Markets, Rates, and Holiday Volatility

Episode Transcript
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Speaker 1 (00:00):
Good morning everybody. It's Sunday morning, eight o'clock and right
here in seven ninety k S Tea, we're going to
bring you the Money Batter Show with Dean Greenberg every
Sunday morning. We've been doing this since nineteen ninety, bringing
you a two hour show talking about the markets and
how they're affected by the economy and politically globally, nationally,
all the things that contribute to markets going up and down,

(00:22):
and they are confusing right now. I'm not gonna lie man,
the markets are confusing, but we're going to talk about
how to protect yourself a little bit as we always do.
All right, this is about money. It's about investing, which
means is about risk. So on the show, okay, we

(00:43):
talk about risk. Greenberg Financial Group is both a registered
investment advisory and a broke a dealer. That means there
registered with the SEC and the members of FENRA and SIPIK.
The things we talk about that have risk, we want
you to understand the risk probably to investing. It's that simple.
Everything has risk. Everything. You might not think that a

(01:04):
stock that keeps going higher has risk, but it does.
You don't think that when your portfolio is making a
lot of money you have risk it does. It's not
just when things go down, it's also when things go up.
If you're not reallocating, if you're not pulling back on
the things that have gotten overheated, that's the way you

(01:24):
have to invest in. You have to stay steady in
what you do. And now the markets have, you know,
obviously made new heights again. They're having trouble getting back
over that sixty one hundred level in the S and
P five hundred, and there's reasons for it because the
markets definitely have divergencies. We had inflation numbers that were

(01:46):
hotter than expected this week's CPIPPI and guess what. Markets
won higher and then returned down. They went higher and
then they turned down. Every time they came out and
another the markets went a little higher and came down.
Now the nasdak's the one that's staying up. Well, everything
else is really coming down. Everything else went down this

(02:07):
week now, SMP Russell equal weighted except the NASDAK, they
were actually up about a half a percent. The Dow
Jones is down seven days in a row. The equal
weighted S andp's down about ten days in a row.
What is I feel like there's this masking going on

(02:28):
back and forth with the technology stocks, which kind of
helps the S and P stay in there to a
certain point. But if they start moving down, which they
look like there's been some selling pressure going on, and
then the rest of the market's going down, we will
see a decline. Now there's two scenarios I see planning out.
And I know I've been talking about how I don't

(02:48):
like the market for a while, but we could have
a decline over the next couple of weeks and then
rally right into the end of the year when Santa
Claus comes around and then take us up later on.
Or the other side is we still stayed around here,
back and forth, we go up and stay higher, and
then after the first of the year been people start
taking profits and move the markets down for a month

(03:10):
or two three, and then they come ahead and do
it somewhere along the line. I do believe we have
to have a decline. It would be healthy for the
markets to have a five, seven ten percent decline. It's ugly,
it's horrible, it's scary. I get all that. But for
those of us that have been around for a long time,
those of us that manage money, for a long time.

(03:33):
These type of markets are even scarier when you can't
figure out why you can keep going higher other than
the anticipation of what Trump's gonna do. Obviously, we think
that Trump is gonna cut regulations, which is gonna help,
cut taxes, which is gonna help all those things that
can help the economy. But it takes time. Just because

(03:53):
he says he's gonna cut taxes, you gotta go through Congress,
you gotta go through the House and the Senate and
get it approved them back and forth, blah blah blah,
and then finally sign it. That's a year. But the
talk can be there. It's very He can't just with
a stroke of his pen go ahead and say I'm
cutting taxes. It's got to be approved. Same thing with

(04:16):
everything they's going to do, it's going to be approved now.
A lot of things are probably going to get approved
sooner than later. Things he can do is to negotiate
the Middle East crisis and Ukraine Russian war, have better
relationships with China, cut Iran off, let them happen, go,
let Israel do what they're doing, and saving the world

(04:39):
by creating a scenario where there's a lot less problems
in the Middle East. People can say what they want
all day long about Israel, but they got to be
some of the smartest militants in the world. Think about
how small they are, think about how everybody wants to

(05:00):
annihilate them. But somehow, some way, they come up away
not only to protect themselves, but to be able to
get rid of the bad people, get rid of the
bad guys. And you saw what's happening now in Syria. Okay,
we don't know who's gonna come in, but you know
they're not gonna let them come down to Israel. This
cuts off Iran. Here's the problem. And for whatever reason,

(05:25):
I can't still understand it. How did and after once
try the Trump wins, they give Iran ten billion dollars
for what. I don't get it. I don't understand it.
But in the end it ain't gonna matter. Israel is
taking care of Hamas, take care of her Bozo. We'll
make sure Siria is there. Little by little by little,

(05:47):
they're gonna gain the strength and Iran it's not gonna
have the opportunity to have anybody being their straw people
to invade and do the things they want, which means
if Iran is then done, then Russia can't go through
Iran to get things done. Little by little, I've told
you I'm laying this out. Then once this happens and

(06:11):
we have a compromise, a peace plan or some type
of cease fire with the Ukraine and Russia, we can
all move forward, and everybody in Europe better thank Israel
for doing the stuff they need to do. Okay, because

(06:32):
if we can get all that done, they live safer
and their economy will do well, and they'll be able
to come back. But it is interesting how everything is
working a little bit different than before the election. I
kind of feel like people are coming around and saying, Okay,

(06:52):
he's going to be here four years. Let's give him
a chance. Even the media feels like, I feel like
them back a little bit. They're giving him a little
bit of an opportunity because they realize how wrong they are.
They realize how bad the mainstream media was. Almost everything
that Trump said from sixteen on is true. That how

(07:16):
they just came and got him and made lies about him,
and the FBI came after him, the CIA people wrote
things about him, How they lied about Hunt Biden, how
they lied about Joe Biden, how they've lied and lied
and lied. He just keeps bringing it up and showing
that it wasn't him, it was everyone else, and people
starting to believe it. Even the left is starting to
believe it a little bit. They're at least giving him

(07:38):
a chance instead of tearing him apart. We'll see what happens,
all right. It was great to see the New York
City mayor. Okay, and obviously for more reasons than just
saying that being on Trump's he agrees this is the
way every city mayor should be. If you're either ill

(08:00):
or legal, it doesn't matter if you're undocumented or not.
If you have created created crimes, we are not going
to allow that to happen. And if you're undocumented, we're
getting rid of you. If you create a crime, we're
locking you up. We are not just gonna give money
to undocumented people just because you sit in the in

(08:20):
our city, and we believe in doing that. No, it's over.
Things are going to change, and all this stuff's going
to help the economy. People go, how is it going
to help if he lows taxes, Well, the corporation is
paying lesson taxes, gets what they can do. They can
pass that on to the consumer in not raising prices,

(08:44):
but maybe even lowering prices, because then you have competition.
Because if people are competing for people's money, you want
to be the one they do. They're going to have
to cut prices, supply and demand. That's how it's gonna be.
They cut taxes. All that's going to do is put
us back to where we normally were. The big thing

(09:06):
is is how we're going to move forward. How are
we going to do the things we need to do
to get all this done. We have all the supplies
down on the border to build a fence, and why
are they selling it off for nothing? Five dollars, ten dollars,
one hundred and fifty dollars? What are you? What is this?
Why do we even allow it? Why this is our money,

(09:27):
tax paying money. I love for the media to find
out finally get on our side. I love the fact
that they can say all they want about the Doge Committee,
this is gonna be great. I am telling you. It
is the one change, the one thing that they're taking
on that I think is gonna be great. Now, is

(09:47):
it gonna work like where you're gonna cut two trillion
dollars right away, probably not, but the exposure that we're
going to find out what we're going to expose, what
they're going to expose of, the overspending, the overcharging, the
fat that the obviously the labor forces that we don't know,

(10:09):
all that stuff. It's going to be exposed. And the
only person that was willing to take this on and
fulfill it and go fast and have ideas on how
to do it is President Trump. And it's going to
be great. It really is, because this is what we
need if all of this to happen over the next

(10:30):
few years. We need to get interest rates down. And
the one way we do it is getting energy prices down.
We have the biggest reserve of oil and LNG natural gas.
Let's export it, Let's make money. Let's bring the price
of energy down. Let's do it. Energy comes down, that
brings prices down. Because this week all we saw was

(10:55):
higher inflation CPI PPI keep going up two point seven,
we besent three and a half percent. That needs to change,
and it does over time. I listened and I watch
all the people complain because there's so many billionaires on
his cabinet. Why are people think that billionaires who are

(11:18):
self made billionaires not given the billionaires a lot of
them are self made, don't know how to run a business.
You ever think you ever sit and think, why would
a billionaire even want to be part of this?

Speaker 2 (11:34):
Why?

Speaker 1 (11:35):
I know people say power? What power? If you're in
the cabinet, you lose a lot of power. You have
to go with all your investments, go into a dog
trust that you're not allowed to be able to make
decisions on. You have to sell off a certain amount

(11:55):
of stock and ownership and things. There's rules be able
to do it. Your life changes. The ridicule you're gonna
get being just just draped over the coals, going in
front of Senate and all trying to get confirmed. Your family,

(12:18):
anything you might have done that was on the fringe
is gonna be blown up so that you're a bad person.

Speaker 2 (12:23):
Why do you do it?

Speaker 1 (12:25):
You know why they do it because they know we're
in a crisis situation. They know if they don't step
up and give their time for the next four years,
then we're going to lose America. We're gonna lose it
because the people that have been in charge have not
realized what is going on. They teut that we have
the greatest and the best and everyone should be jealous

(12:47):
of our economy. Here are a thousand times, but they
failed to remember the people that they're talking to, the
ones that they think should be voting for them, are
the exact same people that could this economy and say, bs,
we can't afford anything, We can't pay our bills, we
can't put food on the table, we can't go ahead

(13:09):
and put gas in the car to go to work.
Those are problems, real problems that have not been addressed.
They think that mainstream media and actors and actresses and
sports people with a way to go because that's what
everyone looks up to. Until people have realized they're just humans.

(13:32):
They're no one to look up to. They might be
someone to admire, but don't talk to me about politics, Hollywood.
You're the biggest hypocrite abuses of any morality that there
is to be seen. Okay, So that's where we sit

(13:54):
going forward. So let's look at the economy. So I
think that any move down in this market of seven
ten percent or more, you better back up the truck
and buy it will be a buying opportunity. Now it's
easy for me to say that now, because when it
is falling, you're gonna hear all the bad things. Oh
we got stagflation, Oh we got too much inflation. Oh

(14:16):
there's no enough earnings, Oh, unemployment. All the things that
you always hear that are bad, you're gonna hear and anticipate.
Be strong enough to know that right now, sitting and
making you a four and a half to five percent
or so in the money market is okay until this happens.
And when it happens, don't be afraid. Don't listen to
the pundits that don't know what they're talking about. Don't

(14:38):
listen to the pundits that say, oh, we're gonna go
down much slow. We could, but if you dollar cost
average in as we drop hard. And understand that once
Trump goes ahead and is able to make the changes
he wants the second year, the third year, it's gonna
be great. The markets will do well to go higher.

(15:00):
We're gonna set new highs. But if you spend all
your money now because you're so ecstatic and you're not
taking any money off the table, and the market's fall,
you'll be in a scared situation, a very scared situation,
and that's not going to be healthy for you, your mindset,
or your stress. There's ways to mitigate risk. We talk

(15:22):
about it all the time. Mitigate risk by selling and
raising cash. Mitigate risk by using inverse funds so you
can have a better taxable situation so you don't have
to come out of everything. Use some of the inverse
in the visual stocks, like on the big tech companies
that you have, buy insurance puts. There's so many different

(15:47):
ways to do it that the average person doesn't know,
and the average advisor won't do. Protect yourself. They don't
be in a scenario of always don't worry about it.
It'll come back. Yes, but he is sixty five seventy
five years old. You don't want to be in a
scared mode for five years for it to come back.

(16:12):
You want to have cash, You want to be separate.
You want to be buying. Market's going up, you're still
making money. Markets come down, you get excited because you
want to buy. That's where we're at. Everyone now wants
to talk about bitcoin. Bitcoin. Todd has talked about bitcoin
since it's been thirty forty thousand, saying it's going to

(16:33):
fit one hundred. Bitcoin is speculative. And if you're buying
it now and you didn't buy it earlier, it is
even more speculative. Don't just go jump into things that
you don't know. Now, does that mean that bitcoin can't
go higher? No, it doesn't. Does it mean that certain

(16:54):
things can happen? Yes, But understand, when you're going into
something at this height after it's went off and you're
hoping that it goes to two hundred thousand, five hundred
thousand and a million, because that's what you're hearing, understand
it can go back to eighty thousand, seventy thousand, and
fifty thousand, just as easy. If things don't go along

(17:14):
the way people want it to go along. When Trump
gets in and talk about more, maybe make a bigcoin reserve,
don't selling it buying some who knows. I think the
positives outweighed negatives. But it's speculative. It's nothing but speculative.
And if you can't handle speculation, if you can't handle

(17:34):
losing money, bitcoin certainly is not the place to be.
That just becomes greedy. But if you're an allocator and
you say, hey, part of my portfolio is for speculation,
then it needs to be in there, and if you've
had gold this whole time, maybe you sell off a
little bit of a goal that the profit you have
and you use that same speculation money to move over

(17:56):
to bitcoin through the ETFs. The etss are great. They
move up and down with bitcoin. Okay, it makes it
easy to get in, easy to get out. All these
things are happening, and all these things will come to
fruition over time. Tesla has exploded and people keep buying

(18:24):
it and they go, oh, it's going higher. Okay, you
want to speculate that way, you go ahead. That stock
was one hundred and eighty dollars two months ago. Three
months ago, it's over four hundred dollars since he's got in,
and what in a month, it's gone up over one
hundred and some percent? Are you kidding me? And you

(18:44):
want to jump in and you're not selling some If
you have it, why is it happening? What is different
today than it was other than his relationship with Trump?
Be careful. There's a lot of shortcovering going on that
continues to make that stock. Ohio speculation, that's a tough one.

(19:05):
I'd rather speculate on the bitcoin right now than a
speculate on Tesla. There I would be a seller of
some of my tesla if I still owned any I
sold out way before it even fell before and I
never got back in. But that's okay. Opportunities still arise
in other things. But be careful because there are things

(19:27):
that are high. AI is screaming. Everyone's telling you how
great it is, and it is going to be great
for the next two or three years. But that doesn't
mean the stocks are going to keep running the way
they have, so be careful. Things go up, things go down,
kind of like a football team here at the University
of Arizona, right expectations right. Last year was great, even

(19:51):
though we lost the coach, we lost the players. Everybody
came in with expectations it was going to be great.
New coach knew everything, and then everybody wants to sell out.
Everybody wants to get rid of the coaches. Now. Who
knows what the situation is, who knows what to do
right now? I've been coaching high school football for a

(20:14):
long time. The one thing I do know that if
you do not change your methods as a coach, you
do not change with the environment, You're going to be
very difficult to win. And what do I mean by that?
The environment, the culture of football. College football has changed

(20:36):
so quickly in two years. It's very difficult to keep up.
And if you're an old school guy that says I'm
not changing, I'm going to develop, I'm going to do this,
then you're going to lose. The problem we have it
to you, of a is that we do not look
to take a risk and change. We always go mediocre.
We always try to do some of the things right
like that, and we don't do it. We don't have

(20:59):
the money guys to go out and be an Alabama
or an LSU or Ohio State. We just don't have it.
What we have is the ability to bring people here
if we wanted to change the culture and football today,
if you're going to be good, you need to be
like a GM that understands free agency. So my hat

(21:23):
is off to Bill Belichick in UNC. UNC went out
and said we're going to take a risk, We're going
in a different direction. You watch how successful they are.
And they went ahead and somehow negotiated a contract with
the most winningist coach in the NFL history. How about
that and brings him the college ball Well, of course,

(21:45):
the pundits are, Wow, that's beneath him. I can't believe
he's doing it. He's doing it because he's seventy two,
seventy three years old and it's exciting for him to
do something different and to bring his son along. But
he has the right idea. He stepped up and he said,
I want the kids today that want to be in
the NFL. I want kids today that think they could

(22:08):
be in the NFL. We'll evaluate, we'll bring them in
and we'll teach him how to get there and develop
them to get to the NFL. And then he brings
in somebody that will be like a GM that will
look and see with with Remember they have a cap
in the in the NFL. In college, you have a
cap of how much you can bring in, Okay, because

(22:28):
obviously not everyone can bring in twenty twenty five thirty
million dollars or pay a guy to leave LSU and
go to Michigan because you're Larry Ellison for ten or
twelve million. So you have a cap. You have to
develop a personnel around that, and it's going to be
year two year, two year. What better person to bring
in than a guy that has experience in the NFL

(22:50):
with free agency, what better guy to bring in. That's
what I mean by change. That's what I mean by
going outside the box. If you want to be good,
it's he who knows it's going to be good. Who
knows if seventy two can relate to a eighteen to
twenty year old kid, I don't know, but at least
they're trying something. I know this somehow he relates to

(23:11):
a twenty four year old girl. So he obviously isn't
an old man thinking that he can't do stuff. But
do you think the University of Arizona would do that?
Hell no, Look at Colorado. They took a chance on
Deon Sanders. Most people wouldn't do it. Oh, he's too flamboyant.
He's this, he's that. Until we go outside the box

(23:31):
and find coaches that want to coach and understand the
change in this and not use us as a stepping stone,
that's there. So Brennan I believe can do this if
he wants to, but he's got to bring in the
right mindset. He's got to change to look for kids
that want to play football. We can develop kids that

(23:52):
want to play football. We're not going to be a
great team every year in and out. Find the kids,
find the local kids, find kids that can be preferred
walk ons for you to do the things you need.
We have a budget. We don't have limits like some
of the other places do. Find football players, bring in
some of the spot guys, spend the money on them,
bring in coaches to have to get rid of you.

(24:13):
Oh see your DC and your special Teams coordinator. You
obviously messed up pretty good. Change it. Do you what
you're doing and make it good for the people and
the fans before you lose support. We'll be back this
The Money Monty Show. Appreciate you all listening. Welcome back everybody.
This is Dean Greenberg with the rest of the crew
from Greenberg Financial Group, and we have a special guest today.

(24:35):
He was from Greenberg Financial Group, Heath Lossing. For those
of you that have been listening for I don't know
twenty one years, twenty some odd years, you've heard the
name Heath Lossing. I'm gonna let you Heath tell you
what he's been doing. But it's so good to see
him be part of this. You know. One of the
things I remember saying, I'm going and I'm leaving and

(24:57):
I'm going to go become a lawyer and I'm going
to become a regular Vetsman advisor. And I never doubted it.
And he sat his own firms and now we work together,
which is pretty cool.

Speaker 2 (25:07):
Well, thank you, Dane.

Speaker 1 (25:08):
It's I love.

Speaker 2 (25:10):
You, guys, And you know I've told everybody you I
couldn't have asked for a better mentor somebody who brought
me into the field and taught me the ins and
outs and the ups and downs of the financial markets.
It's it's it was a tremendous learning experience to having
had the opportunity to have been here when I was
a young buck. I think I started working with you

(25:32):
when I was twenty four.

Speaker 1 (25:33):
I love story, I do remember that. But how we
got together?

Speaker 2 (25:39):
Oh well, so I went to work a crudential after
moving here. I actually sold cars for Bowdery Motors. I
don't know if anybody remembers Boderie Motors or if it's business. Yeah,
And they came out after my ninety day probationary period
and they told me I was a terrible car salesman.

Speaker 3 (26:00):
Is that a compliment?

Speaker 2 (26:01):
Well, I think I sold three cars in ninety days.
I mean I was a terrible car salesman. There was
no doubt about it. And so I went to a
job fair and I interviewed with Prudential Preferred Financial Services
at the time, and started working with them. And I
think one day I heard an advertisement from Greenberg Financial
on the radio and I said, I'm going to go
talk to this man. And I walked in and I

(26:22):
had had my head shaped and I remember Dean saying
to me, he said, well, I'm just a guy in
an office, So if you want to work here, that's fine,
but you're going to have to figure out a way
to survive while you build your book. And by the way,
you're gonna have to grow your hair out. You're not
a Nazi, right, I said, no, I am not a Nazi,

(26:47):
but I did have a bad haircut, and so a
buddy of mine had the common sense to get rid
of the bad haircut and now I'm just bald.

Speaker 1 (26:55):
But you know, it's funny about that. As we were
talking about how today's world, it'd be almost impossible for
someone to come in and just go cold calling and
trying to build up his book. You know, it's changed,
And this goes back to what I was saying about
football and everything. Things change. We've changed with it to
be able to build up what we have because times

(27:15):
have changed, and if you don't change the way you
do things, then you're going to fail. And I couldn't
imagine being twenty two, twenty three years old today and
not having some type of salary or draw or something
to get buy and pay your bills. First of all,
bill's a lot more expensive, okay, And.

Speaker 2 (27:33):
It'd be tough. It'd be very, very difficult. It wasn't
easy then though. I mean, we were all on scratching
at that point. I think that everybody who.

Speaker 1 (27:42):
Well, when did you start ninety.

Speaker 2 (27:44):
I think I first licensed in ninety six or ninety seven.
I think I came here in ninety seven or ninety eight.
I can't remember.

Speaker 1 (27:52):
So I was already going for about eight years before
you came on board. I the radio show started ninety
kind of went on my own in ninety one. That's
how I started going and doing that stuff. And then
you came on.

Speaker 2 (28:04):
And you were over at Oracle and ainor Yeah.

Speaker 1 (28:07):
Remember that, I know an oracle.

Speaker 3 (28:10):
You want to let what you want a little fun fact,
you know, inner road. That's not the way you pronounces
that's not the way you pronounced it. How do you pronounce? Well,
that makes her name? I I a her name. The
woman's name was named after his named Nina, and it
drove her nuts. Tell her death that it was pronounced
Oh fun fact from Tucson right, Well that.

Speaker 4 (28:30):
Makes never would have thought that.

Speaker 2 (28:32):
Yep, makes perfect sense to me. I guess, well, it's
good to have you, Heath.

Speaker 1 (28:36):
So you left here and you went on to go
to Missouri, didn't you.

Speaker 2 (28:40):
I went to the University of Missouri. I they helped
pay for that school. I taught for. What was when
I got admitted, it was the Consumer in fact, Consumer
and Family Economics Department, and by the time I left,
it was the they decended department. No, they decided that
the name the Department of Consumer and Family Economics just

(29:01):
didn't have the bizazz that they wanted, so they turned
it to the Department of Personal Financial Planning. So I
have a master's degree in Personal Financial Planning from the
University of Missouri, and I also got my law degree
from there, and I've been practicing law since two thousand
and We took a year off after I graduated, so
I got my UH passed the bar exam in twenty
twelve and opened my own shop at that point.

Speaker 1 (29:22):
So you got law, your financial you're also financial advisor.
You got your own investment advisors. Correct, And you're in
a state planner.

Speaker 2 (29:30):
Correct. That's pretty cool CFP.

Speaker 3 (29:31):
And you only went to the University of Missouri because
they're the only school that would allow you to do
the master's degree in economics and your law degree simultaneously.

Speaker 2 (29:40):
There was one other school that would have allowed it,
and it was at that time. The other school that
allowed it was a Texas Tech And we visited Lubbock
and we just drove through. Yeah, that was.

Speaker 1 (29:54):
If you're getting to just guys, this guy is very,
very smart, and that's one of the things he gets
ant he gets smart, and that's the one thing about
very small people. But it also takes a small person
to notice stay in contact with someone and keep a
relationship with someone that's good and they can help you
as you go through life too. And that's where we
are right now.

Speaker 3 (30:14):
Of course, he's smarties from South Dakota.

Speaker 2 (30:17):
Watertown, South Dakota, dance from Clark, thirty miles.

Speaker 3 (30:20):
Away Southcotta, and Heath and I were born in the
same hospital like water Towns out Wads.

Speaker 1 (30:27):
Is that crazy?

Speaker 4 (30:29):
Apparently smart people come from Uh.

Speaker 1 (30:30):
Obviously, I gotta go to South Dakota and start recruiting.
I think they might. They might have some good football
players up there that want some warm weather and bikinis.

Speaker 2 (30:39):
For whatever reason, you seem to attract South Dakotas to
this facility.

Speaker 1 (30:43):
He does, right until hell? Old were you when it came? Oh,
two years old, give six?

Speaker 2 (30:49):
I think ninety six or ninety seven.

Speaker 4 (30:51):
I cast about two or three years old.

Speaker 2 (30:53):
When did you leave?

Speaker 3 (30:54):
When did you leave?

Speaker 2 (30:54):
I left in two thousand and six the summer twix wow, okay,
and began law school in the fall of two thousand
and seven. But my wife and I traveled around a bit,
if you guys remember, I like to get in a
trailer and travel around, kind of a bit of a
hillbilly and felt like I was going to be on
the Beverly Hillbillies. At some point, I think, I still

(31:15):
may I.

Speaker 3 (31:15):
You have a here from the South Dakota, so you're Southerner, right.

Speaker 2 (31:18):
That's exactly give me some chislick gene.

Speaker 3 (31:23):
I think the last time you came through here, you
were with your wife, and I think cligraphy at the
time was what three years old, and you were in
a van and the way Susan was stopping taking our
end gigs from time to time, his wife is in
our inn to beep up the bank a kount of
a little bit and no way you go again.

Speaker 2 (31:40):
And that was twenty eleven. Yeah, we spent a spring
here in twenty eleven and then didn't return. I don't
think until twenty eighteen or nineteen. We came for a
little visit, came and saw everybody, and this is the
first time back since.

Speaker 3 (31:52):
We're fortunate to have a bunch of clients who have
been with us for twenty twenty five years, and our
are much more than clients, their friends, their family and Heath.
I think having your voice on the radio is very
very cool.

Speaker 2 (32:03):
Well, I'm glad to be here. I thought it was
neat to see a client that I had signed up
and been a part of their initial experience here twenty
years ago. That's amazing, It's absolutely fantastic.

Speaker 3 (32:16):
Oh what were you an enter into Trump two point
Oh you excited about Trump two point zero.

Speaker 2 (32:20):
I'm excited for the end of the regulations. You know,
in my legal practice, I really went. What caused me
to want to become a lawyer was Sarbanes Oxley because
it was a law without an issue. If that makes sense,
it does they Sarbaine's Oxley was passed and put a

(32:43):
very onerous regulatory component on us as what was then
a very small broker dealer, small advisory firm. And I thought,
this is just wrong. They are are setting up a
system where the JP Morgan's of the world and the
Morgan Stanleys of the world are going to be able
to run rough shot over US independent advisors. And I
went to law school tilted will wind Mills, as they

(33:07):
would say, I wanted to fight the good fight. I've
been involved in a number of pieces of litigation with
federal and state regulatory bodies over the course of this
many years I've been doing this, and they just are
hell bent on not necessarily doing things that improve the

(33:28):
condition of whatever industry that it is, but just to
put an onus on those who are operating within the industries.
And that's wrong. And it continues to this day. When
I get back, I'm going to have hearings. I've got
things going on. I've had things very recently with the
National Labor Relations Board, with the Department of Labor, with

(33:49):
the EPA, and many of the things that they're complaining
of are issues in which there is nobody who is
actually being in No employees are being injured, the public's
not being injured. There's nothing that they are are doing
to satisfy their regulatory component for the benefit of society generally.

(34:12):
It's just that they're doing it because they have the
power to do so. And so I am all for
whatever can be done to reduce the regulatory state.

Speaker 1 (34:22):
I don't think anybody could say they don't want that
other than the people that were an administration. And it's
amazing what they're trying to do in the last thirty
days of being there, of trying to regulate out the DOJ,
trying to these other companies like you know what, guys
stop already. No one wants that.

Speaker 2 (34:43):
Well, I think the FTC, the Federal Trade Commission. The
things that she has done is it offends business. It
offends the very nature of trying to provide services or
provide product for society at large. And what I mean

(35:06):
between blocking so the most recent one the merger that
she tried to terminate that merger and I guess we're
gonna have to take a break, but we'll come back sometime. Okay,
that merger was actually going to lower prices for the public,
but she didn't want to do it because she said
it was monopolistic. Right. That is antithetical to the Sherman Act.

(35:28):
It's antithetical to what the whole purpose of ending minigh.

Speaker 1 (35:32):
And when we get back, we're going to talk about
what it real monopoly looks like. Because obviously they think
breaking up Google is going to be a good thing.
I think it'll be a disaster. We'll be back. This
is the money out of show. Thank you for listening.
Welcome back everybody. This is the money out of show.
We got Dave show at Dylan Greenberg, Heath lossing myself

(35:54):
today and then in the second alley you'll have the
other boys coming on too.

Speaker 3 (35:58):
Get the ateaming here in the second hour, if you think.

Speaker 1 (36:00):
So, Dave. Okay, So we were talking about monopolies. What
is truly a monopoly and why does a DOJ think
that every big company is a monopoly.

Speaker 2 (36:14):
Well, I can't tell you why the DOJ, or the
Federal Trade Commission or anybody else thinks monopolies exist. Where
they don't. I can tell you that I read excerpts
from what's her name, Elena. I can't remember her name
either off the top of my head. But her view

(36:36):
of monopoly is very different from what the standard view
of monopoly is, and that's been adopted by the current administration,
and so the view isn't when we had the common
view of monopolies when it became an issue and when
they broke up. You know, the big conglomerates that existed

(36:57):
in the nineteen twenties and thirties was that they had
such pricing power that they could price other businesses out
of existence, to the point where those companies just ultimately
failed because they couldn't sell at a loss as the
major corporations could, or they couldn't be forced out, and
if they chose not to be bought out, they would
ultimately fail. That's not the case today. We have innovation

(37:21):
that goes on in a way that could have never
occurred back in those days because information is power, and
the transfer of that information happens so quickly, I mean
it's immediate now. You know, people talk about the big
traders and how the gold miss acts are getting ahead

(37:43):
of the little investor and whatnot. The information that they have,
as long as they're not trading and stuff that they're
actually serving as a banking representatives for is really not
any better, and if so, only marginally better than what
you or I can get off the Internet or off
of a subscription service or what have you. So I
don't think that that's really it. I think that those

(38:05):
who support big government and those who believe in big
government fear big business because power is power, and they
don't want their power threatened by other entities. So that's
why I've been thrilled. And it's interesting to me that
Jeff Bezos and Elon Musk and these folks are challenging

(38:28):
the constitutionality of the National Labor Relations Board and it's
making how it's made up and how it's enforced. I
think that's fabulous. I think in many respects. And don't
get me wrong, I'm not completely anti union. I am
where anti union, where what the union does is spend

(38:49):
the majority of its times supporting and defending the least
of their union members, the ones that cause forty seven accidents.
They're out there defending. We're the ones that are are
driving the train perfectly every time, they don't get much
support from them. And if we had that kind of
efficiency in work and in the efficiency in hiring and

(39:11):
the quality of labor, that labor could demand more because
they wouldn't be supporting those who should be gone. And
that's that's an issue.

Speaker 3 (39:21):
It does seem that it's an administration that is against
success or at least against a high level of success.

Speaker 1 (39:28):
Dave. It's because most of them are on business people.

Speaker 3 (39:29):
No, I don't.

Speaker 1 (39:30):
The way they've always got is using their power and
influence to get paid for stuff. And that's what I
love about the new administration. The billionaires are self made.
The business people, they know you don't wait till next
year to get things done that you can get done now.
They know that there's ways you've got to change things,
you got to do things. One thing they do know

(39:51):
is if you're not bringing in enough revenue over your expenses,
you better cut your expenses. Yeah, okay, And that's where
we're at.

Speaker 2 (39:58):
Well, And you know what's interesting to me is the
least self made of him is the actual president elect.

Speaker 1 (40:04):
All of the other.

Speaker 2 (40:05):
Ones that have been named to these positions have gone
out and struggled and lived in their cars and done things.
I mean, even after he was a billionaire, Elon Musk
was living in what an eight hundred square foot shack
in the middle of nowhere for I.

Speaker 5 (40:20):
Mean yeah, I mean he was living in his office too,
and Tesla was struggling to sleep it under the desk,
right because he was still his baby, his company, and
he's still trying to make it work. But he's still
being the one ahead of it because like you said,
he starts from nothing. He wants to keep it where
it is well.

Speaker 2 (40:33):
And when I say nothing, I don't mean nothing. I
mean he certainly came from comparative affluence, you know. I
think that that is one of the advantages. But they
went on and they got educations, and they used their
their strengths to their advantage to the extent that they could.
They didn't squander opportunity, which I've seen, particularly being both
a lawyer and an investment advisor. I watch people inherit

(40:57):
millions of dollars and squander it. It's gone. They buy
the fancy car, and it's the rare breed who actually says,
I'm going to take this money and I'm going to
start a business and I'm going to employ four thousand
or five thousand people ten years down the road by
doing it, and that I think deserves some some admiration.

Speaker 3 (41:15):
Absolutely, And I think we would admire small businessmen in
general absolutely creating the jobs that they create. And you
look at as small business. Administration seems to look at
small business. Oh, actually, any businesses say, well, that's the
bad people, right, if you're if you're really successful, you
have to be doing something wrong. Yeah, you're employing tens
of thousands of people.

Speaker 2 (41:33):
But I've never heard of a large business that didn't
start out as a small business. I mean, look at
Michael Dell. Michael Dell was going building computers in his
dorm room and going door to door selling computers back
in the late eighties, and at one point there was
talk about whether or not Dell was going to succeed.
And now back in back in the saddle, I mean

(41:56):
most companies Microsoft.

Speaker 1 (41:58):
Okay, so let's talk. We'll talk technology, all right, We're
you up on the technology as an RIA. I mean
obviously we know the chips.

Speaker 2 (42:06):
What's next, Well, I think that the chips here. My
personal opinion is that once AI becomes reliable, because it's
not reliable at this point, I mean, if you ever
go online and ask for information from the AI, some
oftentimes you'll get just bad information. Then you know it

(42:26):
to be bad information. But as it learns, because it
will learn, I think that that's going to get applied
to the biotechnology field in a way that is really
going to move medicine, which is something that is going
to make our lives longer, healthier, happier, and less expensive.

Speaker 5 (42:48):
Well, it's the AI chips, and then the next step
is the quantum chips, which Google had to break through
last week with is saying that it has a chip.
It's not going to be everyday use for a few years,
is what it's saying, but it's moving along quicker than
they thought, and it's able to solve these problems in
under like five minutes. It said that supercomputers that work
differently can't a trillion years, yeah, longer than the universe

(43:08):
has been around.

Speaker 4 (43:09):
So that's like the next step.

Speaker 5 (43:10):
And the reason for it is because the quantum computing
is just so much more dynamic than the original AI
where it's zeros and ones and just a to B
in a sense, well, computing does a to be to
see the all at once, to solve different problems. So
they're saying when it comes to healthcare like that, you
were saying, it's going to be able to put all
the issues that you can possibly see in this computation

(43:33):
and then quantum computing will just spit it out immediately.

Speaker 2 (43:36):
Now, I do think you need to take those announcements,
those types of announcements with a grain of salt. I mean,
in the absence of something peer reviewed, it needs to
be very very you just need to be cautious. I
think in in jumping on that. That's why Google rallied
so much this week was because of that announcement.

Speaker 5 (43:56):
Now, well, yeah, speculations, but I mean, like they said,
is not going to have an everyday use for at
least two or three years.

Speaker 4 (44:05):
It's just they're ahead of the game right now. Then
they thought they thought that they weren't going.

Speaker 5 (44:09):
To hit what they just did for another year or so, right,
So it's moving quicker than they think. And then there's
always Google's public so they're showing that. But what other
private companies are working on this that you don't know
all the insights because they don't have to disclose them.

Speaker 1 (44:20):
Yet we all know too what happens is Google's, Amazon's apples.
They buy these companies before they get as big as
they are too.

Speaker 2 (44:29):
And that's the monopoly issue that they're concerned I know,
and that's what the Federal Trade Commission's concerned about.

Speaker 1 (44:35):
But if you think the people developing these companies have
become billionaires by the time the thirty five or forty
are complaining.

Speaker 2 (44:42):
No, no, no, no no. I mean, yeah, what's his name,
the guy Mark on the Shark Tank, All Mark Cuban.
I mean that's where he got his money, was selling
out his company. Yeah, yeah, I don't know. I don't
have answer for you. I don't know where it's going
to go. But I think that properly implemented and proper

(45:05):
properly controlled. But here's the thing. I don't want government
controlling it. I want the companies to exercise some discipline
in their use of these things, and I think for
the most part they will. I think that a system
where that by companies are liable for the injury that

(45:29):
they cause will put a break on them introducing things
too early.

Speaker 1 (45:35):
And what we don't want also is we don't want
to buy in company so they can't get better than
what they are right, Okay, that's what we don't want. Okay,
we're gonna give you this money. They can about it,
and then they just put it on the shelf that
we don't want. But if these companies say they said, well,
you can't buy these companies right, well, what happens is
then they just fund the companies. They never become public,

(45:56):
which means the only people making the money are the
people at the company, not all the share holder, and
then they buy them privately. No one can stop them
from doing that.

Speaker 2 (46:04):
Well, and you know a lot of the biotech firms
either get bought out or get their funding from the
major pharmaceutical companies, I mean Pfizer and merk and these companies,
and as they develop, they have the option of being
bought out or not being bought out. If they're independently traded.

Speaker 1 (46:19):
It's like a quant team.

Speaker 2 (46:21):
It absolutely is. But here's the deal. If your biotech
company is trading at twenty seven dollars a share and
Pizer comes along and says we're going to pay you
eighty five dollars a share, there'll be hell to pay
if you don't accept that.

Speaker 1 (46:33):
Off.

Speaker 3 (46:36):
They really are working on half of the hereolder, you
probably need to take.

Speaker 2 (46:40):
It right, and the shareholders are the ones who get
the vote on these things.

Speaker 3 (46:43):
I think you're right, AI and quantum computing. Probably the
biggest beneficiary is going to be medicine. I think that right.

Speaker 1 (46:50):
Right, We're gonna have to avoid the banded actors getting
the hands on this stuff, and it's going to be that.
But you know, but the good stuff of it, it's
gonna be way the bat.

Speaker 3 (47:00):
Oh, I think so. I think so. All right, we
only got a.

Speaker 1 (47:03):
Couple of seconds left before the bottom of the top
of the hour. Heath, It's been great to see you.
Great to have you around. I'm sure the people going
down memory lane that remember yea back in the early
two thousands and late nineties, and thanks a lot for
being here and helping us, and I look forward to
our relationship even getting better and better.

Speaker 5 (47:21):
We'll be right back. It's the Money Matter Show. Welcome
back to the second hour of The Money Matter Show.
I'm doing Greenberg. I'm here with Dave Sherwood, Sebastian Boards, Scene,
Todd Glick, Dian Greenberg, and we had a special guest
a little nostalgia Heath losing lost them, can't say your
last name.

Speaker 1 (47:37):
How do you say it?

Speaker 3 (47:37):
David Squire? He'th louting yeap.

Speaker 4 (47:41):
He worked here from ninety six to two thousand and six.

Speaker 3 (47:44):
Yep. Yeah, and was a key key player in my
when you first got settling in here. Yeah. Yeah, I
came here in two thousand and two, and and Heath
was very very important and getting my business transferred and
everything settled in wouldn't probably wouldn't be here without him.
I owe him a great thank you, and uh, it

(48:04):
was an important part of my life for in the
early years for sure.

Speaker 4 (48:08):
Yep.

Speaker 6 (48:09):
Interesting interesting week in the market. Before we get into that,
I'm going to give a disclaimer. The show sponsored by
the Greenbrik Financial Group and you can listen on seven
to ninety KNSD or iHeartRadio. The show discusses different different
investment products and strategies. Every product and strategy have some
type of an inherent risk, and we strongly encourage our
listeners to properly understand the risk to determine whether to buy, sell,
or hold. The show has been on air for over

(48:30):
thirty years at green Briok Financial Group is registered with
the SEC and a member of FINRA and CIPIK. Visit
our website at greenbriok Financial dot com for some more information.
If you ever want a question answered on air, you
could email us at contact at Greenberg Financial dot com
or give us a call five to two zero five
four four four nine zero nine.

Speaker 3 (48:46):
You know, you get really good at that.

Speaker 6 (48:47):
It's hard to memorize. It's better perfect, right, Yeah.

Speaker 5 (48:51):
And for those of you just tuning in, the Dow
is down one point eight percent for the week. The
S and P five hundred was down point six percent,
the Nasdaq was down or up point three percent, the
Rustle of two thousand was down to and a half percent,
and the RSP, which is the equal weighted SMP, was
down at one point six percent. So across the board,
everything was down except yeah, tech do a little little bit.

Speaker 7 (49:10):
And that's the really the big story of this week.
Ten straight days the equal weighted SMP has traded lower.
The dial I think is seven straight days. So now
we're seeing that the breath of the market is not
doing as well as just really the top seven I
think this week. Really what led to all of this
is well not maybe not lead, but it's leading the

(49:31):
way is testless stock run the kind of thing that
makes no sense to anyone was looking at fundamentals. And
also a lot of people who are looking at this
market as a whole, who are trying to look at fundamentals,
they're all kind of getting a little scared at this point,
saying why is only the top seven keep going higher
but the overall market is actually trending lower.

Speaker 3 (49:49):
Yeah, and you've made a very very good point. And
Joyce Bank points this out on Friday that there's been
ten consecutive days where the losers have outnumbered the gainers.
We haven't seen that since twenty twenty. Wow, so three
and a half years since we've we've seen ten consecutive
days we're losers out number.

Speaker 5 (50:06):
And this was the first time since twenty twenty that
that was down seven days straight.

Speaker 3 (50:11):
So, oh, that's interesting. That was down seven days in
a row. Yep, you on every day this last week.

Speaker 7 (50:16):
And also what's interesting is you had rates actually increased
this week. Bit should hurt tech stocks. I mean range
at all.

Speaker 3 (50:23):
Zero point four on the tenure, which is up about
twelve percent of the rates up about twelve percent from
what it was last week. That's pretty significant, and I
don't know what the FED is thinking still a high
probability that they can. There's certainty short term rates next week.
And I don't know anybody in the business or anybody
I talked to that has any brains that thinks this

(50:44):
is a good idea. And of course this week we
were watching for the CPI and the PPI. Both of
them showed inflation moving higher.

Speaker 4 (50:53):
Well, the CPI was in line with expectations, but higher
year over year.

Speaker 3 (50:56):
Yeah, yeah, I know, I was expectations. Who cares if
it's going higher, right right?

Speaker 5 (51:00):
They outpace it because the wholesale was just the PPI
outpaced the expectations er point four percent.

Speaker 7 (51:06):
Yeah, but core even is stickier than the headline number.

Speaker 3 (51:10):
Inflation is the highest since July, and now we're going
to cut rage by another quarter.

Speaker 7 (51:15):
The only thing that the Fed has continued to lay
their hat on is the labor market, saying that it's softening.
Most of the job growth, and the Heath pointed this out.
Most of the job growth is, you know, obviously the
government jobs, and if you take government jobs out, there's
not much job growth at all. So you start to
realize that potentially is that with the FEDS looking at
they have two mandates. The labor market and the inflation rate.

(51:37):
The inflation rate doesn't seem like they can't really care
about right now. They're really just putting all their focus
on the labor market and saying that's getting softening, so
that gives us the reason that we can continue cutting rates.
But as you said, most people think that this is
not a good idea.

Speaker 3 (51:50):
I was focused on inflation last night when I went
to get a Chipotle.

Speaker 6 (51:54):
How much was it?

Speaker 3 (51:55):
Seven ninety five is what I paid in twenty nineteen.
I remember because I get it once a week, right,
seven ninety five.

Speaker 7 (52:01):
Probably wrote it down.

Speaker 3 (52:01):
A week ago it was twelve twelve. Oh gosh, okay,
last night it was twelve twenty four. And then what
in the heck up ten cents since last week? She goes, Yeah,
we just just increased our prices. Take yourself to Cava
get a fifty four percent increase in the last five years.
That's ridiculous.

Speaker 5 (52:18):
Yeah, I mean that's the same with I go to
Starbucks pretty frequently and I get the same nitil colbrew
the Grande, and four years ago it is like four
to twenty.

Speaker 4 (52:26):
Now it's six twenty.

Speaker 7 (52:28):
Seabst spent twenty two bucks on two tacos last night.

Speaker 6 (52:31):
It was insane. I've never done something like that in
my life. That was up at North almost threw out
that was up at North Blanco of in North, I've
never you know, I'll go, you spent twenty I can't.
I can't found them spending four dollars on the taco,
never mind.

Speaker 3 (52:43):
Eleven dollars for taco.

Speaker 7 (52:44):
For taco, this the body wash we get right, you
get rice and beans too.

Speaker 3 (52:50):
Okay, we get rice and beach. You get double order
rice and beans.

Speaker 6 (52:53):
If you get two tacos or places are conditioned, well,
there's that.

Speaker 5 (52:56):
You know Amazon Prime because it had the Thursday night
football game on.

Speaker 3 (53:00):
So that's something that's for two tacos and beans and
rice only.

Speaker 7 (53:06):
That's how That's how you make it in the restaurant business.

Speaker 3 (53:08):
You gotta have the right and so what the big
headline this past week was. I started looking at the
different things that happened during the weekend. It was kind
of quiet, really. I think the big headline last week
was probably the college football playoffs announcement.

Speaker 4 (53:20):
Right that one of them.

Speaker 3 (53:21):
They gave all the grids and who was playing who
and as us gets to buy the first week and
I know we're a wildcat country here and we're supposed
to hate the devils, but it's kind of nice seeing
Arizona team in the.

Speaker 7 (53:31):
First and only Arizona team that never make the Coast
of the playoffs.

Speaker 5 (53:33):
So yeah, well they only uh graphic that they came
out with, like the Contenders and all this. They put
you of A's logo instead of a SU.

Speaker 3 (53:42):
Oh no really, yeah, Oh my goodness. That's got to
kill you, right, you're a SU.

Speaker 7 (53:47):
Was sixteenth in the preseason pull in the Big twelve, sixteen.

Speaker 3 (53:51):
Out of sixteen, and it absolutely it's like TCU two
years ago came out of nowhere and just and they
really look like world beaters. Now they're going to probably plays.
I think Texas will be Clemson. I don't know that
they can be Texas, but if they can, it might
be a second national championship trophy, the only one, the
only national championship trophy in a major sport in Arizona

(54:12):
at the University of Arizona. Sostall one on yeah versus issues.

Speaker 6 (54:18):
Always talking this crap. It's like a SU's in there.
I feel good about it. I'm happy for the guy.

Speaker 3 (54:22):
No, absolutely, and I remember when the UA was planning
for for the national Championship, they had a commercial where
Bill Frieder was it. Bill Frieder was the coach of
a issue at the time, and they had a picture
of him watching going go wild. No, I mean with
Arizona team, let's go. I mean, I it's probably going
to be intolerable around my SU people, I know, but

(54:46):
you know, for him, market record highs everywhere, Todd you mentioned,
I don't know how it goes.

Speaker 7 (54:54):
Tessel again leads the way of just concern because why
would a market be giving this much premium to a
stock that doesn't deserve it.

Speaker 3 (55:03):
It's just And the Tesla thing is kind of crazy
because that they're what they're doing is they're saying, what's
what kind of wonderful things is Trump going to do
to repay Elon for his Yeah.

Speaker 4 (55:14):
And now it's turned into like kind of fear of
missing out too.

Speaker 3 (55:16):
I feel I think so too.

Speaker 5 (55:17):
I mean, it's gone up eighty nine since Trump got
elected for no reason other than what you just said.

Speaker 3 (55:23):
No Friday, on Friday, first first bullet was shot. On Friday,
Trump's team recommended ending a rule for reporting car crashes.
Tesla has the most crashes reported under that rule. So
let's just end this. So that's you know, so there
he's doing number one. And I mean, there's an awfully

(55:44):
lot of things Trump can do. He's gonna have to
do a lot. The the pe ratio.

Speaker 7 (55:48):
On this thing is insane.

Speaker 1 (55:50):
What's that?

Speaker 6 (55:50):
What's that right now?

Speaker 7 (55:51):
I think it's like, I mean.

Speaker 6 (55:53):
Yeah, and no structural, no fundamental change within the business model, Liss.

Speaker 4 (55:57):
It went up six dollars six weeks.

Speaker 7 (55:59):
Yeah, then it went up six dollars in like the
last three minutes of trading. When something happens like that,
that's just purely options manipulation. Like when you have a
stock that's going up, it's kind of like the same
thing going down. It can be exacerbated very quickly, and
then you have these huge run ups or huge downturns
and kind of can be over overdone very quickly.

Speaker 3 (56:18):
Absolutely, a little housekeeping thing from last My Thanksgiving and
comment generated several calls and corrections. Jyan, you and I
were both on that. We weren't necessarily agreeing, and we
were both turns out we're both wrong. I said Lincoln
was responsible for Thanksgiving. Turns out it was George Washington
who first proclaimed the last Thursday of November as Thanksgiving

(56:40):
Day as a day of Thanksgiving in prayer. George Washington.
Lincoln was responsible for making it a national holiday. Oh yeah,
I say, when we give information, if we get it wrong,
give us a call. You'd like to get it right,
like to do the right thing.

Speaker 5 (56:54):
And then Congress was responsible for making it the fourth
Thursday every month or every November.

Speaker 3 (56:59):
Georgie did that. Actually, George Washington proclaimed the last Thursday
of November as the day of Thanksgiving and prayer. That's
a I was. That was point that was pointed out
to me by a listener, and I google it. Sure enough,
that's what it said.

Speaker 6 (57:12):
Thanksgivings over.

Speaker 3 (57:14):
Yeah, it doesn't mean it doesn't matter.

Speaker 4 (57:15):
So I'll give us some Christmas fun facts.

Speaker 3 (57:18):
You got a Christmas fund?

Speaker 4 (57:19):
No, I don't say that's up to you. It's Christmas
time now, thanks.

Speaker 3 (57:22):
So it's not christ you know, it's a really Christmas time.
I mean it's a it's December fourteenth or.

Speaker 2 (57:27):
Whatever is.

Speaker 6 (57:30):
Lessen two weeks out. It's Christmas time.

Speaker 2 (57:32):
You know.

Speaker 3 (57:32):
What's the biggest thing about this time of the year
for me is December twenty. First, the sun starts moving north.

Speaker 6 (57:38):
Ask your grand I mean, Dave, No North, get Dave.
Ask your grandkids if it's Christmas time, I guarantee.

Speaker 3 (57:45):
I don't know. No, we're a wee week out from
the sun's starting to move back north, and you know
how I hate the cold, so I'm looking forward to
some of them back. We you know. Interesting, here's the
real problem in this world. The US budget deficit. We
got this report last week, twelve to three hundred and
sixty six point eight billion, seventeen percent higher than November

(58:10):
of last year. Seventeen percent. The budget deficit is seventeen
percent higher than it was last year, taking the total
for the first two months of the fiscal year fiscal
year starts in October right to more than sixty percent,
four percent higher than last year. The first two months
sixty four percent bigger deficit than last year. And that

(58:32):
increase came despite receipts. The total twenty seven billion dollars
more than November.

Speaker 6 (58:39):
Last Did you say that because of rates?

Speaker 3 (58:41):
Are you kidding? It's gotta be right, Oh, it's got
to be. That's a big part of it. Interesting, And
I'm spending like drunken sailors.

Speaker 7 (58:48):
Right there, wasn't There wasn't any cuts in the latest
budget proposal right.

Speaker 3 (58:51):
Reading brought the national death to thirty six point one
trillion at the end of November thirty six point one trillion.
And so here's the question. Nobody in politics is talking
about this, right because if you're going to lower the
budget deficit, you've either got to do away with entitlement
programs or you've got to raise taxes or both correct, yeah,

(59:15):
or neither of those is going to be proposed by
any politician or they're out of office. So how do
you how do you deal with this thing?

Speaker 7 (59:24):
You just keep inflating it away, I guess eventually, I mean,
but the that's what they've been doing, right, But we're.

Speaker 3 (59:31):
Looking at the important part is debt to GDP. That's
that's the key figure, debt to GDP. The debt to
GDP right now is one hundred and twenty three percent.
The debt is one hundred and twenty three percent greater
than GDP. That's that's the figure you want to look at.
Debt to GDP now. In all fairness, it was one

(59:51):
hundred and thirty percent back in back in twenty twenty
when the economy shut down obviously, but one hundred, one
hundred and twenty three percent, okay, So at what level
does debt become insurmountable?

Speaker 2 (01:00:07):
You know?

Speaker 3 (01:00:08):
And that's what you have to ask yourself when we're
moving in that direction. We're not there yet obviously, but
that's the direction we're going.

Speaker 7 (01:00:16):
The crazy part about it, though, is because all countries
are also doing the same thing. It's i mean, the
water's rising for everyone. So where are you going to
go in comparison in Argentina, I guess, I mean they're
the only ones not doing.

Speaker 3 (01:00:30):
Yeah, right now, that's kind of what can happen when
all things just you know, crazy.

Speaker 7 (01:00:34):
I mean people eventually they might leave the country if
it's if it's so bad, and then obviously that's even
less tax revenue, and then the problem gets even worse,
and then eventually the country would fail at that point, I.

Speaker 3 (01:00:46):
Guess, I just am continually shocked that no one in
power ever talks about it at all.

Speaker 7 (01:00:53):
Well, I mean, I think at the end of the day,
when they have a money system that they can just
easily print and make widely event elable, socialistic policies can
be brought up because you can just inflate the bad
policy results away. You know, if all of a sudden,
these people doesn't actually do anything productive and you gave
them a whole bunch of money, well just print more
money and then you fix the problem. And that just

(01:01:13):
seems like what they do. You know, they just keep
kicking the count on the oat because it means that
they always retain the power.

Speaker 3 (01:01:19):
Another we had interest rates, like you say, moved up
next week on the calendar. We've got retail sales on Tuesday.
The fat of course on Wednesday, probably cut and rate
another quarter. All we can't figure that out. Thursday, the PCEE,
which is the Fed's favorite gauge of inflation, busy week. Yeah,
China was up one percent last week, which is a

(01:01:39):
second week up after three weeks to decline, up about
four bucks.

Speaker 2 (01:01:43):
Yeah.

Speaker 7 (01:01:44):
I think that's why you might have seen China up
one percent.

Speaker 2 (01:01:47):
Yea.

Speaker 7 (01:01:48):
I mean, if China's up one percent, there's obviously some
activity going on there that means oil should see a
little bit of a bump.

Speaker 3 (01:01:53):
Yeah. And I think you've got two things working on oil. One,
the feeling that Trump is going to create more supply.
We can put pressure on the price. But then too,
you've got China in the in the dol drums. Yeah,
if China were to come alive, that oil price could
be pushed up.

Speaker 6 (01:02:09):
Well, China, on Thursday they pledged more stimulus measures, so
I'm thinking that that's probably yeah.

Speaker 7 (01:02:14):
Yeah, at first the market was unimpressed by the stimulus.
Well yea that they want more and more. I didn't
see a figure that we are in fact producing more
barrels of oil than we ever have in the history.
Currently now it's still that way, and it's largely only
due to fracking. Once we were able to create fracking,
that's it opened the door to a lot of our field.
So I think actually as a country, we produce more

(01:02:35):
than any other country, like we dwarf Saudi Arabia now
and so we're not as dependent on other countries for.

Speaker 6 (01:02:41):
Oil and that's a good thing. We dwarf Saudi Arabia.

Speaker 7 (01:02:44):
Ye, we actually produce a lot more, a lot more,
And I was I was surprised by that, but yeah,
I mean it's it's all because of fracking and we
have more capacity to do more, you know, which is
obviously even more of a reason that oil could go lower.
But you know, I wonder how long those projects actually
take to come alive. Like we talked about how nuclear
takes a long time. Oil doesn't take that long, maybe

(01:03:05):
one or two years, but there's definitely a lag effect
to when that supply actually does get brought to the market.

Speaker 6 (01:03:09):
Yeah, I'm looking as of twenty twenty three, but twenty
two million barrels per days the United States and Saudi
Arabia is about eleven point one three.

Speaker 3 (01:03:16):
Barrels double gobble Saudi Arabia. Isn't that amazing? No one would.
You wouldn't have guessed everyone would lose that bad.

Speaker 6 (01:03:21):
Yeah, and then I guess the third.

Speaker 3 (01:03:24):
Who's a third large is producer?

Speaker 1 (01:03:26):
Yeah?

Speaker 3 (01:03:26):
Behind h Russian Canada, Russia, Russia, Yeah yeah, Russia. Yeah,
that's good.

Speaker 7 (01:03:30):
Canada has been doing absolutely terrible. I mean, why you
brought it up. I mean, their currency has just absolutely
gone wrecked against the US dollar because of their socialistic policies.
And then he is just ruining that country, and those
policies are the reason for it.

Speaker 3 (01:03:46):
We have a client with a relatively substantial real estate
holding in Canada, and if you're a non resident of
Canada and you go to sell your property, the capital
gains taxes sixty five percent.

Speaker 7 (01:03:59):
And I think we saw you know, when you're talking
about death to GDP, it matters way more for a
country like Canada. Yes, who doesn't have the world deserve
currency compared to ours, right, because we have a lot
more like people actually will still invest in treasuries no
matter what did.

Speaker 6 (01:04:12):
The client previously live in Canada or he just invested in.

Speaker 3 (01:04:15):
What happened is his This is an eighty five year
old guy and his parents bought this property when he
was a little child.

Speaker 1 (01:04:22):
I see.

Speaker 3 (01:04:23):
So it's just a family place and they go there
every summer and you can imagine it's appreciated off the charts,
and any gain of sixty goes to the government. Is
that insane or what?

Speaker 1 (01:04:34):
Yeah?

Speaker 3 (01:04:34):
Is that insane? Bitcoin had another wild week, Todd. You
know a couple of catalysts. A big upside catalyst for
bitcoin was going to be Microsoft adding it to their
balance sheet, and they voted no. They voted no, they
will not add that to the balance sheet. However, Trump
repeated his support for the currency, and it responded by

(01:04:55):
dropping a couple of percent after he said that, you know,
it reminds me of a coiled rattlesnake, and I do
a lot of hiking, so I see a few coiled
rattlesnakes in my life. And I don't know if this
thing is going to strike or if someone's going to
hit it over the head of the shovel. I really
just I'm not sure which one or the other. It's
either going to have his head chopped off with a
shovel or it's going to strike.

Speaker 2 (01:05:16):
You know.

Speaker 7 (01:05:16):
I found interesting is black Rock, the largest asset manager
in the world, said that they believe that if you
want to start a position, they think it's reasonable start
with like a two percent position.

Speaker 3 (01:05:27):
Reasonable to start a position now at this.

Speaker 7 (01:05:29):
Level, yeah, two percent of your portfolio, and so you know,
it's I thought that was interesting because you think about
it if a company was to put two percent, and
you know, obviously Microsoft struck it down, but there's going
to be companies that do this, and if there's the
Bitcoin bill, that's the major catalyst that bitcoiners are really
thinking about. The Bitcoin Bill was brought up by a
senator from Wyoming, Cynthia Loomis I believe her name is,

(01:05:51):
and it'd be a strategic reserve a bitcoin for the
United States and meaning that they would buy some bitcoin
and hold it as a strategic reserve, the same thing
that we for oil. You do the same thing with
bitcoin as a commodity.

Speaker 3 (01:06:03):
And again, if you're listening and you have no interest
in bitcoin, I get it, but there are a tremendous
number of people that do. Now all of a sudden,
we're getting a lot of calls. We know there's a
lot of interest because it's doubled. It's doubled over the
last what todd three months or thereabout, So there is
a lot of interesting and we want to talk about it.
We want to try to give you some facts about it.

(01:06:24):
Be careful. Todd's ad two percent, I think that's probably
a reasonable level to have a bitcoin if you want
to have some fun, will become a strategic cruiserve. I
don't know, it's it's one of those things that it.

Speaker 7 (01:06:37):
Can easily drop fifty percent, and if two percent becomes
one percent, that's not going to hurt your portfolio too bad.
Whereas if you may get ten percent your PORFOLI and
it drops sixty percent, well that you lose five percent.
That's going to feel differently. So start off small and
then yeah.

Speaker 3 (01:06:50):
Do you think Dylan bike our whole bitcoin.

Speaker 5 (01:06:52):
Yeah, no, I think bitcoin could be part of your portfolio.
What I was going to say is a lot of
older clients that now interested in it. Yeah, all of
a sudden, a lot more people over sixty, over seventy,
over eighty.

Speaker 4 (01:07:03):
Yeah, they're just starting to get interested in it.

Speaker 5 (01:07:05):
Was then they I mean, they don't know anything about it,
so they come to us and ask us and stuff.
They like, there's somewhere like, yeah, just start buying it
for me, just I want to buy a lot and
you gotta write them back a little bit.

Speaker 2 (01:07:16):
Yeah.

Speaker 4 (01:07:16):
I think it's like Todd's Savans Vautle.

Speaker 3 (01:07:17):
I guess anything that doubles in ninety days is going
to attract some interest, right, Yeah, I gotta get on that.
Fo fomo if you're missing out right, so you have
to be careful. Yeah, what uh the the uh well.

Speaker 7 (01:07:30):
Wait, we talk about the opposite of digital gold is
regular gold. Gold was down fifteen bucks on the week,
had a vault a week actually also week it was
very it was should should have been up, yeah, it
should have been up, but all of a sudden really
sold off in the last couple of days of the week,
and uh, finished lower on the week, but so you know,
twenty six forty seven up quite a bit. It's up

(01:07:50):
just as much as the S and P you're to date.

Speaker 3 (01:07:53):
So yeah, I was surprised at that the shell off
on Thursday and Friday. I think Thursday was down about
fifty bucks. I was down another what twenty five thirty bucks.
I don't know where it's going to go, and I
don't know why it's going there. And Video, the world's
most valuable company, probably one of the most popular stocks
in the world, lower on Monday after Chining a regulatory

(01:08:16):
body launched an investigation into the chip maker, which is yeah,
it's kind of The State Administration for Market Regulation was
looking at potential anti monopoly law violations, according to the
Chinese government. Now the China accounts for thirteen percent of
Video's business, okay, but it is that forty five times

(01:08:36):
earning just twelve percent off of this high by seller.

Speaker 6 (01:08:40):
Hold yeah, hold for now, I'm sitting on my hands
on that one.

Speaker 5 (01:08:45):
Yeah, it could see a pullback, like even more so,
I think i'd I mean, it was seventy one dollars
in April.

Speaker 3 (01:08:52):
Promise, you know, with ten days left in the year.
Or fifteen days left in the year. You don't want
to sell it now pay tax on it? Right if
I can, If I can just hold out for another
two weeks, well.

Speaker 4 (01:09:01):
It's really you hold it. I mean because it did
this in August too.

Speaker 5 (01:09:04):
You hold it was out roughly one twenty five point
thirty and then it dropped all way under a hundred again.
So you hold it and just if you want to
buy more, you buy more at that point. But it's
not one to jump in right now just because of
a twelve percent pullback.

Speaker 3 (01:09:15):
I'm just wondering to come January second, what's going to
happen with bitcoin. There's a lot of people that have
made fifty percent on their money over the last ninety days,
and on January second, you can pay tax in twenty
twenty six. I don't know. I think January second, third,
it could be ugly for bitcoin. I may be wrong,
totally wrong. I've been wrong before.

Speaker 6 (01:09:33):
But what about when people start all the retail starts
to getting their tax returns and they just pound that.

Speaker 7 (01:09:39):
So actually, Apple three point seventy five trillion now more
more valuable than the video.

Speaker 3 (01:09:44):
Yes, the Apple finally passed the pass them again.

Speaker 7 (01:09:46):
Apple had a new all time high.

Speaker 3 (01:09:48):
I mean, the funny what's happened with Apple? I mean
just quietly, nobody's talking about Apple. It's just kind of hanging.

Speaker 7 (01:09:53):
Out forty times pe on a trailing basis, so.

Speaker 3 (01:09:56):
You can one higher and higher and higher.

Speaker 7 (01:09:58):
Almost two fifty now four billion market gap. It would
be the obviously first company ever hit four billion.

Speaker 5 (01:10:04):
Did it hit a trillion? It was ago, right, it
wasn't even that long ago. I don't even think it
was five years ago.

Speaker 3 (01:10:11):
No, it wasn't that long ago.

Speaker 5 (01:10:13):
Crazy how much that's exploded now. How many companies are
over a trillion.

Speaker 4 (01:10:16):
In market cap too?

Speaker 5 (01:10:17):
And I think it was such a big deal when
Apple did it, and then I think it was Amazon's
the next one of Microsoft, one of those two. And
then now you got a handful and a part of
the dot com hit it over today or on Friday.

Speaker 7 (01:10:28):
Yeah, but a part of that is just the passive
ETF flows because ets become so popular, and also mutual
funds in in big four to one k's. I mean,
we're coming up on January February where the most amount
of retirement contributions are going to be seen. All those
inflows go into these funds, and these funds generally go
to market cap weighted into ces or ets, it's not

(01:10:49):
equ weighted into cease. So then all this money it
gets flowed into these big companies which just inflate their
pe even more. And so it's gonna a lot of
pressure is gonna be put on these tops seven next
year and Ernie's reports to really show that they deserve
their current valuations.

Speaker 3 (01:11:04):
And January is the month that sees the largest inflow
of money into retirement accounts because no matter how much
money you make, you're gonna be funding your four one
k in January.

Speaker 7 (01:11:12):
You can at least max I do the whole.

Speaker 3 (01:11:13):
Year in one month if you're making a lot of money,
but you are going to make a contribution to your
four one K in January. And so is seldom do
we see January down now do you know? Tell you
that just because the mutual fund companies are getting the
money doesn't mean they have to put it to work.
And so there is that, but generally speaking, you would
expect January to be a positive month for the market.

Speaker 7 (01:11:35):
Or passive ETFs. They definitely put it to work.

Speaker 3 (01:11:37):
Right, we're coming up on a break, we'll be back
with more than Money Matter Show right after this break.
Thanks again for joining us on this beautiful Sunday morning.

Speaker 6 (01:11:46):
Welcome back to the Money Matter Show. My name is
Sebastian Boards. Sing him here with David Sherwood, Dylan Greenberg,
Dean Greenberg, Todd Glick. He took off a little bit early.

Speaker 3 (01:11:55):
Yeah, we have people coming and going.

Speaker 5 (01:11:56):
Man, got a lot of people. This is a full
house today. We've got people from thirty years ago. Yeah,
doing this.

Speaker 3 (01:12:01):
Yeah, he thought all year from Corpus. Christy's here, and
Dean's here, and and Todd just left cause he's running
the Tucson Marathon on Sunday, and so it was stilling
yours run the Tuston Marathon on Sunday, But you're still here.

Speaker 5 (01:12:12):
So it's about nine thirty right now on Sunday when
this is aerin. I'm probably you're probably hopefully hopefully pushing
ten mile ten. Todd's probably about done. Yeah, I'm hopefully
pushing about halfway.

Speaker 3 (01:12:26):
Yeah, Todd's right, real serious.

Speaker 4 (01:12:28):
I tried to get done.

Speaker 5 (01:12:29):
I saw my Now my newest goal is I saw
the lines are playing the bills at two twenty five,
and I want to be done.

Speaker 4 (01:12:36):
With it by then, so I can go watch the game.
Did you start seven thirty?

Speaker 3 (01:12:39):
Oh, that's it? Y, Okay, that's a good goal. I
like that. I did the only time I ever did
my My whole plan was I'd run a mile and
then walk a mile. Run a mile, walk a mile,
And by the time I got to sixteen seventeen miles,
I was just dying, just walking. I don't know how
I did the Grand Canyon.

Speaker 1 (01:12:53):
I did.

Speaker 3 (01:12:53):
The Grand Canyon was twenty five miles run the Rim.
I did that.

Speaker 5 (01:12:56):
It's a little different mindset, I think, because you're hey,
I think, and it's I mean, the hardest part for
the Grand Canyon probably is the last five miles.

Speaker 3 (01:13:04):
Because yeah, you got to climb out after you've it's
usually twenty miles.

Speaker 4 (01:13:07):
Yeah, which usually on the end of the hike you're
going downhill.

Speaker 3 (01:13:10):
Yeah's horrible. You have to five miles south twenty miles,
so it's kind of hard.

Speaker 4 (01:13:14):
Is your next goal to do? Then there in the Rim.

Speaker 3 (01:13:17):
I you know, there are people that do that, go
rim to rim to Rim, and I finished the Rim
to Rim and I'm sitting at the South the South
Visitor Center. Yeah, yeah, looking out at the canyon, which
is very beautiful, and it's getting dark and you can
see little light lamps of people down there that they're
doing the rim to rim to rim. Right, it's like
a little fireflies. And I thought, that's got to be

(01:13:39):
the stupidest thing.

Speaker 5 (01:13:40):
My girlfriend's family loves doing then the rim. They do
it every year Veterans weekend. So but she has family
members that do then in the rim. They start well,
last time they did it, they started at eight pm
the night before to meet them at the rim in
the morning to go do it again.

Speaker 6 (01:13:54):
Oh my gosh.

Speaker 4 (01:13:55):
Yeah, it was crazy. It's really hard and fifty miles.

Speaker 3 (01:14:00):
The biggest problem in ic see is you're doing half
of the hike in the complete darkness? Is the point?

Speaker 5 (01:14:05):
Well, I mean the craziest thing. So you got that.
But then her uncle is the one that him and
his buddy did the whole Grand Canyon seven hundred and
fifty mile hike.

Speaker 4 (01:14:15):
It took him a year. Yeah, he has a book
on it. It's amazing.

Speaker 5 (01:14:18):
They have Into the Canyons a documentary on streaming services.
Oh god, yeah, it's crazy, seven hundred and fifty miles
with the hike, but can't imagine ude I'm trying to do.

Speaker 4 (01:14:28):
Twenty six right now.

Speaker 6 (01:14:29):
You just take a year off of that.

Speaker 5 (01:14:30):
Yeah, I mean he was doing it through like national
geographic and stuff, so like they sponsored to do every season.
But getting back to the markets, I mean, coming into
the end of a good year, a great year, but
it's still probably got some people on edge in a
sense because how much higher can it go? We've been
saying this for four months. We kind of saw it
back in August with the crash on the first week August,
but then we learned it wasn't really anything to do

(01:14:52):
with our economy, so it recouped that in a week.

Speaker 4 (01:14:56):
But it's like, all right, so how much longer can
it do?

Speaker 5 (01:14:58):
And what we saw with the RSP theleagual way to
SMP five hundred being down over a percent and a
half last week and being down ten days in a row,
but the s and P five hundred being up a
half a percent for the week and then or up up,
and then the Nazak sorry Nazak was up almost a
half a percent for the week, which is tech. You're
showing that there's just a like a small.

Speaker 6 (01:15:16):
Group of really narrow rally right now, A.

Speaker 5 (01:15:18):
Small group of tech companies again like it was last year,
So how long can this last?

Speaker 4 (01:15:23):
Again?

Speaker 5 (01:15:24):
Still that question of how long will this last? And
if any of this makes you nervous, you're coming to
the end of the year, we're getting ready for the
next year, you're getting ready for retirement.

Speaker 4 (01:15:32):
What we talk about on.

Speaker 5 (01:15:33):
The show all the time is financial planning, and it
helps calm the nerves because then you're thinking about the future.
You're not just going by the wayside, going with the wind,
kind of just winging it. You actually put yourself into
a plan and you get yourself going to have those
thoughts about what happens. If I'm thinking of retiring at
the end of next year, the end of this year,
the beginning of this year, retiring in June, I'm retiring

(01:15:53):
in three years, any of those thoughts you want to
get going on it.

Speaker 4 (01:15:56):
So then if we.

Speaker 5 (01:15:57):
Do see a crash, which is inevitable, not necessarily a
fifty percent crash like two thousand and eight, but we're
gonna see a pullback at some point. It's healthy in
the markets, but if you don't know what's going on
in your future with your financial life, it'll make it nervous.
If we see a ten percent pullback we're talking about
the other day. If you see it, like the Dow
is a not our favorite indicator because it's only thirty

(01:16:17):
stocks picked by a committee, but it's most popular one
because it's the biggest number and everything like that. So
if you're watching CNBC, they always talk about the Dow
that dropped ten percent.

Speaker 4 (01:16:28):
It's forty five hundred points.

Speaker 5 (01:16:30):
Yeah, which in percentage wise, not a huge deal because
it can come back in ten percent like nothing. But
if you're seeing, oh, the Dow drop forty five hundred
points in eight days, that's gonna scary. You're just gonna
hear forty five hundred points Because a lot of people
who are getting ready for retirement probably remember two thousand
and eight, probably remember the dot com bubble where Dow

(01:16:50):
drops forty five hundred points, Then it's a big difference.

Speaker 6 (01:16:53):
I think one of the biggest things about the financial
plan that really gives people the peace of mind is
the vis visualization aspect of the tool. Right, if you're
coming in, you know, you think you're on the brink
of retirements. You think that maybe you're able to retire,
maybe not. I'm not sure if my money's going to last.
We are able to put that on a on a
diagram for you and really show you visualize yes you
can or no you can't. Maybe you should work a

(01:17:13):
couple more years right and give you that peace of
mind because you know, like is, if you were walking
through a home, you know you need to be able
to visualize each room. You need to visualize it with
a couch in there. You need being able to visual
People don't think in the abstract manners what I'm trying
to get at right.

Speaker 5 (01:17:28):
More often than not, at the end of the plan,
when they create it, it's going to work out better
than they thought. And that's usually what happens because they've
put the work in and they put the discipline into
save for retirement. It's just that nervousness of switching from
the accumulation phase to the distribution phase.

Speaker 4 (01:17:45):
And the distribution phase is when you.

Speaker 5 (01:17:46):
Have no more income from your job and you're relying
on what you saved up for your whole career and
is that going to be enough? Are you going to
outlive it? What if social Security gets cut in half?
What if inflation goes back high and it stays at
four percent for the rest of my life. Those are
all scenarios we can look at in the financial plan
in real time and show you the impact that could
possibly happen to your plan. Could have a huge impact,

(01:18:07):
it could have not a big impact at all because
you're just set. So if any of these things have
been bothering, you've been bugging you, if just this is
just something's unsettling, you give us a call and we'd
be happy to sit down and create that plan.

Speaker 4 (01:18:18):
It's free. We just want to help.

Speaker 5 (01:18:20):
We want to get people to be more comfortable in
the markets, because we know if you haven't really dealt
with the markets, wanted to look at the markets, it's scary.

Speaker 4 (01:18:26):
It makes it nervous.

Speaker 5 (01:18:28):
We try and sit here and help you learn about
what your situation is and what your future is so
you're not nervous.

Speaker 6 (01:18:34):
If you don't think that you need a holistic financial
plan right now, you just want to see where your
portfolio is at. We have a pretty cool risk analyzing
tool that you could. You send us a copy of
your statements. I'll just type it into the software and
put each of the holdings and they'll send it back
to you. You don't even have to come into the office.

Speaker 3 (01:18:48):
I think over the last couple of months you guys
have been doing too. It seems like two or three
of these financial plans every single day.

Speaker 1 (01:18:54):
That's sure.

Speaker 3 (01:18:54):
It's been amazing, and I've noticed over the last couple
of days it's slowed down and coming into Chris here,
if you have not done the financial plan, this might
be a good time because I think there's probably some
appointments available that would not have been under normal circumstances.

Speaker 2 (01:19:09):
Yeah.

Speaker 5 (01:19:10):
Yeah, we're open. The only days we're really closed the
half day on Christmas. Even Christmas Day, New Year's Day
you're closed, but that's inside the New year. Other than
Christmas Eve is an early closing it is, yeah, because
it's a Tuesday, and.

Speaker 3 (01:19:21):
New Year's Day is not or New Year's Eve is
not an early closed. It is not, never has been
because they want to get people right up to the
close of business on the last trading day of the year,
which is fair, Which is fair. Yeah, that makes a
lot of sense.

Speaker 6 (01:19:35):
I got one go ahead. We always talk about technologies
that we've been using here in the office. We've talked
about doc you sign a little bit Adobe. Adobe took
a huge hit this week. They dropped about fifteen percent,
just because they haven't really been able to monetize the
artificial intelligence aspect of their business model. We use Adobe
every single day right now. Why because we have been
updating these PDFs to go through the BD to the

(01:19:57):
RAA change. I think that again, I think most businesses
probably use Adobe Adobe Scan in some form or fashion.
I think that maybe the fifteen percent drop could be
a little overdone.

Speaker 5 (01:20:08):
But what Dave and I were talking about on Friday
was you see a big drop like that in one day.
It's not necessarily by an opportunity right now, don't catch
the knife, let it settle. It can easily see a
drop again and then it settles out.

Speaker 2 (01:20:18):
I just want to make a public service announcement.

Speaker 4 (01:20:21):
Heath is back. What's back?

Speaker 2 (01:20:24):
Don't forget to take your RMD. If you need to
get your RMD, make sure you call whoever helps you
with that and get it done before you're end.

Speaker 5 (01:20:34):
That is a required minimum distribution that you have to
take if you're turning seventy three, If you're already taken
and you have to take it by the end of
the year, and.

Speaker 6 (01:20:41):
We're about what ninety seven percent.

Speaker 3 (01:20:44):
Financial financial group, you don't need to think about it.
We will not let the year go by without you
being called and trying to figure out what we have.
We will have contact.

Speaker 4 (01:20:54):
If you don't take it by the end of the year,
you are penalized.

Speaker 3 (01:20:57):
I think there's we can You think we've got four
or five procrastinators left, and I think that's about it
about it, And they've all been talked to. They all
know they have to do some by the end of
the year. But yeah, that's that's a very good information
from he. Hey, did you see we've got our first
uh uh is a disagreement, our first disagreement in the
new Trump administration. We know that Kennedy thinks healthy eating

(01:21:20):
should replace the g l P one drugs. Right. We
know that he thinks you just put down the fork,
and now we understand that that is not always a
possibility for certain people. I always thought that too, but
talking to nutrition or something, not everybody can put down
the fork. And not because they can't put down the fork,
but it doesn't matter.

Speaker 2 (01:21:39):
They're there.

Speaker 3 (01:21:41):
The body is such that it can't be the GLP one. Kennedy,
Robert Kennedy Junior, right, thinks that healthy eating should replace
GLP one, but last week, Elon Musk says that one
of the most important things that new administration can do
is to make GLP one drugs available at low prices.

Speaker 6 (01:22:02):
Lower cost. And I think that, you know, I don't
think that Elon was talking about it in the societal
aspect of okay, like put the fork down, it's good
for society, get out and go exercise. I don't think
he was talking about it like that. I think he
was saying that it is a great It is one
of the best things that has been made to lengthen
the life span of humans, the human race, which I
think is a great point. You know, if you're three

(01:22:25):
hundred fifty pounds, you lose fifty you're probably gonna lose
or you're probably gonna gain a couple of years of
life off of that.

Speaker 3 (01:22:30):
What didn't you say, Well, yeah, and you keep in
mind we all have roughly the same size hard and
if you're six ' eight, your heart's gonna work a
lot harder than me at five eight. And if you're
three hundred and fifty pounds, your heart's gonna work a
lot harder than me at one hundred and fifty pounds.
So yeah, the smaller you are It's like dogs, right,

(01:22:51):
Why did chihuahuas outlive Great Danes? Because they both have
roughly the same size heart, and it's and it's pumping
a lot harder in the great day than it is
in the shihuahua.

Speaker 2 (01:23:03):
You know.

Speaker 3 (01:23:03):
But that's kind of interesting that Kennedy has been pretty
pretty open about opposing the g l P one drugs,
and Elon's out there saying, man, we got to get
these cheap and get them to everybody.

Speaker 6 (01:23:13):
And I'm pretty sure, I'm pretty sure that some of
the GLP one drugs rallied off of that, which is funny.
Elon Cound just.

Speaker 3 (01:23:19):
Clearly has really been drifting south though. I think they're
really scared of competition from the uh, the compound pharmacies,
and and I think they're really bothered by Kennedy and
and scared investors as I'm talking about of what he
might do to these companies. I mean that that stock
is five times the price of any other pharmaceutical because

(01:23:43):
of this GLP one. Yeah, yeah, it's expensive.

Speaker 6 (01:23:47):
They noble, it's an expensive stock.

Speaker 3 (01:23:49):
Yeah, Lily's a very expensive stock. Costco is very expensive stock.
They reported great earnings, great sales stock dipped a little bit,
which it typically does on earnings on Friday, but Costco
just keeps knocking the over off the ball. We've got
one more segment. We'll be back right after this break
with more of the Money Metter Show. Welcome back to

(01:24:14):
the Money Matter Show. This is the last segment. We
appreciate you taking time to join us. I've got had
an experience last week that I took my wife's gas
powered suv in for service.

Speaker 6 (01:24:26):
Let's stop bragging.

Speaker 3 (01:24:27):
No, no, no, not bragging.

Speaker 4 (01:24:28):
This is fact.

Speaker 3 (01:24:29):
This is a public service announcement. Okay, they're you know,
when you take your car in for service, your gas
powered ice, your internal combustion and caring for service, you
know they're going to have it for most of the day,
if not a couple of days. You know you're gonna
have to get an uber, or maybe you get a
loaner car, or maybe you get a friend to come

(01:24:50):
pick you up. My wife's car is five years old.
They discovered a leak in the water pump and a
break in one of the water lines, and a couple
of the belts were worn. All right, So two days
and twenty one hundred dollars later, I got the car back.
It struck me as I was driving the car home
that none of the things that needed fixing on her

(01:25:11):
SUV even exist on my Tesla.

Speaker 2 (01:25:15):
None of them.

Speaker 6 (01:25:16):
How many moving pieces in your Tesla.

Speaker 3 (01:25:18):
Nineteen versus over two hundred and an internal combustion A
needy car. Once a year they come to my office
and charge me sixty five dollars to rotate my tires.
That's it, that is it. I have to get her
an electric car.

Speaker 2 (01:25:31):
Now.

Speaker 3 (01:25:31):
The problem with that is if I do, we're not
going to be able to leave town.

Speaker 6 (01:25:34):
But other than that, right, so does your at home charger?
Would it be capable of charging two cars?

Speaker 1 (01:25:41):
Yes?

Speaker 6 (01:25:41):
Oh absolutely at the same time.

Speaker 3 (01:25:43):
Oh not the same time the same time. That probably
is an adapter you can get, But no, and it
doesn't take that long. For instance, if you if you
had two cars, you'd plug in one any charges over.
I charge on Friday night when I get home because
I use the car a lot on the weekend. Right
that gives me enough battery for the whole weekend. Sunday night,
I charged overnight on Sunday night. That gives me enough
for the entire week. Right now, my car sits out

(01:26:05):
there and on a Friday, and it's still got forty
percent battery.

Speaker 6 (01:26:08):
So it's a So the only maintenance that you need
to do in your tesla is sixty dollars tire rotation.

Speaker 3 (01:26:13):
Rotates the tires. That's it. I remember what I bought.

Speaker 5 (01:26:15):
I had bent something. It was ten grand to fix
if you wanted to fix it, right.

Speaker 6 (01:26:19):
Yeah, what about that your bumper? Yeah, well no, that's
if you're wreck it.

Speaker 3 (01:26:23):
I mean, you can't be wrecking the car. I can't.
Todd sent me a thing on on Friday that he
had tripped over where this guy had a Tesla for
five years. He drove twenty thousand miles a year, which
is a lot more than most people. But so he
drove one hundred thousand miles in five years, and he
estimated that he saved twelve thousand dollars on gas. Wow,

(01:26:46):
I would add to that the cost you know, it
was the cost of gas less what he's paying for
electricity in the house to charge it overnight. Right, he
saved He saved twelve thousand dollars in five years. And
and I was that's probably with correct Now I'm hoping
he figured maintenance in there, because one of the big
pluses was an electric car that nobody ever talks about

(01:27:08):
is maintenance. There just isn't any. When I picked the
car up, the guy says to me, he said, don't
forget maintenance, And I said, what are you talking about?
And he opens the front trunk, which they call the
front because there's no engine. He opened the front trunk
and he pointed at the place where you put in
the windshow washer fluid. He goes, you have to keep
that full, and he laughed, that's pretty much it. It

(01:27:31):
is amazing.

Speaker 6 (01:27:32):
What about like your brakes, You're gonna have to replace those?

Speaker 3 (01:27:34):
You don't use them. You don't use them. It's come
and braking on an electric car, when you let up
on the gas, it automatically breaks, so you don't.

Speaker 6 (01:27:43):
Use theoretically would never have to.

Speaker 4 (01:27:45):
You would.

Speaker 3 (01:27:45):
Honestly, you replace the brakes maybe every six, seven, eight years.
I don't know. It wouldn't be much because you're not
using them if you drive the car properly. Now I'm
behind Tesla's. Whenever I see a brake light come on
with a Tesla, it irritates me because it's somebody don't
know what they're doing right, because you don't have to
use the brakes on in Tesla unless the course. Obviously

(01:28:06):
you once in a while something will happen you have
to stop suddenly right then you use the brakes. But
I literally drive from my house to my to the
office and back and don't ever use the brakes ever
at all. And that's pretty typical, pretty cool. And I
would say that if you if you don't have an
electric cars, probably because you've never driven one, because if

(01:28:26):
you're driven one, you'd have it. But range continues to
be a problem. Like I said, you wouldn't be able
to leave the leave town. I can get to cast
Grant and back. I can get to Phoenix, get about
halfway back, but you know I have to charge somewhere
along the line there, So that is the inconvenience. I
can get to Orange County, uh in this kind of weather,
in the in the hot weather, in the summertime you

(01:28:48):
get you're lucky if you can get one hundred and
sixty miles on a charge this time of the year,
I' getting about two fifty. I can make it almost
to Yuma on a charge.

Speaker 4 (01:28:57):
And then how long do you have to charge it
for if it's zero.

Speaker 3 (01:29:00):
Twenty minutes gonna take Yeah, you're only going to take
up eighty percent. You leave the house with one hundred
percent charge, right, but when you're on the road, you
only charged eighty percent. You're charged enough to get to
the next charging station. I had a client that took
his Tesla from Tucson to Miami and back, and I said,
wasn't the charging the problem? He said no, because I

(01:29:22):
learned early on that the range of my car was
greater than the range of my bladder. So there you go.

Speaker 6 (01:29:29):
You know, a couple of I don't know if it
was last week or two weeks ago, but we were
talking about grocery stores and we're talking about Walmart. We
were talking about Target. A little bit of a housekeeping
that I found out about targets. Remember, we were talking
if they have grocery stores, if they have if they
actually sell produce, basically five percent of their stores do

(01:29:50):
not five of the right, every every other store.

Speaker 3 (01:29:55):
Has Targets have grocery.

Speaker 6 (01:29:59):
Isn't that crazy?

Speaker 3 (01:30:00):
I would have said the reverse.

Speaker 6 (01:30:01):
I found it hard to believe, but I still stand
by my arguments. That's if I'm running in for you know,
a glass or not a glass jug of milk or
laundry detergent or something just really quick. I'm probably not
gonna go to Target. I'm probably gonna go to Walmart.
I'm probably going to go to Fries or I'm.

Speaker 3 (01:30:17):
Going to go to the store that's the least busy,
and that would be Bash's Bashes. Nothing against Bashes. It's
a lovely store, but they don't do ten percent of
the business of Walmart or Fries or some of those
other ones that I guess probably pricing.

Speaker 6 (01:30:33):
That stocks bounced back a little bit, probably which one Target.

Speaker 3 (01:30:36):
Speaking of bounce back, how about Warner Brothers Discovery. You
know that company was spun off from AT and T
back in twenty two and it has been a dog.

Speaker 6 (01:30:45):
It's a trading out in twelve bucks.

Speaker 3 (01:30:46):
Now the dog is waking up rally twenty seven percent
in the last ninety days, up another nine percent on Thursday.
On News they're gonna split their cable TV operation from
the streaming and studio operations. So that fact is really again,
I've watched it lay dead since it's been.

Speaker 4 (01:31:04):
Horrible, been horrible, yeah, horrible. Since the minute broke off,
it's been down, but.

Speaker 3 (01:31:08):
It's just been steadily moving higher and You've got the
Broadcom report on Friday, on Thursday night on Friday, what
do you think about that?

Speaker 5 (01:31:17):
I mean, it's talking about AI future. That's really the
main thing that it did, and that's why it jumped
twenty four percent.

Speaker 3 (01:31:24):
AI revenue is more than tripled over the last twelve months.

Speaker 5 (01:31:27):
Yeah, and his guidance is still going high with AI.
And when you hear good news about AI in a company,
it's just been taking off lately.

Speaker 3 (01:31:34):
So what about them is a competitor? Well, either that
or Trump Junior going on the board.

Speaker 4 (01:31:38):
Right, those two things, those two things.

Speaker 3 (01:31:40):
If you want your tactical higher, either have to have
AI or get Trump Junior on the board.

Speaker 6 (01:31:43):
Or or be associated with you.

Speaker 1 (01:31:45):
Right.

Speaker 6 (01:31:47):
Another company that did has been doing horrible but actually
got a little bit of a pop, your beloved Walgreens.
What happened there?

Speaker 3 (01:31:53):
You know, that's funny because Walgreens was interesting and Kramer
had a comment about that, and I think Kramer is
spot on.

Speaker 6 (01:31:59):
Who's buying that company?

Speaker 3 (01:32:01):
Yeah, sound sixty three percent in the last it's sound
sixty three percent this year, but it jumped twenty percent
on Tuesday. Private Equity talking about taking a private right,
which makes sense, Kramer says, there is, no, it doesn't
make sense.

Speaker 6 (01:32:15):
Huh, No, it doesn't mix.

Speaker 3 (01:32:17):
No, it makes Kramer said, their debt is so great
that it absolutely doesn't work for private equity.

Speaker 1 (01:32:22):
It's never gonna happen, right.

Speaker 3 (01:32:23):
No, I don't know that there. I don't honestly know
where the future of Walgreen.

Speaker 5 (01:32:27):
If private equity buys it, they're just probably going to
strip it and sell it for pieces.

Speaker 3 (01:32:31):
And another thing. Hershey's another one, down four percent, but Hershey's,
we will watch that down four percent this year. Soaring
cocoa prices weigh on the company, but up fifteen percent.
On Monday, Bloomberg reported that Mandalize now Mandalze owns Cadbury.
Don't you imagine Cadbury buying Hershey. That's something that they
wouldn't even talked about with Biden as president, with now

(01:32:51):
Trump coming in by the time they the regulators, which
should be good. Right later in the week, Cadbury said, nah, no,
we're not gonna do that, so back down and went
But interesting to.

Speaker 6 (01:33:02):
That point, Kroger, did you see their deal like they didn't. Yeah,
they didn't. What is it called re in states? They
didn't move to continue the trial. Yeah, right, and which
I thought was interesting because there's a new administration coming
and I thought maybe there'll be a little bit more lenients.

Speaker 3 (01:33:20):
With this, a new sheriff in town.

Speaker 6 (01:33:24):
But they're not even doing anything. They're just gonna call
it quits. So they just wow, that's what it seems like.
But we'll see, you know, we'll do some housekeeping there.

Speaker 3 (01:33:33):
Yeah. We talked about Lelly and down thirteen percent in
the last ninety days, and again, what's weighing on it
is concerned about Kennedy. Concerned about the pharmacy, the compound
pharmacies who are now allowed to make the GLP one
drug and sell it at much lower prices. Something we
can't figure out. I think maybe Trump will put an

(01:33:55):
end to that. Hopefully as a businessman, he's.

Speaker 6 (01:33:57):
Gonna not now they've been allowed to make them, but he's.

Speaker 3 (01:33:59):
Going to look at that and say that just doesn't
make any sense at all. Bank of America said the
stock is a bye. They have a price target twenty
five percent above current levels. Lily is really an expensive stock.
And if you're looking at Lily or Costco or any
of these companies that have forty and fifty times there,
and you just be careful because if they do start
to drop. And both of those are great, great companies,

(01:34:22):
all right, Costco is doing everything right. Lily has the
best GLP one drug and a fantastic Alzheimer's drug that's
coming out. Just be careful. There's a lot of fluff
in that. Heath is wandering back and he has something
to say, Well, I have to.

Speaker 2 (01:34:38):
Say this Lily. I own Lily personally, but I'm not
banking on the GLP one drug there, even though Lily
and their competitor No Novo no disk Alzheimer's right, the
Alzheimer's drug.

Speaker 3 (01:34:57):
Is supposedly they're not talking about it much, but supposedly
it's gigantic.

Speaker 2 (01:35:01):
If that, if that does what is anticipated, you'll be
wishing you bought at at forty or fifty times, right.

Speaker 3 (01:35:10):
Yeah, yeah, I think what what I was doing, Heath
to just saying, just be careful if these uh yeah,
if these.

Speaker 2 (01:35:14):
Stocks it's still somewhat speculative at this yeah.

Speaker 3 (01:35:16):
And if these shocks just start selling off, there's nothing
to stop them. I mean it's it's kind of like bitcoin.
If Bitcoin's start selling off, there's nothing to stop it.

Speaker 6 (01:35:23):
No, Novo has actually been pouring tons of money into
the research and development for the quantum computing as well,
which is interesting. A pharmaceutical company like you guys were
talking about earlier again gonna be the bigger They're gonna
benefit the most off of this jet.

Speaker 3 (01:35:34):
But he had every country in the world trying to
do the quantum computing. And I have an engineer from
Raytheon that told me about quantum computing a year ago
or two years ago or three years ago, and I thought,
what's he talking about? So it's all the all the rage, right,
So we're coming to the end of another Money Matters show.
We all want to be happy, and we want to
be healthy, because if we're not healthy, we're not happy.

(01:35:55):
In a Greenberg financial will, we're really trying to be
probable goo

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