November 8, 2025 • 39 mins
Chris Markowski discusses the importance of financial preparation and the need to address financial issues immediately. He emphasizes the significance of building an anti-fragile portfolio and understanding market realities, while also critiquing the role of big firms in financial losses. The conversation covers investment strategies, the psychology of investing, and the dangers of prioritizing social media image over financial stability.
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:07):
Well, no one authored investment banker, consumer advocate, analyst, trader
Chris Markowski is the watchdog Wall Streets. You want to
answer exposing the lines and myths that the big brokerage firms,
the mainstream press, and the government are pushing to keep
Americans away from financial freedom.
Speaker 2 (00:28):
You can't handle the true proof.
Speaker 1 (00:30):
Bringing America the truth about what really happens in the
financial world.
Speaker 2 (00:35):
Ladies and gentlemen.
Speaker 3 (00:35):
We're not here to indulge in fantasy, but in political
and economic reality.
Speaker 1 (00:39):
This is the watchdog on Wall Streets.
Speaker 2 (00:45):
Okay, welcome, everybody. Welcome. We're going to get in. Don't worry.
Speaker 3 (00:50):
We're going to get into the uh the Republican wipe
out what it means and uh we called it.
Speaker 2 (00:57):
We told you that was going to happen.
Speaker 3 (01:00):
A lot of other things as far as the shutdown
is concerned, the overall feeling around the country. We're going
to delve deep into that on the program today. But
I'm going to start off. I want to start off today.
I want to talk.
Speaker 2 (01:12):
About you, my listeners out here.
Speaker 3 (01:16):
And one thing that my father taught me when I
was very very young is if there's an issue, if
there's a problem, with your house for example, or or
let's say your your cars making a funny noise, slightest
(01:36):
thing you see off at your house, you deal with
it immediately, immediately, You don't let it go. Yeah, I
for one, I'm not a big when it comes to
going to a doctor, I'm not. But if I know
when I need to go to a doctor, if something
is really wrong, you don't want to delay the things
(02:00):
because what happens, and it's kind of get concepted compounding
interests and how things can help you with compounding, but
compounding can work against you. Small problems end up turning
into big problems.
Speaker 2 (02:15):
Same thing, Same thing happens with people and their money.
Speaker 3 (02:21):
I've noticed this people putting off actually doing the right
thing when it comes to their finances, when it comes
to actually getting their financial preparation or financial plan together.
And every week here on the program, every single week,
I invite you, each and every one of you listening
(02:42):
to the show to go to our website at Watchdog
on Wall Street dot com sign up for our personal
c FO program. Now, I know, I know I may
get a little loud and yell and scream here on
the programming about a myriad of things.
Speaker 2 (03:00):
No, we don't. We're not gonna yell at you. Okay,
if you've messed up your portfolio.
Speaker 3 (03:06):
You thought you were the modern day version of Gordon
get Go, you wet in your Robin Hood account and
you blew it up, We're not gonna yell at you.
I know I yell here on the program. Okay, that's
why I'm trying to get my point across. You understand,
And you know, I'm basically also knowing that she wiz,
I know what the future holds, and you're gonna lose
(03:27):
money by doing these myriad of different things because we
see it again and again, and you know it's frustration
that I'm getting out here on the program. No, we're
not gonna beat you up here on the program for
the financial mistakes that you have made. And that's one
of the reasons, quite frankly, we've discovered is that people
(03:47):
oftentimes are embarrassed. They're embarrassed about their financial condition. Then
what do they end up doing. They end up delaying,
They end up up delaying doing the right thing.
Speaker 2 (04:01):
You must.
Speaker 3 (04:02):
People do this with more things than that you think
about it. When it comes to people are out of shape.
People are out of shape. Nah. You know what, then
they delay going to the gym and doing the right
thing because they're afraid.
Speaker 2 (04:17):
They're afraid. No, no, no, I'm sorry. Go to you're
out of shape, Go to the gym. Get there.
Speaker 3 (04:25):
If you don't know what you're doing, ask somebody who's
working out there. We're more than a help, more than
happy to point you in the right direction.
Speaker 2 (04:31):
We love that stuff. Listen.
Speaker 3 (04:36):
Okay, I maybe loud and boisterous here on the program,
but my brothers and I are not gonna yell and
scream at you because you haven't handled your finances properly.
Speaker 2 (04:48):
Okay, we're not. That's not who we are.
Speaker 3 (04:51):
We're gonna help and we're gonna point you in the
right direction.
Speaker 2 (04:55):
Another thing is is people say, ah, you know what.
Speaker 3 (04:58):
Ah, retirement thing is that that's a you know, that's
a concern. I gotta worry about that decade. So now
I gotta I got other fish to fry.
Speaker 2 (05:06):
Yeah, you do. It's not.
Speaker 3 (05:07):
First off, don't even look at it it's about retirement planning,
because we don't do that. Okay, that's that's that's that's
the sales meet salesman type stuff that you're gonna get
from Edward Jones and Amor Prize and Merrill and Just
Retirement Player Playing for Retirement. No, no, we do financial preparation.
(05:29):
We prepare you for life. I've explained this many times
here on the program. You want to be prepping for life.
You don't know what types of opportunities are gonna be
presented to you, and you want to be able to.
Speaker 2 (05:45):
Take advantage of them. That's what we do.
Speaker 3 (05:51):
We're not gonna say, oh, we're gonna look at this date,
We're gonna retire at this date. Come on, come on, no, no, no, no, no,
don't look at savings about a target date down the
road where you're gonna tap out.
Speaker 2 (06:03):
Okay, now, no, it's about building.
Speaker 3 (06:09):
Okay, we've talked about doing the right thing fundamentals, building wealth.
You have no idea. This especially addressed to you young
people out there. Okay, you're gonna let I mean, you
graduate from car let's see, you've got a job, you're
starting your to save a little bit of money. You
want some financial advisor, basically, you know, dictating when you're
(06:32):
gonna retire or you know, basically you have no idea
the things, the things that you're going to see all
the places you'll go one of my favorite books, Doctor Seuss,
All the places you go you go throughout life, and
you're gonna constrain yourself with some target date when you
want to retire. No, don't do that. Listen our personal CFO.
(07:01):
It's all about learning how to navigate financial storms, corrections, volatility,
all of the things that you are going to be
presented with. You're gonna learn how to recognize as we do,
recognize risk, avoid serious risk, including the black Swan variety
(07:24):
stuff out of nowhere. We've talked about this here on
the program. You want to go out there and build
an anti fragile portfolio.
Speaker 2 (07:32):
What does that mean.
Speaker 3 (07:35):
Does it mean, oh, yeah, you're gonna have a resilient
portfolio and that's easy.
Speaker 2 (07:40):
No, no, No.
Speaker 3 (07:40):
You want to take a shock, you want to take
a bear market, you want to take a sell off,
whatever it may be, and you're gonna come out on
the other side better, stronger than you were going in.
That's what an anti fragile portfolio means. That's what it's
all about. Listen to this program. You're listening to us,
(08:02):
You're going to understand that ninety nine point nine percent
of the business news that is out there. The conventional
wisdom of the day, whatever they're pushing on you, is
just that garbage. It's garbage, it's not reality. Conventional wisdom
is poison. They're there trying to sell you whatever they're
(08:26):
trying to sell you, trying to make you a greater fool.
And that game, that demonic game of musical chairs that
we've talked about quite often here on the program. We've
been doing this for over three decades now. Our client
(08:46):
retention rate is the best in.
Speaker 2 (08:49):
The industry for a reason. Forst there's no shortcuts.
Speaker 3 (08:54):
I don't offer anything like that, and I've made that
perfectly clear to get into the traders and the mistakes
that they're making in a little bit now.
Speaker 2 (09:06):
There's no magic algorithm.
Speaker 3 (09:08):
There's no there's no magic pattern pattern finding software that
we have. We're not always saying, oh, we're got to
roll the worse steals, searching for alpha.
Speaker 2 (09:19):
Looking for alpha, gotta blow everything away.
Speaker 3 (09:21):
No, we don't let risk lead to ruin. Everything in
life that has meaning, value and worth involves work, time
and effort.
Speaker 2 (09:30):
It's just that simple.
Speaker 3 (09:32):
No shortcuts here, no shortcuts, no magic fund now, none
of that garbage, my friends, that's just not how we operate. Again,
we are open to everyone. This is something again I've
got to make perfectly clear. My brothers have to deal
(09:54):
with this more often than I do because they handle
a lot of this, people inquiring whatnot. Like I said,
embarrassed had a half a million dollars now it's down
at two hundred and fifty thousand. Made all sorts of mistakes.
People just wanted to get started off. They're not sure
they're timid. Timid, who do you think you're dealing with here?
(10:18):
You deal with my family? Okay, We're not the guys
on TV that are hanging out at the country club
all weekend long sipping Martin. He's looking, you know, to
grab clients from the yacht class. That's not our client
tell I'm not in the entertainment business.
Speaker 2 (10:39):
That's not who we are. I quite I don't have
time for it.
Speaker 3 (10:43):
I got three kids, ones out of college, tour, still
in college, play college sports.
Speaker 2 (10:47):
My brother's the same exact thing.
Speaker 3 (10:51):
Yeah, do we work morning, noon, and night for our
clients seven days a WEE can't.
Speaker 2 (10:55):
We're never off.
Speaker 3 (10:58):
But you know, you're never got to talk to You're
never gonna talk to a ai Robos secretary. In fact,
this is funny. This past week I was talking to
people that they couldn't believe it. They couldn't believe that
I don't have I don't have a person out of
a secretary. I don't have anybody answering my phone.
Speaker 2 (11:20):
Just don't do it. I don't need it.
Speaker 3 (11:23):
It's not necessary. Clients direct line not gonna be hiding
underneath our now. I don't I gonna take their phone call. Yeah, sure,
we can't answer the phone call. Yeah, leave a message.
We'll get back to you almost instantaneously. That's who you're
dealing with here. It's something completely different. When Wall Street
(11:44):
decided it was gonna go in this direction, we decided
to go in a completely opposite direction. This was over
thirty years ago, and we're not gonna change. But again,
I didn't make this perfect gear. You're gonna hear me yell.
You're gonna hear me scream on this program. You're gonna
hear me get irate over ripoffs and scams and all
sorts of other nonsense out there. But can yell at
(12:08):
you if you fallen victim to something like this, I
feel bad for you.
Speaker 2 (12:14):
I do.
Speaker 3 (12:16):
Because we've been doing dealing with this for a very
long period of time. Does it frustrate the hell out
of me? Absolutely? Absolutely frustrating. It frustrates me. The guess
what not you nobody's gonna do anything about it. Sec Fenra.
They know who the bad guys are, the firms. Nice
(12:38):
stories today about guys just taking money.
Speaker 2 (12:41):
These are forbid.
Speaker 3 (12:42):
We're taking money out of their clients accounts, borrow borrowing money,
Pretend a're gonna pay back. What do you even think
that these firms didn't know? These firms didn't know that
there these advisors, theres were churning and burning their clients
doing all these terrible things.
Speaker 2 (12:54):
Of course they did. They didn't care.
Speaker 3 (12:57):
The odds are in their favor. Okay, they're in their favor.
They're all too big to fail, first and foremost, if
they do get caught. If they do get caught, they
pay a fine and they walk away. And more often
than not, people are so down and out after they
got ripped off they don't even bother hiring a lawyer
(13:17):
and going after the firm to even try to get
their money back. Most of the crimes that are out.
Speaker 2 (13:22):
There, people never even the authorities don't.
Speaker 3 (13:25):
Even see how many times I've had spoken to people
I said, why didn't you sue? Why do you go
that this is illegal? This is terrible, this is not right,
this was not proper for you or your portfolio. And
I don't want to It's just by the time, the time,
they're depressed, they don't want to deal with the situation.
(13:45):
They don't want to deal with all of that. And
you don't think that these big firms know that they do.
For the life of me, people, I don't get it.
I don't get it. I don't understan why you would
have your money at a big, big of Wells, for
any of these big institutions out there to get subpar service,
(14:09):
subpar returns from a subpar advisor paying higher fees, when
you could work with somebody that's the best in the business.
Speaker 2 (14:23):
And for less money.
Speaker 3 (14:25):
I again, I still try to get my arms around
that from time to time. It's just it's it's difficult too.
I get it, I get it, I get it. They
they they whine you and they dine and they do
also we're not going to do that. We don't have time,
you know. From time to time, Yeah, sure, but you know,
no we're not.
Speaker 2 (14:44):
I'm not.
Speaker 3 (14:44):
I don't have time ago golfing on the week, I
don't even play golf. Get the help you need. Understand
it's not financial planning, it's financial preparation. You are building wealth.
You're building wealth, and you know what you have. That's
(15:05):
what that's what you have to do. You have to
be a good steward of your money. That's God telling
you that build, create, protect, and teach. That is each
in every each and every one of us. That is
our responsibility. That is your responsibility, and that's what we're
(15:29):
here to help you accomplish. Get to our website at
Watchdog on Wallstreet dot com. That's Watchdog on wallstreet dot com.
Sign up for our personal CFO program. Check out my
columns dating back thirty plus years, our podcast, our newsletter,
all sorts of great stuff Watchdog on wall Street dot com,
(15:54):
or give us a call with the twenty four hour
day Hellpotline eight hundred four seven one fifty nine eighty four.
Speaker 2 (16:00):
Don't go anywhere, We'll be back.
Speaker 1 (16:18):
You should believe in math, not magic. You're listening to
the Watchdog in Wall Street with Chris Markowski.
Speaker 2 (16:29):
Jason Zwig.
Speaker 3 (16:30):
He's actually a He's a pretty darn good columnist. He
does the intelligent investor at the Wall Street Journal. The
Wall Street Journal is not the Wall Street Journal from
twenty five, thirty years ago by any stretch imagination. Most
of the reporters there are children and write stories with anecdotes,
which is kind of lazy, pathetic and sad. But Swig
(16:52):
does a very good job. He does. And he just
put out a column and it's very it's also echoing
some of the things that we have been doing for
a very long time.
Speaker 2 (17:02):
Here.
Speaker 3 (17:03):
Title of column is should you just buy stocks until
you die? Stocks are never a sure thing, especially when
everybody seems to think they are. And he says, Tina
is back. Tina stands for there is no alternative. I
(17:28):
I I put this across like I said thirty years ago,
actually not through excuse me, going back, going back to
two thousand, two thousand into two thousand and one, twenty
five years ago, there was the the the well, the idea,
stupid idea being put forward by all the big firms
(17:48):
where you have to have a sixty forty portfolio sixty
percent stocks, forty percent bonds. And I'm scratching my head
at you know around that point in times saying.
Speaker 2 (18:00):
This is not gonna work, this is not gonna work.
Speaker 3 (18:03):
And that was right at the time, Right at the time,
the government started kicking spending into gear again. And as
that continued to happen, posts nine to eleven, wars, more spending,
ultra low interest rates, we kept pushing on our program
(18:23):
and obviously designing portfolios for our clients where we didn't
just threw that out the window that that makes no sense,
it's stupid. Everybody else in the industry gotta have a
sixty to forty portfolio. Your sixty to forty portfolio did
crappy over the past twenty five years period.
Speaker 2 (18:44):
The end, it did crappy. I know it's up, it's up.
Speaker 3 (18:49):
But again, you take a look at the value of money,
you're buying power. You have lost, okay, a fifty three
percent of your buying power going back thirty years. So
if your money is not running a hell of a
(19:09):
lot faster, hell of a lot faster than the depreciating
value of your dollar, you're going nowhere, man, You're just
going nowhere.
Speaker 2 (19:22):
Now.
Speaker 3 (19:23):
You have to you must, you must understand when you
are obviously heavily invested in stocks. Yeah, Yeah, you have
to rotate assets. Yes, you have to take profits, and
we'll get into that a little bit.
Speaker 2 (19:40):
You have to do that, there's no doubt about that.
Speaker 3 (19:42):
One of the things that we've done is we basically
explain to people, is it almost We call it a
portfolio fire drill, where if you're getting close to a
moment in time, if you do want to retire without
a doubt, without a doubt, you take a certain portion
of your assets, certain portion of your assets that you
(20:02):
need to have to spend that you're gonna need to
have access to, and you put them into cash and
cash equivalents so.
Speaker 2 (20:09):
You don't have to worry.
Speaker 3 (20:12):
But the majority of your portfolio most certainly has to
be in stocks, high quality stocks, companies that are paying
you to own them.
Speaker 2 (20:22):
Compounding is the royal road to riches.
Speaker 3 (20:25):
You have to have your finances, your money running faster
than the depreciation of the dollar. Plain and simple. Watchdoginwallstreet
dot Com. Watchdog on wallstreet dot Com.
Speaker 2 (20:35):
We'll be back.
Speaker 1 (20:39):
Chris Markowski is the watchdog of Wall Streets, bringing America
(21:01):
financial freedom one listener at a time. You're listening to
the Watchdog on Wall Street with Chris Markowski.
Speaker 2 (21:10):
All right, I got to give you some numbers. Pay
close attention.
Speaker 3 (21:12):
I know numbers don't translate well on radio translate well
on TV either.
Speaker 2 (21:17):
Okay, pay close attention.
Speaker 3 (21:19):
You had some finance professors and historians University of Arizona, Emory,
University of Missouri that this is it's very interesting. They
analyzed stock and bond returns from thirty nine countries from
(21:40):
eighteen ninety through twenty twenty three. Man, I bet you
they have a lot of grad students working for them
doing this work. So eighteen ninety through twenty twenty three,
that is the longest available period during which each was
classified as a develop market, one hundred and thirty four
years for such markets as the United States in the UK,
(22:03):
as short as four years for the Nation of Columbia.
You know what the finding was, pretty much bonds. Bonds
have historically tended to go up and down in sync
with stocks over long periods.
Speaker 2 (22:22):
Okay, what does that mean?
Speaker 3 (22:24):
That makes them them a pretty poor diversifier, right, They're
basically doing the same thing, not a very good diversification tool.
While at the same time offering low returns. Bonds earned
zero point nine five percent annually, far below the seven
(22:44):
point seven to four percent on US stocks and seven
point zero three percent on international stocks. And you take
into account, you know what has happened to the value
of our money over the past few decades. People, Okay,
the advice, the advice that the big firms have been
(23:05):
giving has been hard. It's been hard for individual investors,
it really has. While we're on the topic of the
big firms out there, this is funny to me.
Speaker 2 (23:18):
Okay.
Speaker 3 (23:19):
So you had Goldman Sachs and Morgan Stanley. They were
there was some conference out there and this made headlines.
Oh my god, Golman Sacks, Morgan Stanley warn of a
market correction. We okay, business press has got to take
the ball and run with that baby.
Speaker 2 (23:37):
Here it is it's.
Speaker 3 (23:38):
Likely they'll be a ten to twenty percent draw down
in equity markets sometime in the next twelve to twenty
four months. That's Goldman Sachs CEO David Solomon at the
Global Financial Leader's Investment Summit in Hong Kong. Things run
and then they pulled back, so people can reassess, why
(24:02):
is this even news?
Speaker 2 (24:04):
Why is this even news? And I'm going to be very,
very honest with everybody out there. You should welcome this,
really should you should welcome it.
Speaker 3 (24:15):
And I say ten twenty percent pullback and your dollar
cost averaging.
Speaker 2 (24:21):
You're putting money away.
Speaker 3 (24:22):
Again, that's part of having an anti fragile portfolio, taking
advantage when things come down, dollar cost averaging again, making sure,
making sure that you have if you're living off your portfolio,
having enough in cash and cash equivalents where it's not going.
Speaker 2 (24:39):
To bother you. You should welcome that.
Speaker 3 (24:42):
But what's fascinating to me is I also, you know,
I happen to get some of the institutional notes and
what Goldman Sachsony's firms are telling their institutional clients sing
in a bit of a different tune there.
Speaker 2 (24:52):
Let's just leave it at that.
Speaker 3 (24:55):
What I'm telling you is bear them no mind, Bear
them no mind. You construct your portfolio properly as things
go up. As things go up, you take some money
off the table, rotate assets into other areas.
Speaker 2 (25:18):
Man, that's how it's done. People. Yeah. One of the
things in our.
Speaker 3 (25:24):
Well, it's it's kind of our rules of the road,
our process at Markowski Investments, and I go, this is
the master the obvious type of stuff.
Speaker 2 (25:33):
Buy things on sale. Wow.
Speaker 3 (25:37):
Deep thoughts by Chris Markowski. You know how many people
do the exact opposent most do you study the various
different trading accounts out there, Robin Hood, even going back
to the nineteen nineties with the E trades and amer
trades all that stuff, people do the exact opposite. They
sell their winners to buy losers. They buy high and
(26:02):
they sell low. There is right now there is a
lot of companies that are basically already in correction mode.
They're already down. They're just out of favor for this
period of time. Doesn't make them bad companies.
Speaker 2 (26:24):
They're guite. They're very good companies, solid companies.
Speaker 3 (26:30):
And as those tech companies in your portfolio, as they
go up and you're doing well, you know you can
take a little money off the table, rotate assets. This
is eventually the cycle will move in another direction and
the tech companies will come out of favor. It's just
how it works people. This is not something you do
(26:51):
every single day. You take a look as you go along.
You're not watching some sort of app or push notification
volumes up sell the whole thing. No, is it a
good company?
Speaker 2 (27:02):
Is it a fundamentally sound company.
Speaker 3 (27:04):
Where do you see the company five, ten, fifteen years,
some great You don't sell the whole thing.
Speaker 2 (27:11):
That's nonsensical. Be smart, manage your portfolio wisely. Cut here,
snip there. You do that.
Speaker 3 (27:23):
You build wealth, You protect yourself, protect yourself from market selloffs.
You're able to take advantage of down to Jitalica. All
of this stuff is what is going to make you wealthy. Okay,
it's not a shortcut. It's not a shortcut. It's a process.
It's our process. Gotta take a break. Watchdog Onwallstreet dot com.
(27:48):
Watch Dog on wallstreet dot com. Get our personal CFO program,
our podcast, our newsletter, all sorts of great great stuff
Watchdog onwallstreet dot com, or give us call eight hundred
course having one fifty eight four.
Speaker 2 (28:03):
I love that steam strong.
Speaker 3 (28:11):
Stream was never waiting.
Speaker 1 (28:17):
Teaking wall streets, liars, crooks and sheets out behind the woodshed.
You're listening to the Watchdog on Wall Street.
Speaker 2 (28:27):
Ah, but I lied, you know, at the beginning of
the program.
Speaker 3 (28:31):
Beginning of the program, I said that we can help everyone.
Speaker 2 (28:37):
We can help, and we do.
Speaker 3 (28:38):
We help everyone out, whether you're just getting started, where
you're well on your way.
Speaker 2 (28:41):
Like I've met talked about this before.
Speaker 3 (28:43):
We love building wealth here at Markowski Investments, not just
maintaining it. But there are people that we can't help.
There are people that we can't help. And the people
we cannot help are the ones that choose not to listen,
the ones that choose not to listen. And I know
I've I've told this story before. I'm going to tell
(29:05):
it again. It's it's a problem in today's day and age.
We get many, many people that inquire to work with us.
I want to become a part of our family at
Markowski Investments. And you know where they start saving for
(29:26):
their kids. You know, they hear the program listen, you know,
see me on TV podcast, whatever it may be. And
you know on the facade, on the facade, the the outside,
they look they look like they're doing well. Nice car,
nice house, well dressed, vote, all all these these various
(29:51):
different you know, trappings if you want to call them,
of wealth. You know, I'm sure they got very nice
Instagram uh pages out there, but they also have tens
of thousands of dollars in.
Speaker 2 (30:05):
Credit card debt.
Speaker 3 (30:08):
I can't help you there, okay, Well I can help
you in the sense of telling you what to do
and we do can pay. Basically, you know, one of
our side hustles is almost you know, doing a Dave
Ramsey bit for crying out line. We've been doing a
lot longer than Dave Ramsey's been doing it. Say hey, listen,
you know you've got you have to change your lifestyle
(30:30):
because the reality of the situation is people I am
not going to show Okay, we're I feel we're pretty
damn good at what we do at Markowski Investments, but
we are not going to show a higher rate of
return on a annual basis higher than you're paying on
your credit cards at twenty seven to thirty whatever it
(30:51):
is now's not gonna happen. So what we tell these
people to do is to deal with it. Deal with
the problem, pay it down, make some sacrifices, sell the boat,
get rid of that. You're in a hole. I mean,
it's just you know, you're in a hole. You don't
(31:12):
keep digging. This is not even digging. This is what
a backo digging. Okay, you have to deal with it.
But unfortunately I'm telling you right now n plus the time, no,
people would rather have a nicer looking social media page
than to be financially solvent, which is pathetic and sad,
(31:33):
as Bender said, And the breakfast club gotta take a break.
Watchdog on Wallstreet dot com. That's Watchdog on Wallstreet dot Com.
Speaker 2 (31:40):
We'll be back, James D.
Speaker 1 (31:44):
You're listening to the Watchdog on Wall Street. This is
the Watchdog on Wall Street.
Speaker 2 (32:11):
Welcome back, everybody.
Speaker 3 (32:15):
Another one of our really simplistic rules but makes complete sense,
is don't lose money. As I mentioned earlier, okay, you
never let risk lead to ruin. You don't. You cannot
let risk lead to ruin. And again it's let's put
(32:36):
it all on black. Please don't do that. And again
we see that happen often with people out there, and
it's this. This doesn't mean when I say don't lose money.
Sometimes things don't work out. Certain investments are not going
to work out. You're able to deal with them, you
can contain them that. That's fine, there's nothing wrong with that.
(33:00):
But when you take massive losses in your portfolio, it
takes a long time to build them back. And one
of the problems is, and this is the psychology, quite frankly,
of so many investors out there. When they're down on something,
they're down big. It's like they basically made a mental
commitment on that company, that stock, whatever it may be.
(33:25):
They're hoping and praying that it's gonna come back. And
this was going on, I mean so many times nineteen nineties, Enron,
Tycho WorldCom, all these companies were trying to explain to
people they're not coming back.
Speaker 2 (33:41):
They're not coming back. Get out. Oh I'm gonna lose
this amount of money. You want to lose more.
Speaker 3 (33:47):
I remember telling people, I said, you're gonna be able
to wallpaper your basement bathroom with Enron certificates.
Speaker 2 (33:54):
No, I don't think so.
Speaker 3 (33:55):
This one said it's gonna come back. No, No, you
let yourself get into this position. You kept averaging down
as the stock continued to go down. You'd stop doing that,
be smart. Anyway, I had this video sent over to me.
I guess they've been all of a sudden, and again
(34:16):
it was almost like I don't know what what it
was a clip and I got to figure out what
show it was on. Almost seemed like it was a frontline,
you know, PBS type of program, and it was basically explaining.
Speaker 2 (34:29):
About how the varioust different.
Speaker 3 (34:34):
Brokerage firms out there, how they what they do with
your order when you place it. You know, it was funny.
It was this robin Hood's. Robin Hood's numbers came out
this past week and whooh boy, they killed it. They
made a lot of money. And you're saying, well, how
do they make a lot of money if they're not
charging any money for trades. They must have they must
(34:54):
have a money tree at their corporate offices and they
can just go in the back and pick up off there. Schwab,
pfof brokerage, all the PFO, Schwab, Robinhood, they all allow
market makers to buy your orders. They allow them to
(35:18):
front run your trades, allow them to profit when you lose,
oftentimes sometimes giving you fake shares for a period of time.
They can dilute companies, they can manipulate markets, they can
destroy real price action.
Speaker 2 (35:36):
They can do this all. They can do it all,
and it's perfectly legal.
Speaker 3 (35:39):
Guys, all these dark pools that are out there, you
think you can compete with them, You can't, so stop trying.
They know they know where your your limit orders are in,
they know where your stop orders are in. They will
(36:00):
crush you and it's all perfectly legal. Again, how do
you think Robinhood. How do you think they're making their
money when they're not charging for you? How do they
keep the lights on? Oh, they're making a fortune as
well on options, especially those real short term options with
(36:20):
the massive spreads in the middle.
Speaker 2 (36:23):
They are printing money on these things.
Speaker 3 (36:25):
Those things are akin to the same dog poop companies
that Jordan Belfort was selling back in the nineteen nineties.
Same thing, I'm not sure nineteen eighties into the nineteen nineties. Yeah,
it's garbage. They're ripping you off royally.
Speaker 2 (36:45):
This is.
Speaker 3 (36:47):
Book by Howard Marx. It's called The Most Important Thing,
and he said day traders. Day traders consider themselves successful
if they bought a stock at ten dollars and sold
it at eleven dollars, bought it back the next week
at twenty four dollars and sold it at twenty five dollars,
(37:11):
bought it a week later at thirty nine dollars, and
sold it at forty dollars. Now again, I have people
that send me messages, oh, yoh, you.
Speaker 2 (37:22):
Dook, there's trades. I did look these trades at. It's
the same thing. If you're not able to see the flaw.
Speaker 3 (37:30):
In doing that, see a trader that made three dollars
and a stock that went up by thirty bucks a
price action. Again, I don't watch a lot of TV.
Don't watch a lot of TV. I think I saw this.
I was watching them. No, it must have been the
World Series. That's when I saw it. Okay, mesmerizing World Series.
(37:52):
But anyway, watching a World Series game and there's an
E trade commercial. Well, at least back in the back
in the nightnineteen nineties, the E trade commercials were clever.
They were funny. I guess you know that was that
was the thing back then. All of the discount houses
commercials were funny. Young people can go back and watch
them on YouTube. This commercial was just like, Ah, these
(38:15):
traders and this it looks like they're in a high
rise overlooking a city, all glass b and with a
desk in the middle. And this guy sitting there, I
don't know. He might have had twelve computer screens in
front of him, and he trades talking about their software.
And you're looking at these screens and they got colors
(38:35):
and charts and lights and you know, all sorts of stuff.
I keep thinking of bachelor party chicks and guns and
fire trucks.
Speaker 2 (38:44):
Anyway, all this stuff on these screens. Trade.
Speaker 3 (38:49):
It's not all this software and we've got pattern recognition software,
all this stuff. I'm like, show me, show me e trade,
show show me Robinhood. One person who's doing that that's
making money. I dare you, I double dog, dare you
show me one?
Speaker 2 (39:09):
Because there isn't. There isn't.
Speaker 3 (39:14):
It's gambling without the stigma. Watchdog on wallstreet dot com,
Watchdog on wallstreet dot com.
Speaker 2 (39:23):
Don't go anywhere, We'll be back.
Speaker 1 (39:29):
Chris Markowski is the Watchdog on Wall Street
Well, no one authored investment banker, consumer advocate, analyst, trader
Chris Markowski is the watchdog Wall Streets. You want to
answer exposing the lines and myths that the big brokerage firms,
the mainstream press, and the government are pushing to keep
Americans away from financial freedom.
Speaker 2 (00:28):
You can't handle the true proof.
Speaker 1 (00:30):
Bringing America the truth about what really happens in the
financial world.
Speaker 2 (00:35):
Ladies and gentlemen.
Speaker 3 (00:35):
We're not here to indulge in fantasy, but in political
and economic reality.
Speaker 1 (00:39):
This is the watchdog on Wall Streets.
Speaker 2 (00:45):
Okay, welcome, everybody. Welcome. We're going to get in. Don't worry.
Speaker 3 (00:50):
We're going to get into the uh the Republican wipe
out what it means and uh we called it.
Speaker 2 (00:57):
We told you that was going to happen.
Speaker 3 (01:00):
A lot of other things as far as the shutdown
is concerned, the overall feeling around the country. We're going
to delve deep into that on the program today. But
I'm going to start off. I want to start off today.
I want to talk.
Speaker 2 (01:12):
About you, my listeners out here.
Speaker 3 (01:16):
And one thing that my father taught me when I
was very very young is if there's an issue, if
there's a problem, with your house for example, or or
let's say your your cars making a funny noise, slightest
(01:36):
thing you see off at your house, you deal with
it immediately, immediately, You don't let it go. Yeah, I
for one, I'm not a big when it comes to
going to a doctor, I'm not. But if I know
when I need to go to a doctor, if something
is really wrong, you don't want to delay the things
(02:00):
because what happens, and it's kind of get concepted compounding
interests and how things can help you with compounding, but
compounding can work against you. Small problems end up turning
into big problems.
Speaker 2 (02:15):
Same thing, Same thing happens with people and their money.
Speaker 3 (02:21):
I've noticed this people putting off actually doing the right
thing when it comes to their finances, when it comes
to actually getting their financial preparation or financial plan together.
And every week here on the program, every single week,
I invite you, each and every one of you listening
(02:42):
to the show to go to our website at Watchdog
on Wall Street dot com sign up for our personal
c FO program. Now, I know, I know I may
get a little loud and yell and scream here on
the programming about a myriad of things.
Speaker 2 (03:00):
No, we don't. We're not gonna yell at you. Okay,
if you've messed up your portfolio.
Speaker 3 (03:06):
You thought you were the modern day version of Gordon
get Go, you wet in your Robin Hood account and
you blew it up, We're not gonna yell at you.
I know I yell here on the program. Okay, that's
why I'm trying to get my point across. You understand,
And you know, I'm basically also knowing that she wiz,
I know what the future holds, and you're gonna lose
(03:27):
money by doing these myriad of different things because we
see it again and again, and you know it's frustration
that I'm getting out here on the program. No, we're
not gonna beat you up here on the program for
the financial mistakes that you have made. And that's one
of the reasons, quite frankly, we've discovered is that people
(03:47):
oftentimes are embarrassed. They're embarrassed about their financial condition. Then
what do they end up doing. They end up delaying,
They end up up delaying doing the right thing.
Speaker 2 (04:01):
You must.
Speaker 3 (04:02):
People do this with more things than that you think
about it. When it comes to people are out of shape.
People are out of shape. Nah. You know what, then
they delay going to the gym and doing the right
thing because they're afraid.
Speaker 2 (04:17):
They're afraid. No, no, no, I'm sorry. Go to you're
out of shape, Go to the gym. Get there.
Speaker 3 (04:25):
If you don't know what you're doing, ask somebody who's
working out there. We're more than a help, more than
happy to point you in the right direction.
Speaker 2 (04:31):
We love that stuff. Listen.
Speaker 3 (04:36):
Okay, I maybe loud and boisterous here on the program,
but my brothers and I are not gonna yell and
scream at you because you haven't handled your finances properly.
Speaker 2 (04:48):
Okay, we're not. That's not who we are.
Speaker 3 (04:51):
We're gonna help and we're gonna point you in the
right direction.
Speaker 2 (04:55):
Another thing is is people say, ah, you know what.
Speaker 3 (04:58):
Ah, retirement thing is that that's a you know, that's
a concern. I gotta worry about that decade. So now
I gotta I got other fish to fry.
Speaker 2 (05:06):
Yeah, you do. It's not.
Speaker 3 (05:07):
First off, don't even look at it it's about retirement planning,
because we don't do that. Okay, that's that's that's that's
the sales meet salesman type stuff that you're gonna get
from Edward Jones and Amor Prize and Merrill and Just
Retirement Player Playing for Retirement. No, no, we do financial preparation.
(05:29):
We prepare you for life. I've explained this many times
here on the program. You want to be prepping for life.
You don't know what types of opportunities are gonna be
presented to you, and you want to be able to.
Speaker 2 (05:45):
Take advantage of them. That's what we do.
Speaker 3 (05:51):
We're not gonna say, oh, we're gonna look at this date,
We're gonna retire at this date. Come on, come on, no, no, no, no, no,
don't look at savings about a target date down the
road where you're gonna tap out.
Speaker 2 (06:03):
Okay, now, no, it's about building.
Speaker 3 (06:09):
Okay, we've talked about doing the right thing fundamentals, building wealth.
You have no idea. This especially addressed to you young
people out there. Okay, you're gonna let I mean, you
graduate from car let's see, you've got a job, you're
starting your to save a little bit of money. You
want some financial advisor, basically, you know, dictating when you're
(06:32):
gonna retire or you know, basically you have no idea
the things, the things that you're going to see all
the places you'll go one of my favorite books, Doctor Seuss,
All the places you go you go throughout life, and
you're gonna constrain yourself with some target date when you
want to retire. No, don't do that. Listen our personal CFO.
(07:01):
It's all about learning how to navigate financial storms, corrections, volatility,
all of the things that you are going to be
presented with. You're gonna learn how to recognize as we do,
recognize risk, avoid serious risk, including the black Swan variety
(07:24):
stuff out of nowhere. We've talked about this here on
the program. You want to go out there and build
an anti fragile portfolio.
Speaker 2 (07:32):
What does that mean.
Speaker 3 (07:35):
Does it mean, oh, yeah, you're gonna have a resilient
portfolio and that's easy.
Speaker 2 (07:40):
No, no, No.
Speaker 3 (07:40):
You want to take a shock, you want to take
a bear market, you want to take a sell off,
whatever it may be, and you're gonna come out on
the other side better, stronger than you were going in.
That's what an anti fragile portfolio means. That's what it's
all about. Listen to this program. You're listening to us,
(08:02):
You're going to understand that ninety nine point nine percent
of the business news that is out there. The conventional
wisdom of the day, whatever they're pushing on you, is
just that garbage. It's garbage, it's not reality. Conventional wisdom
is poison. They're there trying to sell you whatever they're
(08:26):
trying to sell you, trying to make you a greater fool.
And that game, that demonic game of musical chairs that
we've talked about quite often here on the program. We've
been doing this for over three decades now. Our client
(08:46):
retention rate is the best in.
Speaker 2 (08:49):
The industry for a reason. Forst there's no shortcuts.
Speaker 3 (08:54):
I don't offer anything like that, and I've made that
perfectly clear to get into the traders and the mistakes
that they're making in a little bit now.
Speaker 2 (09:06):
There's no magic algorithm.
Speaker 3 (09:08):
There's no there's no magic pattern pattern finding software that
we have. We're not always saying, oh, we're got to
roll the worse steals, searching for alpha.
Speaker 2 (09:19):
Looking for alpha, gotta blow everything away.
Speaker 3 (09:21):
No, we don't let risk lead to ruin. Everything in
life that has meaning, value and worth involves work, time
and effort.
Speaker 2 (09:30):
It's just that simple.
Speaker 3 (09:32):
No shortcuts here, no shortcuts, no magic fund now, none
of that garbage, my friends, that's just not how we operate. Again,
we are open to everyone. This is something again I've
got to make perfectly clear. My brothers have to deal
(09:54):
with this more often than I do because they handle
a lot of this, people inquiring whatnot. Like I said,
embarrassed had a half a million dollars now it's down
at two hundred and fifty thousand. Made all sorts of mistakes.
People just wanted to get started off. They're not sure
they're timid. Timid, who do you think you're dealing with here?
(10:18):
You deal with my family? Okay, We're not the guys
on TV that are hanging out at the country club
all weekend long sipping Martin. He's looking, you know, to
grab clients from the yacht class. That's not our client
tell I'm not in the entertainment business.
Speaker 2 (10:39):
That's not who we are. I quite I don't have
time for it.
Speaker 3 (10:43):
I got three kids, ones out of college, tour, still
in college, play college sports.
Speaker 2 (10:47):
My brother's the same exact thing.
Speaker 3 (10:51):
Yeah, do we work morning, noon, and night for our
clients seven days a WEE can't.
Speaker 2 (10:55):
We're never off.
Speaker 3 (10:58):
But you know, you're never got to talk to You're
never gonna talk to a ai Robos secretary. In fact,
this is funny. This past week I was talking to
people that they couldn't believe it. They couldn't believe that
I don't have I don't have a person out of
a secretary. I don't have anybody answering my phone.
Speaker 2 (11:20):
Just don't do it. I don't need it.
Speaker 3 (11:23):
It's not necessary. Clients direct line not gonna be hiding
underneath our now. I don't I gonna take their phone call. Yeah, sure,
we can't answer the phone call. Yeah, leave a message.
We'll get back to you almost instantaneously. That's who you're
dealing with here. It's something completely different. When Wall Street
(11:44):
decided it was gonna go in this direction, we decided
to go in a completely opposite direction. This was over
thirty years ago, and we're not gonna change. But again,
I didn't make this perfect gear. You're gonna hear me yell.
You're gonna hear me scream on this program. You're gonna
hear me get irate over ripoffs and scams and all
sorts of other nonsense out there. But can yell at
(12:08):
you if you fallen victim to something like this, I
feel bad for you.
Speaker 2 (12:14):
I do.
Speaker 3 (12:16):
Because we've been doing dealing with this for a very
long period of time. Does it frustrate the hell out
of me? Absolutely? Absolutely frustrating. It frustrates me. The guess
what not you nobody's gonna do anything about it. Sec Fenra.
They know who the bad guys are, the firms. Nice
(12:38):
stories today about guys just taking money.
Speaker 2 (12:41):
These are forbid.
Speaker 3 (12:42):
We're taking money out of their clients accounts, borrow borrowing money,
Pretend a're gonna pay back. What do you even think
that these firms didn't know? These firms didn't know that
there these advisors, theres were churning and burning their clients
doing all these terrible things.
Speaker 2 (12:54):
Of course they did. They didn't care.
Speaker 3 (12:57):
The odds are in their favor. Okay, they're in their favor.
They're all too big to fail, first and foremost, if
they do get caught. If they do get caught, they
pay a fine and they walk away. And more often
than not, people are so down and out after they
got ripped off they don't even bother hiring a lawyer
(13:17):
and going after the firm to even try to get
their money back. Most of the crimes that are out.
Speaker 2 (13:22):
There, people never even the authorities don't.
Speaker 3 (13:25):
Even see how many times I've had spoken to people
I said, why didn't you sue? Why do you go
that this is illegal? This is terrible, this is not right,
this was not proper for you or your portfolio. And
I don't want to It's just by the time, the time,
they're depressed, they don't want to deal with the situation.
(13:45):
They don't want to deal with all of that. And
you don't think that these big firms know that they do.
For the life of me, people, I don't get it.
I don't get it. I don't understan why you would
have your money at a big, big of Wells, for
any of these big institutions out there to get subpar service,
(14:09):
subpar returns from a subpar advisor paying higher fees, when
you could work with somebody that's the best in the business.
Speaker 2 (14:23):
And for less money.
Speaker 3 (14:25):
I again, I still try to get my arms around
that from time to time. It's just it's it's difficult too.
I get it, I get it, I get it. They
they they whine you and they dine and they do
also we're not going to do that. We don't have time,
you know. From time to time, Yeah, sure, but you know,
no we're not.
Speaker 2 (14:44):
I'm not.
Speaker 3 (14:44):
I don't have time ago golfing on the week, I
don't even play golf. Get the help you need. Understand
it's not financial planning, it's financial preparation. You are building wealth.
You're building wealth, and you know what you have. That's
(15:05):
what that's what you have to do. You have to
be a good steward of your money. That's God telling
you that build, create, protect, and teach. That is each
in every each and every one of us. That is
our responsibility. That is your responsibility, and that's what we're
(15:29):
here to help you accomplish. Get to our website at
Watchdog on Wallstreet dot com. That's Watchdog on wallstreet dot com.
Sign up for our personal CFO program. Check out my
columns dating back thirty plus years, our podcast, our newsletter,
all sorts of great stuff Watchdog on wall Street dot com,
(15:54):
or give us a call with the twenty four hour
day Hellpotline eight hundred four seven one fifty nine eighty four.
Speaker 2 (16:00):
Don't go anywhere, We'll be back.
Speaker 1 (16:18):
You should believe in math, not magic. You're listening to
the Watchdog in Wall Street with Chris Markowski.
Speaker 2 (16:29):
Jason Zwig.
Speaker 3 (16:30):
He's actually a He's a pretty darn good columnist. He
does the intelligent investor at the Wall Street Journal. The
Wall Street Journal is not the Wall Street Journal from
twenty five, thirty years ago by any stretch imagination. Most
of the reporters there are children and write stories with anecdotes,
which is kind of lazy, pathetic and sad. But Swig
(16:52):
does a very good job. He does. And he just
put out a column and it's very it's also echoing
some of the things that we have been doing for
a very long time.
Speaker 2 (17:02):
Here.
Speaker 3 (17:03):
Title of column is should you just buy stocks until
you die? Stocks are never a sure thing, especially when
everybody seems to think they are. And he says, Tina
is back. Tina stands for there is no alternative. I
(17:28):
I I put this across like I said thirty years ago,
actually not through excuse me, going back, going back to
two thousand, two thousand into two thousand and one, twenty
five years ago, there was the the the well, the idea,
stupid idea being put forward by all the big firms
(17:48):
where you have to have a sixty forty portfolio sixty
percent stocks, forty percent bonds. And I'm scratching my head
at you know around that point in times saying.
Speaker 2 (18:00):
This is not gonna work, this is not gonna work.
Speaker 3 (18:03):
And that was right at the time, Right at the time,
the government started kicking spending into gear again. And as
that continued to happen, posts nine to eleven, wars, more spending,
ultra low interest rates, we kept pushing on our program
(18:23):
and obviously designing portfolios for our clients where we didn't
just threw that out the window that that makes no sense,
it's stupid. Everybody else in the industry gotta have a
sixty to forty portfolio. Your sixty to forty portfolio did
crappy over the past twenty five years period.
Speaker 2 (18:44):
The end, it did crappy. I know it's up, it's up.
Speaker 3 (18:49):
But again, you take a look at the value of money,
you're buying power. You have lost, okay, a fifty three
percent of your buying power going back thirty years. So
if your money is not running a hell of a
(19:09):
lot faster, hell of a lot faster than the depreciating
value of your dollar, you're going nowhere, man, You're just
going nowhere.
Speaker 2 (19:22):
Now.
Speaker 3 (19:23):
You have to you must, you must understand when you
are obviously heavily invested in stocks. Yeah, Yeah, you have
to rotate assets. Yes, you have to take profits, and
we'll get into that a little bit.
Speaker 2 (19:40):
You have to do that, there's no doubt about that.
Speaker 3 (19:42):
One of the things that we've done is we basically
explain to people, is it almost We call it a
portfolio fire drill, where if you're getting close to a
moment in time, if you do want to retire without
a doubt, without a doubt, you take a certain portion
of your assets, certain portion of your assets that you
(20:02):
need to have to spend that you're gonna need to
have access to, and you put them into cash and
cash equivalents so.
Speaker 2 (20:09):
You don't have to worry.
Speaker 3 (20:12):
But the majority of your portfolio most certainly has to
be in stocks, high quality stocks, companies that are paying
you to own them.
Speaker 2 (20:22):
Compounding is the royal road to riches.
Speaker 3 (20:25):
You have to have your finances, your money running faster
than the depreciation of the dollar. Plain and simple. Watchdoginwallstreet
dot Com. Watchdog on wallstreet dot Com.
Speaker 2 (20:35):
We'll be back.
Speaker 1 (20:39):
Chris Markowski is the watchdog of Wall Streets, bringing America
(21:01):
financial freedom one listener at a time. You're listening to
the Watchdog on Wall Street with Chris Markowski.
Speaker 2 (21:10):
All right, I got to give you some numbers. Pay
close attention.
Speaker 3 (21:12):
I know numbers don't translate well on radio translate well
on TV either.
Speaker 2 (21:17):
Okay, pay close attention.
Speaker 3 (21:19):
You had some finance professors and historians University of Arizona, Emory,
University of Missouri that this is it's very interesting. They
analyzed stock and bond returns from thirty nine countries from
(21:40):
eighteen ninety through twenty twenty three. Man, I bet you
they have a lot of grad students working for them
doing this work. So eighteen ninety through twenty twenty three,
that is the longest available period during which each was
classified as a develop market, one hundred and thirty four
years for such markets as the United States in the UK,
(22:03):
as short as four years for the Nation of Columbia.
You know what the finding was, pretty much bonds. Bonds
have historically tended to go up and down in sync
with stocks over long periods.
Speaker 2 (22:22):
Okay, what does that mean?
Speaker 3 (22:24):
That makes them them a pretty poor diversifier, right, They're
basically doing the same thing, not a very good diversification tool.
While at the same time offering low returns. Bonds earned
zero point nine five percent annually, far below the seven
(22:44):
point seven to four percent on US stocks and seven
point zero three percent on international stocks. And you take
into account, you know what has happened to the value
of our money over the past few decades. People, Okay,
the advice, the advice that the big firms have been
(23:05):
giving has been hard. It's been hard for individual investors,
it really has. While we're on the topic of the
big firms out there, this is funny to me.
Speaker 2 (23:18):
Okay.
Speaker 3 (23:19):
So you had Goldman Sachs and Morgan Stanley. They were
there was some conference out there and this made headlines.
Oh my god, Golman Sacks, Morgan Stanley warn of a
market correction. We okay, business press has got to take
the ball and run with that baby.
Speaker 2 (23:37):
Here it is it's.
Speaker 3 (23:38):
Likely they'll be a ten to twenty percent draw down
in equity markets sometime in the next twelve to twenty
four months. That's Goldman Sachs CEO David Solomon at the
Global Financial Leader's Investment Summit in Hong Kong. Things run
and then they pulled back, so people can reassess, why
(24:02):
is this even news?
Speaker 2 (24:04):
Why is this even news? And I'm going to be very,
very honest with everybody out there. You should welcome this,
really should you should welcome it.
Speaker 3 (24:15):
And I say ten twenty percent pullback and your dollar
cost averaging.
Speaker 2 (24:21):
You're putting money away.
Speaker 3 (24:22):
Again, that's part of having an anti fragile portfolio, taking
advantage when things come down, dollar cost averaging again, making sure,
making sure that you have if you're living off your portfolio,
having enough in cash and cash equivalents where it's not going.
Speaker 2 (24:39):
To bother you. You should welcome that.
Speaker 3 (24:42):
But what's fascinating to me is I also, you know,
I happen to get some of the institutional notes and
what Goldman Sachsony's firms are telling their institutional clients sing
in a bit of a different tune there.
Speaker 2 (24:52):
Let's just leave it at that.
Speaker 3 (24:55):
What I'm telling you is bear them no mind, Bear
them no mind. You construct your portfolio properly as things
go up. As things go up, you take some money
off the table, rotate assets into other areas.
Speaker 2 (25:18):
Man, that's how it's done. People. Yeah. One of the
things in our.
Speaker 3 (25:24):
Well, it's it's kind of our rules of the road,
our process at Markowski Investments, and I go, this is
the master the obvious type of stuff.
Speaker 2 (25:33):
Buy things on sale. Wow.
Speaker 3 (25:37):
Deep thoughts by Chris Markowski. You know how many people
do the exact opposent most do you study the various
different trading accounts out there, Robin Hood, even going back
to the nineteen nineties with the E trades and amer
trades all that stuff, people do the exact opposite. They
sell their winners to buy losers. They buy high and
(26:02):
they sell low. There is right now there is a
lot of companies that are basically already in correction mode.
They're already down. They're just out of favor for this
period of time. Doesn't make them bad companies.
Speaker 2 (26:24):
They're guite. They're very good companies, solid companies.
Speaker 3 (26:30):
And as those tech companies in your portfolio, as they
go up and you're doing well, you know you can
take a little money off the table, rotate assets. This
is eventually the cycle will move in another direction and
the tech companies will come out of favor. It's just
how it works people. This is not something you do
(26:51):
every single day. You take a look as you go along.
You're not watching some sort of app or push notification
volumes up sell the whole thing. No, is it a
good company?
Speaker 2 (27:02):
Is it a fundamentally sound company.
Speaker 3 (27:04):
Where do you see the company five, ten, fifteen years,
some great You don't sell the whole thing.
Speaker 2 (27:11):
That's nonsensical. Be smart, manage your portfolio wisely. Cut here,
snip there. You do that.
Speaker 3 (27:23):
You build wealth, You protect yourself, protect yourself from market selloffs.
You're able to take advantage of down to Jitalica. All
of this stuff is what is going to make you wealthy. Okay,
it's not a shortcut. It's not a shortcut. It's a process.
It's our process. Gotta take a break. Watchdog Onwallstreet dot com.
(27:48):
Watch Dog on wallstreet dot com. Get our personal CFO program,
our podcast, our newsletter, all sorts of great great stuff
Watchdog onwallstreet dot com, or give us call eight hundred
course having one fifty eight four.
Speaker 2 (28:03):
I love that steam strong.
Speaker 3 (28:11):
Stream was never waiting.
Speaker 1 (28:17):
Teaking wall streets, liars, crooks and sheets out behind the woodshed.
You're listening to the Watchdog on Wall Street.
Speaker 2 (28:27):
Ah, but I lied, you know, at the beginning of
the program.
Speaker 3 (28:31):
Beginning of the program, I said that we can help everyone.
Speaker 2 (28:37):
We can help, and we do.
Speaker 3 (28:38):
We help everyone out, whether you're just getting started, where
you're well on your way.
Speaker 2 (28:41):
Like I've met talked about this before.
Speaker 3 (28:43):
We love building wealth here at Markowski Investments, not just
maintaining it. But there are people that we can't help.
There are people that we can't help. And the people
we cannot help are the ones that choose not to listen,
the ones that choose not to listen. And I know
I've I've told this story before. I'm going to tell
(29:05):
it again. It's it's a problem in today's day and age.
We get many, many people that inquire to work with us.
I want to become a part of our family at
Markowski Investments. And you know where they start saving for
(29:26):
their kids. You know, they hear the program listen, you know,
see me on TV podcast, whatever it may be. And
you know on the facade, on the facade, the the outside,
they look they look like they're doing well. Nice car,
nice house, well dressed, vote, all all these these various
(29:51):
different you know, trappings if you want to call them,
of wealth. You know, I'm sure they got very nice
Instagram uh pages out there, but they also have tens
of thousands of dollars in.
Speaker 2 (30:05):
Credit card debt.
Speaker 3 (30:08):
I can't help you there, okay, Well I can help
you in the sense of telling you what to do
and we do can pay. Basically, you know, one of
our side hustles is almost you know, doing a Dave
Ramsey bit for crying out line. We've been doing a
lot longer than Dave Ramsey's been doing it. Say hey, listen,
you know you've got you have to change your lifestyle
(30:30):
because the reality of the situation is people I am
not going to show Okay, we're I feel we're pretty
damn good at what we do at Markowski Investments, but
we are not going to show a higher rate of
return on a annual basis higher than you're paying on
your credit cards at twenty seven to thirty whatever it
(30:51):
is now's not gonna happen. So what we tell these
people to do is to deal with it. Deal with
the problem, pay it down, make some sacrifices, sell the boat,
get rid of that. You're in a hole. I mean,
it's just you know, you're in a hole. You don't
(31:12):
keep digging. This is not even digging. This is what
a backo digging. Okay, you have to deal with it.
But unfortunately I'm telling you right now n plus the time, no,
people would rather have a nicer looking social media page
than to be financially solvent, which is pathetic and sad,
(31:33):
as Bender said, And the breakfast club gotta take a break.
Watchdog on Wallstreet dot com. That's Watchdog on Wallstreet dot Com.
Speaker 2 (31:40):
We'll be back, James D.
Speaker 1 (31:44):
You're listening to the Watchdog on Wall Street. This is
the Watchdog on Wall Street.
Speaker 2 (32:11):
Welcome back, everybody.
Speaker 3 (32:15):
Another one of our really simplistic rules but makes complete sense,
is don't lose money. As I mentioned earlier, okay, you
never let risk lead to ruin. You don't. You cannot
let risk lead to ruin. And again it's let's put
(32:36):
it all on black. Please don't do that. And again
we see that happen often with people out there, and
it's this. This doesn't mean when I say don't lose money.
Sometimes things don't work out. Certain investments are not going
to work out. You're able to deal with them, you
can contain them that. That's fine, there's nothing wrong with that.
(33:00):
But when you take massive losses in your portfolio, it
takes a long time to build them back. And one
of the problems is, and this is the psychology, quite frankly,
of so many investors out there. When they're down on something,
they're down big. It's like they basically made a mental
commitment on that company, that stock, whatever it may be.
(33:25):
They're hoping and praying that it's gonna come back. And
this was going on, I mean so many times nineteen nineties, Enron,
Tycho WorldCom, all these companies were trying to explain to
people they're not coming back.
Speaker 2 (33:41):
They're not coming back. Get out. Oh I'm gonna lose
this amount of money. You want to lose more.
Speaker 3 (33:47):
I remember telling people, I said, you're gonna be able
to wallpaper your basement bathroom with Enron certificates.
Speaker 2 (33:54):
No, I don't think so.
Speaker 3 (33:55):
This one said it's gonna come back. No, No, you
let yourself get into this position. You kept averaging down
as the stock continued to go down. You'd stop doing that,
be smart. Anyway, I had this video sent over to me.
I guess they've been all of a sudden, and again
(34:16):
it was almost like I don't know what what it
was a clip and I got to figure out what
show it was on. Almost seemed like it was a frontline,
you know, PBS type of program, and it was basically explaining.
Speaker 2 (34:29):
About how the varioust different.
Speaker 3 (34:34):
Brokerage firms out there, how they what they do with
your order when you place it. You know, it was funny.
It was this robin Hood's. Robin Hood's numbers came out
this past week and whooh boy, they killed it. They
made a lot of money. And you're saying, well, how
do they make a lot of money if they're not
charging any money for trades. They must have they must
(34:54):
have a money tree at their corporate offices and they
can just go in the back and pick up off there. Schwab,
pfof brokerage, all the PFO, Schwab, Robinhood, they all allow
market makers to buy your orders. They allow them to
(35:18):
front run your trades, allow them to profit when you lose,
oftentimes sometimes giving you fake shares for a period of time.
They can dilute companies, they can manipulate markets, they can
destroy real price action.
Speaker 2 (35:36):
They can do this all. They can do it all,
and it's perfectly legal.
Speaker 3 (35:39):
Guys, all these dark pools that are out there, you
think you can compete with them, You can't, so stop trying.
They know they know where your your limit orders are in,
they know where your stop orders are in. They will
(36:00):
crush you and it's all perfectly legal. Again, how do
you think Robinhood. How do you think they're making their
money when they're not charging for you? How do they
keep the lights on? Oh, they're making a fortune as
well on options, especially those real short term options with
(36:20):
the massive spreads in the middle.
Speaker 2 (36:23):
They are printing money on these things.
Speaker 3 (36:25):
Those things are akin to the same dog poop companies
that Jordan Belfort was selling back in the nineteen nineties.
Same thing, I'm not sure nineteen eighties into the nineteen nineties. Yeah,
it's garbage. They're ripping you off royally.
Speaker 2 (36:45):
This is.
Speaker 3 (36:47):
Book by Howard Marx. It's called The Most Important Thing,
and he said day traders. Day traders consider themselves successful
if they bought a stock at ten dollars and sold
it at eleven dollars, bought it back the next week
at twenty four dollars and sold it at twenty five dollars,
(37:11):
bought it a week later at thirty nine dollars, and
sold it at forty dollars. Now again, I have people
that send me messages, oh, yoh, you.
Speaker 2 (37:22):
Dook, there's trades. I did look these trades at. It's
the same thing. If you're not able to see the flaw.
Speaker 3 (37:30):
In doing that, see a trader that made three dollars
and a stock that went up by thirty bucks a
price action. Again, I don't watch a lot of TV.
Don't watch a lot of TV. I think I saw this.
I was watching them. No, it must have been the
World Series. That's when I saw it. Okay, mesmerizing World Series.
(37:52):
But anyway, watching a World Series game and there's an
E trade commercial. Well, at least back in the back
in the nightnineteen nineties, the E trade commercials were clever.
They were funny. I guess you know that was that
was the thing back then. All of the discount houses
commercials were funny. Young people can go back and watch
them on YouTube. This commercial was just like, Ah, these
(38:15):
traders and this it looks like they're in a high
rise overlooking a city, all glass b and with a
desk in the middle. And this guy sitting there, I
don't know. He might have had twelve computer screens in
front of him, and he trades talking about their software.
And you're looking at these screens and they got colors
(38:35):
and charts and lights and you know, all sorts of stuff.
I keep thinking of bachelor party chicks and guns and
fire trucks.
Speaker 2 (38:44):
Anyway, all this stuff on these screens. Trade.
Speaker 3 (38:49):
It's not all this software and we've got pattern recognition software,
all this stuff. I'm like, show me, show me e trade,
show show me Robinhood. One person who's doing that that's
making money. I dare you, I double dog, dare you
show me one?
Speaker 2 (39:09):
Because there isn't. There isn't.
Speaker 3 (39:14):
It's gambling without the stigma. Watchdog on wallstreet dot com,
Watchdog on wallstreet dot com.
Speaker 2 (39:23):
Don't go anywhere, We'll be back.
Speaker 1 (39:29):
Chris Markowski is the Watchdog on Wall Street
Popular Podcasts
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Follow now to get the latest episodes of Dateline NBC completely free, or subscribe to Dateline Premium for ad-free listening and exclusive bonus content: DatelinePremium.com
Are You A Charlotte?
In 1997, actress Kristin Davis’ life was forever changed when she took on the role of Charlotte York in Sex and the City. As we watched Carrie, Samantha, Miranda and Charlotte navigate relationships in NYC, the show helped push once unacceptable conversation topics out of the shadows and altered the narrative around women and sex. We all saw ourselves in them as they searched for fulfillment in life, sex and friendships. Now, Kristin Davis wants to connect with you, the fans, and share untold stories and all the behind the scenes. Together, with Kristin and special guests, what will begin with Sex and the City will evolve into talks about themes that are still so relevant today. "Are you a Charlotte?" is much more than just rewatching this beloved show, it brings the past and the present together as we talk with heart, humor and of course some optimism.
Stuff You Should Know
If you've ever wanted to know about champagne, satanism, the Stonewall Uprising, chaos theory, LSD, El Nino, true crime and Rosa Parks, then look no further. Josh and Chuck have you covered.