Two-time Emmy and Three-NAACP Image Award-winning, television Executive Producer Rushion McDonald, interviewed Sonia Fears. Sonia Fears of the Fears Group at Morgan Stanley, She is the First Vice President, Financial Advisor, Senior Portfolio Manager, Alternative Investments Director, Global Sports, and Entertainment Director - All Black Wealth Management Team Sonia Fears of The Fears Group at Morgan Stanley; she is one of the leading financial experts in discussing stocks, savings programs, compounded interest portfolios, Name Image and Likeness and lines of credit. Sonia built a family practice at Morgan Stanley along with her two daughters. Sonis provides Alternative Investment opportunities, Retirement plans, and Entertainment and Sports financial consultations.
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:05):
Welcome to the show. I'm Rashawn McDonald, the host of
money Making Conversations Masterclass, where we encourage people to stop
reading other people's success stories and start planning their own.
Listen up as I interview entrepreneurs from around the country,
talk to celebrities and ask them how they are running
their companies, and speak with dog profits who are making
(00:25):
a difference in their local communities. Now, sit back and
listen as we unlock the secrets to their success on
Money Making Conversations Masterclass. My guess is Sonny Fears of
the Morgan Stanley Group is right within Morgan Stanley. She's
one of the leading financial experts in discussing stocks, saving programs,
(00:46):
come bound and interest portfolios, name image and likeness, as
well as lines of credit. Sonya built her career and
her family practice at Morgan Stanley along with her two daughters.
They provide alternative investment opportunities, retirement plans and taming and
sports financial consultations. Please welcome to Money Making Conversation Master Class.
Sign your fears.
Speaker 2 (01:06):
Good evening, Good evening. Thank you so much for having
me on your show, Sean, It's always a pleasure.
Speaker 1 (01:12):
Well, I appreciate you being on the show. Appreciate you
being those show. Now tell me being on the show,
you have a family and you got together and that
is nothing greater I have to assume than to be
in business with your family. Tell us about that.
Speaker 2 (01:27):
You're right, nothing greater. It is the greatest accomplishment I
must say of my career, my adult life, my career
to be able to build a legacy, build a business.
And I have to say, this industry is one of
the few industries that you can build up a practice
and turn it over to your children and you know,
(01:50):
just create a legacy that one day they can then
turn it over to their children, hopefully if they can
get one or two interested in being in the financial
services industry.
Speaker 1 (02:02):
Well, you know, one of the reasons, you know, I
brought you on the show, Sonya, is about that legacy
that you're talking about, that knowledge, that information that you're
talking about that's so important to I feel, the black
community and in conversations because we've talked about this a
lot about blacks. You know, with the the you know,
last hired, first fired, or first laid out, you know,
(02:25):
the last to get the information on the housing, we
the last to get the information on our economic opportunities
in your world. You're in that financial sector. What is
stopping the black community from moving to the front of
the line, or can we move to the front of
the line.
Speaker 2 (02:43):
Absolutely we can. All it takes and we know that
is for one of us to get in the door.
And once you're in the door, you know you profit
open and let others through. It's all about getting the
information about the education. For years decades in this industry,
you see many people that look like you and I
(03:08):
attain immense wealth, and many people that look like you
and I end up losing that wealth. Education to get
the information, that's what keeps you in the door. That's
what helps our community understand that this is an incredible
(03:31):
industry and an incredible way to build a legacy financial education.
And it's out there with Sean. It's not banned or
it's not relegated to the people who have high degrees
and multiple degrees. It's out there for all of us.
(03:51):
This wonderful thing called the Internet makes it more available
today than it's ever been before, and I dare say
financial advisors in this industry also make it more available
and able to disseminate it to the massive more than
ever before.
Speaker 1 (04:10):
Okay, I mentioned the fact that the Fears Group, which
is your last name, Sonya Fears, is ed Morgan Stanley.
How does that work? So my audience can understand that
you built your business inside of the Morgan Stanley brand.
Speaker 2 (04:25):
That's exactly how that works. So I've been doing wealth
management now for seventeen years. I was at mary Lynch
for fifteen at Mary Lynch, my daughter, my oldest daughter,
and I started the very first African American mother daughter
team that Mari Lynch has ever had in its history.
I've moved over to Morgan Stanley. I've been with Morgan
(04:48):
Stanley two and a half years now and I now
have two daughters that joined me at Morgan Stanley. It's
you know, it wasn't the easiest thing, but again I
can't say the more enough times. I've been blessed and
it's the greatest accomplishment that I've had to date in
(05:11):
my career.
Speaker 1 (05:12):
So how can one get in touch with you?
Speaker 2 (05:15):
Call me? My number is four to seven zero four
four nine zero eight one two and my email Sonya
so An I A dot sears f E A R.
S at Morganstanley dot com. Call or email me.
Speaker 1 (05:38):
I will respond absolutely, thank you. Does it get into
telling people how you how you how this business works
from financial situation? Now, it was a couple of programs
I want to bring to everybody's attention that I found
out about, and I felt that these are type of
programs that need to be heard on my show. You
have what you call a preferred savings program over at
(05:58):
Mortgage Stanley that you over see the Fears Group does,
where your mortgage with the savings interest rate, which to
me I think is ridiculously low. That's not just my thought,
but you're saying that it can be offered at a
higher interest rate at Morgan standing. Can you explain that
to my listeners?
Speaker 2 (06:18):
Absolutely? And I dare say that Morgan's Stanley Preferred Savings
program offers one of the highest rate out there for cash.
So in most banking accounts that you have, even your
preferred banking accounts, if it's sitting there in a traditional
banking account and a savings account, you may be earning
(06:39):
point zero five percent on your money, even in high
interest times like this. In our Preferred Savings program, we
pay four point six percent on cash. Your money is safe,
you know, for there's.
Speaker 1 (06:53):
A lot of excuse me, excuse me, excuse me. You know,
as you're dealing with numbers, all you could say something
like that. Maybe you said, you said, the going rate
is what out there? And what is Morgan Stanley offering?
Speaker 2 (07:06):
So in your traditional bank account and you know, again
the internet is there, you can google it. You will
get point zero five percent on your savings account in
your bank, your traditional bank and our preferred savings programs
we offer four point six percent on cash right savings
(07:29):
account right now today.
Speaker 1 (07:33):
The next question, I guess someone who say, how is
that possible?
Speaker 2 (07:37):
And that's a great question, thank you for asking. So
in our community, you know, we talk about it all
the time, and you know, people know it and they
say it, but they don't really realize it's real. So
the banks are using your money and it's called overnight sweep.
So most banks are part of the Federal Open Market
(08:00):
Commission and they're member banks. Right, So there's an overnight
suitep where your money that's deposited is being loaned and
the banks are being paid to lend your money at
a much greater rate than they're paying you. So if
you don't need that daily liquidity. You know, if it's
(08:22):
not in a checking or a savings account, especially a
checking account, that you're using that money every day, we
suggest you put it in a savings program. And what
we're hoping is that this is money that you're going
to leave in there. Right, it's available to you at
any time, any minute, any day. But if you leave
(08:44):
it in there, then we are batting that, Okay, it'll
benefit us. So why not give you the benefit that
you deserve on that money, because again, if it's in
the bank, they're going to be using it, whether or
not you think they are.
Speaker 1 (08:58):
They are fantastic talking to son your Fears of the
Fears group within the Morgan Stanley brand. Sonya is one
of the leading financial experts in discussing stocks, savings programs
which you just discussed right there, compounded interest portfolios which
we will go to in a minute, name image and likeness,
which we will discuss later on the show, as well
(09:18):
as lines of credit. I just popped out the big word,
compounded interest. I hear that a lot. Can you tell
my listeners what exactly does compounded interest means? Because that's
used a lot in the stop game in stock market gaming,
especially compounding interest.
Speaker 2 (09:36):
So I'm going to first tell you what it is,
and then I'm going to give you an example of
how it works. Right right, So, compounding interest is say
you saved one thousand dollars and you're earning ten percent
on one thousand dollars. That ten percent gets you to
(09:57):
one thousand, one hundred dollars, right right. You continue to
earn that ten percent, so you're now earning one thousand,
ten percent on one thousand, one hundred, which gets you
to be one thousand, two hundred and ten dollars ten
percent on that one thousand, three hundred and thirty one dollars.
(10:19):
So that's how compounding interest works. Now, for an example,
if you had two people, two people right, twenty years old,
each same.
Speaker 1 (10:31):
Age, same age, twenty years twenty years old each.
Speaker 2 (10:34):
Okay, twenty years old. We have a young woman who
she said she can't afford to save for retirement. She
has an apartment, new cars. Starting out is challenging. So
we say, okay, just save two hundred and fifty dollars
a month. That's three thousand dollars a year. And we
(10:55):
talked to her. She said, okay, I'm going to do
it and She says, three thousand dollars a year for
ten years, thirty thousand dollars. We have a young man, Terry,
and she stopped.
Speaker 1 (11:06):
She stops right there. I'm assuming, Okay, at ten years
he stopped.
Speaker 2 (11:09):
Stop, he stops. He stopped after ten years.
Speaker 1 (11:12):
But he's still compounding. Though he's still compounding, is still compounding.
Speaker 2 (11:17):
It's still compounded. Example I just gave you is doing
that right? And so we have someone else, Terry, you know,
he is. He said, I'm going to wait because i
want to live my best life and I'm going to
buy that brand new car, and I'm going to travel
a little bit, and I'm young, so I'm just going
to take advantage of you know, going to Dubai. I'm
(11:41):
just so. He started saving at thirty years old, and
he did the same thing. He saved two hundred and
fifty dollars a month a year, so three thousand dollars
a year, and instead instead of saving for ten years,
he's you know, he's fine. Antheley savvy, he understands the market.
(12:02):
He's going to serve save for thirty years. So he
does that. So Terry saves from thirty till he is
sixty they both retire at sixty five, and the question is,
at sixty five, after Terry saved his ninety thousand dollars
(12:25):
and Astley saved her thirty thousand dollars, who has the
most money?
Speaker 1 (12:30):
Drumroll please please, And.
Speaker 2 (12:35):
The answer is, our dear darling, Ashley has the most money?
Speaker 1 (12:43):
How much?
Speaker 2 (12:43):
At sixty five she has seven hundred and eighteen thousand,
four hundred and seventy three dollars estimated rate of return
nine percent. At sixty five, Terry, who saved ninety thousand dollars,
has four hundred and eighty nine thousand, one hundred eleven
dollars same estimated greater return of nine percent. Wow, she's
(13:07):
almost doubled the money that he had, and he tripled
the amount of money she saved.
Speaker 1 (13:12):
Because she started her because she started early compounded that
team stopped at ten years. He started after her and
did thirty years, but his compounding started later. And now
she's at seven he's at seven hundred thousand, she's at
four hundred Thout again, I'm talking to son you, fear sony.
Before we go to break, what's your contact information so
we can go to break. After that, it's.
Speaker 2 (13:34):
Four to seven zero four four nine zero eight one two.
Speaker 3 (13:40):
Please don't go anywhere. We'll be right back with more
money Making Conversations Masterclass. Welcome back to the Money Making
Conversations Masterclass hosted by Rashaan McDonald. Money Making Conversations Masterclass
(14:01):
continues online at Moneymakingconversations dot com and follow money Making
Conversations Masterclass on Facebook, Twitter and Instagram.
Speaker 1 (14:11):
Miss Fears, thank you for coming on money Making Conversations.
Why are you on the show today? Why are you?
Why are you coming on talking about finances and talking
about what you can do and engage in my audience
And what's the bigger picture here?
Speaker 2 (14:27):
The bigger picture. So, my daughter, one of my daughters,
at twenty five years old, bought her first home. She
bought a townhouse. My oldest daughter at twenty seven, she
bought her first home. She is now twenty nine and
just bought her second home. It's about being empowered. It's
(14:52):
about starting and building a legacy, and it's about our
community being able to particu and all the wealth that's
surrounding us. And how do you do that? You have
to be educated that we can do it too, and
how do we do it? Let's talk about it right now.
(15:13):
Let me share the knowledge that I've attained to help
others do the same thing.
Speaker 1 (15:18):
Well, we have a caller who wants to hear the knowledge,
Miss Fears, please welcome to the show, Jennie Jeannie. I
thank you for calling Money Making Conversation master Class. You're
speaking to Rashon McDonald and sign your fears from the
Fears group on Morgan Stanley. What's your question?
Speaker 4 (15:32):
First of all, I want to say this is absolutely
a great show today because I've actually been looking for
someplace to actually save money. So niece that I'm raising,
and she's money's coming in that are from you know,
her dad.
Speaker 2 (15:52):
From his social security.
Speaker 4 (15:54):
So I want to make sure that she's financially set
up in a really good way. And now she's fourteen
right now, so and it's about let's say, say about
maybe sixty eight hundred dollars. What would be the best
way to save would it be to put it in
the compound interest or the savings account? But four point
(16:17):
six is like amazing because everything I've been finding has
been online has been you know, definitely less than that.
Speaker 2 (16:24):
But what would be the best way? So when she
does get.
Speaker 4 (16:27):
Out of high school or and she you know, wants
to go to school or whatever, that she has those
money for her.
Speaker 2 (16:35):
Oh, that's incredible.
Speaker 4 (16:37):
One.
Speaker 2 (16:37):
I am really really super excited that at fourteen, your
thing is thinking about it for her and she wants
to save because again compound and interest. If she saved now,
she has four years to college, so we could start.
I'd rather her start earlier for five twenty nine plan,
(16:59):
but a nine plan in which you can save for college.
And what a lot of people don't know these days,
a five to twenty nine plan with the new secure
APT two point ZHO. If your child is brilliant, which
we know many of our children are, they get scholarships
and they have money in a five to twenty nine plan,
(17:21):
which is a college savings plan, and they don't use it.
This is an opportunity to roll that money into a
wroth Ira. With the wroth Ira, that money you put
six hundred dollars in there. We just gave the example
of two hundred and fifty dollars a month for ten years.
(17:43):
You start with the six hundred dollars, you add one
hundred dollars to it, you get to one thousand dollars
for the year. Or whatever you want to get to.
But that thousand dollars will grow free until she retires
if it is turned over into a roth ira. And
that's the beauty of for roth ira. Again, if thirty
(18:04):
thousand dollars is going to grow to be seven hundred
thousand approximately, right, that's six hundred and seventy thousand dollars
that you would not pay taxes on if that money
was sitting in a roth irs. Wow, now that's a powerful.
Speaker 4 (18:20):
So yeah, So if we just say one thousand dollars
in the rough iron eight just sitting there until she's
at retirement age. So what about say we set one
thousand dollars there and then what hundred place else?
Speaker 1 (18:40):
Hey, Genie, Genie, how Genie you're breaking up? Can you
give her your number so she can call you at
the office? Sonya, because the genie's breaking up?
Speaker 2 (18:50):
Absolutely, it's four to seven zero four four nine zero
eight one two. Please call me Genie. But okay, we
aren't with the five twenty nine plan again because that's
saving for college and if she doesn't use it, then
we would convert it to say a roth ira. But
there are many options. Would love to discuss them with you.
Speaker 1 (19:13):
Yeap, So thank you Genie for calling. And really, you know,
I always tell people knowledges everything. If you if you're
quiet about this information we're trying to give you on
this show. Every week I'm trying to bring guests on.
I'm not trying. I am bringing guests on that I
believe can change your life, put you in a position
where you can have a better life. That's what we're
doing today with this interview. We're doing this interview. She's
(19:34):
a reputable for Morgan Stanle, you know who they are,
and she had built with her daughters a business within
that of respected business within that and that's what we're
talking about. Her knowledge being transferred to you. Because if
someone calls you, you're not charging love fee, are you, Sonia?
This is let abolutely not okay.
Speaker 2 (19:53):
I'm not. I will call to anyone for an hour,
two hours, whatever you need if because I want the
information to get out there. We need to be educated
financially on how to set ourselves up for success, how
to leave a legacy, how to set an example for
our children.
Speaker 1 (20:12):
Right, cool, listen one thing before before you get out
of here. I wanted to talk about something that is
dancing out there a lot in the athletic world. And
we have a lot of call listeners I know who
may have a nephew, maybe their own child or grandchild
who in the world of sports, name, image and likeness.
They call it NIL for short, where young men coming
(20:34):
out of high school can now get good sponsorship dollars,
whether it's from major Fortune five hundred companies or local
businesses and make money. You guys in your organization, the
Fears Group, you guys are in the NIL game, correct, Yes.
Speaker 2 (20:48):
We are so. I'm a global sports and Entertainment director
with Morgan Stanley, have a lot of clients in the
sports and entertainment sector along with other sectors. And with
the NIL A few things that's really important. These are
young men and women middle school, high school that are
(21:11):
now being offered a great deal of money, right and
so a few things that they need to know. This
money that they're getting can help fund their vision, family vision,
can help start a business even at that age, can
start saving so that they can have that compounding interest
(21:34):
when they get older. Because again, some of them will
make it to be in the NFL or NBA, or
even to drive for NASCAR, but many most will not
because the percentage of athletes that truly make it to
(21:55):
be professionals are very very small. A lot of people,
a lot of peop don't realize that. And so these
young men and women, they have an opportunity to capture
that well, so now and use it. But again they
need to be educated and their families need to be
educated to make sure that they hold on to the
(22:17):
swealthand and not getting into contract that is not really
profitable more beneficial for them.
Speaker 1 (22:26):
Yeah, so you're under the Fears group at Morgan Stanley.
You provide financial education reading here, financial education for the athlete,
provide financial education for the family, and then educate them
both about the nil opportunities.
Speaker 2 (22:38):
Exactly. That's exactly what we do.
Speaker 1 (22:40):
Let's see that. I'm a little inside information about when
you're when when young people are offered scholarships to attend
college for their athletic skills, a scholarship is only it
may say it seems like it's four years, but it's not.
It's a one year scholarship and every year they renew it.
So you can get a scholarship to go to University
of Georgia or Alabama. That doesn't mean that doesn't say
(23:04):
that you will be there for four years under a
scholarship is at the option of the school. They can
take that scholarship away from you, they can renew you.
So the NIL program is put in place to help
young men and women to be able to earn income.
Just in case that does happen, or it doesn't happen,
you still in a position to work with a reputable company.
(23:25):
Is not your cousin, not your homeboard down the street,
but a company that has relationships and also the financial
know how and or tell you what to do with
the money when the opportunities come. Am I correct when
I say that, son, you figures.
Speaker 2 (23:38):
Were absolutely correct? You are absolutely correct? And again who
is there? You know you have people who save that
their business managers. Who's there to advise you and educate
you on how to properly manage this money, save this money,
make this money last for you because we have to
(24:01):
make it last absolutely.
Speaker 1 (24:03):
As we close out there interview, thank you for taking
the time to come on Money Making Conversation master Class.
What is your contact information and any closing thoughts or
advice to people who are considering are looking for financial
experts to advise them on their their future financial outlooks.
Speaker 2 (24:22):
Yeah, so number is four to seven zero four four
nine zero eight one two and my final thoughts here
and again thank you. It is an absolute pleasure to
be on the show. Final thought is planning. So we
are certified financial planners as well, and you've heard the same.
(24:45):
If you don't, if you fail to plan, then you
plan to fail. And so financial planning is the key.
You have to put a plan in place. You have
to understand where you are, know where you are to
go and have a plan on how to get there.
And that's what we do. We help our clients with
(25:06):
planning on how to get there. And there are many
strategies that we have in our wheelhouse through the breath
and depth of Morgan Stanley to offer to our clients.
Speaker 1 (25:18):
Wow, thank you for coming on Money Making Conversation. We
will talk soon. Thank you, Sony Fears, thank you, thank
you for listening. Bye bye. This has been another edition
of Money Making Conversation Masterclass posted by me Rashaun McDonald.
Thank you to our guests on the show today and
thank you our listening to the audience now if you
want to listen to any episode, I want to be
a guest on the show. Visit Moneymakingconversations dot com. Our
(25:42):
social media handle is money Making Conversation. Join us next
week and remember to always leave with your gifts. Keep winning.
Welcome to the show. I'm Rashawn McDonald, the host of
money Making Conversations Masterclass, where we encourage people to stop
reading other people's success stories and start planning their own.
Listen up as I interview entrepreneurs from around the country,
talk to celebrities and ask them how they are running
their companies, and speak with dog profits who are making
(00:25):
a difference in their local communities. Now, sit back and
listen as we unlock the secrets to their success on
Money Making Conversations Masterclass. My guess is Sonny Fears of
the Morgan Stanley Group is right within Morgan Stanley. She's
one of the leading financial experts in discussing stocks, saving programs,
(00:46):
come bound and interest portfolios, name image and likeness, as
well as lines of credit. Sonya built her career and
her family practice at Morgan Stanley along with her two daughters.
They provide alternative investment opportunities, retirement plans and taming and
sports financial consultations. Please welcome to Money Making Conversation Master Class.
Sign your fears.
Speaker 2 (01:06):
Good evening, Good evening. Thank you so much for having
me on your show, Sean, It's always a pleasure.
Speaker 1 (01:12):
Well, I appreciate you being on the show. Appreciate you
being those show. Now tell me being on the show,
you have a family and you got together and that
is nothing greater I have to assume than to be
in business with your family. Tell us about that.
Speaker 2 (01:27):
You're right, nothing greater. It is the greatest accomplishment I
must say of my career, my adult life, my career
to be able to build a legacy, build a business.
And I have to say, this industry is one of
the few industries that you can build up a practice
and turn it over to your children and you know,
(01:50):
just create a legacy that one day they can then
turn it over to their children, hopefully if they can
get one or two interested in being in the financial
services industry.
Speaker 1 (02:02):
Well, you know, one of the reasons, you know, I
brought you on the show, Sonya, is about that legacy
that you're talking about, that knowledge, that information that you're
talking about that's so important to I feel, the black
community and in conversations because we've talked about this a
lot about blacks. You know, with the the you know,
last hired, first fired, or first laid out, you know,
(02:25):
the last to get the information on the housing, we
the last to get the information on our economic opportunities
in your world. You're in that financial sector. What is
stopping the black community from moving to the front of
the line, or can we move to the front of
the line.
Speaker 2 (02:43):
Absolutely we can. All it takes and we know that
is for one of us to get in the door.
And once you're in the door, you know you profit
open and let others through. It's all about getting the
information about the education. For years decades in this industry,
you see many people that look like you and I
(03:08):
attain immense wealth, and many people that look like you
and I end up losing that wealth. Education to get
the information, that's what keeps you in the door. That's
what helps our community understand that this is an incredible
(03:31):
industry and an incredible way to build a legacy financial education.
And it's out there with Sean. It's not banned or
it's not relegated to the people who have high degrees
and multiple degrees. It's out there for all of us.
(03:51):
This wonderful thing called the Internet makes it more available
today than it's ever been before, and I dare say
financial advisors in this industry also make it more available
and able to disseminate it to the massive more than
ever before.
Speaker 1 (04:10):
Okay, I mentioned the fact that the Fears Group, which
is your last name, Sonya Fears, is ed Morgan Stanley.
How does that work? So my audience can understand that
you built your business inside of the Morgan Stanley brand.
Speaker 2 (04:25):
That's exactly how that works. So I've been doing wealth
management now for seventeen years. I was at mary Lynch
for fifteen at Mary Lynch, my daughter, my oldest daughter,
and I started the very first African American mother daughter
team that Mari Lynch has ever had in its history.
I've moved over to Morgan Stanley. I've been with Morgan
(04:48):
Stanley two and a half years now and I now
have two daughters that joined me at Morgan Stanley. It's
you know, it wasn't the easiest thing, but again I
can't say the more enough times. I've been blessed and
it's the greatest accomplishment that I've had to date in
(05:11):
my career.
Speaker 1 (05:12):
So how can one get in touch with you?
Speaker 2 (05:15):
Call me? My number is four to seven zero four
four nine zero eight one two and my email Sonya
so An I A dot sears f E A R.
S at Morganstanley dot com. Call or email me.
Speaker 1 (05:38):
I will respond absolutely, thank you. Does it get into
telling people how you how you how this business works
from financial situation? Now, it was a couple of programs
I want to bring to everybody's attention that I found
out about, and I felt that these are type of
programs that need to be heard on my show. You
have what you call a preferred savings program over at
(05:58):
Mortgage Stanley that you over see the Fears Group does,
where your mortgage with the savings interest rate, which to
me I think is ridiculously low. That's not just my thought,
but you're saying that it can be offered at a
higher interest rate at Morgan standing. Can you explain that
to my listeners?
Speaker 2 (06:18):
Absolutely? And I dare say that Morgan's Stanley Preferred Savings
program offers one of the highest rate out there for cash.
So in most banking accounts that you have, even your
preferred banking accounts, if it's sitting there in a traditional
banking account and a savings account, you may be earning
(06:39):
point zero five percent on your money, even in high
interest times like this. In our Preferred Savings program, we
pay four point six percent on cash. Your money is safe,
you know, for there's.
Speaker 1 (06:53):
A lot of excuse me, excuse me, excuse me. You know,
as you're dealing with numbers, all you could say something
like that. Maybe you said, you said, the going rate
is what out there? And what is Morgan Stanley offering?
Speaker 2 (07:06):
So in your traditional bank account and you know, again
the internet is there, you can google it. You will
get point zero five percent on your savings account in
your bank, your traditional bank and our preferred savings programs
we offer four point six percent on cash right savings
(07:29):
account right now today.
Speaker 1 (07:33):
The next question, I guess someone who say, how is
that possible?
Speaker 2 (07:37):
And that's a great question, thank you for asking. So
in our community, you know, we talk about it all
the time, and you know, people know it and they
say it, but they don't really realize it's real. So
the banks are using your money and it's called overnight sweep.
So most banks are part of the Federal Open Market
(08:00):
Commission and they're member banks. Right, So there's an overnight
suitep where your money that's deposited is being loaned and
the banks are being paid to lend your money at
a much greater rate than they're paying you. So if
you don't need that daily liquidity. You know, if it's
(08:22):
not in a checking or a savings account, especially a
checking account, that you're using that money every day, we
suggest you put it in a savings program. And what
we're hoping is that this is money that you're going
to leave in there. Right, it's available to you at
any time, any minute, any day. But if you leave
(08:44):
it in there, then we are batting that, Okay, it'll
benefit us. So why not give you the benefit that
you deserve on that money, because again, if it's in
the bank, they're going to be using it, whether or
not you think they are.
Speaker 1 (08:58):
They are fantastic talking to son your Fears of the
Fears group within the Morgan Stanley brand. Sonya is one
of the leading financial experts in discussing stocks, savings programs
which you just discussed right there, compounded interest portfolios which
we will go to in a minute, name image and likeness,
which we will discuss later on the show, as well
(09:18):
as lines of credit. I just popped out the big word,
compounded interest. I hear that a lot. Can you tell
my listeners what exactly does compounded interest means? Because that's
used a lot in the stop game in stock market gaming,
especially compounding interest.
Speaker 2 (09:36):
So I'm going to first tell you what it is,
and then I'm going to give you an example of
how it works. Right right, So, compounding interest is say
you saved one thousand dollars and you're earning ten percent
on one thousand dollars. That ten percent gets you to
(09:57):
one thousand, one hundred dollars, right right. You continue to
earn that ten percent, so you're now earning one thousand,
ten percent on one thousand, one hundred, which gets you
to be one thousand, two hundred and ten dollars ten
percent on that one thousand, three hundred and thirty one dollars.
(10:19):
So that's how compounding interest works. Now, for an example,
if you had two people, two people right, twenty years old,
each same.
Speaker 1 (10:31):
Age, same age, twenty years twenty years old each.
Speaker 2 (10:34):
Okay, twenty years old. We have a young woman who
she said she can't afford to save for retirement. She
has an apartment, new cars. Starting out is challenging. So
we say, okay, just save two hundred and fifty dollars
a month. That's three thousand dollars a year. And we
(10:55):
talked to her. She said, okay, I'm going to do
it and She says, three thousand dollars a year for
ten years, thirty thousand dollars. We have a young man, Terry,
and she stopped.
Speaker 1 (11:06):
She stops right there. I'm assuming, Okay, at ten years
he stopped.
Speaker 2 (11:09):
Stop, he stops. He stopped after ten years.
Speaker 1 (11:12):
But he's still compounding. Though he's still compounding, is still compounding.
Speaker 2 (11:17):
It's still compounded. Example I just gave you is doing
that right? And so we have someone else, Terry, you know,
he is. He said, I'm going to wait because i
want to live my best life and I'm going to
buy that brand new car, and I'm going to travel
a little bit, and I'm young, so I'm just going
to take advantage of you know, going to Dubai. I'm
(11:41):
just so. He started saving at thirty years old, and
he did the same thing. He saved two hundred and
fifty dollars a month a year, so three thousand dollars
a year, and instead instead of saving for ten years,
he's you know, he's fine. Antheley savvy, he understands the market.
(12:02):
He's going to serve save for thirty years. So he
does that. So Terry saves from thirty till he is
sixty they both retire at sixty five, and the question is,
at sixty five, after Terry saved his ninety thousand dollars
(12:25):
and Astley saved her thirty thousand dollars, who has the
most money?
Speaker 1 (12:30):
Drumroll please please, And.
Speaker 2 (12:35):
The answer is, our dear darling, Ashley has the most money?
Speaker 1 (12:43):
How much?
Speaker 2 (12:43):
At sixty five she has seven hundred and eighteen thousand,
four hundred and seventy three dollars estimated rate of return
nine percent. At sixty five, Terry, who saved ninety thousand dollars,
has four hundred and eighty nine thousand, one hundred eleven
dollars same estimated greater return of nine percent. Wow, she's
(13:07):
almost doubled the money that he had, and he tripled
the amount of money she saved.
Speaker 1 (13:12):
Because she started her because she started early compounded that
team stopped at ten years. He started after her and
did thirty years, but his compounding started later. And now
she's at seven he's at seven hundred thousand, she's at
four hundred Thout again, I'm talking to son you, fear sony.
Before we go to break, what's your contact information so
we can go to break. After that, it's.
Speaker 2 (13:34):
Four to seven zero four four nine zero eight one two.
Speaker 3 (13:40):
Please don't go anywhere. We'll be right back with more
money Making Conversations Masterclass. Welcome back to the Money Making
Conversations Masterclass hosted by Rashaan McDonald. Money Making Conversations Masterclass
(14:01):
continues online at Moneymakingconversations dot com and follow money Making
Conversations Masterclass on Facebook, Twitter and Instagram.
Speaker 1 (14:11):
Miss Fears, thank you for coming on money Making Conversations.
Why are you on the show today? Why are you?
Why are you coming on talking about finances and talking
about what you can do and engage in my audience
And what's the bigger picture here?
Speaker 2 (14:27):
The bigger picture. So, my daughter, one of my daughters,
at twenty five years old, bought her first home. She
bought a townhouse. My oldest daughter at twenty seven, she
bought her first home. She is now twenty nine and
just bought her second home. It's about being empowered. It's
(14:52):
about starting and building a legacy, and it's about our
community being able to particu and all the wealth that's
surrounding us. And how do you do that? You have
to be educated that we can do it too, and
how do we do it? Let's talk about it right now.
(15:13):
Let me share the knowledge that I've attained to help
others do the same thing.
Speaker 1 (15:18):
Well, we have a caller who wants to hear the knowledge,
Miss Fears, please welcome to the show, Jennie Jeannie. I
thank you for calling Money Making Conversation master Class. You're
speaking to Rashon McDonald and sign your fears from the
Fears group on Morgan Stanley. What's your question?
Speaker 4 (15:32):
First of all, I want to say this is absolutely
a great show today because I've actually been looking for
someplace to actually save money. So niece that I'm raising,
and she's money's coming in that are from you know,
her dad.
Speaker 2 (15:52):
From his social security.
Speaker 4 (15:54):
So I want to make sure that she's financially set
up in a really good way. And now she's fourteen
right now, so and it's about let's say, say about
maybe sixty eight hundred dollars. What would be the best
way to save would it be to put it in
the compound interest or the savings account? But four point
(16:17):
six is like amazing because everything I've been finding has
been online has been you know, definitely less than that.
Speaker 2 (16:24):
But what would be the best way? So when she
does get.
Speaker 4 (16:27):
Out of high school or and she you know, wants
to go to school or whatever, that she has those
money for her.
Speaker 2 (16:35):
Oh, that's incredible.
Speaker 4 (16:37):
One.
Speaker 2 (16:37):
I am really really super excited that at fourteen, your
thing is thinking about it for her and she wants
to save because again compound and interest. If she saved now,
she has four years to college, so we could start.
I'd rather her start earlier for five twenty nine plan,
(16:59):
but a nine plan in which you can save for college.
And what a lot of people don't know these days,
a five to twenty nine plan with the new secure
APT two point ZHO. If your child is brilliant, which
we know many of our children are, they get scholarships
and they have money in a five to twenty nine plan,
(17:21):
which is a college savings plan, and they don't use it.
This is an opportunity to roll that money into a
wroth Ira. With the wroth Ira, that money you put
six hundred dollars in there. We just gave the example
of two hundred and fifty dollars a month for ten years.
(17:43):
You start with the six hundred dollars, you add one
hundred dollars to it, you get to one thousand dollars
for the year. Or whatever you want to get to.
But that thousand dollars will grow free until she retires
if it is turned over into a roth ira. And
that's the beauty of for roth ira. Again, if thirty
(18:04):
thousand dollars is going to grow to be seven hundred
thousand approximately, right, that's six hundred and seventy thousand dollars
that you would not pay taxes on if that money
was sitting in a roth irs. Wow, now that's a powerful.
Speaker 4 (18:20):
So yeah, So if we just say one thousand dollars
in the rough iron eight just sitting there until she's
at retirement age. So what about say we set one
thousand dollars there and then what hundred place else?
Speaker 1 (18:40):
Hey, Genie, Genie, how Genie you're breaking up? Can you
give her your number so she can call you at
the office? Sonya, because the genie's breaking up?
Speaker 2 (18:50):
Absolutely, it's four to seven zero four four nine zero
eight one two. Please call me Genie. But okay, we
aren't with the five twenty nine plan again because that's
saving for college and if she doesn't use it, then
we would convert it to say a roth ira. But
there are many options. Would love to discuss them with you.
Speaker 1 (19:13):
Yeap, So thank you Genie for calling. And really, you know,
I always tell people knowledges everything. If you if you're
quiet about this information we're trying to give you on
this show. Every week I'm trying to bring guests on.
I'm not trying. I am bringing guests on that I
believe can change your life, put you in a position
where you can have a better life. That's what we're
doing today with this interview. We're doing this interview. She's
(19:34):
a reputable for Morgan Stanle, you know who they are,
and she had built with her daughters a business within
that of respected business within that and that's what we're
talking about. Her knowledge being transferred to you. Because if
someone calls you, you're not charging love fee, are you, Sonia?
This is let abolutely not okay.
Speaker 2 (19:53):
I'm not. I will call to anyone for an hour,
two hours, whatever you need if because I want the
information to get out there. We need to be educated
financially on how to set ourselves up for success, how
to leave a legacy, how to set an example for
our children.
Speaker 1 (20:12):
Right, cool, listen one thing before before you get out
of here. I wanted to talk about something that is
dancing out there a lot in the athletic world. And
we have a lot of call listeners I know who
may have a nephew, maybe their own child or grandchild
who in the world of sports, name, image and likeness.
They call it NIL for short, where young men coming
(20:34):
out of high school can now get good sponsorship dollars,
whether it's from major Fortune five hundred companies or local
businesses and make money. You guys in your organization, the
Fears Group, you guys are in the NIL game, correct, Yes.
Speaker 2 (20:48):
We are so. I'm a global sports and Entertainment director
with Morgan Stanley, have a lot of clients in the
sports and entertainment sector along with other sectors. And with
the NIL A few things that's really important. These are
young men and women middle school, high school that are
(21:11):
now being offered a great deal of money, right and
so a few things that they need to know. This
money that they're getting can help fund their vision, family vision,
can help start a business even at that age, can
start saving so that they can have that compounding interest
(21:34):
when they get older. Because again, some of them will
make it to be in the NFL or NBA, or
even to drive for NASCAR, but many most will not
because the percentage of athletes that truly make it to
(21:55):
be professionals are very very small. A lot of people,
a lot of peop don't realize that. And so these
young men and women, they have an opportunity to capture
that well, so now and use it. But again they
need to be educated and their families need to be
educated to make sure that they hold on to the
(22:17):
swealthand and not getting into contract that is not really
profitable more beneficial for them.
Speaker 1 (22:26):
Yeah, so you're under the Fears group at Morgan Stanley.
You provide financial education reading here, financial education for the athlete,
provide financial education for the family, and then educate them
both about the nil opportunities.
Speaker 2 (22:38):
Exactly. That's exactly what we do.
Speaker 1 (22:40):
Let's see that. I'm a little inside information about when
you're when when young people are offered scholarships to attend
college for their athletic skills, a scholarship is only it
may say it seems like it's four years, but it's not.
It's a one year scholarship and every year they renew it.
So you can get a scholarship to go to University
of Georgia or Alabama. That doesn't mean that doesn't say
(23:04):
that you will be there for four years under a
scholarship is at the option of the school. They can
take that scholarship away from you, they can renew you.
So the NIL program is put in place to help
young men and women to be able to earn income.
Just in case that does happen, or it doesn't happen,
you still in a position to work with a reputable company.
(23:25):
Is not your cousin, not your homeboard down the street,
but a company that has relationships and also the financial
know how and or tell you what to do with
the money when the opportunities come. Am I correct when
I say that, son, you figures.
Speaker 2 (23:38):
Were absolutely correct? You are absolutely correct? And again who
is there? You know you have people who save that
their business managers. Who's there to advise you and educate
you on how to properly manage this money, save this money,
make this money last for you because we have to
(24:01):
make it last absolutely.
Speaker 1 (24:03):
As we close out there interview, thank you for taking
the time to come on Money Making Conversation master Class.
What is your contact information and any closing thoughts or
advice to people who are considering are looking for financial
experts to advise them on their their future financial outlooks.
Speaker 2 (24:22):
Yeah, so number is four to seven zero four four
nine zero eight one two and my final thoughts here
and again thank you. It is an absolute pleasure to
be on the show. Final thought is planning. So we
are certified financial planners as well, and you've heard the same.
(24:45):
If you don't, if you fail to plan, then you
plan to fail. And so financial planning is the key.
You have to put a plan in place. You have
to understand where you are, know where you are to
go and have a plan on how to get there.
And that's what we do. We help our clients with
(25:06):
planning on how to get there. And there are many
strategies that we have in our wheelhouse through the breath
and depth of Morgan Stanley to offer to our clients.
Speaker 1 (25:18):
Wow, thank you for coming on Money Making Conversation. We
will talk soon. Thank you, Sony Fears, thank you, thank
you for listening. Bye bye. This has been another edition
of Money Making Conversation Masterclass posted by me Rashaun McDonald.
Thank you to our guests on the show today and
thank you our listening to the audience now if you
want to listen to any episode, I want to be
a guest on the show. Visit Moneymakingconversations dot com. Our
(25:42):
social media handle is money Making Conversation. Join us next
week and remember to always leave with your gifts. Keep winning.
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