserve relief.I observe relief. Yeah, I deserve93001:06:40.159 --> 01:06:42.679to have the rest of its forgiven. I've been paying it for twelve years.93101:06:42.760 --> 01:06:45.920Actually, I've been so Once again, de incentivizing for people to do93201:06:45.960 --> 01:06:48.679it the right way. Pay offfor loans. Yeah, you actually actually93301:06:48.960 --> 01:06:54.320made a contractual commitment. And Ireally do not want to live up to93401:06:54.360 --> 01:06:57.280this contract because it's but they're finewith taking your money in the beginning.93501:06:57.679 --> 01:06:59.719Yeah, it's a burden. It'sa burden for me. Right, they're93601:06:59.719 --> 01:07:02.239fine. Do you like sending thatup? Setting that up at eighteen years93701:07:02.239 --> 01:07:04.719old? But now they're like,we'll give it up because they're trying to93801:07:04.719 --> 01:07:09.360buy votes beyond meat was back inthe news. Did you see that?93901:07:09.719 --> 01:07:12.920Actually happened to be watching a sharktank and a cool show. You know,94001:07:12.960 --> 01:07:15.039if you got nothing to do,put on Shark Tank, right,94101:07:15.119 --> 01:07:18.039it's kind of entertaining. And therewas this gallon there that had come up94201:07:18.039 --> 01:07:24.559with meatless pastrami. And you neverknow how old because you know, when94301:07:24.559 --> 01:07:27.760they're running them, they run themevery hour for you know, all night94401:07:27.800 --> 01:07:30.199long, so you don't know ifit's from twenty twelve or I mean,94501:07:30.239 --> 01:07:32.400you don't know when the show.But she'd come up to check that,94601:07:32.480 --> 01:07:36.400right, meatless pastrami? What youjust hit info? No, I get94701:07:36.440 --> 01:07:40.280that, I get that. WhatI'm saying when I'm listening to this I94801:07:40.280 --> 01:07:43.159think I did go back into wastwenty nineteen. I think that she had94901:07:43.199 --> 01:07:45.599come up with this, but BeyondMeat, which was with the Biggie you95001:07:45.599 --> 01:07:49.480know, that was two hundred andforty dollars a share after they came public95101:07:49.519 --> 01:07:54.440in twenty nineteen, which is whenthis meatless pastrami thing was going on,95201:07:55.639 --> 01:08:00.800but it spent much of the lastyear under ten bucks, two and four95301:08:00.000 --> 01:08:05.559under ten bucks. Consumers lost theirtaste for the product after numerous articles pointed95401:08:05.599 --> 01:08:12.639out that the meatless burgers are actuallyless healthy than the real deal because of95501:08:12.679 --> 01:08:15.880the sodium. So Beyond Meat hascome out decided that this summer they're gonna95601:08:15.880 --> 01:08:21.600come out with a low sodium version. Oh thank you, that's is going95701:08:21.640 --> 01:08:28.560to be normal. Yeah, Butbecause I'm thinking, I'm thinking maybe that95801:08:28.600 --> 01:08:33.880ship has sailed the meatless well,actually, those vegans they hold onto those95901:08:33.880 --> 01:08:35.960things. Actually, to your point, David, when you brought up that96001:08:35.960 --> 01:08:39.199shark tank, I was actually watchingone about two nights ago, and this96101:08:39.239 --> 01:08:43.439was a newer one that came outthis year. This company was a meatless96201:08:43.439 --> 01:08:45.760fake and they made bacon out ofmushrooms. So I mean there's still companies96301:08:45.760 --> 01:08:48.039out there trying to do that thing. But you know, I was in96401:08:48.119 --> 01:08:51.319Whole Foods the other day buying fruit. Now, if you want fruit or96501:08:51.359 --> 01:08:54.880meat, go to Whole Foods.If you want normal food, don't go96601:08:54.960 --> 01:09:00.000there. So I'm in they're gettingthe fruit for my wife, and and96701:09:00.000 --> 01:09:01.399and I thought I really had asweet tooth. And it's a Saturday after96801:09:01.479 --> 01:09:03.920I'm thinking I could really go forsome ice cream. Why don't they have96901:09:03.960 --> 01:09:06.479ice cream in this store? SoI go around to the ice cream thing97001:09:06.520 --> 01:09:10.159and I get get and they haveBen and Jerry's right, and they have97101:09:10.199 --> 01:09:12.680cookie dough, my favorite. SoI get a little carton of Ben and97201:09:12.760 --> 01:09:15.399Jerry cookie dough, right, andI take it home. And I let97301:09:15.439 --> 01:09:16.960a thought a little bit because Ilike it a little softer, right,97401:09:17.039 --> 01:09:21.159And I get the spoon and Itake it. It was like, horrible,97501:09:24.000 --> 01:09:27.000How could Ben and Jenerry's cookie joughbe horrible? I look at the97601:09:27.039 --> 01:09:32.640side of the container. Plant basedso horrible. And we were we were97701:09:33.000 --> 01:09:39.640at Wildcats. Wildcats is a playerfor children, and if you haven't taken97801:09:39.720 --> 01:09:44.640your children there, it's spectacular.It's a speedway and swan in the Sprouts97901:09:44.640 --> 01:09:47.840Center. And we were there andmy wife needed some uh, cream cheese.98001:09:48.159 --> 01:09:50.720Right, So I round the Sproutsand I found the cream cheese,98101:09:50.720 --> 01:09:54.479and I bought a cream cheese andI took it home and the next morning98201:09:54.600 --> 01:09:57.399the kids had bagels with cream cheeseright at this five year old and seven98301:09:57.479 --> 01:10:00.960year old and put it on thereand stuff give it to me. I98401:10:01.000 --> 01:10:06.840look at the side of it plantbased. There are certain things dairy particularly,98501:10:06.880 --> 01:10:11.159it probably shouldn't be plat based.You know what helped vision pros.98601:10:11.199 --> 01:10:14.079You put those on. You pickup the dairy free and it alerts the98701:10:14.199 --> 01:10:18.119vision pro they goggles free the goggles. Well, you know, why wouldn't98801:10:18.119 --> 01:10:23.159I look after my experience at WholeFoods, why wouldn't I have looked to98901:10:23.159 --> 01:10:26.800see if it was plant based.I guess Sprouts is going down the whole99001:10:26.800 --> 01:10:30.359food route. But Klin of minehas a son that works at Whole food99101:10:30.359 --> 01:10:34.520and they have five hundred ingredients thatare not allowed allowed at Whole Foods.99201:10:35.000 --> 01:10:42.359Five hundred. One of them isgood taste. Apparently, No, I99301:10:42.359 --> 01:10:44.760shouldn't say that Whole food is awonderful store and they have a lot of99401:10:44.920 --> 01:10:47.560wonderful products, and a lot ofpeople like Whole Foods. And I've got99501:10:47.600 --> 01:10:54.319one a mile from a house,and I'm there probably three or four times99601:10:54.359 --> 01:10:57.239a week getting food or meat orsomething, because that's really if you want99701:10:57.239 --> 01:11:00.199the best fruit and meat. That'ssee. I'm sticking with fries. Now.99801:11:00.720 --> 01:11:03.079They're building new fries out in gladFarms where I'm where I'm moving to99901:11:03.359 --> 01:11:09.199next week and uh first fries inGladdy Farms and I'm moving in right perfectly,100001:11:10.920 --> 01:11:13.960Grant and Swan every Saturday morning,just to see if I can survive.100101:11:14.039 --> 01:11:16.840I grew up in I've been I'vebeen waiting for this fries for over100201:11:16.880 --> 01:11:20.079ten years. It just gets themoving. Yeah, there's nothing all the100301:11:20.079 --> 01:11:24.239benefits of it. There is nothingout now there is, Yeah, go100401:11:24.319 --> 01:11:27.119out there again. It's starting toit's busy, starting to get busy.100501:11:27.800 --> 01:11:33.920Where where is the downtown quote unquotedowntown of Miranda Morana Road that was the100601:11:34.119 --> 01:11:38.840one after it's the one after Tangerine. Yeah, there just isn't much there.100701:11:39.079 --> 01:11:43.359No, it's the one after Tangerine. Where's the McDonald's that's the one100801:11:43.399 --> 01:11:47.640after the Marana Because there's nothing there. I've driven back there miles. There's100901:11:47.720 --> 01:11:53.760McDonald's, Jack in the Box,Busbee breakfast club. Anyway, this is101001:11:53.800 --> 01:11:59.720the grocery version of The Money MatterShow and won't be back right just break.101101:12:00.000 --> 01:12:02.239Thanks for putting up with us thismorning. We'll talk to you after101201:12:02.239 --> 01:12:04.960the break. Welcome back. You'relistening to The Money Matter Show. I'm101301:12:05.000 --> 01:12:09.079Dylan Greenberg. I'm here with ToddGlick, A bash In Borsini, Dad101401:12:09.159 --> 01:12:12.239Sherwood, and Dean Greenberg. Forthose of you who's just tuning in missed101501:12:12.239 --> 01:12:15.479the first hour, we are hostingan event on April second. It's gonna101601:12:15.520 --> 01:12:19.399be our team. It's gonna beat La Polomo Country Club. It's gonna101701:12:19.399 --> 01:12:23.279be twelve pm to three pm onApril second. It's gonna be our team101801:12:23.319 --> 01:12:29.039talking Jonathan Sabilia from Edward Lawferm andthe Johnson brothers from the Johnson Group who101901:12:29.039 --> 01:12:30.880are tax accounts. And we're gonnahave a special guest James T. Harris,102001:12:31.279 --> 01:12:34.520the New Morning Drive host. We'regonna be talking about how to mitigate102101:12:34.600 --> 01:12:39.279risks, the market out look,political the election coming up, what could102201:12:39.319 --> 01:12:43.159you do with your portfolio, everythinglike that, the state planning taxes,102301:12:43.520 --> 01:12:45.640all of that combined into one event. And it's gonna be a nice second102401:12:45.680 --> 01:12:49.279half of that panel is gonna beWe're gonna be asked. You guys can102501:12:49.319 --> 01:12:53.199ask us questions and you get afree lunch. Get a free lunch.102601:12:54.279 --> 01:12:57.000But if you want to sign up, give us a call, be happy102701:12:57.000 --> 01:12:59.119to sign you up, and we'relooking forward to it. It's gonna be102801:12:59.119 --> 01:13:02.359a very informational yeah, and whenyou're when you go to this event,102901:13:02.359 --> 01:13:05.720you're also going to be able toobviously take advantage of our free financial plan103001:13:05.800 --> 01:13:11.159afterwards and actually start to look athow to implement the strategies discussed in that103101:13:11.279 --> 01:13:15.159symposium and how to take those firststeps. That's a great lineup, great103201:13:15.199 --> 01:13:17.600lineup. I mean, what elsewould you need to know? Right now?103301:13:17.640 --> 01:13:21.359You guys did great, And Imean anyone that would not benefit from103401:13:21.399 --> 01:13:27.159that line is busy. You'd haveto benefit. You just have to be103501:13:27.199 --> 01:13:30.079busy that you don't show up right, And there's no obligation, right,103601:13:30.239 --> 01:13:32.720We're not gonna put your name onthe list and start calling you every you103701:13:32.760 --> 01:13:36.319know, two weeks until you finallygive in and become a client. And103801:13:36.399 --> 01:13:40.239that's just not how we do it. We've got a lot of other things103901:13:40.279 --> 01:13:43.560that we're working on and it's allabout education. We're out here gonna give104001:13:43.600 --> 01:13:45.119you a good education, and thenit's up to you if you want to104101:13:45.119 --> 01:13:48.880move forward. Side. You've gota couple of relatives in the housing business104201:13:48.920 --> 01:13:54.640Toll Brothers. Uh, just alltime high Toll Brothers. Yeah. So,104301:13:54.720 --> 01:13:58.760like my mom keeps telling me aboutthese companies that are offering these crazy104401:13:58.840 --> 01:14:01.199deals on mortgage rates, like downin the threes and fours, And my104501:14:01.279 --> 01:14:04.000mom was like, you know,how are you guys doing this? And104601:14:04.039 --> 01:14:08.920they're saying, we're not really makingmuch money. We're just we have a104701:14:08.960 --> 01:14:12.880lot of sales. Wow, andyou have to stock hit a new all104801:14:12.960 --> 01:14:15.680time high. And so I thinksome of these new home builders, you104901:14:15.720 --> 01:14:17.319know, KB Home's not doing it. I would have been part of it,105001:14:17.560 --> 01:14:20.239so they're not doing the low rates. But you know, these there105101:14:20.279 --> 01:14:25.520are some of these new home buildersthat maybe you know investors who are looking105201:14:25.600 --> 01:14:29.359at their financial reports see these blowoutsales and not realizing that there's not a105301:14:29.399 --> 01:14:33.399lot of profit margin on the otherside. So it's it's an interesting space.105401:14:33.560 --> 01:14:38.279You know, obviously that new homespace is going to continue to be105501:14:38.600 --> 01:14:43.840the predominant, you know, strengthin that in that sector because you still105601:14:43.880 --> 01:14:46.279have rate tie right, people arestill coveting that low interest rate you're still105701:14:46.319 --> 01:14:48.760gonna the only way you're going tobe getting into this market is that new105801:14:48.760 --> 01:14:54.640home build or you're a cash buyer. And we continue to have that situation105901:14:54.680 --> 01:14:58.279where people are coveting their mortgage morethan they're coveting their house, and so106001:14:58.439 --> 01:15:01.560inventory continues to be very low.I've got a friend of mine who's one106101:15:01.560 --> 01:15:04.000of the top real estate agents intown, and he said, that's the106201:15:04.000 --> 01:15:06.399biggest problem. Yeah, and that'skind of leading to this, you know,106301:15:06.439 --> 01:15:11.960rental increase we're seeing in the lastmonth's CPI because you just think about106401:15:11.960 --> 01:15:14.600it, right, it's supplying demand. Yeah, there's not houses available.106501:15:14.600 --> 01:15:16.239Those people have to go somewhere.They're gonna have to go to rents.106601:15:16.239 --> 01:15:21.159Housing is that component of CPI thatcontinues to put pressure upward pressure on the106701:15:21.199 --> 01:15:26.239CPI, and I don't know whatwhat ultimately mitigates that. It's not like106801:15:26.399 --> 01:15:30.399home prices are going up a lot, it's really rent is pushing that up106901:15:30.479 --> 01:15:32.840higher. So you know, again, the only way to get around that107001:15:32.880 --> 01:15:36.720issue is lower rates, because that'swhen people don't covet it anymore. Until107101:15:36.800 --> 01:15:40.880then, how do you see thischanging? I don't see it. I'm107201:15:40.920 --> 01:15:44.039with you, but my Buddy said. The real real estate guy said that107301:15:44.279 --> 01:15:46.319there's still these multiple offer deals goingon. He said, a house comes107401:15:46.359 --> 01:15:49.239on the market in a nice area, and he said with multiple offers.107501:15:49.319 --> 01:15:53.479I wish that was true. InPhoenix, bidnet higher my daughter and it's107601:15:53.520 --> 01:15:56.960kind of like la. My daughterin Woodland Hills put her house on the107701:15:57.000 --> 01:16:00.079market and they had I think itwas twenty or twenty twenty five different offers.107801:16:00.079 --> 01:16:02.119I'll tell you, I'll probably beable to sell my house if i'd107901:16:02.199 --> 01:16:05.680have solar on it. Yeah,if you had solar. If I didn't108001:16:05.720 --> 01:16:10.680have solar on it, Oh,the one in Phoenix, you think it's108101:16:10.760 --> 01:16:14.000the solars? What's keeping From everysingle offer I've gotten, there has been108201:16:14.000 --> 01:16:16.800a comment on the solar in whatway bad? Nobody wants to take the108301:16:16.840 --> 01:16:19.960contract over. They don't see thevalue in it. So you rent the108401:16:20.000 --> 01:16:24.520solar, No I own it.It's it's financed. They would take over108501:16:24.560 --> 01:16:28.199a two point five percent finance rate. It's not like it's a high it's108601:16:28.239 --> 01:16:30.199just the fact that they don't seethe value in it. So what's the108701:16:30.279 --> 01:16:35.119cost. It's it's too twenty amonth a month you're paying for the solar108801:16:36.279 --> 01:16:40.600up in Phoenix, and what doyou think it saves you? And it's108901:16:40.600 --> 01:16:45.319breaking its break? It should bebetter, right because as we had for109001:16:45.439 --> 01:16:46.800people on the show, talk aboutif you have an energy efficient home,109101:16:46.800 --> 01:16:50.000it's a nineteen sixty home. It'snot energy efficient act all. But if109201:16:50.000 --> 01:16:54.479it was right, you're going tohave those savings actually show up. Right109301:16:54.479 --> 01:16:57.640now, I'm basically breaking even onwhat I would just have if I had109401:16:57.640 --> 01:17:01.520a normal system. When did youbuy that home twenty twenty? So with109501:17:01.560 --> 01:17:05.199that, are you locking in yourkind of energy bill at that price in109601:17:05.239 --> 01:17:09.399a way? I guess yeah.I mean people don't realize that value.109701:17:09.520 --> 01:17:11.720Yeah, they just don't see it. And they also don't realize, you109801:17:11.760 --> 01:17:15.279know, the fact that the entireelectric grid of a nineteen sixty home is109901:17:15.279 --> 01:17:16.880old, right, it's not goingto plug into solar, so you have110001:17:16.960 --> 01:17:20.199to redo that entire electric grid.People don't really see that. So it's110101:17:20.199 --> 01:17:26.520the idea behind that that you wouldsave on your identit for the utility bill,110201:17:27.399 --> 01:17:30.840that you'd pay nothing for utilities,but you're paying for the solar what110301:17:30.880 --> 01:17:32.800you would pay for the utilities.And you do that over a period of110401:17:32.840 --> 01:17:36.319ten years or so, and thenultimately you own it. Yeah, and110501:17:36.439 --> 01:17:42.039ultimately what happens is like CBS says, the rate of energy continues to increase.110601:17:42.079 --> 01:17:44.960Where you've kind of locked it in, Well, do you have the110701:17:45.000 --> 01:17:48.239ability to buy it out? Imean can you can you say grand,110801:17:49.079 --> 01:17:53.319yes, I own it? Yes, Well would you do that? It's110901:17:53.359 --> 01:17:56.880not niate grand. Okay, it'sa big number. I think you said111001:17:57.119 --> 01:18:00.399you put forty grand in. Yeah, it was your cost because had to111101:18:00.439 --> 01:18:02.880redo the entire electric grid on thehouse, and then they had to put111201:18:02.880 --> 01:18:05.159the battery, then they had todo the panels, they had to make111301:18:05.159 --> 01:18:09.279sure it was a code. Andso when you start adding all those up,111401:18:09.319 --> 01:18:12.359you realize you have a payment oftime. I mean two twenty is111501:18:12.359 --> 01:18:15.960is pretty low for the amount ofmoney I financed. And it was only111601:18:15.960 --> 01:18:18.119because it was during a low interestrate environment. Right. Could you imagine111701:18:18.159 --> 01:18:20.960doing that now? It would beinsane. So you've not only got to111801:18:20.960 --> 01:18:25.560buy the house, you've got tobuy the solar. Yep. That's that's111901:18:25.720 --> 01:18:30.840been a sticking point. How interestingsomething to think about if you're considering solar112001:18:30.880 --> 01:18:34.159for your house, I guess youprobably want to pay cash. I think112101:18:34.159 --> 01:18:38.880it's like if it's a forever homeit's a little easier to justify it,112201:18:38.920 --> 01:18:42.159right. What a forever home?Right? Right? I mean so many112301:18:42.199 --> 01:18:45.279people, for so many people saythey're going to live in that home forever,112401:18:45.319 --> 01:18:48.720and then ten years down the roadthey're like, I hear this term112501:18:48.760 --> 01:18:51.479all the time, But forever home, it's like, give me a break.112601:18:53.319 --> 01:18:56.279You're the oldest one at the table. You would know. Are you112701:18:56.359 --> 01:19:02.640in a forever home right now?Yeah? Yes, God, but my112801:19:03.600 --> 01:19:06.720last forever home was See, I'mnot I don't I don't like to move.112901:19:06.800 --> 01:19:11.239So my last time I was infor twenty three years, and the113001:19:11.279 --> 01:19:15.720current home I've been in for thirteenyears, a twelve years. So I113101:19:15.880 --> 01:19:18.520like you like your systems now,I just don't like to move, and113201:19:18.560 --> 01:19:23.439I like my I like new things. I like routines, Yeah I do.113301:19:23.640 --> 01:19:26.159No, I do. I likeroutines. You're absolutely right. So113401:19:26.800 --> 01:19:30.199that's interesting that that that solar wouldbe. But again, my my buddy113501:19:30.239 --> 01:19:33.439says, the houses in nice neighborhoodsthat are decent houses when they come on113601:19:33.479 --> 01:19:38.039the market, bang multiple offers.I was telling you about my daughter in113701:19:38.359 --> 01:19:41.560Woodland Hills, which is not exactlya hot spot, right. It's nice113801:19:41.600 --> 01:19:45.159town, it's not a hot spot, put her working class house on the113901:19:45.199 --> 01:19:49.680market and seven figures, because that'swhat it is for a starter home in114001:19:49.800 --> 01:19:55.399LA. And they ended up withthe twenty two or three offers, and114101:19:55.640 --> 01:19:59.840they narrowed it down to the tenthey liked the best. They went back114201:19:59.840 --> 01:20:01.920to the ten they liked the bestand said, okay, make your best114301:20:01.960 --> 01:20:05.119and final offer to these ten.Right, this is how you sell a114401:20:05.119 --> 01:20:10.560home in La. Right, Soif you don't own a home, if114501:20:10.560 --> 01:20:14.119you don't know, you don't owna home in LA, you don't buying.114601:20:15.000 --> 01:20:17.239Are you dealing? Move in La? I hadn't heard. No,114701:20:17.279 --> 01:20:19.560he's saying he wishes his house hadten offers he had to deal with.114801:20:19.640 --> 01:20:23.319It's unbelievable. Yeah, it's it. And they go back and then then114901:20:23.359 --> 01:20:26.479out of those, they picked thebest three and they go back to them115001:20:26.520 --> 01:20:29.720and say, okay, one moretime. You know it's crazy. Ended115101:20:29.760 --> 01:20:32.039up selling it for twenty percent abovewhat it was listened for. The home115201:20:32.159 --> 01:20:36.279Jeff Bezos started Amazon out of wherehe rented is the garage sold for two115301:20:36.319 --> 01:20:40.840point two million dollars in Washington.Came out for a percent discount. What115401:20:40.920 --> 01:20:43.039kind of thing? Yeah, well, it was fifteen hundred square feet.115501:20:43.079 --> 01:20:46.159It looks like a little Midwestern top. Is it just because of just because115601:20:46.159 --> 01:20:49.159of the historic value of it.Oh yeah, that's not a garage of115701:20:49.159 --> 01:20:55.239Amazon two million dollars. It's niceand size renovated, but it's fifteen hundred115801:20:55.239 --> 01:20:58.800square fifteen hundred square feet Bellevue,Washington. He paid nine to eighty in115901:20:58.840 --> 01:21:01.800rent when he was there. Ohmy god. A couple of a couple116001:21:01.840 --> 01:21:08.640of doustocks that are typically not movers. Intel. They had a really strong116101:21:08.680 --> 01:21:12.600twenty twenty three. The stock's beenlaying dead for years, had a really116201:21:12.600 --> 01:21:16.079strong twenty twenty three. Down thirteenpercent this year, but it jumps higher116301:21:16.119 --> 01:21:21.039on Tuesday on news that Biden administrationis in talks to awarded more than ten116401:21:21.199 --> 01:21:27.920billion in ships acts, sub subsidies, subsidies. So in the next couple116501:21:27.960 --> 01:21:32.319of weeks ten billion pretty significant.Yeah, right, got the stackt that116601:21:32.359 --> 01:21:34.960I got the stocktor that take alittle pop here. Merk is another one.116701:21:35.039 --> 01:21:39.399Merk's one that I've watched. Ihadn't really paid much attention to it,116801:21:39.680 --> 01:21:41.880and I was looking at an accountthe other day and I go,116901:21:42.279 --> 01:21:45.880what happened here? And it wasMerk. You know, two thousand and117001:21:45.880 --> 01:21:50.760eight to twenty eighteen, MERK wasunchanged, really unchanged in that ten year117101:21:50.800 --> 01:21:57.640period. Within the last ninety daysit has gained thirty percent. And what117201:21:57.640 --> 01:22:01.920what's happening is they've they've quietly beenbuying smaller companies that are working on a117301:22:01.960 --> 01:22:08.279cancer treatment. And the only thingI can think is that investors have this117401:22:08.520 --> 01:22:12.600hope that they're going to come upwith a cure for cancer. Now we117501:22:12.680 --> 01:22:16.479all know there are multiple types ofcancer, so coming up with a cure117601:22:16.520 --> 01:22:20.520for cancer probably unlikely. Right,you come up with a cure for a117701:22:20.520 --> 01:22:25.520certain type of cancer, you comeup with something that would deal with lung117801:22:25.520 --> 01:22:29.680cancer, that would probably be abig deal. But that's the only thing117901:22:29.760 --> 01:22:32.119I can think of, the onlything that's been different. If you look118001:22:32.119 --> 01:22:36.479at the stock over the last tentwelve years, if you were if that118101:22:36.640 --> 01:22:41.720was your EKG, you'd be introuble, you know. And then just118201:22:41.920 --> 01:22:45.359recently, just boom off, it'sgone, and I look at it and118301:22:45.399 --> 01:22:49.840it moves up almost every single day. Well Mark had a really strong COVID118401:22:50.720 --> 01:22:55.479ERA like its performance in COVID waspretty good. Yeah, but they didn't118501:22:55.520 --> 01:23:00.600We talked about that they missed outcompletely. Pfizer was still killing it increase118601:23:00.680 --> 01:23:02.600though. Yeah, but they weren'treally involved in COVID. In fact,118701:23:02.600 --> 01:23:05.560I was talking to one of theirrest the other day and I said,118801:23:05.560 --> 01:23:10.079you completely missed the whole COVID thing. He goes, you know, that's118901:23:10.079 --> 01:23:13.640the way it looks. But didyou Did you realize we were manufacturing the119001:23:13.720 --> 01:23:17.800Johnson and Johnson vaccine right, becausethe one shot vaccine Murk had that,119101:23:17.880 --> 01:23:20.399but it didn't. That didn't havemuch to do with the stock either,119201:23:20.439 --> 01:23:25.960Todd. Honestly, it's been layingdead until the last six months, and119301:23:25.960 --> 01:23:30.239it's just been going up almost everysingle day. And it's hard to get119401:23:30.239 --> 01:23:34.319a handle on what's happening because theydon't have any particular breakthroughs. There's nothing119501:23:35.119 --> 01:23:39.560that they're involved in that's that earthshaking. The only thing I can think119601:23:39.600 --> 01:23:43.199of is that they've been acquiring allthese other companies and they're just excitement about119701:23:43.199 --> 01:23:46.720what they're going to accomplish. Ithink, so kind of like AI,119801:23:46.920 --> 01:23:50.079right, yeah exactly, I mean, I we've seen that. But it's119901:23:50.079 --> 01:23:53.520also you gotta be careful with thoseif they do end up having a cure120001:23:53.600 --> 01:23:57.479for say, lung cancer, yougotta they just by the rumor. Because120101:23:57.520 --> 01:23:59.640of that, they'll go up.But then they care, they're going to120201:23:59.720 --> 01:24:01.880lose the tell the news, right, They're gonna lose all that, just120301:24:01.880 --> 01:24:05.359like Gilliatt had their issue when theycured. Whatever does he they cured?120401:24:05.760 --> 01:24:09.600Yeah, dropped a lot. Iguess we'll I guess we'll find out eventually.120501:24:09.680 --> 01:24:11.920But a lot of people seem towant to own merkstock right now.120601:24:12.039 --> 01:24:15.399We appreciate your listening to us onthis Sunday morning, The Money Matter Show.120701:24:15.640 --> 01:24:17.600We have one more segment. UhDean, he's getting ready to join120801:24:17.680 --> 01:24:20.760us, and we'll look forward totalking to you right after this break.120901:24:20.960 --> 01:24:24.640Welcome back to everybody. It's thelast segment of the Money Battery Show.121001:24:24.680 --> 01:24:28.399Remember, you can go back andlisten any time you want Money Matters with121101:24:28.439 --> 01:24:31.840Dean Greenberg on every platform. Weput it on a podcast for you and121201:24:31.880 --> 01:24:34.680then you can listen to what segmentsyou want. Whatever you want. You121301:24:34.680 --> 01:24:39.119can go back and check us,uh see if we're writing wrong or whatever.121401:24:39.239 --> 01:24:42.880But uh, you know, we'vebeen talking about a lot of things.121501:24:43.239 --> 01:24:45.479Yeah, I mean this is thisis important to bring up though,121601:24:45.520 --> 01:24:47.399because we do have a lot offederal employees and the potential that we have121701:24:47.439 --> 01:24:51.600a government shut down is increasing.The fact that Johnson is the speaker right121801:24:51.640 --> 01:24:55.720now, he's getting me in hisselfin a heart rock and a hard place121901:24:55.760 --> 01:24:58.399because if he does what the Demswant, he's gonna lose his job.122001:24:58.600 --> 01:25:00.760If he shuts down the government,Well that's not good either. If the122101:25:00.760 --> 01:25:04.319government does shut down, what happens, federal employees potentially won't get their paycheck.122201:25:04.560 --> 01:25:08.760So if you are a federal employeelistening, take measures now to save122301:25:08.800 --> 01:25:12.600a little more. Just be precautious. Understand that that could be on the122401:25:12.640 --> 01:25:15.840horizon if the government shuts down.Worst case scenario and come in and do122501:25:16.000 --> 01:25:21.920your plan. Yep, you knowit's it's it's kind of wild. Fear122601:25:23.039 --> 01:25:25.800drives people to come in and dotheir plan. They should do it all122701:25:25.840 --> 01:25:30.000the time. You should always havea plan because plans change absolutely. The122801:25:30.039 --> 01:25:34.439other thing, it's not a setthing in in in in concrete, Well,122901:25:34.479 --> 01:25:40.760it's the fear of also not likealso thinking that you're not going to123001:25:40.800 --> 01:25:43.399be well offter in retirement. Sincethey don't want to know the answer,123101:25:43.560 --> 01:25:46.279that's why they hesitate to come inas well. But once usually when clients123201:25:46.279 --> 01:25:49.399come in, it turns out tobe better than they thought. Yeah,123301:25:49.479 --> 01:25:56.560let's talk about fear right now,people. I mean I I just so123401:25:56.720 --> 01:26:00.000just a warning out there. Okay, the markets go up and down.123501:26:00.079 --> 01:26:02.840We all know that there's probably twentygood reasons right now the market shouldn't be123601:26:02.880 --> 01:26:06.800going up, but it can stillgo up. You never sell everything,123701:26:10.159 --> 01:26:14.199you never go totally to cash.You stay balanced. You can increase your123801:26:14.199 --> 01:26:16.640fixed income and secure your position.You can lower your risk tolerance, you123901:26:16.680 --> 01:26:24.239can hedge mitigate risk. But whatI'm seeing out there, advertisement over advertisement124001:26:24.279 --> 01:26:28.359over advertisement, is they want tofeed on your fear. Market's overdarn,124101:26:28.439 --> 01:26:31.640They're going to collapse. We're thebiggest move down. I read it every124201:26:31.680 --> 01:26:39.359day. They want to sell youannuities, plain and simple. They want124301:26:39.399 --> 01:26:44.720to sell you annuities because they'll comein and their line will be, hey,124401:26:44.800 --> 01:26:48.199you can't lose any money. It'sguaranteed by the insurance company, and124501:26:48.439 --> 01:26:51.920you can still make some upside.Oh and you save on taxes because it124601:26:53.000 --> 01:26:59.119sacks deferred. The problem is,guys, you can also go into government124701:26:59.159 --> 01:27:02.520bonds right now, good corporate bondsand make pretty much the same type of124801:27:02.560 --> 01:27:08.119return they're talking about. So ifthey're trying to put this annuity in your124901:27:08.840 --> 01:27:13.760four one K in your IRA.I think twice. You don't need tax125001:27:13.800 --> 01:27:16.520deferment over tax affirment. Before itwas good because you couldn't get any income.125101:27:17.640 --> 01:27:21.840You don't need to do that now, and be careful on how long125201:27:21.920 --> 01:27:26.439you go out. We see peoplecome in here with ten, twelve,125301:27:26.600 --> 01:27:30.800fourteen year annuities that they got themoney up front. Don't do it.125401:27:31.760 --> 01:27:39.039I understand there's a place for annuities. There really is, and it is125501:27:39.039 --> 01:27:42.600good because it's tax deferred if youdon't need the money, and yes,125601:27:42.640 --> 01:27:45.119it stops you from going down.But this whole thing about we're gonna give125701:27:45.159 --> 01:27:48.079you this big bonus and then we'regonna go give you all this other stuff,125801:27:48.439 --> 01:27:54.640nobody understands what that is. Especiallyif you ever want to liquidate it.125901:27:55.319 --> 01:27:58.640You're not gonna get the money thatyou think you're gonna get. If126001:27:58.680 --> 01:28:00.159you want to go ahead and getthat can come. Yes, But you126101:28:00.239 --> 01:28:04.640can also drain from your principle.There's many ways to do it. If126201:28:04.720 --> 01:28:11.520you do annuities, keep it toless than fifteen maximum twenty percent of your126301:28:11.920 --> 01:28:16.239assets, okay, maximum of liquidassets, not your net worth, liquid126401:28:16.239 --> 01:28:20.720assets, but you're going to seenewsletter after newsletter. You're going to see126501:28:20.760 --> 01:28:25.840here, fear, social media stuff, you name it. They're talking about126601:28:25.840 --> 01:28:30.720it, and they have the solution. Remember, if that's all the selling126701:28:30.760 --> 01:28:34.359to you, say thank you verymuch, walk out the door and go126801:28:34.399 --> 01:28:38.600find someone that's going to do afinancial plan for you, show you where126901:28:38.640 --> 01:28:44.159everything fits in. If you wantguarantees, they can give you the well,127001:28:44.199 --> 01:28:46.159nothing's a guarantee. Even annuities area guarantee. But they can give127101:28:46.159 --> 01:28:49.960you the insurance of US bonds,they can give you insurance of CDs,127201:28:50.000 --> 01:28:55.439they can give you that as partiesyour plan. So just please be careful,127301:28:55.560 --> 01:28:59.039you know, annuities. What peopledon't realize is, yeah, we're127401:28:59.039 --> 01:29:00.560going to give you a nice fourteen percent bonus up front, and then127501:29:00.600 --> 01:29:04.319what you'll have is their caps,the amount of money that you can not127601:29:04.439 --> 01:29:08.920lose but potentially a participate in themarket up to a cap. They'll set127701:29:08.920 --> 01:29:12.840those caps at one, two,three percent, something that's so low that127801:29:12.920 --> 01:29:15.000over the course of a ten yearperiod, your average return would only be127901:29:15.279 --> 01:29:19.680three percent at max, right,And so that's how they're able to offer128001:29:19.720 --> 01:29:24.079these crazy bonuses. A lot ofcompanies, especially the ones that are not128101:29:24.159 --> 01:29:27.039a rated. They're going to changetheir caps each and every year, and128201:29:27.039 --> 01:29:29.239they're going to get lower and lowerand lower, and you're going to be128301:29:29.279 --> 01:29:33.079stuck in that annuity because you havea surrender period and you can't get out.128401:29:33.079 --> 01:29:35.119The only thing you can get outis that penalty free withdraw. So128501:29:35.119 --> 01:29:39.640a lot of times when we seekclients with those really bad annuities that have128601:29:39.680 --> 01:29:43.039one two percent caps, we say, just take the penalty free out because128701:29:43.079 --> 01:29:45.840you can do so much better andyou're not getting assessed to penalty. It's128801:29:45.840 --> 01:29:50.279the penalty free withdraw. So youcan easily do better than in something that128901:29:50.399 --> 01:29:53.479especially right now, right Dean,I mean, you can just put it129001:29:53.479 --> 01:29:56.920in the Vanguard money market. You'regetting a rolling five percent right now.129101:29:56.800 --> 01:29:59.640Now, I get it. Youput out some migas are better, right,129201:30:00.079 --> 01:30:01.800You get your set interests and they'renot going to change the interest on129301:30:01.840 --> 01:30:06.520you no contract. What I'm alwaysconcerned about is the FIA is to fix129401:30:06.640 --> 01:30:10.560index annuity where they can tell youcan they go four to six percent,129501:30:11.439 --> 01:30:13.560Well, you know what, youcan make four and a half percent,129601:30:13.680 --> 01:30:16.159even five percent on some of thefive and a half percent on the migas129701:30:16.159 --> 01:30:19.439and not worry about it right nowand get all the other benefits. I'm129801:30:19.479 --> 01:30:26.119concerned about them lowering the gappagins,the cap rates, all that stuff.129901:30:27.000 --> 01:30:30.439When you deal with it, anddo not take your risk money and say,130001:30:30.439 --> 01:30:32.479oh, I'm afraid of the market. I'm going to go in annuity.130101:30:33.039 --> 01:30:36.840No, mitigate that. Put itin cash because when the opportunity comes130201:30:38.079 --> 01:30:41.600you want to buy back in that'sfine, Buy a short term bond,130301:30:41.640 --> 01:30:45.359buy a CD I don't care.Don't buy an annuity with your risk money.130401:30:45.479 --> 01:30:49.319Now, you fix income money asan alternative to maybe get a little130501:30:49.319 --> 01:30:51.800bit of upside if that happens.Okay, I can deal with that.130601:30:53.239 --> 01:30:55.920So if you have, you know, five hundred thousand, and you took130701:30:56.239 --> 01:31:00.920one hundred thousand dollars and put itinto an annuity, because that's your fixed130801:31:00.920 --> 01:31:04.079income side, okay, but notyour risk site. Yeah. I mean130901:31:04.239 --> 01:31:09.640when we have clients that come inwith some lower sized liquid assets, it's131001:31:09.640 --> 01:31:13.520really important for them to realize puttingthat in an annuity is really difficult for131101:31:13.560 --> 01:31:16.439yourself because you're draining liquid assets andif anything bad happens in the next ten131201:31:16.479 --> 01:31:20.199to fifty ten years, you're goingto be really hurting because you're going to131301:31:20.279 --> 01:31:23.760get hit on that penalty if youneed to take that money out. And131401:31:23.840 --> 01:31:29.560I have not had good luck overthe last forty two years growing money in131501:31:29.640 --> 01:31:35.279an annuity. Just haven't had goodluck. Everything is slanted to the benefit131601:31:35.439 --> 01:31:42.159of the insurance company. It's verysimilar to the casino, right, everything's131701:31:42.199 --> 01:31:45.359slanted to the house. And youwouldn't be in business as an insurance company131801:31:45.359 --> 01:31:48.600if you were giving out these fabulousdeals to everybody. Yeah, the whole131901:31:48.640 --> 01:31:53.439life policy probably works better than insurance. Companies have also figured out over the132001:31:53.520 --> 01:31:57.239last few years that if you tellpeople to getting a twenty or thirty or132101:31:57.279 --> 01:32:00.720forty percent bonus, you can attracta lot of business. And as Dean132201:32:01.640 --> 01:32:05.520just said, that's not real money. That is not money. You walk132301:32:05.520 --> 01:32:09.760in with one hundred thousand dollars toget a thirty percent bonus, That does132401:32:09.800 --> 01:32:12.760not mean that you can cash itout and get one hundred and thirty thousand.132501:32:13.079 --> 01:32:16.920That means that one hundred and thirtythousand is the is the number that's132601:32:16.960 --> 01:32:21.359going to be used to calculate thepercentage of return you can receive an income.132701:32:21.520 --> 01:32:27.560That's all it is, and that'sor like I'd like to say,132801:32:27.880 --> 01:32:31.800what percentage of your own money they'llsend back to you. Just be careful.132901:32:31.920 --> 01:32:36.000Dean made a good point. Annuitiesdo have a place. I had133001:32:36.000 --> 01:32:41.840a gal just today. It's aFriday, that her husband passed away.133101:32:42.239 --> 01:32:46.680She's getting a pension from him,and they're going to They've offered her either133201:32:46.760 --> 01:32:53.239a lump sum or an annuity,and the annuity has no period certain In133301:32:53.239 --> 01:32:56.960other words, the annuity is justfor her life. So if she were133401:32:56.960 --> 01:33:00.439to take that three hundred thousand dollarsand convert it into a monthly check at133501:33:00.479 --> 01:33:03.439twenty five hundred dollars a month,which sounds like a pretty good deal,133601:33:04.079 --> 01:33:08.439and then walks out to the mailboxand gets hit and killed, that's it.133701:33:08.439 --> 01:33:12.119It's gone. You know. Youcan't you can't do that. You133801:33:12.239 --> 01:33:15.399have to have some sort of aguarantee. So we take that pension,133901:33:15.479 --> 01:33:19.039we roll it into an annuity wherethere's a beneficiary, where if she walks134001:33:19.039 --> 01:33:23.079out to the meilbox and gets hita month into this, her AARs are134101:33:23.119 --> 01:33:26.000going to get to three hundred thousanddollars. Yeah, it's not just gone.134201:33:26.119 --> 01:33:28.439It's not just gone. That's agood way to look at it because134301:33:28.439 --> 01:33:32.159a lot of people do just takethat benefit of the pension continuation rather than134401:33:32.199 --> 01:33:34.880taking that lump sum. But alot of things with FIS too, is134501:33:34.880 --> 01:33:39.359that people hear the principal protection thatyou can't lose. You put one hundred134601:33:39.359 --> 01:33:42.279thousand dollars in Marcus go down forthree years straight, you don't lose any134701:33:42.319 --> 01:33:45.359money. So that's what attracts alot of people to Andy as well.134801:33:45.399 --> 01:33:48.000But it's the same idea. Youbuy a US treasury, if you hold134901:33:48.000 --> 01:33:50.960it to maturity, you're getting allyour principal backplus the interest. She's sixty135001:33:50.960 --> 01:33:55.199six years old, so getting amonthly check every month for the next twenty135101:33:55.279 --> 01:33:59.680years sounds very appealing. What ifshe dies in two months right lebits and135201:33:59.680 --> 01:34:01.840fifteen years, if the pension systemcan't pay out anymore, they have to135301:34:01.880 --> 01:34:04.560reduce the benefit. Yeah, wellit's there's a lot of things that can135401:34:04.600 --> 01:34:09.720happen. But at the end ofthe day, the nudies are good sometimes,135501:34:09.880 --> 01:34:12.159let's put it that way. Andif you want to guarantee checks,135601:34:12.199 --> 01:34:14.760I mean no, you can goin the FIA and then and then turn135701:34:14.800 --> 01:34:16.439it into an income check. Aslong as you're happy with that income check.135801:34:16.600 --> 01:34:19.119They will give that to you everysingle month. We do use it135901:34:19.119 --> 01:34:24.479for income gaps. You know,somebody needs ten thousand a month to live136001:34:24.520 --> 01:34:28.479on and they only have seven thousand, So we'll put money into an annuity136101:34:28.560 --> 01:34:31.279so when it comes due they needthat three thousand, it will turn into136201:34:31.279 --> 01:34:34.319a three thousand dollars month check toadd to what they have. Right,136301:34:35.039 --> 01:34:38.600if you've got a pension and they'regoing to pay you a monthly check for136401:34:38.600 --> 01:34:42.399the rest of your life, makedarn sure that you've got some beneficiary.136501:34:42.479 --> 01:34:46.039Some what they call period certain isthe term where you get it for at136601:34:46.079 --> 01:34:49.600least ten years, or twelve yearsor fifteen years. If not, you136701:34:49.640 --> 01:34:54.479then your beneficiaries. The only wayyou know what's good is when you do136801:34:54.520 --> 01:34:58.359a plan. You know, we'vedone that. We've used then nudies before136901:34:58.359 --> 01:35:01.319they got Social Security, we diddifferent some different people put a plan together.137001:35:01.840 --> 01:35:04.960It takes the stress away. Youwon't have to panic every time you137101:35:04.960 --> 01:35:10.680see a newsletter or somebody talking onTV, or somebody in the social media137201:35:10.800 --> 01:35:14.159telling you everything's going to fall apart. The dollar is going to be extinct.137301:35:14.399 --> 01:35:17.760They're not China and oil. They'redoing this. Remember they every big137401:35:17.800 --> 01:35:23.560country every big government needs each other, all right. They need each other137501:35:23.600 --> 01:35:26.399to go to war, they needeach other to keep the economy going.137601:35:26.439 --> 01:35:30.079They need each other. That's whatgoes on. But without that, I137701:35:30.119 --> 01:35:36.479mean, you know, remember,just reduce risk by mitigating risk when things137801:35:36.520 --> 01:35:39.680are too much, And if youdon't know how to do it, then137901:35:39.720 --> 01:35:42.319you just come talk to us.That's what makes us really good. We138001:35:42.439 --> 01:35:46.159do the financial plan. We havea state planning, tax worrying and mitigating138101:35:46.199 --> 01:35:49.079taxes, everything. But at theend of the day, we manage the138201:35:49.119 --> 01:35:55.079money, all right, another showin the books. That's a lot of138301:35:55.119 --> 01:35:58.680years night now, thirty four yearsor Something'll be right. We'll be back138401:35:58.720 --> 01:36:02.119with your money matters next week.Be happy, be healthy, and let's138501:36:02.159 --> 01:36:04.399all strive to be profitable.