May 15, 2025 • 53 mins
In this episode of the Glide Longevity Podcast, Dr. Jeffrey Gladden and financier Kevin Gray discuss the intersection of longevity and finance. They explore how longevity impacts financial planning, the importance of understanding risk capacity versus risk tolerance, and the evolving concept of retirement. The conversation also delves into the implications of AI on the job market and investment strategies during uncertain times, emphasizing the need for continuous engagement and proactive planning in both health and wealth management. In this conversation, Kevin Gray and Dr. Jeffrey Gladden explore the evolving concept of retirement, emphasizing the shift towards a more engaged and fulfilling life post-career. They discuss the importance of work-life balance, the need for strategic tax planning, and the integration of wealth and estate planning. The role of family offices in managing wealth and adapting to a changing financial landscape is highlighted, along with the necessity of personalized strategies for first-time wealth creators. The discussion culminates in the holistic approach to health and wealth, underscoring the significance of longevity in financial planning.
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Takeaways
- Longevity impacts both health and financial planning.
- Understanding risk capacity versus risk tolerance is crucial.
- Retirement is evolving; continuous engagement is key.
- Health investments can yield exponential returns.
- AI will significantly change the job market.
- Market timing is risky; dollar cost averaging is safer.
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:00):
Welcome everybody to this edition of the Glide Longevity Podcast.
I'm your host, Dr.
Jeffrey Gladden.
And today I'm here with financier, Kevin Gray.
ah Kevin, welcome to the podcast.
Well, thanks for having me.
It's good to be here.
I'm looking forward to conversation.
Yeah, absolutely.
So Kevin, you're personally very interested in longevity and you work in the financialservices world.
(00:25):
um What do you what do you update us on your thoughts about ah some of the implications oflongevity?
Maybe we'll start there.
Kind of paint a little picture for us when you dive in from there.
Absolutely.
you know, I do find a lot of the intersection when we're creating the longevity, not onlyfor your health, but, know, in my business, it's for the wealth.
(00:46):
So for our clients, just making sure the length of the portfolio goes along with you.
You know, used to we would plan for the age of expectancy of death.
And that was it.
You know, when you're talking about the 80s, that's not very long.
Now, when you're talking about even referring to your book, 100 is the new 30.
When you're going to 100, I mean, that's a lot.
And that where you're considering inflation.
(01:07):
that changes the game quite a bit.
So you're looking for the longevity in your portfolio dramatically.
But what we're finding is it's not just the size of your portfolio that matters.
It's how do you access it?
When, when's the right time to access it?
And it can provide you the cashflow.
So not only for you, for your family and long-term, but for health, for me, you know,having kids at, you know, 15 and almost 14 in my fifties, you know, I've got to keep up
(01:34):
with them.
So when I come to somebody like you to say, well, how do I make sure that one I'm stillaround and I need to review where I'm at?
we find that the same thing in the portfolio.
we find pitfalls in the portfolio and how do you make that longevity happen?
You know, it's an interesting concept, idea of deconstructing the situation, right?
(01:58):
I mean, one of the things that we excel at here medically is em deconstructing across thefive different circles, right?
Life, energy, longevity, health, performance, and then the environments we reside in.
And in essence, there's a parallel process that has to go on of deconstructing thefinancial resources to support the
(02:18):
the exponential return that comes from investing in those five circles on the health side,let's call it.
There's an exponential return there and you've got to match that with exponential returns,so to speak, on the financial portfolio side.
So when you think about that, um you know, I'm not a financial planner, but uh actually myfather was, but um that doesn't qualify me in any way.
(02:44):
But you you talk about younger people taking more risk and older people taking moreconservative investments.
I don't know if that's right.
And I don't know if that's really right.
Really.
Yeah.
Part of the mix anymore, because you're not just going to you're not just going to glideout.
Right.
So talk a little bit about that.
that's a great specific question because we spend a lot of time separating out your riskcapacity versus your risk tolerance.
(03:10):
And what you're referring to is truly your risk capacity.
If you're young, you've got great income, you've got a long time horizon, your riskcapacity is huge.
But I will say one of my most conservative clients is pretty young.
And so the risk capacity is high, but the risk tolerance is quite low.
That's right.
opposite, one of my oldest clients is my most aggressive client by far.
(03:30):
And the risk capacity may be low, but your risk tolerance may be very, very high.
So when you're going through, I mean, we're today's April 24th.
So we've got lots of volatility, especially last few weeks.
And when I'm speaking to my clients, you know, maybe your risk capacity, you're going toweather the storm because you've got the right portfolio, but it's very, very
uncomfortable.
(03:51):
So there's two separations now.
So you can't,
and should not invest your portfolio just based on where you are in life.
That has some guidance, of course, but your risk tolerance really guides us along in, howdo we put the pieces of the pie together in the portfolio?
So it's not just equities and fixed income, but what are the right things and liquidity,liquidity comes into factor.
(04:17):
But I think just hitting on what you talked about,
between the risk capacity and risk tolerance is a much different story than what we wouldtalked about 20, 30 years ago.
Yeah, I think that's, that's an interesting point.
And it sounds like, um, risk tolerance really sort of trumps risk capacity, if you will.
Right.
So that ultimately somebody's got to feel safe, right?
(04:39):
They've got to have a sense of safety.
And that's really what you're trying to provide.
That's what we're trying to do is give them confidence and safety in their health.
And you're trying to do the same thing for their financial resources.
Right.
So very parallel paths here.
And then obviously they dovetail and, um,
Since a lot of what we do is not covered by insurance, building in capacity, financialcapacity to be able to do the things that are required to maintain that youthfulness and
(05:06):
health.
You know, we sort of feel like that there's a massive return on investment for that,right?
Because if you can continue working another 20 years and you didn't retire, I oh my gosh,you know, if it, it costs you X number of dollars, you're going to pay that back a
thousand times over.
Right.
So.
It's a really interesting thing.
So what do you see as...
(05:29):
Let's take yourself for example.
So as you think about yourself, you're in your 50s, you've got younger children,relatively speaking, how are you positioning yourself to live to 100 and beyond kind of
thing?
How are you actually framing that up for yourself?
(05:50):
Yeah, so health wise, mean, the first thing, the interesting one, it wasn't my heart, itwasn't my lungs, but what I didn't know until coming to somebody like you and your team is
it's the lining of my arteries that I've not need to improve on.
I would have never known that I would have never done that if unless I had a very specificcheck in.
And the other interesting thing is just, you know, as we do the gut test, it's what was itavocados, onions and cherries that cause inflammation on me personally.
(06:15):
I've eaten those for over 50 years and never knew that the inflation was being caused.
And how do we reduce that?
So beyond that, you know, recognizing that eating right and working out, of course, arethe easy two pillars, but what are the other things adding the right supplements to it?
So it was the full package of now I work out more, but now I work out not just weighttraining, you know, as a typical guy, it's like, I'll just go lift weights and I'll be
(06:40):
fine.
It's more cardio.
How do you get the heart healthy?
How do you get the arteries healthy?
So that was my first aspect.
I continue to plateau in my life, you know, when I'm interacting with my 15 year old, it'sfull of testosterone is almost about the size of me.
You know, I've got to step up my game to keep going for that longevity and for the family.
So that was where I personally had to come from and recognizing, gosh, what else can Ipossibly do?
(07:06):
Cause frankly, I got to be here a while.
And as you think about that, and I appreciate you sharing some of the things that wepicked up, ah there are certainly other things that we look at as well.
But as you think about that, has it shifted your own sense of how you're planning yourfinances going forward?
You know, it has and some of the other topics because again, the portfolio is only a pieceof it.
(07:30):
So one of your biggest bills in the portfolio is taxes.
So tax planning is huge.
So now we focus a lot more on taxes when you hit the higher tax brackets.
How can you avoid some of those in planning the right way and taking the income the rightway, whether you, you own a business and you're a business owner or you're an executive or
you're just a real estate professional.
So how are you taking your money in the right way for taxes?
(07:53):
But the other one that's more interesting, I feel like most of our conversations in thatlongevity is your estate plan or planning of some sort long-term, whether it's for you,
whether it's for the family and having the right situation for you, whether it's trust,whether it's partnerships.
So I believe outside of just the portfolio, I'm an aggressive investor because Iunderstand the market.
(08:14):
I'll go, I'll look at crypto.
I will look at private investments.
I will look at interesting and more.
aggressive items because one, I'm an aggressive investor and I've got some risk capacityalong with that.
But I also do have small kids and I need to provide income for a long time for us inretirement as well.
So as that frames and I kind of revisit what's me, it's building the team for that matter.
(08:37):
I mean, I think it's really just building the team all around.
Let me interrupt you on that point for a second.
So has it reframed your concept of retirement?
Because the way that I reframe it for myself is that, you know, I did cardiology for 25years and I quote unquote retired from cardiology.
But really what I did was I transitioned into the next phase of what I'm passionate about,where I feel like my gifts lie and from a loving place where I can create joy, not only
(09:06):
for the clients I serve, but
you know, for myself at the same time simultaneously.
So this concept of retirement, um you know, it sort of sticks out there like a hurdle.
Like we have to kind of somehow plan for what happens prior and after.
Like it's a waterfall moment.
And yet I tend to think of it um that I'll probably never retire.
(09:28):
I'll never retire in the sense of never be involved.
And for me, I will...
continue to do what I'm doing or transitioned into other elements or whatever it is, butthere's this ongoing desire to stay engaged.
for me, that provides meaning and purpose also, right?
(09:50):
And I think that if we're going to live a long time, I think having meaning and purposeand then aligning our activities along that meaning and purpose, and it could be
philanthropic for all that matter, if that's the position you're in.
But for other people that aren't at a place where it can be purely philanthropic, ah maybethey rethink it in terms of, oh well, I've always wanted to do this.
(10:14):
Now, how do I make a living at that while I allow these assets to grow?
So I don't know if you're thinking about that with your clients or whatever.
is because lots of experience.
I've taken so many clients to that retirement point.
uh one, if you build this nest egg and you at some point, some clients get afraid oftouching that nest egg.
It's a baby.
Now you've grown the baby and now you're afraid to touch the baby in retirement.
(10:36):
But it becomes this, as you said, the waterfall, the magic moment that you hit retire andthen you're done.
So I'll talk about me in a second.
But in relation to my clients, I've seen it go many different directions.
You hit retirement.
you really put it on pause or you really go uh lethargic essentially where you're notdoing anything.
Well, goodness, people pass away pretty quick at that point.
(10:57):
And we see it all the time is if you don't keep busy and keep entertained, keep keeppressing along, things don't go well if you don't keep your mind going.
And so you're right, as we now have longevity, I agree.
I think retirement has changed dramatically.
So as
me going from a uh wire house and being essentially an employee to a business owner, youknow, my eyes have changed dramatically.
(11:21):
I truly think if I'm not doing this in 30 years, I am doing something.
So I don't agree.
I don't think that it, you have to, uh, you have to continue to engage.
And I think that goes along with the longevity and just creating that you can, you don'tcome to a point where you just come to a stop and go sit on the couch and start watching
TV.
That's not going to work well.
(11:42):
No, it's not going to work well from a health perspective to your point as well, which isinteresting.
People that retire, they have a much shorter life expectancy than people that stay aged.
Right.
So yeah, I think, I think that people that look forward to retirement are the people thatare quote unquote, working in a job that they don't really enjoy.
Right.
think that retirement is held is sort of held out as, my God, it's the promised land.
(12:05):
It's the Holy grail.
I'm going to finally not have to wake up and go do this thing that I really don't like.
So I think one of the key things in life as you're thinking about this and in thisconference room I'm in right here at Gladden Longevity, we've had people sell companies,
change jobs, do all kinds of things because they're not really aligned with what they'redoing.
(12:27):
And we can figure that out through some of the testing we do and the conversations wehave.
And it's not even conducive to their current health.
let alone this concept of, I'll tolerate this until I retire and then it'll be okay.
Because that's another, that's kind of a lose lose scenario as opposed to a continualwinning scenario of always doing what you're passionate and drawn to do.
(12:49):
So yeah.
Yeah, and I think me personally, so when I'm successful as an employee somewhere else, Ireally became a salesperson.
I'm selling products and I'm trying to squeeze that in and build something for a client.
And one of the thing that's now absolutely fulfilling is I understand my clientsdramatically.
I have an actual relationship and we go find solutions.
So it's now it's like, let me sit on the same time, same side of the table as you and gofigure out what you need.
(13:14):
And a lot of our clients don't even know what the solution or what the long-term plan evenlooks like in their mind yet.
But we've now done this so long.
I can share the expertise of the other clients that have done it well and say, this may bea great path and this is what you could look forward to or you rule that one out.
But now for me personally to stay engaged, the world's changed for me.
(13:37):
I'm a business owner.
I get to do now what I think is right for clients long-term.
rather than I've got a few things that I can put on your table.
Yeah, exactly.
So that's for you, that's much more intellectually stimulating.
It's also more personally satisfying, right?
And I think those are the keys.
You know, one of the, well, before I get to that, let me ask you this.
(13:59):
So as you do that, um intuitively, what I'm thinking is I'm going to continue to work,continue to have income from the work that I do.
And I'm going to continue to invest in things personally that I understand or
are connected to or have some insight about or something like that and continue to growwealth, if you will, through those channels.
(14:21):
um And that I'm thinking is going to be the answer.
um That being said, there are two big things that pop in.
One is the evaluation of the currency.
mean, all fiat currencies are...
We're at a moment of transit, massive transition here, I think, from in all of this.
(14:44):
I think fiat currencies are being phased out and the dollar is going to be devalued andall these other things.
Right.
So that's one big thing.
The other thing is that AI is coming along and it's going to actually replace a lot ofpeople.
And I think, you know, I don't know if you have super AI, super intelligent, not just,
(15:09):
Equal to humans, uh AI, but if you have super intelligent AI, not just AGI, um I don'tknow how many jobs actually get left, right?
I think it's really going to come down to people that are creating.
um I think AI is going to be able to create equally well, if not better.
So I think even in the creation, you're going to end up teaming up with AI to do the workthat you do.
(15:35):
Right?
So I think people will.
team up with AI to do that.
Why not?
um If you've got a great assistant or a great colleague, why not team up?
um But it is going to change reality for a lot of people in terms of job and work andthings like that too.
And I don't know, I don't know if you've been trying to crystal ball that in any way tokind of figure out, okay, well, how do I take care of people if their jobs go away or if,
(16:00):
or if they, you know, I mean, I almost see that you're almost in a job counseling job asmuch as you are.
Counselors have my job for sure.
Whether it's today's market or whether it's long-term, but yeah, counseling is absolutelythere.
So you were talking a minute ago about, building your wealth for retirement and a lot ofpeople say, you know,
(16:21):
my wealth, building my wealth in general, because there is no retirement for me, right?
right.
And some folks will refer it to as, you know, mailbox money.
You know, how do I create a denuity stream?
And I just have that income for long, long term as well.
And that's a lot of, know, whether it's real estate, whether it's a portfolio of juststraight investments.
But again, of course, invest in what you know, and understand, of course, as youspecifically mentioned.
(16:45):
But yeah, we do have those conversations, we have to plan for the worst.
What happens if
All of these things happen.
One, you make sure to have the liquidity for paying your expenses, but making sure thatthe money lasts longterm.
And now that we're of course talking about the longevity and now your, your health span islonger.
So your wealth span has to go along with that.
(17:06):
So again, I think more about what is that income flow tied to the wealth.
You have to have longterm wealth overall, but I also have to tie it to that risktolerance.
So let's,
let's take the right amount of risk to get there as well.
You can go off the charts, but you're going to ride the roller coaster to get there aswell.
Yes, long-term over a 10 year period.
(17:27):
Yes, you should come out of head, but it may be more uncomfortable.
But as you build that annuity stream or you pay that, you know, have an mailbox moneylater or it's either income now or income later.
That's really what you're trying to build.
Mm-hmm.
we do have to plan for the worst.
People will change, people will turn in businesses, people will take a risk and take theirwhole fortune and try to go start something new.
(17:49):
Maybe that's not appropriate, but at least set something aside for protection.
That's just considered risk management.
So you got to consider risk management associated with it.
absolutely.
think that's a key factor.
If you're playing a game and you can certainly gamify this, then it's going to be, howmuch risk am I going to take?
What's my capacity for risk?
(18:12):
what's my capacity?
We all know we have an infinite capacity for gain, but we have a very finite capacity forloss, both psychologically and also financially, if you will.
You've got to really, really, think one of the best ways to think about this is to startwith the downsides, right?
What's, what's my capacity to lose here?
(18:33):
Right.
And, and what's my, um, what's my capacity to psychologically tolerate that loss?
Right.
So numbers on a page, that's fine.
It's I can lose 10 % and I'm fine, but psychologically can I deal with that?
Right.
So yeah.
Yeah, and we specifically hit that.
So we just recorded our quarterly outlook yesterday.
(18:54):
And one of the things we hit on, we talk about a normal volatility.
So whether you're an aggressive investor down the middle of the road or a superconservative investor, there's a difference in your targeted volatility, meaning how much
are you expected to swing in your portfolio?
However, recently we've had to focus on what's that hundred year flood look like whenthings go, when things happen, when we have
(19:17):
when we have a COVID hit, when we have a terror for when we have a recession of some sort,knowing that this may happen only once every hundred years, but this could happen.
This absolutely could happen.
Now, if you think long-term, yes, we should overcome that.
And then we can actually measure what's that hole, how long does it take to dig out ofthat hole?
But we truly have to focus on that because many clients or just about anybody, when thingsare great, you don't think about the bad times.
(19:44):
But when things are bad, it's like, how do you manage that risk to the downside?
You do that ahead of time.
You don't do that while you're in the in the moment.
That's right.
My thought about that is, you know, I've gotten to a point in my life, my personal lifewhere I have no sense of failure on any front.
um I'm never failing.
(20:05):
I'm only learning.
I'm only growing.
I'm only getting better.
Right.
And so when you think about it in terms of financial things, what I see is when themarkets take a turn, let's just call the markets, you know, globally across all the
different investment opportunities.
You know, when those, when those turn south,
my gosh, what a great opportunity because it's not going to stay South forever.
(20:27):
It's going to, it's going to climb back to the North or whatever direction want to callit, but it's going to go back up.
Right.
And so when I see things cratering, I'm like, my gosh, what an amazing opportunity.
Right.
And sometimes when, when things are going really well, it's like, what an amazingopportunity to take some marbles off the table so that I'm in a position.
(20:49):
mean, I think Warren Buffett does this really well.
Right?
Like he sold a bunch of stuff early in the year, Apple and a bunch of his other stuff.
Everybody saw that.
think that paid any attention and he was sitting on like, I don't know, $350 billion incash or $320 billion in cash, something like that, waiting for this to happen.
Right?
So that he could, and I don't know if he swooped back in yet or not, but, waiting for thisto happen at the same time that despite economic trends, there are technological advances.
(21:20):
that continue regardless of social, world wars, depressions, recessions.
There's technology that continues to march forward unabated, quite honestly unabated.
And so there's some certainly some trends here in AI, quantum computing, things like that,that are clearly continuing to march forward and at a very rapid rate.
(21:44):
And I think when you have markets that are cratering and you have technologies that areclear winners over the
long term.
my gosh, what an incredible opportunity, right?
So that's how I look at it.
I don't know.
You know, I absolutely this and it's interesting just because of the last few weeks of theconversations.
It's like the what side of the fence are you on?
And I that's most of my questions right now is like, where is the opportunity?
(22:06):
It is the right way to think about it.
If you think of the long term and the markets to recover and when we zoom out and we takeit back to World War Two or even the Great Depression much long ago, it continually go for
it.
It's amazing how it looks.
The dips look very, very small when you zoom out.
It feels very uncomfortable while you're in it.
So we have to recognize that, of course.
(22:27):
So what we do, and then you plan for that.
So you look at that risk and yes, if you continue to think everything will be positiveeventually, yeah, this is absolutely a buying opportunity.
So whether it's domestic equities or international equities, that's interesting.
The other one to warn about though is private investments also come up.
Those can go to zero.
everything could go to zero, but that one is, and you know, there's groups that we'reinvolved in and we see opportunities and it's, you're pinpointed towards one company, the
(22:55):
company may not work.
That's a risk that you take, but you're also looking for that giant reward.
But in perspective of the general market, yes, uh having that positive outlook, uheverything is truly on sale.
Now, if you look in history, you can actually see on paper, the most money is made whenit's a pessimistic environment.
Exactly.
when you were saying when Warren Buffett and you know, he sells out when he's at the topcreating dry power for when there's opera dry powder, when there's opportunities that
(23:24):
there's not as much money, uh, you know, when the market's going great and then you dump abunch of money into the market when it's already going great, it's already showing that
you don't get a greatest return and compared to when it's a pessimistic, when we're moreat the bottom somewhat kind of, you know, where we are now floundering around.
Yeah, that's right.
And this is where the whole concept of dollar cost averaging comes in, right?
(23:44):
If people are like every month shipping away at it, right?
They uh sort of been a better position.
Although it's, uh you know, everybody sort of tries to time the markets in their own way,right?
More than dollar cost averaging, although he's dollar cost averaging according to his uhperceptions, right?
So, but I think
(24:05):
I relate to market timing is emotional trading and that I try to avoid it at all costs.
That's a lot of the conversations, but, market timing does get tough cause we can alsoshow it.
If you miss just the five best days of an up market, that you give up a third of thereturn.
If you just go to the sideline and say, I can't hold it, I'm just going to wait untilthings get better.
(24:27):
If you miss that, market timing doesn't necessarily work.
Mm hmm.
Yeah.
it's tricky.
It's very tricky.
So in all of this, are you now starting to actually remove retirement from your lexicon?
Are you actually starting to talk about as you transition into the next phase of yourlife?
(24:48):
And let's think about how you maintain meaning, purpose, uh engagement, have revenue thatcomes to you from that while your portfolio continues to, you know, offset other things or
whatever else.
that is
It is.
So I still have to relate it.
It's more of a newer concept.
So, but to relate it because everybody truly just builds up in their head this retirementmental.
(25:11):
What the rate, I guess the way we would list it as is really the option to retire.
So it's now your option to switch to something else of your next phase.
But that is most of our conversation now.
Yes.
So even if you're selling a business, you have a liquidity event.
I have seen where a lot are so nervous to take that chunk of money.
They don't know what to do with it.
So they go buy another business and then try to run it and then doesn't always go as well.
(25:35):
So there is this trends.
It's an absolute transition.
All of your income came from one pocket.
And now what do you do with that?
So we talk about this is the way to transition.
You've got the team associated with that.
And now you kind of ease into your next phase.
So it is just to answer, you know, your question of
that retirement, yes, it goes away because I think more and more clients, people aresimilar to what you and I are talking about.
(26:02):
That retirement mentality is going away.
I plan to do something essentially forever just to stay engaged, but it becomes thatoption to say, all right, if I just don't go to work every day, am I still going to get
the right paycheck?
And that's what we do.
We create the paycheck out of a uh portfolio going through your next phase to allow you toeither create income somewhere else.
(26:23):
Um, or, or not at all.
And you're enjoying, and maybe it is philanthropic is where you're spending your time.
There's maybe not any income associated with that, but you're providing something good andengaging yourself.
Yeah, I think that's right.
I think the other thing that happens in some of these transitions is that, you know,there's this concept of people have a bucket list, right?
(26:45):
Of things they, they want, they always wanted to do, right?
It's like, I want to go to Bali.
I want to go to, you know, on the Great Wall or whatever it is.
Right.
And so, um, I think in these transitions, even though you're transitioning into somethingelse that has, let's call it work activity associated with it.
It's possible to architect that transition in a way where you have more free time.
(27:09):
Like when we talk about retirement going away, it doesn't mean you, you can't sort of getto your bucket list things or spend more time with your grandkids or great grandkids or
kids or whatever it is.
It's just architecting in a different way where you stay engaged, satisfied, fill a senseof purpose, accomplishment, things that humans need to feel.
Um, and yet you still, you, you, kind of, I think as you go through life,
(27:34):
uh You start to actually be able to implement more work-life balance, which is somethingthat everybody talks about, but very few people actually accomplish.
ah And even if you sell your company, you're out of balance because now there's no workand you're just hanging around, right?
So it's truly work-life balance.
And I think maybe in one sense, retirement is replaced by transitioning into a betterstate of work-life balance, something like that.
(28:01):
Yeah.
Well, see most of my, uh, the clients that are doing even better in retirement, they aredefinitely busier.
So whether it's philanthropic or you're back to, you know, interacting with your school oryou're teaching as a professor, you're giving back because you've had this expertise or
maybe it's just family for a while.
Maybe your kids are having, now you've got the grandkids and you get to spend a tremendoustime, amount of time working with them because you know, you, most of your work life, you
(28:27):
know, you weren't spending as much time with your own kids.
So I see it across the board, but my interactions, I do find most of my clients, once theyretire, get busier than when they were working because they're actually more fulfilled
because they're doing actually what they want.
They're not having to get up, get dressed, go to work, do what they have to, to put foodon the table.
Rather now it's like, I get to get up because I get to go do all of these new things now.
(28:49):
But that's where it becomes successful.
And you can see it physically on their face interacting, uh, whether they're travelingmore, whether they're, you know, providing a better.
not feedback, but providing back to the community in some form or fashion.
You know, one of the things that comes up for us is um paying for longevity services sincethey're not covered by quote unquote insurance.
(29:12):
uh There's a way to do that with pre-tax money.
And I think as you structure as a financial person, that you help people structure theirlives, so to speak, and you talk about, you know, um working the tax code in people's
favor.
Is that something that you're actively doing?
(29:33):
We work with an attorney slash CPA that is quite expert at helping people set up the rightstructures to be able to legitimately, you know, through a legitimate business, um,
deductions and things like that, that can help defray the costs.
And if you're in a 40 % bracket or a 30 % bracket is just whatever the cost is to workwith us is just 40 % cheaper.
(29:55):
Right.
So is that a piece of what you're thinking too?
Because.
People are going to need to plan for healthcare as opposed to sick care, right?
So they have sick insurance, they've got Medicare, they've got whatever they've got,co-insurances, but they also need to be planning for healthcare if they're truly going to
maintain their vitality because that's not coming free.
And so there has to be this sense of, what's the return on investment for those dollarsI'm going to spend every year also.
(30:20):
So I don't know if that's something you're taking in and looking at with your people.
What's the equation?
And that brings up a couple of another good point, cause I'm going to come back to assetlocation.
Where do you keep your assets?
Um, and how do you manage your tax bracket?
But yes, we spend a lot of time on the tax planning aspect before it was, well, I've got amortgage and that was essential.
My only write-off.
(30:40):
Well, there's a whole lot more that you can do that, especially if you have a legitimatebusiness and you're creating that, maybe you're doing some consulting.
So you're creating true income and you've got your own business, whatever that might be.
lots of things as an S corp or however you set it up correctly are, are pre-tax.
So you're writing them off as expenses and everything essentially becomes a little bitcheaper just because you're saving on those taxes.
(31:06):
And that's, and it ties into just the portfolio itself.
So you don't put it all into just a normal brokerage account to, because everything'staxed in one particular way.
Maybe you've got a traditional or a Roth IRA.
or maybe you're doing some other type of insurance product with tax-free loans.
similar to what you're talking about, setting it up under a business is where do youactually hold your assets when you're taking that income later, managing your own tax
(31:32):
bracket, because there is a way to do that.
And just like setting up your business that ties in very closely because that can holdyour assets too.
So if you had a partnership or a trust or anything, just even here in the state of Texas,there's a lot of opportunity of
managing it the right way, whether it's protection, whether it's tax avoidance across theboard, but you get to write off those expenses, as you say, especially through that
(31:55):
business.
do want to spend a lot of time focusing on that because that again, that's your biggestbill long term is taxes.
Yeah.
Yeah, exactly.
Yeah.
I spent a few years in Puerto Rico, uh, and then moved back because of opportunities backhere.
But, there's, you know, Puerto Rico is an opportunity.
(32:16):
Of course you got to be there six months or other places, you know, there a of placeswhere you don't have to have such a high residency thing.
It's a little tricky, in terms of the U S tax code and some stuff like that.
One thing about Puerto Rico was integrated with the IRS.
So everything there was kind of above board, right?
Mm-hmm.
Do you have people that are doing things offshore as well?
Things like that or?
oh
(32:36):
One that we are focusing on is something like Puerto Rico because you don't have to bethere for a long time.
mean, six months out of the year for 40 years and you're avoiding some capital gains.
I mean, if you have a liquidity event, there's a huge opportunity there.
But long-term, if you can get it structured there, yes.
uh So I think, you're seeing that across the board, used to, we would talk about theCaymans or maybe it's Portugal or maybe it's other places where you're buying in and
(33:00):
you're just simply just buying real estate.
You get some residency and you're avoiding that now.
worldwide your taxes to come back to the US, but you're right, Puerto Rico is one of thefew because it's already tied into the code.
You've got the, uh, the 60 act already in, and that's associated directly with the UStreasury.
And so the IRS is, uh that's already an agreement that's already made now that won't bethere forever, but that's a huge opportunity right now.
(33:24):
So I, um, that's, that's probably one of the better opportunities.
And but we continue to look at those, even if it's an offshore fund.
So a lot of the funds itself that you can avoid some of the onshore tax taxation becauseyou're just in the right form of the investment.
A lot of these investments will get set up offshore just to avoid the taxation within aspecific investment.
(33:47):
Doesn't have to be your whole portfolio or all of your assets.
You don't have to move essentially everything, but you can be mindful of some of thoseopportunities out there, how you're just investing itself.
Right, interesting, yeah, very interesting.
um I'm trying to think what questions the audience might be having here.
um I'm thinking cash flow, um continuing to work, um risk management, risk tolerance, riskum capacity, those are all good things.
(34:21):
Do you have any kind of a formula that lets people at least put some of that on paperwhere they can kind of work that out and then
get the emotional that resonates or doesn't resonate kind of thing.
We do.
mean, we take them through a process.
So one is just an intro explaining who we are because as a boutique independent RIA, it isa little bit different.
It's not just a retail firm.
So we get to walk through and say, we're not just going to talk about your investments,but let's talk about the risk management.
(34:46):
Do you have a will?
Do you have a trust?
What's your estate plan look like?
Because truly what we find out is your estate plan and your tax plan.
Usually there's no strategy on the tax plan.
You just have a CPA that's doing.
a reactive plan on your taxes and you're not doing any planning ahead of time.
And we've just talked about three different items that you should be just on thisconversation.
(35:06):
So having all of those put together, that's what a true advisor, that's what we think atrue advisor should be looking at.
And so we interact either with a full team.
So I think that's one of the most important is have the right team interacting.
You know, if you're to review your wills every few years, the same thing for yourportfolio.
So somebody that has that expertise of where that might be.
(35:29):
uh One thing it does stick out is just we do because the conversations a lot lately isjust prioritizing your estate plan and how does that incorporate with your portfolio?
Because really it's where your assets going because is it going to your family?
Is it going to the IRS or is it going to charity?
mean, you're it's very few places that it can go, but you do get to pick.
You just have to plan accordingly before something happens to you.
(35:52):
And that has to be aligned with your long term goals.
So you can have access to your assets or give up control of that.
um There's lots of ways to do that.
So your estate plan is one focus, of course, but that longevity of the portfolio, we dofind that there's a lot of wealth out there, um but we find problems with access to that
(36:15):
wealth.
Maybe it's tied up, maybe the lack of liquidity is there.
and we were talking about Warren Buffett before he provides that dry powder.
He provides that liquidity at the right time because when the opportunities come along andyou can't take advantage of that, for example, much less pay your own bills, whether
you're, know, at home or a business that cashflow and liquidity is super important.
(36:37):
So that's something you have to focus on and that is within your portfolio or its incomefrom the business.
But that's a mindset of it's not just investing anymore.
It's really the whole package.
You you bring up a good point.
We know that people that are called in the ultra wealthy category will set up their ownprivate family offices, right?
(37:01):
And a family office is essentially the team and the team even expands inside of a familyoffice to have people that are out actively hunting for investment opportunities and, you
know, private equity opportunities and things like that.
Right.
So
I know in some of the startups I've been involved with, we've spoken with family officesabout the opportunity we had, blah, blah, blah.
(37:23):
And they have their own criteria for what they want to invest in.
But the point being, there are also fractional family offices where there's a team, know,an attorney, a CPA, a financial advisor, uh you know, whoever else is on that team.
And then they sort of function uh fractionally, right?
It's almost like a net jet.
(37:44):
You don't want to buy the jet, but you get to fly on the jet, right?
And then.
Yeah.
your where does your firm fall in into that?
Are you are you yourself a fractional sort of family office or do you see yourself as acomponent of people that put together sort of their own version of a fractional or what do
you think?
It's a great question uh because family office is a big word.
(38:05):
means a lot of different things to a lot of people.
So, and then when you have a large chunk of money and you decide to set something up likethat, that is truly a family office.
Now, one thing we don't do is something like a concierge service where, you know, if youget in a car wreck, we're going to take over and handle that and let you know when it's
done.
That's one thing that we don't do outside of something like that.
We are a multi-family office is really what we consider ourselves.
(38:29):
We're a personal CFO to the family itself.
because we're having all of those conversations.
do taxes within the firm.
We manage a portfolio, but we have all the discussions.
We're the ones that are doing the strategy on your tax plan.
So we may interact with your CPA.
And the same thing for the attorney.
We don't write the documents, but we have all of the conversations and all of the planassociated with it.
(38:52):
Now, I typically will bring the team if their team is not already set.
I bring the team.
I've already got all of those set.
So we really show up and put the whole
the whole package together.
So I list us as yes, a multifamily office, more of that fractional as you say, becauseit's for the long term plan.
We're not just an investment advisor, we truly become that wealth advisor interacting withall of those lines because there is a true intersection with all of those strategies and
(39:22):
making sure you have somebody that makes sure for the estate plan.
Most often we find out that
Your estate plan is not doing what you thought it was going to.
And that's usually because it's not tied to the portfolio correctly.
For as an example.
Yeah, No, think if you're listening to this, that's a really good take home point.
It sort of takes a village in a way to kind of get this right because there's enoughdifferent uh specialists that have unique information that kind of make this work.
(39:51):
It'll be interesting to see how AI kind of helps streamline that over time, right?
Even for you, right?
But nonetheless, I think being able to work with a team is...
uh
is super important and you can have all the people, but if they're not integrated, ah youknow, like here we have, you know, fitness and we have nutrition, we have physicians, we
(40:13):
have nurse practitioners, we have regenerative medicine, we have testing, have, you know,all these different components to integrate it into a comprehensive, you know, call it a
family hospice for your health kind of thing.
um And if you're listening to this, just think because you have a CPA or you have anattorney,
especially in the context of, you know, a changing world order, changing currencies, umknow, changing standards for fiat currencies.
(40:41):
mean, everything else, right?
Gold standards, crypto standards.
I mean, there's so many things in flux right now.
think being able to talk with somebody and figure out a strategy about, you know, how youminimize your downside and take advantage of the opportunity that's in front of us right
now.
So, yeah.
Yeah.
And you're looking for the team that spends their time looking for those.
mean, we're always continue, you know, a lot of times the business can be commoditized.
(41:06):
You know, if it's a large cap equity manager, that's not my expertise.
I know who to go do for that, but I'm looking at where am I providing additional value?
Where's the additional service that we're providing that makes us good?
Cause you mentioned AI, it is the adaptation.
So you continually have to get better.
You know, there's new things we talked about a personal
(41:26):
Trust company to set up so you have better protection or a third-party corporate corporatetrustee So there's always something new that should be applied That we didn't talk about
two years ago much less five or ten and it's not necessarily just the portfolio But youknow, for example, we talked about crypto just last week Is it a long-term allocation that
should be in the portfolio alongside gold and silver?
(41:48):
uh possibly
because is the blockchain going to be very important for protection?
you know, worldwide you see crypto being used in lots of places, not as much in the U S.
So we talk about things like that and what's on the verge of what is next, you know, wheredo derivatives fit in and should private lending be in my portfolio?
Those are conversations you probably don't see much less deal flow.
(42:11):
I mean, you and I may see a lot of deal flow ourselves, but as a retail investor, maybeyou're not finding the right one.
So you do need access to that.
And there's people that that's what your advising team should look for, whether it's onthe tax, on the investment or or estate planning together.
Yeah, I think, oh I think that's right.
You know, in our world, um, and the audience knows this is we're, we're married to thequestions, right?
(42:36):
How do we, you know, how do we make a hundred to new 30, right?
How do we live well, 120, right?
How good can we be?
And, and in your case, you could vet a firm to work with, if you're listening to this byasking them what questions they're married to, right?
Because uh I think a lot of firms, a lot of attorneys, lot of CPAs, lot of firms, evenfamily offices can get married to a particular strategy or a particular way of doing
(43:01):
things, right?
And I think when the world is so volatile, uh it represents opportunity for asking theright questions, but it represents chaos if you're married to your answers, right?
So again, vetting the people that you're gonna work with becomes super important too,yeah.
think for us, one thing that just sticks out is creating that strategy.
(43:21):
I will say most clients, all of our clients are first time wealth creators.
So they're doing it for the first time.
Very few trust fund kids where they're stepping in and taking over money.
So what that means for them is how do they do this for the first time?
And they've never had a strategy.
So we're helping putting that strategy together because we have the knowledge of how to doit, but we've also had the expertise of when to do the right strategy.
(43:45):
for a particular person.
And we find that that's not always the case out there.
And because of now over 25 years doing this in different capacities, again, it's notproducts anymore.
I will go find whatever it is under the sun that the right one that fits in the portfolio.
I do find that that's very, very different.
So if you're going to a retail shop to say, well, I've got a list of 10 things, orsometimes I'll get a new prospect to say, or well, tell me how you did last year.
(44:11):
I don't have one client, two clients that have the same portfolio.
So I can't say, well, you did this, but if you were this type of investor, can give youthe range of what it would have done.
And I can give you some of our best solutions that we've already put in the portfolio orsome of the things that we like as investments.
uh But a lot of times it's not already available and we need to go find it, go do the duediligence and bring it to the platform.
(44:36):
So we're continually adding to the platform because that's what's appropriate.
That's right.
So it's different than a fund where you just throw your money in and whatever they'redoing, they're doing and you're along for the ride along with everybody else in the fund,
right?
this
I've done that in the past, but I don't feel no two solutions are great for each.
Everybody has their own situation and you have to understand your situation.
(44:59):
And that's where probably the first step is.
We kept talking a lot about capacity and tolerance.
You got to be honest with yourself of what is your true tolerance, much less yourcapacity.
And that's a true quick measurement of yourself.
And that's what we usually walk through a conversation.
You asked me, do we take you through to make it that
take that emotion out.
We do.
That's really what we walk through and talk about the hundred year floods.
(45:20):
And it's, is an actual process of analyzing where you are right now, seeing what'savailable, what's the longterm plan.
And then every few months, I will say it changes.
It's not a fire and forget either.
You don't put your portfolio together, but maybe you're having all the other conversationsthat affect it also.
So it's a continual conversation that frequently changes.
(45:42):
Yeah, it's really, it's so analogous to health, right?
It's just, it's the health of your wealth and the health of your body, mind and spirit,right?
So, but the programmatic elements of it are exactly the same, know, reassessing, uh know,adapting all the different things, rejuvenating, um you know, whatever it might be.
(46:03):
um when you're looking at...
As you're listening to this, when you're looking at really optimizing your health, everystrategy you're using to optimize your health is something you should also just apply to
the whole wealth conversation, quite honestly.
Same categories, yeah.
And similar to you and you know, you do testing, you make some changes and you see whatthe results, does that put you on that strategy?
(46:25):
But you're putting, putting together a health strategy for that health span, making surethat you don't only just live longer, but you have that lifespan as well to be healthy in
your older age, getting up to that hundred as well.
So if you're unhealthy from 90 to a hundred, that's not fun.
That's not comfortable.
The same thing for your portfolio.
If you don't have enough, you're eating peanut butter and jelly every day.
(46:46):
and you're still, there's no true wealth span along with that health span if you're justuncomfortable living in a place.
So both of those, think those are probably the two most important things later in life.
I mean, you've got to have your health and you've got to be able to pay for it.
That's it.
Yeah.
Beautiful.
Any other, any other comments you want to make at this point?
It's been an interesting.
(47:07):
know, I think longevity is where we have focused on.
The game has changed for us because we plan for now the long term.
We've talked about, you know, it's no longer just retiring and what you either changeoptions or you're providing that income to be able to do some different things later in
life.
So we want you to have a more fulfilling life.
We think we're changing client lives for the better.
(47:30):
That's what we're really set out to do.
And that's through conversation.
It's not just the portfolio anymore.
So it's really all of that packaged together as it comes to be and understanding what thatrelationship is for the long term.
Cause your family is important and now your family should be included with all of thosethoughts as you think long term.
So a lot of our clients had advisors before, but understanding how that connection is,when we're coming to strategy with maybe for example, tax that they've never talked about
(47:58):
before.
We've just hit on a few items here, but there are so many interesting things to find.
as just a check in.
Yeah, perfect.
So how do people get a hold of you if they want to kind of explore further theconversation of optimizing their wealth strategy to go along with their health strategy?
(48:21):
The easiest one, our website's got a lot of great information, veracitycapital.com.
know, veracity means uh ultimate truth, truthfulness, seeking the truthfulness.
So veracitycapital.com, reach out to me, uh kevin.gray at veracitycapital.com or info atveracitycapital.com.
(48:41):
We did just record our most recent market outlook.
We do that once a quarter.
and what our feelings and our thoughts are out there and we'll play it post on the site aswell.
And you can gain access to that information, but be happy to have a uh consultativediscussion for any client actually looking for, you know, what's the right opportunity for
(49:03):
them for their long-term plan.
Yeah, exactly.
that's E R A C I T Y capital C A P I T A L veracitycapital.com.
Kevin.grey at veracitycapital.com also.
So awesome.
Well, Kevin, it's been a pleasure chatting with you.
(49:24):
interesting times.
Yeah.
So thanks so much.
Yeah.
always learn sitting with you and hopefully this was a value as well.
I think the intersection of this health and wealth is really what a lot of ourconversations go and I speak a lot about health with my clients long term and you know it
is different now and it's a very interesting way to go about it.
(49:46):
Well, longevity has really made it into the vernacular, right?
It's really, you know, and, one of the interesting things is longevity is being attachedto virtually everything because, uh, it's, it's interesting.
Um, but nonetheless, I'm really happy that longevity has made it into the vernacularbecause it's, it's going to change, how we think about things.
I'm actually going to Washington DC to speak with, um, the congressional, uh, AIDS onMonday, Tuesday, Wednesday about longevity and health and, know,
(50:17):
changing in terms of how they think about it, what funding is and things like this andwhat kinds of things are they funding, right?
They're so focused on chronic disease right now, but they're not looking at the root causeof chronic disease and they're not looking at the root cause of the root cause of chronic
disease either, right?
oh So being able to actually open their eyes hopefully to that will give them a bettersense of kind of where to, you know, commit dollars, so to speak.
(50:43):
So be interesting.
I'm anxious to hear the outcome of that as you focus on inflammation and the other some ofthe other causes not just, you know, taking a pill to go fix the issue.
It's what's causing the issue.
Yeah.
So should be good.
All right.
Well, thanks again, Kevin.
Really, really a pleasure.
Yeah, thanks for having me.
(51:03):
It was a great conversation.
Enjoyed it as always.
Beautiful.
Welcome everybody to this edition of the Glide Longevity Podcast.
I'm your host, Dr.
Jeffrey Gladden.
And today I'm here with financier, Kevin Gray.
ah Kevin, welcome to the podcast.
Well, thanks for having me.
It's good to be here.
I'm looking forward to conversation.
Yeah, absolutely.
So Kevin, you're personally very interested in longevity and you work in the financialservices world.
(00:25):
um What do you what do you update us on your thoughts about ah some of the implications oflongevity?
Maybe we'll start there.
Kind of paint a little picture for us when you dive in from there.
Absolutely.
you know, I do find a lot of the intersection when we're creating the longevity, not onlyfor your health, but, know, in my business, it's for the wealth.
(00:46):
So for our clients, just making sure the length of the portfolio goes along with you.
You know, used to we would plan for the age of expectancy of death.
And that was it.
You know, when you're talking about the 80s, that's not very long.
Now, when you're talking about even referring to your book, 100 is the new 30.
When you're going to 100, I mean, that's a lot.
And that where you're considering inflation.
(01:07):
that changes the game quite a bit.
So you're looking for the longevity in your portfolio dramatically.
But what we're finding is it's not just the size of your portfolio that matters.
It's how do you access it?
When, when's the right time to access it?
And it can provide you the cashflow.
So not only for you, for your family and long-term, but for health, for me, you know,having kids at, you know, 15 and almost 14 in my fifties, you know, I've got to keep up
(01:34):
with them.
So when I come to somebody like you to say, well, how do I make sure that one I'm stillaround and I need to review where I'm at?
we find that the same thing in the portfolio.
we find pitfalls in the portfolio and how do you make that longevity happen?
You know, it's an interesting concept, idea of deconstructing the situation, right?
(01:58):
I mean, one of the things that we excel at here medically is em deconstructing across thefive different circles, right?
Life, energy, longevity, health, performance, and then the environments we reside in.
And in essence, there's a parallel process that has to go on of deconstructing thefinancial resources to support the
(02:18):
the exponential return that comes from investing in those five circles on the health side,let's call it.
There's an exponential return there and you've got to match that with exponential returns,so to speak, on the financial portfolio side.
So when you think about that, um you know, I'm not a financial planner, but uh actually myfather was, but um that doesn't qualify me in any way.
(02:44):
But you you talk about younger people taking more risk and older people taking moreconservative investments.
I don't know if that's right.
And I don't know if that's really right.
Really.
Yeah.
Part of the mix anymore, because you're not just going to you're not just going to glideout.
Right.
So talk a little bit about that.
that's a great specific question because we spend a lot of time separating out your riskcapacity versus your risk tolerance.
(03:10):
And what you're referring to is truly your risk capacity.
If you're young, you've got great income, you've got a long time horizon, your riskcapacity is huge.
But I will say one of my most conservative clients is pretty young.
And so the risk capacity is high, but the risk tolerance is quite low.
That's right.
opposite, one of my oldest clients is my most aggressive client by far.
(03:30):
And the risk capacity may be low, but your risk tolerance may be very, very high.
So when you're going through, I mean, we're today's April 24th.
So we've got lots of volatility, especially last few weeks.
And when I'm speaking to my clients, you know, maybe your risk capacity, you're going toweather the storm because you've got the right portfolio, but it's very, very
uncomfortable.
(03:51):
So there's two separations now.
So you can't,
and should not invest your portfolio just based on where you are in life.
That has some guidance, of course, but your risk tolerance really guides us along in, howdo we put the pieces of the pie together in the portfolio?
So it's not just equities and fixed income, but what are the right things and liquidity,liquidity comes into factor.
(04:17):
But I think just hitting on what you talked about,
between the risk capacity and risk tolerance is a much different story than what we wouldtalked about 20, 30 years ago.
Yeah, I think that's, that's an interesting point.
And it sounds like, um, risk tolerance really sort of trumps risk capacity, if you will.
Right.
So that ultimately somebody's got to feel safe, right?
(04:39):
They've got to have a sense of safety.
And that's really what you're trying to provide.
That's what we're trying to do is give them confidence and safety in their health.
And you're trying to do the same thing for their financial resources.
Right.
So very parallel paths here.
And then obviously they dovetail and, um,
Since a lot of what we do is not covered by insurance, building in capacity, financialcapacity to be able to do the things that are required to maintain that youthfulness and
(05:06):
health.
You know, we sort of feel like that there's a massive return on investment for that,right?
Because if you can continue working another 20 years and you didn't retire, I oh my gosh,you know, if it, it costs you X number of dollars, you're going to pay that back a
thousand times over.
Right.
So.
It's a really interesting thing.
So what do you see as...
(05:29):
Let's take yourself for example.
So as you think about yourself, you're in your 50s, you've got younger children,relatively speaking, how are you positioning yourself to live to 100 and beyond kind of
thing?
How are you actually framing that up for yourself?
(05:50):
Yeah, so health wise, mean, the first thing, the interesting one, it wasn't my heart, itwasn't my lungs, but what I didn't know until coming to somebody like you and your team is
it's the lining of my arteries that I've not need to improve on.
I would have never known that I would have never done that if unless I had a very specificcheck in.
And the other interesting thing is just, you know, as we do the gut test, it's what was itavocados, onions and cherries that cause inflammation on me personally.
(06:15):
I've eaten those for over 50 years and never knew that the inflation was being caused.
And how do we reduce that?
So beyond that, you know, recognizing that eating right and working out, of course, arethe easy two pillars, but what are the other things adding the right supplements to it?
So it was the full package of now I work out more, but now I work out not just weighttraining, you know, as a typical guy, it's like, I'll just go lift weights and I'll be
(06:40):
fine.
It's more cardio.
How do you get the heart healthy?
How do you get the arteries healthy?
So that was my first aspect.
I continue to plateau in my life, you know, when I'm interacting with my 15 year old, it'sfull of testosterone is almost about the size of me.
You know, I've got to step up my game to keep going for that longevity and for the family.
So that was where I personally had to come from and recognizing, gosh, what else can Ipossibly do?
(07:06):
Cause frankly, I got to be here a while.
And as you think about that, and I appreciate you sharing some of the things that wepicked up, ah there are certainly other things that we look at as well.
But as you think about that, has it shifted your own sense of how you're planning yourfinances going forward?
You know, it has and some of the other topics because again, the portfolio is only a pieceof it.
(07:30):
So one of your biggest bills in the portfolio is taxes.
So tax planning is huge.
So now we focus a lot more on taxes when you hit the higher tax brackets.
How can you avoid some of those in planning the right way and taking the income the rightway, whether you, you own a business and you're a business owner or you're an executive or
you're just a real estate professional.
So how are you taking your money in the right way for taxes?
(07:53):
But the other one that's more interesting, I feel like most of our conversations in thatlongevity is your estate plan or planning of some sort long-term, whether it's for you,
whether it's for the family and having the right situation for you, whether it's trust,whether it's partnerships.
So I believe outside of just the portfolio, I'm an aggressive investor because Iunderstand the market.
(08:14):
I'll go, I'll look at crypto.
I will look at private investments.
I will look at interesting and more.
aggressive items because one, I'm an aggressive investor and I've got some risk capacityalong with that.
But I also do have small kids and I need to provide income for a long time for us inretirement as well.
So as that frames and I kind of revisit what's me, it's building the team for that matter.
(08:37):
I mean, I think it's really just building the team all around.
Let me interrupt you on that point for a second.
So has it reframed your concept of retirement?
Because the way that I reframe it for myself is that, you know, I did cardiology for 25years and I quote unquote retired from cardiology.
But really what I did was I transitioned into the next phase of what I'm passionate about,where I feel like my gifts lie and from a loving place where I can create joy, not only
(09:06):
for the clients I serve, but
you know, for myself at the same time simultaneously.
So this concept of retirement, um you know, it sort of sticks out there like a hurdle.
Like we have to kind of somehow plan for what happens prior and after.
Like it's a waterfall moment.
And yet I tend to think of it um that I'll probably never retire.
(09:28):
I'll never retire in the sense of never be involved.
And for me, I will...
continue to do what I'm doing or transitioned into other elements or whatever it is, butthere's this ongoing desire to stay engaged.
for me, that provides meaning and purpose also, right?
(09:50):
And I think that if we're going to live a long time, I think having meaning and purposeand then aligning our activities along that meaning and purpose, and it could be
philanthropic for all that matter, if that's the position you're in.
But for other people that aren't at a place where it can be purely philanthropic, ah maybethey rethink it in terms of, oh well, I've always wanted to do this.
(10:14):
Now, how do I make a living at that while I allow these assets to grow?
So I don't know if you're thinking about that with your clients or whatever.
is because lots of experience.
I've taken so many clients to that retirement point.
uh one, if you build this nest egg and you at some point, some clients get afraid oftouching that nest egg.
It's a baby.
Now you've grown the baby and now you're afraid to touch the baby in retirement.
(10:36):
But it becomes this, as you said, the waterfall, the magic moment that you hit retire andthen you're done.
So I'll talk about me in a second.
But in relation to my clients, I've seen it go many different directions.
You hit retirement.
you really put it on pause or you really go uh lethargic essentially where you're notdoing anything.
Well, goodness, people pass away pretty quick at that point.
(10:57):
And we see it all the time is if you don't keep busy and keep entertained, keep keeppressing along, things don't go well if you don't keep your mind going.
And so you're right, as we now have longevity, I agree.
I think retirement has changed dramatically.
So as
me going from a uh wire house and being essentially an employee to a business owner, youknow, my eyes have changed dramatically.
(11:21):
I truly think if I'm not doing this in 30 years, I am doing something.
So I don't agree.
I don't think that it, you have to, uh, you have to continue to engage.
And I think that goes along with the longevity and just creating that you can, you don'tcome to a point where you just come to a stop and go sit on the couch and start watching
TV.
That's not going to work well.
(11:42):
No, it's not going to work well from a health perspective to your point as well, which isinteresting.
People that retire, they have a much shorter life expectancy than people that stay aged.
Right.
So yeah, I think, I think that people that look forward to retirement are the people thatare quote unquote, working in a job that they don't really enjoy.
Right.
think that retirement is held is sort of held out as, my God, it's the promised land.
(12:05):
It's the Holy grail.
I'm going to finally not have to wake up and go do this thing that I really don't like.
So I think one of the key things in life as you're thinking about this and in thisconference room I'm in right here at Gladden Longevity, we've had people sell companies,
change jobs, do all kinds of things because they're not really aligned with what they'redoing.
(12:27):
And we can figure that out through some of the testing we do and the conversations wehave.
And it's not even conducive to their current health.
let alone this concept of, I'll tolerate this until I retire and then it'll be okay.
Because that's another, that's kind of a lose lose scenario as opposed to a continualwinning scenario of always doing what you're passionate and drawn to do.
(12:49):
So yeah.
Yeah, and I think me personally, so when I'm successful as an employee somewhere else, Ireally became a salesperson.
I'm selling products and I'm trying to squeeze that in and build something for a client.
And one of the thing that's now absolutely fulfilling is I understand my clientsdramatically.
I have an actual relationship and we go find solutions.
So it's now it's like, let me sit on the same time, same side of the table as you and gofigure out what you need.
(13:14):
And a lot of our clients don't even know what the solution or what the long-term plan evenlooks like in their mind yet.
But we've now done this so long.
I can share the expertise of the other clients that have done it well and say, this may bea great path and this is what you could look forward to or you rule that one out.
But now for me personally to stay engaged, the world's changed for me.
(13:37):
I'm a business owner.
I get to do now what I think is right for clients long-term.
rather than I've got a few things that I can put on your table.
Yeah, exactly.
So that's for you, that's much more intellectually stimulating.
It's also more personally satisfying, right?
And I think those are the keys.
You know, one of the, well, before I get to that, let me ask you this.
(13:59):
So as you do that, um intuitively, what I'm thinking is I'm going to continue to work,continue to have income from the work that I do.
And I'm going to continue to invest in things personally that I understand or
are connected to or have some insight about or something like that and continue to growwealth, if you will, through those channels.
(14:21):
um And that I'm thinking is going to be the answer.
um That being said, there are two big things that pop in.
One is the evaluation of the currency.
mean, all fiat currencies are...
We're at a moment of transit, massive transition here, I think, from in all of this.
(14:44):
I think fiat currencies are being phased out and the dollar is going to be devalued andall these other things.
Right.
So that's one big thing.
The other thing is that AI is coming along and it's going to actually replace a lot ofpeople.
And I think, you know, I don't know if you have super AI, super intelligent, not just,
(15:09):
Equal to humans, uh AI, but if you have super intelligent AI, not just AGI, um I don'tknow how many jobs actually get left, right?
I think it's really going to come down to people that are creating.
um I think AI is going to be able to create equally well, if not better.
So I think even in the creation, you're going to end up teaming up with AI to do the workthat you do.
(15:35):
Right?
So I think people will.
team up with AI to do that.
Why not?
um If you've got a great assistant or a great colleague, why not team up?
um But it is going to change reality for a lot of people in terms of job and work andthings like that too.
And I don't know, I don't know if you've been trying to crystal ball that in any way tokind of figure out, okay, well, how do I take care of people if their jobs go away or if,
(16:00):
or if they, you know, I mean, I almost see that you're almost in a job counseling job asmuch as you are.
Counselors have my job for sure.
Whether it's today's market or whether it's long-term, but yeah, counseling is absolutelythere.
So you were talking a minute ago about, building your wealth for retirement and a lot ofpeople say, you know,
(16:21):
my wealth, building my wealth in general, because there is no retirement for me, right?
right.
And some folks will refer it to as, you know, mailbox money.
You know, how do I create a denuity stream?
And I just have that income for long, long term as well.
And that's a lot of, know, whether it's real estate, whether it's a portfolio of juststraight investments.
But again, of course, invest in what you know, and understand, of course, as youspecifically mentioned.
(16:45):
But yeah, we do have those conversations, we have to plan for the worst.
What happens if
All of these things happen.
One, you make sure to have the liquidity for paying your expenses, but making sure thatthe money lasts longterm.
And now that we're of course talking about the longevity and now your, your health span islonger.
So your wealth span has to go along with that.
(17:06):
So again, I think more about what is that income flow tied to the wealth.
You have to have longterm wealth overall, but I also have to tie it to that risktolerance.
So let's,
let's take the right amount of risk to get there as well.
You can go off the charts, but you're going to ride the roller coaster to get there aswell.
Yes, long-term over a 10 year period.
(17:27):
Yes, you should come out of head, but it may be more uncomfortable.
But as you build that annuity stream or you pay that, you know, have an mailbox moneylater or it's either income now or income later.
That's really what you're trying to build.
Mm-hmm.
we do have to plan for the worst.
People will change, people will turn in businesses, people will take a risk and take theirwhole fortune and try to go start something new.
(17:49):
Maybe that's not appropriate, but at least set something aside for protection.
That's just considered risk management.
So you got to consider risk management associated with it.
absolutely.
think that's a key factor.
If you're playing a game and you can certainly gamify this, then it's going to be, howmuch risk am I going to take?
What's my capacity for risk?
(18:12):
what's my capacity?
We all know we have an infinite capacity for gain, but we have a very finite capacity forloss, both psychologically and also financially, if you will.
You've got to really, really, think one of the best ways to think about this is to startwith the downsides, right?
What's, what's my capacity to lose here?
(18:33):
Right.
And, and what's my, um, what's my capacity to psychologically tolerate that loss?
Right.
So numbers on a page, that's fine.
It's I can lose 10 % and I'm fine, but psychologically can I deal with that?
Right.
So yeah.
Yeah, and we specifically hit that.
So we just recorded our quarterly outlook yesterday.
(18:54):
And one of the things we hit on, we talk about a normal volatility.
So whether you're an aggressive investor down the middle of the road or a superconservative investor, there's a difference in your targeted volatility, meaning how much
are you expected to swing in your portfolio?
However, recently we've had to focus on what's that hundred year flood look like whenthings go, when things happen, when we have
(19:17):
when we have a COVID hit, when we have a terror for when we have a recession of some sort,knowing that this may happen only once every hundred years, but this could happen.
This absolutely could happen.
Now, if you think long-term, yes, we should overcome that.
And then we can actually measure what's that hole, how long does it take to dig out ofthat hole?
But we truly have to focus on that because many clients or just about anybody, when thingsare great, you don't think about the bad times.
(19:44):
But when things are bad, it's like, how do you manage that risk to the downside?
You do that ahead of time.
You don't do that while you're in the in the moment.
That's right.
My thought about that is, you know, I've gotten to a point in my life, my personal lifewhere I have no sense of failure on any front.
um I'm never failing.
(20:05):
I'm only learning.
I'm only growing.
I'm only getting better.
Right.
And so when you think about it in terms of financial things, what I see is when themarkets take a turn, let's just call the markets, you know, globally across all the
different investment opportunities.
You know, when those, when those turn south,
my gosh, what a great opportunity because it's not going to stay South forever.
(20:27):
It's going to, it's going to climb back to the North or whatever direction want to callit, but it's going to go back up.
Right.
And so when I see things cratering, I'm like, my gosh, what an amazing opportunity.
Right.
And sometimes when, when things are going really well, it's like, what an amazingopportunity to take some marbles off the table so that I'm in a position.
(20:49):
mean, I think Warren Buffett does this really well.
Right?
Like he sold a bunch of stuff early in the year, Apple and a bunch of his other stuff.
Everybody saw that.
think that paid any attention and he was sitting on like, I don't know, $350 billion incash or $320 billion in cash, something like that, waiting for this to happen.
Right?
So that he could, and I don't know if he swooped back in yet or not, but, waiting for thisto happen at the same time that despite economic trends, there are technological advances.
(21:20):
that continue regardless of social, world wars, depressions, recessions.
There's technology that continues to march forward unabated, quite honestly unabated.
And so there's some certainly some trends here in AI, quantum computing, things like that,that are clearly continuing to march forward and at a very rapid rate.
(21:44):
And I think when you have markets that are cratering and you have technologies that areclear winners over the
long term.
my gosh, what an incredible opportunity, right?
So that's how I look at it.
I don't know.
You know, I absolutely this and it's interesting just because of the last few weeks of theconversations.
It's like the what side of the fence are you on?
And I that's most of my questions right now is like, where is the opportunity?
(22:06):
It is the right way to think about it.
If you think of the long term and the markets to recover and when we zoom out and we takeit back to World War Two or even the Great Depression much long ago, it continually go for
it.
It's amazing how it looks.
The dips look very, very small when you zoom out.
It feels very uncomfortable while you're in it.
So we have to recognize that, of course.
(22:27):
So what we do, and then you plan for that.
So you look at that risk and yes, if you continue to think everything will be positiveeventually, yeah, this is absolutely a buying opportunity.
So whether it's domestic equities or international equities, that's interesting.
The other one to warn about though is private investments also come up.
Those can go to zero.
everything could go to zero, but that one is, and you know, there's groups that we'reinvolved in and we see opportunities and it's, you're pinpointed towards one company, the
(22:55):
company may not work.
That's a risk that you take, but you're also looking for that giant reward.
But in perspective of the general market, yes, uh having that positive outlook, uheverything is truly on sale.
Now, if you look in history, you can actually see on paper, the most money is made whenit's a pessimistic environment.
Exactly.
when you were saying when Warren Buffett and you know, he sells out when he's at the topcreating dry power for when there's opera dry powder, when there's opportunities that
(23:24):
there's not as much money, uh, you know, when the market's going great and then you dump abunch of money into the market when it's already going great, it's already showing that
you don't get a greatest return and compared to when it's a pessimistic, when we're moreat the bottom somewhat kind of, you know, where we are now floundering around.
Yeah, that's right.
And this is where the whole concept of dollar cost averaging comes in, right?
(23:44):
If people are like every month shipping away at it, right?
They uh sort of been a better position.
Although it's, uh you know, everybody sort of tries to time the markets in their own way,right?
More than dollar cost averaging, although he's dollar cost averaging according to his uhperceptions, right?
So, but I think
(24:05):
I relate to market timing is emotional trading and that I try to avoid it at all costs.
That's a lot of the conversations, but, market timing does get tough cause we can alsoshow it.
If you miss just the five best days of an up market, that you give up a third of thereturn.
If you just go to the sideline and say, I can't hold it, I'm just going to wait untilthings get better.
(24:27):
If you miss that, market timing doesn't necessarily work.
Mm hmm.
Yeah.
it's tricky.
It's very tricky.
So in all of this, are you now starting to actually remove retirement from your lexicon?
Are you actually starting to talk about as you transition into the next phase of yourlife?
(24:48):
And let's think about how you maintain meaning, purpose, uh engagement, have revenue thatcomes to you from that while your portfolio continues to, you know, offset other things or
whatever else.
that is
It is.
So I still have to relate it.
It's more of a newer concept.
So, but to relate it because everybody truly just builds up in their head this retirementmental.
(25:11):
What the rate, I guess the way we would list it as is really the option to retire.
So it's now your option to switch to something else of your next phase.
But that is most of our conversation now.
Yes.
So even if you're selling a business, you have a liquidity event.
I have seen where a lot are so nervous to take that chunk of money.
They don't know what to do with it.
So they go buy another business and then try to run it and then doesn't always go as well.
(25:35):
So there is this trends.
It's an absolute transition.
All of your income came from one pocket.
And now what do you do with that?
So we talk about this is the way to transition.
You've got the team associated with that.
And now you kind of ease into your next phase.
So it is just to answer, you know, your question of
that retirement, yes, it goes away because I think more and more clients, people aresimilar to what you and I are talking about.
(26:02):
That retirement mentality is going away.
I plan to do something essentially forever just to stay engaged, but it becomes thatoption to say, all right, if I just don't go to work every day, am I still going to get
the right paycheck?
And that's what we do.
We create the paycheck out of a uh portfolio going through your next phase to allow you toeither create income somewhere else.
(26:23):
Um, or, or not at all.
And you're enjoying, and maybe it is philanthropic is where you're spending your time.
There's maybe not any income associated with that, but you're providing something good andengaging yourself.
Yeah, I think that's right.
I think the other thing that happens in some of these transitions is that, you know,there's this concept of people have a bucket list, right?
(26:45):
Of things they, they want, they always wanted to do, right?
It's like, I want to go to Bali.
I want to go to, you know, on the Great Wall or whatever it is.
Right.
And so, um, I think in these transitions, even though you're transitioning into somethingelse that has, let's call it work activity associated with it.
It's possible to architect that transition in a way where you have more free time.
(27:09):
Like when we talk about retirement going away, it doesn't mean you, you can't sort of getto your bucket list things or spend more time with your grandkids or great grandkids or
kids or whatever it is.
It's just architecting in a different way where you stay engaged, satisfied, fill a senseof purpose, accomplishment, things that humans need to feel.
Um, and yet you still, you, you, kind of, I think as you go through life,
(27:34):
uh You start to actually be able to implement more work-life balance, which is somethingthat everybody talks about, but very few people actually accomplish.
ah And even if you sell your company, you're out of balance because now there's no workand you're just hanging around, right?
So it's truly work-life balance.
And I think maybe in one sense, retirement is replaced by transitioning into a betterstate of work-life balance, something like that.
(28:01):
Yeah.
Well, see most of my, uh, the clients that are doing even better in retirement, they aredefinitely busier.
So whether it's philanthropic or you're back to, you know, interacting with your school oryou're teaching as a professor, you're giving back because you've had this expertise or
maybe it's just family for a while.
Maybe your kids are having, now you've got the grandkids and you get to spend a tremendoustime, amount of time working with them because you know, you, most of your work life, you
(28:27):
know, you weren't spending as much time with your own kids.
So I see it across the board, but my interactions, I do find most of my clients, once theyretire, get busier than when they were working because they're actually more fulfilled
because they're doing actually what they want.
They're not having to get up, get dressed, go to work, do what they have to, to put foodon the table.
Rather now it's like, I get to get up because I get to go do all of these new things now.
(28:49):
But that's where it becomes successful.
And you can see it physically on their face interacting, uh, whether they're travelingmore, whether they're, you know, providing a better.
not feedback, but providing back to the community in some form or fashion.
You know, one of the things that comes up for us is um paying for longevity services sincethey're not covered by quote unquote insurance.
(29:12):
uh There's a way to do that with pre-tax money.
And I think as you structure as a financial person, that you help people structure theirlives, so to speak, and you talk about, you know, um working the tax code in people's
favor.
Is that something that you're actively doing?
(29:33):
We work with an attorney slash CPA that is quite expert at helping people set up the rightstructures to be able to legitimately, you know, through a legitimate business, um,
deductions and things like that, that can help defray the costs.
And if you're in a 40 % bracket or a 30 % bracket is just whatever the cost is to workwith us is just 40 % cheaper.
(29:55):
Right.
So is that a piece of what you're thinking too?
Because.
People are going to need to plan for healthcare as opposed to sick care, right?
So they have sick insurance, they've got Medicare, they've got whatever they've got,co-insurances, but they also need to be planning for healthcare if they're truly going to
maintain their vitality because that's not coming free.
And so there has to be this sense of, what's the return on investment for those dollarsI'm going to spend every year also.
(30:20):
So I don't know if that's something you're taking in and looking at with your people.
What's the equation?
And that brings up a couple of another good point, cause I'm going to come back to assetlocation.
Where do you keep your assets?
Um, and how do you manage your tax bracket?
But yes, we spend a lot of time on the tax planning aspect before it was, well, I've got amortgage and that was essential.
My only write-off.
(30:40):
Well, there's a whole lot more that you can do that, especially if you have a legitimatebusiness and you're creating that, maybe you're doing some consulting.
So you're creating true income and you've got your own business, whatever that might be.
lots of things as an S corp or however you set it up correctly are, are pre-tax.
So you're writing them off as expenses and everything essentially becomes a little bitcheaper just because you're saving on those taxes.
(31:06):
And that's, and it ties into just the portfolio itself.
So you don't put it all into just a normal brokerage account to, because everything'staxed in one particular way.
Maybe you've got a traditional or a Roth IRA.
or maybe you're doing some other type of insurance product with tax-free loans.
similar to what you're talking about, setting it up under a business is where do youactually hold your assets when you're taking that income later, managing your own tax
(31:32):
bracket, because there is a way to do that.
And just like setting up your business that ties in very closely because that can holdyour assets too.
So if you had a partnership or a trust or anything, just even here in the state of Texas,there's a lot of opportunity of
managing it the right way, whether it's protection, whether it's tax avoidance across theboard, but you get to write off those expenses, as you say, especially through that
(31:55):
business.
do want to spend a lot of time focusing on that because that again, that's your biggestbill long term is taxes.
Yeah.
Yeah, exactly.
Yeah.
I spent a few years in Puerto Rico, uh, and then moved back because of opportunities backhere.
But, there's, you know, Puerto Rico is an opportunity.
(32:16):
Of course you got to be there six months or other places, you know, there a of placeswhere you don't have to have such a high residency thing.
It's a little tricky, in terms of the U S tax code and some stuff like that.
One thing about Puerto Rico was integrated with the IRS.
So everything there was kind of above board, right?
Mm-hmm.
Do you have people that are doing things offshore as well?
Things like that or?
oh
(32:36):
One that we are focusing on is something like Puerto Rico because you don't have to bethere for a long time.
mean, six months out of the year for 40 years and you're avoiding some capital gains.
I mean, if you have a liquidity event, there's a huge opportunity there.
But long-term, if you can get it structured there, yes.
uh So I think, you're seeing that across the board, used to, we would talk about theCaymans or maybe it's Portugal or maybe it's other places where you're buying in and
(33:00):
you're just simply just buying real estate.
You get some residency and you're avoiding that now.
worldwide your taxes to come back to the US, but you're right, Puerto Rico is one of thefew because it's already tied into the code.
You've got the, uh, the 60 act already in, and that's associated directly with the UStreasury.
And so the IRS is, uh that's already an agreement that's already made now that won't bethere forever, but that's a huge opportunity right now.
(33:24):
So I, um, that's, that's probably one of the better opportunities.
And but we continue to look at those, even if it's an offshore fund.
So a lot of the funds itself that you can avoid some of the onshore tax taxation becauseyou're just in the right form of the investment.
A lot of these investments will get set up offshore just to avoid the taxation within aspecific investment.
(33:47):
Doesn't have to be your whole portfolio or all of your assets.
You don't have to move essentially everything, but you can be mindful of some of thoseopportunities out there, how you're just investing itself.
Right, interesting, yeah, very interesting.
um I'm trying to think what questions the audience might be having here.
um I'm thinking cash flow, um continuing to work, um risk management, risk tolerance, riskum capacity, those are all good things.
(34:21):
Do you have any kind of a formula that lets people at least put some of that on paperwhere they can kind of work that out and then
get the emotional that resonates or doesn't resonate kind of thing.
We do.
mean, we take them through a process.
So one is just an intro explaining who we are because as a boutique independent RIA, it isa little bit different.
It's not just a retail firm.
So we get to walk through and say, we're not just going to talk about your investments,but let's talk about the risk management.
(34:46):
Do you have a will?
Do you have a trust?
What's your estate plan look like?
Because truly what we find out is your estate plan and your tax plan.
Usually there's no strategy on the tax plan.
You just have a CPA that's doing.
a reactive plan on your taxes and you're not doing any planning ahead of time.
And we've just talked about three different items that you should be just on thisconversation.
(35:06):
So having all of those put together, that's what a true advisor, that's what we think atrue advisor should be looking at.
And so we interact either with a full team.
So I think that's one of the most important is have the right team interacting.
You know, if you're to review your wills every few years, the same thing for yourportfolio.
So somebody that has that expertise of where that might be.
(35:29):
uh One thing it does stick out is just we do because the conversations a lot lately isjust prioritizing your estate plan and how does that incorporate with your portfolio?
Because really it's where your assets going because is it going to your family?
Is it going to the IRS or is it going to charity?
mean, you're it's very few places that it can go, but you do get to pick.
You just have to plan accordingly before something happens to you.
(35:52):
And that has to be aligned with your long term goals.
So you can have access to your assets or give up control of that.
um There's lots of ways to do that.
So your estate plan is one focus, of course, but that longevity of the portfolio, we dofind that there's a lot of wealth out there, um but we find problems with access to that
(36:15):
wealth.
Maybe it's tied up, maybe the lack of liquidity is there.
and we were talking about Warren Buffett before he provides that dry powder.
He provides that liquidity at the right time because when the opportunities come along andyou can't take advantage of that, for example, much less pay your own bills, whether
you're, know, at home or a business that cashflow and liquidity is super important.
(36:37):
So that's something you have to focus on and that is within your portfolio or its incomefrom the business.
But that's a mindset of it's not just investing anymore.
It's really the whole package.
You you bring up a good point.
We know that people that are called in the ultra wealthy category will set up their ownprivate family offices, right?
(37:01):
And a family office is essentially the team and the team even expands inside of a familyoffice to have people that are out actively hunting for investment opportunities and, you
know, private equity opportunities and things like that.
Right.
So
I know in some of the startups I've been involved with, we've spoken with family officesabout the opportunity we had, blah, blah, blah.
(37:23):
And they have their own criteria for what they want to invest in.
But the point being, there are also fractional family offices where there's a team, know,an attorney, a CPA, a financial advisor, uh you know, whoever else is on that team.
And then they sort of function uh fractionally, right?
It's almost like a net jet.
(37:44):
You don't want to buy the jet, but you get to fly on the jet, right?
And then.
Yeah.
your where does your firm fall in into that?
Are you are you yourself a fractional sort of family office or do you see yourself as acomponent of people that put together sort of their own version of a fractional or what do
you think?
It's a great question uh because family office is a big word.
(38:05):
means a lot of different things to a lot of people.
So, and then when you have a large chunk of money and you decide to set something up likethat, that is truly a family office.
Now, one thing we don't do is something like a concierge service where, you know, if youget in a car wreck, we're going to take over and handle that and let you know when it's
done.
That's one thing that we don't do outside of something like that.
We are a multi-family office is really what we consider ourselves.
(38:29):
We're a personal CFO to the family itself.
because we're having all of those conversations.
do taxes within the firm.
We manage a portfolio, but we have all the discussions.
We're the ones that are doing the strategy on your tax plan.
So we may interact with your CPA.
And the same thing for the attorney.
We don't write the documents, but we have all of the conversations and all of the planassociated with it.
(38:52):
Now, I typically will bring the team if their team is not already set.
I bring the team.
I've already got all of those set.
So we really show up and put the whole
the whole package together.
So I list us as yes, a multifamily office, more of that fractional as you say, becauseit's for the long term plan.
We're not just an investment advisor, we truly become that wealth advisor interacting withall of those lines because there is a true intersection with all of those strategies and
(39:22):
making sure you have somebody that makes sure for the estate plan.
Most often we find out that
Your estate plan is not doing what you thought it was going to.
And that's usually because it's not tied to the portfolio correctly.
For as an example.
Yeah, No, think if you're listening to this, that's a really good take home point.
It sort of takes a village in a way to kind of get this right because there's enoughdifferent uh specialists that have unique information that kind of make this work.
(39:51):
It'll be interesting to see how AI kind of helps streamline that over time, right?
Even for you, right?
But nonetheless, I think being able to work with a team is...
uh
is super important and you can have all the people, but if they're not integrated, ah youknow, like here we have, you know, fitness and we have nutrition, we have physicians, we
(40:13):
have nurse practitioners, we have regenerative medicine, we have testing, have, you know,all these different components to integrate it into a comprehensive, you know, call it a
family hospice for your health kind of thing.
um And if you're listening to this, just think because you have a CPA or you have anattorney,
especially in the context of, you know, a changing world order, changing currencies, umknow, changing standards for fiat currencies.
(40:41):
mean, everything else, right?
Gold standards, crypto standards.
I mean, there's so many things in flux right now.
think being able to talk with somebody and figure out a strategy about, you know, how youminimize your downside and take advantage of the opportunity that's in front of us right
now.
So, yeah.
Yeah.
And you're looking for the team that spends their time looking for those.
mean, we're always continue, you know, a lot of times the business can be commoditized.
(41:06):
You know, if it's a large cap equity manager, that's not my expertise.
I know who to go do for that, but I'm looking at where am I providing additional value?
Where's the additional service that we're providing that makes us good?
Cause you mentioned AI, it is the adaptation.
So you continually have to get better.
You know, there's new things we talked about a personal
(41:26):
Trust company to set up so you have better protection or a third-party corporate corporatetrustee So there's always something new that should be applied That we didn't talk about
two years ago much less five or ten and it's not necessarily just the portfolio But youknow, for example, we talked about crypto just last week Is it a long-term allocation that
should be in the portfolio alongside gold and silver?
(41:48):
uh possibly
because is the blockchain going to be very important for protection?
you know, worldwide you see crypto being used in lots of places, not as much in the U S.
So we talk about things like that and what's on the verge of what is next, you know, wheredo derivatives fit in and should private lending be in my portfolio?
Those are conversations you probably don't see much less deal flow.
(42:11):
I mean, you and I may see a lot of deal flow ourselves, but as a retail investor, maybeyou're not finding the right one.
So you do need access to that.
And there's people that that's what your advising team should look for, whether it's onthe tax, on the investment or or estate planning together.
Yeah, I think, oh I think that's right.
You know, in our world, um, and the audience knows this is we're, we're married to thequestions, right?
(42:36):
How do we, you know, how do we make a hundred to new 30, right?
How do we live well, 120, right?
How good can we be?
And, and in your case, you could vet a firm to work with, if you're listening to this byasking them what questions they're married to, right?
Because uh I think a lot of firms, a lot of attorneys, lot of CPAs, lot of firms, evenfamily offices can get married to a particular strategy or a particular way of doing
(43:01):
things, right?
And I think when the world is so volatile, uh it represents opportunity for asking theright questions, but it represents chaos if you're married to your answers, right?
So again, vetting the people that you're gonna work with becomes super important too,yeah.
think for us, one thing that just sticks out is creating that strategy.
(43:21):
I will say most clients, all of our clients are first time wealth creators.
So they're doing it for the first time.
Very few trust fund kids where they're stepping in and taking over money.
So what that means for them is how do they do this for the first time?
And they've never had a strategy.
So we're helping putting that strategy together because we have the knowledge of how to doit, but we've also had the expertise of when to do the right strategy.
(43:45):
for a particular person.
And we find that that's not always the case out there.
And because of now over 25 years doing this in different capacities, again, it's notproducts anymore.
I will go find whatever it is under the sun that the right one that fits in the portfolio.
I do find that that's very, very different.
So if you're going to a retail shop to say, well, I've got a list of 10 things, orsometimes I'll get a new prospect to say, or well, tell me how you did last year.
(44:11):
I don't have one client, two clients that have the same portfolio.
So I can't say, well, you did this, but if you were this type of investor, can give youthe range of what it would have done.
And I can give you some of our best solutions that we've already put in the portfolio orsome of the things that we like as investments.
uh But a lot of times it's not already available and we need to go find it, go do the duediligence and bring it to the platform.
(44:36):
So we're continually adding to the platform because that's what's appropriate.
That's right.
So it's different than a fund where you just throw your money in and whatever they'redoing, they're doing and you're along for the ride along with everybody else in the fund,
right?
this
I've done that in the past, but I don't feel no two solutions are great for each.
Everybody has their own situation and you have to understand your situation.
(44:59):
And that's where probably the first step is.
We kept talking a lot about capacity and tolerance.
You got to be honest with yourself of what is your true tolerance, much less yourcapacity.
And that's a true quick measurement of yourself.
And that's what we usually walk through a conversation.
You asked me, do we take you through to make it that
take that emotion out.
We do.
That's really what we walk through and talk about the hundred year floods.
(45:20):
And it's, is an actual process of analyzing where you are right now, seeing what'savailable, what's the longterm plan.
And then every few months, I will say it changes.
It's not a fire and forget either.
You don't put your portfolio together, but maybe you're having all the other conversationsthat affect it also.
So it's a continual conversation that frequently changes.
(45:42):
Yeah, it's really, it's so analogous to health, right?
It's just, it's the health of your wealth and the health of your body, mind and spirit,right?
So, but the programmatic elements of it are exactly the same, know, reassessing, uh know,adapting all the different things, rejuvenating, um you know, whatever it might be.
(46:03):
um when you're looking at...
As you're listening to this, when you're looking at really optimizing your health, everystrategy you're using to optimize your health is something you should also just apply to
the whole wealth conversation, quite honestly.
Same categories, yeah.
And similar to you and you know, you do testing, you make some changes and you see whatthe results, does that put you on that strategy?
(46:25):
But you're putting, putting together a health strategy for that health span, making surethat you don't only just live longer, but you have that lifespan as well to be healthy in
your older age, getting up to that hundred as well.
So if you're unhealthy from 90 to a hundred, that's not fun.
That's not comfortable.
The same thing for your portfolio.
If you don't have enough, you're eating peanut butter and jelly every day.
(46:46):
and you're still, there's no true wealth span along with that health span if you're justuncomfortable living in a place.
So both of those, think those are probably the two most important things later in life.
I mean, you've got to have your health and you've got to be able to pay for it.
That's it.
Yeah.
Beautiful.
Any other, any other comments you want to make at this point?
It's been an interesting.
(47:07):
know, I think longevity is where we have focused on.
The game has changed for us because we plan for now the long term.
We've talked about, you know, it's no longer just retiring and what you either changeoptions or you're providing that income to be able to do some different things later in
life.
So we want you to have a more fulfilling life.
We think we're changing client lives for the better.
(47:30):
That's what we're really set out to do.
And that's through conversation.
It's not just the portfolio anymore.
So it's really all of that packaged together as it comes to be and understanding what thatrelationship is for the long term.
Cause your family is important and now your family should be included with all of thosethoughts as you think long term.
So a lot of our clients had advisors before, but understanding how that connection is,when we're coming to strategy with maybe for example, tax that they've never talked about
(47:58):
before.
We've just hit on a few items here, but there are so many interesting things to find.
as just a check in.
Yeah, perfect.
So how do people get a hold of you if they want to kind of explore further theconversation of optimizing their wealth strategy to go along with their health strategy?
(48:21):
The easiest one, our website's got a lot of great information, veracitycapital.com.
know, veracity means uh ultimate truth, truthfulness, seeking the truthfulness.
So veracitycapital.com, reach out to me, uh kevin.gray at veracitycapital.com or info atveracitycapital.com.
(48:41):
We did just record our most recent market outlook.
We do that once a quarter.
and what our feelings and our thoughts are out there and we'll play it post on the site aswell.
And you can gain access to that information, but be happy to have a uh consultativediscussion for any client actually looking for, you know, what's the right opportunity for
(49:03):
them for their long-term plan.
Yeah, exactly.
that's E R A C I T Y capital C A P I T A L veracitycapital.com.
Kevin.grey at veracitycapital.com also.
So awesome.
Well, Kevin, it's been a pleasure chatting with you.
(49:24):
interesting times.
Yeah.
So thanks so much.
Yeah.
always learn sitting with you and hopefully this was a value as well.
I think the intersection of this health and wealth is really what a lot of ourconversations go and I speak a lot about health with my clients long term and you know it
is different now and it's a very interesting way to go about it.
(49:46):
Well, longevity has really made it into the vernacular, right?
It's really, you know, and, one of the interesting things is longevity is being attachedto virtually everything because, uh, it's, it's interesting.
Um, but nonetheless, I'm really happy that longevity has made it into the vernacularbecause it's, it's going to change, how we think about things.
I'm actually going to Washington DC to speak with, um, the congressional, uh, AIDS onMonday, Tuesday, Wednesday about longevity and health and, know,
(50:17):
changing in terms of how they think about it, what funding is and things like this andwhat kinds of things are they funding, right?
They're so focused on chronic disease right now, but they're not looking at the root causeof chronic disease and they're not looking at the root cause of the root cause of chronic
disease either, right?
oh So being able to actually open their eyes hopefully to that will give them a bettersense of kind of where to, you know, commit dollars, so to speak.
(50:43):
So be interesting.
I'm anxious to hear the outcome of that as you focus on inflammation and the other some ofthe other causes not just, you know, taking a pill to go fix the issue.
It's what's causing the issue.
Yeah.
So should be good.
All right.
Well, thanks again, Kevin.
Really, really a pleasure.
Yeah, thanks for having me.
(51:03):
It was a great conversation.
Enjoyed it as always.
Beautiful.
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