SP500 Hits A New All Time High Again!

WEBVTT 1 00:00:00.160 --> 00:00:03.520 Good morning everybody. It's that time once again, Sunday morning, eight o'clock. 2 00:00:03.600 --> 00:00:08.919 It's Money Matters with Dean Greenberg. I appreciate you listening. I appreciate 3 00:00:08.960 --> 00:00:14.199 you asking questions. I appreciate you doing business with us. I am just 4 00:00:14.320 --> 00:00:19.519 happy that I run into a lot of people that actually have heard us either 5 00:00:19.559 --> 00:00:25.640 here, TV, podcast, you name it, and they like the information. 6 00:00:25.879 --> 00:00:31.079 It's helping them. It's helping a lot of people. And lately it's 7 00:00:31.120 --> 00:00:35.119 been pretty hot. It's good. You know, We've been hitting the markets 8 00:00:35.159 --> 00:00:42.679 pretty good right now. And I'm telling you it's a very interesting time because 9 00:00:42.719 --> 00:00:47.079 I'm going to talk about both sides here of the markets, because you know, 10 00:00:47.200 --> 00:00:49.520 you got to be confused. You hear these people come on and they 11 00:00:49.520 --> 00:00:54.320 say, oh, this market overvalued, overvalue, can't go any higher, 12 00:00:55.240 --> 00:00:57.479 and it falls a little bit. Next thing, you know, a rocket 13 00:00:57.640 --> 00:01:03.759 ships up. That's a saying, oh, this market can keep going, 14 00:01:03.920 --> 00:01:07.519 going going, and this is why economy is great. This is great. 15 00:01:07.560 --> 00:01:14.120 That's great. You know, so you really have to say, where are 16 00:01:14.159 --> 00:01:21.719 we what's going on? Because the markets aren't doing great. What's doing great 17 00:01:22.959 --> 00:01:27.719 are the technology stocks that are involved with AI. They are moving the markets 18 00:01:27.799 --> 00:01:37.640 once again in the video has turned into the dolling and the momentum mover of 19 00:01:37.719 --> 00:01:42.400 the markets as goes the video, as goes the markets. Now, that 20 00:01:42.519 --> 00:01:49.239 used to be IBM. Well before that, it was GM and the autos 21 00:01:49.400 --> 00:01:55.319 and the industrials nifty to fifty in the fifties, and then as we came 22 00:01:55.319 --> 00:02:00.400 out, we started getting into it IBM. In the in the seventies and 23 00:02:00.480 --> 00:02:06.280 eighties and even nineties, it was all about IBM. IBM was the bell 24 00:02:06.359 --> 00:02:09.520 Weather curve, bell Weather stock, and as we moved in, it started 25 00:02:09.520 --> 00:02:15.719 becoming technology stocks, and it started to them be Apple and Microsoft, and 26 00:02:15.800 --> 00:02:19.159 those were the earnings that drove the markets. And we've been on this tech 27 00:02:19.240 --> 00:02:27.879 boom ever since. Now I'm not saying Apple isn't still influential or Microsoft especially 28 00:02:28.120 --> 00:02:32.800 too, but guess what in na video isn't that sweet spot right now? 29 00:02:34.759 --> 00:02:38.800 And it's hard to hold on when the stock has gone up. I mean 30 00:02:38.840 --> 00:02:42.120 it was twenty two December twenty two, it was in the one twenty range 31 00:02:43.199 --> 00:02:47.639 and now it's touching eight hundred dollars, So it's hard to say, oh 32 00:02:47.680 --> 00:02:52.319 wow, I can buy this thing. But you know, if you think 33 00:02:52.360 --> 00:02:55.960 about it, if you believed in it. It did fall from seven forty 34 00:02:57.039 --> 00:02:59.919 or something down to the six to sixty level before they came out with her. 35 00:03:00.360 --> 00:03:05.879 And then the earnings came out and they blew everyone away. They knew 36 00:03:05.919 --> 00:03:07.599 they were going to be good, but no one expected it to be boom 37 00:03:07.599 --> 00:03:13.400 boom boom right down. Being great lifted the entire market up and lifted the 38 00:03:13.400 --> 00:03:22.919 whole tex up. Those those tech stocks like Amazon and and Meta and Microsoft 39 00:03:23.560 --> 00:03:28.520 and the video all ran. The video ran up one hundred and ten points, 40 00:03:28.840 --> 00:03:35.479 one hundred and ten points. That's amazing in one day. But then 41 00:03:35.520 --> 00:03:40.240 you have super micro Computers, which a lot of you don't know SMCI on 42 00:03:40.280 --> 00:03:47.840 that news for the second time it ran two hundred and fifty points. You 43 00:03:47.919 --> 00:03:51.199 have to scratch your hand to go, wait a second, this is a 44 00:03:51.240 --> 00:03:57.280 little ridiculous. Well then on Friday, after Thursday's big move up, you 45 00:03:57.360 --> 00:04:00.599 saw super micro fall over one hundred points one down about one hundred and fifty. 46 00:04:01.400 --> 00:04:05.240 But the video is still went up. So it tells you quality is 47 00:04:05.280 --> 00:04:08.400 where you have to keep your money. The rest of it's a gamble. 48 00:04:08.960 --> 00:04:12.560 The rest of it's a quick trade. It's a gamble. But the good 49 00:04:12.599 --> 00:04:16.600 companies, the Video, Microsoft, Amazon. I still like Apple. You 50 00:04:16.600 --> 00:04:19.759 can't say you don't like Apple. I know it might be a little stodgy 51 00:04:20.240 --> 00:04:28.560 now Meta. These are the AI big giants that are gonna keep moving up, 52 00:04:28.600 --> 00:04:31.399 and you look for opportunities on pullbacks. You keep a core position. 53 00:04:31.839 --> 00:04:34.800 They rally sell some. If you don't want to buy them individually, that's 54 00:04:34.839 --> 00:04:41.240 okay, buy them in the in the in the ETFs that hold them. 55 00:04:41.560 --> 00:04:43.720 That's why you have to tell some indexes on them, like the S and 56 00:04:43.759 --> 00:04:46.639 P or the qqqs they also have them. But remember, when they do 57 00:04:46.680 --> 00:04:50.879 get knocked down, you're gonna get hurt. So you have to know what 58 00:04:50.879 --> 00:04:55.759 you're doing and how to do it. But that's what's making the market move. 59 00:04:57.399 --> 00:05:01.959 The rest of the market is still lagging, albeit not badly. Okay, 60 00:05:02.000 --> 00:05:04.240 but just give you an idea. The S and P five hundred, 61 00:05:04.519 --> 00:05:09.879 which these big cap stocks actually moved. The S and P is up about 62 00:05:09.879 --> 00:05:14.959 six percent six point seven percent for the year. The equal weighted S and 63 00:05:15.000 --> 00:05:17.519 P, which also has these in but they're all equal weighted, Some don't, 64 00:05:17.519 --> 00:05:21.480 some can't move it more than the others. That's up two point seven 65 00:05:21.519 --> 00:05:27.439 percent, So it's lagging by four percent and the Navstack's up six point six 66 00:05:29.199 --> 00:05:32.920 the rest of the market the Wrestle two thousands only up is down to half 67 00:05:32.959 --> 00:05:38.680 a percent, and the Dow's only up three point eight percent now three point 68 00:05:38.680 --> 00:05:42.680 eight percent, two point seven percent. Those are good reasonable numbers for two 69 00:05:42.759 --> 00:05:49.920 months into the year. They're sustainable. But how far and how far will 70 00:05:49.959 --> 00:05:55.079 these other companies go on evaluation basis? The S and P is at twenty 71 00:05:55.120 --> 00:06:00.759 one twenty two on a pe basis price earnings Rachel and the high but doesn't 72 00:06:00.759 --> 00:06:08.639 mean it can't go higher. The Video, which is going through the ceiling, 73 00:06:08.680 --> 00:06:14.480 still has a lower price earnings ratio than some of the other stocks that 74 00:06:14.560 --> 00:06:20.360 are also moving higher because their blowout earnings are incredible, because they're the ones 75 00:06:20.399 --> 00:06:25.600 with the with the chip that everyone needs for AI. Does that mean it's 76 00:06:25.680 --> 00:06:30.120 sustainable to go higher? I don't know. I trimmed some. This is 77 00:06:30.160 --> 00:06:35.040 a trimming party, not a selling party. It's a hedging party, not 78 00:06:35.120 --> 00:06:40.199 a selling party. You trim back some of the positions that ran. I 79 00:06:40.199 --> 00:06:43.199 mean, you know, you had the Video in your portfolio might have been 80 00:06:43.199 --> 00:06:46.399 five percent, now it's sixteen to twenty portfolio. You gotta be smart and 81 00:06:46.439 --> 00:06:53.439 say I gotta take it down to at least ten percent, right, doesn't 82 00:06:53.480 --> 00:06:58.360 that make sense? Allocations a lot? Now you say, well where else 83 00:06:58.399 --> 00:07:01.160 would I go? Well, gonna go into other companies that are gonna be 84 00:07:01.199 --> 00:07:04.759 high fliers like this, because they've already all run. So if you want 85 00:07:04.759 --> 00:07:08.680 to just keep cashing a money marketing earn five percent, you can do that 86 00:07:08.879 --> 00:07:13.279 obviously and wait for throwing these things to come back down and dollar cost savage 87 00:07:13.319 --> 00:07:19.079 in, or you can look some other places. Intel has not really moved 88 00:07:19.120 --> 00:07:24.040 that much, but if you watch it, it's starting to creep high IBM. 89 00:07:24.439 --> 00:07:27.240 Now, they're not gonna be stocks like this that are gonna move, 90 00:07:28.040 --> 00:07:31.800 you know, hundreds of points. But be realistic, how often does that 91 00:07:31.920 --> 00:07:35.639 happen? You know, you had METAP twenty, you thought that was good, 92 00:07:35.639 --> 00:07:39.639 but if you had the videos up one hundred and ten, that bleue 93 00:07:39.720 --> 00:07:44.000 the doors, that blew my mind watching that go up? Now? Am 94 00:07:44.040 --> 00:07:46.079 I happy? I have? Some of of course, but it makes me 95 00:07:46.160 --> 00:07:57.240 nervous. But here's the thing. Valuations are too high, and markets getting 96 00:07:57.240 --> 00:08:05.839 a little overextended. Debt is too high, immigration policies are horrible, everything's 97 00:08:05.879 --> 00:08:09.600 horrible, and the markets keep going higher and I'm going to give you that 98 00:08:09.680 --> 00:08:15.560 example after I tell you that Greenberg Financial Group is both a registered investment advisory 99 00:08:15.800 --> 00:08:20.600 and it broke a dealer. Obviously they sponsored the show. They talk about 100 00:08:20.600 --> 00:08:24.959 different products, different strategy, different ideas, different things on the show. 101 00:08:24.120 --> 00:08:28.079 Everything has risk. Understand everything has risk. There's nothing that they talk about 102 00:08:30.000 --> 00:08:33.080 or anyone on the show talks about that doesn't have some risk. And we 103 00:08:33.159 --> 00:08:37.799 really want you to understand risks prior to investing. And even though you have 104 00:08:37.799 --> 00:08:39.960 a stock that might go up one hundred or two undred points a day, 105 00:08:41.000 --> 00:08:45.879 there's risk. Yes it's great risk because it's going higher, but now it's 106 00:08:45.879 --> 00:08:50.440 too much of your portfolio and you got to probably pull back a little bit. 107 00:08:52.399 --> 00:08:58.039 Risk is important to understand your risk, is important to understand understanding the 108 00:08:58.960 --> 00:09:05.120 idea in the market that things are allocated according to your ask tolerance. But 109 00:09:05.200 --> 00:09:11.000 what most people don't talk about is mitigating risk. And we commit to mitigating 110 00:09:11.080 --> 00:09:16.399 risk so I don't have to sell out and take tag these big tax gains. 111 00:09:16.440 --> 00:09:20.759 Here, I know how to be able to mitigate my risk in the 112 00:09:20.759 --> 00:09:24.639 overall market, mitigate risk on individual stock positions that have move too much. 113 00:09:24.879 --> 00:09:30.320 If I don't want to sell those positions. Trimming a position is not bad, 114 00:09:31.120 --> 00:09:35.519 but you know you still have too much allocation. Trimming mitigate your risk, 115 00:09:35.360 --> 00:09:43.159 and it's very important to understand how you mitigate risks. Very important. 116 00:09:43.120 --> 00:09:46.759 So I told you I was going to tell you the other side of the 117 00:09:46.799 --> 00:09:56.559 coin. There's a story out there right now that if you look at the 118 00:09:56.639 --> 00:10:01.320 right things, you can say that we we have one more evolution going on, 119 00:10:01.919 --> 00:10:05.159 especially in those of us that are over sixty in our lives, that 120 00:10:05.159 --> 00:10:09.919 are going to change everything. We saw it in the eighties and the nineties 121 00:10:09.960 --> 00:10:13.919 as computers came in. We saw those those big computers. I mean we 122 00:10:15.039 --> 00:10:18.000 used to have the punch cards in college and the rooms were used just to 123 00:10:18.039 --> 00:10:24.320 do incredible calculations. I mean you needed a whole basement to put in computers 124 00:10:24.480 --> 00:10:30.759 so people can you know, use them up up for their calculations and their 125 00:10:30.879 --> 00:10:33.759 projects that they were doing well. That moved and moved, and computers, 126 00:10:33.799 --> 00:10:39.519 personal computers got smaller and smaller, faster and faster, until we were able 127 00:10:39.519 --> 00:10:43.279 to do almost anything on the computer. And the internet. Those were the 128 00:10:43.320 --> 00:10:50.279 two life changing movements that we ended up having, and from the late eighties 129 00:10:50.360 --> 00:10:54.399 through the nineties, to the early two thousands. Then as we started progressing 130 00:10:54.440 --> 00:10:58.679 with the Internet and Google and things were getting faster and faster. That changed 131 00:10:58.679 --> 00:11:03.440 everybody his life. And we had the social media that was sort of a 132 00:11:03.480 --> 00:11:11.919 byproduct of everything going on. When we got the smartphones. The smartphones was 133 00:11:11.960 --> 00:11:16.799 another revolutionary change that we've gone through for the last I don't know, fifteen 134 00:11:16.879 --> 00:11:22.360 years or so. Everything we had to do on a huge computer in a 135 00:11:22.440 --> 00:11:28.200 basement, we couldn't even do everything we do on a helthhold phones. So 136 00:11:28.279 --> 00:11:31.080 people are addicted to now white looking at their phone, scrolling through the facebooks 137 00:11:31.120 --> 00:11:39.799 and scrolling through Instagram looking for stuff, messaging, texting. As a society, 138 00:11:39.840 --> 00:11:43.480 we've changed. So what's the next step? I believe we were at 139 00:11:43.480 --> 00:11:50.000 the doorsteps of AI. Now none of us really understand AI, just like 140 00:11:50.039 --> 00:11:56.320 I really didn't understand social media. I didn't really understand the smartphone. And 141 00:11:56.360 --> 00:12:01.559 then you know, with computers, nobody understood what Google and the Internet and 142 00:12:01.559 --> 00:12:05.240 all that thing really was going to pan out to be. And today we 143 00:12:05.320 --> 00:12:11.799 can't live without it, but it's made the world closer. So AI. 144 00:12:11.919 --> 00:12:13.879 When you think of AI, artificial intelligence, I mean you can think of 145 00:12:15.159 --> 00:12:18.879 robots, you can think of manufacturing, you can think of healthcare. But 146 00:12:18.000 --> 00:12:22.600 you know what we see sometimes is, you know, people just going on 147 00:12:22.639 --> 00:12:24.559 the computer and they need some information. They go to AI and they get 148 00:12:24.559 --> 00:12:31.399 a whole summary or book even or report and they write it for you, 149 00:12:33.120 --> 00:12:39.120 which is pretty amazing, but it's easy information. But that's just the start 150 00:12:39.159 --> 00:12:41.279 of it. Where you know, when you think of AI, a lot 151 00:12:41.279 --> 00:12:46.960 of people just think of like vision pro and and and whatever they have on 152 00:12:46.000 --> 00:12:52.399 the vquest from Meta and you know, so putting those big goggles on and 153 00:12:52.759 --> 00:12:56.600 you're immensed in that in the whole thing, in the whole experience of what's 154 00:12:56.639 --> 00:13:01.080 going on. Well, now AI is going to be so much bigger, 155 00:13:01.159 --> 00:13:05.919 so much better. We don't even know where it's gonna take us, but 156 00:13:05.039 --> 00:13:11.679 it's changing the world. Maybe not for the better, but it's gonna happen. 157 00:13:13.600 --> 00:13:18.000 But they're gonna be able to do everything for us. They're gonna make 158 00:13:18.080 --> 00:13:24.519 us smarter because we have information out of fingertips. We're gonna entertainment world is 159 00:13:24.559 --> 00:13:30.039 gonna be incredibly different. The way we drive cars are gonna be incredibly different, 160 00:13:31.159 --> 00:13:35.639 the way we watch TV, the way we do anything in our lives. 161 00:13:35.840 --> 00:13:39.080 In the next five or ten years is gonna be incredibly different. Do 162 00:13:39.159 --> 00:13:43.200 you remember when those big flat screens TVs were coming out twelve fifteen years ago? 163 00:13:43.960 --> 00:13:48.960 Everybody wanted one, but only the people that can afford five or seven 164 00:13:48.039 --> 00:13:52.240 thousand dollars could get like a fifty inch fifty five inches. You wanted one 165 00:13:52.279 --> 00:13:56.360 of the big ones, they were fifty grand. I ain't gonna eighty inch 166 00:13:56.600 --> 00:14:05.200 beautiful great TV for three thousand dollars. There used to be like fifty seventy 167 00:14:05.200 --> 00:14:09.000 five, sixty fifty and sixty inch TVs. They you can battle for five 168 00:14:09.039 --> 00:14:15.440 six hundred bucks. Now the whole idea is everything is changing. So if 169 00:14:15.480 --> 00:14:20.279 you go with that idea, and then we slipped this into it, history 170 00:14:20.360 --> 00:14:26.159 repeating itself. Now this is a higher level to look at, but history 171 00:14:26.240 --> 00:14:30.080 repeating itself. Right, We had the pandemic over one hundred years ago, 172 00:14:30.120 --> 00:14:35.519 correct, then you know we had all the things that went better, and 173 00:14:35.519 --> 00:14:39.919 then we had what in the twenties, We had the Roaring twenties until about 174 00:14:39.919 --> 00:14:45.080 twenty nine. So could ai be the start for the next three to five 175 00:14:45.159 --> 00:14:50.840 years of the Roaring twenties for us? And it can? And even if 176 00:14:50.879 --> 00:14:54.960 you look back at that time, the markets also fell. They didn't go 177 00:14:56.039 --> 00:15:00.519 straight up, but when they went up, they went massively aggressive to the 178 00:15:00.600 --> 00:15:05.840 upside. Now, with so much higher, you're gonna have moves like we 179 00:15:05.000 --> 00:15:09.080 have. But you have to be smart about it. You have to allocate 180 00:15:09.159 --> 00:15:11.240 portfolios. You have to be able to know that you're not going to sell 181 00:15:11.279 --> 00:15:16.679 out if the markets go down. So maybe you're not in individual sicks, 182 00:15:16.720 --> 00:15:20.120 maybe you're just in indexes. But if you need income, your portfolio is 183 00:15:20.120 --> 00:15:24.519 gonna look totally different. If you're taking money out to live on, it's 184 00:15:24.519 --> 00:15:26.559 gonna be totally different. If you have mastered your wealth, it's gonna be 185 00:15:26.600 --> 00:15:31.759 totally different. So if you say I only with ten to twenty percent, 186 00:15:31.799 --> 00:15:35.240 I want to be aggressed in my portfolio. That ten or twenty percent is 187 00:15:35.279 --> 00:15:41.840 going to be used towards the AI evolution. But that can be up and 188 00:15:41.879 --> 00:15:46.120 down and volatile and everything else. While the rest of your portfolio it's pretty 189 00:15:46.159 --> 00:15:50.480 much balanced, meaning it's gonna eke out that returns hopefully that you want. 190 00:15:52.240 --> 00:15:54.919 Now we add this in with we're in an election year. I don't think 191 00:15:54.919 --> 00:15:58.720 we have a huge downturn. I mean, uh coming this year. I 192 00:15:58.720 --> 00:16:03.000 think that turn downturn comes next year. I think there's a lot of political 193 00:16:04.559 --> 00:16:07.360 fear out there. If you know, if you're on one side, if 194 00:16:07.360 --> 00:16:11.799 Trump gets in, what's going to happen? If if Biden or his substitute 195 00:16:11.840 --> 00:16:18.120 gets in, what's going to happen? You know, and everyone split. 196 00:16:21.960 --> 00:16:29.279 But it's amazing to me how many people believe both sides. Okay, but 197 00:16:29.320 --> 00:16:40.559 the one thing I'm going to tell you that I don't understand is how I 198 00:16:40.559 --> 00:16:49.080 guess people are so skewed towards whatever information they're reading on social media or hearing 199 00:16:49.080 --> 00:17:00.440 from TV or whatever. Because anyone tells me that the economy today is better 200 00:17:00.519 --> 00:17:03.759 than where it was, doesn't understand what's happening. Yeah, the stock market's 201 00:17:03.799 --> 00:17:11.599 higher. Understand it's AI that's moving the stock market, But overall, keeping 202 00:17:11.680 --> 00:17:15.359 up with inflation? Is the stock market higher? If we've averaged six percent 203 00:17:15.440 --> 00:17:22.359 seven percent inflation? If the markets having average that, what's your real rate 204 00:17:22.400 --> 00:17:26.720 of return? And then paying taxes, what's a real rate of return? 205 00:17:26.839 --> 00:17:32.119 Sure, wages have gone up, but so is every single price. When 206 00:17:32.119 --> 00:17:36.960 you go to the grocery store. There's not a person I know, middle 207 00:17:36.960 --> 00:17:38.920 class, lower class, even upper class that goes to the grocery store and 208 00:17:38.960 --> 00:17:42.880 doesn't say, I can't believe how much it costs to buy this, this, 209 00:17:42.920 --> 00:17:48.960 and this twenty twenty five percent higher. We haven't had that type of 210 00:17:48.960 --> 00:17:55.000 inflation, but that's how much everything's gone on. Wages are through the roof 211 00:17:55.039 --> 00:17:59.599 and they're not coming back, they're only going higher. So AI is going 212 00:17:59.680 --> 00:18:04.839 to help these companies be productive without having to bring on more labor. But 213 00:18:04.920 --> 00:18:11.480 I listen to the people's on the left that tell me, well, Biden's 214 00:18:11.519 --> 00:18:18.319 doing a great job. He's bringing down inflation. I said he brought up 215 00:18:18.359 --> 00:18:21.880 inflation, and they go, oh no, they inherited that from Trump. 216 00:18:22.160 --> 00:18:29.480 Really, because the only way you can match apples to apples is go before 217 00:18:29.519 --> 00:18:36.119 the pandemic. Go to twenty eighteen nineteen's economy versus today's economy and tell me 218 00:18:36.160 --> 00:18:40.880 people don't feel richer in eighteen to nineteen than they do today, and that's 219 00:18:40.920 --> 00:18:47.240 because inflation was under one percent. Inflation is the biggest killer you can have 220 00:18:48.039 --> 00:18:51.599 to your income, to your growth, to what happened. Sure, are 221 00:18:51.599 --> 00:18:52.920 your prices of your house go up and then you want another house. It's 222 00:18:52.960 --> 00:19:02.039 the same thing. The only way inflation helps is if you pass on and 223 00:19:02.200 --> 00:19:10.079 everything gets gets put at the higher prices so your airs benefit. And that's 224 00:19:10.119 --> 00:19:14.680 gonna change if we do not change the tax code, if we don't make 225 00:19:14.720 --> 00:19:18.000 the Trump taxes permanent. Wait till you see what it's gonna happen to with 226 00:19:18.039 --> 00:19:22.599 state taxes. That's one of the reasons I've partnered up with the state Planners 227 00:19:22.680 --> 00:19:30.440 and accountant CPAs their expertise is gonna help guide us through all this. But 228 00:19:30.519 --> 00:19:34.759 I don't get it. I don't understand how people can't be common sense. 229 00:19:37.400 --> 00:19:41.960 I get it this whole boarder thing it's not gonna go through. And I 230 00:19:41.000 --> 00:19:45.880 get it's political on both sides. I get why Trump says, wait, 231 00:19:45.240 --> 00:19:48.519 I get why Biden wants to do it now, But I say, well, 232 00:19:48.519 --> 00:19:51.799 why didn't Biden want to do it last year? The year before. 233 00:19:52.680 --> 00:19:55.160 Well, they didn't think there was a crisis, right, they said in 234 00:19:55.160 --> 00:20:00.000 those crisis is the same crisis we had then that we have now. We 235 00:20:00.079 --> 00:20:04.799 all have to understand and stop lying to ourselves just because we're on one side 236 00:20:04.799 --> 00:20:08.960 of the other. We don't need loyalty through and through, because, believe 237 00:20:10.039 --> 00:20:12.160 me, in Washington, they ain't loyal to one side of the other. 238 00:20:12.400 --> 00:20:19.000 They're loyal to themselves. And it's not the people of America. I ask 239 00:20:19.079 --> 00:20:22.359 people all the time, why are we in wars? Now? We weren't 240 00:20:22.359 --> 00:20:26.359 in wars with Trump. Oh. Trump was the one that was scared everybody. 241 00:20:26.519 --> 00:20:30.440 Okay, we weren't in wars. Oh he was gonna put us in 242 00:20:30.480 --> 00:20:36.279 World War three? What are we in now? We didn't have Ukraine. 243 00:20:36.480 --> 00:20:40.319 Well it's because he was buddies with Russia. Well we didn't have Israel and 244 00:20:40.880 --> 00:20:47.680 all going on it. You forget that Trump got peace, the Abraham Accord 245 00:20:47.839 --> 00:20:53.640 was in the Middle East. It's derangement in my mind that people can't understand 246 00:20:53.640 --> 00:21:00.440 and be honest about what's good and what's bad. Biden could be great president 247 00:21:02.039 --> 00:21:07.039 if he did a couple of things right. Fix the border, ride the 248 00:21:07.079 --> 00:21:11.880 coattails of what's going on in the markets, bring inflation down, allow us 249 00:21:11.920 --> 00:21:18.279 to drill more. The funniest thing I heard is, oh, we're putting 250 00:21:18.319 --> 00:21:22.839 five hundred more sanctions on Russia. I thought we sanctioned the heck out of 251 00:21:22.880 --> 00:21:25.720 them already, where they can't even move. This is why I say that 252 00:21:25.720 --> 00:21:33.240 it's all bs. It's never really doing anything. I told somebody the other 253 00:21:33.359 --> 00:21:38.079 day that there was no war in Israel. Because Iran, who goes ahead 254 00:21:38.359 --> 00:21:47.160 and able to go ahead and back Hamas didn't have the money because we stopped 255 00:21:47.200 --> 00:21:52.960 them getting the money. We froze their accounts. They go where they get 256 00:21:52.000 --> 00:21:55.559 the money. I said, Biden allowed them to have their money back six 257 00:21:55.640 --> 00:21:59.359 billion, ten billion, whatever it is, by allowing it to flow back 258 00:21:59.400 --> 00:22:03.680 into Iran. Well, I didn't see that. I don't know anything about 259 00:22:03.680 --> 00:22:06.160 that, I said, look it up. It's all over the Google, 260 00:22:06.640 --> 00:22:10.920 the same crap that you get that you hate Trump and everything else, and 261 00:22:11.000 --> 00:22:15.119 all you hear is character. Of course, you don't want your president to 262 00:22:15.119 --> 00:22:19.359 have the type of character that they're trying to characterize him as. I get 263 00:22:19.400 --> 00:22:25.599 that, But you know what, if it was a free, actually a 264 00:22:25.640 --> 00:22:30.319 really free political situation, bid, they would have the same stuff and probably 265 00:22:30.359 --> 00:22:33.319 be put away too, and almost every other one would have if Clinton would 266 00:22:33.319 --> 00:22:40.279 have Bush probably had a chance going ahead. And when he went into Iraq 267 00:22:40.359 --> 00:22:47.319 and all making up stuff, we really knew the truth both sides lie. 268 00:22:48.319 --> 00:22:52.079 When are we going to get that through our heads? And I ask people 269 00:22:52.119 --> 00:22:56.200 all the time, do you think that if we took a vote in the 270 00:22:56.240 --> 00:23:00.799 world, whether they're you were, whether citizens of countries want to have wars? 271 00:23:03.640 --> 00:23:06.720 Would say, no, I don't want my loved ones getting killed. 272 00:23:06.720 --> 00:23:10.680 I don't want my neighbors and friends getting killed. No, I don't want 273 00:23:10.680 --> 00:23:12.799 wars. Why do we have wars? I asked that question all the time. 274 00:23:12.839 --> 00:23:19.440 People can't answer it. Why are we in? Why are we helping 275 00:23:19.559 --> 00:23:23.319 Ukraine and giving them money, and the same token helping Russia by buying oil 276 00:23:23.519 --> 00:23:30.319 from India and Turkey and everybody else that has Russian oil. Why haven't we 277 00:23:30.359 --> 00:23:33.960 shut it off and just got rid of the war back in the fifty sixth 278 00:23:33.960 --> 00:23:37.400 and when we had we had a six day war. Israel got attacked and 279 00:23:37.400 --> 00:23:40.720 in six days it was done. Why is this war going to be carried 280 00:23:40.759 --> 00:23:45.559 out now? Why aren't we sanctioned Iran? Why aren't we just blown this 281 00:23:47.000 --> 00:23:52.079 everyone apart that goes ahead and attacks us because we want to just stay and 282 00:23:52.200 --> 00:23:59.440 keep it going because somewhere behind this whole scene, it's economically profitable for all 283 00:23:59.480 --> 00:24:07.519 these government means to survive. That's the problem we have. The shenanigans that 284 00:24:07.519 --> 00:24:11.519 are going to go on in this next election will probably blow our minds. 285 00:24:11.920 --> 00:24:15.720 Well, we'll see. We have a lot to talk about today. The 286 00:24:15.759 --> 00:24:18.079 markets are doing great, but be cautious, be careful, and we're going 287 00:24:18.119 --> 00:24:22.400 to talk about mitigating risk. We'll be right back. It's the Money Matter 288 00:24:22.480 --> 00:24:30.200 Show. Thank you so much and appreciate you listening. Welcome back everybody to 289 00:24:30.279 --> 00:24:33.200 the second part of the Money mat Of Show. We got Dave Sherwood back 290 00:24:33.240 --> 00:24:40.359 this week. We got Dylan Greenberg, Todd Licky and myself to bring you 291 00:24:40.359 --> 00:24:41.720 a lot of information. There's a lot of things we can talk about today. 292 00:24:42.279 --> 00:24:47.480 It was the week of Nvidia, and literally that that I think Nvidia 293 00:24:47.559 --> 00:24:51.720 has become the most important stock on the market. It's now the third largest 294 00:24:51.720 --> 00:24:56.000 company behind Apple and Microsoft. I talked about that in my UNO. It 295 00:24:56.079 --> 00:25:00.799 used to be the nifty to fifty GM and at Tea with the ones, 296 00:25:00.839 --> 00:25:04.440 then IBM in the eighties and the nineties, then Apple. Right now it's 297 00:25:04.480 --> 00:25:07.279 the video and it makes all the sense in the world. If the rally, 298 00:25:07.319 --> 00:25:11.480 in fact, is being driven by excitement about AI, which I think 299 00:25:11.519 --> 00:25:15.799 it is, then the supplier of the top end AI material has to be 300 00:25:15.880 --> 00:25:19.839 doing well or the whole thesis is flawed. Right, And when they came 301 00:25:19.880 --> 00:25:22.640 out on and you saw Monday and Tuesday, it was a lot of the 302 00:25:22.680 --> 00:25:26.119 market was real iffy, because there was real a lot of nervousness ahead of 303 00:25:26.160 --> 00:25:30.000 those earnings. On Wednesday, after the close, the option said that it 304 00:25:30.039 --> 00:25:33.839 was a ten percent movie in neither direction, and I wouldn't have believed that 305 00:25:33.880 --> 00:25:37.680 they could announce anything that would make it move up ten percent. And that 306 00:25:37.799 --> 00:25:41.359 kind of was the consensus, don't you think. And they came out and 307 00:25:41.400 --> 00:25:44.799 they reported stellar numbers, and it was just kind of like this relief rally, 308 00:25:44.880 --> 00:25:48.519 Oh, thank goodness, it's still on well, which yeah, But 309 00:25:48.680 --> 00:25:52.519 what I think is, though this is the next evolution in all lifetime day, 310 00:25:52.519 --> 00:25:56.160 this will probably the last one in all lifetime that can last five or 311 00:25:56.160 --> 00:25:59.519 ten, fifteen years. That's going to change everything. We're in the beginning 312 00:25:59.519 --> 00:26:03.000 stage of of AI. Most people think of AI entertaining games. It's gonna 313 00:26:03.000 --> 00:26:07.799 be taking over everything of the way we live. I mean, uh, 314 00:26:07.079 --> 00:26:11.680 you know, eventually you're gonna have your phone in that vision pro. It's 315 00:26:11.680 --> 00:26:15.200 gonna be contact, it's gonna be glasses. You're not gonna have this physical 316 00:26:15.200 --> 00:26:17.799 phone anymore. You're not gonna have that physical wallet anymore. Well, and 317 00:26:17.839 --> 00:26:22.839 it's not gonna we're gonna be wearing No, it's not gonna like glasses. 318 00:26:22.880 --> 00:26:26.839 I mean Google's already kind of come out with stuff like that. As these 319 00:26:26.839 --> 00:26:30.359 semiconductors get smaller, as the technology improves on itself, you're gonna be able 320 00:26:30.400 --> 00:26:32.839 to make smaller and smaller technology. It does more and more and more. 321 00:26:33.400 --> 00:26:34.799 And that's the idea. What if we don't want to wear glasses though, 322 00:26:36.079 --> 00:26:40.440 then contacts Eventually, they'll make contacts eventually. Eventually that they might make it 323 00:26:40.440 --> 00:26:42.480 as like it's just looking like a hearing aid or something like that. Yeah, 324 00:26:42.960 --> 00:26:45.039 and it's gonna be like it's not. I mean, look at the 325 00:26:45.119 --> 00:26:48.400 cell phone and it would be a cultural norm, So it won't be everyone 326 00:26:48.400 --> 00:26:51.880 will do it. It's gonna be so different, right, I mean, 327 00:26:51.920 --> 00:26:53.119 that's what I'm trying to say. But it's gonna do. I mean, 328 00:26:53.799 --> 00:26:56.799 I love it in the healthcare field. I think it's great. Yes, 329 00:26:56.839 --> 00:27:00.680 but it's gonna change sports. It's going to change entertainment. It's going to 330 00:27:00.759 --> 00:27:04.319 change how we eat, how we prepare them, everything that happens. I 331 00:27:04.359 --> 00:27:08.079 mean, everyone's going to have a robot in the house. Yeah, you 332 00:27:08.119 --> 00:27:14.440 know, it's going to be crazy. I handed to Robert Oppenheimer, who's 333 00:27:14.440 --> 00:27:18.440 the chief strategist with Golden Sachs three or four months ago on this show, 334 00:27:18.960 --> 00:27:22.960 we said that he said, this is a structural change that could go on 335 00:27:22.119 --> 00:27:26.680 for years. Yeah. The only reason I'm a little scared of that is, 336 00:27:26.720 --> 00:27:30.720 you know, Navidia reached two trillion dollars in market cap faster than any 337 00:27:30.759 --> 00:27:36.160 other company in history. The only two that's ever done are Apple and Microsoft. 338 00:27:36.440 --> 00:27:40.279 Apple took five hundred and sixteen trading days. Microsoft took five hundred and 339 00:27:40.279 --> 00:27:44.279 forty three trading days, Navidia one hundred and seventy five. I think one 340 00:27:44.319 --> 00:27:48.079 of the things that I that stood out to me about the inn Video's move, 341 00:27:48.119 --> 00:27:52.880 which on Thursday was just unbelievable, over one hundred points up. That 342 00:27:52.079 --> 00:27:59.680 was the biggest increase one day increase in market cap in history for any stock. 343 00:28:00.400 --> 00:28:03.279 The CEO made ten billion dollars in one day. I gotta believe people 344 00:28:03.240 --> 00:28:07.400 who short that stock for some reason, these hedge funds and all I think 345 00:28:07.400 --> 00:28:11.640 going into the earnings report, it was like that they can't possibly do well 346 00:28:11.720 --> 00:28:15.119 enough to justify the move they've had, or it could have just been you 347 00:28:15.160 --> 00:28:18.359 know, hedging in a way, like you're just offsetting some of your long 348 00:28:18.400 --> 00:28:22.880 position to protect yourself. But I think in the new term and video is 349 00:28:22.920 --> 00:28:26.119 going to be the stock you need to watch to see how the overall market's 350 00:28:26.160 --> 00:28:30.640 doing, because they They're Rightdean, there are different stocks in different times in 351 00:28:30.680 --> 00:28:33.319 our life that are important right now. It's then videos. So history from 352 00:28:33.319 --> 00:28:37.720 a few years ago. Yeah, that's why is repeating itself. This is 353 00:28:37.759 --> 00:28:42.119 what twenty twenty four you got five years before the before twenty nine to thirty 354 00:28:42.160 --> 00:28:47.559 comes, we have all got the rowing twenties. That that's kind of what 355 00:28:47.559 --> 00:28:51.200 you're thinking coming out of the pandemic, Well it is. It has odd. 356 00:28:51.200 --> 00:28:53.079 It's odd, that's one hundred years. It's odd that we're about to 357 00:28:53.160 --> 00:28:56.400 change right now, you know. And it was coming out of a pandemic 358 00:28:56.440 --> 00:29:00.240 a hundred years ago too. Mark Twain says history doesn't repeat itself, but 359 00:29:00.319 --> 00:29:03.839 it does rhyme. Did you guys notice that this past week the Japan Nike 360 00:29:04.000 --> 00:29:07.799 index hit an all time high. Yeah, for the first time since the 361 00:29:07.799 --> 00:29:11.799 mid eighties, and then were in a recession because they were in that last 362 00:29:11.839 --> 00:29:17.279 decade in the nineties. Yeah. And one is you know a country we 363 00:29:17.359 --> 00:29:21.240 don't really look at a lot because of the elderly population. Well that's why 364 00:29:21.279 --> 00:29:23.000 that whole thing happened in the nineties. They don't have a good labor for 365 00:29:23.079 --> 00:29:27.279 US nineties. It lasted for twenty five years. Yeah, but that particular 366 00:29:27.359 --> 00:29:30.839 nineties they had zero growth in the GDP. It was like, but it 367 00:29:30.920 --> 00:29:36.359 lasted up until recently. All their problems from there, I mean, but 368 00:29:36.480 --> 00:29:40.000 they didn't do anything to stimulate it either. That's the one thing about our 369 00:29:40.079 --> 00:29:42.799 countries. Well, they inflated their currency like crazy. You know. Well, 370 00:29:42.799 --> 00:29:45.880 we're all focused on AI. I was looking at a couple of other 371 00:29:45.960 --> 00:29:51.640 economic numbers. A credit card delinquency surged by more than fifty percent and twenty 372 00:29:51.680 --> 00:29:56.319 three which is not good for an economy that's seventy percent dependent on retail sales. 373 00:29:56.680 --> 00:30:02.880 Retail sales declined in genuarly, layoffs ing into the millions. Now inflation 374 00:30:03.079 --> 00:30:06.839 is moving up. PPI, CPI were both bad. Interest rates hit the 375 00:30:06.880 --> 00:30:11.079 highest level since Thanksgiving, and oil went up to almost eighty bucks a barrel. 376 00:30:11.119 --> 00:30:15.119 Before we get off credit, are we sure if I was looking at 377 00:30:15.200 --> 00:30:18.359 report that credit card balances are not higher than they were before the pandemic with 378 00:30:18.480 --> 00:30:26.519 delinquencies, right, and so that's credit card delinquent fifty percent right now? 379 00:30:26.559 --> 00:30:30.799 Did that go from two to four people know exactly. That's a hard thing 380 00:30:30.839 --> 00:30:33.079 to tell, which brings me to a fun fact. Okay, right, 381 00:30:33.119 --> 00:30:37.119 you want a fun fact. The best performing stock over the last thirty years. 382 00:30:38.359 --> 00:30:41.880 None of you are going to get it, as you would think. 383 00:30:41.880 --> 00:30:45.799 It's oh, stop, you've ruined it for me. No. I know 384 00:30:45.880 --> 00:30:48.880 this Monster Energy, and I told him about like five days ago about it 385 00:30:49.279 --> 00:30:52.680 the best performing stock in the last thirt years because it was a penny. 386 00:30:52.839 --> 00:30:56.240 It was like worth like four that's the It was up two hundred thousand percent 387 00:30:56.559 --> 00:31:00.279 in the last thirty years. Two hundred thousand Now, with that said, 388 00:31:02.079 --> 00:31:04.400 it started off with ten cents, right, okay, so yeah, okay, 389 00:31:04.440 --> 00:31:07.279 so does that does that qualify? But my way, it's like bitcoin, 390 00:31:07.319 --> 00:31:10.559 right, it started at a penny, so it's like up four hundred 391 00:31:10.559 --> 00:31:14.160 thousand percent. Well you're kind of oh it qualifies, because that's crazy that 392 00:31:14.200 --> 00:31:15.440 it's stock. You go from ten cents to where I think it's like thirty 393 00:31:15.440 --> 00:31:19.559 bucks. Now Monster Energy number one performing stock over the last thirty years. 394 00:31:19.799 --> 00:31:23.039 I'm surprised at that. Yeah, I learned about it. Yeah, very 395 00:31:23.079 --> 00:31:26.359 spread. It would have been nice if you bought it then, but it's 396 00:31:26.440 --> 00:31:27.640 kind of been doing nothing over the last few years. You know, that's 397 00:31:27.640 --> 00:31:30.759 a good point because I look at your Yeah, I looked at the last 398 00:31:30.799 --> 00:31:33.480 twelve months. It's up seven percent. Right, well, you wouldn't want 399 00:31:33.480 --> 00:31:36.880 to stock it's up seven percent in the last twelve months. Now, you've 400 00:31:36.920 --> 00:31:38.920 been mad. Last twelve months been pretty good, right, well? It 401 00:31:38.920 --> 00:31:41.960 dependence. I mean there are a lot of stocks only upset someone down. 402 00:31:42.480 --> 00:31:45.480 Okay, if you if you're not in the technology ones, they ain't moving 403 00:31:45.680 --> 00:31:48.519 well. And that's a good point too. I mean, you know a 404 00:31:48.519 --> 00:31:51.640 lot of people in dividend paying stocks and not moving that much. No, 405 00:31:51.680 --> 00:31:53.559 they aren't. And we did see the market the rally broad Now though, 406 00:31:53.599 --> 00:31:57.640 I noticed that DVY hit a new excuse me, v YM hit a new 407 00:31:57.640 --> 00:32:00.960 fifty two weeks high. VTV hit a new fifty two guy. These are 408 00:32:01.640 --> 00:32:06.640 value etf and they hit new fifty two week guys. So it has expanded 409 00:32:06.640 --> 00:32:08.559 out, Dean, he probably talked about it on your monologue. With the 410 00:32:09.359 --> 00:32:13.680 year to date, the S and P five hundred is up six point seven 411 00:32:13.720 --> 00:32:17.960 percent. The equal weight it is up two point seven percent, okay, 412 00:32:19.279 --> 00:32:21.680 right, but last week we had that kind of when you were gone, 413 00:32:21.960 --> 00:32:23.759 they equal weight. It finally outpaced the S and P first. Yes, 414 00:32:23.839 --> 00:32:27.000 yes, and it was actually two weeks ago I think it was down for 415 00:32:27.039 --> 00:32:30.319 the year. Yeah, and it's up two point seven so it's actually gotten 416 00:32:30.880 --> 00:32:32.759 a little bit of ahead of steam. So it's nice to see. What's 417 00:32:32.799 --> 00:32:37.599 going to make this move last is stability. Well, I think what we 418 00:32:37.759 --> 00:32:40.480 need to look at too, and this is to Dean's point of the Russell 419 00:32:40.519 --> 00:32:45.359 two thousand, right, year to date down point four percent. That's those 420 00:32:45.400 --> 00:32:49.119 low quality companies. Yeah right, they're not high quality companies. They're yet 421 00:32:49.160 --> 00:32:52.920 to prove themselves and the market isn't wanting them right now. I think we 422 00:32:52.960 --> 00:32:58.240 had said December early January that this is going to be the year of value 423 00:32:58.519 --> 00:33:01.960 versus the Magnificent seven, and then it has not been. It's a fantastic 424 00:33:02.000 --> 00:33:10.920 four now. Yeah, it's a meta. It's in Vidio Soft, Navidia 425 00:33:12.039 --> 00:33:15.880 and Amazon. And Amazon's in big trouble though. That's the problem with this. 426 00:33:15.039 --> 00:33:17.920 Amazon is in big trouble. Why are they in trouble, David? 427 00:33:19.039 --> 00:33:24.480 Because Walgreens is being removed from the doll and replaced with Amazon and ant had 428 00:33:24.519 --> 00:33:30.240 the last three stocks they put in the Dow have all tanked. And you 429 00:33:30.279 --> 00:33:35.319 know this is interesting that Walgreens was in the Dow Jones Industrial Average for six 430 00:33:35.400 --> 00:33:39.240 years, which is the shortest stint in history. And during that six years, 431 00:33:39.279 --> 00:33:43.400 I lost sixty seven percent of its value. And Dean, as you 432 00:33:43.480 --> 00:33:46.559 and you've spoken before on the show, you get the stock as that bad 433 00:33:46.640 --> 00:33:50.119 of a performer, they're going to replace it. Well, that's why you 434 00:33:50.160 --> 00:33:55.480 buy indexes, this party you call portfolio, because the index will inevitably go 435 00:33:55.559 --> 00:33:59.920 up to new highs because if they're not performing the stocks, they get out 436 00:34:00.039 --> 00:34:01.920 the ones that aren't performing and they bring in the ones that perform. But 437 00:34:01.960 --> 00:34:05.599 I think that goes even deeper. If you look at the performance of the 438 00:34:05.640 --> 00:34:08.360 S and P five hundred versus the Dow over the last twenty years, one 439 00:34:08.400 --> 00:34:13.320 does way better than the other. And it could just be because trying to 440 00:34:13.360 --> 00:34:15.639 pick thirty stocks versus five hundred is a little harder. It is hard. 441 00:34:15.920 --> 00:34:20.079 It is hard. They got to be right on those thirty compared to being 442 00:34:20.159 --> 00:34:22.079 right on average on five hundred. And if you focus on the Dow, 443 00:34:22.159 --> 00:34:25.679 you're not focusing on the market. No you're not. You're focusing on thirty 444 00:34:25.679 --> 00:34:29.119 stocks. Well, but here's the thing I think when you're looking at it 445 00:34:29.159 --> 00:34:31.039 and say, hey, I want to get out of these like Magnificence of 446 00:34:31.039 --> 00:34:35.079 seventy and things like that, and I want to be more quality equally by 447 00:34:35.119 --> 00:34:37.280 the Dow. Those stocks are bought when the markets go down, when the 448 00:34:37.320 --> 00:34:40.320 market's always a fell hard, the first stocks that come back is the Dow. 449 00:34:40.559 --> 00:34:45.239 I was sorry about this. THENDAN Dow were equated. Okay, which 450 00:34:45.280 --> 00:34:50.760 one both is quality? You get where you get around the problem of having 451 00:34:50.760 --> 00:34:53.119 concentration. Yeah, both, I like them both. I like them both. 452 00:34:53.800 --> 00:34:57.360 I mean, uh, I almost think you take a little money off 453 00:34:57.440 --> 00:35:01.599 S and P five hundred spy spy now and moving into RSP the equal weighted 454 00:35:02.239 --> 00:35:07.760 just because if you want to be a little bit more I guess a little 455 00:35:07.840 --> 00:35:12.800 less risky, right, Yeah, you're lowering your beta, yeah a bit. 456 00:35:12.880 --> 00:35:15.559 And that's but I don't think these stocks are rolling over yet. I 457 00:35:15.599 --> 00:35:19.800 think they'll have pullbacks like they did, but I think they're gonna keep moving. 458 00:35:19.800 --> 00:35:21.719 But you know what we've been saying on the show, Right, we 459 00:35:21.760 --> 00:35:23.360 had Magnificent seven, then we had Super six, and you just set out 460 00:35:23.360 --> 00:35:25.599 of test for and then to me, I'm just thinking, like this is 461 00:35:25.599 --> 00:35:30.159 getting more and more and more concentrated. That's not a recipe for success. 462 00:35:30.320 --> 00:35:34.000 No, there's no risk right now. If you're a money manager, you 463 00:35:34.079 --> 00:35:40.519 hate this market because the stocks that you as an analogication process, it's hard 464 00:35:40.559 --> 00:35:45.239 to do, so it's hard to explain. Hey, you got two percent 465 00:35:45.320 --> 00:35:51.079 in the video, not ten percent. You have a position in bombs earning 466 00:35:51.119 --> 00:35:54.800 four and a half five. So when you when you're doing that, you 467 00:35:54.880 --> 00:35:57.960 have to do it. All right, We got to take a break. 468 00:35:58.000 --> 00:36:00.719 We'll be right back. Thanks for listening. Oh, welcome back everybody. 469 00:36:01.039 --> 00:36:05.559 This is the Money Matter Show. We got Dave, Dylan Todd of myself 470 00:36:05.599 --> 00:36:07.559 here to bring you a whole bunch of good information. Hey, listen, 471 00:36:08.679 --> 00:36:13.800 you know we have a new team, not a new team. We've increased 472 00:36:13.840 --> 00:36:17.039 our team, all right, and we're team members, right. We still 473 00:36:17.079 --> 00:36:21.800 have our group, which is always a team concept and I've always been a 474 00:36:21.800 --> 00:36:24.719 team concept guy. And now we've added on as you know, we have 475 00:36:24.760 --> 00:36:30.599 our state planner in our office on john Sabilia, which is great. It's 476 00:36:30.679 --> 00:36:35.239 been a great relationship helping us with a state planning and sending things out. 477 00:36:35.480 --> 00:36:38.559 He's going to become one of the most important people coming into next year, 478 00:36:39.199 --> 00:36:44.800 depending on what we do with the Trump tax. Yeah. I mean this 479 00:36:44.880 --> 00:36:49.119 is the sunset of the estate planning exact. Yeah, number two. And 480 00:36:49.159 --> 00:36:52.000 we've been trying to do this for a while. We found an accounting group 481 00:36:52.119 --> 00:36:57.000 that we actually have been using, but they've been taken over. And we 482 00:36:57.039 --> 00:37:01.719 really like these guys, the Johnson Brothers, Joel and Cy, and we 483 00:37:01.800 --> 00:37:05.599 appreciate those those of you that need accountant, call us. We're going to 484 00:37:05.639 --> 00:37:07.079 hook you up with them, same vice versa. They do that too. 485 00:37:07.519 --> 00:37:13.079 These guys are good the CPAs they've been around, whether it's business or in 486 00:37:13.159 --> 00:37:15.719 corporate or its individual. They can do it all. And you know, 487 00:37:16.039 --> 00:37:21.360 they took over a great practice from Scott Maya and who we sent a lot 488 00:37:21.400 --> 00:37:24.119 of business to, and now it's the Johnson Brothers. So we have accountants, 489 00:37:24.679 --> 00:37:30.440 the state plan, is, financial plan is and money managers all under 490 00:37:30.440 --> 00:37:36.280 one roof. This week I had two calls about people whose accountants have retired 491 00:37:36.320 --> 00:37:38.239 and they want somebody to do their taxes. I had two calls from people 492 00:37:38.239 --> 00:37:42.599 who have moved here from out of state and would like to have someone local 493 00:37:43.000 --> 00:37:47.000 do their taxes. And I'm telling you, Denis mentioned before the Johnson brothers, 494 00:37:47.039 --> 00:37:52.000 Joel and Cy. They're not only CPAs, but they're good guys, 495 00:37:52.440 --> 00:37:58.159 and they're nice guys, and they're fun to be around and I like them 496 00:37:58.159 --> 00:38:02.000 a lot. Yeah, so far as a good partnership. Well, going 497 00:38:02.039 --> 00:38:06.480 along April second, we will have that event that we're really looking forward to 498 00:38:06.679 --> 00:38:08.360 at the La Paloma Country Club and it's going to be a road to your 499 00:38:08.400 --> 00:38:12.519 financial success. So we're going to have the panel, the whole team at 500 00:38:12.519 --> 00:38:15.679 Greenberg Financial Group but as well as the Johnson Group brothers. They are going 501 00:38:15.760 --> 00:38:20.159 to be out there talking about the state I mean taxes. John Sabilly will 502 00:38:20.159 --> 00:38:22.440 be out talking about a state planning and it's really all about the risks that 503 00:38:22.480 --> 00:38:27.000 could be coming about in the next two years because, like Dean says, 504 00:38:27.000 --> 00:38:30.039 with the sun setting of that tax Act that Trump put in, that happens 505 00:38:30.039 --> 00:38:35.480 in twenty six depending on what president ends up in there starting on January I 506 00:38:35.519 --> 00:38:38.119 think twenty first, twenty twenty five, that's when the next one takes over. 507 00:38:38.840 --> 00:38:44.159 So that's kind of the first idea that we'll have on what we need 508 00:38:44.199 --> 00:38:46.800 to start being prepared for. And so this symposium that we're putting together on 509 00:38:46.840 --> 00:38:52.119 April second will kind of outlay, what potential risk could be on the horizon, 510 00:38:52.159 --> 00:38:54.159 as well as how to prepare for them now what kind of strategies to 511 00:38:54.199 --> 00:38:58.639 implement now. So not only will it be Greenberg Financial Group, Johnson Group, 512 00:38:58.679 --> 00:39:01.079 and the john sabilia the state, but you also have a special guest 513 00:39:01.119 --> 00:39:05.320 speaker, James T. Harris, which is the morning host on KNST seven 514 00:39:05.440 --> 00:39:08.920 ninety to get some more political election background and information on those things as well. 515 00:39:08.960 --> 00:39:15.519 So it's going to be a complete in depth symposium and lunches included as 516 00:39:15.559 --> 00:39:16.880 well. So if you want information on it, feel free to give us 517 00:39:16.880 --> 00:39:21.960 call five to you said it for April twenty second, after the taxes deadline. 518 00:39:22.000 --> 00:39:25.239 You had to pull the Johnson Brothers out of the offices on April second, 519 00:39:25.559 --> 00:39:30.840 right when when the fire's really hot. I know there's from twelve to 520 00:39:30.880 --> 00:39:34.119 three. Yeah, it'll be all right. Yeah, that's not too bad. 521 00:39:34.199 --> 00:39:37.280 And it'll be good too because it's we're gonna be talking a little bit. 522 00:39:37.320 --> 00:39:38.199 But then we have a panel for the last part of it where you 523 00:39:38.199 --> 00:39:43.480 can ask any questions you might have for us for stay playing with Johnson Billia 524 00:39:43.599 --> 00:39:45.719 or tax planning for the Johnson brothers. No, I mean that's a great 525 00:39:45.760 --> 00:39:49.400 group, and I think a lot of people would like to meet the morning 526 00:39:49.440 --> 00:39:52.800 host of at Canasto then, yeah, the new one, the new guying. 527 00:39:52.840 --> 00:39:54.400 Yeah, exactly. So again it's like Todd said, if you are 528 00:39:54.400 --> 00:39:57.199 interested, to just give us a call and we can get you signed up 529 00:39:57.239 --> 00:40:00.599 for it. It's from April second, from twelve pm to three pm. 530 00:40:00.280 --> 00:40:02.920 Yeah. And uh, you know you talked a little bit about rates earlier, 531 00:40:04.119 --> 00:40:06.679 Dave. You know, we be the two year four point sixty nine, 532 00:40:06.840 --> 00:40:09.320 the ten year four point twenty five. That's a that's a widening of 533 00:40:09.360 --> 00:40:14.679 that pretty significant one, pretty significant. It was almost it was almost flat 534 00:40:15.119 --> 00:40:17.159 a month ago, Yeah, almost flat. Now it's gone to almost fifty 535 00:40:17.159 --> 00:40:23.639 basis points. It's I don't know what that's telling. That's supposed apparently three 536 00:40:23.719 --> 00:40:28.079 years now. Yeah, I mean we all know the bomb market dwarfs the 537 00:40:28.079 --> 00:40:30.679 stock marketing size and that's hard for people to believe. I mean, bon 538 00:40:30.880 --> 00:40:31.960 I, I think it's like four times the size of the stock market. 539 00:40:31.960 --> 00:40:35.559 It is way more important than the stock market, and so you think there's 540 00:40:35.599 --> 00:40:39.320 more smart money in that bucket, which the inversion tells us that that's not 541 00:40:39.360 --> 00:40:43.679 a good thing coming. But that's that bad thing that's coming has happened for 542 00:40:43.719 --> 00:40:46.480 eighteen months now and it still hasn't come. So yeah, whether it will 543 00:40:46.480 --> 00:40:50.440 come to fruition, who knows. But the fact that it is inversioning is 544 00:40:50.480 --> 00:40:53.559 not something we would like to see. The uh we saw oil after spiking 545 00:40:53.639 --> 00:40:58.800 from the high sixties up to almost eighty bucks a barrow, yea, and 546 00:40:58.920 --> 00:41:02.559 the week down two dollars seventy six fifty. We'd like to see that down. 547 00:41:04.039 --> 00:41:07.039 Interest rates, of course, spike to the highest level since Thanksgiving. 548 00:41:07.480 --> 00:41:10.159 They did ease a little at the end of the week, and we don't 549 00:41:10.159 --> 00:41:15.199 need interest rates ticking up. We got this Goldielock scenario going on where we've 550 00:41:15.239 --> 00:41:20.039 got good economic growth with declining inflation, oil prices and interest rates. That's 551 00:41:20.079 --> 00:41:23.719 just absolute perfect scenario. Quick take a picture, right. We don't want 552 00:41:23.760 --> 00:41:29.320 to see anything like rising oil prices, rising interest rates. We saw inflation 553 00:41:29.440 --> 00:41:32.039 chick up. Last week's CPI and PPI were both not good, but the 554 00:41:32.719 --> 00:41:39.280 AI interesting AI pretty much dwarfed all of the negative news that I spoke about 555 00:41:39.440 --> 00:41:45.000 a little earlier. Gold up thirty seven dollars on the week to twenty forty 556 00:41:45.039 --> 00:41:51.000 eight. Gold moved in verty seven. Yeah, twenty thirty five. You 557 00:41:51.079 --> 00:41:53.840 got twenty thirty seven, which would be the twenty forty eight I think is 558 00:41:53.880 --> 00:42:00.079 the March contract. Twenty thirty seven is the April contract, I think anyway 559 00:42:00.599 --> 00:42:02.960 around there. I got a thirty seven bucks so it was up for the 560 00:42:04.000 --> 00:42:07.039 week. Is it was up the week? Yeah? Okay, got that 561 00:42:07.079 --> 00:42:13.000 bitcoin first down week since mid January. Not much down two percent on the 562 00:42:13.000 --> 00:42:17.480 week. And again, Scott Todd, we're not using the actual bitcoin itself, 563 00:42:17.480 --> 00:42:21.559 which is open twenty four to seven. Yeah, we're using the ETF 564 00:42:21.599 --> 00:42:23.760 clothes on Friday of last week, and the ETF closed on Friday of the 565 00:42:23.800 --> 00:42:28.880 week before, and it was two percent lower. That's the first time we've 566 00:42:28.920 --> 00:42:34.920 seen that in a little over a month. Right, the ETFs going well 567 00:42:35.079 --> 00:42:37.679 after the ETFs got approved. Yeah, much Well the ETFs got approved. 568 00:42:37.679 --> 00:42:42.199 That was so interesting to eat weekly. The thinking process, right, was 569 00:42:42.239 --> 00:42:45.199 that approval of the ETFs was going to cause bitcoin to take off? Yeah, 570 00:42:45.280 --> 00:42:50.760 the ETFs were approved in bitcoin tanked and then it took off. Well. 571 00:42:50.800 --> 00:42:52.119 As the thing is, it took off before they got approved too, 572 00:42:52.199 --> 00:42:57.480 So it's like were they allowed to buy bitcoin before they got approval. It 573 00:42:57.639 --> 00:43:00.639 is interesting. This is weird. There's there's one. One of the mysteries 574 00:43:00.639 --> 00:43:05.239 of life, right, We'll figured out one day. We had to continue 575 00:43:05.280 --> 00:43:08.840 to see electric vehicle price cuts, which which is the only way you're ever 576 00:43:08.880 --> 00:43:13.760 going to expand that market is you get to a point where everybody that can 577 00:43:13.800 --> 00:43:17.760 afford an EV has one, right or that wants one and can afford one. 578 00:43:17.920 --> 00:43:21.280 Now you've got to find a way to get it in the hands of 579 00:43:21.320 --> 00:43:23.559 people that maybe can't pony up fifty grand. And the way they're doing that 580 00:43:23.719 --> 00:43:29.079 is they're dropping the prices because demand is waning. Tesla has been steadily cutting 581 00:43:29.079 --> 00:43:34.280 prices. Ford Is joined the price cut party, dropping their mock e by 582 00:43:34.320 --> 00:43:37.079 eighty one hundred dollars, but it still cost you forty eight eight ninety five, 583 00:43:37.440 --> 00:43:40.760 which is one thousand bucks higher than the long range Tesla Model Y, 584 00:43:40.800 --> 00:43:45.519 which frankly makes no sense at all. Tesla has been doing it for sixteen 585 00:43:45.599 --> 00:43:49.639 years, and I understand the Ford Mochi is pretty cool looking car, but 586 00:43:49.719 --> 00:43:52.000 they're brand new to this. I'm not sure why we cost one thousand bucks 587 00:43:52.079 --> 00:43:54.760 more than the Tesla. Speaking of cars, not a car maker, but 588 00:43:54.880 --> 00:43:59.559 Carvana. Their shares jumped nearly thirty percent in the pre market trading on Friday 589 00:44:00.239 --> 00:44:04.800 as a company reports its first annual profit in history. Talk about a wild 590 00:44:04.920 --> 00:44:07.519 ride. That was a crazy stuck back in the day, three hundred and 591 00:44:07.559 --> 00:44:12.119 seventy six dollars in August of twenty one. Wow, it plunged to three 592 00:44:12.159 --> 00:44:15.760 dollars, from three seventy six to three dollars, and they were all but 593 00:44:15.840 --> 00:44:20.440 gone. Right. I remember you saying there was a carbona store near their 594 00:44:20.480 --> 00:44:24.039 headquarters home up the headquarters near your home in Phoenix. Can that be a 595 00:44:24.159 --> 00:44:29.320 vending machine of cars? Yeah? Yeah, they have one in Tempee that's 596 00:44:29.320 --> 00:44:32.039 the vending machine, but they're also headquartered in Tempiez. We three dollars a 597 00:44:32.079 --> 00:44:36.480 share and left for dead, frankly, and then just away it went up 598 00:44:36.559 --> 00:44:38.639 thirty percent on Friday when we couldn't get the micro chips for the cars. 599 00:44:38.679 --> 00:44:42.039 I think that that had probably had a big thing to do with it. 600 00:44:42.039 --> 00:44:45.519 They shifted into used cars a lot. That's been a huge seller. Yeah, 601 00:44:45.679 --> 00:44:47.920 for their company. Really was probably I think Todd said before two thirds 602 00:44:47.960 --> 00:44:51.880 of all car sales are used, right, Yeah, and so you really 603 00:44:51.920 --> 00:44:57.199 haven't been able to buy a used EV until recently. I don't know that's 604 00:44:57.199 --> 00:44:59.960 going to make it every Rivian was down twenty percent at the open on their 605 00:45:00.360 --> 00:45:05.119 to an all time low. They reported larger than expected Lossy're going to lay 606 00:45:05.119 --> 00:45:08.960 off ten percent of the staff and predicted lower production. Same story at Lucid 607 00:45:09.480 --> 00:45:15.239 as the e V fervor dies down. Yeah, loose it out in uh 608 00:45:15.559 --> 00:45:21.280 Cossack. That's where their facilities. A factory is massive. Yeah. Now 609 00:45:21.480 --> 00:45:24.679 I saw a Lucid. I saw something when I went to Orange County the 610 00:45:24.760 --> 00:45:30.079 last time I saw a Lucid building at the intersection of Interstate ten and Interstate 611 00:45:30.119 --> 00:45:35.280 eight. Is that the factory I think? Or is the factory more and 612 00:45:35.679 --> 00:45:38.400 more west of Castle Grand. No, it's it's at that intersection when they 613 00:45:38.440 --> 00:45:44.039 try that that is the factory. Factory was a huge, big building with 614 00:45:44.159 --> 00:45:47.320 Loocid on the side. Yeah, that's the one. Yeah, that's that's 615 00:45:47.599 --> 00:45:53.199 That's been a great deal for a Castle Grand, right, great deal for 616 00:45:53.280 --> 00:45:58.199 Casa Gran Solar Edge. You guys been know more about this than I do. 617 00:45:58.320 --> 00:46:00.920 Of a death spiral for the last twelve months, down seventy five percent, 618 00:46:01.360 --> 00:46:06.840 lost another twenty percent at the open on Wednesday, after reporting revenue guidance 619 00:46:07.400 --> 00:46:09.719 well below expectations. We saw a lot of that this week, where companies 620 00:46:09.760 --> 00:46:15.079 came out with good earnings, good revenue, good earnings, and disappointing guidance. 621 00:46:15.599 --> 00:46:19.000 Yeah. I mean the solar whole space to us was interesting because of 622 00:46:19.039 --> 00:46:22.719 its interest rate sensitivity and understanding that the possibility of rates going lower is higher 623 00:46:22.760 --> 00:46:27.840 than I'm going higher. So the idea of solar makes sense. But when 624 00:46:27.840 --> 00:46:31.840 you look at TAN and you compare it against FSLR, you realize FSLR is 625 00:46:31.880 --> 00:46:37.280 the only good solar company that's in that ETF, and Solar Edge is one 626 00:46:37.320 --> 00:46:42.840 of those companies dragging down TAN and PID. Remind me why that is because 627 00:46:43.480 --> 00:46:47.360 per Solar, they make the actual vertically integrated right, so they're making the 628 00:46:47.360 --> 00:46:52.280 big panels all the production of their process, you know, So like in 629 00:46:52.719 --> 00:46:58.639 solar Edge just makes the actual system that collects the energy from the panel. 630 00:46:58.679 --> 00:47:02.599 They don't create the panels. And so first Solar makes the panels, they 631 00:47:02.639 --> 00:47:06.440 make the system, they make the best they do the whole nine yards, 632 00:47:06.760 --> 00:47:09.119 and so they don't have to outsource the other stuff. So if you're gonna 633 00:47:09.159 --> 00:47:14.840 invest in this space, you probably want to stay away from the ETF and 634 00:47:14.920 --> 00:47:20.079 you want to go and warning it is a volatile space. Okay, very 635 00:47:20.159 --> 00:47:24.639 volatile space. So you know that going in, if you're a aggressive investor, 636 00:47:24.840 --> 00:47:28.119 it might be something you want to take a look at, if you'd 637 00:47:28.159 --> 00:47:30.840 want to stick with First Solar, not with the ETF, not with Solar 638 00:47:30.960 --> 00:47:34.280 Edge, or some of these other companies. We're coming up on a break 639 00:47:34.400 --> 00:47:38.079 here, Sebastian. We will be back after this break. After this break, 640 00:47:38.280 --> 00:47:43.360 we appreciate your joining us on this Sunday morning. Welcome back, everybody. 641 00:47:43.440 --> 00:47:46.000 Second part of the Money Matter Show. Remember you can always go back 642 00:47:46.000 --> 00:47:52.239 and listen anytime anywhere on podcasts. It's Money Matters with Dean Greenberg on every 643 00:47:52.280 --> 00:47:55.480 single platform, including all website. All you have to do is go click, 644 00:47:55.719 --> 00:48:00.639 boom, listen, go jogle, work out, do anything you'll learn 645 00:48:00.719 --> 00:48:04.519 as you get in shape. Second half of the Showdyn't you want to give 646 00:48:04.599 --> 00:48:06.760 us a recap? Yeah, for those of you just tuning in. For 647 00:48:06.800 --> 00:48:08.360 the week, the Dow is up one point three percent, the SMP was 648 00:48:08.440 --> 00:48:13.119 up one point seven percent, the Nazak was up one point four percent, 649 00:48:13.480 --> 00:48:15.880 the Russell two thousand, the small cap was down point eight percent, and 650 00:48:15.920 --> 00:48:20.039 the equal weighted S and P five hundred was up one point three percent, 651 00:48:20.760 --> 00:48:24.320 and it was a weird SMP five hundred is slightly beating the NASDAK six point 652 00:48:24.360 --> 00:48:28.039 seven percent. That's interesting, isn't it that the S and P five hundred 653 00:48:28.039 --> 00:48:30.280 would beating the NASDAK. Yeah. The nasac's up six point six percent, 654 00:48:30.360 --> 00:48:32.800 so barely. Yeah, I mean it's tenth of a small gap. Is 655 00:48:32.800 --> 00:48:37.559 still getting hit the hardest. They're the only ones down out of the major 656 00:48:37.599 --> 00:48:40.400 indices. And it was it wasn't Nvidia kind of week. Like we said 657 00:48:40.400 --> 00:48:45.199 in the first hour, It's all was all about Nvidia. They are the 658 00:48:45.480 --> 00:48:50.320 engine that drives AI. AI is the engine that's been driving this rally. 659 00:48:50.880 --> 00:48:54.880 It's important that Nvidia is doing great because then you interpolate that the rest of 660 00:48:54.880 --> 00:48:59.480 AI is doing great, and the market rally is justified, and I moves 661 00:48:59.519 --> 00:49:04.159 with it, but had nothing on its own SMCI Oh my god, two 662 00:49:04.199 --> 00:49:07.159 hundred and fifty points in that day. I think no reason other than it's 663 00:49:07.199 --> 00:49:10.840 part of it, I know. And here here's a warning. Guys. 664 00:49:10.960 --> 00:49:15.639 All right, you're gonna hear every Tom Dick and Harry. You're gonna get 665 00:49:15.679 --> 00:49:19.960 every email with every newsletter telling you, hey, you might have missed the 666 00:49:20.039 --> 00:49:22.440 video. But we have the next video, we have the next Amazon, 667 00:49:22.800 --> 00:49:27.400 we have the next Beta. You gotta buy in these these youths coming, 668 00:49:27.440 --> 00:49:30.639 you gotta buy it. Listen to all newsletter, Buy a newsletter and you'll 669 00:49:30.639 --> 00:49:32.880 find these guys. There's no reason that you have to fool around with those. 670 00:49:32.920 --> 00:49:37.199 When they get bigger and stronger than there's there. Buy the good companies 671 00:49:37.320 --> 00:49:40.639 on pullbacks. They will probably buy up some of these other companies, but 672 00:49:40.679 --> 00:49:44.440 they know which ones are good and which you're not good. But you're gonna 673 00:49:44.480 --> 00:49:47.440 get everybody out there trying to tell you they got the next uh, the 674 00:49:47.840 --> 00:49:52.639 next shiny thing that's gonna be able to take over, you know. And 675 00:49:52.679 --> 00:49:58.119 it's always talking about penny stocks that are five dollars or lessons saying we picked 676 00:49:58.119 --> 00:50:00.199 Amazon in two thousand and one was three, we picked Apple when it was 677 00:50:00.239 --> 00:50:04.679 nothing. And it's always those going back to the first dot com bubble. 678 00:50:05.159 --> 00:50:07.960 Just be aware, listen. We'll you know, we all like a stock 679 00:50:08.039 --> 00:50:12.480 here there that might be there, but we look at it, we analyze 680 00:50:12.480 --> 00:50:15.599 it, and we want it to at least be a supply it to these 681 00:50:15.599 --> 00:50:20.519 big companies. I mean, most of those services ask for like a yearly 682 00:50:20.639 --> 00:50:24.000 performance or ask for timestamps, and then you realize they don't have them because 683 00:50:24.000 --> 00:50:28.679 it's all just figazi. The one thing that I that I continue to hear, 684 00:50:28.679 --> 00:50:31.159 and I've talked about this on the show before. There are so many 685 00:50:31.559 --> 00:50:37.960 people out there trying to sell you newsletters and or trying to sell you gold, 686 00:50:37.280 --> 00:50:40.559 and the easiest way to do that is to say something that will scare 687 00:50:40.599 --> 00:50:45.800 you, because fear is the strongest human emotion, much stronger than any other 688 00:50:45.880 --> 00:50:51.559 human emotion. And the latest, again, on and on digital dollar. 689 00:50:51.719 --> 00:50:58.800 I keep hearing about digital dollar. I got a call from a pretty sophisticated 690 00:50:58.840 --> 00:51:01.960 investor six months ago. He called me about this digital dollar, and he 691 00:51:02.000 --> 00:51:07.000 called me again about it this past week. The government's gonna convert our currency 692 00:51:07.000 --> 00:51:10.199 to digital dollars. Biden's approved it, Congress has signed off on it. 693 00:51:10.280 --> 00:51:15.719 People, there is no digital dollar. It does not exist. They cannot 694 00:51:15.760 --> 00:51:20.920 convert. Nobody's gonna convert your currency to digital dollars because there aren't any digital 695 00:51:20.920 --> 00:51:25.239 dollars. Well, I don't understand the whole like like they're already technically digital, 696 00:51:25.239 --> 00:51:29.800 Like if you log into your bank account, you're not seeing their digits 697 00:51:29.800 --> 00:51:34.400 on a screen. This is this is an actual digital dollar similar to bitcoin, 698 00:51:34.519 --> 00:51:37.320 right, Like, what what's so scary for these people that you can't 699 00:51:37.320 --> 00:51:42.079 hold an actual dollar anything that threatens your cash? But it can still cash. 700 00:51:42.159 --> 00:51:44.559 And it used to back in the day, it was They're gonna come 701 00:51:44.599 --> 00:51:49.559 and take your retirement account. It's the Congress is talking about taking your retirement 702 00:51:49.599 --> 00:51:53.760 account to balance the budget deficit. And people actually believe that. They actually 703 00:51:53.800 --> 00:51:59.320 believe that. They actually believe that because they see it from so many different 704 00:51:59.360 --> 00:52:05.199 sources. And these are again newsletters and goal sellers who are trying to scare 705 00:52:05.280 --> 00:52:12.519 you into buying their newsletter so you don't get caught with cash when the digital 706 00:52:12.559 --> 00:52:17.400 dollar conversion takes place. There is no digital dollar. Not bad even if 707 00:52:17.559 --> 00:52:22.800 like, even if that event happens, How is your physical cash worth more 708 00:52:22.800 --> 00:52:27.199 than the digital cash? You know, it's anything that impacts your cash, 709 00:52:27.280 --> 00:52:30.440 that's the bottom line. But it's like, how does it impact your cash? 710 00:52:30.480 --> 00:52:35.360 Congress is actually Congress actually has talked about a digital dollar and whether there's 711 00:52:35.400 --> 00:52:39.840 a place for it and whether if it happens, what actually impacts are there 712 00:52:42.159 --> 00:52:45.760 todd I as far as what would happen if what would really change if they 713 00:52:45.840 --> 00:52:50.559 digitize don't use debit cards, we use credit cards, we use Apple Pay, 714 00:52:50.639 --> 00:52:53.679 we use our phones to pay. Very little transactions are done with physical 715 00:52:53.960 --> 00:52:58.480 dollars anymore. Anyways, The bottom line is is these people are trying to 716 00:52:58.480 --> 00:53:00.960 get people to believe that they'll get a go to go into the banks and 717 00:53:00.400 --> 00:53:04.599 all that. But it's just think about those people who actually somewhat believe those 718 00:53:04.639 --> 00:53:07.920 people are telling them that. It's like, just think about it. Just 719 00:53:07.960 --> 00:53:10.119 think about it. There is no difference even if that event happens, which 720 00:53:10.159 --> 00:53:14.960 is not going to happen. Even if it happened, it's no different. 721 00:53:15.079 --> 00:53:17.159 You're already using digital cash, if you use a debit card, if you 722 00:53:17.239 --> 00:53:21.840 use your phone. Most people don't use cash anymore. No, it's we 723 00:53:21.920 --> 00:53:25.000 have a digital economy. That's how that happened. Last time. You know, 724 00:53:25.239 --> 00:53:29.519 whence the last time somebody gave you change, right, I guess you'd 725 00:53:29.559 --> 00:53:31.239 have to use cash if you're going to get changed, right. We used 726 00:53:31.280 --> 00:53:35.920 to keep a jug, you know, are change in there, right, 727 00:53:35.960 --> 00:53:37.599 and then every now and then we take go to the store and try to 728 00:53:37.599 --> 00:53:40.239 get some cash out of it. I don't even know where the jug is 729 00:53:40.360 --> 00:53:45.880 anymore. Uh. When people ask for change, like if you get changed 730 00:53:45.880 --> 00:53:49.039 back from a store these days, most people just donate it. Like there's 731 00:53:49.039 --> 00:53:51.000 a little box there. I'm just throwing my change in there. I don't 732 00:53:51.000 --> 00:53:53.119 want the hassle to bring it back to my car. Keep it in my 733 00:53:53.159 --> 00:53:57.159 way, Like well, Davis saying, if they're talking about it the on 734 00:53:57.199 --> 00:54:00.880 a commercials and still fear, it's are to hear like you're saying, but 735 00:54:00.960 --> 00:54:02.639 it's just the way they say it on the commercials and still fear. So 736 00:54:02.639 --> 00:54:06.320 you buy the newsletter. They don't care about you. Yeah. And then 737 00:54:06.320 --> 00:54:08.199 one of the worst is Pat Boone. What happened to Pat Boone? Pat 738 00:54:08.239 --> 00:54:10.800 Boone back in the day, you guys, none of you guys even know 739 00:54:10.800 --> 00:54:16.440 who Pat Boone is. He's a gold salesman. Never mind, you know 740 00:54:16.519 --> 00:54:22.639 Kendrick Lars. Pat Boone is a fear sailler. He's a fear seller. 741 00:54:23.079 --> 00:54:28.280 Walmart. If you look at if you own Walmart and look at it this 742 00:54:28.320 --> 00:54:30.199 weekend, you're gonna go, oh my goodness, what happened? Right? 743 00:54:30.360 --> 00:54:35.480 Other Walmart news though, well they're split in that's what three yeah, three 744 00:54:35.519 --> 00:54:37.320 to one huge. We talked about this last week, Dylan. Yeah, 745 00:54:37.360 --> 00:54:42.000 the video that deal went through they're buying video for two point three billion dollars 746 00:54:42.000 --> 00:54:45.239 in cash, and this move was to help their Walmarts to add business. 747 00:54:45.320 --> 00:54:47.400 So on that points, Roku took a huge hit off the off of this 748 00:54:47.519 --> 00:54:52.360 news, even after their drop after earnings. Uh, selling and Roku kind 749 00:54:52.360 --> 00:54:53.880 of seems a little bit overdone to me. You have to consider upon the 750 00:54:53.920 --> 00:55:00.840 acquisition, will Amazon still sell Visio TVs Walmart? On what? What about 751 00:55:00.880 --> 00:55:06.119 targets? Would targets still want to sell competing Walmart TVs? Right? Because 752 00:55:06.119 --> 00:55:09.519 if Walmart owns Visio, they might not be able to sell TVs Amazon or 753 00:55:09.599 --> 00:55:14.840 Target exactly. So Walmart. That's interesting though Walmart doesn't sell the Fire, 754 00:55:15.280 --> 00:55:19.480 the Fire TV's Roku's Fire TVs. It never did, so I'm trying to 755 00:55:19.480 --> 00:55:22.880 figure, you know, is this going to actually result in some shelf space 756 00:55:22.920 --> 00:55:25.280 freeing up at other retailers for Roku would come in and take some of that 757 00:55:25.320 --> 00:55:30.880 market share away. Interesting, but we'll see. Wait, I'm confused what 758 00:55:30.159 --> 00:55:34.719 you have the Roku and Fire TV. They're different Amazon Fire, Roku and 759 00:55:34.800 --> 00:55:37.480 Amazon Fire are different things. So you're saying Walmart used to sell Roku. 760 00:55:37.719 --> 00:55:40.480 No they don't. They don't. What I'm trying to get at is like, 761 00:55:40.559 --> 00:55:45.559 why would why would Target or Amazon want to want to sell the Visio 762 00:55:45.599 --> 00:55:49.639 TVs if they're from a competing retailer. Well, does Target make TVs? 763 00:55:50.000 --> 00:55:52.159 No, so what's their competition? Don't want to buy? No, he's 764 00:55:52.159 --> 00:55:55.840 saying they'll put Roku TVs on their shelves rather than Visio, Visio Walmart to 765 00:55:55.840 --> 00:56:01.079 make money off what they sell is what he's saying. The party where they 766 00:56:01.119 --> 00:56:04.639 just put TVs on don't carry that brand. Yeah, that's what he say. 767 00:56:05.400 --> 00:56:09.400 Think an Amazon, is that an entry point for Roku to you know, 768 00:56:09.440 --> 00:56:14.079 take more. That's a little premature. No, totally, I totally 769 00:56:14.119 --> 00:56:16.400 agree. I just think the again, like I said, selling in a 770 00:56:16.400 --> 00:56:19.880 little a little overdone. I'm going to be interesting to watch. No, 771 00:56:20.320 --> 00:56:22.679 definitely gonna be interesting to watch. I'm sorry. I'm sorry that the Dean 772 00:56:22.719 --> 00:56:27.400 stepped away for a minute because my EV garage was kind of built for Dean 773 00:56:27.519 --> 00:56:31.679 this week, because my EV garage this week is about hybrid cars. Hybrid 774 00:56:31.719 --> 00:56:37.679 cars are more popular than electric cars, right, Yeah, recently we've seen 775 00:56:37.760 --> 00:56:43.079 hybrid cars replaced by plugging hybrids. I don't know why. What's the difference 776 00:56:43.079 --> 00:56:47.519 between the two. You have to plug it in. In a plug in 777 00:56:47.599 --> 00:56:51.719 hybrid, the electric battery is the primary source of the car. When the 778 00:56:51.760 --> 00:56:55.039 battery runs down, the internal combustion the engine takes over. In a traditional 779 00:56:55.159 --> 00:56:59.039 hybrid, todd, do you have a traditional hybrid? The battery only provides 780 00:56:59.159 --> 00:57:01.880 enough power to drive around town and gets you a little bit better gas mileage. 781 00:57:01.920 --> 00:57:07.400 Shut up, Mahonde. Battery size and costs different, since the electric 782 00:57:07.440 --> 00:57:12.119 battery and a plug in is larger and more expensive to replace. Battery recharging 783 00:57:12.199 --> 00:57:15.400 capability is also different. A plug in hybrid may be able to get a 784 00:57:15.599 --> 00:57:20.360 little charge through regenerative breaking, but since it has a larger battery that it 785 00:57:20.400 --> 00:57:23.519 relies on more, it needs to be connected to an external power source to 786 00:57:23.559 --> 00:57:30.639 fully recharge. Right. Traditional hybrids recharge their electric batteries through regenerative braking. 787 00:57:30.800 --> 00:57:32.079 Yep. That's why going up mountains it's not a good time, not a 788 00:57:32.079 --> 00:57:34.760 good time, no, I hear you, I hear you. And going 789 00:57:34.800 --> 00:57:37.440 down mountains is wonderful yep, great gas mileage. They think that he created 790 00:57:37.440 --> 00:57:42.159 by the breaking process and converted electric. So the disadvantage of a plug in 791 00:57:42.239 --> 00:57:44.800 hybrid, we've we've talked about this a little bit and saying, gosh, 792 00:57:44.800 --> 00:57:46.719 it seems like the plug in hybrid would be the worst of both worlds. 793 00:57:46.719 --> 00:57:50.960 You gotta plug in and you have all the maintenance issues that come with a 794 00:57:51.000 --> 00:57:53.920 traditional car. Right, But it kind of makes sense if you think about 795 00:57:53.960 --> 00:57:58.440 it, because the plug in hybrid you get twenty five to fifty miles on 796 00:57:58.480 --> 00:58:01.880 your battery. So you plug it in. If all you're doing is going 797 00:58:01.880 --> 00:58:06.119 to working back, you could do that for an entire week and not use 798 00:58:06.159 --> 00:58:09.719 one ounce of gasoline, not an ounce, And then if you want it 799 00:58:10.039 --> 00:58:14.599 good for your car, isn't it like gas sitting in your car not used. 800 00:58:14.679 --> 00:58:17.280 Bad? That's coming up. Okay, we're about It's a very good 801 00:58:17.280 --> 00:58:21.920 observation. Though. Gasoline, that is a problem. You've got to use 802 00:58:21.960 --> 00:58:27.559 the gas from time to time because gasoline's shelf life it's about three months three 803 00:58:27.599 --> 00:58:31.119 months gasoline starts to degrade. Now, there are two things you can do. 804 00:58:31.519 --> 00:58:35.800 One is you can use the gasoline from time to time, take a 805 00:58:35.840 --> 00:58:38.880 trip to Phoenix back right. The other is there's actually our additives that you 806 00:58:38.880 --> 00:58:42.800 can put in your tank. One of our clients told me that that sounds 807 00:58:42.880 --> 00:58:45.320 horrible. An additive in your tank to make the gas long, but that's 808 00:58:45.360 --> 00:58:50.880 only if you're if you haven't used the gasoline for three months. Keep in 809 00:58:50.960 --> 00:58:53.639 mind, this is twenty five to fifty miles, So you're gonna go to 810 00:58:53.639 --> 00:58:57.400 Phoenix from time to time. You're gonna go to San Diego from time to 811 00:58:57.440 --> 00:59:01.039 time. And I find that somewhat appealing, that ability to do both, 812 00:59:01.119 --> 00:59:07.199 to have the the savings of an electric vehicle around town. The big hassle 813 00:59:07.280 --> 00:59:10.400 to me is, like I said earlier, you have to plug in every 814 00:59:10.480 --> 00:59:13.519 night. What I was gonna say, what type of charger do you need 815 00:59:13.559 --> 00:59:15.079 for that is the same one that you have, same as I have. 816 00:59:15.280 --> 00:59:21.960 What about the pricing of plugs and traditional the pricing of plugins versus traditional hybrids, 817 00:59:22.840 --> 00:59:25.400 as far as the cost to buy them, you mean higher. I'm 818 00:59:25.440 --> 00:59:29.920 sure I didn't check that. I don't know, but we'll check that and 819 00:59:30.000 --> 00:59:31.760 get back to you. But I'm guessing the plug in hybrids are higher than 820 00:59:31.800 --> 00:59:37.760 the traditional hybrids because they're actually they're cooler. Uh, they'll do more well, 821 00:59:37.000 --> 00:59:40.199 it's all. It all depends on what kind of savings you get, 822 00:59:40.280 --> 00:59:45.400 right, I'm sure the plugins are way faster. Uh yeah, yeah that 823 00:59:45.880 --> 00:59:47.239 I hope you have that snap How about you. Do you have that snap? 824 00:59:47.719 --> 00:59:51.800 No, not even close. Okay, I probably have the opposite in 825 00:59:51.840 --> 00:59:53.079 your car. I've never been hybrid. I've never been in a car that 826 00:59:53.119 --> 00:59:58.119 has as low acceleration as this car. Like it's to the point where I 827 00:59:58.119 --> 01:00:02.000 think any car could beat me. My Tesla's speed is is borderline terrified. 828 01:00:02.199 --> 01:00:07.400 I know, like a completely different ends of the spectrum. It's you notice, 829 01:00:07.440 --> 01:00:10.119 I mean you you put the pedal down and you snapped your head back, 830 01:00:10.159 --> 01:00:14.039 and he's like, holy cowels in your face. You can you can 831 01:00:14.079 --> 01:00:16.239 hear your face pulled back. I mean, it really is amazing. Vic. 832 01:00:16.760 --> 01:00:21.360 By the way, I had my first service on my Tesla last week. 833 01:00:21.400 --> 01:00:22.559 Did you see Yeah, you're really excited him out there. I was 834 01:00:22.559 --> 01:00:25.920 pretty excited about it. He came to the office, he got my key, 835 01:00:27.239 --> 01:00:30.320 which is a credit card shaped thing that says Tesla on it, took 836 01:00:30.360 --> 01:00:34.960 it down there, and about thirty minutes later he was back and my tirifts 837 01:00:35.000 --> 01:00:37.639 had been rotated and my service was done. Because that's pretty much it. 838 01:00:38.480 --> 01:00:44.519 The plug in hybrid UH does have some advantages, but it also has the 839 01:00:44.599 --> 01:00:49.000 disadvantages of an electric vehicle. On the disadvantages of a gasoline part vehicle. 840 01:00:50.119 --> 01:00:54.559 So you're saying it has double disadvantages, Yes, double disadvantages. Absolutely. 841 01:00:54.639 --> 01:00:59.239 All right, on that note more acquisitions. Last week, Capital One bought 842 01:00:59.239 --> 01:01:04.800 to Discover Finance for thirty five billion dollars, making it the largest Capital One 843 01:01:04.880 --> 01:01:07.639 bought Discover Financial. I thought it's getting stopped out though, I wonder if 844 01:01:07.679 --> 01:01:10.239 it's going to go through. Well, they obviously got to get it approved. 845 01:01:10.320 --> 01:01:15.079 But what do you think they're acquiring that don't see it? They wouldn't 846 01:01:15.079 --> 01:01:19.360 want that FDC what they're Yeah, it's gonna be all that stuff. But 847 01:01:19.400 --> 01:01:22.079 what they're trying to what they if it does go through, what it would 848 01:01:22.079 --> 01:01:25.320 happen is it will make it the largest credit card company by loans and third 849 01:01:25.400 --> 01:01:30.719 largest by purchase volume. And what it really wants is discovers payment network, 850 01:01:30.760 --> 01:01:34.119 which is like the rails. Is the main reason behind buying it because it 851 01:01:34.239 --> 01:01:40.000 shuffles the digital dollars. Digital dollars are real consumers and merchants collecting money along 852 01:01:40.039 --> 01:01:47.039 the way, So Capital One could essentially own the railwork way from buying using 853 01:01:47.039 --> 01:01:51.079 your credit card to buy something at Walmart. I just love the idea that 854 01:01:51.119 --> 01:01:54.440 people think, like these big businesses are really like sending crates of dollars to 855 01:01:54.480 --> 01:02:00.000 each other, Like that's how they're doing business. Like when they're settling these 856 01:02:00.039 --> 01:02:04.599 big loans and settling, they're just sending these physical like no, it's digital. 857 01:02:06.159 --> 01:02:12.239 We only do that with Iran. Yeah right, those videos are crazy. 858 01:02:12.440 --> 01:02:15.719 Create the money is all we do with Iran. Yeah, the money, 859 01:02:15.760 --> 01:02:22.320 right. Yeah. You don't get me started on these immigrants getting ten 860 01:02:22.360 --> 01:02:25.400 thousand dollars and we can't give anything to our homeless. We can't even build 861 01:02:25.679 --> 01:02:30.880 a mental health we don't. We stopped mental health facility because we didn't have 862 01:02:30.880 --> 01:02:34.280 the funding. Speaking speaking of it, looks like we have plenty of funding. 863 01:02:34.639 --> 01:02:37.400 Yeah, well we don't. We can print. We just keep printing. 864 01:02:37.440 --> 01:02:39.400 I mean, if you see the homeless problem since our mental health facilities 865 01:02:39.599 --> 01:02:43.960 were shut down, it's kind of what happened, right. They don't have 866 01:02:43.960 --> 01:02:45.960 any other place to go. No, it's true, absolutely, absolutely so 867 01:02:45.960 --> 01:02:49.639 where do they go on the streets? Speaking of immigrants that you guys hear 868 01:02:49.639 --> 01:02:53.239 about the Courage to Courage to Serve Act that we're introducing. No, it's 869 01:02:53.239 --> 01:02:57.519 getting introduced to it's being introduced. It's not pasted yet, but the US 870 01:02:57.599 --> 01:03:00.599 is introducing the Courage to Serve Act. This new old expedite the migrants path 871 01:03:00.679 --> 01:03:05.760 to citizenship by requiring them to serve in them at the US military. What 872 01:03:05.800 --> 01:03:08.280 do you think about that? Character? Sure, I I think if you 873 01:03:08.320 --> 01:03:10.519 want to be in this country and you want to serve from our country, 874 01:03:10.559 --> 01:03:13.760 then let's do it. I guess that's a good meaning. At all of 875 01:03:13.800 --> 01:03:16.880 the immigrants are under thirty. Huh do you have to be under thirty be 876 01:03:16.880 --> 01:03:21.639 in a military? I think if you were to get an INFRA treatment in 877 01:03:21.679 --> 01:03:23.320 his forties or fifties, it might be kind of pointless. I mean, 878 01:03:23.320 --> 01:03:27.760 at this point, half the military is just making drone strikes. You just 879 01:03:27.760 --> 01:03:29.679 got to click a button on a keypad. I don't think you have to 880 01:03:29.679 --> 01:03:32.000 be a super infit shape for that. But I see your point. Maybe 881 01:03:32.159 --> 01:03:36.679 maybe you have to be under thirty. I don't know that's it's just so 882 01:03:36.719 --> 01:03:42.760 many that the whole mess that's been created by the border is just beyond me. 883 01:03:42.960 --> 01:03:45.400 I don't understand how anyone in the right Yeah, and it took into 884 01:03:45.440 --> 01:03:49.480 an election here for the Bide administration to acknowledge that there's an issue. Yeah 885 01:03:49.760 --> 01:03:52.679 ninefore the election goes Yeah, yeah, well you need to tighten up that 886 01:03:52.719 --> 01:03:55.719 border, well conveniently took until the election your first three years. No, 887 01:03:57.000 --> 01:03:59.840 there's nothing wrong with you. Guys are crazy. It sucks for the type 888 01:03:59.880 --> 01:04:01.480 of for the people that try to make it a point to come across, 889 01:04:01.840 --> 01:04:05.880 you know, legally, it really de insensivizes that. In my opinion, 890 01:04:06.119 --> 01:04:11.440 I just don't understand how it's good for anybody. How's it good for the 891 01:04:11.440 --> 01:04:15.239 the person from Mexico that's allowed into you know, it's only good for one 892 01:04:15.239 --> 01:04:17.840 person, and it's the socialist person that's leading this whole thing, because they're 893 01:04:17.880 --> 01:04:20.519 gonna get their vote, their votes, right, those people are getting all 894 01:04:20.519 --> 01:04:23.199 this free money. They think that's how the system works. Well, I 895 01:04:23.239 --> 01:04:26.559 feel if they are allowed to vote, well, they're gonna let them. 896 01:04:26.880 --> 01:04:31.960 They're definitely figuring out way. We thought from day one that that was the 897 01:04:32.000 --> 01:04:34.719 whole idea. Just bring in a whole bunch of Democrats right from Mexico. 898 01:04:34.960 --> 01:04:39.239 They're part of the military now that there should be allowed to vote if they 899 01:04:39.239 --> 01:04:42.159 make them, if they make them serve anyway, that's a Now we're getting 900 01:04:42.159 --> 01:04:46.280 involved in Dean's monologue. We try to make there's some money matter show well, 901 01:04:46.360 --> 01:04:49.480 ferrari I mean, I've talked about it before. It continues to have 902 01:04:49.679 --> 01:04:54.960 just killer weeks. It's up fifty eight percent over the last year. And 903 01:04:55.159 --> 01:04:58.960 uh, there's just something about Ferrari that just keeps the track. I mean, 904 01:04:59.000 --> 01:05:01.360 why is that company doing so much better than all the other cars? 905 01:05:01.920 --> 01:05:06.400 I don't know other than that, other than it's a very desirable car that's 906 01:05:06.440 --> 01:05:10.840 available to a very small part of the population. Yeah, I don't think 907 01:05:11.440 --> 01:05:15.119 is Lamborghini public. They're a private company pretty sure, Rolls Royce and the 908 01:05:15.159 --> 01:05:17.280 public, but they also have their plane engines and stuff like that that they 909 01:05:17.280 --> 01:05:23.960 do, so it's a little different public Prsch's public. How's the dude compared 910 01:05:23.960 --> 01:05:28.400 to That's interesting. I'm pretty sure trade is about seven dollars. Yeah, 911 01:05:28.440 --> 01:05:31.360 yeah, what I mean, yes, Ferrari kills it and they and they 912 01:05:31.440 --> 01:05:34.119 keep saying that they don't want to increase production and that's the main thing. 913 01:05:34.119 --> 01:05:36.360 They want to keep the exclusivity. Like we talked about the other day, 914 01:05:36.679 --> 01:05:40.239 their suv has sold out for two or three years and it hasn't even come 915 01:05:40.280 --> 01:05:42.679 out yet. Well, and it's it's just it's just a sadust symbol, 916 01:05:42.760 --> 01:05:45.679 right, and they know it, and that's what they lean into and it's 917 01:05:45.679 --> 01:05:51.400 working. And a brand of clothes, yeah, like Goose, your Valencia 918 01:05:51.400 --> 01:05:55.679 Agar whatever those are. No, you buy a Ferrari because you can't take 919 01:05:55.719 --> 01:05:59.199 your house everywhere, and you buy a Rollex because you can't get to Ferrari 920 01:05:59.280 --> 01:06:03.480 in the house. You know, it's simple. Biden administration is canceling smart 921 01:06:03.559 --> 01:06:09.000 student debt. They're canceling one point two billion dollars more of debt. I 922 01:06:09.000 --> 01:06:11.880 think it's up to like one hundred and thirty billion or something. This round 923 01:06:11.960 --> 01:06:15.480 is going to be affected on nearly one hundred and fifty three thousand borrowers, 924 01:06:15.880 --> 01:06:19.679 and it's to relieve people who have made replaint payments and they had initially twelve 925 01:06:19.719 --> 01:06:26.039 thousand or less, and they've been paying for a decade. The uh, 926 01:06:26.119 --> 01:06:30.159 what's his name? The defense the Secretary of Education said that if you've been 927 01:06:30.199 --> 01:06:32.880 paying for a decade, you paid long enough, You paid your due. 928 01:06:33.039 --> 01:06:36.079 I've been paying my mortgage for a decade. Can I get so you've done 929 01:06:36.079 --> 01:06:40.119 your part. You deserve relief. I observe relief. Yeah, I deserve 930 01:06:40.159 --> 01:06:42.679 to have the rest of its forgiven. I've been paying it for twelve years. 931 01:06:42.760 --> 01:06:45.920 Actually, I've been so Once again, de incentivizing for people to do 932 01:06:45.960 --> 01:06:48.679 it the right way. Pay off for loans. Yeah, you actually actually 933 01:06:48.960 --> 01:06:54.320 made a contractual commitment. And I really do not want to live up to 934 01:06:54.360 --> 01:06:57.280 this contract because it's but they're fine with taking your money in the beginning. 935 01:06:57.679 --> 01:06:59.719 Yeah, it's a burden. It's a burden for me. Right, they're 936 01:06:59.719 --> 01:07:02.239 fine. Do you like sending that up? Setting that up at eighteen years 937 01:07:02.239 --> 01:07:04.719 old? But now they're like, we'll give it up because they're trying to 938 01:07:04.719 --> 01:07:09.360 buy votes beyond meat was back in the news. Did you see that? 939 01:07:09.719 --> 01:07:12.920 Actually happened to be watching a shark tank and a cool show. You know, 940 01:07:12.960 --> 01:07:15.039 if you got nothing to do, put on Shark Tank, right, 941 01:07:15.119 --> 01:07:18.039 it's kind of entertaining. And there was this gallon there that had come up 942 01:07:18.039 --> 01:07:24.559 with meatless pastrami. And you never know how old because you know, when 943 01:07:24.559 --> 01:07:27.760 they're running them, they run them every hour for you know, all night 944 01:07:27.800 --> 01:07:30.199 long, so you don't know if it's from twenty twelve or I mean, 945 01:07:30.239 --> 01:07:32.400 you don't know when the show. But she'd come up to check that, 946 01:07:32.480 --> 01:07:36.400 right, meatless pastrami? What you just hit info? No, I get 947 01:07:36.440 --> 01:07:40.280 that, I get that. What I'm saying when I'm listening to this I 948 01:07:40.280 --> 01:07:43.159 think I did go back into was twenty nineteen. I think that she had 949 01:07:43.199 --> 01:07:45.599 come up with this, but Beyond Meat, which was with the Biggie you 950 01:07:45.599 --> 01:07:49.480 know, that was two hundred and forty dollars a share after they came public 951 01:07:49.519 --> 01:07:54.440 in twenty nineteen, which is when this meatless pastrami thing was going on, 952 01:07:55.639 --> 01:08:00.800 but it spent much of the last year under ten bucks, two and four 953 01:08:00.000 --> 01:08:05.559 under ten bucks. Consumers lost their taste for the product after numerous articles pointed 954 01:08:05.599 --> 01:08:12.639 out that the meatless burgers are actually less healthy than the real deal because of 955 01:08:12.679 --> 01:08:15.880 the sodium. So Beyond Meat has come out decided that this summer they're gonna 956 01:08:15.880 --> 01:08:21.600 come out with a low sodium version. Oh thank you, that's is going 957 01:08:21.640 --> 01:08:28.560 to be normal. Yeah, But because I'm thinking, I'm thinking maybe that 958 01:08:28.600 --> 01:08:33.880 ship has sailed the meatless well, actually, those vegans they hold onto those 959 01:08:33.880 --> 01:08:35.960 things. Actually, to your point, David, when you brought up that 960 01:08:35.960 --> 01:08:39.199 shark tank, I was actually watching one about two nights ago, and this 961 01:08:39.239 --> 01:08:43.439 was a newer one that came out this year. This company was a meatless 962 01:08:43.439 --> 01:08:45.760 fake and they made bacon out of mushrooms. So I mean there's still companies 963 01:08:45.760 --> 01:08:48.039 out there trying to do that thing. But you know, I was in 964 01:08:48.119 --> 01:08:51.319 Whole Foods the other day buying fruit. Now, if you want fruit or 965 01:08:51.359 --> 01:08:54.880 meat, go to Whole Foods. If you want normal food, don't go 966 01:08:54.960 --> 01:09:00.000 there. So I'm in they're getting the fruit for my wife, and and 967 01:09:00.000 --> 01:09:01.399 and I thought I really had a sweet tooth. And it's a Saturday after 968 01:09:01.479 --> 01:09:03.920 I'm thinking I could really go for some ice cream. Why don't they have 969 01:09:03.960 --> 01:09:06.479 ice cream in this store? So I go around to the ice cream thing 970 01:09:06.520 --> 01:09:10.159 and I get get and they have Ben and Jerry's right, and they have 971 01:09:10.199 --> 01:09:12.680 cookie dough, my favorite. So I get a little carton of Ben and 972 01:09:12.760 --> 01:09:15.399 Jerry cookie dough, right, and I take it home. And I let 973 01:09:15.439 --> 01:09:16.960 a thought a little bit because I like it a little softer, right, 974 01:09:17.039 --> 01:09:21.159 And I get the spoon and I take it. It was like, horrible, 975 01:09:24.000 --> 01:09:27.000 How could Ben and Jenerry's cookie jough be horrible? I look at the 976 01:09:27.039 --> 01:09:32.640 side of the container. Plant based so horrible. And we were we were 977 01:09:33.000 --> 01:09:39.640 at Wildcats. Wildcats is a player for children, and if you haven't taken 978 01:09:39.720 --> 01:09:44.640 your children there, it's spectacular. It's a speedway and swan in the Sprouts 979 01:09:44.640 --> 01:09:47.840 Center. And we were there and my wife needed some uh, cream cheese. 980 01:09:48.159 --> 01:09:50.720 Right, So I round the Sprouts and I found the cream cheese, 981 01:09:50.720 --> 01:09:54.479 and I bought a cream cheese and I took it home and the next morning 982 01:09:54.600 --> 01:09:57.399 the kids had bagels with cream cheese right at this five year old and seven 983 01:09:57.479 --> 01:10:00.960 year old and put it on there and stuff give it to me. I 984 01:10:01.000 --> 01:10:06.840 look at the side of it plant based. There are certain things dairy particularly, 985 01:10:06.880 --> 01:10:11.159 it probably shouldn't be plat based. You know what helped vision pros. 986 01:10:11.199 --> 01:10:14.079 You put those on. You pick up the dairy free and it alerts the 987 01:10:14.199 --> 01:10:18.119 vision pro they goggles free the goggles. Well, you know, why wouldn't 988 01:10:18.119 --> 01:10:23.159 I look after my experience at Whole Foods, why wouldn't I have looked to 989 01:10:23.159 --> 01:10:26.800 see if it was plant based. I guess Sprouts is going down the whole 990 01:10:26.800 --> 01:10:30.359 food route. But Klin of mine has a son that works at Whole food 991 01:10:30.359 --> 01:10:34.520 and they have five hundred ingredients that are not allowed allowed at Whole Foods. 992 01:10:35.000 --> 01:10:42.359 Five hundred. One of them is good taste. Apparently, No, I 993 01:10:42.359 --> 01:10:44.760 shouldn't say that Whole food is a wonderful store and they have a lot of 994 01:10:44.920 --> 01:10:47.560 wonderful products, and a lot of people like Whole Foods. And I've got 995 01:10:47.600 --> 01:10:54.319 one a mile from a house, and I'm there probably three or four times 996 01:10:54.359 --> 01:10:57.239 a week getting food or meat or something, because that's really if you want 997 01:10:57.239 --> 01:11:00.199 the best fruit and meat. That's see. I'm sticking with fries. Now. 998 01:11:00.720 --> 01:11:03.079 They're building new fries out in glad Farms where I'm where I'm moving to 999 01:11:03.359 --> 01:11:09.199 next week and uh first fries in Gladdy Farms and I'm moving in right perfectly, 1000 01:11:10.920 --> 01:11:13.960 Grant and Swan every Saturday morning, just to see if I can survive. 1001 01:11:14.039 --> 01:11:16.840 I grew up in I've been I've been waiting for this fries for over 1002 01:11:16.880 --> 01:11:20.079 ten years. It just gets the moving. Yeah, there's nothing all the 1003 01:11:20.079 --> 01:11:24.239 benefits of it. There is nothing out now there is, Yeah, go 1004 01:11:24.319 --> 01:11:27.119 out there again. It's starting to it's busy, starting to get busy. 1005 01:11:27.800 --> 01:11:33.920 Where where is the downtown quote unquote downtown of Miranda Morana Road that was the 1006 01:11:34.119 --> 01:11:38.840 one after it's the one after Tangerine. Yeah, there just isn't much there. 1007 01:11:39.079 --> 01:11:43.359 No, it's the one after Tangerine. Where's the McDonald's that's the one 1008 01:11:43.399 --> 01:11:47.640 after the Marana Because there's nothing there. I've driven back there miles. There's 1009 01:11:47.720 --> 01:11:53.760 McDonald's, Jack in the Box, Busbee breakfast club. Anyway, this is 1010 01:11:53.800 --> 01:11:59.720 the grocery version of The Money Matter Show and won't be back right just break. 1011 01:12:00.000 --> 01:12:02.239 Thanks for putting up with us this morning. We'll talk to you after 1012 01:12:02.239 --> 01:12:04.960 the break. Welcome back. You're listening to The Money Matter Show. I'm 1013 01:12:05.000 --> 01:12:09.079 Dylan Greenberg. I'm here with Todd Glick, A bash In Borsini, Dad 1014 01:12:09.159 --> 01:12:12.239 Sherwood, and Dean Greenberg. For those of you who's just tuning in missed 1015 01:12:12.239 --> 01:12:15.479 the first hour, we are hosting an event on April second. It's gonna 1016 01:12:15.520 --> 01:12:19.399 be our team. It's gonna be at La Polomo Country Club. It's gonna 1017 01:12:19.399 --> 01:12:23.279 be twelve pm to three pm on April second. It's gonna be our team 1018 01:12:23.319 --> 01:12:29.039 talking Jonathan Sabilia from Edward Lawferm and the Johnson brothers from the Johnson Group who 1019 01:12:29.039 --> 01:12:30.880 are tax accounts. And we're gonna have a special guest James T. Harris, 1020 01:12:31.279 --> 01:12:34.520 the New Morning Drive host. We're gonna be talking about how to mitigate 1021 01:12:34.600 --> 01:12:39.279 risks, the market out look, political the election coming up, what could 1022 01:12:39.319 --> 01:12:43.159 you do with your portfolio, everything like that, the state planning taxes, 1023 01:12:43.520 --> 01:12:45.640 all of that combined into one event. And it's gonna be a nice second 1024 01:12:45.680 --> 01:12:49.279 half of that panel is gonna be We're gonna be asked. You guys can 1025 01:12:49.319 --> 01:12:53.199 ask us questions and you get a free lunch. Get a free lunch. 1026 01:12:54.279 --> 01:12:57.000 But if you want to sign up, give us a call, be happy 1027 01:12:57.000 --> 01:12:59.119 to sign you up, and we're looking forward to it. It's gonna be 1028 01:12:59.119 --> 01:13:02.359 a very informational yeah, and when you're when you go to this event, 1029 01:13:02.359 --> 01:13:05.720 you're also going to be able to obviously take advantage of our free financial plan 1030 01:13:05.800 --> 01:13:11.159 afterwards and actually start to look at how to implement the strategies discussed in that 1031 01:13:11.279 --> 01:13:15.159 symposium and how to take those first steps. That's a great lineup, great 1032 01:13:15.199 --> 01:13:17.600 lineup. I mean, what else would you need to know? Right now? 1033 01:13:17.640 --> 01:13:21.359 You guys did great, And I mean anyone that would not benefit from 1034 01:13:21.399 --> 01:13:27.159 that line is busy. You'd have to benefit. You just have to be 1035 01:13:27.199 --> 01:13:30.079 busy that you don't show up right, And there's no obligation, right, 1036 01:13:30.239 --> 01:13:32.720 We're not gonna put your name on the list and start calling you every you 1037 01:13:32.760 --> 01:13:36.319 know, two weeks until you finally give in and become a client. And 1038 01:13:36.399 --> 01:13:40.239 that's just not how we do it. We've got a lot of other things 1039 01:13:40.279 --> 01:13:43.560 that we're working on and it's all about education. We're out here gonna give 1040 01:13:43.600 --> 01:13:45.119 you a good education, and then it's up to you if you want to 1041 01:13:45.119 --> 01:13:48.880 move forward. Side. You've got a couple of relatives in the housing business 1042 01:13:48.920 --> 01:13:54.640 Toll Brothers. Uh, just all time high Toll Brothers. Yeah. So, 1043 01:13:54.720 --> 01:13:58.760 like my mom keeps telling me about these companies that are offering these crazy 1044 01:13:58.840 --> 01:14:01.199 deals on mortgage rates, like down in the threes and fours, And my 1045 01:14:01.279 --> 01:14:04.000 mom was like, you know, how are you guys doing this? And 1046 01:14:04.039 --> 01:14:08.920 they're saying, we're not really making much money. We're just we have a 1047 01:14:08.960 --> 01:14:12.880 lot of sales. Wow, and you have to stock hit a new all 1048 01:14:12.960 --> 01:14:15.680 time high. And so I think some of these new home builders, you 1049 01:14:15.720 --> 01:14:17.319 know, KB Home's not doing it. I would have been part of it, 1050 01:14:17.560 --> 01:14:20.239 so they're not doing the low rates. But you know, these there 1051 01:14:20.279 --> 01:14:25.520 are some of these new home builders that maybe you know investors who are looking 1052 01:14:25.600 --> 01:14:29.359 at their financial reports see these blowout sales and not realizing that there's not a 1053 01:14:29.399 --> 01:14:33.399 lot of profit margin on the other side. So it's it's an interesting space. 1054 01:14:33.560 --> 01:14:38.279 You know, obviously that new home space is going to continue to be 1055 01:14:38.600 --> 01:14:43.840 the predominant, you know, strength in that in that sector because you still 1056 01:14:43.880 --> 01:14:46.279 have rate tie right, people are still coveting that low interest rate you're still 1057 01:14:46.319 --> 01:14:48.760 gonna the only way you're going to be getting into this market is that new 1058 01:14:48.760 --> 01:14:54.640 home build or you're a cash buyer. And we continue to have that situation 1059 01:14:54.680 --> 01:14:58.279 where people are coveting their mortgage more than they're coveting their house, and so 1060 01:14:58.439 --> 01:15:01.560 inventory continues to be very low. I've got a friend of mine who's one 1061 01:15:01.560 --> 01:15:04.000 of the top real estate agents in town, and he said, that's the 1062 01:15:04.000 --> 01:15:06.399 biggest problem. Yeah, and that's kind of leading to this, you know, 1063 01:15:06.439 --> 01:15:11.960 rental increase we're seeing in the last month's CPI because you just think about 1064 01:15:11.960 --> 01:15:14.600 it, right, it's supplying demand. Yeah, there's not houses available. 1065 01:15:14.600 --> 01:15:16.239 Those people have to go somewhere. They're gonna have to go to rents. 1066 01:15:16.239 --> 01:15:21.159 Housing is that component of CPI that continues to put pressure upward pressure on the 1067 01:15:21.199 --> 01:15:26.239 CPI, and I don't know what what ultimately mitigates that. It's not like 1068 01:15:26.399 --> 01:15:30.399 home prices are going up a lot, it's really rent is pushing that up 1069 01:15:30.479 --> 01:15:32.840 higher. So you know, again, the only way to get around that 1070 01:15:32.880 --> 01:15:36.720 issue is lower rates, because that's when people don't covet it anymore. Until 1071 01:15:36.800 --> 01:15:40.880 then, how do you see this changing? I don't see it. I'm 1072 01:15:40.920 --> 01:15:44.039 with you, but my Buddy said. The real real estate guy said that 1073 01:15:44.279 --> 01:15:46.319 there's still these multiple offer deals going on. He said, a house comes 1074 01:15:46.359 --> 01:15:49.239 on the market in a nice area, and he said with multiple offers. 1075 01:15:49.319 --> 01:15:53.479 I wish that was true. In Phoenix, bidnet higher my daughter and it's 1076 01:15:53.520 --> 01:15:56.960 kind of like la. My daughter in Woodland Hills put her house on the 1077 01:15:57.000 --> 01:16:00.079 market and they had I think it was twenty or twenty twenty five different offers. 1078 01:16:00.079 --> 01:16:02.119 I'll tell you, I'll probably be able to sell my house if i'd 1079 01:16:02.199 --> 01:16:05.680 have solar on it. Yeah, if you had solar. If I didn't 1080 01:16:05.720 --> 01:16:10.680 have solar on it, Oh, the one in Phoenix, you think it's 1081 01:16:10.760 --> 01:16:14.000 the solars? What's keeping From every single offer I've gotten, there has been 1082 01:16:14.000 --> 01:16:16.800 a comment on the solar in what way bad? Nobody wants to take the 1083 01:16:16.840 --> 01:16:19.960 contract over. They don't see the value in it. So you rent the 1084 01:16:20.000 --> 01:16:24.520 solar, No I own it. It's it's financed. They would take over 1085 01:16:24.560 --> 01:16:28.199 a two point five percent finance rate. It's not like it's a high it's 1086 01:16:28.239 --> 01:16:30.199 just the fact that they don't see the value in it. So what's the 1087 01:16:30.279 --> 01:16:35.119 cost. It's it's too twenty a month a month you're paying for the solar 1088 01:16:36.279 --> 01:16:40.600 up in Phoenix, and what do you think it saves you? And it's 1089 01:16:40.600 --> 01:16:45.319 breaking its break? It should be better, right because as we had for 1090 01:16:45.439 --> 01:16:46.800 people on the show, talk about if you have an energy efficient home, 1091 01:16:46.800 --> 01:16:50.000 it's a nineteen sixty home. It's not energy efficient act all. But if 1092 01:16:50.000 --> 01:16:54.479 it was right, you're going to have those savings actually show up. Right 1093 01:16:54.479 --> 01:16:57.640 now, I'm basically breaking even on what I would just have if I had 1094 01:16:57.640 --> 01:17:01.520 a normal system. When did you buy that home twenty twenty? So with 1095 01:17:01.560 --> 01:17:05.199 that, are you locking in your kind of energy bill at that price in 1096 01:17:05.239 --> 01:17:09.399 a way? I guess yeah. I mean people don't realize that value. 1097 01:17:09.520 --> 01:17:11.720 Yeah, they just don't see it. And they also don't realize, you 1098 01:17:11.760 --> 01:17:15.279 know, the fact that the entire electric grid of a nineteen sixty home is 1099 01:17:15.279 --> 01:17:16.880 old, right, it's not going to plug into solar, so you have 1100 01:17:16.960 --> 01:17:20.199 to redo that entire electric grid. People don't really see that. So it's 1101 01:17:20.199 --> 01:17:26.520 the idea behind that that you would save on your identit for the utility bill, 1102 01:17:27.399 --> 01:17:30.840 that you'd pay nothing for utilities, but you're paying for the solar what 1103 01:17:30.880 --> 01:17:32.800 you would pay for the utilities. And you do that over a period of 1104 01:17:32.840 --> 01:17:36.319 ten years or so, and then ultimately you own it. Yeah, and 1105 01:17:36.439 --> 01:17:42.039 ultimately what happens is like CBS says, the rate of energy continues to increase. 1106 01:17:42.079 --> 01:17:44.960 Where you've kind of locked it in, Well, do you have the 1107 01:17:45.000 --> 01:17:48.239 ability to buy it out? I mean can you can you say grand, 1108 01:17:49.079 --> 01:17:53.319 yes, I own it? Yes, Well would you do that? It's 1109 01:17:53.359 --> 01:17:56.880 not niate grand. Okay, it's a big number. I think you said 1110 01:17:57.119 --> 01:18:00.399 you put forty grand in. Yeah, it was your cost because had to 1111 01:18:00.439 --> 01:18:02.880 redo the entire electric grid on the house, and then they had to put 1112 01:18:02.880 --> 01:18:05.159 the battery, then they had to do the panels, they had to make 1113 01:18:05.159 --> 01:18:09.279 sure it was a code. And so when you start adding all those up, 1114 01:18:09.319 --> 01:18:12.359 you realize you have a payment of time. I mean two twenty is 1115 01:18:12.359 --> 01:18:15.960 is pretty low for the amount of money I financed. And it was only 1116 01:18:15.960 --> 01:18:18.119 because it was during a low interest rate environment. Right. Could you imagine 1117 01:18:18.159 --> 01:18:20.960 doing that now? It would be insane. So you've not only got to 1118 01:18:20.960 --> 01:18:25.560 buy the house, you've got to buy the solar. Yep. That's that's 1119 01:18:25.720 --> 01:18:30.840 been a sticking point. How interesting something to think about if you're considering solar 1120 01:18:30.880 --> 01:18:34.159 for your house, I guess you probably want to pay cash. I think 1121 01:18:34.159 --> 01:18:38.880 it's like if it's a forever home it's a little easier to justify it, 1122 01:18:38.920 --> 01:18:42.159 right. What a forever home? Right? Right? I mean so many 1123 01:18:42.199 --> 01:18:45.279 people, for so many people say they're going to live in that home forever, 1124 01:18:45.319 --> 01:18:48.720 and then ten years down the road they're like, I hear this term 1125 01:18:48.760 --> 01:18:51.479 all the time, But forever home, it's like, give me a break. 1126 01:18:53.319 --> 01:18:56.279 You're the oldest one at the table. You would know. Are you 1127 01:18:56.359 --> 01:19:02.640 in a forever home right now? Yeah? Yes, God, but my 1128 01:19:03.600 --> 01:19:06.720 last forever home was See, I'm not I don't I don't like to move. 1129 01:19:06.800 --> 01:19:11.239 So my last time I was in for twenty three years, and the 1130 01:19:11.279 --> 01:19:15.720 current home I've been in for thirteen years, a twelve years. So I 1131 01:19:15.880 --> 01:19:18.520 like you like your systems now, I just don't like to move, and 1132 01:19:18.560 --> 01:19:23.439 I like my I like new things. I like routines, Yeah I do. 1133 01:19:23.640 --> 01:19:26.159 No, I do. I like routines. You're absolutely right. So 1134 01:19:26.800 --> 01:19:30.199 that's interesting that that that solar would be. But again, my my buddy 1135 01:19:30.239 --> 01:19:33.439 says, the houses in nice neighborhoods that are decent houses when they come on 1136 01:19:33.479 --> 01:19:38.039 the market, bang multiple offers. I was telling you about my daughter in 1137 01:19:38.359 --> 01:19:41.560 Woodland Hills, which is not exactly a hot spot, right. It's nice 1138 01:19:41.600 --> 01:19:45.159 town, it's not a hot spot, put her working class house on the 1139 01:19:45.199 --> 01:19:49.680 market and seven figures, because that's what it is for a starter home in 1140 01:19:49.800 --> 01:19:55.399 LA. And they ended up with the twenty two or three offers, and 1141 01:19:55.640 --> 01:19:59.840 they narrowed it down to the ten they liked the best. They went back 1142 01:19:59.840 --> 01:20:01.920 to the ten they liked the best and said, okay, make your best 1143 01:20:01.960 --> 01:20:05.119 and final offer to these ten. Right, this is how you sell a 1144 01:20:05.119 --> 01:20:10.560 home in La. Right, So if you don't own a home, if 1145 01:20:10.560 --> 01:20:14.119 you don't know, you don't own a home in LA, you don't buying. 1146 01:20:15.000 --> 01:20:17.239 Are you dealing? Move in La? I hadn't heard. No, 1147 01:20:17.279 --> 01:20:19.560 he's saying he wishes his house had ten offers he had to deal with. 1148 01:20:19.640 --> 01:20:23.319 It's unbelievable. Yeah, it's it. And they go back and then then 1149 01:20:23.359 --> 01:20:26.479 out of those, they picked the best three and they go back to them 1150 01:20:26.520 --> 01:20:29.720 and say, okay, one more time. You know it's crazy. Ended 1151 01:20:29.760 --> 01:20:32.039 up selling it for twenty percent above what it was listened for. The home 1152 01:20:32.159 --> 01:20:36.279 Jeff Bezos started Amazon out of where he rented is the garage sold for two 1153 01:20:36.319 --> 01:20:40.840 point two million dollars in Washington. Came out for a percent discount. What 1154 01:20:40.920 --> 01:20:43.039 kind of thing? Yeah, well, it was fifteen hundred square feet. 1155 01:20:43.079 --> 01:20:46.159 It looks like a little Midwestern top. Is it just because of just because 1156 01:20:46.159 --> 01:20:49.159 of the historic value of it. Oh yeah, that's not a garage of 1157 01:20:49.159 --> 01:20:55.239 Amazon two million dollars. It's nice and size renovated, but it's fifteen hundred 1158 01:20:55.239 --> 01:20:58.800 square fifteen hundred square feet Bellevue, Washington. He paid nine to eighty in 1159 01:20:58.840 --> 01:21:01.800 rent when he was there. Oh my god. A couple of a couple 1160 01:21:01.840 --> 01:21:08.640 of doustocks that are typically not movers. Intel. They had a really strong 1161 01:21:08.680 --> 01:21:12.600 twenty twenty three. The stock's been laying dead for years, had a really 1162 01:21:12.600 --> 01:21:16.079 strong twenty twenty three. Down thirteen percent this year, but it jumps higher 1163 01:21:16.119 --> 01:21:21.039 on Tuesday on news that Biden administration is in talks to awarded more than ten 1164 01:21:21.199 --> 01:21:27.920 billion in ships acts, sub subsidies, subsidies. So in the next couple 1165 01:21:27.960 --> 01:21:32.319 of weeks ten billion pretty significant. Yeah, right, got the stackt that 1166 01:21:32.359 --> 01:21:34.960 I got the stocktor that take a little pop here. Merk is another one. 1167 01:21:35.039 --> 01:21:39.399 Merk's one that I've watched. I hadn't really paid much attention to it, 1168 01:21:39.680 --> 01:21:41.880 and I was looking at an account the other day and I go, 1169 01:21:42.279 --> 01:21:45.880 what happened here? And it was Merk. You know, two thousand and 1170 01:21:45.880 --> 01:21:50.760 eight to twenty eighteen, MERK was unchanged, really unchanged in that ten year 1171 01:21:50.800 --> 01:21:57.640 period. Within the last ninety days it has gained thirty percent. And what 1172 01:21:57.640 --> 01:22:01.920 what's happening is they've they've quietly been buying smaller companies that are working on a 1173 01:22:01.960 --> 01:22:08.279 cancer treatment. And the only thing I can think is that investors have this 1174 01:22:08.520 --> 01:22:12.600 hope that they're going to come up with a cure for cancer. Now we 1175 01:22:12.680 --> 01:22:16.479 all know there are multiple types of cancer, so coming up with a cure 1176 01:22:16.520 --> 01:22:20.520 for cancer probably unlikely. Right, you come up with a cure for a 1177 01:22:20.520 --> 01:22:25.520 certain type of cancer, you come up with something that would deal with lung 1178 01:22:25.520 --> 01:22:29.680 cancer, that would probably be a big deal. But that's the only thing 1179 01:22:29.760 --> 01:22:32.119 I can think of, the only thing that's been different. If you look 1180 01:22:32.119 --> 01:22:36.479 at the stock over the last ten twelve years, if you were if that 1181 01:22:36.640 --> 01:22:41.720 was your EKG, you'd be in trouble, you know. And then just 1182 01:22:41.920 --> 01:22:45.359 recently, just boom off, it's gone, and I look at it and 1183 01:22:45.399 --> 01:22:49.840 it moves up almost every single day. Well Mark had a really strong COVID 1184 01:22:50.720 --> 01:22:55.479 ERA like its performance in COVID was pretty good. Yeah, but they didn't 1185 01:22:55.520 --> 01:23:00.600 We talked about that they missed out completely. Pfizer was still killing it increase 1186 01:23:00.680 --> 01:23:02.600 though. Yeah, but they weren't really involved in COVID. In fact, 1187 01:23:02.600 --> 01:23:05.560 I was talking to one of their rest the other day and I said, 1188 01:23:05.560 --> 01:23:10.079 you completely missed the whole COVID thing. He goes, you know, that's 1189 01:23:10.079 --> 01:23:13.640 the way it looks. But did you Did you realize we were manufacturing the 1190 01:23:13.720 --> 01:23:17.800 Johnson and Johnson vaccine right, because the one shot vaccine Murk had that, 1191 01:23:17.880 --> 01:23:20.399 but it didn't. That didn't have much to do with the stock either, 1192 01:23:20.439 --> 01:23:25.960 Todd. Honestly, it's been laying dead until the last six months, and 1193 01:23:25.960 --> 01:23:30.239 it's just been going up almost every single day. And it's hard to get 1194 01:23:30.239 --> 01:23:34.319 a handle on what's happening because they don't have any particular breakthroughs. There's nothing 1195 01:23:35.119 --> 01:23:39.560 that they're involved in that's that earth shaking. The only thing I can think 1196 01:23:39.600 --> 01:23:43.199 of is that they've been acquiring all these other companies and they're just excitement about 1197 01:23:43.199 --> 01:23:46.720 what they're going to accomplish. I think, so kind of like AI, 1198 01:23:46.920 --> 01:23:50.079 right, yeah exactly, I mean, I we've seen that. But it's 1199 01:23:50.079 --> 01:23:53.520 also you gotta be careful with those if they do end up having a cure 1200 01:23:53.600 --> 01:23:57.479 for say, lung cancer, you gotta they just by the rumor. Because 1201 01:23:57.520 --> 01:23:59.640 of that, they'll go up. But then they care, they're going to 1202 01:23:59.720 --> 01:24:01.880 lose the tell the news, right, They're gonna lose all that, just 1203 01:24:01.880 --> 01:24:05.359 like Gilliatt had their issue when they cured. Whatever does he they cured? 1204 01:24:05.760 --> 01:24:09.600 Yeah, dropped a lot. I guess we'll I guess we'll find out eventually. 1205 01:24:09.680 --> 01:24:11.920 But a lot of people seem to want to own merkstock right now. 1206 01:24:12.039 --> 01:24:15.399 We appreciate your listening to us on this Sunday morning, The Money Matter Show. 1207 01:24:15.640 --> 01:24:17.600 We have one more segment. Uh Dean, he's getting ready to join 1208 01:24:17.680 --> 01:24:20.760 us, and we'll look forward to talking to you right after this break. 1209 01:24:20.960 --> 01:24:24.640 Welcome back to everybody. It's the last segment of the Money Battery Show. 1210 01:24:24.680 --> 01:24:28.399 Remember, you can go back and listen any time you want Money Matters with 1211 01:24:28.439 --> 01:24:31.840 Dean Greenberg on every platform. We put it on a podcast for you and 1212 01:24:31.880 --> 01:24:34.680 then you can listen to what segments you want. Whatever you want. You 1213 01:24:34.680 --> 01:24:39.119 can go back and check us, uh see if we're writing wrong or whatever. 1214 01:24:39.239 --> 01:24:42.880 But uh, you know, we've been talking about a lot of things. 1215 01:24:43.239 --> 01:24:45.479 Yeah, I mean this is this is important to bring up though, 1216 01:24:45.520 --> 01:24:47.399 because we do have a lot of federal employees and the potential that we have 1217 01:24:47.439 --> 01:24:51.600 a government shut down is increasing. The fact that Johnson is the speaker right 1218 01:24:51.640 --> 01:24:55.720 now, he's getting me in hisself in a heart rock and a hard place 1219 01:24:55.760 --> 01:24:58.399 because if he does what the Dems want, he's gonna lose his job. 1220 01:24:58.600 --> 01:25:00.760 If he shuts down the government, Well that's not good either. If the 1221 01:25:00.760 --> 01:25:04.319 government does shut down, what happens, federal employees potentially won't get their paycheck. 1222 01:25:04.560 --> 01:25:08.760 So if you are a federal employee listening, take measures now to save 1223 01:25:08.800 --> 01:25:12.600 a little more. Just be precautious. Understand that that could be on the 1224 01:25:12.640 --> 01:25:15.840 horizon if the government shuts down. Worst case scenario and come in and do 1225 01:25:16.000 --> 01:25:21.920 your plan. Yep, you know it's it's it's kind of wild. Fear 1226 01:25:23.039 --> 01:25:25.800 drives people to come in and do their plan. They should do it all 1227 01:25:25.840 --> 01:25:30.000 the time. You should always have a plan because plans change absolutely. The 1228 01:25:30.039 --> 01:25:34.439 other thing, it's not a set thing in in in in concrete, Well, 1229 01:25:34.479 --> 01:25:40.760 it's the fear of also not like also thinking that you're not going to 1230 01:25:40.800 --> 01:25:43.399 be well offter in retirement. Since they don't want to know the answer, 1231 01:25:43.560 --> 01:25:46.279 that's why they hesitate to come in as well. But once usually when clients 1232 01:25:46.279 --> 01:25:49.399 come in, it turns out to be better than they thought. Yeah, 1233 01:25:49.479 --> 01:25:56.560 let's talk about fear right now, people. I mean I I just so 1234 01:25:56.720 --> 01:26:00.000 just a warning out there. Okay, the markets go up and down. 1235 01:26:00.079 --> 01:26:02.840 We all know that there's probably twenty good reasons right now the market shouldn't be 1236 01:26:02.880 --> 01:26:06.800 going up, but it can still go up. You never sell everything, 1237 01:26:10.159 --> 01:26:14.199 you never go totally to cash. You stay balanced. You can increase your 1238 01:26:14.199 --> 01:26:16.640 fixed income and secure your position. You can lower your risk tolerance, you 1239 01:26:16.680 --> 01:26:24.239 can hedge mitigate risk. But what I'm seeing out there, advertisement over advertisement 1240 01:26:24.279 --> 01:26:28.359 over advertisement, is they want to feed on your fear. Market's overdarn, 1241 01:26:28.439 --> 01:26:31.640 They're going to collapse. We're the biggest move down. I read it every 1242 01:26:31.680 --> 01:26:39.359 day. They want to sell you annuities, plain and simple. They want 1243 01:26:39.399 --> 01:26:44.720 to sell you annuities because they'll come in and their line will be, hey, 1244 01:26:44.800 --> 01:26:48.199 you can't lose any money. It's guaranteed by the insurance company, and 1245 01:26:48.439 --> 01:26:51.920 you can still make some upside. Oh and you save on taxes because it 1246 01:26:53.000 --> 01:26:59.119 sacks deferred. The problem is, guys, you can also go into government 1247 01:26:59.159 --> 01:27:02.520 bonds right now, good corporate bonds and make pretty much the same type of 1248 01:27:02.560 --> 01:27:08.119 return they're talking about. So if they're trying to put this annuity in your 1249 01:27:08.840 --> 01:27:13.760 four one K in your IRA. I think twice. You don't need tax 1250 01:27:13.800 --> 01:27:16.520 deferment over tax affirment. Before it was good because you couldn't get any income. 1251 01:27:17.640 --> 01:27:21.840 You don't need to do that now, and be careful on how long 1252 01:27:21.920 --> 01:27:26.439 you go out. We see people come in here with ten, twelve, 1253 01:27:26.600 --> 01:27:30.800 fourteen year annuities that they got the money up front. Don't do it. 1254 01:27:31.760 --> 01:27:39.039 I understand there's a place for annuities. There really is, and it is 1255 01:27:39.039 --> 01:27:42.600 good because it's tax deferred if you don't need the money, and yes, 1256 01:27:42.640 --> 01:27:45.119 it stops you from going down. But this whole thing about we're gonna give 1257 01:27:45.159 --> 01:27:48.079 you this big bonus and then we're gonna go give you all this other stuff, 1258 01:27:48.439 --> 01:27:54.640 nobody understands what that is. Especially if you ever want to liquidate it. 1259 01:27:55.319 --> 01:27:58.640 You're not gonna get the money that you think you're gonna get. If 1260 01:27:58.680 --> 01:28:00.159 you want to go ahead and get that can come. Yes, But you 1261 01:28:00.239 --> 01:28:04.640 can also drain from your principle. There's many ways to do it. If 1262 01:28:04.720 --> 01:28:11.520 you do annuities, keep it to less than fifteen maximum twenty percent of your 1263 01:28:11.920 --> 01:28:16.239 assets, okay, maximum of liquid assets, not your net worth, liquid 1264 01:28:16.239 --> 01:28:20.720 assets, but you're going to see newsletter after newsletter. You're going to see 1265 01:28:20.760 --> 01:28:25.840 here, fear, social media stuff, you name it. They're talking about 1266 01:28:25.840 --> 01:28:30.720 it, and they have the solution. Remember, if that's all the selling 1267 01:28:30.760 --> 01:28:34.359 to you, say thank you very much, walk out the door and go 1268 01:28:34.399 --> 01:28:38.600 find someone that's going to do a financial plan for you, show you where 1269 01:28:38.640 --> 01:28:44.159 everything fits in. If you want guarantees, they can give you the well, 1270 01:28:44.199 --> 01:28:46.159 nothing's a guarantee. Even annuities are a guarantee. But they can give 1271 01:28:46.159 --> 01:28:49.960 you the insurance of US bonds, they can give you insurance of CDs, 1272 01:28:50.000 --> 01:28:55.439 they can give you that as parties your plan. So just please be careful, 1273 01:28:55.560 --> 01:28:59.039 you know, annuities. What people don't realize is, yeah, we're 1274 01:28:59.039 --> 01:29:00.560 going to give you a nice four teen percent bonus up front, and then 1275 01:29:00.600 --> 01:29:04.319 what you'll have is their caps, the amount of money that you can not 1276 01:29:04.439 --> 01:29:08.920 lose but potentially a participate in the market up to a cap. They'll set 1277 01:29:08.920 --> 01:29:12.840 those caps at one, two, three percent, something that's so low that 1278 01:29:12.920 --> 01:29:15.000 over the course of a ten year period, your average return would only be 1279 01:29:15.279 --> 01:29:19.680 three percent at max, right, And so that's how they're able to offer 1280 01:29:19.720 --> 01:29:24.079 these crazy bonuses. A lot of companies, especially the ones that are not 1281 01:29:24.159 --> 01:29:27.039 a rated. They're going to change their caps each and every year, and 1282 01:29:27.039 --> 01:29:29.239 they're going to get lower and lower and lower, and you're going to be 1283 01:29:29.279 --> 01:29:33.079 stuck in that annuity because you have a surrender period and you can't get out. 1284 01:29:33.079 --> 01:29:35.119 The only thing you can get out is that penalty free withdraw. So 1285 01:29:35.119 --> 01:29:39.640 a lot of times when we seek clients with those really bad annuities that have 1286 01:29:39.680 --> 01:29:43.039 one two percent caps, we say, just take the penalty free out because 1287 01:29:43.079 --> 01:29:45.840 you can do so much better and you're not getting assessed to penalty. It's 1288 01:29:45.840 --> 01:29:50.279 the penalty free withdraw. So you can easily do better than in something that 1289 01:29:50.399 --> 01:29:53.479 especially right now, right Dean, I mean, you can just put it 1290 01:29:53.479 --> 01:29:56.920 in the Vanguard money market. You're getting a rolling five percent right now. 1291 01:29:56.800 --> 01:29:59.640 Now, I get it. You put out some migas are better, right, 1292 01:30:00.079 --> 01:30:01.800 You get your set interests and they're not going to change the interest on 1293 01:30:01.840 --> 01:30:06.520 you no contract. What I'm always concerned about is the FIA is to fix 1294 01:30:06.640 --> 01:30:10.560 index annuity where they can tell you can they go four to six percent, 1295 01:30:11.439 --> 01:30:13.560 Well, you know what, you can make four and a half percent, 1296 01:30:13.680 --> 01:30:16.159 even five percent on some of the five and a half percent on the migas 1297 01:30:16.159 --> 01:30:19.439 and not worry about it right now and get all the other benefits. I'm 1298 01:30:19.479 --> 01:30:26.119 concerned about them lowering the gappagins, the cap rates, all that stuff. 1299 01:30:27.000 --> 01:30:30.439 When you deal with it, and do not take your risk money and say, 1300 01:30:30.439 --> 01:30:32.479 oh, I'm afraid of the market. I'm going to go in annuity. 1301 01:30:33.039 --> 01:30:36.840 No, mitigate that. Put it in cash because when the opportunity comes 1302 01:30:38.079 --> 01:30:41.600 you want to buy back in that's fine, Buy a short term bond, 1303 01:30:41.640 --> 01:30:45.359 buy a CD I don't care. Don't buy an annuity with your risk money. 1304 01:30:45.479 --> 01:30:49.319 Now, you fix income money as an alternative to maybe get a little 1305 01:30:49.319 --> 01:30:51.800 bit of upside if that happens. Okay, I can deal with that. 1306 01:30:53.239 --> 01:30:55.920 So if you have, you know, five hundred thousand, and you took 1307 01:30:56.239 --> 01:31:00.920 one hundred thousand dollars and put it into an annuity, because that's your fixed 1308 01:31:00.920 --> 01:31:04.079 income side, okay, but not your risk site. Yeah. I mean 1309 01:31:04.239 --> 01:31:09.640 when we have clients that come in with some lower sized liquid assets, it's 1310 01:31:09.640 --> 01:31:13.520 really important for them to realize putting that in an annuity is really difficult for 1311 01:31:13.560 --> 01:31:16.439 yourself because you're draining liquid assets and if anything bad happens in the next ten 1312 01:31:16.479 --> 01:31:20.199 to fifty ten years, you're going to be really hurting because you're going to 1313 01:31:20.279 --> 01:31:23.760 get hit on that penalty if you need to take that money out. And 1314 01:31:23.840 --> 01:31:29.560 I have not had good luck over the last forty two years growing money in 1315 01:31:29.640 --> 01:31:35.279 an annuity. Just haven't had good luck. Everything is slanted to the benefit 1316 01:31:35.439 --> 01:31:42.159 of the insurance company. It's very similar to the casino, right, everything's 1317 01:31:42.199 --> 01:31:45.359 slanted to the house. And you wouldn't be in business as an insurance company 1318 01:31:45.359 --> 01:31:48.600 if you were giving out these fabulous deals to everybody. Yeah, the whole 1319 01:31:48.640 --> 01:31:53.439 life policy probably works better than insurance. Companies have also figured out over the 1320 01:31:53.520 --> 01:31:57.239 last few years that if you tell people to getting a twenty or thirty or 1321 01:31:57.279 --> 01:32:00.720 forty percent bonus, you can attract a lot of business. And as Dean 1322 01:32:01.640 --> 01:32:05.520 just said, that's not real money. That is not money. You walk 1323 01:32:05.520 --> 01:32:09.760 in with one hundred thousand dollars to get a thirty percent bonus, That does 1324 01:32:09.800 --> 01:32:12.760 not mean that you can cash it out and get one hundred and thirty thousand. 1325 01:32:13.079 --> 01:32:16.920 That means that one hundred and thirty thousand is the is the number that's 1326 01:32:16.960 --> 01:32:21.359 going to be used to calculate the percentage of return you can receive an income. 1327 01:32:21.520 --> 01:32:27.560 That's all it is, and that's or like I'd like to say, 1328 01:32:27.880 --> 01:32:31.800 what percentage of your own money they'll send back to you. Just be careful. 1329 01:32:31.920 --> 01:32:36.000 Dean made a good point. Annuities do have a place. I had 1330 01:32:36.000 --> 01:32:41.840 a gal just today. It's a Friday, that her husband passed away. 1331 01:32:42.239 --> 01:32:46.680 She's getting a pension from him, and they're going to They've offered her either 1332 01:32:46.760 --> 01:32:53.239 a lump sum or an annuity, and the annuity has no period certain In 1333 01:32:53.239 --> 01:32:56.960 other words, the annuity is just for her life. So if she were 1334 01:32:56.960 --> 01:33:00.439 to take that three hundred thousand dollars and convert it into a monthly check at 1335 01:33:00.479 --> 01:33:03.439 twenty five hundred dollars a month, which sounds like a pretty good deal, 1336 01:33:04.079 --> 01:33:08.439 and then walks out to the mailbox and gets hit and killed, that's it. 1337 01:33:08.439 --> 01:33:12.119 It's gone. You know. You can't you can't do that. You 1338 01:33:12.239 --> 01:33:15.399 have to have some sort of a guarantee. So we take that pension, 1339 01:33:15.479 --> 01:33:19.039 we roll it into an annuity where there's a beneficiary, where if she walks 1340 01:33:19.039 --> 01:33:23.079 out to the meilbox and gets hit a month into this, her AARs are 1341 01:33:23.119 --> 01:33:26.000 going to get to three hundred thousand dollars. Yeah, it's not just gone. 1342 01:33:26.119 --> 01:33:28.439 It's not just gone. That's a good way to look at it because 1343 01:33:28.439 --> 01:33:32.159 a lot of people do just take that benefit of the pension continuation rather than 1344 01:33:32.199 --> 01:33:34.880 taking that lump sum. But a lot of things with FIS too, is 1345 01:33:34.880 --> 01:33:39.359 that people hear the principal protection that you can't lose. You put one hundred 1346 01:33:39.359 --> 01:33:42.279 thousand dollars in Marcus go down for three years straight, you don't lose any 1347 01:33:42.319 --> 01:33:45.359 money. So that's what attracts a lot of people to Andy as well. 1348 01:33:45.399 --> 01:33:48.000 But it's the same idea. You buy a US treasury, if you hold 1349 01:33:48.000 --> 01:33:50.960 it to maturity, you're getting all your principal backplus the interest. She's sixty 1350 01:33:50.960 --> 01:33:55.199 six years old, so getting a monthly check every month for the next twenty 1351 01:33:55.279 --> 01:33:59.680 years sounds very appealing. What if she dies in two months right lebits and 1352 01:33:59.680 --> 01:34:01.840 fifteen years, if the pension system can't pay out anymore, they have to 1353 01:34:01.880 --> 01:34:04.560 reduce the benefit. Yeah, well it's there's a lot of things that can 1354 01:34:04.600 --> 01:34:09.720 happen. But at the end of the day, the nudies are good sometimes, 1355 01:34:09.880 --> 01:34:12.159 let's put it that way. And if you want to guarantee checks, 1356 01:34:12.199 --> 01:34:14.760 I mean no, you can go in the FIA and then and then turn 1357 01:34:14.800 --> 01:34:16.439 it into an income check. As long as you're happy with that income check. 1358 01:34:16.600 --> 01:34:19.119 They will give that to you every single month. We do use it 1359 01:34:19.119 --> 01:34:24.479 for income gaps. You know, somebody needs ten thousand a month to live 1360 01:34:24.520 --> 01:34:28.479 on and they only have seven thousand, So we'll put money into an annuity 1361 01:34:28.560 --> 01:34:31.279 so when it comes due they need that three thousand, it will turn into 1362 01:34:31.279 --> 01:34:34.319 a three thousand dollars month check to add to what they have. Right, 1363 01:34:35.039 --> 01:34:38.600 if you've got a pension and they're going to pay you a monthly check for 1364 01:34:38.600 --> 01:34:42.399 the rest of your life, make darn sure that you've got some beneficiary. 1365 01:34:42.479 --> 01:34:46.039 Some what they call period certain is the term where you get it for at 1366 01:34:46.079 --> 01:34:49.600 least ten years, or twelve years or fifteen years. If not, you 1367 01:34:49.640 --> 01:34:54.479 then your beneficiaries. The only way you know what's good is when you do 1368 01:34:54.520 --> 01:34:58.359 a plan. You know, we've done that. We've used then nudies before 1369 01:34:58.359 --> 01:35:01.319 they got Social Security, we did different some different people put a plan together. 1370 01:35:01.840 --> 01:35:04.960 It takes the stress away. You won't have to panic every time you 1371 01:35:04.960 --> 01:35:10.680 see a newsletter or somebody talking on TV, or somebody in the social media 1372 01:35:10.800 --> 01:35:14.159 telling you everything's going to fall apart. The dollar is going to be extinct. 1373 01:35:14.399 --> 01:35:17.760 They're not China and oil. They're doing this. Remember they every big 1374 01:35:17.800 --> 01:35:23.560 country every big government needs each other, all right. They need each other 1375 01:35:23.600 --> 01:35:26.399 to go to war, they need each other to keep the economy going. 1376 01:35:26.439 --> 01:35:30.079 They need each other. That's what goes on. But without that, I 1377 01:35:30.119 --> 01:35:36.479 mean, you know, remember, just reduce risk by mitigating risk when things 1378 01:35:36.520 --> 01:35:39.680 are too much, And if you don't know how to do it, then 1379 01:35:39.720 --> 01:35:42.319 you just come talk to us. That's what makes us really good. We 1380 01:35:42.439 --> 01:35:46.159 do the financial plan. We have a state planning, tax worrying and mitigating 1381 01:35:46.199 --> 01:35:49.079 taxes, everything. But at the end of the day, we manage the 1382 01:35:49.119 --> 01:35:55.079 money, all right, another show in the books. That's a lot of 1383 01:35:55.119 --> 01:35:58.680 years night now, thirty four years or Something'll be right. We'll be back 1384 01:35:58.720 --> 01:36:02.119 with your money matters next week. Be happy, be healthy, and let's 1385 01:36:02.159 --> 01:36:04.399 all strive to be profitable.