Money For the Rest of Us
A personal finance and investing podcast on money, how it works, how to invest it and how to live without worrying about it. J. David Stein is a former Chief Investment Strategist and money manager. For close to two decades, he has been teaching individuals and institutions how to invest and handle their finances in ways that are simple to understand. More info at moneyfortherestofus.com
Wed, April 02, 2025
Is It Too Late to Invest in Gold? with Max Belmont - FEG Insight Bridge
Greg Dowling of FEG interviews Max Belmont, a gold specialist and portfolio manager at First Eagle Investments. Greg and Max discuss the historical, philosophical, and practical reasons for owning gold. Topics covered include: Where does gold’s reputation as a safe haven come from, and why it trades differently than other commodities. How gold differs from other asset classes including Bitcoin, which is sometimes referred to as digital gold. How we should think about gold when including it in our investment portfolios. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes The Golden Age with Max Belmont - FEG Insight Bridge episode page Related Episodes 431: The Long-term Bullish Case for Gold 316: Paper, Rocks, or Digits—What Makes the Best Money 263: Should You Invest In Gold? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 26, 2025
Should You Investment 100% of Your Retirement in Closed-End Funds?
We compare three approaches to closed-end fund investing: Opportunistic trading, the buy and hold income factory, and a systematic approach of selling closed-end funds after 5% gains. We also explore the pros and cons of closed-end funds relative to open-end mutual funds and ETFs. Episode Sponsors Stawberry.me NetSuite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes The Closed-End Fund Market, 2023—Investment Company Institute The Income Factory: An Investor’s Guide to Consistent Lifetime Returns by Steven Bavaria—McGraw-Hill Companies Retirement Money Secrets: A Financial Insider's Guide to Income Independence by Steve Selengut—RIC LLC How to Invest in Closed-End Funds—Money for the Rest of Us Investing in Closed-End Funds Course—Money for the Rest of Us See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 19, 2025
What Trump Wants Part 2 - How Trade Deficits and Capital Flows Can Harm or Help Countries
How trade deficits are making the U.S. poorer, while in the past they have made the U.S. wealthier. Topics covered include: Two ways countries can increase their competitiveness How savings always equals investment Why excess savings flows to the U.S. leading to a drop in U.S. domestic savings Why the U.S. current trade situation could lead to a debt crisis Episode Sponsors NetSuite LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Why U.S. Debt Must Continue to Rise by Michael Pettis—Carnegie Endowment Could Trump devalue the dollar with a "Mar-a-Lago Accord"? by Paul Diggle and Luke Bartholomew—Aberdeen Investments A User’s Guide to Restructuring the Global Trading System by Stephen Miran—Hudson Bay Capital Is Peter Navarro Wrong on Trade? by Michael Pettis—Carnegie Endowment Related Episodes 515: Tariffs and the Mar-a-Lago Accord: What Trump Really Wants 470: How the Economy Really Works: Savings, Investing, Consuming and Market Distortions 144: Trade
Wed, March 12, 2025
Tariffs and the Mar-a-Lago Accord: What Trump Really Wants
How the Trump administration is using tariffs as a negotiating tool to weaken the U.S. dollar and increase the global competitiveness of U.S. manufacturers. Topics covered include: Why U.S. stocks are falling, and recession risk is increasing How the U.S. dollar as the reserve currency is becoming a burden on the U.S. How the Trump administration aims to reduce its trade deficit and make it less attractive for foreign governments to own U.S. assets What are the risks of trying to weaken the U.S. dollar Episode Sponsors Delete Me – Use code David20 to get 20% off Stawberry.me Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Stock Market News, March 10, 2025: Nasdaq Falls 4% After Trump Doesn't Rule Out Recession by Caitlin McCabe and Krystal Hur—The Wall Street Journal Trump Says US Economy Faces ‘Transition,’ Avoids Recession Call by María Paula Mijares Torres—Bloomberg Is the U.S. Heading for a Recession? Here’s What the Experts Say by Caitlin McCabe—The Wall Street Journal Mark Carney Wins Canada Liberal Contest, Will Succeed Trudeau in Days by Brian Platt and Laura Dhillon Kane—Bloomberg Entering the Fall 2024 | Alarming Signs? - Fireside Chat with Scott Bessent by Simplify Asset Management—YouTube <a href="https://www.hudsonbaycapital.com/documents/FG/hudsonbay/research/638199_A_Users_Guide_to_Restructuring_the_Global_Tr
Wed, March 05, 2025
Why Japanese Stocks Could Outperform with Howard Smith - FEG Insight Bridge
This week on episode 514, we share a conversation between Howard Smith of Indus Capital and Greg Dowling of FEG Investment Advisors on why Japan could surprise investors over the next decade with strong investment returns. David introduces the episode by sharing his key takeaways from the discussion. FEG Investment Advisor is David's former institutional advisory firm, where he worked for 17 years, before founding Money for the Rest of Us. Greg Dowling is Chief Investment Officer of FEG, and David's former business partner and colleague. Topics covered in the episode include: The false narrative that Japan is a difficult place to invest with subpar returns Why Japan's national debt problem is not as worrisome as the U.S. national debt Why the Japanese yen is tremendously undervalued How Japan's corporate governance has improved Opportunities in Japanese technology industries Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes FEG Episode page Indus Capital Berkshire Hathaway 2024 Annual Letter Related Episodes 468: Lessons from Japan’s 34 Years of Stock Market Underperformance 235: What If Home Prices Always Declined 178: Japan and the Impact of A Shrinking Population See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 26, 2025
Crypto: Innovation or Insanity? Meme Coins, Hacks, and Strategic Bitcoin Reserves
We consider the incongruency of a U.S. Strategic Bitcoin Reserve, the latest crypto exchange hack, and how most participants lost money on the Trump meme coin. Given all that, we review some areas where cryptocurrency is helping individuals and businesses. Topics Covered What is the U.S. Strategic Petroleum Reserve Why it makes little sense for the U.S. and individual states to create and participate in a Strategic Bitcoin Reserve What led to the latest and largest cryptocurrency exchange hack in history How financial and other data breaches impacted over 1 billion people last year, costing over $15 billion How quantum computers could disrupt the security of cryptocurrency and traditional financial systems Why most speculators lose money on meme coins What are some current ways cryptocurrency is helping individuals and businesses achieve greater financial stability and lower costs Episode Sponsors Delete Me – Use code David20 to get 20% off Stawberry.me Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes All Information (Except Text) for S.4912 - BITCOIN Act of 2024—Congress.gov House Bill No. 4087—Michigan Legislature 2025 South Dakota Legislature House Bill 1202—South Dakota Legislature State of Arizona Senate SB 1025—Arizona State Legislature Quantum computers and the Bitcoin blockchain by Itan Barmes, Bram Bosch and Olaf Haalstra—Deloitte <a href="https://www.bloomberg.com/news/articles/2025-02-22/bybit-hack-crypto-s-biggest-ever-sp
Wed, February 19, 2025
Unlocking Hidden Returns: How Mortality Credits Boost Retirement Income
How using a deferred income annuity can increase retirement income compared to an immediate annuity or a bond ladder. Topics covered include: How immediate annuities and deferred income annuities work What are mortality credits, and why they are a key diversifier Examples of how mortality credits lead to a 1% to 1.5% higher annualized return over several decades How to decide whether an annuity is right for you Episode Sponsors NetSuite LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Post: No, really. Deferred income annuities (DIAs) are superior to SPIAs in every way by Boglehead User "GoWithTheCashFlow"—Bogleheads Actuarial Life Table—SSA TIPSLadder Safety-First Retirement Planning: An Integrated Approach for a Worry-Free Retirement by Wade D. Pfau—Retirement Researcher Related Episodes 464: More Ways to Lock in Higher Yields in Case Interest Rates Fall 455: Easier Investing, Richer Life: TIPS Ladders to Annuities 407: Worry-Free Retirement Investing 279: Why All Retirees Should Consider an Income Annuity See Privacy Policy at https://art19.com/privacy and California Privacy Notice at <a href="https://art19.com/privac
Wed, February 12, 2025
What Are Sovereign Wealth Funds and Does the U.S. Need One?
The U.S. and the UK each announced they were establishing sovereign wealth funds. We explore the purposes and types of sovereign wealth funds, how they invest, and some concerns with the U.S. establishing one. Topics covered include: What are the four types of sovereign wealth funds, and why the U.S. doesn't fit the typical use case How sovereign wealth funds navigate between politics and generating high returns Why a U.S. sovereign wealth fund, depending on its size, could crowd out other investment capital, leading to lower investment returns How the U.S. federal government already invests in its economy without a sovereign wealth fund Episode Sponsors Delete Me – Use code David20 to get 20% off LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Fact Sheet: President Donald J. Trump Orders Plan for a United States Sovereign Wealth Fund—The White House A Plan For Establishing A United States Sovereign Wealth Fund—The White House International Forum of Sovereign Wealth Funds Sovereign Wealth Funds: Past, Present and Future by Salman Bahooab, Ilan Alonb, and Andrea Paltrinieria—ScienceDirect Guardians releases 2024 Annual Report—NZ Super Fund UK Wealth Fund Brings Government And Private Investment Together by Efraim Chalamish—Global Financ
Wed, February 05, 2025
Contrarian Investing with GMO's Ben Inker - FEG Insight Bridge
This week on episode 510, we share a conversation between Ben Inker of GMO and Greg Dowling of FEG Investment Advisors on contrarian investing, deep value stocks, and the rise of passive investing. David introduces the episode by sharing his key takeaways from the discussion. FEG Investment Advisor is David's former institutional advisory firm, where he worked for 17 years, before founding Money for the Rest of Us. Greg Dowling is Chief Investment Officer of FEG, and David's former business partner and colleague. Topics discussed in the episode include: How experienced professionals can have a significant influence on one's career, such as the impact Jeremy Grantham and David Swenson had on Ben's career The impact of the rise of passive investing Investment opportunities in quality and deep-value stocks The distinct risks of the high concentration in large-cap tech stocks Show Notes FEG episode page Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Related Episodes 491: The Five Layers of Investing 419: How to Make Portfolio and Asset Allocation Changes 401: Why Diversifying Your Portfolio Feels Awful See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 29, 2025
How to Invest in Private Credit / Direct Lending
We explore what private credit, or direct lending, is and how to invest in it. We also show how it is similar and different from investing in leverage loans and CLOs. Topics covered include: Why more companies are staying private How private credit differs from the leverage loan market Why private credit is growing so rapidly What are the benefits to private credit investing What are liquid and less liquid ways to invest in private credit Sponsors Stawberry.me Acorns Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes The Credit Markets Go Dark by Jared A. Ellias and Elisabeth de Fontenay—SSRN The Lost Promise of Private Ordering by Cathy Hwang, Yaron Nili, and Jeremy McClane—SSRN Investments Mentioned VanEck BDC Income ETF (BIZD) Barings Corporate Investors Fund (MCI) Long Angle Cliffwater Enhanced Lending Fund BlackRock Private Credit Fund (BDEBT) BondBloxx Private Credit CLO ETF (PCMM) Virtus Seix AAA Private Credit CLO ETF (PCLO) See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 22, 2025
Who Should Bear the Cost? Socialized versus Market-Based Risk Management
Natural disasters are becoming more severe and costly—who should bear the financial burden? We explore the tension between socialized risk and market-based insurance. Topics covered include: The surprisingly large percentage of natural disaster losses that are uninsured Why natural disaster severity is increasing A deep dive into the complexity of the home insurance market, including state-run home insurance plans How California has tried to update its home insurance regulations, leading to potentially greater coverage but higher premiums How socialized insurance relieves the cost burden to consumers but can also lead to riskier behavior and adverse risk selection Episode Sponsors Asset Camp NetSuite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes California wildfires: What we know about L.A.-area fires, what caused them, who is affected and more by Tim Stelloh, Marlene Lenthang, Rebecca Cohen and Phil Helsel—NBC News Climate change is showing its claws: The world is getting hotter, resulting in severe hurricanes, thunderstorms and floods—Munich RE Shaping the Future of Wildfire Insurance in California: New Insights from the Most Comprehensive Wildfire Risk Model in the Market by Firas Saleh—Moody's Insurers’ Rule Change Puts California Homeowners on the Hook for L.A. Fire by Jean Eaglesham and Sara Randazzo—The Wall Street Journal <a href="https://www.insurance.ca.gov/0400-news/0100-
Wed, January 15, 2025
Where You Live Matters - How Geography Contributes to Wealth
How geography contributes to economic growth and can increase or lower the cost of living. Topics covered include: Why living in a developing country like Costa Rica is still relatively expensive How Amazon and e-commerce platforms lower the cost of living Why we should consider slowing down our rate of consumption How geography is impacting the rollout of AI Episode Sponsors LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs NetSuite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Market Research in Costa Rica: Costa Rica is a strong market in Central America providing many benefits.—SIS International Research & Strategy World Data Country Comparison: Costa Rica & USA Why is Gas so Expensive in Costa Rica? by Sarah Jordan—The Tico Times The Trailblazers: Inter-American Highway 1940 - 1957 by Norman Wood—U.S. Department of Transportation Federal Highway Administration Highway History United States eCommerce Sales Growth (2018 to Q3 2024) by Jason—SellersCommerce The Era of Finance CEOs Running Retailers Is Over by Amanda Mull—Bloomberg AI set to fuel surge in new US gas power plants by Amanda Chu and Jamie Smyth—The Financial Times <a href="https://www.economist.com/finance-a
Wed, January 08, 2025
Should You Retire Early and Live Outside Your Home Country? with Joshua Sheets
In episode 506, Joshua shares the pros and cons of living outside of your home country. He convinces David why he needs more than one passport. Finally, Joshua makes a strong case for not retiring, and if one does, under what circumstances. Episode Sponsors Delete Me – Use code David20 to get 20% off Acorns Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes https://www.radicalpersonalfinance.com Related Episodes 446: Die with Zero: Why You Should Start Spending Now 437: How to Live Like You Are Already Retired 371: Find Your Retirement Investing and Living Style See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 18, 2024
Optimization, AI and Opting Out with Coco Krumme
In our final episode of the year, I converse with author and data scientist Coco Krumme about the benefits and costs of optimization in finance, industry, and our daily lives. We explore AI and its overlap with optimization. We also consider the pros and cons of life optimization and finally discuss the extreme challenge of opting out. Episode Sponsors NetSuite Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Optimal Illusions: The False Promise of Optimization by Coco Krumme—Penguin Random House cocofolio.com Coco Krumme—LinkedIn Related Episode 480: Beyond Faster (T+1) Trade Settlement: The Hidden Costs of Optimization See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 11, 2024
Indexing Bubble and Asset Class Returns Still Revert to the Mean
How asset class returns move in cycles with periods of above-average returns followed by periods of lower returns. How has the rise of passive indexing led to higher stock valuations, and what does that mean for markets? Sponsors NetSuite - Download the CFO’s Guide to AI and Machine Learning LegalZoom - Use code David10 to 10% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes The Equity Risk Premium: Nine Myths (JPM Series) by Rob Arnott—Research Affiliates The Greatest Scourge in Factorland: Revaluation Alpha = Fake Alpha (JPM Series) by Rob Arnott—Research Affiliates PASSIVE INVESTING AND THE RISE OF MEGA-FIRMS by Hao Jiang, Dimitri Vayanos, and Lu Zheng—NBER Limits to Diversification: Passive Investing and Market Risk by Lily H. Fang, et al.—SSRN Related Episodes 503: U.S. Stocks Have Never Been This Overhyped or Expensive 500: The S&P 500 Index and the Decade Ahead 468: Lessons from Japan’s 34 Years of Stock Market Underperformance 390: Are BlackRock and Vanguard Too Big and Powerful? 234: Index But Don’t Herd See Privacy Policy a
Wed, December 04, 2024
U.S. Stocks Have Never Been This Overhyped or Expensive
What are the tangible and intangible factors that have contributed to long-term U.S. stock market outperformance compared to the rest of the world? Despite these advantages, why might we still want to continue to be globally diversified? Sponsors Delete Me – Use code David20 to get 20% off LegalZoom - Use code David10 to 10% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes American productivity still leads the world—The Economist The Outlook for Long-Term Economic Growth by Charles I. Jones—Federal Reserve Bank of Kansas City How Much Will Global Warming Cool Global Growth? by Ishan B. Nath, Valerie A. Ramey, and Peter J. Klenow—UC San Diego Technology and demand drivers of productivity dynamics in developed and emerging market economies by Alistair Dieppe, Neville Francis, and Gene Kindberg-Hanlon—European Central Bank Capitalism is in worse shape in Europe by Ruchir Sharma—The Financial Times The Mother of All Bubbles by Ruchir Sharma—The Financial Times The Curious Incident of the Elevated Profit Margins by James Montier—GMO Federal Surplus or Deficit [-] as Percent of Gross Domestic Product - FRED
Wed, November 20, 2024
Should You Invest in Nuclear Energy?
Why has there been renewed interest in nuclear power generation in the last couple of years, and how can we invest in it? Topics covered include: Why did Microsoft sign an agreement to reopen a nuclear reactor at the infamous Three Mile Island nuclear facility How much does nuclear energy contribute to global power generation Why is demand for electricity accelerating What are the advantages and challenges with nuclear energy What investment vehicles individuals can use to invest in nuclear energy Episode Sponsors NetSuite Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Microsoft in deal for Three Mile Island nuclear power to meet AI demand by Myles McCormick and Jamie Smyth—The Financial Times Nuclear Power Was Once Shunned at Climate Talks. Now, It’s a Rising Star. by Brad Plumer—The New York Times Inside Diablo Canyon Nuclear Power Plant | BG2 w/ Bill Gurley & Brad Gerstner—YouTube Q&A - Germany’s nuclear exit: One year after—Clean Energy Wire Fukushima Daiichi Accident—World Nuclear Association Chernobyl Accident 1986—World Nuclear Association Nuclear Energy in a Low-Carbon Energy Future—NEI <a href="https://www.iea.org/re
Wed, November 13, 2024
Strategies and Systems Want Your Money
We explore what strategy and systems are and how we craft and change them. We consider how investment strategies and financial systems have changed over the decades and why this matters to your financial decisions. Sponsors LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Ruminating on Asset Allocation by Howard Marks—Oaktree Capital Michael E. Porter—Harvard Business School This Is Strategy by Seth Godin—Simon & Schuster Victor Meets the Boglehead by Victor Haghani & James White—VettaFi Advisor Perspectives Static vs Dynamic Asset Allocation; Victor Meets the Boglehead—Bogleheads.org Tim Cook on Why Apple’s Huge Bets Will Pay Off By Ben Cohen—The Wall Street Journal Related Episodes 491: The Five Layers of Investing 451: How Much Should You Invest in Stocks? The Art of Position Sizing in a Volatile Market 420: Does a 60/40 Balanced Portfolio S
Wed, November 06, 2024
Episode 500: The S&P 500 Index and the Decade Ahead
In the 500th episode of Money for the Rest of Us, we focus on the S&P 500 Index. How has the index changed, and why have U.S. stocks performed so well? Will U.S. stocks only return 3% in the next decade, as Goldman Sachs predicts. We also discuss major themes covered on Money for the Rest of Us over 500 episodes and what are our plans for the future. Thanks for being a part of Money for the Rest of Us over the past decade. Sponsors NetSuite - Download the CFO’s Guide to AI and Machine Learning Shopify - Sign up for a $1 per month trial period Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Select Sector Indices Consultation on Constituent Weightings Calculations – Results—S&P Global What Does an Election Year Mean for the Market?—S&P Global The Great Rotation: A potential unwinding of hyper-concentration in the US may favor balanced global portfolios by Brian Chingono—Verdad The Great Rotation (Part 2): The United States’ outsize weighting in commercial indices appears unjustified by its share of global GDP by Brian Chingono—Verdad Decade of Big S&P 500 Gains Is Over, Goldman Strategists Say by Sagarika Jaisinghani—Bloomberg David Stein LinkedIn Post—LinkedIn <a href="https://www.ft.com/content/031b715a-6dca-4132-b783-ba8852b7d6e5" rel="noopener noreferre
Wed, October 30, 2024
What Makes an Economy Prosperous? Spotlight on Cuba and Argentina
We explore eight things that contribute to a healthy, growing economy and where Cuba and Argentina have fallen short. Topics covered include: Why Cuba continues to have rolling energy blackouts Why economic sanctions frequently don't work How Argentina's President Millei is taking a "chainsaw" to the nation's economy Why emerging markets will need to change their export-oriented growth trajectory What are the risks to the long-term health of the U.S. economy Sponsors Monarch Money – Get an extended 30-day free trial LegalZoom - Use code David10 to 10% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Cuba is out of supplies and out of ideas—The Economist Cuba plunged into crisis by long power blackouts by Ed Augustin—The Financial Times Power Outage Plunges All of Cuba Into Darkness by Frances Robles—The New York Times Why Economic Sanctions Backfire: The Role of Emigration in the Venezuelan Case by Nicolás Idrobo—SSRN The Impact of the Cuban Adjustment Act on Cuban Immigrants in the US by Tamarys Bahamonde—SSRN How is Javier Milei performing after nearly 11 months in office? by Michael Stott and Ciara Nugent—The Financial Times The weakest links in the global economy are on the mend by Ruchir Sharma—The Financial Times <a href="https://www.ft.com/content/c
Wed, October 23, 2024
Ten Things I've Learned About Investing in the Past Decade
In episode 498, David shares how his investing has changed over the past ten years and lessons you can apply to your portfolio. Document Your Journey Keep Experimenting Be Willing to Adopt New Asset Classes Be Very Patient Trade Less, Focus On Long-term Drivers Monetary Diversification Don't Focus on Relative Performance Ignore the Noise Take Your Time There Is No Right Way to Invest Sponsors NetSuite Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes The Investor Podcast 668: What I Learned About Investing w/ Stig Brodersen Related Episodes 454: How To Invest – Ten Rules of Thumb for Individual Investors 423: A “Safe” 6% Yield: The Case for Investment Grade CLOs 372: When Should You Sell An Investment? 336: Own What Is Real See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 16, 2024
How to Fix the Retirement Savings Crisis
Why 401k and other defined contribution schemes are flawed, leading to a generation of workers unprepared for retirement. What are the solutions to fix the mess. Topics Why 401k and other defined contributions haven't worked, despite their popularity Why defined benefit pension plans declined Why 401k plans are treated like emergency funds How to combine the best of 401k and defined benefit pension plans Sponsors LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Monarch Money – Get an extended 30-day free trial Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes The Shift that Redefined Retirement Security by Shashwat Vidhu Sher—SSRN Was the 401(k) a Mistake? by Michael Steinberger—The New York Times Magazine Who Has Retirement Accounts? New Data Reveal Inequality in Retirement Account Ownership by Maria G. Hoffman, Mark A. Klee and Briana Sullivan—United States Census Bureau U.S. Retirement Assets: Data in Brief—Congressional Research Service Where do my CPP contributions go?—CPP Investments Related Episodes 460: Should You Be Invested 100% in Stocks Before and During Retirement? A Recent Study Says Yes. 441: What If Social Security Had Been Privatized? <a href="ht
Wed, October 09, 2024
Are You Taking Enough Aspirational Risk?
Why we need distinct risk buckets: balancing our natural loss aversion with the allure of opportunities that offer the potential for massive upside. Topics covered include: What is modern portfolio theory, and what are some of its flaws Why so many people have gotten wealthy by being undiversified How to balance personal risk, market risk, and aspirational risk How prospect theory explains our attraction to positively skewed opportunities Why most people won't get wealthy unless they take some aspirational risk Sponsors NetSuite Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Portfolio Selection by Harry Markowitz—The Journal of Finance, Vol. 7, No. 1. (Mar., 1952), pp. 77-91 Safety First and the Holding of Assets by A. D. Roy—Econometrica, Vol. 20, No. 3 (Jul., 1952), pp. 431-449 The Misbehavior of Markets: A Fractal View of Financial Turbulence by Benoit Mandelbrot and Richard L. Hudson—Hachette Book Group Beyond Markowitz: A Comprehensive Wealth Allocation Framework for Individual Investors by Ashvin B. Chhabra—The Journal of Wealth Managment, Vol. 7, No. 4, pp 8-34, Spring 2005 The Wealth of Households: 2021: Current Population Reports by Briana Sullivan, Donald Hays, and Neil Bennett—Census.gov Average, Median, Top 1%, and all United States Net Worth Percentiles—DQYDJ <a href="https://www.nber.org/system/files/wo
Bonus · Wed, October 02, 2024
Plus episode excerpts: ETF Size, the Long-term Impact of QE, and Stock Market Inelasticity
This week on the podcast, we share excerpts from Plus episode 484 on ETF size and the impact of QE, as well as Plus episode 493 on stock market inelasticity. You can learn more about Money for the Rest of Us Plus here. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 25, 2024
The Federal Reserve Cut Interest Rates. What Should We Do Now?
What does the Federal Reserve's policy rate cut mean for our portfolios? Will interest rates keep falling? What changes should we make? Topics include: What determines interest rates, and where are those drivers currently What is the best estimate of bond returns How duration works and why it changes What are some current fixed income investment options Sponsors LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Monarch Money – Get an extended 30-day free trial Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Asset Camp FedWatch—CME Group Summary of Economic Projections—US Federal Reserve Investors may be getting the Federal Reserve wrong, again—The Economist Term Premium on a 10 Year Zero Coupon Bond—Federal Reserve Bank of St. Louis Yield to Maturity Is Always Received as Promised by Richard J. Cebula and Bill Z. Yang—Journal of Economics and Finance The Truth about Yield by Jason Bove and Mark Willauer—J.P. Morgan Related Episodes 464: More Ways to Lock in Higher Yields in Case Interest Rates Fall 463: How to Lock in Higher Yields in Case Interest Rates Fall <p
Wed, September 18, 2024
When to Sell Equity or Borrow: A Guide for Homeowners, Students, and Artists
How do home equity investments, income share agreements, and music royalties work, and how can you participate? Topics covered include: How a home equity investment differs from a home mortgage What is the cost of home equity investments How funding education through income share agreements has changed Why artists sell royalties to their work How individuals can invest in music royalties Sponsors NetSuite Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Unlock Product Guide—Unlock Point and Atalaya Capital Management Close Oversubscribed $141 Million Home Equity Investment Rated Securitization—Global Newswire What Colleges Should Know About Income Share Agreements and Private Education Loan Requirements by Rich Williams—Homeroom CFPB settles claims against operator of training program arising out of income share agreements by John L. Culhane, Jr. & Thomas Burke—Consumer Finance Monitor Bond market: Bowie Bonds and the Evolution of the Bond Market—Faster Capital Related Episodes 493: The Housing
Wed, September 11, 2024
The Housing Affordability Crisis: What Caused It and How to Fix It
What caused the 40% price increase in houses and rents, and what are governments doing to try to fix the problem. Topics covered include: Why 50% of the global population is frustrated with the lack of affordable housing How the housing collapse as part of the Great Financial Crisis contributed to today's affordability crisis How central bank QE programs have magnified the housing crisis How restrictive zoning and short-term rentals contribute to the housing crisis What governments are doing to encourage more housing supply What individuals can do until housing becomes more affordable Sponsors Delete Me – Use code David20 to get 20% off LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Concern over housing costs hits record high across rich nations by Valentina Romei and Sam Fleming—The Financial Times Home Price to Median Household Income Ratio (US)—Longtermtrends Home Ownership Affordability Monitor—Federal Reserve Bank of Atlanta AMERICA'S RENTAL HOUSING 2024—Joint Center for Housing Studies of Harvard University America retains “rent burdened” status—Moody's U.S. 2024 and 2025 Mid-Year Outlook Report—AirDNA ARIZONA’S NEW HOUSING LAWS EXPLAINED
Wed, September 04, 2024
The Power of Optionality: Small Bets, Big Payoffs
In this episode, we explore the concept of optionality—how small, strategic decisions can lead to outsized rewards with limited downside risk. From ancient philosophy to modern financial strategies, discover how recognizing and seizing options can unlock opportunities in both life and investing. Topics covered include: How call and put options work The difference between American and European style options and why it matters Why options are positively skewed Examples of using optionality in business and life Why it can be challenging to commit when an option is "in the money" Sponsors Shopify - Sign up for a $1 per month trial period NetSuite - Download the CFO’s Guide to AI and Machine Learning Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Antifragile by Nassim Nicholas Taleb—Penguin Random House The Wisdom Of Finance: Discovering Humanity in the World of Risk and Return by Mihir Desai—Harper Academic Refuse to Choose!: Use All of Your Interests, Passions, and Hobbies to Create the Life and Career of Your Dreams—Penguin Random House An Economist Walks into a Brothel: And Other Unexpected Places to Understand Risk by Allison Schrager—Penguin Random House Related Episodes 482: Unlocking the Power of Positive Skewness: Strategies for Investing, Business, and Creativity <a href="https://moneyfortherestofus.com/268-better-manage-risk/" rel="noopener noreferrer" target="_blan
Wed, August 28, 2024
The Five Layers of Investing - Which Layers Is Your Portfolio Allocated?
In Episode 491, we explore the five layers of investing, including which assets fit into each layer, and give examples of advertisements targeting each layer. The five layers are: 1. Short-term trading 2. Longer-term speculations 3. Individual securities 4. Diversified portfolios focused on underlying drivers and factors 5. Maximum diversification with few changes and just a few holdings Episode Sponsors Monarch Money – Get an extended 30-day free trial LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Show Notes Asset Camp The Role of Emotions in Financial Decisions by David Tuckett—ResearchGate Morningstar Active Passive Barometer Related Episodes 486: How Retail Traders Lose Big While Enriching Wall Street 431: The Long-term Bullish Case for Gold 306: Three Approaches to Asset Allocation See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 21, 2024
Should You Invest in Private Equity?
How do buyouts, venture capital, and growth equity work? Has private equity outperformed the stock market, and can individual investors pursue these investment strategies? Topics covered include: How are private equity funds structured, and what are the fees How is private equity performance measured, and how has it performed Why does private equity have such a large dispersion of returns compared to the public stock market What is private equity dry powder, and why is there much of it What are some ways individuals can invest in private equity and why should they use caution in doing so Sponsors LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs NetSuite Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Understanding Private Fund Performance by Kaitlin Hendrix and Mamdouh Medhat—SSRN What Drives Private-Equity Performance Persistence? New Deal-Level Evidence by Axel Buchner and Susanne Espenlaub and Abdul Mohamed—SSRN Unlocking the Power of Relationships: Limited Partner Networks and Performance in Private Equity by José Carlos Franco de Abreu Neto and Saito Richard—SSRN Private equity dry powder growth accelerated in H1 2024 by Dylan Thomas and Annie Sabater—S&P Global Private Equity Gets Creative to Buy Time for More Gains. Clients Say Pay Me Now by Allison McNeely and Dawn Lim—Bloomberg Related Episodes 458: Dissecting Stock Returns: Financial Engineering or Genuine Growth? 440: Beware of Platform Risk
Bonus · Wed, August 14, 2024
Making Better Investment and Life Decisions - Episode 203 Remastered
This week, we release one of David's favorite episodes from six years ago, Episode 203: Is Investing More Like Poker or Chess. Topics covered include: What is the difference between chess and poker. Why we need to separate the decision process from the outcome. How to improve the quality of our investment decisions. What are are wu-wei and qi and what role do they play in better decision making. Sponsors Delete Me – Use code David20 to get 20% off Betterment - the automated investing and savings app Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Thinking in Bets: Making Smarter Decisions When You Don’t Have All the Facts by Annie Duke Thinking Fast and Slow by Daniel Kahneman The Tao of Pooh by Benjamin Hoff Trying Not to Try: Ancient China, Modern Science, and the Power of Spontaneity by Edward Slingerland See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 07, 2024
Why the Market Has Sold Off and What Should You Do
In episode 489, we examine three factors that contributed to this week's big stock market declines, analyze whether a recession is imminent, and review David's recent portfolio changes. Topics covered include: The benefits of looking at market and economic trends monthly How bad was the recent U.S. employment report and what is the Sahm Rule What are leading economic indicators saying about recession risk Why the Federal Reserve will be lowering its policy rate, leading to lower cash yields Why the Japanese yen strengthened, leading to market turmoil Why investors are rotating from large cap growth to small cap value stocks How David locked in higher yields Sponsors NetSuite Monarch Money – Get an extended 30-day free trial Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Transcript of Chair Powell’s FOMC Press Conference July 31, 2024—The Federal Reserve Goolsbee Says Fed Won’t Overreact to One Month’s Data by Catarina Saraiva and Ananya Chag—Bloomberg Congressional Budget Office Updates Baseline: Deficit Spending is 27 Percent Higher Than Previously Estimated—U.S. House Budget Committee Investments Mentioned Vanguard Growth ETF (VUG) Vanguard Small Cap Value (VBR) iShares International Developed Small Cap Value Factor ETF (ISVL) Invesco BulletShares 2031 Corporate Bond ETF (BSCV) iShares Large Cap Max Buffer ETF (MAXJ) BlackRock AAA CLO ETF (CLOA) Related Episodes 485: Should You Invest in Defined Outcome (Buffer) ETFs? <a href="https://moneyfort
Wed, July 31, 2024
Should You Invest in an Ethereum ETF?
What is the investment case for Ethereum, and what are the risks? A straightforward review of what ether and Ethereum are, how they work, and what it will take for the Ethereum blockchain to be successful. Topics covered include: Who launched Ethereum ETFs and what are the fees How Ethereum differs from Bitcoin Examples of applications built on the Ethereum blockchain including NFTs, stablecoins, DAOs, and tokenized real-world assets How Ethereum has evolved to lower fees, reduce supply, cut its energy use, and increase capacity What is Ethereum staking and how much can investors earn doing so What will cause ether to go up in price Sponsors Shopify NetSuite Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Spot Ethereum ETFs begin trading today: Here's what you need to know by Jason Shubnell—The Block The spot Ethereum ETFs' first week by the numbers by James Hunt—The Block The Idols NFT—theidols.io Read Write Own by Chris Dixon—readwriteown.com Ethereum is the Only Institution-Friendly Smart Contract Chain by Qiao Wang—Medium EthereumETH Staking—Coinbase 5 Ways to Stake Your Crypto Assets—Staking Rewards Ethereum's Dencun Upgrade: Unleashing Scalability and Efficiency—bitpay Solana vs. Ethereum: Which Is Better in 2024? —KuCoin Related Epi
Wed, July 24, 2024
Are We Heading for a 2030s Depression? - Understanding Global Economic and Population Shifts
What we can monitor and do now in preparation for a 2030s depression, which may or may not arrive. Topics covered include: Why ITR Economics has been predicting a 2030s depression for over a decade. What are the early warning signs we can monitor for increasing risk of economic and financial turmoil What are U.S. and global population predictions by the Congressional Budget Office and the United Nations What is the status of Social Security and what would it take to make it more sustainable What are the impacts of a slowing or shrinking population How should we invest, and what other financial actions should we take in the face of long-term depression forecasts Sponsors Delete Me – Use code David20 to get 20% off Monarch Money – Get an extended 30-day free trial Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Top 5 Causes of the 2030s Great Depression—ITR Economics The Demographic Outlook: 2024 to 2054—Congressional Budget Office Testimony on Social Security’s Finances—Congressional Budget Office World Population Prospects 2024—The United Nations World Population Prospects 2024: Graphs/Profiles—The United Nations America is uniquely ill-suited to handle a falling population—The Economist Suddenly There Aren’t Enough Babies. The Whole World Is Alarmed. by Greg Ip and Janet Adamy—The Wall Street Journal Related Episodes 479: National Debt Master Class Finale – What To Do <a href="https://moneyforthere
Wed, July 17, 2024
How Retail Traders Lose Big While Enriching Wall Street
Gambling in the stock market is increasing, with most traders losing money while generating billions of dollars per year for brokerages and wholesalers. Will all this trading lead to big market swoons? Topics covered include: Why sports gambling has grown so much How gambling in the stock market is measured, and how prevalent is it Why most traders lose money but continue to trade anyway How uninformed traders improve market liquidity and encourage trading by informed trading Why being an asset allocator is more rewarding and as intellectually stimulating as trading Sponsors NetSuite Betterment - the automated investing and savings app Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes How Stocks Became the Game That Record Numbers of Americans Are Playing by Claire Ballentine—Bloomberg MURPHY, GOVERNOR OF NEW JERSEY, ET AL. v. NATIONAL COLLEGIATE ATHLETIC ASSN. ET AL. SYLLABUS—The Supreme Court of The United States America's Sports Betting Boom by Felix Richter—Statista Searching for Gambles: Gambling Sentiment and Stock Market Outcomes by Yao Chen, Alok Kumar, Chendi Zhang—SSRN Stocks as Lotteries: the Implications of Probability Weighting for Security Prices by Nicholas Barberis and Ming Huang—SSRN Day Trading for a Living? by Fernando Chague, Rodrigo De-Losso, Bruno Giovannetti—SSRN <a href="https://patents.google.com/patent/US8650115B1/en" rel
Wed, July 10, 2024
Should You Invest in Defined Outcome Buffer ETFs?
Buffer ETFs protect against the downside while capping the upside. We examine them closely to see if they are worth it. Topics covered include: How buffer ETFs are structured and some current examples How buffer ETFs have performed over the past five years What are the risks of buffer ETFs How loss aversion and narrow framing contribute to the popularity of buffer ETFs Are buffer ETFs worth it and what are some alternative strategies that could be used instead Sponsors Shopify NetSuite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes BlackRock Enters Booming Market for Stock ETFs With a 100% Hedge by Emily Graffeo—Bloomberg New Stock ETF Offers 100% Hedge as Buffer Funds Nab $46 Billion by Emily Graffeo—Bloomberg The Dynamics of Defined Outcome Exchange Traded Funds by Luis García-Feijóo and Brian Silverstein—SSRN Monetizing Loss Aversion for Fun and Profit—Paul Kedrosky Thirty Years of Prospect Theory in Economics: A Review and Assessment by Nicholas C. Barberis—Journal of Economic Perspectives Prospect Theory: An Analysis of Decision Under Risk by Daniel Kahneman and Amos Tversk—ECONOMETRICA Investments Mentioned Innovator U.S. Equity Ultra Buffer ETF - January Series (UJAN) Innovator U.S. Equity Ultra Buffer ETF - June Series (UJ
Wed, June 26, 2024
7 Steps to Living a Long Life
Seven ways to increase the odds of living long into your retirement years (if you choose to retire). Sponsors Monarch Money – Get an extended 30-day free trial Lifetime Money for the Rest of Us Plus membership Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Podcast Stats: How many podcasts are there?—Listen Notes Quality Over Quantity Is A Growth Strategy by Steven Goldstein—Amplifi Media Slow Productivity by Cal Newport—Penguin Random House Why our brains crave beauty, art and nature by Jemima Kelly—The Financial Times Why southern Europeans will soon be the longest-lived people in the world—The Economist What I’ve learnt from two decades eating in Paris by Simon Kuper—The Financial Times Getting Good Sleep Could Add Years to Your Life—American College of Cardiology Close friends can help you live longer but they can spread some bad habits too by Maggie Mertens—NPR United we thrive: friendship and subsequent physical, behavioural and psychosocial health in older adults (an outc
Wed, June 19, 2024
Don't Lose Access to Your Cash: Comparing Banks, Neobanks, and Fintech Platforms for Cash Savings
Millions of fintech app users have lost access to their cash. In this episode, we explain why this happened and show you how to protect yourself when placing cash with traditional banks, neobanks, and fintech platforms. Topics covered include: The mass chaos in the fintech space spawned by the bankruptcy of Synapse Financial Technologies What are FBO accounts, and why they are so troublesome What is the difference between a traditional bank, a neo bank, and a non-bank What to look for and protect yourself when investing your cash savings Sponsors NetSuite Delete Me – Use code David20 to get 20% off Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes CHAPTER 11 TRUSTEE’S INITIAL STATUS REPORT BY UNITED STATES BANKRUPTCY COURT CENTRAL DISTRICT OF CALIFORNIA SAN FERNANDO VALLEY DIVISION—CourtListener Fintech platform Synapse raises $33M to build ‘the AWS of banking’ by TechCrunch—Synapse X Post by Jason Mikula—X "Full Reconciliation... May Not Be Possible," Synapse Trustee Says by Jason Mikula—Fintech Business Weekly Mercury Seeking $30M From Synapse, Emergency Court Filing Reveals by Jason Mikula—Fintech Business Weekly Infighting among fintech players has caused TabaPay to ‘pull out’ from buying bankrupt Synapse by Mary Ann Azevedo—TechCrunch Fintech startup Copp
Wed, June 12, 2024
Unlocking the Power of Positive Skewness: Strategies for Investing, Business, and Creativity
How a few high-impact successes drive up overall average outcomes in investing, business, and creative projects. How to harness positive skewness using a barbell approach. Learn when to mitigate risks and when to embrace them. Topics covered include: What is positive skewness and how does it manifest in investing, business and creative endeavors How power laws and the 80/20 rule work Why we shouldn't beat ourselves up if we aren't incredibly successful When should we reduce positive skewness and when should we embrace it Sponsors LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Betterment - the automated investing and savings app Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Long-Term Shareholder Returns: Evidence from 64,000 Global Stocks by Hendrik Bessembinder, Te-Feng Chen, Goeun Choi, K.C. John Wei—SSRN Long-Horizon Stock Returns Are Positively Skewed by Adam Farago and Erik Hjalmarsson—SSRN Wealth Creation in the U.S. Public Stock Markets 1926 to 2019 by Hendrik Bessembinder—SSRN The Coffee Can portfolio by Robert G. Kirby—csinvesting Active vs Passive Investing U.S. Barometer Report—Morningstar Table 7. Survival of private sector establishments by opening year—U.S. Bureau of Labor Statistics How Many Podcasts Are There? (New 2024 Data) by Josh Howarth—Exploding Topics See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my
Wed, June 05, 2024
How to Navigate the Crippling Home Insurance Crisis
Why are homeowners seeing home insurance premiums increases of up to 70%, as David has? What can you do if your insurer drops you, you get a huge premium increase, or you can no longer afford coverage? Topics covered include: What are the primary drivers of home insurance price increases Why these increases don't show up in the U.S. consumer price index How the reinsurance market works and why reinsurers are passing on 50% premium increases to property and casualty insurers. What percentage of home insurers self-insure What else can homeowners do Sponsors Delete Me – Use code David20 to get 20% off NetSuite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Home Insurance Is Clobbering Consumers. Yet It’s Barely Counted in Inflation. by Jeanna Smialek—The New York Times NIPA Handbook: Concepts and Methods of the U.S. National Income and Product Accounts: Chapter 5: Personal Consumption Expenditures—Bureau of Economic Analysis The crippling home insurance crisis hitting America by Rana Forhoohar—The Financial Times The Hidden Driver of Soaring Home Insurance Costs by Jean Eaglesham—The Wall Street Journal When Disaster Strikes: Preparing for Climate Change by Seán Nolan and Krishna Srinivasan—IMF Blog Home insurance was once a ‘must.’ Now more homeowners are going without. by Patrick Cooley—The Washington Post <p
Wed, May 29, 2024
Beyond Faster (T+1) Trade Settlements: The Hidden Costs of Optimization
Why stock, ETF, and bond trades are optimized to settle in less than a day, allowing investors quicker access to their cash and securities. What are the benefits and costs of optimization in the relentless drive for cheaper, faster, and more profitable. Why countries are moving to T+1 settlement from T+2 for security trades What will it take for secur How BlackRock and Franklin have launched Treasury funds that are tokenized and trade on the Etherium network How optimization works and what are the tradeoffs How we can use satisficing and rules of thumb in order to cope with the complexity of the world Sponsors Yahoo Finance Monarch Money – Get an extended 30-day free trial Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes About the ‘T+1’ Rule Making US Stocks Settle in a Day by Lydia Beyoud and Greg Ritchie—Bloomberg SEC Chair Gensler Statement on Upcoming Implementation of T+1 Settlement Cycle—SEC What faster trading cycles will mean for US markets by Jennifer Hughes and Harriet Clarfelt—The Financial Times Speedier Wall Street Trades Are Putting Global Finance On Edge by Greg Ritchie—Bloomberg BlackRock closes in on crown of world’s largest bitcoin fund by Will Schmitt and Brooke Masters—The Financial Times Optimal Illusions: The False Promise of Optimization by Coco Krumme Financial Statement Analysis with Large Language Models by Alex G. Kim, Maximilian Muhn, and Valeri V. Nikolaev—The University of Chicago Related Episodes <a href="htt
Wed, May 22, 2024
National Debt Masterclass Finale - What To Do
In part three of our national debt masterclass, we share a simple debt dynamics formula we can monitor to help guide our investment choices. Topics covered include: How much has the national debt grown over the past fifties years, and what are the underlying drivers How the budget deficit, interest rates, and economic growth determine the level and growth in the national debt Under what circumstances will the U.S. default on its debt How should we invest to protect ourselves from the uncertainties of the national debt situation Sponsors NetSuite Yahoo Finance Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Jerome Powell: Full 2024 60 Minutes interview transcript—CBS News Yellen says she disagrees with Moody's outlook on US debt by Ann Saphir and David Lawder—Reuters IMF Steps Up Its Warning to US Over Spending and Ballooning Debt by Christopher Condon—Bloomberg WHEN DOES FEDERAL DEBT REACH UNSUSTAINABLE LEVELS?—Penn Wharton The Long-Term Budget Outlook: 2024 to 2054—Congressional Budget Office PUBLIC DEBT AND LOW INTEREST RATES by Olivier J. Blanchard—NBER Bond vigilantes snooze as Treasury market shrugs off vast US borrowing by Kate Duguid—The Financial Times Term Premium on a 10 Year Zero Coupon Bond—FRED Instantaneous Forward Term Prem
Wed, May 15, 2024
National Debt Masterclass Part Two
In part two of this national debt series, we explore how households and businesses, including commercial banks, can choose not to participate in what some call a national debt ponzi scheme. We also look at how central banks and federal governments monetize the national debt using quantitative easing. Sponsors Yahoo Finance LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Credit and Liquidity Programs and the Balance Sheet: Federal Reserve liabilities—Board of Governors of the Federal Reserve System As of and for the Years Ended December 31, 2019 and 2018 and Independent Auditors’ Report—The United States Federal Reserve System Different types of central bank insolvency and the central role of seignorage by Ricardo Reis How do central banks control inflation? A guide for the perplexed by Laura Castillo-Martinez and Ricardo Reis Can the Central Bank Alleviate Fiscal Burdens? by Ricardo Reis Ricardo Reis Tweets on Monetizing the National Debt M2—Federal Reserve Economic Data Assets: Total Assets: Total Assets: Wednesday Level—Federal Reserve Economic Data Assets: Securities Held Outright: U.S. Treasury Securities: All: Wednesday Level—Federal Reserve Economic Data Americans Reported Strong Personal Finances Late Last Year, Fed Fi
Wed, May 08, 2024
National Debt Master Class Part One
In part one of this three part series, we consider why a country that issues debt in its own currency can't default unless it chooses to. We also explore how central banks can control interest rates on the national debt. We also consider whether it is possible for government borrowing to crowd out the private sector. Sponsors Shopify NetSuite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Money In The Modern Economy: An Introduction – Bank of England – Q1 2014 Money Creation In The Modern Economy – Bank of England – Q1 2014 Congressional Budget Office 2017 Long-term Budget Outlook Going for Broke: Deficits, Debt, and the Entitlement Crisis – Michael D. Tanner Bernanke’s Paradox: Can He Reconcile His Position on the Federal Budget with His Recent Charge to Prevent Deflation? – Pavlina R. Tcherneva – Levy Institute (includes quotes referenced in episode by Ben Bernanke and Michael Woodford New Framework for Strengthening Monetary Easing: “Quantitative and Qualitative Monetary Easing with Yield Curve Control” – Bank of Japan Japan’s Debt Burden Is Quietly Falling the Most in the World – Bloomberg <a href="https://w
Trailer · Wed, May 01, 2024
No Episode This Week - Live Investing Webinar Instead
There is no podcast episode this week, but we have a live webinar on stock market investing this Friday, May 3, 2024 at 11:00AM Pacific time. You can learn more and sign up at Assetcamp.com/webinar . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 24, 2024
Is Small Cap Dead? Why You Shouldn't Abandon Small Cap Stocks
Why global small-cap stocks have underperformed large-cap stocks and will the trend continue? The investment case for allocating to global small caps. Topics covered include: How have small caps performed relative to large caps over the past two decades What factors contributed to the underperformance How quality is an important factor to consider when investing in small caps What are the earnings prospects for small-cap stocks Why small-cap stocks could deliver double-digit returns over the next decade Sponsors Yahoo Finance Monarch Money – Get an extended 30-day free trial Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes US small-caps suffer worst run against larger stocks in over 20 years by George Steer—The Financial Times Small stocks, big problems by Robin Wigglesworth—The Financial Times The Death of Small Cap Equities? by Chris Satterthwaite—Verdad The Quality of New Entrants by Chris Satterthwaite—Verdad Related Episodes 466: Does Dividend Investing Still Work? 370: Should You Invest in Small-Cap and Mid-Cap Stocks? 253: Are IPOs the New Ponzi Scheme? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 17, 2024
Inflation's Illusion: Debunking the Normalcy of Currency Debasesment
It is not normal to want prices to rise and currencies to lose their purchasing power. We look at the advantages of stable currencies and prices. Topics covered include: What's more normal, an inflationary or deflationary mindset? Why it is more normal for prices to fall due to productivity increases How central banks seek to overcome productivity-induced deflation by increasing the money supply How inflation and ongoing currency debasement encourage debt, the financialization of housing, and keep unprofitable companies in business How gold, Bitcoin, stocks, real estate, and other assets help us overcome currency debasement Sponsors LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs NetSuite – Get your free KPI checklist Asset Camp Webinar Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Is Japan finally becoming a "normal" economy?—The Financial Times Broken Money by Lyn Alden A Complete Guide to Understanding and Protecting Against Inflation—Money for the Rest of Us Related Episodes 431: The Long-term Bullish Case for Gold 429: Which Inflation Protection Strategies Worked and Which Didn’t? 389: Is Airbnb Intensifying the Housing Crisis? 253: Are IPOs the New Ponzi Scheme? See Privacy Policy at <a href="https://art19.com
Wed, April 10, 2024
Are Emerging Markets Bonds a Once in a Generation Opportunity?
Some analysts suggest that now is an incredibly attractive entry point to invest in emerging market bonds. We look at how to do this and whether you should. Topics covered include: How emerging markets bonds have performed relative to U.S. bonds How frequently have emerging markets bonds defaulted What is the difference between local currency and U.S. dollar-denominated emerging markets bonds Why emerging markets nations are reforming What are the ways to invest in emerging markets bonds and what factors should you consider Sponsors Betterment - the automated investing and savings app Monarch Money – Get an extended 30-day free trial Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Emerging Local Debt: A Once-In-A-Generation Opportunity? by Victoria Courmes—GMO EM Sovereign Defaults at Record Level, but Rating Outlooks More Balanced—Fitch Ratings The big opportunity in emerging market debt by Victoria Courmes—The Financial Times Default Risk Fades in Emerging Markets as Riskiest Bonds Soar by Zijia Song, Giovanna Bellotti Azevedo, and Srinivasan Sivabalan—Bloomberg The weakest links in the global economy are on the mend by Ruchir Sharma—The Financial Times How to invest in closed-end funds - Money for the Rest of Us Investments Mentioned iShares JP Morgan USD E
Wed, April 03, 2024
Investing Fundamentals and What Is Attractive Now
In this conversation with financial advisor Josh Jalinski, David shares his views on constructing and benchmarking portfolios, factor investing including growth versus value, and managing regret. We explore a number of asset classes and strategies including dividend investing, leveraged loans, closed-end funds, equity REITs, and China. We also discuss how to manage retirement assets. Sponsors NetSuite Monarch Money – Get an extended 30-day free trial Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Josh Jalinksi - Financial Quarterback See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 27, 2024
Is the Economy as Bad as People Think?
Why most households are in better financial shape than prior to the pandemic, but remain frustrated at their lack of economic progress. Topics covered include: How consumer sentiment surveys are designed and their current findings. Reasons behind consumer frustration with increasing prices amidst declining inflation rates. The magnitude of the inflation shock and its underlying causes. The concept of reference prices and their significant role in shaping consumer sentiment. Factors contributing to the high levels of economic uncertainty among households. Key elements required for enhancing consumer confidence in their economic future. The political repercussions stemming from widespread economic dissatisfaction. Sponsors Betterment – the automated investing and savings app Long Angle is a private community of 2,500 very high net worth investors who leverage their collective expertise and scale to access and underwrite some of the world’s best alternative asset investments. Learn more here. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Surveys of Consumers—University of Michigan Consumer sentiment climbs amid split views on business outlook—University of Michigan The Purchasing Power of American Households—U.S. Department of the Treasury Unemployment Rate—St. Louis Fed We Still Don’t Believe How Much Things Cost by Rachel Wolfe and Rachel Louise Ensign—The Wall Street Journal <a href="https://www.wsj.com/economy/consumers/its-
Wed, March 20, 2024
Unlocking Income: A Comprehensive Guide to Investing in Covered Call ETFs
How to use covered call and buy-write strategies to generate income while understanding the risks and having realistic return expectations. Topics covered include: How covered call strategies work How much can you earn investing in covered call strategies What are some numerical examples based on current option prices How covered call strategies can be used for both stock and bond ETFs What are some covered call ETF examples Sponsors Long Angle is a private community of 2,500 very high net worth investors who leverage their collective expertise and scale to access and underwrite some of the world’s best alternative asset investments. Learn more here. NetSuite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Investments Mentioned JP Morgan Equity Premium Income ETF (JEPI) JP Morgan Equity Premium Income Fund (JEPIX) Global X NASDAQ 100 Covered Call ETF (QYLD) Global X S&P 500® Covered Call ETF (XYLD) iShares 20+ Year Trs Bd Buywrt Stgy ETF (TLTW) WisdomTree PutWrite Strategy Fund (PUTW) Related Episodes 467: Unraveling the Truth About ETFs: Benefits, Analysis, and the Indexing Bubble Myth 418: Bond Investing Masterclass 321: How to Analyze Complex Investments See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 13, 2024
How the Economy Really Works: Savings, Investing, Consuming and Market Distortions
A primer on how the economic engine works through coordination between savers, investors, consumers, producers, governments and banks. How hoarding and unfair competition can lead to economic distortions. Topics covered include: How spending and saving are connected including the paradox of thrift How borrowing money can lead to higher income and savings and potentially to bubbles How hoarding differs from investing and why too much hoarding can deprive businesses of capital How lightbulbs, grocery stores, and kitchen appliances could be examples of unfair competition and planned obsolescence. What role do we play as participants in this coordinated economic dance? Sponsors Betterment – the automated investing and savings app LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Wait, Is Saving Good or Bad? The Paradox of Thrift—The Federal Reserve Bank of St. Louis Rents: How Marketing Causes Inequality by Gerrit De Geest—Beccaria Books FTC Challenges Kroger’s Acquisition of Albertsons—Federal Trade Commission The Lifespan of Large Appliances Is Shrinking by Rachel Wolfe—The Wall Street Journal Related Episodes 288: Will Early Retirements Crash the Economy? 222: Why We Overpay and How It Con
Wed, March 06, 2024
Which Will Perform Better: Berkshire Hathaway or Utility Stocks?
Berkshire Hathaway doesn't pay a dividend, its cash pile keeps growing, and Buffet says it's gotten too big to make acquisitions that can impact the company. Meanwhile, utility ETFs have a steady 3.5% dividend yield. Which will be the better-performing investment going forward? Topics covered include: How has Berkshire Hathaway performed relative to the S&P 500 Index and other active managers Why Warren Buffett believes Berkshire's electric utility holdings were a mistake Why California has some of the highest utility rates in the U.S. Why Berkshire Hathaway will eventually need to pay a dividend even though it doesn't currently Going forward, will it be more profitable to invest in Berkshire Hathaway, a utility ETF, or an index fund Sponsors Shopify - Sign up for a $1 per month trial period NetSuite – Get your free KPI checklist Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Berkshire Hathaway 2023 Shareholder Letter The Man Preparing for a Berkshire Hathaway Without Warren Buffett by Justin Baer—The Wall Street Journal Warren Buffett admits Berkshire Hathaway’s days of ‘eye-popping’ gains are over by Eric Platt—The Financial Times Active vs Passive Investment Management Barometer Report—Morningstar Buffett sounds wildfire alarm as utilities industry enters new era by Eric Platt and Myles McCormick—The Financial Times Paying for Electricity in California: How Residential Rate Design Impacts Equity and Electrification—Next10 Investments Mentioned</stron
Wed, February 28, 2024
Lessons from Japan's 34 Years of Stock Market Underperformance
Japan's stock market recently exceeded the all-time high first set in December 1989. That's 34 years of zero price appreciation for the stock market. What drove this lackluster performance, will it continue, and what can we learn from it? Topics covered include: How big was Japan's stock bubble, and how much did it contribute to the stock market's underperformance over the past three decades How do Japan's demographic trends impact its economic challenges, and what are the solutions Why Japan's houses are built to depreciate in value What lessons can we learn from Japan's extended bear market Sponsors Monarch Money – Get an extended 30-day free trial Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Japan’s Nikkei 225 index eclipses record high after 34 years by Leo Lewis—The Financial Times Investors eye further gains after Nikkei breaks through 1989 high by Leo Lewis and Kana Inagaki—The Financial Times Related Episodes 235: What If Home Prices Always Declined 178: Japan and the Impact of A Shrinking Population 73 Plus: Investing In Japan 38 Plus: Time Wealth and Japan See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 21, 2024
Unraveling the Truth About ETFs: Benefits, Analysis, and the Indexing Bubble Myth
How the ETF market is changing, why ETFs should be your preferred investment vehicle, and how to analyze ETFs to generate better investment performance. Topics covered include: How large have fund flows been away from active mutual funds into ETFs How big are the largest ETF families and how has their market share grown Why the rise of active ETFs blurs the distinction between active and passive investing Why there doesn't appear to be an indexing price bubble, but the rise of passive investing has impacted volatility and decreased stock price informativeness A framework for how to analyze markets and select ETFs for your portfolio Sponsors Long Angle is a private community of 2,500 very high net worth investors who leverage their collective expertise and scale to access and underwrite some of the world’s best alternative asset investments. Learn more here. NetSuite – Get your free KPI checklist Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Global Fund Flows Dominated by Fixed-Income and ETFs—Morningstar It’s Official: Passive Funds Overtake Active Funds by Adam Sabban—Morningstar ETF Issuer League Tables—VettaFi Global ETF Market Facts: three things to know from Q3 2023 by Samara Cohen—iShares Rise of Passive Investing - Effects on Price Level, Market Volatility, and Price Informativeness by Pawel Bednarek—SSRN Investments Mentioned SPDR® S&P 500® ETF Trust (SPY) JPMorgan Equity Premium Income ETF (JEPI) Avantis US Small Cap Value ETF (AVUV) Related Episod
Wed, February 14, 2024
Does Dividend Investing Still Work?
Stocks that grow their dividends have outperformed non-dividend-paying stocks over the long-term, but not in the past 5, 10, and 20 years. Why are non-dividend paying stocks outperforming dividend growers, and will it continue? Topics covered include: What message do companies say when they initiate, grow, or cut their dividend What is dividend smoothing How have dividend payers performed relative to non-dividend payers Why have non-dividend payers, which are primarily growth stocks, outperformed dividend payers How the payout ratio and return on equity impact dividend strategies What are reasons to include dividend strategies in your portfolio Sponsors LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Betterment - the automated investing and savings app Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes The dividend puzzle by Fischer Black—The Journal of Portfolio Management Can Dividend Investing Rise From the Dead? by Jon Sindreu—The Wall Street Journal Einhorn Says Markets ‘Fundamentally Broken’ By Passive, Quant Investing by Matthew Griffin—Bloomberg Your Mutual Fund Stinks. Can This Wall Street Invention Change That? by Jason Zweig—The Wall Street Journal Asset Camp Investments Mentioned WisdomTree U.S. SmallCap Quality Dividend Growth Fund (DGRS) WisdomTree Emerging Markets High Dividend ETF (DEM) Vanguard Dividend Appreciation ETF (VIG) iShares
Wed, February 07, 2024
Transforming Financial Regrets into Portfolio Gains: Five Strategies for Navigating Investment Emotions
Humans are wired to feel regret. Here's how to learn from financial regret to become a better investor. Topics covered include: What cognitive biases make feelings of financial regret unavoidable We analyze two regret case studies - one from David and one from a Plus member Why do we avoid big regrets but manage through small ones Five cognitive tricks to help manage financial regrets Sponsors NetSuite – Get your free KPI checklist Long Angle is a private community of 2,500 very high net worth investors who leverage their collective expertise and scale to access and underwrite some of the world’s best alternative asset investments. Learn more here. Money for the Rest of Us listener survey Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Fooled by Randomness: The Hidden Role of Chance in Life and in the Markets by Nassim Nicholas Taleb—Penguin Random House Related Content 448: Where Are Interest Rates Headed Next? Insights from the Jackson Hole Symposium 408: Is Success Due to Hard Work, Talent, or Luck? What Is Risk vs Uncertainty? 53: Should You Invest In Bitcoin? Investments Mentioned Vanguard Long-Term Bond ETF (BLV) Vanguard Extended Duration Trs ETF (EDV) See Privacy Policy at https://art19.com/privacy and California Privacy Noti
Wed, January 31, 2024
More Ways to Lock in Higher Yields in Case Interest Rates Fall
Professional investors and other market participants are lousy at forecasting interest rates. Here are three more options to lock in higher yields today. Topics covered include: The risk of buying long-term bonds and ETFs to benefit from falling yields How volatility drag has impacted a long-term bond ETF like TLT Why interest rates won't go up just because the government issues more bonds How CDs, fixed annuities, and zero-coupon bonds work We compare and contrast the seven fixed-income options reviewed in this two-part series Sponsors Monarch Money – Get an extended 30-day free trial Money for the Rest of Us listener survey Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Investors may be getting the Federal Reserve wrong, again—The Economist Today's Best Multi-Year Guaranteed Annuities—Immediate Annuities Zero-Coupon Treasuries Flew Off Shelves During October Yield Surge by Elizabeth Stanton—Bloomberg Investments Mentioned iShares 20+ Year Treasury Bond ETF (TLT) Invesco BulletShares 2029 Corporate Bond ETF (BSCT) Related Episodes 463: How to Lock in Higher Yields in Case Interest Rates Fall 418: Bond Investing Masterclass See Privacy Policy at https://art19.com/privacy and California Privacy Notice at <a href="https://art19.com/privacy#do-not-sell-my-info" rel=
Wed, January 24, 2024
How To Lock In Higher Yields In Case Interest Rates Fall
With cash yields expected to fall, here's how you can keep your portfolio income elevated by purchasing longer-term individual bonds and bullet ETFs Topics covered include: How future short-term interest rates, inflation expectations, and term premiums impact long-term interest rates How each of those rate drivers contributed to the close to 1% drop in interest rates in the past three months How yield to maturity is our guide to locking in a fixed return using individual bonds or bullet ETFs How bullet ETFs work and what are some examples What are callable bonds and how to analyze them How to analyze municipal bonds Why we might want to lock in higher yields today Sponsors Betterment - the automated investing and savings app Money for the Rest of Us listener survey Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Term Premium on a 10 Year Zero Coupon Bond—FRED Economic Data Investments Mentioned Vanguard Total Bond Market ETF (BND) Invesco BulletShares 2030 Corporate Bond ETF (BCSU) iShares iBonds Dec 2026 Term Trust ETF (IBTG) Invesco BulletShares 2031 High Yield Corporate Bond ETF (BSJV) Related Episodes 455: Easier Investing, Richer Life: TIPS Ladders to Annuities 453: The Price of Money – 700 Years of Falling, Can Interest Rates Keep Rising? 452: Beyond Stocks: The Allure and Strategy of Credit Investments 448: Where Are Interest Rates Headed Next? Insights from the Jackson Hole Symposium <a href="https://moneyfortherestofus.com/418-bond-investing-masterclass/" rel="noopener norefe
Wed, January 17, 2024
Now Should You Buy Bitcoin? The Investment Case for the New Spot Bitcoin ETFs
We explore reasons for buying Bitcoin using one of the new Bitcoin ETFs. We also consider the risks. Topics covered include: Why the SEC finally decided to approve spot Bitcoin ETFs What are the fees and structure of these new Bitcoin ETFs How Bitcoin is similar and different from the fiat money system Where Bitcoin fits in an investment portfolio Sponsors Long Angle is a private community of 2,500 very high net worth investors who leverage their collective expertise and scale to access and underwrite some of the world’s best alternative asset investments. Learn more here. NetSuite – Get your free KPI checklist Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Statement on the Approval of Spot Bitcoin Exchange-Traded Products - SEC Coinbase at the Center of Bitcoin ETF Draws Envy and Risks - Bloomberg Federal Reserve Balance Sheet Related Episodes 362: Should You Invest in a Bitcoin ETF? 355: Which Money Is Crazier: The U.S. Dollar or Bitcoin? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 10, 2024
How Much Should Your Net Worth Grow Each Year?
The intricate dance between profession, risk, lifestyle, and luck in determining how net worth grows. Topics covered include: The various factors that shape the growth of net worth, including professional choices, risk tolerance, and lifestyle decisions. David Stein's personal account of how these elements influenced the trajectory of his financial growth. Insights into the range of net worth increases observed in 2023, driven by the performance of financial markets. The importance of focusing on one's output quality and personal journey of wealth creation, rather than fixating on comparisons with others' net worth. Sponsors Shopify - Sign up for a $1 per month trial period LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Managing Oneself by Peter F. Drucker—Harvard Business Review Soloing: Realizing Your Life's Ambition by Harriet Rubin—HarperCollins See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 03, 2024
Should You Be Invested 100% Stocks Before and During Retirement? A Recent Study Says Yes
The pros and cons of investing your retirement assets 100% in equity, including half in international stocks. Why the 4% spending rule is too aggressive. Why historical asset class return studies that use only U.S. data are biased How researchers build a broader database to study retirement outcomes and spending rates How a 100% stock portfolio performed compared to balanced portfolios and target date funds Why investors should have half their assets in international stocks Why a 4% spending rule is too high, and what is the alternative Sponsor NetSuite – Get your free KPI checklist Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Beyond the Status Quo: A Critical Assessment of Lifecycle Investment Advice by Aizhan Anarkulova, Scott Cederburg, and Michael S. O'Doherty—SSRN The Safe Withdrawal Rate: Evidence from a Broad Sample of Developed Markets by Aizhan Anarkulova, Scott Cederburg, Michael S. O'Doherty, and Richard W. Sias—SSRN Related Episodes 421: Beware of Survivorship Bias When Investing 326: The New Math of Retirement Spending and Investing 254: Should You Be 100% Invested In Stocks? 250: Investing Rule One: Avoid Ruin See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 13, 2023
Listener Q&A on Investing and Living
We close out 2023 by answering your questions on active vs passive management, market timing, investing for status, what we learned from Charlie Munger, thoughts on a coming recession, worst investment mistakes, recent books that changed us, and more. Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes How the World Really Works by Vaclav Smil—Viking The Day the World Stops Shopping by J.B. Mackinnon—Harper Collins Earth for All: A Survival Guide for Humanity by Sandrine Dixson-Declève, et al—Earth for All Barbarian Days: A Surfing Life by William Finnegan—Penguin Random House Tao te Ching: Power for the Peaceful by Lao Tzu (Author) and Marc Mullinax (Translator)—Fortress Press See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 06, 2023
Dissecting Stock Returns: Financial Engineering or Genuine Growth?
Do the impressive returns in public and private markets stem from strategic financial engineering or reflect actual economic growth? How corporate profit growth is linked to economic growth, even though corporate profits are more volatile How interest rates, tax rates, and stock buybacks influence corporate profits and stock returns Why there are fewer publicly traded stocks How the increase in leveraged buyouts has impacted the economy How private equity funds use financial engineering to boost returns Sponsors NetSuite – Get your free KPI checklists LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes US CEOs start to contemplate Trump, round 2 by Rana Foroohar—The Financial Times End of an Era: The Coming Long-Run Slowdown in Corporate Profit Growth and Stock Returns by Michael Smolyansky—The Federal Reserve 10-Year Stock Market Returns—Crestmont Research Stock Average—Crestmont Research Stock EPS Reality—Crestmont Research What Matters More for Emerging Markets Investors: Economic Growth or EPS Growth? by Jason Hsu Jay Ritter Phillip Wool Yanxiang Zhao—Portfolio Management Research Nominal Gross Domestic Product for United States—FRED Economic Data <a href="https://www.theatlanti
Wed, November 29, 2023
AI's Fork in the Road: Societal Bliss or Existential Threat?
One year after the release of ChatGPT, we explore the positive and negative paths AI could take and what individuals can do to assist with a positive outcome. Topics covered include: How David uses AI to increase his personal productivity The societal and economic impacts of AI, including its potential to enhance corporate profitability and individual productivity Changes at OpenAI's executive level are examined, highlighting a shift in the organization's direction and philosophy What is Effective Altruism and why is it so focused on the catastrophic risks of AI What are the phases that would lead to a singularity in which AI poses a threat to humanity Why AI is still in the early stages, and how should individuals, businesses and regulators treat it at this point Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code Money Pickle – Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Everyday Chaos: Technology, Complexity, and How We're Thriving in a New World of Possibility by David Weinberger—Harvard Business Publishing Education The economic and market impact of artificial intelligence—Capital Economics The Fight for the Soul of A.I. by David Brooks—The New York Times How a Fervent Belief Split Silicon Valley—and Fueled the Blowup at OpenAI by Robert McMillan and Deepa Seetharaman—The Wall Street Journal A.I. Belongs to the Capitalists Now by Kevin Roose—The New York Times <a href="https://www.ft.com/content/a2c29506-4a38-47a3-8775-beb5e488c16
Bonus · Wed, November 22, 2023
Using a Checklist Approach To Investing - The Money for the Rest of Us Philosophy
In this bonus episode, David visits with Bill Yount and Becky Heptig of the Catching Up to Fi podcast in a wide-ranging discussion on investing using a systematic checklist approach. Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Money Pickle – Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. Masterworks – invest in contemporary art Masterworks Disclosure: “net IRR” refers to the annualized internal rate of return net of all fees and costs, calculated from the offering closing date to the sale date. IRR may not be indicative of Masterworks paintings not yet sold, and past performance is not indicative of future results. See important Reg A disclosures: Masterworks.com/cd Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Catching Up to FI Money for the Rest of Us book See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 15, 2023
Is Tourism Harmful or Helpful? The Economic and Cultural Impact of Global Travel
What are the economic and cultural benefits of tourism. What are the downsides to too much tourism. How to find the right balance. Topics covered include: How short-term rentals have changed tourism How cities grapple with too many short-term rentals What is the outlook for short-term rentals How much does tourism contribute to economic output How can tourism be harmful and helpful The example of Cuba Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes International tourism revenue, percent of GDP - Country rankings—The Global Economy U.S. Travel and Tourism Satellite Account for 2017–2021 by Sarah Osborne—Journal of US Bureau of Economic Analysis 2023 Short-Term Rental Mid-Year Outlook—AirDNA Welcome to Hochatown, the Town Created by Airbnb by Julie Satow—The New York Times Short-Term Rentals Attract Private Equity Seeking New Asset Class by Sean O'Neill—Skift As Cuba’s economic crisis deepens, citizens scramble to migrate by any means by Dave Sherwood—The Irish Times Cuba's worst economic crisis in decades forces people to get creative to
Wed, November 08, 2023
Easier Investing, Richer Life: TIPS Ladders to Annuities
What are the pros and cons of partially funding retirement expenses with an inflation-indexed bond ladder versus an immediate annuity? There is a big downside to TIPS ladders that many investors don't realize. Topics covered include: Why the stock market is more risky than many people realize Is it too late to invest in TIPS as one advisor suggests How TIPS and TIPS ladders work How immediate annuities work The pros and cons of a TIPS ladder versus an immediate annuity Sponsors NetSuite – Get your free KPI checklists Monarch Money – Get an extended 30-day free trial Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Effortless: Make It Easier to Do What Matters Most by Greg McKeown Essentialism: The Disciplined Pursuit of Less by Greg McKeown Skin in the Game by Nassim Nicholas Taleb Worry-Free Investing: A Safe Approach to Achieving Your Lifetime Financial Goals by Zvi Bodie and Michael J. Clowes Safe Haven: Investing for Financial Storms by Mark Spitznagel A Complete Guide to Investing in I Bonds and TIPS TipsLadder See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 01, 2023
How To Invest Money - 10 Rules of Thumb for Individual Investors
We discuss ten rules of thumb for individual investors to consider when saving and investing for and in retirement. Don't use institutional hand-me-downs Stay close to home base Beware of dragon risk Mind your investment seasons Catch the popping corn Watch for market swarms Track the economic winds Follow the traffic lights Diversify your baskets Don't burn your ships Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code Monarch Money – Get an extended 30-day free trial Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes How to Invest Money E-book Related Content Complete Guide to Mortgage REIT Investing - Money for the Rest of Us Complete Guide to Equity REIT Investing - Money for the Rest of Us Episode 451: How Much Should You Invest in Stocks See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 25, 2023
The Price of Money - 700 Years of Falling, Can Interest Rates Keep Rising?
Interest rates have been sliding for seven centuries. Dive into the historical forces driving this trend and examine whether the recent interest rate spike is just a blip on the radar. Topics covered include: How the supply of savings and the demand to borrow impact interest rates Why have interest rates been falling for over 700 years, and what might have changed recently to propel rates higher How lower rates have helped households increase their net worth and reduce their financial vulnerability What are some lower-risk ways to take advantage of higher interest rates Sponsors Money Pickle – Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes The Price of Money Is Going Up, and It’s Not Because of the Fed by Jamie Rush, Martin Ademmer, Maeva Cousin, Tom Orlik, and Rich Miller—Bloomberg Secular stagnation is not over by Olivier Blanchard—Peterson Institute for International Economics A big problem looming for bond markets by TOMASZ WIELADEK—The Financial Times Eight centuries of global real interest rates - Paul Schmelzing - Bank of England Changes in U.S. Family Finances from 2019 to 2022—The Federal Reserve A Complete Guide to Investing in I Bonds and TIPS Related Episodes <a href="https://moneyfortherestofus.com/448-interest-rates-jackson-hole-symposium/" rel="noopene
Wed, October 18, 2023
Beyond Stocks: The Allure and Strategy of Credit Investments
Why investing in non-investment grade bonds, leveraged loans, and preferred stocks is potentially more compelling than investing in common stocks at present. Topics covered include: Why Howard Marks told institutional clients to sell stocks and buy high-yield bonds instead The contractual agreements comprising bonds, leveraged loans, and preferred stock give them an advantage relative to common stocks How preferred equity exhibits attributes of both bonds and common stocks What is the expected return and risks for high-yield bonds, leveraged loans, and preferred stock How do we invest in these three asset types Sponsors Delete Me - Use code David20 to get 20% off - To get 20% off Delete Me go to https://joindeleteme.com/david20 and use Code David20 Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code Show Notes Sea Change - Memo by Howard Marks Further Thoughts on Sea Change - Memo by Howard Marks Investments Mentioned SPDR Bloomberg High Yield Bond ETF (JNK) iShares iBoxx High Yield Corporate Bond ETF (HYG) Invesco Senior Loan ETF (BKLN) iShares Preferred Stock ETF (PFF) Virtus Seix Senior Loan ETF (SEIX) DoubleLine Flexible Income Fund (DFLEX) BlackRock Debt Strategies Fund (DSU) Barings Corporate Investors Fund (MCI) Related Content 397: How to Invest Based on Cycles 451: How Much Should You Invest in Stocks? The Art of Position Sizing in a Volatile Market 423: A “Safe” 6% Yield: The Case for Investment Grade CLOs How to Invest in Closed-End Funds <a href="https://moneyfortherestofus.com/c
Wed, October 11, 2023
How Much Should You Invest in Stocks? The Art of Position Sizing in a Volatile Market
Our allocation to risky assets should vary based on the expected return, volatility, risk aversion, and how much we can earn risk-free. That means we should be taking less risk right now. Listen to learn why. Topics covered include: Why there are so few billionaires Why the hedge fund Long Term Capital Management imploded Why how much to invest is more important than where to invest How the Merton share formula can assist with determining what percent of our wealth to invest in risky assets Why are expected outcomes so much greater than the median outcome and why it matters to our investing Sponsors Delete Me - Use code David20 to get 20% off - To get 20% off Delete Me go to https://joindeleteme.com/david20 and use Code David20 Masterworks – invest in contemporary art Masterworks Disclosure: “net IRR” refers to the annualized internal rate of return net of all fees and costs, calculated from the offering closing date to the sale date. IRR may not be indicative of Masterworks paintings not yet sold, and past performance is not indicative of future results. See important Reg A disclosures: Masterworks.com/cd Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes How to avoid a common investment mistake - Buttonwood - The Economist The Missing Billionaires: A Guide to Better Financial Decisions by Victor Haghani and James White Money For the Rest of Us List of Most Influential Books Charles Feeney, Who Made a Fortune and Then Gave It Away, Dies at 92 - New York Times Elm Partners Coin Flip Exercise <a href="https://aip.scitation.org/doi/pdf/10.1063/1.4940236" rel="noopener noreferrer" target="_b
Wed, October 04, 2023
How Higher Interest Rates Alter Our Financial Blueprint
We explore six impacts of higher interest rates on housing, capital projects, stock buybacks, excess returns for stocks, bonds, and other asset classes, and individual opportunity costs. Topics covered include: Where current interest rates stand Central banker predictions for how long cash yields will stay this high Why housing is the least affordable since the early 1980s Why new apartment building construction has collapsed What has been the excess return for stocks, bonds, and other asset classes when interest rates are higher and lower Why there will be fewer stock buybacks and how that can impact earnings per share Which alternative investments do better when short-term interest rates are higher Why financial opportunity costs have increased and how that should impact our investment and other financial decisions. Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code NetSuite – Get your free KPI checklists Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Summary of Economic Projections—The Federal Reserve The Apartment Market Is Hitting a Construction Lull by Will Parker—The Wall Street Journal 30-Year Fixed Rate Mortgage Average in the United States—FRED Economic Data Americans Are Still Spending Like There’s No Tomorrow by Rachel Wolfe—The Wall Street Journal Honey, the Fed Shrunk the Equity Premium by Portfolio Solutions Group—AQR Companies ease off on share buybacks as r
Wed, September 27, 2023
The House of Cards: Evaluating Economic and Financial Warning Signs
What are the economic and financial system early warning signs that we should heed rather than get caught up in fearmongering? When should we start to worry about ballooning budget deficits, the national debt, a currency collapse, or the stock market? Topics covered include: Signals to monitor to see if things are falling apart How much government debt is too much and why interest rates are key Why central banks don't control the stock market Why the dollar remains dominant, and what has to change for it to plummet in value Sponsors Money Pickle – Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. LinkedIn Jobs - Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes The Dawn of Everything: A New History of Humanity by David Graeber and David Wengrow—Macmillan How Much Is Enough? Money and the Good Life by Robert Skidelsky and Edward Skidelsky—Penguin Random House U.S. National Deficit—Treasury.gov Budget and Economic Data—Congressional Budget Office Japan's growing debt mountain: Crisis, what crisis? by Andrew Sharp—Nikkei Asia The Dollar: The World’s Reserve Currency by Anshu Siripurapu and Noah Berman—Council on Foreign Relations Currency Composition of Official Foreign Exchange Reserves—International Monetary Fund Total credit to non
Wed, September 20, 2023
Where Are Interest Rates Headed Next? Insights from the Jackson Hole Symposium
Why you might want to lock in higher yields now, given real interest rates are the highest they have been in 15 years. Topics covered include: What was covered this year at the Federal Reserve Jackson Hole Symposium What are the primary policy actions central banks take, and how do they influence interest rates What is the neutral real rate of interest, and why is it important Why new ideas are central to an increasing standard of living What would drive interest rates higher or lower from current levels Why now is an attractive time to lock in longer-term yields Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code Factor - Use code david50 to get 50% off your meal order Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Jackson Hole Economic Policy Symposium: Structural Shifts in the Global Economy—Federal Reserve Bank of Kansas City Policymaking in an age of shifts and breaks by Christine Lagarde—European Central Bank Inflation: Progress and the Path Ahead by Jerome H. Powell—The Federal Reserve Bank Structural Shifts in the Global Economy: Structural Constraints on Growth by Chad Syverson—Federal Reserve Bank of Kansas City The Outlook for Long-Term Economic Growth by Charles I. Jones—Federal Reserve Bank of Kansas City Living with High Public Debt by Serkan Arslanalp and Barry Eichengreen
Wed, September 13, 2023
Our Car Was Attacked! Is Property Crime Increasing?
David shares how thieves recently tried to smash and grab his luggage from his car while he was still inside it. He then explores property crime trends, whether they are increasing or decreasing, and why. Topic covers include: How thieves have stolen luggage from the same gas station multiple times per day What have property crime rates been in the U.S. over the past few decades and since the end of the pandemic What are reasons property crime rises and falls What is inventory shrink and how is it impacting retailers What can we do to reduce the risk of being a crime victim Show Notes Chevron Oakland Hegenberger Rd—Yelp Myths and Realities: Understanding Recent Trends in Violent Crime by Ames Grawert and Noah Kim—Brennan Center for Justice Reported property crime rate in the United States from 1990 to 2021—Statista Pandemic, Social Unrest, and Crime in U.S. Cities: Year-End 2022 Update—Council on Criminal Justice CATALYTIC CONVERTER THEFTS NATIONWIDE SURGE ACCORDING TO NEW REPORT—Cision PR Newswire What the data says (and doesn’t say) about crime in the United States by John Gramlich—Pew Research Center Oakland’s crime rates are surging. Here’s how they compare with S.F. and other Bay Area cities by Susie Neilson—San Francisco Chronicle OAKLAND NAACP CALLS ON POLITICIANS TO CRACK DOWN ON CRIMINALS—California Policy Center Money under the mattress: economic crisis and crime by Eleni Kyrkopoulou, Alexandros Louka, and Kristin Fabbe—SSRN <a href="https://www.brennancenter.org/our-work/research-reports/what-caused-cr
Wed, September 06, 2023
Die With Zero: Why You Should Start Spending Now
How to balance saving, investing, and spending for a fulfilling life. Why you will probably reach your peak net worth sooner than you think and should start drawing down your nest egg earlier. Why we can't optimize for a fulfilling life but can still have one. Topics covered include: How to estimate how much to spend from your retirement assets so you die with zero What is time bucketing and why it doesn't work for everyone How to balance the fear of making a change with the fear of missing out The difference between making deliberate choices and maximizing our experiences Sponsors Monarch Money - Get an extended 30-day free trial NetSuite - Get your free KPI checklists Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Die with Zero: Getting All You Can with Your Money and Your Life by Bill Perkins The Pathless Path: Imaging a New Story for Work and Life by Paul Millerd Four Thousand Weeks: Time Management for Mortals by Oliver Burkeman Anderson Cooper Is Still Learning to Live With Loss by David Marchese—The New York Times See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Bonus · Wed, August 30, 2023
Bond Investing Masterclass Bonus Episode
Three additional insights to help you confidently invest in fixed income. First, what are the different measures of bond yields, and which is best? Second, how to estimate the return for a bond ETF or fund and how long do you have to own it to achieve that annualized return? Finally, we explore a bond type that yields more than U.S. Treasuries, has never defaulted, and has the implicit guarantee of the U.S. government. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 23, 2023
From Boom to Bust: Why China's Stocks Lagged Behind Its Economy and Where to Invest Next
How badly has China's stock market performed except for one remarkable decade What are the economic and governance factors that contributed to the underperformance Why it's too soon to write off China despite the structural headwinds What are the factors that contribute to economic growth and a robust stock market, and which emerging market countries display those factors What are some ETFs to invest in countries with favorable economic tailwinds Sponsors Use code MONEY10 to get 10% off on your NAPA Autoparts online order NordVPN – Click here for a special offer Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes State-Owned Enterprises Going Public: The Case of China by Xiaozu Wang, et al.—SSRN A Model of China's State Capitalism by Xi Li, et al.—SSRN Has China given up on state-owned enterprise reform? by Nicholas Borst—The Interpreter China Regulator’s New Slogan Fuels Buying Spree in State Firms by Bloomberg News—Bloomberg Investors sour on Beijing’s bid to boost state-owned enterprises by Sun Yu—The Financial Times China’s 40-Year Boom Is Over. What Comes Next? by Lingling Wei and Stella Yifan Xie—The Wall Street Journal What just happened: Storm clouds loom for China’s economy by Sebastian Mallaby, et al.—The Washington Post <a href="https://theprint.in/india/imminent-end-o
Wed, August 16, 2023
Natural Disasters: Are They Truly Increasing?
From raging wildfires to devastating floods, how are these natural events reshaping our financial landscape? What if anything, should we be doing with our investments as a result? Topics covered include: The devastating Maui wildfire: What are the factors that led to one of the deadliest wildfires in US history. Global wildfire trends: Are they really increasing? The data might surprise you. The role of insurance companies: Learn how the giants of the reinsurance world, like Swiss Re and Munich Re, are navigating the increasing number of natural disasters. The complex interplay of climate change, urban expansion, and human choices Why IPCC is not highly confident regarding some weather impacts of climate change due to the natural variability in weather patterns. What should individuals do when there is a lack of details regarding a long-term potential threat? Sponsors Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Masterworks – invest in contemporary art Masterworks Disclosure: “net IRR” refers to the annualized internal rate of return net of all fees and costs, calculated from the offering closing date to the sale date. IRR may not be indicative of Masterworks paintings not yet sold, and past performance is not indicative of future results. See important Reg A disclosures: Masterworks.com/cd Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Why the fires in Hawaii have been so bad—The Economist CAMS: monitoring extreme wildfire emissions in 2022—Copernicus A human-driven decline in global burned area by N. Andela et al.—Science Seasonal Trend for Europe—Copernicus Insurers rack up $50bn in losses from natural
Wed, August 09, 2023
Five Surprising Insights About Stock Indexes and Funds
We share five things we have learned about stock index valuations, earnings, currency, and why value investing isn't dead. Topics covered include: How index providers divide the stock universe into large and small, growth and value The difference between the price-to-earnings ratio and earnings yield and which is better How earnings volatility can impact annual earnings growth and what to use to estimate future earnings How value stocks often grow earnings faster than growth stocks How value has outperformed growth in the last three years Sponsors Use code MONEY10 to get 10% off on your NAPA Autoparts online order. NetSuite – the leading integrated cloud business software suite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Asset Camp Money for the Rest of Us Plus Related Episodes 102: What It Takes To Be A Value Investor 261: Is Value Investing Dead? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 02, 2023
Crisis-Proof Investing: Strategies for a Shaky Future
Given climate change and other risks, how should you invest for the next forty years? Topics covered include: What predictions from the last forty years came true and which didn't Why the next forty years will have a lot of similarities to the last forty years despite the promise of AI Why the scale and complexity of the world make big transitions away from oil, cement, and natural gas unlikely Why economic growth and consumption will likely continue leading to positive investment returns How should our portfolios and lifestyle be structured to build resilience Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code Factor - Use code david50 to get 50% off your meal order Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes The Third Wave by Alvin Toffler—Penguin Random House Parcel shipping index 2022—Pitney Bowes America Is Drowning in Packages by Amanda Mull—The Atlantic How to Spend Way Less Time on Email Every Day by Matt Plummer—Harvard Business Review World Population Prospects—United Nations Department of Economic and Social Affairs Global Climate Change Vital Signs—NASA Congestion Pricing Plan in New York City Clears Final Federal Hurdle by Ana Ley—The New York Times <a hre
Wed, July 26, 2023
What If Social Security Had Been Privatized? The Value of Federal Government Pension Plans
In 2005, Congress debated giving U.S. workers private savings accounts to invest their Social Security contributions in the stock and bond markets. Sixteen years later, we review how that would have worked out for workers. Other topics discussed include: How the public and private sectors are both critical for a functioning social security systems Which countries pay the highest social security benefits How have other privatized social security plans worked out around the world How workers prefer defined contribution plans even though they are worse off than if defined benefit plans were still widely available How worried should we be about aging populations and rising dependency ratios Why Social Security won't go away Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code Factor - Use code david50 to get 50% off your meal order Use this link to post your job for free on LinkedIn Jobs Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Greenspan "There is nothing to prevent the government from creating as much money as it wants."—YouTube Estimated Financial Effects of the "Social Security Personal Savings Guarantee and Prosperity Act of 2005" by Stephen C. Goss—Social Security Administration Social Security Quick Calculator—Social Security Administration The average 401(k) balance by age by Pau Deer—Empower CBO’s 2022 Long-Term Projections for Social Security—Congressional Budget Office Policy Basics: Top Ten Facts about Social Security—Center On Budget and Polic
Wed, July 19, 2023
Beware of Platform Risk - How PeerStreet, a Real Estate Crowdfunding Firm, Went Bankrupt
How to mitigate the risk of investing on crowdfunding platforms where there is little transparency on the underlying financial health of the platform company. Topics covered include: What is the platform economy How blitzscaling and an over-reliance on venture capital funding led to Peer Street's bankruptcy What happens next for investors on Peer Street's platforms How individuals and businesses can mitigate the risk of investing or conducting business on platforms Sponsors Madison Trust Self-Directed IRA - Go Here to Learn More and Get Your $100 Off Promo Code Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Amazon: Independent Sellers In The U.S. Sold More Than 4.1 Billion Products in 2022 by SGB Media—SGB Media PeerStreet LinkedIn Post by Brett Crosby—LinkedIn Crowdfunding platform PeerStreet files for bankruptcy by Flávia Furlan Nunes—Housingwire AI Was Q2’s Big Hope To Reverse The Global Venture Funding Slowdown. It Wasn’t Enough by Gené Teare—Crunchbase VC finds its footing as headwinds weaken by James Thorn—PitchBook PitchBook-NVCA Venture Monitor—PitchBook Cases FAQ—Stretto <a href="https://www.inman.com/2023/06/28/r
Wed, July 12, 2023
How and Why to Invest in AI
AI models like ChatGPT could lead to massive productivity gains, accelerated economic growth, and higher stock returns. Here's how to invest in AI. Topics covered include: How workers are already using AI models like ChatGPT to boost productivity Why ChatGPT is better at search than Google for certain queries How AI models will change the economic narrative What are ways to invest in AI, including specific ETFs For more information on this episode click here . Sponsors NetSuite – the leading integrated cloud business software suite Masterworks – invest in contemporary art Masterworks Disclosure: “net IRR” refers to the annualized internal rate of return net of all fees and costs, calculated from the offering closing date to the sale date. IRR may not be indicative of Masterworks paintings not yet sold, and past performance is not indicative of future results. See important Reg A disclosures: Masterworks.com/cd Show Notes Sarah Silverman Sues OpenAI and Meta Over Copyright Infringement by Zachary Small—The New York Times ChatGPT saw its first-ever user decline in June by Igor Bonifacic—Engadget A New Chat Bot Is a ‘Code Red’ for Google’s Search Business by Nico Grant and Cade Metz—The New York Times How to get a handle on AI’s many implications for economies and markets by Neil Shearing—Capital Economics Lessons From the Catastrophic Failure of the Metaverse by Kate Wagner—The Nation To Drive AI, Chip Makers Stack ‘Chiplets’ Like Lego Blocks by Yang Jie—The Wall Street Journal Investments Mentioned iShares
Wed, June 28, 2023
Why Are You Investing? Defining Your Rich Life with Ramit Sethi
Camden and Bret sit down with Ramit Sethi, host of Netflix’s hit show, “How to Get Rich”, author of the New York Times bestseller, “I Will Teach You To Be Rich” and host of the popular “I Will Teach You To Be Rich” podcast. He is known for his unconventional insights on money psychology and his no-nonsense approach to designing and living a rich life. Ramit’s financial philosophy is centered around several key principles, including the importance of automating your finances, using money psychology to prioritize your “money dials,” and focusing on $30,000 questions instead of $3 ones. Topics covered include: What it means to live outside the spreadsheet and have a rich life The importance of learning how to spend, not just save and invest Approaching investing when you don’t come from an investment background and what to do if you are feeling behind For more information on this episode click here . Episode Sponsors NordVPN – Click here for a special offer Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Masterworks – invest in contemporary art Masterworks Disclosure: “net IRR” refers to the annualized internal rate of return net of all fees and costs, calculated from the offering closing date to the sale date. IRR may not be indicative of Masterworks paintings not yet sold, and past performance is not indicative of future results. See important Reg A disclosures: Masterworks.com/cd Show Notes I Will Teach You to Be Rich Related Episodes 278: You Have Permission to Spend 437: How to Live Like You Are Already Retired See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 21, 2023
How to Live Like You Are Already Retired
How to create and sustain a life of freedom and happiness you don't want to retire from. Topics covered include: What are the physical and mental aspects of living like you are already retired What is the good life, and what are the basic goods that contribute to it How we handle time is the key to the good life and living like we are already retired For more information on this episode click here . Sponsors Money Pickle – Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Politics by Aristotle How Much is Enough? Money and the Good Life by Robert Skidelsky and Edward Skidelsky—Penguin Random House Cormac McCarthy Had a Remarkable Literary Career. It Could Never Happen Now. by Dan Sinykin—The New York Times Soloing: Realizing Your Life's Ambition by Harriet Rubin—HarperCollins Saving Time: Discovering a Life Beyond the Clock by Jenny Odell—Penguin Random House An Early Resurrection: Life in Christ Before You Die by Adam S. Miller—Deseret Book Four Thousand Weeks: Time Management for Mortals by Oliver Burkeman—Macmillan Publishers <a href="https://www.timesurfing.uk/" rel="noopener norefe
Wed, June 14, 2023
How Did They Do? - Revisiting Carbon, SPACs, Silver, Convertible Bonds, and Frontier Markets
We review the performance and investment prospects for carbon, SPACs, silver, convertible bonds, and frontier markets. Topics covered: What has been the performance of these five asset types since they were discussed on the podcast two to three years ago What are the underlying performance drivers and expected returns going forward Which asset types are most and least attractive For more information on this episode click here . Sponsors Masterworks – invest in contemporary art Masterworks Disclosure: “net IRR” refers to the annualized internal rate of return net of all fees and costs, calculated from the offering closing date to the sale date. IRR may not be indicative of Masterworks paintings not yet sold, and past performance is not indicative of future results. See important Reg A disclosures: Masterworks.com/cd Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Initial Public Offerings: Updated Statistics by Jay R. Ritter—Warrington College of Business, University of Florida Two SPAC ETFs Close in One Month, Suggesting End to Wall Street Boom by Emily Graffeo—Bloomberg Investments Mentioned Vanguard Total World Stock Market ETF (VT) SPAC and New Issue ETF (SPCX) iShares Convertible Bond ETF (ICVT) iShares Silver Trust (SLV) ProShares Ultra Silver (AGQ) iShares Fronter and Select EM ETF (FM) Kraneshares Global Carbon ETF (KRBN) Related Content 318: What Are SPACs and Should You Invest in Them? 330: Is Silver the Next GameStop? How to Inve
Wed, June 07, 2023
Is It Better to Rent or Buy a Home?
How to decide whether to rent a house or apartment or purchase a home or condo. What has been the financial return from owning a house? Topics covered include: How much have home prices increased in major cities since 1980 What drove the greater than 50% jump in home prices in some U.S. cities since 2020 Why there aren't more new starter homes What will it take for the housing shortage to abate so houses can be more affordable Why now could be a more advantageous time to rent versus buy What academics estimate the long-term return is for owning a house, and why the calculations are incomplete How to determine what your total cost of ownership is for buying a house in order to compare it to renting For more information on this episode click here . Sponsors NetSuite – the leading integrated cloud business software suite Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes The housing theory of everything by John Myers & Ben Southwood & Sam Bowman—Works in Progress Irish property: the boom that shows no signs of slowing by Jude Webber—The Financial Times Whatever Happened to the Starter Home? by Emily Badger—The New York Times The Housing Revolution Is Coming by M. Nolan Gray—The Atlantic In Today’s Housing Market, It’s Timing Over Location by Joe Pinsker—The Wall Street Journal The Rate of Return on Real Estate: Long-Run Micro-Level Evidence by David Chambers, Christophe Spaenjers, and Eva Steiner—Oxford Academic <a href=
Wed, May 31, 2023
Free Mastering Common Stocks Email Course and Investment Webinar
We don't have a regular podcast episode this week due to vacation. Still, we wanted to share with you our new email course on Mastering Common Stock Investing, along with an upcoming live investment webinar. There are more details in the audio. You can sign up for both the free email course and the live webinar here. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 24, 2023
Don't Be Afraid to Invest In Commercial Real Estate - The Bullish Case for Equity REITs
Why equity real estate investment trusts should be part of your investment portfolio despite the office sector's struggles. Topics covered include: Why some office REITs are down 30% in 2023, and owners are walking away from buildings How commercial mortgages differ from residential mortgages The broad sector diversification found within equity REIT ETFs What have equity REITs performed long-term and what drove those returns What is a reasonable return expectation for equity REITs Why equity REIT prices adjust more quickly than private real estate values Why you should be wary of private REITs For more information on this episode click here . Sponsors Brooklinen - Get 20% off for their Memorial Day weekend sale Money Pickle – Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Slow Return to Work Pummels Office Stocks by Peter Grant—The Wall Street Journal REITs Likely to Attract Growing Interest from Private Real Estate Funds by Sarah Borchersen-Keto—Nareit Related Content 414: Use Caution with Private REITs like Blackstone’s BREIT A Complete Guide to Equity REIT Investing See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 17, 2023
What Happens If The U.S. Defaults On Its Debt? Here's Why It Won't
What are the grave consequences if the U.S. debt ceiling isn't increased and the government defaults? What would the Federal Reserve and the Executive Branch do to prevent default if Congress doesn't act? Topics covered include: What are the potential impacts of a U.S. default on the stock and bond markets, and the overall economy What causes the U.S. to have a perennial debt ceiling crisis Why it is uncertain when the U.S. government would run out of money to meet its obligations What the Biden Administration could do to prevent a default What the Federal Reserve could do to prevent a default Given the ongoing crisis, should you shift assets from stocks to cash? For more information on this episode click here . Sponsors Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Masterworks – invest in contemporary art Masterworks Disclosure: “net IRR” refers to the annualized internal rate of return net of all fees and costs, calculated from the offering closing date to the sale date. IRR may not be indicative of Masterworks paintings not yet sold, and past performance is not indicative of future results. See important Reg A disclosures: Masterworks.com/cd Masterworks’ offerings are filed with the SEC, view all past and current offerings here . Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes The Debt Limit Since 2011—Congressional Research Service 7 doomsday scenarios if the U.S. crashes through the debt ceiling by Jeff Stein—The Washington Post A debt ceiling default would send the U.S. housing market back into a deep freeze by Jeff Tucker—Zillow <a href="https://www.br
Wed, May 10, 2023
Are the Economy and Financial Markets Zero-Sum Games?
Does there need to be a loser for every winner when it comes to investing and economic growth? Topics covered include: What are zero-sum games How trading can be a zero-sum game Why active management and seeking excess returns through security selections or country weights are zero-sum games Why the U.S. stock market has outperformed the rest of the world Why economic growth overall is not a zero-sum game, but some aspects of the economy are zero-sum games For more information on this episode click here . Sponsors Go to GetSunday.com/David to get a customized lawn plan and 50% off your first Sunday Lawn Care box. Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes With the Odds on Their Side, They Still Couldn’t Beat the Market by Jeff Sommer—The New York Times International Diversification—Still Not Crazy after All These Years by Cliff Asness, Antti Ilmanen, and Daniel Villalon—AQR The (Time-Varying) Importance of Disaster Risk by Ivo Welch—The Financial Analysts' Journal The Economics of Biodiversity: The Dasgupta Review by Dasgupta P.—GOV.UK Why the economy is not a zero-sum game: a simple explanation by Nathan Mech—Acton Institute Defending the Free Market: The Moral Case for a Free Economy by Robert Sirico <a href="https://www.amazon.com/Rents-How-Marketing-Causes-Ineq
Wed, May 03, 2023
The Long-term Bullish Case for Gold
Why you should allocate a small percentage of your assets to gold. Topics covered include: What is money, and how does gold fit with that definition Why central banks bought more gold last year than at any time since 1967 Which central banks own the most gold and which are increasing their gold holdings How fast is the gold supply growing compared to the U.S. dollar money supply How financialization, greater leverage, and contagion risk should motivate us to consider gold For more information on this episode click here . Sponsors Hello Fresh – Use code 16david for 16 free meals with free shipping from Hello Fresh NetSuite – the leading integrated cloud business software suite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Central banks load up on gold in response to rising geopolitical tensions by Daria Mosolova—The Financial Times Above-ground stocks—Gold Hub Central bank holdings—Gold Hub Does the Federal Reserve own or hold gold?—The Federal Reserve Trey Reik—LinkedIn M2 and Components—FRED Gold Charts R Us Related Episodes 37: Gold – Without the Hype and Politics 53: Should You Invest In Bitcoin? 59: Is Gold Money? <a href="https://moneyfortherestofus.com/263
Wed, April 26, 2023
How Should Personal and National Wealth Be Measured?
How we measure wealth, riches, abundance, and well-being is more important today than ever. Topics covered include: How late 18th century philosophers Adam Smith and the Earl of Lauderdale defined wealth and the role of capital. Why they worried about income inequality and excess profits What led to the dramatic increase in life expectancy and wealth in the 20th and 21st centuries How a long life expectancy and well-being can be attained at much lower levels of wealth Why John Maynard Keynes was right about the expansion of the economy but wrong about how many hours we would work How the U.S. expanded its wealth relative to the rest of world, and at what cost Why natural capital should be included in measuring wealth For more information on this episode click here . Sponsors Money Pickle – Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. Brooklinen Use code DAVID20 for $20 off plus free shipping Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes An Inquiry into the Nature and Causes of the Wealth of Nations by Adam Smith—Early Modern Texts About Adam Smith—Adam Smith Institute An Inquiry Into the Nature and Origin of Public Wealth and Into the Means and Causes of Its Increase by The Earl of Lauderdale—McMaster University Principles for Dealing with the Changing World Order: Why Nations Succeed and Fail by Ray Dalio—Simon & Schuster The Economics of Biodive
Wed, April 19, 2023
Which Inflation Protection Strategies Worked and Which Didn't?
With a total U.S. inflation rate of 14% in the past two years, we review how various inflation hedges performed over the past twenty-four months. Topics covered include: What were investors' and the Federal Reserve's inflation expectations two years ago What led to the big inflation increase Why was the Federal Reserve forced to raise its policy rate by almost 5% in a year How successful were inflation-index bonds, stocks, commodities, and real estate in beating inflation over the past two years How did two active ETFs that set out to protect against inflation perform What is the current outlook for inflation, and what should investors do For more information on this episode click here . Sponsors Brooklinen Use code DAVID20 for $20 off plus free shipping Go to GetSunday.com/David to get a customized lawn plan and 20% off your Sunday Lawn Care order Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes CPI Inflation Calculator—U.S. Bureau of Labor Statistics Inflation Beneficiaries ETF—Horizon Kinetics Quadratic Capital Management Investments Mentioned iShares TIPS Bond ETF (TIP) Vanguard Short-term Inflation Protection Securities ETF (VTIP) Invesco DB Commodity Index Tracking Fund (DBC) Vanguard Total World Stock ETF (VT) Vanguard Total Stock Market ETF (VTI) WisdomTree U.S. High Dividend Fund (DHS) WisdomTree Global High Dividend Fund (DEW) Horizon Kinetics Inflation Beneficiaries ETF (INFL) Schwab U.S. REIT ETF (SCHH) Quadratic Interest Rate Volatility and Inflation Hedge ETF (IVOL) Related Episodes 336: Own What Is Real 342: Is Another Great Inflation Coming? See Privacy Policy at <a href="https://art19.com/privacy" rel="noopener noreferrer"
Wed, April 12, 2023
How the Coming Credit Crunch Could Harm the Economy and Real Estate Prices
How accelerating bank deposit withdrawals could harm the economy, including real estate prices. How dollars slosh around the financial system but always seem to end up at the Federal Reserve. Topics covered include: How many deposits have left banks since the Silicon Valley Bank collapse How much have banks borrowed from the Federal Reserve to meet deposit withdrawals Why exiting deposits are harming bank profits and causing them to make fewer loans How the credit crunch could hurt commercial real estate values How money market mutual funds differ from banks How today's banking crisis is similar to the 1980s savings and loans crisis What should investors do to protect their wealth For more information on this episode click here . Sponsors Masterworks – invest in contemporary art Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter. Show Notes Factors Affecting Reserve Balances of Depository Institutions and Condition Statement of Federal Reserve Banks—The Federal Reserve Assets and Liabilities of Commercial Banks in the United States—The Federal Reserve All U.S. Banks Net Interest Margin—BankRegData Current Treasuries and Swap Rates—Chatham Financial Options trading surges as investors brace themselves for US regional bank volatility by Stephen Gandel and Nicholas Megaw and Colby Smith—The Financial Times Bank Turmoil Squeezes Borrowers, Raising Fears of a Slowdown by Jeanna Smialek—The New York Times <a href="https://www.stlouisfed.org/on-the-economy/2019/march/banks-demand-reserves-face-liquid
Wed, April 05, 2023
Did the Tariffs Work? The Trade War Five Years Later
What has been the impact on trade and the trade deficit since the U.S. implemented tariffs on steel, aluminum, and goods made in China? Topics covered include: Has the shipping backlog been reduced at U.S. ports What are the dangers of running too high of a trade deficit How large is the U.S. trade deficit What has been the impact of U.S. tariffs on trade, domestic production, and prices How Chinese direct-to-consumer retail companies Shein and Temu are driving prices of goods ever lower Why consumers should demand greater visibility on how products they purchase are made For more information on this episode click here . Sponsors Use code MONEY10 to get 10% off on your NAPA online order. NetSuite – the leading integrated cloud business software suite Show Notes The ‘ship backup has ended’ at Los Angeles, Long Beach ports by Alejandra Salgado—Supply Chain Dive America’s Trade Deficit Surged in 2022, Nearing $1 Trillion by Ana Swanson—The New York Times Industry study tracks China tariffs’ added costs to importers and consumers by Ben Unglesbee—Supply Chain Dive Costs of Trade Wars: The Distributional Consequences of US Section 301 Tariffs Against China by Kara M. Reynolds—SSRN Certain Effects of Section 232 and 301 Tariffs Reduced Imports and Increased Prices and Production in Many U.S. Industries by USITC—United States International Trade Commission Economic Impact of Section 232 and 301 Tariffs on U.S. Industries by USITC—United States International Trade Commission The other Chinese apps taking the US and UK by storm by Chelsea Bailey—BBC <a href="https://www.bloomberg.com/news/articles/2022-12-12/secretive-shein-f
Mon, March 27, 2023
Which is Best - Active or Passive, ETFs or Funds?
David has a fascinating discussion with Kristof Gleich about active management, indexing, and how ETFs and mutual funds really work. Topics covered include: Should individual investors even try to select active mutual funds Is there an indexing bubble Why are there so many new ETFs Should we be worried about an ETF flash crash What do ETF market makers and authorized participants do Do SEC yields for international equity mutual funds and ETFs reflect the impact of dividend withholding taxes As the president and CIO of Harbor Capital Advisors, Inc. Kristof Gleich oversees all Investment, Distribution & Marketing and Executive Office functions at Harbor. He provides insight while helping lead Harbor’s strategic growth plan. Previously, Kristof was a managing director and global head of manager selection at JP Morgan Chase & Co. He has a degree in Physics from University of Bristol. Thanks to NAPA and Sunday Lawn Care for sponsoring the episode. Use code MONEY10 to get 10% off on your NAPA Autoparts online order. Go here to GetSunday.com/David to get a customized lawn plan and 20% off your Sunday Lawn Care order Related Episodes 321: How to Analyze Complex Investments 311: Did ETFs Pass the 2020 Market Collapse Stress Test? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 22, 2023
How Profits Motivate Change
"If something is profitable, it will be done," says Martin Wolf of the Financial Times. We explore how profits will drive the energy transition and how and where water from the Colorado River is used. Topics covered include: How profits have led to higher energy market share for natural gas and renewal energy What is hindering a faster transition to renewables What is contributing to a water shortage in the southwestern U.S,. and how will it be resolved Why big infrastructure projects often aren't the best solution to solve a problem Why some regulation is helpful For more information on this episode click here . Show Notes The market can deliver the green transition by Martin Wolf—The Financial Times Where the Water Goes: Life and Death Along the Colorado River by David Owen—Penguin Random House Economics may take us to net zero all on its own by John Burn-Murdoch—The Financial Times The Gregor Letter by Gregor Macdonald—Substack The Inflation Reduction Act: Here's what's in it—McKinsey & Company Management of the Colorado River: Water Allocations, Drought, and the Federal Role by Charles V. Stern and Pervaze A. Sheikh—Congressional Research Service The Supreme Court wrestles with questions over the Navajo Nation's water rights by Becky Sullivan—NPR As the Colorado River Shrinks, Washington Prepares to Spread the Pain by Christopher Flavelle—The New York Times Can Western States Agree on the Future of the Colorado River? by Matt Vasilogambros—Pew <a href="https://knowyourwaternews.com/a-matter-of-pr
Wed, March 15, 2023
Are More Bank Runs Coming? The Collapse of Silicon Valley Bank
What caused Silicon Valley Bank to collapse in only 44 hours, and how likely will the contagion spread, leading to other bank failures? Topics covered include: How losses on bonds blew up SVB's balance sheet How is Silicon Valley Bank similar and different than other regional banks What the FDIC and Federal Reserve are trying do to restore confidence and stop bank runs How a weakening of the Frank-Dodd bank regulation act set the stage for SVB's failure Why bailing out uninsured depositors is controversial Three scenarios of what might happen next Actions we can take to protect ourselves when private money fails For more information on this episode click here . Sponsors Masterworks – invest in contemporary art Money for the Rest of Us Plus membership Show Notes Silicon Valley Bank launches $2.25bn share sale to shore up capital base by Joshua Franklin and Antoine Gara—The Financial Times US Bank Capital Regulation: History and Changes Since the Financial Crisis by John Walter—Economic Quarterly SVB's 44-Hour Collapse Was Rooted in Treasury Bets During the Pandemic by Brian Chappatta—Bloomberg Remarks by FDIC Chairman Martin Gruenberg at the Institute of International Bankers—FDIC How Silicon Valley Turned on Silicon Valley Bank by Ben Foldy, Rachel Louise Ensign, and Justin Baer—The Wall Street Journal SEC Filings Details—Silicon Valley Bank FDIC Creates a Deposit Insurance National Bank of Santa Clara to Protect Insured Depositors of Silicon Valley Bank, Santa Clara, California—FDIC
Wed, March 08, 2023
A "Safe" 6% Yield: The Case for Investment Grade CLOs
How leveraged loans and CLOs work and how to invest in them. What are the risks and opportunities with the new CLO ETFs. Topics covered include: What are the characteristics of leveraged loans and how David has invested in them in the past, both professionally and personally. Why LIBOR reference rate for leveraged loans is being phased out What is the current investing climate for leveraged loans How collateralized loan obligation work Why insurance companies are fighting over CLOs What are the different ways to invest in CLOs For more information on this episode click here . Show Notes Companies, Lenders Clash Over Loan Spreads in Switch from Libor by Mark Maurer—The Wall Street Journal Libor: The Spider Network—The Wall Street Journal Collateralized Loan Obligations (CLOs) Primer by Jennifer Johnson—NAIC and The Center for Insurance Policy Research Investing In The Middle: Tapping Into Opportunities in Middle Market Lending—AllianceBernstein Top 10 US CLO Managers: CLO AUM (30 Nov 2022)—CLO Research Default, Transition, and Recovery: 2021 Annual Global Leveraged Loan CLO Default And Rating Transition Study—S&P Global Ratings U.S. BSL CLO And Leveraged Finance Quarterly: Is Winter Coming? by Stephen Anderberg, Daniel Hu, Et al.—S&P Global Ratings Risk Assessment of Structured Securities - CLOs by Eric Kolchinsky, Charles A. Therriault, Marc Perlman—National Association of Insurance Commissioners (NAIC) <a href="https://www.fitchratings.com/research/struc
Wed, February 22, 2023
This Stock Has a 15% Dividend Yield and Has Outperformed Warren Buffett. Should You Invest?
Do activist hedge funds including Carl Icahn's add value? Should you invest in Icahn Enterprises L.P., a conglomerate with a 15% dividend yield and a stake in Carl Icahn's hedge fund? Topics covered include: How Icahn Enterprises' (IEP) investment performance compares to Berkshire Hathaway How to analyze individual stocks and why it is challenging What are activist hedge funds and do they make a positive performance difference What are the risks and opportunities of investing in IEP For more information on this episode click here . Sponsors Money Pickle – Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. NetSuite – the leading integrated cloud business software suite Show Notes Icahn Enterprises L.P. The Activism of Carl Icahn and Bill Ackman by Jason D. Schloetzer and Richard Lee—SSRN The Long-Term Effects of Hedge Fund Activism by Lucian A. Bebchuk, Alon Brav, Wei Jiang—SSRN Did They Live Happily Ever After? The Fate of Restructured Firms After Hedge Fund Activism by Jongha Lim and Wonik Choi—SSRN Related Episodes 242: Should You Let Warren Buffett Manage Your Money? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 15, 2023
Beware of Survivorship Bias When Investing
Why long-term U.S. stock market outperformance could be because it has avoided major catastrophes. Does an over-reliance on historical U.S. stock returns when modeling retirement outcomes lead to spending rates that are too high? Topics covered include: Why you might consider earthquake insurance What is survivorship bias and what are some examples Why the U.S. is an outlier when it comes to stock market performance Why the 4% retirement spending rule might be too high If the 4% spending rule is too high, what can retirees do instead to have enough for retirement Why the size and scale of the U.S. economy provide some resistance to catastrophes For more information on this episode click here . Thanks to our Sponsors Shopify Masterworks – invest in contemporary art Show Notes Homefacts Survivorship Bias—Matt Rickard Is The United States A Lucky Survivor: A Hierarchical Bayesian Approach by Jules H. van Binsbergen, Et al.—SSRN The Financial History of Emerging Markets: New Indices by Bryan Taylor—SSRN The (Time-Varying) Importance of Disaster Risk by Ivo Welch—Financial Analyst Journal The Safe Withdrawal Rate: Evidence from a Broad Sample of Developed Markets by Aizhan Anarkulova, Et al.—SSRN The 2.7% Rule for Retirement Spending by Ben Felix—YouTube Trends in Retirement and Retirement Income Choices by Tiaa Participants: 2000–2018 by Jeffrey R. Brown, Et al.—SSRN Related Episodes 250: Investing Rule One: Avoid Ruin <a href="https://moneyfortherestofus.com/326-retirement-investing/"
Wed, February 08, 2023
Does a 60/40 Balanced Portfolio Still Work? Time to Jettison Non-U.S. Stocks?
What are the pros and cons of a simple stock and bond portfolio consisting of two funds or ETFs? Given U.S. stocks have significantly outperformed the rest of the world over the past decade, is there even a role for non-U.S. stocks in your investment portfolio? Topics covered include: How have 60/40 and similar portfolios performed over the long-term What are the advantages and disadvantages of a 60/40 portfolio What is the expected return of a 60/40 portfolio and what should be included? What has contributed to U.S. stocks outperforming non-U.S. stocks over the past decade Why have emerging markets stocks done so poorly What has to happen for U.S. stocks to continue to outperform non-U.S. stocks For more information on this episode click here . Sponsors Use this link to post your job for free on LinkedIn Jobs. Go here to sign up for the free weekly Money For the Rest of Us Insiders Guide email newsletter Show Notes BlackRock vs. Goldman in the Fight Over 60/40 by James Mackintosh—The Wall Street Journal Battered 60-40 portfolios face another challenging year by Adrienne Klasa—Financial Times The case for the 60/40 portfolio in equities and bonds by Erin Browne—Financial Times Investors wonder if the 60/40 portfolio has a future by Michael Mackenzie—Financial Times Has the tried and tested 60/40 strategy soured? by Maya Bhandari—Financial Times See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 01, 2023
How to Make Portfolio and Asset Allocation Changes
We consider four case studies in which individuals struggle to decide what to do with their investment portfolios. Topics include: Why it's so difficult to reenter the stock market after sitting on the sidelines and what to do instead What are the risks of having a too aggressive portfolio allocation in retirement and what to do instead What to do when an investment strategy has worked really well but you feel it is time to make a change How to decide on an appropriate portfolio mix after a significant financial change You can learn more about Money for the Rest of Us Plus here. For more information on this episode click here . Related Episodes 306: Three Approaches to Asset Allocation 401: Why Diversifying Your Portfolio Feels Awful Show Notes Case studies were pulled from the following Plus episodes: 287 Plus: Coronavirus Update, Mid Month Investment Conditions and Overcoming the Fear of Investing 306 Plus: Member Profile, Bond Investing, and Emerging Technology 310 Plus: Mid Month Update and a Member Wants to Reallocate from Growth Stocks 331 Plus: Member Profile, Tail Risk Protection, Rental Real Estate as Bond Substitute, and YYY ETF See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 25, 2023
Bond Investing Master Class - How to Invest in Fixed Income
What you need to know to confidently invest in bonds. Topics covered include: Key components of bond investing include face value, coupon rates, yield-to-maturity, duration, and convexity How to decide between owning longer-term or short-term bonds How to decide whether to own individual bonds or bond funds and ETFs When to use active bond management versus bond indexing How bullet bond ETFs work and when to use them How to know when to invest in municipal bonds and corporate bonds When should you own foreign bonds Should you own bonds in taxable or tax-deferred accounts A bond case study based on current interest rates For more information on this episode click here . Sponsors Money Pickle - Schedule a free 45-minute video chat with a vetted financial advisor and ask them anything about your financial situation. Go here to schedule your free session. Fundrise - The largest direct-to-investor alternative investment platform in the U.S. Show Notes A Complete Guide to Investing in I Bonds and TIPS—Money for the Rest of Us Investments Mentioned iShares 20+ Year Treasury Bond ETF (TLT) Vanguard Short-Term Treasury ETF (VGSH) iShares® iBonds® Dec 2025 Term Treasury ETF (IBTF) iShares® iBonds® Dec 2025 Term Corporate ETF (IBDQ) Vanguard Total Bond Market Index Fund ETF (BND) Doubleline Total Return Bond Fund (DBLTX) Related Episodes 337: Why in the World Would You Own Bonds? 378 Plus: A Frustrating Time To Invest and Did Bulletshares Underperform? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 18, 2023
Will Generative AI Like ChatGPT Replace Your Job?
How sophisticated AI apps from OpenAI and other companies create articles, art, and other works that have never existed. How generative AI will impact business owners, employees, students, and financial markets. Topics include: How AI is creating personal finance articles and other creative works ChatGPT's attempt at writing a script for the Money For the Rest of Us podcast How ChatGPT and other large language models work What are the risks and flaws of generative AI How can we adapt and take advantage of generative AI For more information on this episode click here . Sponsors Masterworks – invest in contemporary art NetSuite - the leading integrated cloud business software suite Show Notes We Are Here To Create: A Conversation with Kai-Fu Lee—Edge CNET Is Quietly Publishing Entire Articles Generated by AI by Frank Landymore—Futurism CNET Money—CNET Should You Break a CD Early for a Better Rate by AI engine and edited by Jaclyn DeJohn—CNET NerdWallet, Inc. Q3 2022 Earnings Call—NerdWallet OpenAI The Backstory of ChatGPT Creator OpenAI by Berber Jin and Miles Kruppa—The Wall Street Journal GPT-3.5 + ChatGPT: An illustrated overview by Alan D. Thompson—Life Architect AI-generate answers temporarily banned on coding Q&A site Stack Overflow by James Vincent—The Verge <a href="https://www.nytimes.com/2023/01/16/technology/chatgpt-artificial-intelligence-
Wed, January 11, 2023
Your Nation's National Debt: 5 Things You Need to Know
We analyze the worrisome national debt situation in the U.S., UK, and Japan and consider what will determine the likelihood of default Topics covered include: How big is the national debt in the U.S., UK, and Japan Why Japan and UK interest rates have increased When do federal government debts jump the most What two numbers are key to whether a level of national debt is sustainable What are five ways indebted countries have reduced the relative size of their debt Why quantitative easing is not a solution to a national debt crisis For more information on this episode click here . Sponsors Shopify Fundrise Show Notes Debt to the Penny—U.S. Treasury Fiscal Data Federal Debt and the Debt Limit in 2022—Congressional Research Service Can the Central Bank Alleviate Fiscal Burdens? by Ricardo Reis—London School of Economics and Political Science UK government debt and deficit: June 2022—Office for National Statistics Japan's Experience with Yield Curve Control by Matthew Higgins and Thomas Klitgaard—Liberty Street Economics What is the national debt?—U.S. Treasury Fiscal Data Major Foreign Holder of Treasury Securities—Treasury International Capital System, U.S. Treasury The Liquidation of Government Debt by Carmen M. Reinhart and M. Belen Sbrancia—International Monetary Fund Related Episodes <a href="https://moneyfortherestofus.com/295-monetizing-the-national-debt/" rel="noopener
Wed, January 04, 2023
Listener Q&A
We kick off 2023 by answering your questions on making portfolio changes, risk tolerance, the strong dollar, inflation and retirement, influential books, and other topics. For more information on this episode click here . Episode Sponsors Thanks to LinkedIn for sponsoring the episode. Use this link to post your job for free on LinkedIn Jobs. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 14, 2022
Use Caution With Private REITs Like Blackstone’s BREIT - Is Now a Good Time to Invest in REITs?
How public equity REITs differ from private REITs. Why investors are selling out of private REITs and why private REIT sponsors like Blackstone and Starwood are limiting investors' ability to do so. Topics covered include: What are public and private real estate investment trusts Why has Blackstone's BREIT been such a success Why investors are trying to exit private REITs Why commercial property values are falling Is now a good time to invest in public and private REITs? For more information on this episode click here . Sponsors Policygenius LinkedIn – Post your job for free Show Notes How the gates closed on Blackstone’s runaway real estate vehicle by Antoine Gara, Sujeet Indap, and Kaye Wiggins—Financial Times Investors Yank Money From Commercial-Property Funds, Pressuring Real-Estate Values by Konrad Putzier and Peter Grant—The Wall Street Journal How the gates closed on Blackstone’s runaway real estate vehicle by Antoine Gara, Sujeet Indap, and Kaye Wiggins—Financial Times Investors Yank Money From Commercial-Property Funds, Pressuring Real-Estate Values by Konrad Putzier and Peter Grant—The Wall Street Journal Property Insights: Roller Coaster by Michael Knott—Green Street Rising Interest Rates Threaten to Expose Office Buildings’ Inflated Values by Konrad Putzier—The Wall Street Journal Why Blackstone’s $69 Billion Property Fund Is Signaling Pain Ahead for Real Estate Industry by John Gittelsohn and Patrick Clark—
Wed, December 07, 2022
What if the World Stopped Shopping?
How to solve the conundrum that consumption reductions lead to economic disasters while benefiting the environment. Topics covered include: Why consumption, fossil fuel usage, and carbon emissions keep growing How fossil fuel consumption goes well beyond heating and transportation uses but is tied to agriculture, steel, and cement production The four times global consumption fell and the dire economic consequences that resulted How the world is consuming twice as many resources as the planet can sustain How the economy could still grow while reducing the environmental impact For more information on this episode click here . Sponsors MasterClass - Get two annual memberships for the price of one Masterworks – invest in contemporary art Show Notes How the World Really Works: The Science Behind How We Got Here and Where We’re Going by Vaclav Smil The Day the World Stops Shopping: How Ending Consumerism Saves the Environment and Ourselves by J.B. Mackinnon Global Footprint Network Related Episodes 262: Better Not Bigger, Circular Not Linear – How the Global Economy Is Changing 282: Is GDP the Best Measure of Happiness and Well-Being? 340: Climate Change, ESG, and What Should Investors Do? 395: How Population Trends Will Impact Growth, Inflation, Investing, and Well Being See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .</p
Wed, November 30, 2022
Where to Invest Your Cash Savings for Higher Yields
What are the best options for safely investing cash. Topics covered include: High-yield savings accounts Certificates of Deposits Government Bonds Money Market Mutual Funds When should you invest in long-term bonds Why some savings apps try to look like banks but they are not What happens when central banks lose money Where not to deposit cash for safety For more information on this episode click here . Sponsors MasterClass - Get two annual memberships for the price of one Money App - Triple Your Paycheck Giveaway Show Notes a16z-backed Tellus wants to offer consumers a much better savings rate. Here’s how. by Mary Ann Azevedo—TechCrunch Factors Affecting Reserve Balances—U.S. Federal Reserve Liabilities and Capital: Liabilities: Earnings Remittances Due to the U.S. Treasury: Wednesday Level—FRED What if the Federal Reserve books losses because of its quantitative easing? by William B. English and Donald Kohn—Brookings U.S. Banks Lost a Record $370 Billion in Deposits Last Quarter by David Benoit—The Wall Street Journal Crypto Lender BlockFi Follows FTX Into Bankruptcy by Alexander Gladstone—The Wall Street Journal Related Episodes 304: A 15% Guaranteed Return? Lending on the Fringes of Finance 392: What Is Money and How to Use It 410: Is Cryptocurrency Dead?</a
Wed, November 23, 2022
Is Emerging and Frontier Markets Investing Still Worth It? - with Asha Mehta
Camden and David converse with Asha Mehta, Managing Partner & CIO at Global Delta Capital about the bullish case for emerging and frontier market stocks as well as the risks. Topics covered include: How to go about investing in emerging markets Should you invest in China Where are the most promising emerging and frontier markets Why aggregate emerging markets earnings have been lackluster How to balance quantitative analysis with subjective reasoning For more information on this episode click here . Sponsors MasterClass - Get two annual memberships for the price of one Masterworks – invest in contemporary art Show Notes Power of Capital by Asha Mehta Global Delta Capital Related Episodes 249: Should You Invest in India? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 16, 2022
Is Cryptocurrency Dead? Will the FTX Fallout Kill Crypto?
How the bankruptcy of FTX, the world's third-largest crypto exchange, undermines trust in cryptocurrency and decentralized finance, making it even more difficult for crypto to ever be taken seriously as a monetary alternative. Topics covered include: How FTX squandered its customers' deposits How FTX is another example of a private money bank run How traditional securities lending works and why it is very low risk compared to the highly speculative nature of cryptocurrency lending platforms How FTX's demise is impacting numerous entities including Voyager, BlockFi, Bitcoin miners, venture capitalists, and many others How should individual investors store cryptocurrency, and does it even make sense to continue to own it For more information on this episode click here . Sponsors LinkedIn – Post your job for free Money For the Rest of Us Plus Show Notes Don't Miss Out on Crypto: Larry David FTX Commercial The spectacular implosion of crypto’s biggest star, explained by Emily Stewart—Vox Divisions in Sam Bankman-Fried’s Crypto Empire Blur on His Trading Titan Alameda’s Balance Sheet by Ian Allison—CoinDesk FTX held less than $1bn in liquid assets against $9bn in liabilities by Antoine Gara, Kadhim Shubber, and Joshua Oliver—Financial Times FTX balance sheet, revealed by FT Alphaville—Financial Times FTX Tapped Into Customer Accounts to Fund Risky Bets, Setting Up Its Downfall by Vicky Ge Huang, Alexander Osipovich, and Patricia Kowsmann—The Wall Street Journal After FTX: Rebuilding Trust in Crypto’
Wed, November 09, 2022
What Is the IMF and Why Is It Controversial?
How the International Monetary Fund, the world's economic firefighter, works for global monetary cooperation and prosperity while using its own made-up currency, the SDR. Topics covered include: What was the Bretton Woods monetary system that led to the formation of the IMF and the World Bank How the World Bank and IMF differ What does the IMF do How the IMF creates its own money out of thin air Why does Argentina, the IMF's largest borrower, keep defaulting on its debt obligation including those to the IMF Why the IMFs negotiating tactics are controversial For more information on this episode click here . Sponsors Aura, the new standard in digital safety Policygenius Show Notes Creation of the Bretton Woods System, July 1944—Federal Reserve History The World Bank International Monetary Fund Sterling devalued and the IMF loan—Cabinet Papers, The National Archive Total IMF Credit Outstanding, Movement From November 01, 2022 to November 07, 2022—IMF Why you can’t technically default on the IMF by Izabella Kaminska—Financial Times Implications of the IMF's SDR Allocation for Australia and the Global Economy by Ben Hollebon and Kate Hickie—Reserve Bank of Australia The IMF cannot solve Argentina’s dysfunction—The Economist IMF Executive Board Completes Second Review of the Extended Arrangement Under the Extended Fund Facility for Argent
Wed, November 02, 2022
Is Success Due to Hard Work, Talent, or Luck?
How to survive in a world where luck and randomness play a pivotal role. Topics covered include: What are power laws What are the narrative fallacy and hindsight bias What are examples of domains where randomness has contributed to success What are ways to distinguish investing skill from luck How sixth-century philosopher Boethius had an accurate view of chance What are ways we can benefit from good luck while protecting ourselves from bad luck For more information on this episode click here . Sponsors Copper Money For the Rest of Us Plus Show Notes Redacted messages to and from Elon Musk—Delaware’s Court of Chancery Elon Musk’s Texts Shatter the Myth of the Tech Genius by Charlie Warzel—The Atlantic Talent Versus Luck: The Role of Randomness In Success and Failure by Alessandro Pluchino, Alessio Emanuele Biondo, and Andrea Rapisarda Susan Alexandra Welcome to Susan Alexandra’s Dream World by Sophia Herring—Clever, Architectural Digest The Fashion Set Can’t Get Enough of Susan Alexandra’s Colorful, Kitschy Designs by Noah Lehava—Coveteur Quantifying the evolution of individual scientific impact by Roberta Sinatra et al. What's in a Surname? The Effects of Surname Initials on Academic Success by Liran Einav and Leeat Yariv Middle names make you look smarter—University of Southhampton <a href="ht
Wed, October 26, 2022
Worry-Free Retirement Investing
How to use laddered inflation -indexed bonds (i.e., TIPS), CDs, fixed annuities, and fixed index annuities to meet retirement living expenses while worrying less about running out of money. Topics covered include: How individuals can use liability-driven investment strategies Why now is the best opportunity to buy Treasury Inflation Protection Securities in 15 years How to use bond ladders How deferred fixed and deferred variable annuities work How to analyze fixed index annuities For more information on this episode click here . Show Notes Worry-Free Investing by Zvi Bodie and Michael J. Clowes Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity, Quoted on an Investment Basis, Inflation-Indexed—FRED Market Yield on U.S. Treasury Securities at 5-Year Constant Maturity, Quoted on an Investment Basis, Inflation-Indexed—FRED New 5-year TIPS auctions with a real yield of 1.732%, highest in 15 years—TIPSwatch Complete List of Multi-Year Guaranteed Annuities (MYGAs), October 26, 2022—ImmediateAnnuities.com Safety-First Retirement Planning: An Integrated Approach for a Worry-Free Retirement by Wade Pfau A Complete Guide to Investing in TIPS and I Bonds—Money for the Rest of Us Episode Sponsors Express VPN – get three months free on VPN service <a href="https://aura.com/david" rel="noop
Wed, October 19, 2022
Annie Duke on Better Investing and the Danger of Grit
In Episode 406, David and Camden visit with Annie Duke about how to better manage our investment portfolios including when and what to sell. We also discuss a number of behavioral finance topics such as mental accounting, sunk costs, and goal myopia. Annie Duke is an author, speaker, and consultant in the decision-making space, as well as Special Partner focused on Decision Science at First Round Capital Partners, a seed stage venture fund. Annie’s latest book, Quit: The Power of Knowing When to Walk Away , was released on October 4, 2022. Her previous book, Thinking in Bets , is a national bestseller, and is highly influential on the investing philosophy of Money for the Rest of Us. As a former professional poker player, she has won more than $4 million in tournament poker, won a World Series of Poker Bracelet and is the only woman to have won the World Series of Poker Tournament of Champions and the NBC National Poker Heads-Up Championship. She retired from the game in 2012. Prior to becoming a professional poker player, Annie was awarded a National Science Foundation Fellowship to study Cognitive Psychology at the University of Pennsylvania. These days, Annie loves to dive deep into decision-making under uncertainty. As can be seen from her new book, her latest obsession is the topic of quitting. For more information on this episode click here . Sponsor LinkedIn – Post your job for free Show Notes Thinking in Bets: Making Smarter Decisions When You Don't Have All the Facts by Annie Duke Quit: The Power of Knowing When to Walk Away by Annie Duke See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 12, 2022
When Volatility Spikes, Financial Things Break - The Case of UK Gilts and Pensions
What is volatility and what causes it to rise and fall? How volatility itself contributes to more volatility such as in the example of the chaotic UK government bond market where long-term yields have increased by 4% in 2022. Topics covered include: How the role of volatility has changed in financial markets What caused UK interest rates to spike and long-term bond investors to lose 50% What is liability-driven investment What drives increases in volatility and volatility spikes and spillovers are more frequent How to earn income from shorting volatility and what are the risks What we can learn when financial securities blow up For more information on this episode click here . Episode Sponsors Masterworks – invest in contemporary art - **Net est. returns for all realized and unrealized offerings is 15.3%, from inception through 6/30/22. See important Reg A and performance disclosures at masterworks.io/cd Policygenius Show Notes The volatility virus strikes again by Eric Lonergan—Financial Times How ‘Liability-Driven’ Pension Funds Triggered UK Bond Panic by Loukia Gyftopoulou and Greg Ritchie—Bloomberg UK government debt and deficit: December 202—UK Office for National Statistics Markets are more fragile than investors think by Robin Wigglesworth—Financial Times Volatility and the Alchemy of Risk: Reflexivity in the Shadows of Black Monday 1987—Artemis Capital Management What Caused the Volatility “Volmageddon” on 5-Feb-2018 by Vance Harwood—Six Figure Investing <a href="https://www.merrilledge.com/investment-products/options/learn
Bonus · Wed, October 05, 2022
Announcement: No regular podcast episode this week
Episode 405 of the podcast will be released on Wednesday, October 12. Plus episode 405 and the October Investment Conditions and Strategy report will be released this Saturday, October 8. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 28, 2022
Why Is the U.S. Dollar So Strong? Will It Continue?
What has caused the U.S. dollar's currency exchange rate to be the strongest in twenty years? How a strong dollar leads to slower global economic growth and falling asset prices. Topics covered include: Why a strong dollar is a no-win situation for the rest of the world Why have inflation and interest rates increased Why recession risks are rising as central banks combat inflation Why asset prices fall when interest rates rise What would cause the U.S. dollar to weaken from these levels How to protect against currency fluctuations For more information on this episode click here . Sponsors Aura - protect your money Policygenius Show Notes Wall St blames missteps at FedEx as parcel service fails to delivery Steff Chávez and Andrew Edgecliffe-Johnson—Financial Times The Global Dollar Cycle by Maurice Obstfeld and Haonan Zhou, BPEA Conference Drafts, September 8–9, 2022—Brookings Papers on Economic Activity Monetary policy challenges posed by global liquidity by Hyun Song Shin—BIS Dollar beta and stock returns by Valentina Bruno, Ilhyock Shim and Hyun Song Shin—BIS Wonking Out: The Mysteries of the Almighty Dollar by Paul Krugman—The New York Times Rents Drop for First Time in Two Years After Climbing to Records by Will Parker—The Wall Street Journal Stop looking for a bogeyman to explain sterling’s collapse by Kate Martin—Financial Times British Pound / US Dollar Historical Reference Rates from Bank of England for 1975 to 2022—Pound Sterling Live <
Wed, September 21, 2022
The Pandemic Might Be "Over," but Not the Repercussions
How risk perceptions and actions have changed over several years of the pandemic. How the pandemic's impacts continue to affect politics, the economy, financial markets, how we invest, and our personal lives. Topics covered include: Is the pandemic really over? What percentage of people continue to isolate at home How behaviors such as eating out and visiting friends have changed throughout the pandemic. How work has changed with the pandemic Has pandemic stimulus changed beliefs about the sustainability of the national debt leading to structural inflation How productivity improvements could improve the national debt burden What investment lessons has David learned from the pandemic For more information on this episode click here . Sponsors LinkedIn – Post your job for free Express VPN – get three months free on VPN service Show Notes Biden’s claim that ‘pandemic is over’ complicates efforts to secure funding by Dan Diamond—The Washington Post COVID-19 Dashboard—The Center for Systems Science and Engineering at Johns Hopkins University Axios/Ipsos COVID-19 Poll – Wave 70, September 9–12, 2022 Study: 163 Million People Dine Out at Least Once a Week—QSR Magazine U.S. Return-to-Office Rates Hit Pandemic High as More Employers Get Tougher By Peter Grant—The Wall Street Journal Reassessing Constraints on the Economy and Policy; Panel Topic: An End to Pre-Pandemic Trends or Just a Temporary Interruption? by Valerie A. Ramey Inflation as a Fiscal Limit by Francesco Bianchi and Leonardo Melosi
Wed, September 14, 2022
Why Student Debt Is So High and Why Forgiving It Doesn't Fix the Problem
What are the drivers that lead to higher student loan balances? Why a one-time student loan forgiveness program doesn't solve the problem of increasing student debt. What are some more viable longer-term solutions. Topics covered include: How big is the Biden Administration student debt forgiveness plan How big has the student debt burden grown Why are borrowings for students increasing Why Baby Boomers spent so much less on college How are student loans accounted for by the U.S. federal government What is the impact on the deficit and potentially inflation of forgiving billions of dollars of student debt For more information on this episode click here . Show Notes Student Debt And The Federal Budget | How Student Loans Impact The U.S. Fiscal Outlook, November 2021—Bipartisan Policy Center What the Student-Loan Debate Overlooks by Ronald Brownstein—The Atlantic See the Average College Tuition in 2022-2023 by Emma Kerr and Sarah Wood—U.S. News & World Report Biden’s Student-Debt Plan Could Chip Away at the Racial Wealth Gap by Sheelah Kolhatkar—The New Yorker If your federal student loan payments are high compared to your income, you may want to repay your loans under an income-driven repayment plan—Federal Student Aid What Does Student Debt Cancellation Mean for Federal Finances?—Committee for a Responsible Federal Budget Government payments by program—Economic Research Service, U.S. Department of Agriculture Projected Lifetime Earnings by Major by Douglas A. Webber, December 1st, 2019 Related Episodes <a href="https://moneyfortherestofus.com/245-
Wed, September 07, 2022
Why Diversifying Your Portfolio Feels So Awful
Warren Buffet said, "Diversification makes very little sense for anyone that knows what they’re doing." He also said, "Diversification is a protection against ignorance..." Most of us need that protection against ignorance, yet diversification often makes us feel bad when some of our holdings don't do as well as others. We make the case why we should diversify anyway. Topics covered: Warren Buffet says it's crazy to own more than 30 stocks, but Berkshire Hathaway owns 48 stocks What does it mean to analyze a business How have U.S. stocks performed relative to non-U.S. stocks long-term What has driven the outperformance of U.S. stocks and what has to happen for it to continue What are examples of diversification plays just in case the U.S. falters For more information on this episode click here . Show Notes Warren Buffett and Diversification—GrahamValue.com The Complete Berkshire Hathaway Portfolio by John Divine U.S. News The Business Cycle Is Different Than The Economic Cycle - Crestmont Research EU Natural Gas—Trading Economics Related Episodes 254: Should You Be 100% Invested In Stocks? 275: Are You Over Diversified? 364: Should You Hedge Your International Stock Exposure Against Currency Fluctuations? Sponsor Masterworks – invest in contemporary art See important Regulation A disclosures at masterworks.io/cd Since inception, Masterworks has sold six paintings from the collection. IRR is net of all fees and expenses and is presented on a deal-weighted basis, which assumes
Wed, August 31, 2022
What If High Inflation Doesn't End? How To Invest If High Inflation Stays
How economic wars, pandemics, and worker shortages could lead to years of high structural inflation. What needs to happen to avoid this dire inflation scenario. Topics covered include: What are the three inflation lessons Federal Reserve Chair Jerome Powell shared What is inflation anchoring What caused the current period of high inflation How China and Russia contributed to low inflation and why those trends have reversed How behavior changes and productivity improvements can contribute to lower inflation How to invest for an extended period of high inflation For more information on this episode click here . Thanks to Policygenius for sponsoring the episode. Show Notes Monetary Policy and Price Stability, August 26, 2022, byChair Jerome H. Powell—Board of Governors of the Federal Reserve System Fed's Kashkari: 'happy' with market reaction to Powell speech by Ann Saphir and Matthew Lewis—Reuters War and Interest Rates by Zoltan Pozsar—Credit Suisse 2nd Quarter Market Commentary, July 2022—Horizon Kinetics BP Energy Outlook 2022 Investments Mentioned Invesco DB Commodity Tracking ETF (DBC) Horizons Kinetics Inflation Beneficiary ETF (INFL) Related Episodes 342: Is Another Great Inflation Coming? 384: Has a Commodities Bull Market Supercycle Started? If So, How Do You Invest in It? 395: How Population Trends Will Impact Growth, Inflation, Investing, and Well Being See Privacy Policy at <a href="https://art19.com/privacy" rel="noopener nore
Wed, August 24, 2022
Unintended Consequences Impact Everything
We explore examples of positive and negative unintended consequences, what causes them, and how to navigate a world where unanticipated things happen all of the time. Topics covered include: What leads to unintended consequences What are some unintended consequences of QE and stimulus, price controls, tax incentives, gun legislation, and marijuana legalization How positive unintended consequences and order can arise from the bottom up How recent climate legislation could lead to unintended consequences Why customers don't always know what they want For more information on this episode click here . Episode Sponsors LinkedIn – Post your job for free Show Notes Large rent increases squeeze metro Phoenix tenants by Associated Press—The Journal Record Unintended Consequences by Karras Lambert and Christopher J. Coyne The Seen, the Unseen, and the Unrealized: How Regulations Affect Our Everyday Lives by Per L. Bylund Norway reconsiders electric car privileges by Chris Randall—electrive.com More Guns, More Unintended Consequences: The Effects of Right-to-Carry on Criminal Behavior and Policing in Us Cities by John J. Donohue, Samuel Cai, Matthew Bondy, and Philip J. Cook Marijuana Legalization and Fertility by Sarah Papich Japan’s latest alcohol advice: please drink more by Leo Lewis and Kana Inagaki—Financial Times The Poverty of Historicism by Karl Popper How the New Climate Bill Would
Wed, August 17, 2022
When Should You Hire An Investment Advisor? Two Case Studies
We analyze two listeners' portfolios. One who is close to retirement and considering hiring an outside money manager. The second is 45 and just sold a business and is trying to decide whether to fire Schwab's robo-advisor service and manage his portfolio on his own. Topics covered include: What elements are part of a financial plan What to consider when researching an investment advisor What is a core-satellite investment approach Why Schwab was fined $180 million for misleading its clients about the cash balance in its Intelligent Portfolios service How to decide if an investment advisor is a good fit Why no portfolio can be on autopilot, but they can be as simple as two ETFs For more information on this episode click here . Sponsors Express VPN - get three months free on VPN service Masterworks - Invest in contemporary art Show Notes Schwab Subsidiaries Misled Robo-Adviser Clients about Absence of Hidden Fees—SEC Cease-And-Desist Order Against Charles Schwab & Co, June 13, 2022—SEC Related Episodes 92: What Robo-Advisors Recommend 248: How to Avoid Investment Fraud 303: How To Do Financial Planning See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 10, 2022
How To Invest Based on Cycles
This episode edits and remasters two earlier episodes on investing based on cycles to focus on timeless investing principles. Topics covered include: What are different types of cycles Why do cycles have subjective start and end dates. Why do coincidences happen so often. How to position investment portfolios based on cycles. How luck and skill play a role in investing. Why it is better to invest based on calibrating risk rather than prediction. For more information on this episode click here . Show Notes Weiss Research Weiss Research SEC Action Foundation For The Study of Cycles Fluke: The Math and Myth of Coincidence by Joseph Mazur A Spectral Analysis of World GDP Dynamics – Andrey V. Korotayev and Sergey V. Tsirel Howard Marks – Yet Gain? Mastering The Market Cycle by Howard Marks Related Episodes 173: Should You Invest Based On Cycles 224: Mastering the Market Cycle – Howard Marks See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 03, 2022
Forsage and Herbalife—How Multi-Level Marketing, Pyramid Schemes, and Ponzi Schemes Differ
Why it is challenging to distinguish a legitimate multi-level marketing company from a pyramid scheme as hedge fund billionaire Bill Ackman found out in his losing campaign against Herbalife. How Forsage has taken pyramid and Ponzi schemes to a whole new level, and why the regulators can't shut it down. Topics covered include: What are multi-level marketing companies and how most MLM distributors are unsuccessful What is the difference between a pyramid scheme and a Ponzi scheme and what are some examples How hedge fund Pershing Square Capital Management took on Herbalife and despite FTC and SEC actions, Herbalife continues to thrive. Why Forsage, a pyramid and Ponzi scheme on the blockchain, continues, despite SEC regulatory actions Why Bitcoin isn't a Ponzi scheme For more information on this episode click here . Sponsors Policygenius Money For the Rest of Us Plus Show Notes Herbalife Settlement With F.T.C. Ends Billionaires’ Battle by Matthew Goldstein and Alexandra Stevenson—The New York Times Multi-Level Marketing Businesses and Pyramid Schemes—Federal Trade Commission Herbalife International Settlement Complaint Herbalife Settles With S.E.C., but Too Late for Hedge Fund Investor by Matthew Goldstein—The New York Times Consistency is Key! Make Money Podcasting by Elsie Escobar—Libsyn November Stats From Rob Walch—Podcast Business Journal Federal Trade Commission Returns More Than $149 Million To Consumers Harmed by AdvoCare Pyramid Scheme—Federal Trade Commission <a href
Wed, July 27, 2022
How Population Trends Will Impact Growth, Inflation, Investing, and Well Being
How slowing population growth and an eventual population peak will lead to competition for foreign workers, potentially higher inflation, and ultimately the need to transition to a steady-state economy rather than one based on constantly producing more. Topics covered include: How longevity and birthrates impact population growth What areas of the world are seeing population increases versus declines Why high income countries will need more immigrants in order to sustain their population levels When is global population expected to peak and at what level Will greater dependency ratios lead to higher inflation What is the difference between growth and development How slowing population growth will impact investments Why the world will need to transition to a steady-state economy focused on well-being rather than growth For more information on this episode click here . Sponsors LinkedIn Jobs - post your job for free Money For the Rest of Us Plus Show Notes World Population Prospects 2022: Summary of Results—United Nations Department of Economy and Social Affairs Five Key Findings from the 2022 UN Population Prospects by Hannah Ritchie, et al. Germany Plans to Simplify Immigration Rules to Combat Labour Shortage—Schengen Visa High Cost Deters IT Gurus from Filling Luxembourg Jobs by Kate Oglesby Another Beautiful Italian Town Is Selling €1 Homes—This Time, No Deposit Required by Cailey Rizzo Will Inflation Make a Comeback as Populations Age? by Olli Rehn The Gr
Wed, July 20, 2022
How To Get Better At Risk Taking
Five ways we can better take and manage risk. Topics covered include: How likely is it that China will invade Taiwan and the stock market will fall 80% Why experts tend to be humble and don't make specific predictions What is the difference between risk and uncertainty, and between loss capacity and loss aversion What factors impact our degree of loss aversion and loss tolerance Why the economy needs more risk takers rather than rentiers For more information on this episode click here . Sponsors Masterworks - invest in modern art Real Vision Show Notes Investor Risk Profiling: An Overview by Joachim Klement, CFA—CFA Institute Research Foundation Looming Large or Seeming Small? Attitudes Towards Losses in a Representative Sample by Jonathan Chapman, et al. The Global Impacts of Climate Change on Risk Preferences by Wesley Howden and Remy Levin Does Mood Take the Front Seat in Determining the Financial Risk-Taking Propensity of Individuals? Evidence from India by Crystal Glenda Rodrigues and Gopalakrishna B. V Venture Capital AUM at Record High of $2tn—Preqin 10 Key Facts About the Capital Markets by Katie Kolchin, CFA—SIFMA Related Episodes What Is Risk vs Uncertainty? 268: How To Better Manage Risk 350: How to Invest in Startups on Equity Crowdfunding Platforms? See Privacy Policy at https
Wed, July 13, 2022
What Happens If Your Brokerage Firm Goes Bankrupt?
How protected are you if the brokerage firm where you hold your stocks, bonds, and crypto assets files for bankruptcy? Why you shouldn't store your crypto assets with an online broker. Topics covered include: How traditional brokerage firms protect their client assets in case of bankruptucy How cryptocurrency brokers, such as Voyager, mistreat their clients in bankruptcy proceedings What is the safest way to hold cryptocurrency For more information on this episode click here . Sponsors Keeper - keep your passwords safe Policygenius Money For the Rest of Us Plus Show Notes Voyager To Acquire Circle Invest Retail Digital Asset Business From Circle Internet Financial—Cision Welcome, Circle Invest! Voyager Acquires Circle Invest's Retail Customers—Voyager Crypto lender Voyager Digital files for bankruptcy by Shivam Patel, Sinead Cruise, and Tom Wilson—Reuters Crypto lender Voyager addresses customer anger in first bankruptcy hearing by Dietrich Knauth—Reuters If a Brokerage Firm Closes Its Doors—FINRA Crypto Broker Voyager Digital Says Three Arrows Capital Hasn’t Repaid $666 Million in Loans by Vicky Ge Huang—The Wall Street Journal From $10 billion to zero: How a crypto hedge fund collapsed and dragged many investors down with it by MacKenzie Sigalos—NCBC <a href="https://www.ropesgray.com/en" rel="noo
Wed, July 06, 2022
Part 2 - What Is Money and How To Think About It
David and his son Camden conclude their conversation about money. Topics covered include: A review of money principles discussed in Part 1 How money is created How money is energy Why bank runs occur How cryptocurrency fails as money How money is debt backed by debt For more information on this episode click here . Sponsors Policygenius Money For the Rest of Us Plus See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 29, 2022
Part 1 - What Is Money and How To Think About It
David and his son Camden hold a conversation about money, its attributes, how it's created, and how money differs from investments. Topics covered include: How our earliest money memories impact our views on money The difference between public and private money What are the two primary attributes of money Why money should be accepted with no questions asked How some countries use more cash than others How money differs from investing Why private money can be risky For more information on this episode click here . Show Notes Free email course and PDF on how to beat inflation Sponsors LinkedIn – Post your job for free Real Vision See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 22, 2022
How to Survive a Bear Market
Three things investors can do to survive this bear market and thrive in its aftermath. Topics discussed include: What are bear markets, how often do they occur, and how long do they last How the current bear market differs from previous ones How severe have losses been for various asset classes How have asset class long-term expected returns changed since last November when the sell-off began What actions can investors take to make it through this bear market and take advantage of opportunities For more information on this episode click here . Episode Sponsors LinkedIn - Post your job for free Real Vision Show Notes US Leading Indicators, Updated: Friday, June 17, 2022—The Conference Board Investment Mentioned In this Episode The Vanguard Total World Stock Market ETF (VT) ARK Innovation ETF (ARKK) iShares Edge MSCI Intl Value Factor ETF (IVLU) Vanguard Total Bond Market ETF (BND) iShares 20+ Year Treasury Bond ETF (TLT) Related Episodes 306: Three Approaches to Asset Allocation 326: The New Math of Retirement Spending and Investing See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Bonus · Wed, June 15, 2022
Why David Isn't Podcasting This Week and Our New Closed-End Fund Course
This week on the show, David shares some investing lessons from fly fishing and introduces our new course on How To Invest in Closed-End Funds. Between now and the end of June get 25% off the course. You can learn more here. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 08, 2022
Are BlackRock and Vanguard Too Big and Powerful?
How big index fund and ETF providers have increased their sway over publicly-traded companies while potentially discouraging competition. What can be done about it? Topics covered include: How market share for assets under management has become increasingly concentrated with big fund complexes like Vanguard and BlackRock What is a fiduciary relationship and how do asset managers serve as fiduciaries Why do investors in index funds and ETFs have no input as to how fund sponsors vote on shareholder proposals What percentage of outstanding shares do Vanguard and BlackRock own of publicly traded companies like Apple, Target, or gun manufacturers How Vanguard and BlackRock use engagement and voting policies to influence publicly traded companies, particularly when it comes to climate risk and diversity How ownership by Vanguard and BlackRock in publicly-traded companies in the same industry could discourage competition. What can be done through regulation or through individual action to reduce Vanguard and BlackRock's influence For more information on this episode click here . Sponsors Policygenius - save over 50% on life insurance Wealthfront - get your first $5,000 managed for free for life Show Notes What BlackRock, Vanguard and State Street Are Doing to the Economy by Farhad Manjoo—The New York Times Investment Company Fact Book World's Top Asset Management Firms—ADV Rating West Virginia Treasury Drops BlackRock Over Stance on Climate Risk by Alicia McElhaney—Institutional Investor How an Organized Republican Effort Punishes Companies for Climate Action by David Gelles and Hiroko Tabuchi—The New York Times The Future of Corporate Governance Part I: The Problem of Twelve by John C. Coates, IV <a href="https://www.b
Wed, June 01, 2022
Is Airbnb Intensifying the Housing Crisis?
We explore whether long-term and short-term single-family home rentals are contributing to higher rents, higher home prices, and a housing shortage. What are the options for investing in this space and should we? Topics covered include: What is financialization What are examples of how financialization and government policy has impacted housing How homeownership rates vary around the world How much of a presence do equity REITs have in the single-family home rental space How a housing shortage and more vacation rentals show up in vacancy rates How short-term rentals can magnify the housing shortage What are options for investing in single-family home rentals For more information on this episode click here . Sponsors Masterworks - Invest in contemporary paintings Real Vision - be one of the first to learn about Real Vision's new investing and trading education Show Notes Financialization and the World Economy by Gerald A. Epstein Housing Vacancies and Homeownership (CPS/HVS)—United States Census Bureau List of countries by home ownership rate—Wikipedia The Evolution of Homeownership Rates in Selected OECD Countries: Demographic and Public Policy Influences by Dan Andrews and Aida Caldera Sánchez—OECD Journal: Economic Studies Best Places to Invest in Vacation Rentals in 2021 & 2022—AirDNA Airbnbs Outnumber New York City Apartments in Hot Market by Michael Tobin—Bloomberg AIRBNB Airbnb Enables “Split Stays” to Ease Inventory Woes by Mitra Sorrells—WIT <a href="https://tucson.com/news/local/subscriber/amid-tucson-housing-shortage-airbnbs-fill-up-whole-apartment-buildings/article_f4337f44
Wed, May 25, 2022
Will Quantitative Tightening Lead To Even Greater Financial Losses?
How financial markets and the economy performed last time the Federal Reserve took away the punch bowl by raising its policy rate and pursuing quantitative tightening. Things worked out fine that time. Will it be different this time? Topics covered include: Where did the phrase take away the punch bowl come from How central bank actions can slow the economy and lower inflation. The difference between having cash and having wealth How quantitative easing and quantitative tightening work What happened last time the Federal Reserve pursued quantitative tightening For more information on this episode click here . Sponsors FarmTogether - Your farmland investment manager LinkedIn - Post your job for free Show Notes Address before the New York Group of the Investment Bankers Association of America on October 19, 1955, by William McChesney Martin, Jr.—FRASER M2—Federal Reserve Economic Data Assets: Total Assets: Total Assets: Wednesday Level—Federal Reserve Economic Data Assets: Securities Held Outright: U.S. Treasury Securities: All: Wednesday Level—Federal Reserve Economic Data Americans Reported Strong Personal Finances Late Last Year, Fed Finds by David Harrison—The Wall Street Journal 270: Repo Rates Soared—Here’s Why It Matters Related Episodes 270: Repo Rates Soared—Here’s Why It Matters 295: Federal Reserve Insolvency and Monetizing the National Debt 312: What the Federal Reserv
Wed, May 18, 2022
Why Most Money Fails - Six Principles to Navigate the Unstable World of Money
How should you approach money given most of it either collapses or loses its purchasing power due to inflation. Get our free six-day email course on how to beat inflation. Topics covered include: How supposedly safe savings apps collapsed, wiping out users' savings Why algorithmic stablecoins keep failing and why they are not black swans What it takes for money to be successful How money differs from investments For more information on this episode click here . Sponsors Composer automated traded platform Wealthfront - get your first $5,000 managed for free for life Show Notes Intellabridge Power Women: Maria Eagleton, Mastercard-incubated Blockchain Company, is setting An Example For Women in Cryptocurrency by Shruti Sood—Morning Lazziness @kashdefi, Twitter post, May 7th, 2022 7:54 AM @kashdefi, Twitter post, May 8th, 2022 10:42 AM Terra Cryptocurrency TerraUSD Plunges as Investors Bail by Caitlin Ostroff, Elaine Yu, and Paul Kiernan—The Wall Street Journal Cryptocurrency TerraUSD Falls to 11 Cents, Creator Announces Rescue Plan by Paul Vigna—The Wall Street Journal @kashdefi, Twitter post, May 9th, 2022 8:57 PM @kashdefi, Twitter post, May 9th, 2022 9:07 PM @kashdefi, Twitter post, May 12th, 2022 11:
Wed, May 11, 2022
When Should You Pay a Premium?
What are examples of when it makes sense to pay more than the usual price or fair value for an item or asset? Topics covered include: Why we are willing to pay a premium for convenience, scarcity, status and to avoid waste What is the difference between net asset value and book value Why business development companies can sell at a premium Why farmland REITs sell at a premium Why closed-end funds sell at a premium How to decide whether to pay a premium or not For more information on this episode click here . Sponsors Masterworks - invest in contemporary art Keeper - keep your passwords safe Show Notes The Fall of Netflix and Overlooked Assets W/ David Stein—The Investor's Podcast 445 Hercules Capital Gladstone Land Corporation The Gabelli Utility Trust—Gabelli Funds Related Content 381: Investing in Business Development Companies (BDCs) and other Niche Assets That Trade on Stock Exchanges How to Invest in Closed-End Funds Guide to Farmland Investing See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 04, 2022
Is It Time To Invest In Big Tech or Medium Tech Stocks? (FAANGs and FANMAGs)
With many of the largest tech stocks falling over 20% year-to-date, is now the time to invest? Has the market changed to where tech investing is a safe bet? Topics covered include: What happened to Netflix What contributed to the astounding performance of large tech stocks since 2013 How the largest contributors to overall stock market performance are always changing Why the largest tech companies could fall even more from today's level What are the valuations and sentiment toward large tech stocks What is complexity economics and how does it influence technology How younger investors and fractional trading have influenced the stock market Why stock splits are less effective today in driving up share prices For more information on this episode click here . Sponsors Policygenius - save over 50% on life insurance OurCrowd - the fastest-growing venture capital community Show Notes Netflix stock plunges as subscribers quit by Julianne Pepitone and Aaron Smith—CNN Money Netflix Explores a Version With Ads as Subscriber Base Shrinks by Joe Flint and Denny Jacob—The Wall Street Journal No, you did not see the Netflix mess coming by Robert Armstrong—Financial Times FANMAG: Because FAANGs Are So Yesterday—Dimensional Complexity and the Economy by W. Brian Arthur Rising Risk of Stagflation by Chris Brightman—Research Affiliates "Fractional Trading" by Zhi Da, Vivian W. Fang, and Wenwei Lin "Attention Induced Trading and Returns: Evidence from Robinhood Users" by Brad M. Barber, Xing Huang, Terrance O
Wed, April 27, 2022
Has A Commodities Bull Market Super Cycle Started? If So, How Do You Invest In It?
What causes secular bull and bear markets in commodities. What factors suggest a new commodities bull market has started and how can investors participate. What are the risks. Topics include: What is a bull and bear market How long have earlier commodity bull and bear markets lasted and what were the returns What led to the current commodity bear market that began in 2011 How shareholder revolts and ESG mandates have contributed to reduced investment in the commodities space, contributing to the rebound in commodity prices Why natural gas prices are so much higher in Europe than the U.S. How the shift to electric vehicles is driving the demand for commodities What are five ways to participate in a commodities bull market For more information on this episode click here . Sponsors LinkedIn - post your job for free by using this link Policygenius Show Notes Jeff Currie on the 'Volatility Trap' Keeping Commodity Prices So High - Odd Lots - Bloomberg NGP Energy Capital Research—Strategas Securities The Energy Blame Game and Other False Narratives—Energy Income Partners Related Episodes 296: Why Negative Prices Exist and What Can They Teach Us 340: Climate Change, ESG, and What Should Investors Do? 351: How to Profit From Carbon Investing While Combatting Climate Change 382: Is A Famine Next? Food Inflation, Food Riots, and Investing in Commodities and Other Real Things See Privacy Policy at https://art19.com/privacy and California Privacy
Wed, April 20, 2022
How To Be A Successful Contrarian Investor
How contrarians combine value and momentum to take positions opposite what the consensus believes. What is the consensus view in today's financial markets and how are contrarians positioned. Topics covered include: Five attributes of successful investors Why does the consensus expect stagflation How central banks have performed in previous tightening cycles Three reasons central banks tightening results in a recession When have interest rates peaked in prior tightening cycles How stocks tend to do well when investors get extremely pessimistic What are examples of contrarian investments in the current market environment How contrarian opportunities involve both value and momentum What are some additional examples of being contrarian outside of the investment arena For more information on this episode click here . Sponsors OurCrowd - Invest in pre-vetted startups FarmTogether - Invest in farmland Show Notes Weekly Market Pulse: Time To Get Contrarian? by Joseph Y. Calhoun III—Alhambra Investment BofA Says Fund Managers Most Gloomy on Record on Recession Woes by Nikos Chrysoloras—Bloomberg Hot Economy, Rising Inflation: The Fed Has Never Successfully Fixed a Problem Like This by Jon Hilsenrath and Nick Timiraos—The Wall Street Journal Tightening risks recession but inaction would be worse by Neil Shearing—Capital Economics Seeing What's Next: Using the Theories of Innovation to Predict Industry Change by Clayton M. Christensen, Scott D. Anthony, and Erik A. Roth Related Episodes 261: Is Value Investing Dead? <a href="https://moneyfortherestofus.com/266-momentum-investing
Wed, April 13, 2022
Is A Famine Next? Food Inflation, Food Riots, and Investing in Commodities and other Real Things
Why food costs are soaring and what we can do about it. Why inflation rates could start to drop. Why commodity futures, including agriculture futures, have been lousy inflation hedges, and what has worked better. Topics covered include: Previous investment recommendations by Money For the Rest of Us to combat inflation Why commodity futures hedge against unexpected inflation but have underperformed inflation over the long-term A recommended ETF for investing in commodity futures What is causing the jump in food prices and fertilizer Why the risk of food shortages is increasing and what are remedies to solve it Why agriculture price increases don't always lead to higher food costs at the store Why inflation rates could slow in the coming months For more information on this episode click here . Episode Sponsors Composer automated trading platform Policygenius Show Notes Ukraine War Threatens to Cause a Global Food Crisis by Jack Nicas—The New York Times Russia’s invasion of Ukraine is causing record-high food prices—The Economist As sanctions bite Russia, fertilizer shortage imperils world food supply by Tom Polansek and Ana Mano—Reuters All That’s Stopping a Full-Blown Food Crisis? Rice by Javier Blas—The Washington Post Packaged-food firms are running out of room to raise prices—The Economist Prospective Plantings, March 31, 2022—USDA Related Episodes 232: Is It Time To Invest In Commoditie
Wed, April 06, 2022
Investing in Business Development Companies (BDCs) and other Niche Assets That Trade on Stock Exchanges
We review the ten asset categories that trade on major stock exchanges, many of which are smaller niches in which individual investors have an edge over institutional investors. How to invest in business development companies, a small segment of the markets that has returned 9% annualized with dividend yields of 8%. Topics covered include: How securities trading has changed and why are there so many trading platforms Why do institutions still pay trading commissions When did stock exchanges start and which are the largest What are direct and indirect investment vehicles What are the ten asset types that trade on stock exchanges How to invest in business development companies (BDCs) For more information on this episode click here . Sponsors Wealthfront - get your first $5,000 managed for free for life LinkedIn - post your first job for free Show Notes New York Stock Exchange (NYSE)—Corporate Finance Institute Off-Exchange Trading To Continue To Grow In US by Shanny Basar—Traders Magazine How We Analyzed Wall Street Block Trades by Liz Hoffman, Corrie Driebusch, and Tom McGinty—The Wall Street Journal U.S. Institutional Equity Trading Commissions Jump 25% to $8.9BN in 2021, According to Bloomberg Intelligence—Bloomberg Largest stock exchange operators worldwide as of December 2021, by market capitalization of listed companies—Statista Total Market Value of U.S. Stock Market—Siblis Research ETFGI
Wed, March 30, 2022
How Stories Drive Our Happiness and Financial Success
Stories determine economic and financial outcomes, both our own and the world in aggregate. Here's how to craft and follow stories that will lead to better financial outcomes and greater happiness. Topics covered include: How financial narratives give us the confidence to take action in the face of uncertainty and potential loss How the greater the stakes, the more we rely on anecdotal evidence rather than statistics Is the world more stable and predictable or in a constant state of disorder How stories determine what we buy and aspire to and how marketers try to influence those stories How stories of fear and greed influenced economic outcomes in the 1920s and 1930s How more precise stories lead to greater confidence and potentially to manipulation. How to get off the hedonic treadmill in order to be happier Thanks to OurCrowd and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes Joseph Campbell & The Hero’s Journey by Tamlorn Chase—Odyssey Online Panarchy: Understanding Transformations in Human and Natural Systems by Lance H. Gunderson Horisaki Design & Handel Optimizing SKU Selection for Promotional Display Space at Grocery Retailers by Pak Et al. The Role of Sentiment in the Economy of the 1920s by Kabiri Et al. Monetary Policy and the Management of Uncertainty: A Narrative Approach by Bank of England Publications Et al. Impressed by Numbers: The Extent to Which Novice Investors Favor Precise Numerical Information in a Context of Uncertainty by Batteux Et al. When poignant stories outweigh cold hard facts: A meta-analysis of the anecdotal bias by Freling Et al.
Bonus · Wed, March 23, 2022
People Like Us Invest Like This - Remastered with New Introduction
This week, we revisit a classic episode released five years ago. In a newly recorded introduction, David shares the background on the episode and why he chose to release it again in its newly edited form. Topics covered include: The availability heuristic and confirmation bias How to deal with extreme events when most days are just like the day before How chaos and unpredictability is used as a leadership strategy Why do we need a point of view to guide our actions when investing How to manage financially in a increasingly complex and risky world Show Notes Uncertainty – Lawrence M. Krauss – Edge Regression To the Mean – James J. O’Donnell – Edge Excerpts from Seth Klarman’s 2016 year end letter to his clients as quoted in the New York Times Messy: The Power of Disorder To Transform Our Lives – Tim Harford Seth Godin Course on Presenting To Persuade Ultra-Easy Money: Digging The Hole Deeper? – William R. White See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 16, 2022
Do We Even Need Leaders?
How societies have functioned without leaders, including leaderless megacities that survived over 800 years. Topics covered include: Is geopolitics more like chess or poker Why analysts think Putin will soon agree to a settlement with Ukraine Do most development occur from the top-down or bottom-up What are some examples of leaderless societies and organizations How social capital and enforcement mechanisms allow the world to function without leaders telling everyone what to do How companies are struggling with the workplace of the future and the role of leadership Why do we need more leadership and fewer bosses Thanks to Mint Mobile and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes The Next 100 Years: A Forecast for the 21st Century by George Friedman Thinking in Bets: Making Smarter Decisions When You Don't Have All the Facts by Annie Duke Possible Outcomes of the Russo-Ukrainian War and China’s Choice—U.S.-China Perception Monitor Why Is Leadership Important? by Eric Beato—Babson Thought & Action Do We Need Leaders? by Jimmy Guterman_Harvard Business Review Home 3 Reasons Why We Need Leaders—Jonathan Sandling If We’re All Talented People, Why Do We Still Need a Leader? by Angelina Phebus—Lifehack Trust, Associational Life and Economic Performance by Stephen Knack Is hybrid work the worst of both worlds?—The Economist <a href="https://www.g
Wed, March 09, 2022
Is Stagflation Coming?
Will the world experience both inflation and subpar economic growth at the same time? Topics covered include: What is inflation and what causes it What have been the largest contributors to recent high inflation Why does not everyone experience inflation in the same way Why inflation measures are subjective What are long-term deflationary forces faces the global economy What is stagflation and what causes it How do we monitor stagflation to see if it is coming Thanks to FarmTogether and LinkedIn for sponsoring the episode For more information on this episode click here . Show Notes Consumer Price Index News Release February 10, 2022—U.S. Bureau of Labor Statistics Alternate Inflation Charts—John Williams' Shadow Government Statistics OPEC chief says there's 'no capacity in the world' that could replace Russia's 7 million barrels a day in oil supply-Adam Morgan McCarthy—Markets Insider See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 02, 2022
What If It's Different This Time? - The Impact of the Russian-Ukraine War
What can we do to prepare if the Russian-Ukraine war gets even worse? Topics covered include: How risk and uncertainty differ as does how we manage them What we can learn from Ukraine and Russian citizens on dealing with uncertainty What will be the financial impact of the sanctions against Russia and the ruble collapse Why and how we should all prepare for potential cyberattacks Why now is the time to make sure you have an appropriate asset allocation How holding dollars, euros, or stablecoin can help protect against currency collapses What we can do to help Ukraine Thanks to Masterworks and Policygenius for sponsoring the episode For more information on this episode click here . Show Notes JPMorgan Says Selling Stocks Now Carries Too Much Risk by Nikos Chrysoloras—Bloomberg Ukraine conflict: Dread in Kyiv as huge Russian convoy advances by Lyse Doucet—BBC Russia launches fierce rocket attack on Ukrainian city of Kharkiv by Guy Chazan, John Reed, Max Seddon, Henry Foy, John Paul Rathbone, and Demetri Sevastopulo—Financial Times How new sanctions could cripple Russia’s economy—The Economist Russian c.bank orders block on foreign clients' bids to sell Russian securities - document—Reuters Ukraine invasion: Russians feel the pain of international sanctions by Anastasia Stognei and Simon Fraser—BBC The dire predictions about a Russian cyber onslaught haven’t come true in Ukraine. At least not yet. by Joseph Menn and Craig Timberg—The Washington Post <a href="https://www.bloomberg.com/news/articles/2021-06-04/hackers-breached-colonial-pipeli
Wed, February 23, 2022
What Investment Style Fits Your Personality?
How to decide the investing scale and timeframe that works best for your temperament. Topics covered include: How stocks perform in the days and weeks following catastrophic events What are some potential financial impacts of Russia's invasion into Ukraine How complex systems operate at different scales and timeframes What are examples of different scales and timeframes for investing How tactical asset allocation strategies work Why schema and rules of thumb develop and how do they get passed on How to decide on which investment approach works best for you Thanks to Mint Mobile and LinkedIn for sponsoring the episode. For more information on this episode click here . Show Notes Nikkei 225 Index - 67 Year Historical Chart—Macrotrends Panarchy: Understanding Transformations in Human and Natural Systems by Lance H. Gunderson (Editor) Allocate Smartly Protective Asset Allocation (PAA): A Simple Momentum-Based Alternative for Term Deposits by Wouter J. Keller and Jan Willem Keuning Trying Not to Try: The Art and Science of Spontaneity by Edward Slingerland Related Episodes 203: Is Investing More Like Poker or Chess? 266: Using Momentum Investing and Trend Following 374: Lifecycle Investing, Risk Parity Portfolios, and Why Stocks Are Riskier in the Long Run See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 16, 2022
Five Financial Lessons From Middlemarch
Key takeaways from one of the greatest personal finance novels of all time. Topics covered include: Why it is easier to keep doing the same old thing Why partners should discuss their finances Why debt can be suffocating Why leverage can be dangerous One of the most satisfying ways to give away wealth Thanks to OurCrowd and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes Middlemarch by George Eliot Middlemarch Book Summary—Stonory Rebecca Mead/"'Middlemarch' and Me"—The New Yorker (Video) See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 09, 2022
Lifecycle Investing, Risk Parity Portfolios, and Why Stocks Are Riskier in the Long Run
How lifecycle investing and risk parity portfolios can assist you in having sufficient assets to retire. What are the two types of time diversification and why is one flawed? Topics covered include: What is settled work and what are some examples How does lifecycle investing work and should you consider it Why investing in stocks and other volatile asset classes is riskier over longer holding periods What are risk-parity portfolios and how to evaluate them Thanks to Masterworks for sponsoring the episode. For more information on this episode click here . Show Notes The moral calculations of a billionaire by Eli Saslow—The Washington Post Life-Cycle Investing and Leverage: Buying Stock on Margin Can Reduce Retirement Risk by Ian Ayres and Barry J. Nalebuff Lifecycle Investing - Leveraging when young, Forum Discussion by Steve Reading on bogleheads.org What Practitioners Need to Know… About Time Diversification (corrected March 2015) by Mark Kritzman—Financial Analysts Journal Volume 71, Number 1 Wishful Thinking About the Risk of Stocks in the Long Run: Consequences for Defined Contribution and Defined Benefit Retirement Plans by Zvi Bodie Pension Obligation Bonds: Know Their Appeal and Pitfalls by Todd Tauzer—Segal Shrinkage Estimation in Risk Parity Portfolios by Nabil Alkafri and Christoph Frey Portfolio Charts How to Invest in Closed-End Funds—Money For the Rest of Us Related Episodes <a href="https://moneyfortherestofus.com/closed-end-funds/" rel="noopener noreferrer
Wed, February 02, 2022
Are Stablecoins Safe? Should You Own Them?
How stablecoins are similar and different from other monetary assets. What are stablecoin risks. Why central bank digital currencies are one of the biggest threats to stablecoins. Topics covered include: Why the Federal Reserve and other central banks are exploring issuing their own digital currencies What is the difference between public and private money How deposit insurance and central bank actions prevent runs on private money How money market mutual funds are a type of stablecoin How true stablecoins and algorithmic stablecoins differ What is driving the demand for stablecoins What are the risks of stablecoins Thanks to LinkedIn and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes Money and Payments: The U.S. Dollar in the Age of Digital Transformation January 2022—Board of Governors of the Federal Reserve System Taming Wildcat Stablecoins by Gary B. Gorton and Jeffery Zhang Money Stock Measures - H.6 Release—Board of Governors of the Federal Reserve System Top Stablecoin Tokens by Market Capitalization—CoinMarketCap Transparency—Tether Report on Stable Coins, November 2021—Various US Agencies Built to Fail: The Inherent Fragility of Algorithmic StablecoinsDr. Ryan Clements The Quest for a Truly Decentralized Stablecoin by Brady Dale—Coin Desk <a href="https://www.wsj.com/articles/cryptocurrency-doesnt-amount-to-much-bitcoin-stablecoins-lobby-innovation-finance-11643063060" rel="noopener noreferr
Wed, January 26, 2022
When Should You Sell An Investment?
We explore four reasons to sell an asset with a focus on the Ark Innovation ETF, Bitcoin, and equity REITs. We also put the current stock market sell-off into historical perspective. Topics covered include: What are lousy reasons to sell an investment What is a sell discipline What are four good reasons to sell an investment Why and why not to invest in the Ark Innovation ETF (ARKK) Why growth stocks are getting crushed in the current market sell-off How frequently does the stock market correct by more than 10% Thanks to Mint Mobile for sponsoring the episode. For more information on this episode click here . Show Notes Bitcoin Bounces Back After Falling Below $33,000 by Anna Hirtenstein—The Wall Street Journal Selling Out, Memos From Howard Marks—Oaktree Capital Management Here's Cathie Wood's advice to her fund's investors after a 58% sell-off in Ark's flagship ETF by Matthew Fox—Markets Insider Related Episodes 291: How To Survive the Coronavirus (COVID-19) Shutdown 302: Investing is Not Knowing See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 19, 2022
Find Your Retirement Investing and Living Style
What are the pros and cons of the four approaches to managing retirement savings. How to implement a bucketing or time segmentation retirement investing approach. Topics covered include: Why it takes time to find a retirement pattern that fits How retirement investing is a balance between safety-first and probability-based as well as maintaining optionality and committing. How total return investing differs from a safety-first approach What are products allow for a risk floor but also provide some potential growth How a time segmentation or bucket approach to retirement investing works Thanks to Policygenius and Masterworks for sponsoring the episode. For more information on this episode click here . Show Notes Retirement Planning Guidebook: Navigating the Important Decisions for Retirement Success (The Retirement Researcher Guide Series) by Wade Pfau A Model Approach to Selecting a Personalized Retirement Income Strategy by Alejandro Murguia and Wade D. Pfau The Four Approaches to Managing Retirement Income Risk by Wade D. Pfau Build Ladders With iBonds® ETFs—iShares Related Episodes 279: Why All Retirees Should Consider an Income Annuity 306: Three Approaches to Asset Allocation 326: The New Math of Retirement Spending and Investing See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 12, 2022
Should You Invest In Small and Mid Cap Stocks? Is Now the Time?
Small and mid-cap stocks have underperformed large-cap stocks for over a decade. Is now the time to increase your allocation? Topics covered include: How big are small and mid-cap stocks How have small and mid-cap stocks performed relative to large-cap stocks How have active small and mid-cap managers performed relative to indexing options Are bigger IPOs contributing to small and mid-cap stocks underperformance How expensive or cheap are small-cap stocks relative to large-cap What is the capital asset pricing model and how do academics use it to identify outperforming factors How value, momentum, and quality drive small-cap stock outperformance How to invest in small and mid-cap stocks Thanks to Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes The Morningstar Active/Passive Barometer Initial Public Offerings: Updated Statistics January 5, 2022, by Jay R. Ritter—Warrington College of Business, University of Florida The Nexus of Anomalies-Stock Returns-Asset Pricing Models: The International Evidence by Rahul Roy and Shijin Santhakumar The Cross-Section of Stock Returns before 1926 (And Beyond) by Guido Baltussen, Bart van Vliet, and Pim van Vliet Factor Timing: Keep It Simple by Michael Aked—Research Affiliates See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 15, 2021
Year-End 2021 Listener Q&A Episode
We answer listener questions in our final episode of 2021. Topics covered include: Estimating financial market returns in the next thirty years Investing in art Whether stocks will no longer exist How to start investing Fidelity's new Bitcoin ETF How mutual funds are priced How to teach family members about investing Volatility versus drawdowns How to face the uncertainty of crashing stocks, rising interest rates, and numerous other economic and financial threats David's four most recent investments he made in his personal portfolio Thanks to Policygenius and OurCrowd for sponsoring the episode. For more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 08, 2021
How To Invest in Web3, DAOs and the Metaverse
What is Web 3.0 and how will it transform the world? How you can invest your time and money in decentralized autonomous organizations and other Web3 projects. Topics covered include: What are Web 1.0, Web 2.0, and Web 3.0 and how do they differ What are decentralized autonomous organizations (DAOs) How DAOs operate and what are some examples How to register one's Web 3.0 user name How the Ethereum network, a major part of Web3, is changing How to participate and invest in DAOs and other Web3 projects Thanks to LinkedIn and Commonstock for sponsoring the episode. For more information on this episode click here . Show Notes Decentralized autonomous organizations (DAOs)—Ethereum State of the DAOs #0 | Oct 6th, 2021 by BanklessDAO Writers Guild—BanklessDAO Decentralized Autonomous Organizations;The New Coordination Frontier by Calvinme—Medium Organization Legos: The State of DAO Tooling by Nichanan Kesonpat—Medium OpenOrgs.info Snapshot DeepDAO ENS Uniswap Protocol Gas and Fees—Ethereum Ultra Sound Money Proof of Stake (PoS)—Ethereum What Is the Metaverse, Exactly? by Eric Ravenscraft—Wired <a href="https://tim.blog/2021/10/28/chris-dixon-naval-ravikant/"
Wed, December 01, 2021
What Investment Strategies Do Best During High Inflation Periods?
How different asset classes and investment strategies have performed during periods of unexpectedly high inflation. While trend and momentum strategies have performed the best, what are some of the challenges with implementing those strategies. Topics covered include: What has led to today's high inflation environment and why it is unique How current demographic and technology trends are disinflationary How many inflationary regimes have there been in the past How stocks, residential housing, commodities, collectibles performed during high inflation environments. How trend following and momentum have been the best performing strategy during high inflation environments. Which trend following and momentum approaches have worked best for individual investors. How managed futures strategies work Thanks to OurCrowd and Egnyte for sponsoring the episode. Here is more information on Money For the Rest of Us Plus. For more information on this episode click here . Show Notes US Budget Deficit Hits $2.77 Trillion in 2021, 2nd Highest by Associated Press—U.S. News & World Report India says nationwide birthrates drop below key ‘replacement rate’ by Gerry Shih—The Washington Post The Best Strategies for Inflationary Times by Henry Neville Et al. Trend Following: Equity and Bond Crisis Alpha by Carl Hamill, Sandy Rattray, and Otto Van Hemert AQR hedge fund suffers $10bn in outflows by Laurence Fletcher—Financial Times Is There a Replication Crisis in Finance? Theis Ingerslev Jensen, Bryan T. Kelly, and Lasse Heje Pedersen Related Episodes
Wed, November 17, 2021
Is There a Global Energy Crisis?
With oil, natural gas, coal, and gasoline at the highest prices in eight years, we consider if there is an energy crisis due to an over-reliance on renewable energy sources. Topics covered include: How high have prices risen for oil, gasoline, natural gas, and coal Why rising energy prices is a multifaceted problem as illustrated by coal How the global energy mix has changed for power production Why investment capital is flowing to renewable energy projects rather than fossil fuel projects Why a clean energy transition leads to more volatile fossil fuel prices How higher oil prices lead to greater adoption of electric vehicles How renewable energy combined with battery technology will create lead to energy on-demand solutions Thanks to Egnyte and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes US coal prices jump to highest level since 2009 by Myles McCormick—Financial Times China’s Energy Crisis Complicates Its Plans for Climate Announcements Ahead of COP26 by Sha Hua and Keith Zhai—The Wall Street Journal China’s Coal War With Australia Fuels Shortage at Home by Chuin-Wei Yap—The Wall Street Journal China’s Coal Shortage Threatens Farmers in India and Truckers in South Korea by Jiyoung Sohn in Seoul and Vibhuti Agarwal—The Wall Street Journal The Gregor Letter President Jimmy Carter - Report to the Nation on Energy (Video) Share of renewables, low-carbon sources and fossil fuels in power generation, World 1990-2019—IEA <a href="https://www.iea.org/reports/oil-2021" rel="noo
Wed, November 10, 2021
Why Some Asset Bubbles Don't Burst
What conditions need to be in place for an asset bubble to continue and how that applies to stocks, cryptocurrency, and houses. Topics covered include: How to determine if there is an asset bubble What are microbubbles and anti-bubbles How the cannabis stock bubble burst What is required to sustain an asset bubble How the current runup in home prices differs from the housing bubble in the mid-2000s What structural changes have led to the high valuations for U.S. stocks What is the Great Wealth Transfer and will it impact stock prices Thanks to Commonstock and LinkedIn for sponsoring the episode. For more information on this episode click here . Show Notes All-Transactions House Price Index for Oakland-Berkeley-Livermore, CA (MSAD)—Federal Reserve Bank of St. Louis S&P/Case-Shiller CA-San Francisco Home Price Index—Federal Reserve Bank of St. Louis What Pops Stock Market Bubbles? Only Surprises, Rob Arnott Says by Vildana Hajric and Michael P. Regan—Bloomberg Yes. It's a Bubble. So What? by Rob Arnott, Bradford Cornell, and Shane Shepherd—Research Affiliates Bubble, Bubble, Toil and Trouble by Rob Arnott, Bradford Cornell, and Shane Shepherd—Research Affiliates What's really going on with San Francisco Walgreens closures? by Eric Ting—SFGATE SF ranks high in property crime while it ranks low in arrests by Phil Matier—San Fransisco Chronicle Zillow’s Algorithm-Fueled Buying Spree
Wed, November 03, 2021
Should You Hedge Your International Stock Exposure From Currency Fluctuations?
How to decide whether it is worth it to hedge currency exposure when investing outside of your home country. Topics covered include: How currency exchange rates impact investment returns What factors impact currency exchange rates What are carry trades and how do they influence exchange rates How currency forward contracts work How ETFs and funds hedge currency exposure What to consider when deciding whether to hedge foreign currency exposure Thanks to Egnyte and Quartr for sponsoring the episode. For more information on this episode click here . Show Notes Rising U.S. yields push yen to lowest in nearly 3 years by Saikat Chatterjee—Reuters Cutting Volatility in Foreign Stocks While Remaining 100% Invested: Hedge the Currency? by Jeff Weniger and Jeremy Schwartz—WisdomTree Carry Trade Comes Surging Back With Biggest Gains Since 2016 by Robert Fullem and Brody Ford—Bloomberg Related Episodes 209: Why Bother Investing Internationally? 283: Why You Should Care About Carry Trades See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 27, 2021
Why Most Cities Thrive and What We Can Learn From Them
How New York City and other metropolises will overcome the pandemic economic shock. Why do some cities thrive while others devolve into chaos? How we can develop the resiliency of thriving cities. Topics covered include: How New York and other cities have dealt with the pandemic economic shock Why the city of Port au Prince in Haiti is struggling Why do cities fail less frequently than companies How we can replicate the rhythms and cycles of cities How most cities can evolve in response to the pandemic and we can too Thanks to Felix Gray and Alto CryptoIRA for sponsoring the episode. For more information on this episode click here . Show Notes Local Area Unemployment Statistics - New York City— U.S. Bureau of Labor Statistics Scale: The Universal Laws of Growth, Innovation, Sustainability, and the Pace of Life in Organisms, Cities, Economies, and Companies by Geoffrey B. West The Office Sector in New York City by Brian McElwain, Anita Yadavalli, and Amar Mehta—Office of the New York Comptroller Desperate Haitians suffocate under growing power of gangs by Dánica Coto and Alberto Arce—The Associated Press California’s approach to gendered toys says a lot about the state’s political direction—The Economist HB 389: Poor policy, poorly written, bad for rural Idaho by Geoffrey Wardle—Idaho Business Review Human History Gets a Rewriteby By William Deresiewicz—The Atlantic The Dawn of Everything: A New History of Humanity by David Graeber and David Wengrow <a href="https://us.macmillan.com/books/9780374159122/fourthousandweeks" rel="noopener norefe
Wed, October 20, 2021
Should You Invest in a Bitcoin ETF?
Why the new U.S.-based Bitcoin ETFs are a bad idea and will underperform Bitcoin. Topics covered include: What fund and ETF options are available for investing in Bitcoin Why the U.S. has only authorized Bitcoin ETFs that invest in Bitcoin futures even though there are closed-end funds that hold Bitcoin directly What is there a regulatory battle surrounding cryptocurrencies? How closed-end funds differ from ETFs How Bitcoin futures work Why Bitcoin ETFs that invest in Bitcoin futures will lag the performance of owning Bitcoin directly Why investors should avoid the new U.S. Bitcoin ETFs Thanks to Policygenius and Justworks for sponsoring the episode. For more information on this episode click here . Show Notes SEC Set to Allow Bitcoin Futures ETFs as Deadline Looms by Katherine Greifeld, Vildana Hajric, and Benjamin Bain—Bloomberg U.S. SEC Chair Gensler calls on Congress to help rein in crypto 'Wild West' Katanga Johnson—Reuters Bitcoin Strategy ETF—ProShares Purpose Bitcoin ETF—Purpose Investments Grayscale® Bitcoin Trust Osprey Bitcoin Trust Jacobi receives approval for "world’s first tier one" bitcoin ETF—Funds Europe Remarks Before the Aspen Security Forum by Chair Gary Gensler—U.S. Securities and Exchange Commission Coinbase abandons lending product after SEC pushback by Hannah Murphy and Stefania Palma—Financial Times <a href="https://www.ft
Wed, October 13, 2021
Are Timeshares a Scam? How to Buy and Sell a Timeshare Vacation Rental
How the economics of timeshare vacation rentals work, and why they can be a great fit for some individuals. Topics covered include: When were the first timeshares introduced What are the different timeshare ownership models Why timeshares don't appreciate but fall in price after purchase What are maintenance fees and why do they keep increasing Who is the target market for timeshares and how do timeshare companies market to them How timeshare companies make money How to sell your existing timeshare How to buy a new timeshare Thanks to Quartr and LinkedIn for sponsoring the episode. For more information on this episode click here . Show Notes The ABC’s of PUD’s (Part II): The Basics of Timesharing—American Bar Association Second Quarter 2021 Earnings Conference Call July 29, 2021—Marriott Vacations Worldwide Investor Presentation July 2021—Marriott Vacations Worldwide SellMyTimeshareNow, LLC Firm to Pay $2.6M, Stop Making False Timeshare Claims—Claims Journal Related Episodes 24: Timeshares, Preppers and Permanent Portfolios 57: Live Like A Local When Traveling See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 29, 2021
Will the U.S. Default? Debt Ceilings, Government Shutdowns, and the National Debt
Why the U.S. is closing in on both a debt default and a government shutdown. Topics covered include: How a government shutdown differs from a debt ceiling crisis Why hasn't Congress passed legislation to fund the government and raise the debt limit How refusing to increase the debt ceiling could impact Social Security How big is the national debt and who owns it Why we never know how much federal debt is too much: Japan vs the U.S. How federal debt is used and how it has led to financial innovation Why countries default on their debt What are some of the challenges with central banks pegging interest rates and monetizing the debt What could cause the U.S. dollar to crash and inflation to soar Thanks to Alto CryptoIRA and LinkedIn for sponsoring the episode. For more information on this episode click here . Show Notes America’s debt ceiling is a disaster, though fiscal rules can help—The Economist Treasury Bulletin, September 2021—Bureau of the Fiscal Service Major Foreign Holding of Treasury Securities—Department of the Treasury/Federal Reserve Board Fed official warns of ‘extreme’ market reaction unless debt ceiling raised by Lauren Fedor, Colby Smith and James Politi - The Financial Times Republicans Are Playing a Dangerous Game With Debt by Michael R. Strain—The New York Times Explainer: What happens when the U.S. federal government shuts down? by Jason Lange—Reuters Janet Yellen Says Treasury Could Exhaust Cash Reserves by Oct. 18 if Debt Limit Isn’t Raised by Nick Timiraos and Kate Davidson—The Wall Street
Wed, September 22, 2021
Why Are There So Many Shortages?
What is causing the shortage of goods and workers? What should we do about it? Topics covered include: How a tree pandemic killed billions of American Chestnut trees How a massive increase in demand has crippled the global supply, leading to an eight-fold increase in shipping costs Why there are so many job openings and people quitting their jobs Why the free market doesn't work as well for child daycare How stimulus payments during the pandemic reduced poverty rates What is the lying flat movement How everything is in place for an extended period of high inflation even though the bond market still anticipates inflation will be transitory Why we should own real things and plan more downtime Thanks to Policygenius and Masterworks for sponsoring the episode. For more information on this episode click here . Show Notes The Demise and Potential Revival of the American Chestnut by Kate Morgan—Sierra Club U.S. Imports to Increase by 20% by End of 2021—Material Handling & Logistics The largest port in the US hit a new ship-backlog record every day last week, as 65 massive container boats float off the California coast by Grace Kay—Business Insider The World Is Still Short of Everything. Get Used to It. by Peter S. Goodman and Keith Bradsher—The New York Times ‘Just Get Me a Box’: Inside the Brutal Realities of Supply Chain Hell by Brendan Murray—Bloomberg Businessweek Rising Shipping Costs Are Companies’ Latest Inflation Riddle by Thomas Gryta—The Wall Street Journal <a href="https://www.census.gov/newsroom/press-releases/2021/income-poverty-health-insurance-coverage.html" rel="noopene
Wed, September 15, 2021
Should You Stop Investing in China? - Evergrande, VIEs and other Chinese Risks
A regulatory crackdown and ideological campaign by the Chinese government has upended the Chinese stock market, which comprises close to 40% of emerging market indices. We evaluate what is going on and what investors should do. Topics covered include: How has the Chinese stock market performed in 2021 Why has Cathie Wood and Ark Invest dramatically cut their Chinese stock exposure What are examples of regulatory changes in China Why the stocks of Chinese online tutoring companies that trade on the New York Stock Exchange fell 90% this year What are variable interest entities (VIEs) and why they are a risky corporate structure for Chinese companies How a high private sector debt burden could lead to a banking crisis or contagion in China What are ways investors can invest in emerging markets while having a smaller allocation to China Thanks to LinkedIn and Simplify ETFs for sponsoring the episode. For more information on this episode click here . Show Notes Cathie Wood’s Ark cuts China positions ‘dramatically’ by Leo Lewis and Thomas Hale—Financial Times Beijing to break up Ant’s Alipay and force creation of separate loans app by Sun Yu and Ryan McMorrow—Financial Times China’s dodgy-debt double act—The Economist China’s bid to stabilise its property market is causing jitters—The Economist Related Episodes 218: Is China or the U.S. More Vulnerable? 249: Should You Invest in India? 328: Are You Underweight Chinese Stocks? Pros and Cons of Investing in China See Privacy Policy at <a href="https://art19.com/privacy" rel="noopener noreferrer" target="_
Wed, September 08, 2021
Is a Housing Crash Coming?
What are the demand and supply drivers of home prices? What is the current status of those drivers and do they suggest a housing price crash is imminent, particularly given mortgage forbearance programs are ending? Topics covered include: How much have home prices appreciated in the past year compared to historical rates What has driven the demand shock for housing Why U.S. houses are so much more affordable compared to earlier periods How big is the housing shortage in the U.S. What could cause home prices to crash How housing supply and demand drivers apply to local real estate markets How to purchase a home in a hot housing market Thanks to the Modern Finance podcast and Simplify ETFs for sponsoring the episode. For more information on this episode click here . Show Notes In a forgotten town by the Salton Sea, newcomers build a bohemian dream Rory Carroll—The guardian For One Weekend a Year, a Tiny Town on the Salton Sea Becomes a Mecca for Artists and Partiers by April Wong—Los Angeles Magazine Electric vehicles need batteries. Those need lithium. That’s where the Salton Sea comes in. by Elliot Spagat—Chicago Sun-Times A shock is headed for the housing market by Lance Lambert—Fortune Housing Supply: A Growing Deficit—Freddie Mac Related Episodes 235: What If Home Prices Always Declined 258: How Financialization Pushes Up Home Prices 317: How To Buy In A Hot Housing Market See Privacy Policy at <a href="https://art19.com/privacy
Wed, September 01, 2021
How, When, and Why Should You Rebalance Your Investment Portfolio?
Why bother rebalancing your investment portfolio and what is the best method for doing so. Topics covered include: How a target asset allocation can get out of line if a portfolio is not rebalanced What is positive skewness and why it matters to portfolio investing What is volatility drag and how it can lead to lower end of period wealth What are the costs of rebalancing Which rebalancing method if any has been the most effective Thanks to Felix Gray glasses and Mint Mobile for sponsoring the episode. For more information on this episode click here . Show Notes Long-Horizon Stock Returns Are Positively Skewed by Adam Farago and Erik Hjalmarsson Positively Skewed Distribution—Corporate Finance Institute Prospect Theory and Stock Market Anomalies by Nicholas Barberis, Lawrence J. Jin, and Baolian Wang Strategic Rebalancing by Sandy Rattray, Nicolas Granger, Campbell R. Harvey, and Otto Van Hemert Portfolio Rebalancing: Tradeoffs and Decisions by Xing Hong and Philipp Meyer-Brauns Diversification Returns, Rebalancing Returns and Volatility Pumping by Keith Cuthbertson, Simon Hayley, Nick Motson, and Dirk Nitzsche Getting back on track: A guide to smart rebalancing by Jenna L. McNamee, Thomas Paradise, and Maria A. Bruno—Vanguard Safe Haven: Investing for Financial Storms by Mark Spitznagel Related Episodes 313: No One Is Entirely a Buy and Hold Investor <a href="https://moneyfortherestofus.com/341-investing-fears/" rel="noopener
Wed, August 25, 2021
Which Money Is Crazier: The U.S. Dollar or Bitcoin?
We compare the U.S. dollar with Bitcoin on their key attributes to determine which is better for transactions and preserving wealth, which is most absurd and which has serious flaws. Topics covered include: How are new U.S. Dollars and Bitcoin created How much has the supply of each currency grown How both the dollar and Bitcoin have had rule changes Why Bitcoin transactions are faster than non-cash U.S. dollar transactions Why both the dollar and Bitcoin require add-on layers to facilitate transactions How tax treatment of a currency can encourage or discourage its use for payments Why divisibility is a critical attribute of any currency Why Bitcoin has been as volatile as the Russian ruble Why Bitcoin is energy inefficient while having built-in incentives to use renewable energy What will determine the long-term viability of Bitcoin and the U.S. dollar For more information on this episode click here . Sponsors Masterworks - the premier platform for investing in blue chip art Policygenius Show Notes Federal Reserve Statistical Release: H.4.1 Factors Affecting Reserve Balances of Depository Institutions and Condition Statement of Federal Reserve Banks, August 19, 2021 Check Processing—Federal Reserve Bank of New York Gold Reserve Act of 1934—Federal Reserve History Creation of the Bretton Woods System—Federal Reserve History Financial Accounting Manual for Federal Reserve Banks, July 2021: Chapter 5. Federal Reserve Notes—Board of Governors of the Federal Reserve System Financial Statements: Federal Reserve Bank of Kansas City; As of and for the Years Ended December 31, 2020 and 2019 and Independent Auditors’ Report A Complete Guide to Unde
Wed, August 18, 2021
Now Is the Best Time Ever to Be an Individual Investor
What are the advantages and disadvantages individual investors have relative to professional investors. How individual investors can capitalize on their advantages without being overwhelmed by too many choices. Topics covered include: How much have fees and commissions dropped for individual investors in the past two decades How the overall objective of individual investors differs from professional investors Why the smaller scale at which individual investors operate provides an advantage relative to professional investors What are some advantages that professional investors have relative to individual investors How having constraints and rules of thumb allow individual investors to generate better returns and be less overwhelmed What are some examples of rules of thumb that collectively form an investment philosophy and process Thanks to Streak CRM for sponsoring the episode. For more information on this episode click here . Show Notes Trends in the Expenses and Fees of Funds, 2020—ICI Research Perspective March 2021 // VOL. 27, NO. 3 Morningstar's Annual Fund Fee Study Finds Investors Saved Nearly $6 Billion in Fund Fees in 2019—Morningstar The Reel Deal: The Stacked Benefits of a Reel Mower by John K. Hix and Simone Bailey—Rochester Reginal Health How to Invest in Closed-End Funds—Money For the Rest of Us Portfolio Visualizer The Beauty of Everyday Things by Soetsu Yanagi Noise: A Flaw in Human Judgment by Daniel Kahneman, Olivier Sibony, and Cass R. Sunstein Related Episodes 313: No One Is Entirely a Buy and Hold Investor <a href="https://mon
Wed, August 11, 2021
The Pros and Cons of Infinite Banking and Whole Life Insurance
How permanent life insurance can be an effective tool for retirement planning. Topics covered include: What is the difference between term and whole life insurance How many people let their life insurance policies lapse each year What are strengths that insurance companies have that are beneficial to individual investors What are the benefits of whole life insurance policies How the infinite banking concept works and who should it be used How asset allocation should differ when investors have a whole life insurance policy What are concerns with whole life insurance How an integrative approach of using whole life, immediate annuities, and investments can lead to higher retirement spending levels Thanks to today's sponsors: Simplify ETFs and the all-new electric MINI Cooper SE For more information on this episode click here . Show Notes Arthur L. Williams Jr.—Wikipedia, Aug 10, 2021 ACLI 2020 Life Insurers Fact Book—The American Council of Life Insurers Pros And Cons Of Life Insurance For Children by Cameron Huddleston and Amy Danise—Forbes The Four Approaches to Managing Retirement Income Risk by Wade D. Pfau Safety-First Retirement Planning: An Integrated Approach for a Worry-Free Retirement (The Retirement Researcher Guide Series) by Wade D. Pfau Integrating Whole Life Insurance into a Retirement Income Plan: Emphasis on Cash Value as a Volatility Buffer Asset by Wade D. Pfau and Michael Finke Related Episodes 279: Why All Retirees Should Consider an Income Annuity 326: The New Math of Retirement Spending and Investing
Wed, August 04, 2021
Is This the Key to Wealth, Freedom and Happiness?
How owning fewer, more permanent things can lead to greater freedom and continued economic growth. Topics covered include: How a railroad company issued a bond that matured in 999 years Why land and gold are the most permanent investments What is the oldest currency in use Why fiat and cryptocurrencies are potentially worthless Why permanence is freedom and constantly craving more things limits freedom Why do quality goods cost more How the volume of trash generation and the number of storage units are increasing Why reducing the number of things we own is so difficult and how to go about doing it How the economy could change as people own things longer Thanks to Felix Gray Glasses and LinkedIn for sponsoring the episode. For more information on this episode click here . Show Notes Business & Finance: Freak Finance Back to the future with long-term bonds by Franky Leeuwerck—Franky's Scripophily BlogSpot ELMIRA AND WILLIAMSPORT RAIL ROAD COMPANY 500$ BOND, 1863—WorthPoint The Power of Gold: The History of an Obsession by Peter L. Bernstein How much gold has been found in the world?—USGS The oldest living thing on Earth by Marnie Chesterton—BBC What is the world's oldest currency?—CMC Markets Bitcoin, Currencies, and Fragility by Nassim Nicholas Taleb Small Is Beautiful: Economics as if People Matter
Wed, July 28, 2021
How to Profit From Carbon Investing While Combatting Climate Change
How the carbon emissions allowances and carbon offset markets are structured and how to invest in them. Topics covered include: How much greater are the levels of carbon dioxide in the atmosphere and how much have average temperatures increased Why industries and companies are seeking to cut their greenhouse gas emissions How cap and trade emissions trading systems work What are the demand and supply dynamics of tradable emission allowances What has been the performance of tradeable emission allowances How ETFs invest in tradable emission allowances How the voluntary carbon offset market is structured and what are the demand and supply dynamics Why do companies make voluntary pledges to reduce their carbon footprints What are the types of carbon offset projects Why it is more difficult to invest in carbon offset markets and how that is changing The Money For the Rest of Us podcast is ad-supported, but you can support the show and listen to episodes ad-free by becoming a subscriber. Learn about subscribing here . Thanks to Policygenius and Mint Mobile for sponsoring the episode. For more information on this episode click here . Show Notes Vital Signs: Carbon Dioxide—Nasa Global Energy Perspective 2021—McKinsey & Company Climate Change: Global Temperature by Rebecca Lindsey and LuAnn Dahlman—NOAA 2030 Climate Target Plan—European Commission FAQs Carbon Markets & Indices—Intercontinental Exchange, Inc. Carbon trading: the ‘one-way’ bet for hedge funds by David Sheppard—Financial Times KRBN KraneShares Global Carbon
Wed, July 21, 2021
How to Invest in Startups on Equity Crowdfunding Platforms
The risks and opportunities of investing in startups on equity crowdfunding platforms. Topics covered include: Why do individual investors now have more access to startup investments What has been the historical performance of venture capital funds How most startups fail, leaving only a few startups to offset portfolio losses What factors to consider when deciding on which startups to invest Why do startups have so many different share classes What platforms are available for individuals to invest in startups Why indexing by investing in every credible startup deal can lead to better performance than hand-selecting a few startups Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month. Subscribe here. Thanks to Streak and Masterworks for sponsoring the episode. For more information on this episode click here . Show Notes Squaring Venture Capital Valuations with Reality by Will Gornall and Ilya A. Strebulaev How Do Venture Capitalists Make Decisions? by Paul A. Gompers, Will Gornall, Steven N. Kaplan, and Ilya A. Strebulaev What Are SPACs and Should You Invest in Them?—Money For the Rest of Us First Quarter 2021 Private Capital Quarterly Review—Fund Evaluation Group Fourth Quarter 2020 Private Capital Quarterly Review—Fund Evaluation Group The Pervasive, Head-Scratching, Risk-Exploding Problem With Venture Capital by Kamal Hassan, Monisha Varadan, and Claudia Zeisberger Venture Outcomes are Even More Skewed T
Wed, July 14, 2021
Forward and Reverse Mortgages: When To Take Them Out and When to Pay Them Off
How to decide when to take out a home mortgage and whether to pay it off early. How reverse mortgages can be a helpful retirement tool. Topics covered include: Why it is more difficult to get a mortgage today How federal government mortgage guarantees lead to lower mortgage rates How to analyze whether to pay off your mortgage early The differences between personal risk, market risk, and aspirational risk How reverse mortgages work and how they can be useful as a retirement income tool What are the costs of reverse mortgages Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month. Subscribe here. Thanks to IPVanish and Raycon for sponsoring the episode. For more information on this episode click here . Show Notes Quarterly Report on Household Debt and Credit 2021 Q1—Federal Reserve Bank of New York Selling Guide: Lender Letter LL-2021-03, Impact of COVID-19 on Originations (03/11/2021)—Fannie Mae 0 Overreliance on Fannie and Freddie Violates Their Federal Charters by Norbert J. Michel, Ph.D.—The Heritage Foundation Mortgage Debt and Asset Allocation, Video by Ben Felix Plus Episode 329: Robinhood, Mortgages and ETF Transparency—Money For The Rest of Us Beyond Markowitz: A Comprehensive Wealth Allocation Framework for Individual Investors by Ashvin B. Chhabra How the HECM Program Works—U.S. Department of Housing and Urban Development <a href="https://papers.ssrn
Wed, June 30, 2021
Listener Q&A: Individual stocks, housing bubble, crypto, retirement and more
We answer over a dozen questions from listeners on investing, housing, retirement, business, podcast production, and more. Topics discussed include: The Endowment Model Teaching children about investing 4 influential investing books The difference between being an entrepreneur and investing The balance between too much and too little efficiency and productivity What we learned about investing from the Covid crash How asset allocation changes as one gets older The state and future of cryptocurrency Is now the time to buy individual stocks given high valuations for indices Donor-advised funds FDIC insurance Money For the Rest of Us production time and expenses Is it possible to have too much invested in one ETF Is a house and investment and will there be a housing crash How to worry less about money Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month plus tax. Subscribe here. Thanks to Policygenius and Clear for sponsoring the episode. Use code David to get two months free with Clear . For more information on this episode click here . Related Episodes 211: How To Navigate A Housing Bubble 306: Three Approaches to Asset Allocation 317: How To Buy In A Hot Housing Market See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 23, 2021
Should You Invest in Frontier Markets?
What are the risks and opportunities of investing in frontier equity markets? Topics covered include: What are the criteria used to determine whether a country's stock market is considered a frontier, emerging, or developed market Why some countries aren't included in any MSCI stock index How large are frontier markets in terms of population, economic output, and equity markets How frontier market's favorable demographic profile make them attractive, but might not lead to higher investment returns What are the risks of investing in frontier markets How expensive or cheap are frontier markets What have been frontier market's historical returns, volatility, and maximum drawdowns What are ways to invest in frontier markets Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month plus tax. Subscribe here. Thanks to Mint Mobile and LinkedIn for sponsoring the episode. For more information on this episode click here . Show Notes MSCI Market Classification MSCI 2020 Market Classification Review Kuwait’s Move from Frontier to Emerging Market—MSCI Frontier markets Longer Term Investments (LTI) by Corinne de Boursetty—UBS (PDF download) Frontier Markets: A Comparative Analysis by Cliff Quisenberry—Investment & Wealth Institute Urbanisation and Economic Growth: The Arguments and Evidence for Africa and Asia by Ivan Turok and Gordon McGranahan Why globalists and frontier-market investors love Vietnam—The Economist <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3592076" rel="noopener
Wed, June 09, 2021
Should You Buy an Electric Car or Truck?
What are the pros and cons of owning an electric vehicle (EV) compared with an internal combustion engine (ICE) vehicle. Are electric vehicles worth it? Topics covered include: What is the total energy consumption for EVs versus ICE vehicles including energy expended to produce the vehicles and energy used to produce the electricity and refine the gasoline that run the vehicles. What vehicles weigh the most, ICE, EVs, or hybrids How the mix of renewables and coal in the power grid impacts the energy impact of electric vehicles. What is the total cost of owning an electric vehicle compared with a similar model ICE vehicle. Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month plus tax. Subscribe here. Thanks to IPVanish and Raycon for sponsoring the episode. For more information on this episode click here . Show Notes The Gregor Letter The Greenhouse gases, Regulated Emissions, and Energy use in Technologies Model—Argonne National Laboratory Vehicle Cost Calculator—Alternative Fuels Data Center EV vs. Gas: Which Cars Are Cheaper to Own? by Roberto Baldwin—Car and Driver Batteries For Electric Cars Speed Toward a Tipping Point by Ira Boudway—Bloomberg Show Notes The Gregor Letter The Greenhouse gases, Regulated Emissions, and Energy use in Technologies Model—Argonne National Laboratory Vehicle Cost Calculator—Alternative Fuels Data Center EV vs. Gas: Which Car
Wed, June 02, 2021
Investing In Water
What are ways to invest in water and is it an attractive investment? Topics covered include: How water rights work and how they have been overallocated in the Colorado River basin. Why agriculture uses the vast majority of water in the southwestern U.S. while contributing only a few percentage points to the region's gross domestic product. Why hedge fund manager Michael Burry invests in farmland instead of water rights. What ETFs are available to invest in water What have the historical returns been for water stock investing, what are current valuations, and what is the expected long-term revenue growth. Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month plus tax. Subscribe here. Thanks to Blinkist and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes Beyond the Signing by Laura Paskus—Water Education Colorado Where the Water Goes: Life and Death Along the Colorado River by David Owens What Happens When The Colorado River Runs Dry—Science Friday Editorial: There is no drought by The Times Editorial Board New Mexico’s coming megadrought highlights farmers’ control of water by Cody Nelson, Capital & Main—New Mexico Political Report Arizona | The Economic Contributions and Impacts of U.S. Food, Fiber, and Forest Industries—University of Arkansas Department of Agriculture U.S. Southwe
Wed, May 26, 2021
Why Should You Care About Shadow Banking?
Half of the global financial system is made up of shadow banks. You have probably already used one. What are shadow banks and what to be wary of when using them. Topics covered include: What are the roles of shadow banks What are examples of shadow banks How two shadow banks, Greensill Capital and Archegos Capital Management, contributed to billions of dollars in losses How China's massive use of shadow banks differs from the rest of the world How individuals investors can benefit from the careful use of shadow banks. Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month plus tax. Subscribe here. Thanks to Mint Mobile and Clear for sponsoring the episode. Use code David to get two months of Clear for free. For more information on this episode click here . Show Notes Q+A-What is shadow banking and why does it matter? by Michelle Martin—Reuters What You Need to Know About the Shadow Banking System Now by Craig Kirsner—Kiplinger Global Monitoring Report on Non-Bank Financial Intermediation 2020—Financial Stability Board How fintech will eat into banks’ business—The Economist Why is supply-chain finance, as practised by Greensill Capital, risky?—The Economist Tokio Marine defends governance over Greensill exposure by Leo Lewis, Kana Inagaki, and Ian Smith—Financial Times Related Episodes 304: A 15
Wed, May 19, 2021
Why The Productivity Slowdown Could Lead to Lower Living Standards
Why productivity growth is key to creating wealth. Why U.S. productivity growth is slowing, and what we can do to increase business and personal productivity. Topics covered include: How productivity is measured and how it relates to GDP, inflation, and living standards How productivity growth has led to more food, better health, better housing, and more consumer goods. What are potential reasons why productivity growth is slowing Evidence that work from home has led to lower productivity What individuals and businesses can do to increase productivity Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month plus tax. Subscribe here. Thanks to LinkedIn and Hello Fresh for sponsoring the episode. Use code david12off for 12 free meals with free shipping from Hello Fresh. For more information on this episode click here . Show Notes The Slowdown in Productivity Growth and Policies That Can Restore It by Emily Moss, Ryan Nunn, and Jay Shambaugh—The Hamilton Project The technology-employment trade-off: Industry, automation, and income effects by Gene Kindberg-Hanlon—World Bank Blogs Will productivity and growth return after the COVID-19 crisis? by Jan Mischke, et al.—McKinsey & Company Work from Home & Productivity: Evidence from Personnel & Analytics Data on IT Professionals by Michael Gibbs, Friederike Mengel, Christoph Siemroth—Becker Friedman Institute for Economics The Work of the Future: Building Better Jobs in an Age of Intelligent Machines by David Autor, David Mindell, and Elisabeth Reynolds—Massachusetts Institute of Technology How t
Wed, May 12, 2021
Is Another Great Inflation Coming? Best Inflation Hedges
How today's inflationary environment is similar and different from the great inflation of the 1970s. What are the best assets to protect your portfolio if the next great inflation is here. Topics covered include: How is inflation measured and why the pandemic made calculating inflation difficult What causes inflation Why is inflation increasing currently What caused the great inflation of the 1970s Which assets are best to own to protect against inflation Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month plus tax. Subscribe here. Thanks to Blinkist and IPVanish for sponsoring the episode. For more information on this episode click here . Show Notes A Complete Guide to Understanding and Protecting Against Inflation—Money For The Rest of Us Great Inflation 2.0? Lessons from the 1970s by Simon Macadam—Capital Economics When it comes to inflation, how much fortitude does the Fed have? by Sebastion Mallaby—Financial Times If Inflation Is Coming, Here Is What to Do About It by James Mackintosh—The Wall Street Journal A Complete Guide to Investing in TIPS and I Bonds—Money For The Rest of Us 334 Plus: A New Inflation ETF, Inverse ETFs, and Excess CAPE Yields—Money For The Rest of Us IVOL ETF Analysis and Review—Money For The Rest of Us What is Roll Yield and How It Impacts Commodity and VIX ETF Returns—Money For The Rest of Us <a
Wed, May 05, 2021
How To Overcome Investing Fears
Seven ways to manage fear in order to improve your investing. How fear can be beneficial. Topics covered include: Why fear can be both helpful and harmful Why expected investment returns are lower from a year ago What are the drivers of asset class returns What is a bucket approach to investing and why it can be helpful What are ways to automate investing Why getting an investment second opinion can be valuable Why we can never avoid investing mistakes Become a Subscriber and listen to the episode ad-free on Spotify or your preferred podcasting app. Only $4.99 per month plus tax. Subscribe here. Thanks to Raycon and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes “How do I get rid of the fear?” by Seth Godin—Seth's Blog The Gift of Fear by Dharmavidya David Brazier—Tricycle: The Buddhist Review Related Episodes 254: Should You Be 100% Invested In Stocks? 306: Three Approaches to Asset Allocation 326: The New Math of Retirement Spending and Investing See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 28, 2021
Climate Change, ESG, and What Should Investors Do?
How businesses, households, governments, asset managers, and investors interact in unpredictable ways to address the risks and opportunities related to climate change and other global trends. Why ESG investing goes beyond just buying an ESG fund or ETF. Topics covered include: What are incentives, constraints, opportunities, and risks faced by businesses, households, governments, asset managers, and investors when deciding what to do. What is ESG and sustainable investing What are the different levels of sustainable investing practiced by investors and asset managers How investors can benefit from emerging technologies to combat climate change Thanks to Mint Mobile and Clear for sponsoring the episode. Use code David for two months free of Clear. For more information on this episode click here . Show Notes The Beauty of Everyday Things by Soetsu Yanagi (affiliate link) Darmstadt Definition of Sustainable Investments by Johannes Hoffmann, Gerhard Scherhorn, Timo Busch (eds.)—Wuppertal Institute FACT SHEET: President Biden Sets 2030 Greenhouse Gas Pollution Reduction Target Aimed at Creating Good-Paying Union Jobs and Securing U.S. Leadership on Clean Energy Technologies, APRIL 22, 2021—The White House CDP Climate Charity Drawdown Framework—Project Drawdown ‘I Will Get Very Serious About ESG — But Not Yet,’ Allocators Claim by Amy Whyte—Institutional Investor How Sensitive are Optimal Fully Renewable Power Systems to Technology Cost Uncerta
Wed, April 21, 2021
How to Make Money With Dai, BlockFi and the Evolving DeFi Ecosystem
What is decentralized finance and how it is seeking to solve the shortcomings of centralized finance. How BlockFi and MakerDAO, early entrants in the DeFi space work. How to earn up to a 9% yield with cryptocurrency lending. Topics covered include: How centralized finance differs from decentralized finance (DeFi) What are the shortcomings of centralized finance and why decentralized finance is more inclusive What are the key elements of DeFi How Ethereum smart contracts work How MakerDao and Dai work and replicate many aspects of the modern financial system How BlockFi operates using overcollateralized and undercollateralized loans What are the risks of cryptocurrency lending using BlockFi and Dai Thanks to LinkedIn and Truebill for sponsoring the episode. For more information on this episode click here . Show Notes Crypto Lending Interest Rates for April 2021—DeFi Rate DeFi and the Future of Finance by Campbell R. Harvey, Ashwin Ramachandran, and Joey Santoro Millions Lost: The Top 19 DeFi Cryptocurrency Hacks of 2020 by Anton Tarasov—Crypto Briefing Bitcoin Lending & Borrowing w/ BlockFi’s Zac Prince & Mark Yusko—Bitcoin Fundamentals by the Investor's Podcast Network BlockFi lands a $350M Series D at a $3B valuation for its fast-growing crypto-lending platform by Mary Ann Azevedo—Tech Crunch BlockFi Hacked Following SIM Swap Attack, But Says No Funds Lost by Graham Cluley—Tripwire Maker Protocol Full Guide: How to Make Money with DAI by Evan Ezquer—Asia Crypto Today DeFi Leader MakerDAO Weighs Emerg
Wed, April 14, 2021
Inflation, the National Debt and the U.S. Dollar - What Could Go Wrong?
With a ballooning U.S. federal budget deficit, a growing national debt, and double digit increases in the money supply, is it time to bet against the dollar? Topics covered include: What is driving the double digit increases in U.S. home prices Why hasn't inflation spiked in line with rising home prices What is the velocity of money and why is it falling What are three schools of thought regarding what causes inflation What is the average interest rate and maturity schedule of the U.S. national debt How the Bank of Amsterdam is an example of how central banks can go insolvent and shut down Why the dollar has an exorbitant privilege Thanks to Policygenius and Hello Fresh for sponsoring the episode. Use code david12off for 12 free meals with free shipping from Hello Fresh. For more information on this episode click here . Show Notes Where Did Americans Move in 2020? by Janelle Cammenga—Tax Foundation Velocity of M2 Money Stock (M2V) Chart—Federal Reserve Bank of St. Louis Federal Surplus or Deficit [-] as Percent of Gross Domestic Product (FYFSGDA188S) Chart—Federal Reserve Bank of St. Louis How the CPI measures price change of Owners’ equivalent rent of primary residence (OER) and Rent of primary residence (Rent)—U.S. Bureau of Labor Statistics Consumer Price Index – March 2021—U.S. Bureau of Labor Statistics Table 1 (2017 – 2018 Weights). Relative importance of components in the Consumer Price Indexes: U.S. city average, December 2020—U.S. Bureau of Labor Statistics Inflation and Debt by John H. Cochrane, Fall 2011—National Affairs US Government Finance: Debt by Dr. Edward Yardeni and Mali Quintana—Yardeni Research, Inc. <a href="https:
Wed, March 31, 2021
Why in the World Do You Own Bonds?
With interest rates rising does it still make sense to own bonds? Yes. This episode explores the role of bonds including why they are more effective at hedging stock losses than protective put options. Topics covered include: David's business and investment philosophy How bond funds have performed in 2021 Three disparate views on the direction of interest rates from Capital Economics, Ray Dalio, and Hoisington Investment Management Company How to invest in China bonds Why owning bonds is cheaper and more effective at hedging stock market losses than put options How covered call strategies work How to decide on your allocation to bonds versus stocks Thanks to Mint Mobile for sponsoring the episode. For more information on this episode click here . Show Notes What I think, not what I thought – Jason Fried Why in the World Would You Own Bonds When… – Ray Dalio Explainer: Foreign access to China’s $16 trillion bond market – Reuters The True Cost of Hedging S&P Downside - Movement Capital Revisiting Covered Calls and Protective Puts: A Tale of Two Strategies – Bryan Foltice Pathetic Protection: The Elusive Benefits of Protective Puts – Roni Israelov Related Episodes 302: Investing Is Not Knowing 255: With Interest Rates Falling, Why Do You Own Bonds? 225: How To Invest in Bonds See Privacy Policy at https://art19.
Wed, March 24, 2021
Own What Is Real
There has never been this much money in the world. Now is the time to own real property. Topics covered include: How to buy something with Bitcoin How cryptocurrencies are similar and different from fiat currencies What is legal tender Why there has never been this much money in the world Why central banks can control interest rates but not inflation What real property should investors own Thanks to Truebill and Babbel for sponsoring the episode. Use code David for Babbel to get an additional three months free. For more information on this episode click here . Show Notes The Power of Gold: The History of an Obsession by Peter L. Bernstein IRS Virtual Currency Guidance Announcement 2014-21—Internal Revenue Service Legal Tender Status—U.S. Department of the Treasury India to propose cryptocurrency ban, penalising miners, traders - source by Aftab Ahmed, Nupur Anand—Reuters Executive Order 6102—Requiring Gold Coin, Gold Bullion and Gold Certificates to Be Delivered to the Government by Franklin D. Roosevelt—The American Presidency Project Total Circulating Bitcoin—Blockchain Charts Federal Reserve statistical release: Factors Affecting Reserve Balances, March 18, 2021—United States Federal Reserve Money Stock Measures – H.6 Release, March 23, 2021—Board of Governors of the
Wed, March 17, 2021
Are Non-fungible Tokens (NFTs) Good Investments?
How do non-fungible tokens work, what are the risks, and how do NFTs fit within the landscape of investments. Topics covered include: Investing in physical art versus cryptoart How NFTs work on the ethereum blockchain How Ethereum differs from Bitcoin What is the purpose of investing and are NFTs investments How much energy do cryptocurrencies and the financial system consume What are the risks of NFTs Thanks to Amazon Pharmacy and SmartAsset for sponsoring the episode. For more information on this episode click here . Show Notes Want to Buy an NFT? Here’s What to Know by Amber Burton—The Wall Street Journal From Crypto Art to Trading Cards, Investment Manias Abound by Erin Griffith—The New York Times NFTs, explained by Mitchell Clark—The Verge HERE IS THE ARTICLE YOU CAN SEND TO PEOPLE WHEN THEY SAY “BUT THE ENVIRONMENTAL ISSUES WITH CRYPTOART WILL BE SOLVED SOON, RIGHT?” by Everest Pipkin 39% of PoW mining is powered by renewables – Cambridge University Cryptoasset study by Gareth Jenkinson—The Daily Chain Cambridge Bitcoin Electricity Consumption Index Bitcoin Energy Consumption Index—Digiconomist Ethereum Energy Consumption Index (beta)—Digiconomist The Bitcoin vs Visa Electricity Consumption Fallacy by Carlos Domingo—Hacker Noon Ho
Wed, March 10, 2021
Should You Invest in Farmland?
How much can you earn investing in farmland and what are the risks? What are the ways to invest in farmland? Topics covered include: What determines farmland investment returns How much has U.S. farmland appreciated historically How much income does farmland investing generate Why the amount of U.S. farmland is shrinking Has another commodity supercycle started Why U.S. farmers are dependent on exports What are farmland investing risks What farmland investment vehicles are available How to evaluate a farmland investment opportunity Thanks to LinkedIn and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes Farmland Values, Land Ownership, and Returns to Farmland, 2000-2016 by Christopher Burns, Nigel Key, Sarah Tulman, Allison Borchers, and Jeremy Weber—United States Department of Agriculture Land Values 2020 Summary—United States Department of Agriculture Farming and Farm Income—Economic Research Service United States Department of Agriculture Agricultural Markets and Prices: Towards 2025—Organisation for Economic Co-operation and Development U.S. Agricultural Trade at a Glance—Economic Research Service United States Department of Agriculture Why Invest In Farmland?—AcreTrader FarmTogether Farmland Index Posts First Negative Return in 19 Years by Mike Walsten—Pro Farmer NCREIF Farmland Property Index <p
Wed, March 03, 2021
How The Covid Shock Nearly Destroyed The Financial System
Why the Federal Reserve had to step in again to sop runs on money market mutual funds and keep the financial system from imploding. Topics covered include: What are the differences between shocks and vulnerabilities What are the four main vulnerabilities the Federal Reserve monitors How deleveraging and demands for liquidity lead to market stresses What are the types of money market funds and how were they impacted by the Covid 19 shock How was Treasury bond trading impacted by the Covid shock Why the Federal Reserve stepped in to stop the market contagion from spreading What are the downsides to central bank interventions What individual investors can do to protect against future shocks Thanks to Mint Mobile and Truebill for sponsoring the episode. For more information on this episode click here . Show Notes President’s Working Group on Financial Markets Releases Report on Money Market Funds—U.S. Department of the Treasury Report of the President’s Working Group on Financial Markets: Overview of Recent Events and Potential Reform Options for Money Market Funds, December 2020—U.S. Department of the Treasury U.S. Credit Markets Interconnectedness and the Effects of the COVID-19 Economic Shock by S.P. Kothari, Dalia Blass, Alan Cohen, Sumit Rajpal, and SEC Research Staff—U.S. Securities and Exchange Commission Financial Stability Report November 2020—Board of Governors of the Federal Reserve System How Vanguard Overhauled a Prime Money Fund by Bernice Napach—ThinkAdvisor Overnight Index Swap by James Chen—Investopedia Cash Viewpoint: What do Variable Rate Demand Notes do for Your Money Market Fund—Invesco Related Episodes
Wed, February 24, 2021
What Is Tail Risk and Are You Taking Too Much Of It?
When should you protect against rare, but extreme events? When should you self-insure? Under what circumstance should you sell tail risk protection to others? Topics covered include: How tail events differ from tail risk Why volatility is not the best measure of risk for individuals What does it cost to protect against large stock market losses Why younger investors can take more risk due to their human capital How does the profit wheel options strategy work How the catastrophic power outage in Texas exemplifies tail risk Why individuals need to build more reserves because the economic system is too efficient and vulnerable to breakdowns Thanks to SmartAsset and Babbel for sponsoring the episode. Use code DAVID for Babbel to get three months free. For more information on this episode click here . Show Notes Average Weather in San Antonio Texas, United States—Weather Spark Update on the CBOE BuyWrite and PutWrite Option Indexes, October 2018—Asset Consulting Group The Texas Freeze: Why the Power Grid Failed Katherine Blunt and Russell Gold—The Wall Street Journal His Lights Stayed on During Texas’ Storm. Now He Owes $16,752 by Giulia McDonnell Nieto del Rio, Nicholas Bogel-Burroughs, and Ivan Penn—The New York Times When More Is Not Better: Overcoming America’s Obsession with Economic Efficiency by Roger L. Martin Related Episodes 250: Investing Rule One—Avoid Ruin 283: Why You Should Care About Carry Trades <a href="https://moneyfortherestofus.com/321-complex-inve
Wed, February 10, 2021
Why Do We Work So Much?
How to structure employment so workers are more creative, productive, and happier. Topics include: What percentage of employees work at home due to the pandemic How many hours per week do men and women work in both paid employment and unpaid caregiving How workers have been allocating the time saved by not commuting Why the economy would still prosper if we worked only four hours per day What is the cult of efficiency What is the difference between leisure and amusement Why employers reward busyness at work How work can be more satisfying and create Thanks to LinkedIn and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes 60 million fewer commuting hours per day: How Americans use time saved by working from home by Jose Maria Barrero, Nick Bloom and Steven J. Davis Mental health: C-suite struggles in the pandemic by Rachel Ranosa—Human Resources Director Deep Work (Rules for Focused Success in a Distracted World) by Cal Newport In Praise of Idleness by Bertrand Russell—Harper's Magazine Do Nothing: How to Break Away from Overworking, Overdoing, and Underliving by Celeste Headlee Aristotle's Nicomachean Ethics by Aristotle translated by Robert C. Bartlett and Susan D. Collins <a href="https://www.amazon.com/gp/product/1541617169/ref=as_li_qf_asin_il_tl?ie=UTF8&tag=globalwanderi-20&creative=9325&linkCode=as2&cre
Wed, February 03, 2021
Is Silver the Next GameStop? How to Invest in Silver
Why has silver jumped to its highest price in eight years. What you need to know to invest in silver. Topics covered include: What drove the huge spike in silver purchases How silver differs from meme stocks How hedge funds are positioned with regard to silver What are three ways to invest in silver What is the annual demand and supply for silver What are the reasons to own silver How good has silver been as an inflation hedge What is the gold-silver ratio and how to use it What happened when the Hunt brothers tried to corner the silver market What evidence is there that the silver market is manipulated Thanks to Mint Mobile for sponsoring the episode. For more information on this episode click here . Show Notes Silver Prices Surge to Eight-Year High Amid Reddit-Fueled Frenzy by Eddie Spence, Jake Lloyd-Smith, and Yvonne Yue Li—Bloomberg r/wallstreetbets Silver price retreats rapidly in blow to new retail buyers by Henry Sanderson and Neil Hume ‘What’d You Miss?’ Full Show (02/01/2021)—Bloomberg Silver Price Chart—BullionVault Silver Supply and Demand—The Silver Institute Understanding Futures Expiration & Contract Roll—CME Group Silver $50: Three Years After the “Shortage” by Miguel Perez-Santalla—BullionVault JPMorgan Admits Spoofing by 15 Traders, Two Desks in Record Deal by Tom Schoenberg and Matt Robinson—Bloomberg <a href="https://www.bloomberg.com/news/article
Wed, January 27, 2021
Meme Stocks, GameStop, Short Squeezes, and Bubbles
How coordinated buying by retail investors has turned the table on Wall Street. Are there signs of a market bubble? Topic covered include: What are meme stocks Why GameStop's stock (GME) has soared to over $300 from $17 in less than a month What are short squeezes and gamma squeezes and how they can push up a stock price How short-sellers including hedge funds are losing big against individual investors on the wallstreetbets subreddit Is coordinated buying of options and stocks by individual investors illegal? How market flows into stocks are taking precedence over fundamental data Is the stock market in a bubble and how does the current market environment compare to the 1999 Internet bubble and the 2006 housing bubble? Thanks to Truebill for sponsoring the episode For more information on this episode click here . Show Notes r/wallstreetbets FOR POSTERITY—Almost Daily Grants 1.25.21 GameStop can’t stop going up by Jamie Powell—Financial Times Reddit: bull attack by Jamie Powell and Philip Stafford—Financial Times How WallStreetBets Pushed GameStop Shares to the Moon by Brandon Kochkodin—Bloomberg Submit Your Pick for the Next Meme Stock Here posted by u/AssPowers 2/18/20—r/wallstreetbets 17 CFR § 240.10b-5 - Employment of manipulative and deceptive devices.—Legal Information Institute How'd You Guys Manage to Win so Big it Made These Old Guys Drown in Their Tears? posted by u/bawse 1/24/21—r/wallstreetbets <a href="https://www.bloomberg.com/news/newsletters/2021-01-25/five-things-you-need-to-know-to-start-your-day-kkd7nn2u?sref=eyWGYtvH" rel="noopener norefe
Wed, January 20, 2021
Are You Underweight Chinese Stocks? Pros and Cons of Investing in China
Most global stock ETFs, funds and indices have only about 5% invested in China even though China has the second-largest economy in the world. What are the pros and cons of increasing your allocation to Chinese stocks. Topics covered include: Why has China's economy rebounded faster than other countries What are Chinese A-share stocks How large are China's economy and stock market What are four threats that could derail the performance of Chinese stocks How individuals can invest in China's stock market including A-shares Thanks to SmartAsset for sponsoring the episode. For more information on this episode click here . Show Notes Chinese shares: should you increase the amount in your portfolio? by Sam Dickens—IG Group China A-Shares Definition by Troy Segal—Investopedia China’s Economy Powers Ahead While the Rest of the World Reels by Stella Yifan Xie, Eun-Young Jeong and Mike Cherney—The Wall Street Journal China Still Grew and Fueled Its Rise as Covid-19 Shook the Global Economy by Jonathan Cheng—The Wall Street Journal With Americans Stuck at Home, Trade With China Roars Back by Ana Swanson—The New York Times Buffett Indicator: China Stock Market Valuations and Expected Future Returns—GuruFocus.com MSCI Deletions Trigger Rush to Sell Chinese Telecom Stocks by Jeanny Yu and Sofia Horta e Costa Executive Order on Addressing the Threat from Securities Investments that Finance Communist C
Wed, January 13, 2021
Is Student Loan Forgiveness A Good Idea?
Should the U.S. cancel $10,000 or more of student loan debt per borrower? What would be the economic and financial impact? Why the student loan system is broken and how to fix it. Topics covered include: How large and what is the growth rate of U.S. student loan balances What are the projections for student loan losses What are the pros and cons of forgiving student loans What would be the impact on federal finances of canceling student loans Why the U.S. government is already technically insolvent How student loan programs should be restructured Thanks to LinkedIn and Policygenius for sponsoring the episode. For more information on this episode click here . Show Notes Student Loans Owned and Securitized, Outstanding—Federal Reserve Bank of St. Louise Senate majority gives Biden path to student loan forgiveness by Sylvan Lane—The Hill Schumer pressures Biden to bypass Congress to cancel $50,000 in student debt per borrower by Annie Nova—CNBC Biden will call on Congress to forgive $10,000 in student debt for all borrowers by Annie Nova—CNBC Outreach From Borrowers Could Overwhelm Student Loan System When Pandemic Pauses End by: Sarah Sattelmeyer and Lexi West—PEW Financial Report of the United States Government FY 2019 Warren makes case to Fed chair for canceling student loan debt by Naomi Jagoda—The Hill <a href="https://www.wsj.com/articles/student-loan-losses-seen-costing-u-s-more-than-400-billion-11
Wed, January 06, 2021
The New Math of Retirement Spending and Investing
How should individuals invest and spend in retirement with interest rates so low, stock valuations high, and inflation uncertain. Why retirement managed payout funds and income replacement funds failed. Topics covered include: How managed payout and income replacement funds compare to immediate annuities Why Vanguard and Fidelity changed the objective of their retiree focused income replacement and managed payout funds How fixed annuities work How retirees should combine annuities with multi-asset class portfolios to ensure a successful retirement Why the 4% retirement spending rule is not appropriate for all investors all of the time. Why inflation is the biggest determinant of how much retirees can spend Why is there so much controversy over the current and future inflation rate Thanks to Mint Mobile and Truebill for sponsoring the episode. Show Note Links Vanguard Throws in the Towel on Its Managed Payout Fund by Daren Fonda—Barron's Generating Retirement Income Isn’t Easy, Even for Vanguard by Reshma Kapadia—Barron's Today's Best Multi-Year Guaranteed Annuities (MYGAs)—ImmediateAnnuities.com Opinion: The inventor of the ‘4% rule’ just changed it Brett Arends—MarketWatch The Price of Tomorrow: Why Deflation is the Key to an Abundant Future by Jeff Booth Alternate Inflation Charts—John Williams' Shadow Government Statistics Americans Are Richer Than We Think by By Phil Gramm and John F. Early—The Wall Street Journal For more information on this episode click here . <
Wed, December 16, 2020
Convertible Bonds : The High Return Asset Class That Vanguard Abandoned
How convertible bonds work, why they gained 50% in 2020 and outperformed stocks over the past five years. Why Vanguard shut down their convertible bond mutual funds. Topics discussed include: How big is the convertible bond market Why companies issue convertible bonds How convertible bonds work and how to analyze them Why convertible bonds have performed so well What is a reasonable expected return for convertible bonds and what are the risks What are ways to invest in convertible bonds Thanks to Netsuite for sponsoring the episode. Take the Money For the Rest of Us listener survey. Show Notes A Plunge and a Recovery Drives a Top-Performing Year in Convertibles by Andrew Bary—Barron's Convertible Bond Indices: An Overview by SPDR EMEA ETF Strategy Team—State Street Global Advisors CONVERTIBLE SECURITIES: Structures, Valuation, Market Environment, and Asset Allocation by John P. Calamos, Sr with contributions from Eli Pars—Calamos Investments Tesla, Inc. 2.00% Convertible Senior Notes due 2024 (the “Convertible Notes Offering”) Issuer Free Writing Prospectus—U.S. Securities and Exchange Commission Risk and Return in Convertible Arbitrage: Evidence from the Convertible Bond Market by Vikas Agarwal, William Fung, Yee Cheng Loon, and Narayan Y. Naik The Fluctuating Maturities of Convertible Bonds by Patrick Verwijmeren, and Antti Yang Convertible Bond Arbitrage by George Long—Eureka Hedge For more information on this episode click here . Also, go h
Wed, December 09, 2020
2020 - The Year We Will Never Forget
A review of how the pandemic, financial markets, and government policy evolved in 2020 to make for an unforgettable year. Topics covered include: Why the Covid-19 pandemic ranks as the second worst in modern history What is the difference between risk and uncertainty and how our investing should be different when dealing with uncertainty What portfolio changes did David make in 2020 and how should he have invested if he had perfect foresight Why speculative assets such as gold and cryptocurrencies have performed so well in 2020 Why high savings rate and pent up demand provides a tailwind for the economy How to invest and live when the future is unknowable Thanks to Policygenius and LinkedIn for sponsoring the episode. Show Notes 286: Coronavirus and the Financial Impact of Pandemics 291: How To Survive the Coronavirus (COVID-19) Shutdown Madame Vivelda—Saturday Night Live What Is Risk vs Uncertainty?—Money For the Rest of Us Guide 299: Has the Pandemic Changed You? Personal Saving Rate—Federal Reserve Bank of St. Louis 302: Investing is Not Knowing 310: Why the Stock Market and Economy Are Rebounding So Quickly How 700 Epidemiologists Are Living Now, and What They Think Is Next by Margot Sanger-Katz, Claire Cain Miller, and Quoctrung Bui—The New York Times Paul McCartney Is Still Trying to Figure Out Love by David Marchese—New York Times Magazine For more information on this episode click <a href="https://moneyfortherestofus.com/324-unforgettable-yea
Wed, December 02, 2020
The Economy Is Not a Machine
How the drive for efficiency leads to greater wealth concentration and threatens capitalism. What can be done about it. Topics covered include: Why income growth has slowed for the middle class Why the economy now follows a power-law distribution rather than a normal distribution, leading to skewed outcomes Why the economy is a complex adaptive system rather than a machine How the type of job you have and the company you work for affects your income Why greater efficiency increases the risk of catastrophic collapses What are ways to balance efficiency with resiliency Show Notes Changes in U.S. Family Finances from 2016 to 2019: Evidence from the Survey of Consumer Finances—The Board of Governors of the Federal Reserve How America Banks: Household Use of Banking and Financial Services—Federal Deposit Insurance Corporation When More Is Not Better: Overcoming America’s Obsession with Economic Efficiency by Roger L. Martin How The Economic Machine Works by Ray Dalio—Video For more information on this episode click here . Also, go here to learn more about Money For the Rest of Us Plus membership. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 18, 2020
Why Currency Exchange Rates Matter
How a nation's balance of payments impacts its currency exchange rate as evidenced by Turkey and other countries. Topics covered include: What is a nation's balance of payments, its current account, and its capital account How an individual's personal financial flows are similar to those of a country What is causing the currency crisis in Turkey and Lebanon Why gold imports have increased by 150% in Turkey What is the Triffin dilemma or paradox and how does it impact the United States What individuals can do to manage currency risks Thanks to The Great Courses Plus and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 11, 2020
How To Analyze Complex Investments
How to determine whether you should invest in a complex investment such as an actively managed ETF that uses option strategies. Topics covered include: A recent investment David made that he shouldn't have What is the volatility risk premium and how to invest in it Why there have been over 200 new ETFs and ETNs launched in the U.S. in 2020 Why some ETF sponsors launch lower cost versions of ETFs that compete with their existing offerings. What questions to answer as part of analyzing a complex investment Why there is always a catch to ETFs such as the Innovators Stacker and Ultra Buffer ETF series that can make them seem too good to be true. A simpler way to lower portfolio risk without using complex option-based ETFs. Thanks to Netsuite and LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 04, 2020
Somebody Won the Election. Now What?
As we await the U.S. presidential election results, we review the results of the Trump Administration's economic policies to see if Americans are better off financially than they were four years ago. Topics covered include: Why pollsters and election models can be wrong Why the state of the economy often drives election outcomes What has been the economic impact of the 2017 Tax Cuts and Jobs Act What has been the impact of the U.S. trade war with China How have poverty and health insurance costs changed under the Trump Administration What has been the growth of federal regulations under the Trump Administration How have stocks performed during the Trump Administration Why we shouldn't let whoever wins the presidency ruin our life Thanks to Policygenius and Tempo for sponsoring the episode. Use code David with Tempo for $100 off For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 28, 2020
Here Come Central Bank Digital Currencies
How central bank digital currencies would work, what is the motivation to create them and what are the risks. Topics covered include: What percentage of central banks are working on a digital currency and plan to issue one soon What are the two kinds of money that central banks currently issue and how would a central bank digital currency differ How central bank digital currencies would be similar and different from Bitcoin and other cryptocurrencies What are the benefits and risks of central bank digital currencies What are the design principles that major central banks proposed for their digital currencies What percentage of central banks currently have the legal authority to issue their own digital currency Thanks to Gen Z Green podcast and Masterworks for sponsoring the episode. Use code David for Masterworks to skip the wait list. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 21, 2020
What Are SPACs and Should You Invest in Them?
How special purpose acquisition companies work, what their performance has been and what are the ways to invest. Topics covered include: How much money has been raised in SPAC initial public offerings and who are some of the better known sponsors What are the benefits of a SPAC acquisition compared to a traditional initial public offering How SPACs work from the initial IPO to the acquisition of a private company How have SPACs performed so poorly How a new SPAC ETF is structured An intriguing way to invest in SPACs that potentially could outperform Thanks to Tempo and NetSuite for sponsoring the episode. Use code David to save $100 on Tempo. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 14, 2020
How to Buy in a Hot Housing Market
U.S. home prices are on fire and sales are skyrocketing. Here are 8 rules of thumb for buying a house in a hot housing market when there are multiple bidders over the asking price. Topics covered include: What are the latest metrics on U.S. home sales, prices, and valuations Why are homes sales increasing and prices soaring and how likely are they to fall Why David is buying a different house (again) in a hot housing market What are rules of thumb that can help us find the right house without paying too much Thanks to The Great Courses Plus and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Bonus · Wed, October 07, 2020
Vacation Special: A Discussion with David's Former Investment Firm
This episode is an interview that Fund Evaluation Group LLC held with David as part of their FEG Insight Bridge podcast series. Topics covered include: What David did and learned at FEG What goes into making the Money For the Rest of Us podcast Central banking and the Federal Reserve Investing in gold and cryptocurrencies Current investment conditions Favorite investing books See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 30, 2020
Paper, Rocks or Digits: What Makes the Best Money?
What are the elements of a successful monetary system. Topics covered include: The stone currency of Yap The fiat currency of ancient China Why money requires trust, accounting and tokens Why too much money can lead to inflation and too little to deflation Why the best money is useless other than as money Thanks to LinkedIn and Candid for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 23, 2020
Are We Being Forced to Buy Stocks
How ultra-low interest rates support higher stock market valuations but also make the investment environment more challenging. Is there a stock market bubble? Topics covered include: How expensive are stocks on an absolute basis and relative to bonds What are examples of individual investor enthusiasm for stocks Why stock valuations and prices increase when interest rates fall Why lower interest rates make it more difficult for central banks to support stocks during a downturn Why TIPs might be a better choice for a long-term bond allocation Why deglobalization is a reason to increase the geographic diversification of stock portfolios How investors can make invest decisions without having an informational edge Thanks to Masterworks and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 16, 2020
How to Not Have a Lost Decade
What are four principles individuals can follow to achieve their financial and career goals this decade despite the rough start in 2020. Why we have to be willing to share our journey with others so that they are vested in our story Why it's important to focus on areas where we have momentum How to prudently use leverage in order to build an asset The importance of urgency, hope, and putting on an event so that we can achieve our business goals How asset allocation and portfolio holdings differ depending on the time horizon for the pool of money Why we need more control of investing outcomes when the time horizon is short Thanks to NetSuite and Trends for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 09, 2020
No One Is Entirely A Buy and Hold Investor
What are the numerous decisions individuals have to make in managing their investments portfolios. Topics covered include: Why individual investors in order to build and preserve wealth should invest like family offices and university endowments Why even buy and hold investors make portfolio changes What are examples of the numerous decisions individuals have to make in overseeing their investment portfolios How badly has value investing underperformed growth investing How are mindset should change when it comes to investing Thanks to Policygenius and Chili for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 02, 2020
What the Federal Reserve's New Policies Mean For Your Finances
The Federal Reserve just updated its policy tools. What impact could that have on inflation, interest rates and your investments. Topics covered include: Why is the Federal Reserve more transparent in its communication than it used to be. What are the Federal Reserve's Congressionally mandated goals. What are four economic developments that has caused lower inflation and motivated the Fed to adjust its strategy for achieving its goals. Why inflation could be higher than the Fed's 2% target What might the Federal Reserve do now that it has adjusted its strategy What will it take for inflation to increase? What can individuals do financially in a low return, low yield environment Thanks to LinkedIn and Candid for sponsoring the episode For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 26, 2020
Did ETFs Pass the 2020 Market Collapse Stress Test?
How did ETFs function during the 2020 market sell-off and did the indexing bubble burst? What ETF structures failed the stress test and which passed. Why were some investors, like Michael Burry, concerned about an indexing bubble What are ETF risks such as flash crashes How did equity ETFs function during the spring 2020 sell-off and how they can act as shock absorbers What were some of the challenges that bond ETFs faced in March 2020 How the rise in bond ETFs is leading to changes in how bonds are traded Why leveraged ETFs and oil-linked ETFs failed the stress test What caused the dysfunction in the U.S. Treasury market in March 2020 What are the advantages of ETFs and why they are still a good product for long-term investors Thanks to The Great Courses Plus and Chili for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 19, 2020
Why the Stock Market and Economy Are Rebounding So Quickly
How the current global recession differs from the Great Financial Crisis and why the recession is probably over. Topics covered include: Why the current recession has no debt and banking crisis Why lower-income workers are disproportionally harmed by the current recession How the federal government and central bank responses differed between the current recession and the 2008-09 recession. Do increased unemployment benefits disincentivize workers Why the recession is probably over, but it could take months or years to recover the lost output What factors will determine the impact a Covid-19 vaccine will have on the economy Thanks to Chili and Trends for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 12, 2020
Investments to Fight Financial Repression
What are some investments that can generate a cash yield greater than inflation in an era when central bank policies keep government bond yields lower than the inflation rate. Topics covered include: How low are interest rates around the world What have inflation rates been and what causes inflation and deflation What is financial repression Why are central banks keeping short-term interest rates so low What determines interest rates How I-bonds work Why active bond mutual funds can be helpful The pros and cons of preferred stock How to harvest the volatility risk premium How dividend-paying stocks can help fight financial repression Thanks to NetSuite for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 05, 2020
Coins and Cash: Shortages, Hoardings, and Threats
What is the cause of the current U.S. coin shortage and when have there been other shortages. Why is there a push to get rid of both the penny and the hundred dollar bill. Topics covered include: How many coins does the U.S. Mint produce each year and why hasn't it been enough to avert a coin shortage in 2020. How the U.S. coin shortage in the early 1960s differs from today. How much profit does the U.S. Mint make producing coins even though it loses money minting both pennies and nickels. How often and under what circumstances do U.S. consumers pay with cash. Why the U.S. penny should be discontinued. Why companies and individuals are hoarding cash, mostly in one hundred dollar bills. Why the existence of one hundred dollar bills would impede the effectiveness of negative interest rates in the U.S. Why has the U.S. mint sold 300% more ounces of gold coins in 2020 compared to last year. Thanks to Chili and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 29, 2020
Income Share Agreements - Good For Students or Investors?
What are the pros and cons of income share agreements for partially funding higher education. Are investing in ISA's a viable opportunity? Topics covered include: How do income share agreements (ISAs) differ from student loans for funding higher education costs. Are ISA's really a partial form of slavery or indentured servitude What are the components of an ISA contract. How adverse selection, differential pricing, moral hazard, and a lack of regulation pose challenges to income share agreements. What is an internal rate of return and why is it the best metric for estimating the return of investing in ISAs. How students should evaluate ISA's relative to loans. What are some pricing examples for specific ISAs What options exist for investing in ISAs. Thanks to LinkedIn Jobs and Trends.co for sponsoring the episode For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 22, 2020
Three Approaches to Asset Allocation
What are the three primary ways to allocate assets and build a portfolio when saving for retirement or living in retirement. Topics covered include: How saving for retirement and living in retirement differ. What are the expected return and risk of the Permanent, Golden Butterfly, and All Season portfolios. What are the pros and cons of a role-based permanent portfolio. What are the pros and cons of a strategic portfolio mix, such as the Bogleheads Three Fund Portfolio What are the pros and cons of an adaptive asset garden portfolio. Thanks to NetSuite and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 15, 2020
Are Banks Safe?
Is a bank collapse coming due to bank exposure to collateralized loan obligations as defaults increase? Topics covered include: What are collateralized loan obligations (CLOs), how are they structured, and what has been their historical default rates. How much exposure do banks have to CLOs and will it impact your bank savings and investments. What are bank capital ratios and how are they calculated. How banks are more conservatively run due to the adoption of the Basel III regulatory framework. What are bank stress tests and how have they performed. Why the Federal Reserve just capped dividends for the largest U.S. banks. How many U.S. banks have failed during the pandemic crisis compared to the Great Financial Crisis. Thanks to Simplifi and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 01, 2020
A 15% Guaranteed Return? Lending on the Fringes of Finance
An analysis of the returns and risks of different lending platform options including asset-based lending, unsecured peer-to-peer lending, cryptocurrency lending and a cash advance company that promises to pay a 15% annual percentage yield. Topics covered include: U-haul Investors Club and other asset-based lending options DriverLoans Investor Club that promises a 15% guaranteed return BlockFi - cryptocurrency lending with yields over 8% LendingClub and why returns are only 4% to 5% The economics of cash advance and payday loan lending businesses Thanks to LinkedIn and Aspiration for sponsoring the episode. Text the word David to 64000 to open an Aspiration Save and Spend Account. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 24, 2020
How to Do Financial Planning
Why individuals should use a more agile approach to investing and financial planning. Topics covered include: How to incorporate low probability catastrophic events in your financial plans. How traditional financial planning differs from agile financial planning. Why we need to test-drive our financial plans. How too much efficiency can lead to a lack of resilience. How David's portfolio is allocated using a role-based flexible bucket approach. Thanks to Policygenius and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 17, 2020
Investing Is Not Knowing
How successful investing requires judgment and humility not accurate forecasting ability. Topics covered include: Why pretending to know when you don't is harmful. Why true experts admit their limitations. Why David recently increased his allocation to stocks in his portfolio. How the number of new retail brokerage accounts has exploded. How the stock of the bankrupt company Hertz is a great example of how not to invest. What is privilege and what should we do about it. Thanks to NetSuite and Aspiration for sponsoring the episode. To open your Aspiration Spend and Save cash management account, text DAVID to 64-000 For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 03, 2020
Use Caution with Alternative Investments
How alternative investment opportunities, such as venture capital, private equity, real estate and real assets, are increasing for individuals. Why these opportunities differ from what is available to institutional investors and how to evaluate them like a pro. Topics covered include: What are alternative investments and how are they structured. What are 5 factors that determine alternative investment returns. Lessons from three recent alternative investment deals including one that defaulted. How to evaluate alternative investment opportunities. Thanks to Simplifi and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 27, 2020
Ray Dalio and the Changing World Order
What are the forces that lead to the rise and fall of nations. Why does the U.S. appear to be in decline and what investors can do to prepare. Topics covered include: An overview of Ray Dalio and Bridgewater Associates' investment process Why human productivity is the most powerful force for creating wealth. Additional forces that contribute to nations increasing in power and wealth. Why being the reserve currency is an exorbitant privilege. What are factors that indicate a nation's influence and power is in decline. What are 5 important monetary principles all investors should understand. What are the questions you should ask to gauge your economic well-being. What investments should you own to prepare for a changing world order. Thanks to LinkedIn Learning for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 20, 2020
Has the Pandemic Changed You?
A look at growing patterns consumers and businesses are adopting as a result of the Covid-19 pandemic. Topics covered include: Two constants in a radically unpredictable world How removing things is more powerful than adding things How airline travel will change, leading to more local travel Why bicycle sales are soaring How our social interactions are changing What is local maxima How the forces of money, trust, technology, and climate change have played out in the aftermath of the pandemic. Thanks to The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 13, 2020
The Stock Market Is Not the Economy
How the stock market differs from and can perform differently than the economy while remaining highly dependent on the economy for its success. Topics covered include: Why the stock markets in countries with lower economic growth performed better than the stock markets in countries with higher economic growth. How the top 5 stocks in the S&P 500 Index have the largest weighting in 30 years and what will it takes for these stocks to outperform the market. What are the largest contributors to U.S economic growth, most of which are not publicly traded. How the U.S. government and the Federal Reserve saved the stock market. How have stocks performed during economic recessions. Why it is risky for investors to be dependent on the financial prospects of the largest technology stocks. Thanks to Grammarly and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 06, 2020
How to Protect Your Savings
How to protect your savings from monetary threats like devaluation. Why high yield savings accounts exist, and are they worth it. Topics covered include: Why Lebanon defaulted on its national debt and announced it will devalue its currency by 57%. Why some depositors in Lebanon will probably lose some of their bank savings. What investors can do to protect themselves from currency devaluations. What are stablecoins and why are they useful. Why some online banks pay above-average interest rates on savings accounts. Why banks need to attract new deposits even though they create deposits when they make a loan. Thanks to Mint Mobile and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 29, 2020
Why Negative Prices Exist and What They Can Teach Us
Why the oil price fell below zero and what are other examples of negative prices. What lessons can we learn from negative prices. Topics covered include: How oil futures work and why the oil future prices fell below zero for the first time ever. Why has the United States Oil ETF (USO) lost so much money. How ETF authorized participants create new shares only so they can be shorted. How storage problems for oil and electricity can lead to negative prices. How negative interest rates are another form of negative prices. Why sellers will pay buyers to deliver a service to them. What financial lessons can we learn from negative prices. Thanks to LinkedIn Learning and The Investor's Podcast for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 22, 2020
Federal Reserve Insolvency and Monetizing the National Debt
How central banks can become insolvent and why it can lead to hyperinflation. What are four ways the Federal Reserve and the U.S. Treasury could monetize the national debt. Topics covered include: What are the major asset and liabilities of the Federal Reserve How does the Federal Reserve make a profit and what happens if it suffers a loss. How has the Federal Reserve has significantly expanded the types of assets it will hold and what are the risks. What could cause the Federal Reserve and other central banks to become insolvent. What are the constraints central banks face. What are four ways the U.S. national debt could be monetized. How investors can protect themselves against central bank insolvency. Thanks to The Great Courses Plus and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 15, 2020
How Stories Go Viral and Drive Economic Events
How the stories we tell ourselves lead to economic change. What are current pandemic related narratives that are impacting financial markets and the economy. Topics covered include: Examples of mathematical models for epidemics. What are the risks when the global economy is opened again. Under what circumstances do individuals rely on anecdotal evidence rather than statistics. What are some propositions that underly how economic narratives spread. What are some examples of major narratives that impact the economy. How humans have a bias toward action and how to deal with that when the best course is to stay in place. Should investors be increasing their stock exposure now that the markets are rallying and central banks are taking aggressive action. Thanks to Policygenius and LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 01, 2020
Decision Making: Uncertainty versus Risk
What is the difference between risk and uncertainty and how our decision making approach should differ under each scenario. Why pandemics are highly uncertain and should be treated as such. Topics covered include: How the coronavirus pandemic is far worse than other pandemics this century. How humans have a difficult time accepting that things won't return to normal. What is the difference between risk and uncertainty. How we make decisions should differ if something is uncertain versus risky. What is the minimax regret approach to making decisions under uncertainty. How stories help us deal with uncertainty. How the story driving financial markets has changed. What is the duration and severity of bear markets during a recession and how large have bear market stock rallies been. What will it take for the pandemic to end and to be more confident about the future. Thanks to Mint Mobile and Grammarly for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 25, 2020
Will Infinite Money Save the Economy
What central banks such as the Federal Reserve and federal governments are doing to counteract the negative impact of the pandemic related economic shutdown. What are the risks of this massive monetary and fiscal stimulus and how to mitigate those risks. Topics covered include: How central banks have the capacity to create an infinite amount of money. How the Federal Reserve is using its money-printing ability to stabilize the financial system and reduce the negative impact of the pandemic related economic shutdown. What are the mechanics of quantitative easing. What are examples of stimulus programs during the Great Depression that didn't work because they were too focused on social engineering. How massive central bank and government stimulus could lead to inflation or deflation. How inflation-indexed bonds such as Treasury Inflation Protection Securities can help reduce inflation risk, and why owning individual TIPs is particularly attractive right now. Why it's okay for investors with a long time horizon to ride out the current market turmoil without reducing risk. What are current and leading economic indicators suggesting about the severity of the economic shutdown and the potential for recovery. Thanks to LinkedIn Learning and Rad Power Bikes for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 18, 2020
How To Survive the Coronavirus (Covid-19) Shutdown
How to avoid ruin and help others avoid ruin as the economy shuts down to slow the spread of the coronavirus. Topics covered include: What is the precautionary principle and how can it help us make important decisions with regards to the coronavirus pandemic. How many people could be infected with Covid-19 in the next 30 to 60 days at the current daily growth rate. Why investment managers are selling assets to reduce their market exposure. Should individual investors be increasing or reducing their exposure to the stock market in the current market environment. How recent actions by the Federal Reserve suggest they think a U.S. recession is imminent. What can individuals locked down at home do to survive mentally and emotionally. What we can do to help businesses avoid ruin during the pandemic crisis. Thanks to Netsuite and Rad Power Bikes for sponsoring the episode. Text the word RAD to the number 64-000 to get a free accessory with the purchase of a bike. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 11, 2020
What Are Closed-End Funds and How Do You Invest in Them?
Why closed-end funds are David's favorite investment vehicle, particularly during market panics. What are the unique characteristics of these funds and what are successful strategies for investing them. Topics covered include: How closed-end funds differ from open-end mutual funds and ETFs. Why most closed-end funds are bond funds and use leverage. Why closed-end funds can sell at large discounts and premiums. What are managed distribution programs. How to evaluate and select closed-end funds. What is the Income Factory approach to closed-end fund investing. Thanks to LinkedIn and The HPScast for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 04, 2020
Market Timing Versus Time in the Market
Why most investors practice both market timing and time in the market. Why it is okay to reduce stock exposure given the coronavirus pandemic threat. What would a stock portfolio return that misses the best or worst days and how likely is that. How do rolling 30-year stock returns differ depending on the starting point. Why are stocks likely to outperform bonds over the next 30 years. What is sequence of return risk. What is market timing. Why long-term investors should never move completely out of the stock market, but it is still okay to adjust stock exposure based on market conditions. What are some additional rules of thumb for market timing. How the coronavirus pandemic has increased financial and economic risks and what to do about it. Thanks to Policygenius and Mint Mobile for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 26, 2020
Will Early Retirements Crash the Economy
Almost half of Millennials want to retire early. Will that hurt economic growth? There were similar concerns in the 1920s that early retirement would wreck the economy. In fact, there was significant pushback against retiring at all due to fears retirements would destroy the economy. Yet, the Great Depression still came. In this episode, we consider what ended the Roaring Twenties, caused the Great Depression, and how early retirements impact the economy. Topics covered include: What is the paradox of thrift and how does it apply to early retirement. Why the 1920s were called the Roaring Twenties. Why the work culture in the 1920s was for workers to not retire, but "die in the harness." What caused the Great Depression. How economies and job markets adapt over time. How waves of early retirements could change the economy. Thanks to LinkedIn Learning and Vistaprint for sponsoring the episode. Use promo code David to get free shipping from Vistaprint. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 19, 2020
What Causes Hyperinflation and What To Do To Prepare For It
What factors lead to hyperinflation, why it is so devastating, how hyperinflation can be overcome and what can individuals do to be prepared for hyperinflation. Topics covered include: What causes inflation and how do central banks manage it. How the causes of hyperinflation differ from more normal levels of inflation. What is the biggest challenge of living in a country with hyperinflation. How Zimbabwe and other countries were able to overcome hyperinflation and how Venezuela is slowly taking steps to combat hyperinflation. Why Zimbabwe is again experiencing high inflation. How individuals can protect against inflation. What individuals can do to prepare for hyperinflation in case it comes. Thanks to Netsuite and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 05, 2020
Coronavirus and the Financial Impact of Pandemics
How pandemics have impacted the economy and financial markets. Where does the coronavirus rank in severity compared to other pandemics. What portfolio changes, if any, should investors make in response to the coronavirus pandemic. Topics covered include: Definition of a pandemic The worst pandemics in the 20th and 21st centuries What are the factors in determining the severity of the coronavirus' impact What are the economic ramifications of the coronavirus. How did financial markets perform during previous pandemic episodes. Are there portfolio changes investors should make in response to the coronavirus Thanks to Policygenius and LinkedIn Jobs for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 29, 2020
Money Is Debt
How most money, such as currency, bank deposits, money market mutual funds, and repurchase agreements, is really short-term debt, often backed by other debt. As a result, money is subject to runs when investors lose confidence and don't want to own it. That can lead to financial crises. Topics covered in this episode include: How counterfeiting currency works. Why most money is debt backed by debt. How a loss of confidence in money leads to bank runs and other financial crises. How demand for U.S. Treasuries as collateral is keeping interest rates low even though the U.S. federal budget deficit is growing. Why the Federal Reserve is considering capping interest rate yields on U.S. Treasuries and what are the risks of doing so. What can individuals do to protect themselves against financial crisis caused by runs on banks and financial securities. Thanks to Vistaprint for sponsoring the episode. Use promo code: "david" to get free shipping. Also thank you to The Bouqs Company for sponsoring the show. Use promo code: "david" to get 25% off. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 22, 2020
We Are All Financially Vulnerable
How to protect against financial hardship and assist others who are struggling financially. Topics covered include: Why are so many families leaving Central America and seeking to enter the United States. How have U.S. immigration patterns changed. Why immigration leads to higher economic growth. Why unsheltered homelessness is increasing around the world and what strategies have been effective in reducing homelessness. What can individuals do to assist the homeless and others who are in financial distress. Note: The original audio file stated that "oftentimes they [the ayslum seekers] wouldn't ever show up for their court case." That is an inaccurate statemen t. Most asylum seekers attend their court hearing. The audio has been modified to remove the inaccuracy. Thanks to The Bouqs Co. for sponsoring the episode. Use code: david. Also thanks to Policygenius for being a long-time sponsor of the show. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 15, 2020
Why You Should Care About Carry Trades
How investors make money with carry trades, how central banks encourage such trades, and what are the dangers to financial markets and the economy when carry trades get too big. Topics covered include: What are the attributes and examples of carry trades. Why do carry trades exist even though investors can suffer massive losses. What was Volmageddeon and Francogeddan. How central banks are the largest carry traders and their actions encourage even more carry trades. Why carry trades are deflationary and lead to systemic risk. What should individual investors do about carry trades and how to take advantage of carry crashes. Thanks to Robinhood and NetSuite for sponsoring the episode For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 08, 2020
Is GDP the Best Measure of Happiness and Well-being?
What factors determine the well-being of an individual or nation and why gross domestic product is an inadequate measure of prosperity. Topics covered include: Evidence many Americans are poorer than before the Great Recession. Why life expectancy in the U.S. is falling. How satisifiedare U.S. citizens. What is GDP and why is the U.S. Bureau of Economics developing a new methodology What are the flaws with GDP and why does it fall short in measuring well-being. Which countries around the world are the most and least happy and what are the factors that contribute to that happiness. Why were U.S. founding fathers worried about too many luxuries. How the U.S. in the 19th century followed the same manufacturing model that China does today. Thanks to Policygenius and LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 18, 2019
Four Forces That Will Shape the Next Decade
How climate change, money, trust and technology will interact to impact financial markets and the economy in the coming decade. Topics covered include: Why we change much more over a decade's time than we predict. What is the best approach for transitioning to a new career. What have stocks and bonds returned over the past decade and what are reasonable return expectations for the decade ahead. Examples of how the impact of climate change is being priced into financial transactions. Why Ray Dalio thinks the world has gone mad and the system is broken. Why uncertainties regarding the creation, use and borrowing of money will be reflected in interest rates. How trust and technology will impact global trade and productivity growth. Thanks to Cove and Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 11, 2019
Travel and the Trust Economy
How is it the global economy still functions even though most individuals do not trust brands, public institutions or each other. Topics covered in this episode include: The low level of interpersonal trust around the world What is social capital and how it facilitates a trust economy. What are the incentives that encourage individuals and businesses to produce goods and services rather than steal from each other. How does trust impact economic growth. Does traveling harm or help local residents. Thanks to Masterworks and LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 04, 2019
Why All Retirees Should Consider an Income Annuity
How a safety-first retirement approach using income annuities is more predictable and takes less money than depending entirely on your investment portfolio to fund your retirement. Topics covered include: The difference between a safety-first and probability-based approached to retirement. How income annuities work. Why setting a sustainable retirement withdrawal rates requires planning for below average market returns and above average life expectancy. How using an income annuity and other guaranteed income to fund basic living expenses means not having to set a sustainable withdrawal rate. How long can retirees expect to live. Why most retirement portfolios are not as liquid as retirees think. Why are retirees hesitant to use income annuities and how to overcome the fear of doing so. Thanks to Policygenius and Vistaprint for sponsoring the episode. Use code David50 for Vistaprint. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 20, 2019
You Have Permission to Spend
Two Money For the Rest of Us podcast listeners are struggling with spending money. The first listener is 22 and lives in Canada. He feels as if his money is going everywhere such as saving for a house, car, and retirement, but very little goes to things he enjoys. The second listener is 46 with a $2 million net worth, but in his case, he finds he doesn’t enjoy spending money on himself. He is willing to spend money on his wife and two children, but he still finds himself feeling tight, fearful and worried about money and his business, even though he has plenty of wealth and is close to his goal of financial freedom. In this podcast episode, we consider the standard to use to determine how much to spend on ourselves. Topics covered include: The most difficult part of figuring out how much is enough. What is the Voluntary Simplicity movement and how it can help us decide where to spend our money. What is the difference between comforts and luxuries. What is the difference between joy and pleasure. What is a simple filter we can use to determine where to spend money. Thanks to Masterwork and NetSuite for sponsoring the episode. For show notes and more information on this episode click here . See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 13, 2019
How ETFs Are Changing
How regulatory changes could lead to a boom in new ETFs, including actively managed ETFs. Why ETFs continue to be one of the most innovative, cost effective and tax efficient investment vehicles. Topic covered include: How big is the ETF market relative to mutual funds. What are the benefits of ETFs that have allowed them to gain market share from mutal funds. What are some of the negatives with ETFs. What has changed to make it easier for sponsors to launch new ETFs. How do non-transparent actively managed ETFs work. What are some examples of more complicated, outcome-based ETFs. Thanks to LinkedIn and SleepNumber for sponsoring the episode. For show notes and more information on this episode click here . [2:45] The benefits of ETFs [8:40] Challenges with ETFs [12:50] The rules that have changed [15:25] What is an AP Representative? [18:40] Should you invest in actively managed ETFs? [21:30] All about outcome Based ETFs [26:20] Understand what drives performance See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 06, 2019
Don't Retire, Settle Instead
How to find your unique work that can bring satisfaction and income before and during the traditional retirement years. Topics discussed in this episode include: What is settled work. Why you need time and space to find and do your best work. What is a commonplace book and why it can be helpful. How filters and saying no can help us control our time. The important role of serendipity in finding our path. Thanks to The Great Courses Plus and Vistaprint (use code David50) for sponsoring the episode. For show notes and more information on this episode click here . [0:20] An antique lamp store in Phoenix [3:10] The concept of “Settled Work” [5:30] How do we find our settled work? [7:40] David’s commonplace book [12:15] Why we need settled work [15:00] Take time to reflect [16:05] Take back control of your time [18:00] The art of saying “no” [21:00] Capturing Serendipity See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 30, 2019
Are You Over Diversified?
Is it possible to be too diversified and how can you tell? Why Warren Buffet thinks diversification is protection against ignorance. Topics covered include: The skills you need to be able to select individual stocks. How have active managers outperformed relative to passive indexing products. How much diversification is too much and a test to determine if one is over diversified. What is factor investing and which factors have worked over the past 200 years. Thanks to LinkedIn and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . [2:22] Exploring the concept of over-diversification [5:25] Should you pay for an investment advisor to select individual stocks? [8:05] An individual investor should choose index funds [11:10] Determining how much diversification is enough? [13:37] Weighing the cost against the benefits [16:10] When being over diversified is possible [17:05] Analyzing the listener question regarding over-diversification [20:20] A Fascinating study analyzing 200 years of factors [25:08] Layer on additional value factor See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Bonus · Fri, October 25, 2019
BONUS - Audiobook Excerpt from Money for the Rest of Us: 10 Questions to Master Successful Investing
David's book Money for the Rest of Us: 10 Questions to Master Successful Investing is now available (at least the e-book version). To celebrate, here is a bonus episode with excerpts from the forthcoming audiobook. Please enjoy the Introduction and Chapter One. Also, as part of the book launch, David will be hosting an Ask Me Anything (AMA) on Reddit on Wednesday, October 30, 2019 at 1PM Eastern time. Please join us. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 23, 2019
10 Questions To Master Successful Investing
What are the timeless principles we can follow in order to become better investors. Topics covered in this episode include: How a book's permanence makes it different from a podcast. How David's book got written and published and why his publisher just recalled the hardcover version of the book. What are the 10 questions we should answer before we invest in anything. Thanks to NetSuite and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . [0:20] How David decided to write a book. [3:00?] The right book can change your life . [4:20] The art of writing a book. [7:00] The extensive process of writing a book. [9:57] Recording the audiobook. [11:32] Question 1: What is it? [13:36] Question 2: Is it investing, speculating, or gambling? [14:32] Question 3: What is the upside? [15:54] Question 4: What is the downside? [16:42] Question 5: Who is on the other side of the trade? [18:06] Question 6: What is the investment vehicle? [18:58] Question 7: What does it take to be successful? [20:20] Question 8: Who is getting a cut? [21:03] Question 9: How does it impact your portfolio? [22:05] Question 10: Should you invest? [23:06] What happened to the book launch See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 16, 2019
What is an ETN? - Understanding Exchange Traded Notes
What are the benefits and risks of investing in exchange-traded notes (ETNs) compared with ETFs. Topics covered include: How big is the market for ETNs compared with ETFs. How ETNs can do a better job tracking their target index than ETFs. Why ETNs can be more tax-efficient than ETFs.. How ETNs have counterparty risk, pricing risk, and liquidity risk. Under what circumstances would an ETN be preferred over an ETF. Thanks to WIX and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . [0:21] ETPs, ETFs, and ETNs—which is the most popular? [3:10] Exchange-Traded Notes exhibit low tracking error. [5:28] ETNs are vastly more tax-efficient than ETFs. [6:14] Examples of Exchange Traded Notes. [10:16] Should there be a default-risk discount on ETNs? [13:34] Why there is issuance and closure risk with ETNs. [17:21] Clarification on the term “Net Asset Value” when referring to ETNs. [17:58] The issues of illiquidity risks and high fees. [20:46] Exchange Traded Notes are a niche product. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 09, 2019
Is Inflation Measured Wrong?
Why some analysts believe the Consumer Price Index formula understates inflation while others believe the CPI formula overstates inflation. What really matters to us individually when it comes to inflation. Topics covered in this episode include: What is inflation and what causes it. How is the Consumer Price Index calculated and how has the CPI formula changed over time. What are examples of different CPI measures. Why do some analysts believe U.S. inflation is higher than what CPI states while others believe inflation is lower than what the Consumer Price Index shows. How inflation calculations impact the measurement of other economic data such as the rate of poverty and the growth in real wages. What are consumer attitudes toward inflation and why do central banks worry about changes in household and business inflation expectations. How individuals can monitor and improve their cost of living. Thanks to Sleep Number and Money For the Rest of Us Plus for sponsoring the episode. For show notes and more information on this episode click here . [0:18] Traditional methods of measuring inflation. [4:00] The CPI has changed from a fixed-basket approach to a consumer-representative approach. [6:39] The controversy concerning the accuracy of CPI measurement. [9:11] Is inflation overstated because of how the CPI-U is calculated? [11:23] Rwanda case study: the connection between inflation and poverty. [15:17] Why governments care so greatly about the public’s view of inflation. [17:31] How inflation expectations are measured. [18:52] How do we calculate the desired standard of living? [20:41] The CPI isn’t an accurate depiction of the standard of living. [24:20] Are you satisfied with how you spend your money? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 02, 2019
Financial Independence Is a Choice
Why true financial independence means eliminating financial vulnerability including not being overly reliant on stock market appreciation. Topics covered in this episode include: What does it mean to be financially vulnerable. What are the two paths to financial independence. Why we shouldn’t stake our financial independence and early retirement on the historical performance of stocks and bonds. What are the rules of thumb we can use to develop reasonable assumptions for stocks and bonds and how those assumptions will lead to lower portfolio balances compared to using historical returns. What has historical earnings growth been for U.S. stocks. Why stock buybacks will be less in the future due to high debt balances unless companies grow their revenues and overall earnings. How are actions lead to financial independence even when it is difficult. Thanks to Vistaprint and WIX for sponsoring the episode. For show notes and more information on this episode click here . [0:17] Being financially independent begins with a decision. [2:33] Protecting yourself against financial vulnerability. [4:14] Should you solely rely on investment returns for financial stability? [7:52] Estimating the returns of asset classes. [13:40] Earnings per share drives the returns of the stock market. [17:31] Build an active and flexible strategy for financial stability. [22:49] Uncertainty doesn’t negate the positive effect of small actions. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 25, 2019
Repo Rates Soared—Here's Why It Matters
How a liquidity crunch in the short-term lending markets sent interest rates soaring. Why this is a huge blunder on the part of the Federal Reserve, and what it means for us as individual investors. Topics covered in this episode include: What are repurchase agreements and how are they used to finance U.S Treasuries. How outflows from money market funds and hoarding by banks led to a liquidity crunch that caused repo rates to spike to 10%. Why banks are hoarding reserves held at the central bank even though there are over $1.4 trillion of them, up from $20 billion in 2007. How quantitive easing increases reserves and quantitative tightening reduces reserves. How the Federal Reserve was able to stop the disruption in the repo market, even though the central bank was caught off guard and could have prevented it. How individual investors can protect themselves from unintended consequences arising from the unconventional policies and experiments being conducted by the Federal Reserve and other central banks. Thanks to The Great Courses Plus and LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . [0:20] The Fed loses control over policy rates, and repo interest rates soar. [2:19] What is a repurchase agreement (repo)? [5:02] Why the big players in repos pulled back on Sept. 16th. [8:38] Banks need more liquidity because of regulations. [12:53] Why reserves have fallen so low. [17:43] How does the reserve balance get reduced? [19:23] The Fed may have shrunk it’s balance too far. [21:36] What can be done about the reserve shortage? [24:17] What can we learn from the repo rate raise? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 18, 2019
How the Public Sector Pension Crisis Will Impact You
Why most state and municipal pension plans are underfunded and why that could lead to higher taxes and reduced government services. Why participants in state government retirement systems have greater protection against benefit cuts than participants in municipal retirement systems. Topics covered include: How defined benefit plans work. Why there is more subjectivity regarding valuing a pension plan's liabilities compared with its assets. What does it mean for a pension plan to be underfunded, and why are so many public sector pension plans in that situation. Under what circumstances can a pension plan cut benefits to beneficiaries. Why underfunded pension plans will most likely lead to higher taxes and reduced government services. Thanks to WIX and Peloton for sponsoring the episode. For show notes and more information on this episode click here . [0:18] The crisis of underfunded defined-benefit state and city pension plans. [2:32] Calculating the financial value of a public pension plan. [4:46] What rate of return should public pension plans use? [8:44] Why public pension plans are highly underfunded. [11:34] Kentucky’s 13%-funded pension plan raises red flags. [13:37] Failing to meet the needs upfront causes a funding crisis down the road. [15:33] Why states cannot go bankrupt but cities can. [17:52] How do public sector pension plans affect tax-payers? [20:18] How states and cities are trying to solve the crisis. [21:45] Considering underfunding when deciding what to invest in or where to live. [24:09] How private-sector pension plans could possibly affect tax-payers. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 11, 2019
How to Better Manage Risk
What are the three steps to better manage risk and get what you really want. Topics covered in this episode include: Why goods and services that lessen risk tend to cost more. What is the three-step process for assessing and managing risk. Why defining the risk-free option or asset is critical to managing risk. Why immediate annuities are the retirement risk-free option rather than a conservative investment portfolio. What are the two types of risk and how do we mitigate them. What is the difference between hedging and insuring against risk. Thanks to Dashlane and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . [0:17] Weighing the risk and knowing how to make a decision under uncertainty. [5:00] Three steps for assessing and managing risk. [9:11] Finding the risk-free asset in a retirement plan. [14:36] Idiosyncratic & systemic risk. [16:40] De-risking and using hedges to create a risk buffer. [20:22] Identifying a sound insurance operation. [23:36] Using flexibility as a risk management strategy. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 04, 2019
How Capitalism Gets Off Track
How inequitable business models like those in the gig economy can lead to a financial crisis, more regulation, and doubts about the viability of the free-market system. Topics covered in this episode include: What is the expanded role of corporations according to leading chief executive officers. What is the gig economy. Takeaways from David’s recent experience delivering restaurant meals for Doordash including the huge liability many independent delivery drivers are unaware of. Who covers the shortfall when the cost of operating a business is less than what consumers are willing to pay for the goods and services the businesses offer. How more regulation results from businesses unfairly passing on costs to others. How income inequality and debt can lead to a financial crisis. Thanks to Policygenius and Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . [0:18] Is Capitalism still working for everyone? [2:12] David’s disappointing gig economy experience. [6:53] The hidden cost of insurance in gig jobs. [9:04] Who pays to close the financial gap created by gigs? [14:27] The pitfalls of the gig economy. [16:17] What makes capitalism work? [19:29] Income inequality is a drag on the economy. [23:09] The importance of calculating the entire cost. [25:36] How your decisions can impact the health of the capitalist economy. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 28, 2019
Using Momentum Investing and Trend Following
How momentum investing works, what are some of the challenges in implementing it, and how can individuals use momentum in their investment portfolios. Topics covered in this episode include: What is momentum investing and why does it theoretically deliver excess return. Why do momentum strategies suffer through periods of horrendous losses. Why high trading costs and selling a position can be challenges to successfully implementing momentum strategies. What are examples of momentum oriented funds and ETFs. How momentum can be used for making asset allocation decisions and adjusting portfolio risk. Thanks to The Great Courses Plus and Netsuite for sponsoring the episode. For show notes and more information on this episode click here . [0:18] Momentum investing consistently outperforms the market. [5:04] Why does momentum investing work? [7:31] The three challenges of the momentum investing phenomena. [12:50] What happens if investor behavior changes? [14:24] Tactics for implementing momentum into your own portfolio. [20:02] Using dual momentum to move in and out of asset classes. [23:55] Utilizing momentum investing as a swing vote. [28:01] How David uses momentum investing in his portfolio. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 21, 2019
Invest Like a Tesla
How the composition of Tesla's autopilot software gives clues to how we should invest, recognizing there are no perfect algorithms for driving or investing. In this episode you will learn: Why Americans are afraid of self-driving cars. How autonomous automobile software works. Why people reject even the best possible algorithms. What are examples of safety features and rules of thumb we should build into our investing process. Why does everyone think a recession is coming soon even though there is little evidence currently. Thanks to WIX and Dashlane for sponsoring the episode. For show notes and more information on this episode click here . [0:17] The pervading fear of self-driving cars, despite their safety features. [3:33] Why do people fear algorithms and prefer human decision-making? [7:45] Algorithmic decision-making has proven to be most accurate. [10:10] Automating your investing is like choosing an automated vehicle. [12:06] Keeping within the guardrails of investing strategy. [15:44] How to diversify your portfolio as an additional guardrail. [17:31] Is a recession really looming on the horizon? [20:16] Don’t maximize for perfect answers. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 14, 2019
What Happens If U.S. Interest Rates Turn Negative?
What are negative interest rates, why they could come to the U.S. and what investors can do about it. In this episode you will learn: How negative interest rates are even possible. How longer life spans, central bank actions, changing time preferences and the FIRE movement are contributing to negative interest rates. What is the paradox of thrift. How investors can earn a positive return on bonds even if interest rates are negative. What are some indicators to watch for that could signal imminent negative interest rates in the U.S. How individuals need to adjust their lifestyles in an era of negative interest rates. Thanks to Peloton and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . [0:20] Germany government bonds go negative for the first time. [2:38] Understanding savings: the paradox of thrift. [6:35] The concept of the individual choice and the perceived expense of saving. [11:05] The savings glut could lead to negative interest rates in the U.S. [14:40] Three reasons one would invest in negative-yielding bonds. [18:38] Central banks are influencing the spread of negative-yielding bonds. [20:29] What could happen to the U.S. economy if interest rates fell. [22:11] Three factors David is looking at for an indication of falling interest rates. [25:49] What we can do if U.S. interest rates go negative. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 07, 2019
Should You Invest In Gold?
With gold at a six-year high, is now the time to invest? What determines the price of gold and what are ways one can invest in this precious metal? We also explore whether gold is an effective inflation hedge and store of value. In this episode you’ll learn: How has gold performed as an investment over different time periods. How gold has outperformed inflation, but has not been a great inflation hedge. What are the challenges to gold being a safe haven How gold’s performance is driven by fear and momentum Why gold is a speculation and not an investment. Why Ray Dalio and Jim Grant recommend gold but Warren Buffett is more skeptical. How to invest in gold via an ETF, physical coins or the gold futures market. Thanks to WIX and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . [0:18] Gold may not be as strong as it used to be. [2:03] The performance of gold depends on when you bought it. [3:46] Why do people own gold? [4:15] Is gold actually a good inflation hedge? [8:07] Using gold to build a safe haven. [9:56] Investing in gold because it’s under-owned. [10:46] The supply and demand characteristics of gold. [12:25] The bandwagon effect of gold. [17:00] Gold is a speculation—not an investment. [19:10] Which asset will do best in an inflationary and distrusting economy? [22:44] How should you invest in gold? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 31, 2019
Better Not Bigger, Circular Not Linear - How the Global Economy Is Changing
How a less energy intensive and more regenerative economy will allow the developing the world to advance without breaching ecological boundaries. In this episode you’ll learn: What is the difference between circular and linear supply chains. What is doughnut economics? What are adaptive preferences and how they led David to trade in a BMW 650i for a Toyota Prius. How electric vehicles and the proliferation of solar panels are leading to a less energy-intensive economy. How the reduction of litter is an example of changing culture. Thanks to NetSuite and Dashlane for sponsoring the episode. For show notes and more information on this episode click here . [0:20] Creating a global economy that is better—not bigger. [3:18] A circular economy is better than a linear one. [6:20] The growth constraints of a circular economy. [9:08] Being wise in our aspirations. [12:55] David’s Tesla experience changed his perspective on investments. [14:52] The power of energy transitions. [18:02] Making more economical choices concerning energy transitions. [20:04] How are we judging our well-being? [23:07] Redefining what we consider beautiful. [24:17] Making a better global economy begins with you. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 24, 2019
Is Value Investing Dead?
Why has value investing underperformed growth investing for over twelve years and how to position your portfolio for the eventual rebound in value investing. In this episode you will learn: The difference between growth and value investing and why value investing outperforms growth investing over the long-term. How value and growth indices are constructed and how they differ from fundamental indexing. What are the risks and opportunities of investing in concentrated, deep-value managers. Why value investing will eventually rebound. Thanks to WIX and Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . [0:18] What is value investing? [2:07] A historical look at growth vs. value yields. [5:41] The return of the value stock in the early 2000s. [11:07] The twelve and a half years of underperforming value stocks. [13:09] The sectors controlling the performance of value and growth stocks. [15:01] Better understanding the indices. [20:31] Using fundamentally weighted indices to balance your portfolio. [23:10] Are underperforming managers struggling because of poor skills or because of unfavored strategies? [29:20] While value may be difficult to predict, it isn’t dead. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 17, 2019
Is This Why Interest Rates Are Falling and the Global Economy Slowing?
Has the off-shore dollar market in terms of dollar financing and currency hedging gotten so big that it can dictate Federal Reserve monetary policy including the expected short-term interest rate cut by the Fed at its July 2019 open market committee meeting? In other words, has the Federal Reserve lost its ability to conduct monetary policy and control interest rates as it sees fit and is now in search of other tools? In this episode you’ll learn: Why the Federal Reserve is puzzled by how U.S. interest rates are behaving. How the large but opaque off-shore dollar lending and currency hedging market could be strengthening the dollar, slowing the global economy and pushing down interest rates. What is leading to a global dollar shortage. Why the Federal Reserve is researching other policy tools. What investors can do to protect against uncertainty regarding the dollar Thanks to ButcherBox and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . [0:20] The suspected outcome of the Federal Reserve Committee Meeting on July 30th and 31st. [3:04] Is the Federal Reserve’s inconsistency, in this case, something to fear? [6:31] The influence of offshore U.S. dollars on the Federal Reserve. [9:10] The issue of undocumented offshore dollar-denominated debt. [12:06] The ramifications of the inability of the global supply chain to access the dollars they need. [15:21] Banks are less willing to lend dollars while also demanding more “pristine” collateral. [18:36] The complexity of the global U.S. dollar matrix. [21:06] Steps to take to cushion your portfolio against any ramifications of a lower Federal Reserve interest rate. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 10, 2019
Will The Libra Cryptocurrency Revolutionize Money?
Will Facebook's Libra Cryptocurrency transform money as we know it or is it "the most invasive and dangerous form of surveillance devised thus far?" How does the Libra compare to Bitcoin and the U.S. dollar in terms of the attributes of money. In this episode you’ll learn: What is the Libra and how does it differ from Bitcoin. What are the different attributes of money. What is proof of work and proof of stake for cryptocurrencies. What is the difference between permissionless and permission-based systems for cryptocurrency. Thanks to WIX and Peloton for sponsoring the episode. Use code MONEY for Peloton. For show notes and more information on this episode click here . [0:17] Praise and criticism of the Libra. [1:56] What defines money, and does the Libra match up? [3:53] Proof of work vs. Proof of stake: Libra vs. Cryptocurrency. [9:52] The role of Libra BFT: creating a permission-less and sustainable currency. [12:30] Libra’s claim that it has intrinsic value by being backed by assets. [16:00] Measuring the reserves and political power of Libra. [17:46] How new money is created by Libra compared to other currencies. [21:05] Who makes up the Libra validators? [22:36] Possible issues with taxes and regulation. [24:42] Comparing libra to other cryptocurrencies and the U.S. dollar. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 26, 2019
How Financialization Pushes Up Home Prices
How the demand by corporations and individuals to turn single-family homes into rental units is pushing up home prices, making it more difficult for first-time homebuyers to purchase a house. In this episode you'll learn: Why the United Nations is accusing certain countries and corporations of treating housing as a tradable financial commodity rather than a human right. Why Blackstone believes it is helping to solve the housing crisis by buying and renting single family homes and that the United Nations is wrong in its accusations. How the drive by corporations and individuals to own rental housing is pushing up home prices, but not necessarily rents. Why the U.S. has a chronic affordable housing shortage and what can be done about it. Thanks to Vistaprint and WIX for sponsoring the episode. For show notes and more information on this episode click here . [0:17] The concern of the U.N. with houses being treated as a commodity vs. a right. [2:27] The rise of rent-backed securities and the debated role of Blackstone. [8:20] The impact of single institutions on the national rent average. [9:59] House flipping vs. renting. [11:34] Buying a home to rent through a company. [12:56] David’s personal experience with being outbid on a house. [14:25] Why financialization is driving up home prices—not rent. [19:48] The housing crisis for those with low income. [22:53] Possible solutions for the rental housing crisis. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 19, 2019
It’s Not Just Wealth That Compounds
How the power of compounding applies not only to wealth, but influence, expertise, and creativity. How non-monetary investments can lead to greater monetary wealth and satisfaction. In this episode, you will learn: Why the rule of 72 and the power of compounding are hindered by portfolio losses. Why the sequence of returns impacts investment performance, but also our expectations. How what we experience in the world is made up of separate glimpses and events. What are non-monetary things that compound with time and why there are no short-cuts. How to focus our attention on things that compound. How non-monetary investments of our time can increase our monetary wealth. Thanks to Vistaprint and Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . [0:20] The dangers of oversimplified compounding schemes. [4:30] Our experiences influence what we expect to happen. [7:57] A picture made up of pictures taken through time. [11:26] There are no shortcuts to forming experience. [15:05] Influence is created by passing through time—not by purchasing it. [18:32] Expertise, polish, perfection are all built by passing through time. [19:41] Taking the time to invest in creative work through time. [22:01] Time brings age—and that is okay. [23:11] Passing through time brings wisdom and experience. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 12, 2019
Will Artificial Intelligence (AI) Change Investing?
How does artificial intelligence and machine learning work and what are some examples of how individual investors can use AI in their investing. In this episode you will learn: What is artificial intelligence, machine learning and deep learning. How is AI being used by different industries. How are AI models built with supervised and unsupervised learning. What are the components of a quantitative trading model and why it is insufficient to have an AI based stock ranking service. What are examples of AI based investment services and AI ETFs available to individuals. Why using AI to make investment decisions is so difficult. Thanks to Warby Parker and WIX for sponsoring the episode. For show notes and more information on this episode click here . [0:20] The two types of AI: rules-based & deep learning. [3:35] Some examples of artificial intelligence. [4:59] How machine learning systems work. [6:10] Supervised learning vs. unsupervised learning. [9:10] Training deep learning AI models. [12:46] Complications with how deep learning models come up with their answers. [14:31] The role of AI in predicting interest rates. [17:16] Understanding the different factors and components of AI models when it comes to investing. [19:43] David’s personal experience with an AI-based investing service. [23:29] The Equbot and investing in ETFs. [25:46] The difficulties of using AI as an individual investor. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 05, 2019
With Interest Rates Falling, Why Do You Own Bonds?
How an asset class such as bonds can play different roles in your portfolio depending on your investment philosophy. In this episode you will learn: What are bonds and how can they be used in investment portfolios. What is interest rate anticipation. Why individuals have an advantage over institutions because they don't have to worry about outperforming a benchmark when it comes to bonds. Why U.S. interest rates could rise and fall from current levels. Why China is unlikely to sell all of its U.S. Treasury bonds. Examples of higher yielding strategies other than bonds that can benefit from falling interest rates. Thanks to LinkedIn and Policygenius for sponsoring the episode. For show notes and more information on this episode click here . [0:20] Generating a return on bonds. [2:22] David explains why his own portfolio has not seen huge success in bonds. [3:56] What is the role of bonds in your portfolio? [6:41] A historical analysis of bonds. [9:55] The advantage of being an individual investor. [10:59] Speculating whether or not interest rates will go up or down. [14:50] The effects of the global economy on US bond behavior. [17:12] Strategies for diversifying your portfolio. [20:49] What to focus on as an individual investor in bonds. [22:19] Comparing the story of the carpenter and the tree to the life of a bond. [24:23] Deciding which path to choose for the use of your bonds. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 29, 2019
Should You Be 100% Invested In Stocks?
What are the pros and cons of having your entire investment portfolio invested in stocks versus a multi-asset class portfolio. In this episode you’ll learn: What are some investment options if you want to be 100% invested in stocks. What attributes do you need as investor to have an all stock portfolio. Why it is difficult for active managers to outperform. Why an all Japanese stock portfolio has severely underperformed for 25 years and how it is possible a U.S. stock portfolio could suffer the same fate. What are the pros and cons of a multi-asset class portfolio. Overview of The Simple Path to Wealth by J.L. Collins Overview of Investing at Level 3 by James B. Cloonan Thanks to WIX for sponsoring the episode. You can find show notes and more info on the episode by going here. You can learn about Plus Membership here . For show notes and more information on this episode click here . [0:19] Can investing really be as simple as investing 100% of your portfolio in stocks? [4:16] Can diligent analysis actually outperform the index? [8:50] Understanding the difference between risk and volatility. [14:24] Knowing the risks associated with investing 100% in stocks. [19:17] The influence of the crowd and the misjudgments of investors on the market. [23:25] The benefits of diversifying your portfolio. [26:43] Investing 100% in stocks is viable, but it will come with ups and downs. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 22, 2019
Are IPOs the New Ponzi Scheme?
How venture capital funded startups run up massive losses while justifying premium valuations using creative profitability metrics. These private companies are now going public allowing early investors to cash out with sizable gains. Meanwhile, these new publicly traded companies are added to equity indices, forcing passive managers to purchase them for their index funds and ETFs. In this episode you will learn: How venture capital and initial public offerings work. How many venture capitalists are there and how have they performed. Why do startups stay private for longer and then go public while still incurring massive losses. What is blitzscaling. How startups use creative profitability metrics to attract investment capital at premium valuations How the current venture capital regime contributes to income inequality. How to get an allocation to an initial public offering. Thanks to Policygenius and TripActions for sponsoring the episode. For show notes and more information on this episode click here . [0:19] What are IPOs? [2:12] The growth of new venture capital firms. [5:22] Blitzscaling and the willingness of venture capitalists to initially lose money. [8:33] How start-ups are choosing to exit. [11:18] The cost of going public at premium valuations. [13:26] The social and economic repercussions of blitzscaling. [18:16] How money-losing firms try to create a profit. [19:38] How unprofitable companies convince investors to buy at high valuations. [21:20] How individuals participate in venture capital without investing in an IPO. [24:08] Possible solutions to IPO’s problems. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 15, 2019
How To Become Wealthy
The three-step plan for becoming financially wealthy and how to be wealthy without the money. In this episode you’ll learn: The results of two recent surveys on wealth, investing and retirement planning. How much money do people believe they need to consider themselves wealthy. How is wealth distributed across the U.S. population and how wealthy are Americans? Why you need a simple financial plan. What are the three steps to becoming financially wealthy. How to live like you are already wealthy. Thanks to WIX and Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . [0:16] Schwab and Stash survey results. [2:49] Saving vs. living paycheck to paycheck. [4:29] How much does one need to be considered wealthy? [7:44] The value of social security. [9:23] The historical distribution of the country’s overall wealth. [11:33] The importance of having a plan. [13:38] Step One: increase your income. [15:10] Step Two: increase your savings percentage. [16:44] Step Three: increase your investment returns. [23:57] It’s not about optimization. It’s about diversifying and learning. [25:20] How to live like you are wealthy today. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 08, 2019
Impact Investing and Intentionality
How individuals can have a positive impact while earning a good return investing. What are some examples of socially responsible and impact investments and platforms. In this episode you’ll learn: What is the difference between impact investing, ESG and SRI? What are examples of socially responsible exchange traded funds. What are green bonds. What are some examples of impact investments and platforms. What are three ways we can have a positive impact as individuals. Thanks to Blinkist and LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . [0:18] What is impact investing? [5:25] How impact investing is different from socially responsible investing. [8:50] Different opportunities to invest in a socially responsible way. [10:49] The impact that just one individual can have. [16:08] Keeping from negatively affecting the social and environmental fabric. [18:53] Generating positive impact with our investments. [20:01] Analyzing opportunities for truly impactful investments. [21:06] Impact Investing in the secondary market. [24:55] We each have to decide in what ways we will intentionally invest. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 24, 2019
Investment Rule One—Avoid Ruin
How reducing exposure to a catastrophic event, such as running out of money during retirement, is a better strategy than trying to accurately predict a catastrophic event. In this episode you’ll learn: How repeated exposures to low probability events can lead to ruin. How bonds have outperformed stocks over long stretches of time . How the success of retirement spending rules depend on the market environment and why a flexible approach to retirement spending makes the most sense given the wide variety of risk factors. Thanks to WIX and Policy Genius for sponsoring the episode. For show notes and more information on this episode click here . [0:20] Celebrating 250 episodes - thank you for listening! [1:51] 3 individuals who have greatly influenced David’s passion for good investing. [2:37] The sequence of life - and how you are affected by it - matters. [9:21] Defining risk and modifying exposure. [9:53] Case study: bonds vs. stocks. [15:34] The conditions for premium dividend yield. [18:00] Spending rules for retirement. [23:04] Considering worst-case scenarios. [26:10] Best strategies for retirement planning. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 17, 2019
Should You Invest in India?
Why respected investors and economists believe India will be the fastest growing economy and potentially best-performing stock market over the next two decades. What are the risks that could prevent that from happening? In this episode you will learn: Why the economy in India hold so much promise and what are the risks. What is a reasonable return expectation for the India stock market. What are passive and active options for investing in India. For show notes and more information on this episode click here . [0:18] What others are saying about Indian investments. [1:53] How India’s culture influences its investing. [5:41] A simplified glance at investing in India. [7:19] Current politics in India. [11:15] Positive aspects of India’s economy. [13:00] The challenges to consider. [16:59] What to invest in within India. [18:59] A look at active management in India. [21:07] In conclusion…should you invest in India? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 10, 2019
How to Avoid Investment Fraud
Here are precautions we can take to avoid ponzi schemes and not become victim to investment fraud. In this episode you’ll learn: What are sources to determine the background of individuals and firms who are selling investment products and advice. What is the difference between registered investment advisors, registered investment companies and registered securities. How to analyze performance and fees to make sure they are acceptable before we invest. Why we need to be more wary if securities are not registered. Thanks to LinkedIn and Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . [0:17] Personal stories surrounding fraudulent investment schemes. [2:38] The importance of authentic registration. [4:28] Who you are working with, and what are they promising? [6:34] Registered securities and registered investment companies. [8:41] Disclosing information properly when being compensated. [12:07] Deciphering performance claims. [16:37] Understanding what the fees are paying for. [18:37] Precautions to implement against fraud. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 03, 2019
More Indexes, ETFs and Manager Skill, but Less Alpha
How the increase in indexing is leading to the creation of more stock indexes, most of which are used by active managers. How more indexing makes it more difficult for active managers to outperform even though managers are getting more skilled. Thanks to TripActions and WIX for sponsoring the episode. For show notes and more information on this episode click here . [0:22] Definition of “alpha.” [0:49] Why there are so many indexes available. [4:35] The business of indexing. [7:01] The criteria that index providers use. [8:04] The cost of change in the index. [10:27] How some companies create ETFs. [12:44] Understanding the complexity of indexes and ETFs. [15:30] The influence of passive management on active management skills. [20:42] Understanding all the underlying facets of an index. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 27, 2019
What Central Banks Don’t Know Should Concern You
Why an inverted yield curve is disconcerting given such low interest rates. Why those low rates could lead to radical central bank policies during the next recession. Thanks to Policy Genius and Blinkist for sponsoring the episode. For show notes and more information on this episode click here . [0:23] Yield curve inversion has generally led to a recession. [3:00] Stock market behavior during a recession. [5:19] Why has the yield curve inverted? [7:04] Understanding who controls and defines the policy rate [14:42] Why can’t the economy support higher interest rates? [20:08] Fear of the lower bound. [22:15] Tools to keep inflation growing. [25:31] What we should be doing to protect against what the central banks don’t know. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 20, 2019
Is College Worth It?
#245 With more and more college degrees being granted and higher student loan balances, when does it make sense to go to a highly selective college or to college at all? What can increase earnings more than just having college degree? Thanks to TripActions and Shipstation for sponsoring the episode. For show notes and more information on this episode click here . [0:17] The price paid by parents for their children’s prestigious degrees. [3:28] David’s college experience. [5:14] Does ambition or a selective school earn more? [7:44] The influence of family background. [9:32] The importance of college networking. [10:30] Overcoming discrimination. [12:12] College degrees as hiring filters. [15:45] How much student debt should you take on? [20:28] Student loan forgiveness. [23:36] Is college worth it? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 13, 2019
Are You Spending Too Much? (FIRE Edition)
#244 How we can use filters to better manage how much we spend and make sure our spending has a meaningful impact on ourselves and the world. Thanks to EveryPlate and LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . [0:16] The FIRE movement and how much you need to retire early. [1:23] What are we supposed to be seeking? [3:23] How do we define the “bare necessities?” [8:58] The superfluous things in life are what we spend our money on. [11:12] Finding joy vs. chasing pleasure. [13:51] Skills to reduce spending in order to retire early. [15:41] Establishing filters to lessen our spending. [18:51] Rethinking materialism. [21:01] There will always be more. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 06, 2019
Do You Have Enough to Retire? (FIRE Edition)
#243 What are the key metrics to determine if you have reached financial independence and can retire early. How major stock market losses can derail early retirement plans and what to do about it. Thanks to Sleep Number and Blinkist for sponsoring the episode. For show notes and more information on this episode click here . [0:19] Interview opportunity with Suze Orman. [1:15] FIRE: Financially Independent Retire Early. [2:06] Suze’s response to the FIRE movement. [3:36] Controversy over the motives driving FIRE. [6:42] Understanding the math of early retirement. [12:46] How a market loss would affect your early retirement plan. [17:26] Would the FIRE community be better prepared for a market crash? [19:03] Modeling out different paths to help prepare against catastrophe. [22:28] Utilizing different portfolio drivers. [23:53] Viewing early retirement success in terms of probability. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 27, 2019
Should You Let Warren Buffett Manage Your Money?
#242. Does it make financial sense to buy Berkshire Hathaway stock and let Warren Buffett and Charlie Munger manage your money? We evaluate Berkshire Hathaway's people, investment process and performance to determine what to do. Thanks to ShipStation and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . [00:19] Berkshire Hathaway as a money manager. [1:49] Looking at the people to determining who to hire as a money manager. [3:37] What is the succession plan of the founding partners? [5:57] Berkshire Hathaway’s process - a two-pronged approach. [11:49] Understanding the mistakes that Berkshire Hathaway has made. [16:18] Comparing the performance of Berkshire Hathaway to the SP 500. [20:29] Taking the red flags into consideration. [21:51] Warren Buffett’s investment philosophy. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 20, 2019
Do Budget Deficits Matter? Modern Monetary Theory Explained
#241 Why modern monetary theory isn't worried about federal budget deficits, why budget deficits never go away and what are the risks if budget deficits get too large. We also explore what else proponents of modern monetary theory believe. For show notes and more information on this episode click here . [0:22] What is Modern Monetary Theory? [3:20] Taxes create demand for fiat money. [5:32] Taxes and government bonds don’t finance the federal government. [8:56] Budget deficits increase the net financial assets of the private sector. [13:16] Taxes destroy money. [13:46] The private sector determines the size of the budget deficit. [14:58] The concerns of crowding and losing faith. [19:08] Even government spending has to be constrained. [20:02] The dangers of the Federal Reserve controlling interest rates. [21:45] Modern Monetary Theory is correct in terms of how the economy actually works. [23:25] Do federal budget deficits matter? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 13, 2019
Three Financial Lessons from Thoreau
#240 What Henry David Thoreau can teach us about calculating costs, profits, benefits and living a life free of "quiet desperation." Thanks to Blinkist and LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . 0:23] Moving into a new house and considering the simplicity of Thoreau. [2:34] Preserving Ralph Waldo Emerson’s woods. [5:15] A two-year experiment living in the woods. [6:32] Calculating cost in terms of our life. [8:37] Distinguishing profit by the benefits. [10:59] Living in the present. [15:24] Using our extra time to pursue the walk. [19:45] The effects of social media and technology on millennials. [23:41] The importance of rejuvenating, unstructured time. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 06, 2019
How to Be a Successful Trader
#239 Why successful trading of commodities futures, foreign currencies and options depends on exploiting novice traders. Thanks to Molekule and Sleep Number for sponsoring this episode. For show notes and more information on this episode click here . [0:20] Learning how to trade. [4:52] David takes a look at a trading school for himself. [9:15] Red flags in the trade school learning process. [10:32] Common mistakes in managing wealth according to the trade school. [16:29] Is the solution found in only trading and shunning the stock market? [19:48] The patented approach to trading success is based upon taking advantage of inexperienced traders. [25:09] Trading is a zero-sum game. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 30, 2019
The U.S Is More Socialist Than Denmark with Home Mortgages
#238 How the U.S. mortgage market differs from the Danish mortgage market. Danish mortgage rates and defaults are lower than the U.S.. and unlike the U.S., the Danish government is not involved in protecting investors against mortgage defaults. This episode also explores how the mortgage broker industry has evolved since the housing crash. Thanks to ShipStation and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . [0:23] The socialist catastrophe of Venezuela [1:42] Who is the most socialist in housing finance? Denmark or the US? [2:50] Meet Fannie Mae, Ginnie Mae, and Freddie Mac. [11:26] Danish mortgage securitization. [15:42] Why Danish borrowers actually pay less. [19:32] Who’s liable for the loan and why it makes all the difference. [22:09] Why do mortgage brokers exist, and should you use one? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 23, 2019
Brexit Is A Mess—Lessons Learned
#237 What can we learn from the difficulties the UK is having in negotiating an exit from the European Union. What happens next? Why there is always a conflict between globalization and national sovereignty. Thanks to LinkedIn , Blinkist and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . [0:32] Update on Brexit since the British Parliament Vote. [1:20] Basic Principles of Brexit. [3:58] The problem of the Irish border. [10:35] Debate over the withdrawal agreement leads to the current refusal of the deal. [12:49] Brexit Lesson One: long-held agreements are hard to break. [15:08] Brexit Lesson Two: choosing government sovereignty or globalization [22:08] Economic Unions will always be fraught with conflict. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 16, 2019
How Investors Cope With Radical Uncertainty
#236 How heuristics, filters and reasonable stories help us cope with radical uncertainty and make investment decisions. Thanks to Netsuite and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here . [0:17] Investing is a world of radical uncertainty. [1:57] Risk vs. uncertainty. [6:01] Coping through the use of narrative. [10:39] Using filters to keep ourselves from being overwhelmed. [12:48] Staying shy of the consensus and “phantastic” objects. [16:04] Learning to tell ourselves reasonable stories. [17:01] Re-defining what makes a great decision. [20:52] Each individual’s decisions influence the future economy. [23:42] Investors aren’t alone: banks need coping mechanisms too. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 09, 2019
What If Home Prices Always Fell
#235 How to evaluate the purchase of a depreciating asset, such as buying a house in Japan where prices have declined 23 out of the past 29 years. Thanks to The Great Courses Plus , LinkedIn and Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . [0:20] Unfortunately, there isn’t a magic formula for dealing with a housing bubble. [2:33] Making the decision to purchase a second home. [5:31] Japan’s declining housing market. [13:10] Another quirk of the Japanese house: it’s freezing. [20:28] Should we imitate the Japanese when making decisions regarding the housing market? [24:19] Keeping priorities straight: making a purchasing decision based upon what matters. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 19, 2018
Index But Don't Herd
#234 How and when to use passive indexing strategies without following the crowd. Thanks to Masterworks and Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . [2:25] Do all index investment followers herd? [4:13] Why it has taken so long for indexing to become established. [11:05] Comparing the statistic of active management to passive management. [16:14] Keeping your portfolio diverse while indexing. [19:54] Example of a return driver outside of indexing. [24:54] Steps to take to keep from following the herd. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 12, 2018
Is An Emerging Markets Crisis Imminent?
#233 What is the cause of the economic crisis in Argentina and how likely is it that other developing nations will experience a similar financing crisis. Thanks to Policy Genius for sponsoring the episode. For show notes and more information on this episode click here . [0:20] Why the Argentine peso has decreased 47% in value. [3:41] 3 Reasons why Argentina is unique and has suffered such sharp economic decline. [10:23] What we can learn from Argentina’s funding crisis. [13:51] How to tell when the market is losing confidence. [19:43] Why are some emerging market economies thriving? [22:20] Emerging market economies are not destined to fail. [27:04] What Argentina can do to pull itself out of the crisis. [27:48] Why the US isn’t in the same fix as Argentina. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 05, 2018
Is It Time To Invest In Commodities?
#232 Why investing in commodities such as oil and gold is challenging. What you need to know before you invest. Thanks to New Retirement Planner for sponsoring the episode. For show notes and more information on this episode click here . [0:18] Where do commodities help us in the economic cycle? [2:00] How to interpret the apparent statistical decline in commodities. [5:40] Are master limited partnerships (MLPs) helpful to your portfolio? [8:19] How the energy transition will affect the future of commodity investment. [11:43] Contango and how it affects the performance of your futures contract. [16:20] Looking back at the history of commodities may help in determining their future. [24:29] The benefits of investing in gold as a commodity. [28:11] Traders and psychology are really what determine commodity prices. [30:08] Cash flow should still be the foundation of your portfolio. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 28, 2018
What Determines How Much You Make
#231 Why different occupations pay differently or even the same occupation in different countries. Why the same occupation can pay differently for different companies that reside in the same city. For show notes and more information on this episode click here . [0:12] A bit of background on today’s question for Money For the Rest of Us [2:28] Why do certain occupations pay more than others? [11:36] Wages vary from county to country - here’s why [20:09] Even jobs in the same city pay different wages, and there’s a good reason behind it [25:52] You can do a few things to protect your own employability with respectable wages See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 14, 2018
Use Caution With Real Estate Crowdfunding
#230 With RealtyShares and other crowdfunding platforms shutting down, should you invest on these platforms and if so how do you go about evaluating the investment opportunities. Thanks to Policy Genius for sponsoring the episode. For show notes and more information on this episode click here . [0:30] Check out this episode for David’s experience with real estate crowdfunding investments [2:35] Real estate crowdfunding platforms are comprised of this type of structure [6:57] You want to understand these considerations before making an investment [12:40] Issues began to crop up with David’s investment – learn from his story [18:41] David’s experience with these platforms have not led to a lot of transparency [25:07] There’s not a specific way to determine which real estate crowdfunding platforms are going to survive [30:08] Public and private REITs are another great investment option to consider See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 07, 2018
Stop Maximizing Your Returns Using Modern Portfolio Theory
#229 Why modern portfolio theory is a defective way to build out an investment portfolio. This episode explains a better approach to asset allocation. For show notes and more information on this episode click here . [0:11] What is modern portfolio theory? [4:29] There are many downfalls to relying on this theory while investing [7:05] We should prepare for the worst possible outcome when investing, not the average positive outcome [14:08] The true goal of investing should be about “minimizing your maximum regret in the meta-game” [18:34] There isn’t the best “right answer” with your portfolio [25:15] Maximization of anything doesn’t work in today’s environment See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 31, 2018
How Tokenization Will Radically Change Investing
#228 How distributed ledger technology and tokenized assets will increase liquidity, transparency and fractionalization, allowing investors to purchase very small, liquid positions in real estate, private companies, art and other assets. Thanks to LinkedIn for sponsoring the episode. For show notes and more information on this episode click here . [0:12] Stocks ownership used to be tied to paper certificates, but there’s a problem with electronic records as well [10:00] Proxy voting in trading can lead to complicated issues that are almost impossible to solve with certainty [17:40] Tokenization could be a solution to today’s convoluted trading system [22:38] A new type of distributed ledger would allow for asset-backed tokens [27:03] There are some challenges to tokenization that need to be addressed See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 24, 2018
How To Teach Children About Money
#227 Here are four most important things to teach children about money and why showing is better than telling when it comes to kids and money. Thanks to CNote for sponsoring this episode. For show notes and more information on this episode click here . [2:58] Here’s how you can start teaching children about money [5:30] #1 - The right attitude about money comes with a balance of respect, understanding, and trust [8:40] #2 - Healthy relationships with money come with accountability and choice [11:38] #3 - Money is tied to work [20:25] #4 - Avoid the wrong kinds of debt [22:51] #5 - Teaching kids about money is often about “just in time” learning See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 17, 2018
How To Spot Asset Bubbles and What To Do About Them (The Case of Cannabis)
#226 What are the characteristics of an asset bubble and how to invest when one exists. Are cannabis stocks in a bubble? Thanks to Blinkist and Policy Genius for sponsoring this episode. For show notes and more information on this episode click here . [0:10] Is the cannabis industry in an asset bubble right now? [4:41] Public conversation is often a sign of an asset bubble [8:19] Hopeful assumptions are often what drive an asset bubble environment [13:24] Tesla can be considered an example of a micro-bubble [21:57] You can handle an asset bubble in a variety of ways See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 10, 2018
How To Invest In Bonds and Other Fixed Income Securities
#225 How to evaluate interest rate risk, credit risk and other factors when investing in bonds. Thanks to Sleep Number for sponsoring the episode. For show notes and more information on this episode click here . [0:11] Predicting interest rates can be tough - here are some things to consider [4:28] What determines the rate of return if you invest in bonds or fixed income securities? [7:00] Bond prices fluctuate as interest rates change [15:30] Data on default rates for bonds and other investment strategies [19:40] Consider this before deciding whether or not to hold bonds [23:13] Passive vs active investment strategies in bonds and other fixed-income securities [25:35] Why would you own a long duration bond? [34:19] There isn’t a single right answer when it comes to bonds and fixed income securities See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 03, 2018
Mastering the Market Cycle—New Book by Howard Marks
#224 How to position your investment portfolio based on market cycles. Investing principles from Howard Marks' new book Mastering the Market Cycle. Thanks to CNote and LinkedIn and for sponsoring today's episode. For show notes and more information on this episode click here . [0:11] Howard Marks’ new book is the inspiration for this episode of Money For the Rest of Us [7:13] The first tool in learning how to invest during a market cycle [11:49] The second tool in learning how to invest during a market cycle [18:00] Successful investing involves a mix of skill and luck [25:30] There’s no way of knowing where the bottom of a market may be [26:30] We are not in a period of extreme risk or opportunity in today’s US economy See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 26, 2018
How To Invest When You Have Little Money
#223 How commission free ETFs, mobile apps and zero fee index funds make it easier to invest if you have little money. What are some examples of commission fee ETFs and funds for Vanguard, Fidelity, Robinhood and TD Ameritrade. Thanks to Blinkist for sponsoring this episode. For show notes and more information on this episode click here . Episode Chronology [0:14] Here’s how to invest when you have little money [4:26] How do brokerage firms make money if they don’t charge commissions? [11:37] What happens to investments if a brokerage firm goes bankrupt? [18:14] Thoughts on investing with a very simple portfolio [27:35] A lack of money is no excuse to not invest See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 19, 2018
Why We Overpay and How It Leads To Income Inequality
#222 How asymmetric information, price discrimination and the stories we tell ourselves contribute to artificial profits and income inequality. Thanks to CNote for sponsoring today's episode. For show notes and more information on this episode click here . [0:20] Rents, overpayments, and income inequality are all side effects of market distortions [8:55] Value-based pricing vs pricing based solely on cost [17:13] Pricing is inextricably tied to the stories we tell about ourselves and to others [22:30] Consumers need to consider these 4 things when evaluating the cost of goods and services See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 12, 2018
Should You Prepare For The Next Financial Crisis?
#221 How the Great Financial Crisis changed how individuals and institutions invest, and why we shouldn't invest solely focused on the next crisis. Thanks to CNote for sponsoring today's episode. For show notes and more information on this episode click here . [0:40] Overview of how the 2008 financial crisis continues to impact investing today [6:48] Data on current investments and the stock market [8:40] How you invest depends on your experience in the 2008 crisis [11:41] Future investing is enveloped in big questions and unknown variables [16:10] The great financial crisis impacted both individuals and institutions [19:58] Should you invest in preparation mode for the next crisis? [26:00] Invest smartly by separating speculations from investments [28:40] Consider this when investing and thinking about the future of the market See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 05, 2018
Where Should You Invest Your Cash Savings?
#220 How to evaluate cash savings options at banks, credit unions and brokerage firms. Why are yields on cash savings so much higher than a few years ago. How to tell if your bank or credit union is in experiencing financial difficulties. Thank you to Blinkist for sponsoring this week's episode. For show notes and more information on this episode click here . [0:10] All about banks, credit unions, and the pros and cons of cash savings [4:47] How can banks and credit unions become financially unstable? [14:25] The Federal Reserve is setting a new short term interest rate target [15:55] What tools does the Federal Reserve have to keep short-term interest rates in line with its target? [19:20] There are other options for investing your cash savings [25:49] Is it really worth pursuing multiple investing options for your cash savings? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 29, 2018
The Incredible Shrinking Stock Market
#219 How fewer publicly traded companies, less stock shares outstanding and more intangible assets have led to higher earnings growth for U.S. listed companies and ultimately stronger stock market performance. Thanks to Circle Invest for sponsoring today's episode. For show notes and more information on this episode click here . [0:08] Observations on the current state of the US stock market [4:01] What if there’s something going on within the US market that suggests continued outperformance is coming? [7:23] Why the number of publicly listed companies, particularly small companies, is shrinking [14:52] The impact of intangible assets within small companies [18:21] Increased amounts of buybacks are leading to a shrinking stock market [20:38] Multiple factors are contributing to higher shareholder profits, yet lower wages for employees [26:05] What are the investment implications of low wages due to monsopony? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 22, 2018
Is China or the U.S. More Vulnerable?
#218 What are the headwinds facing China that could slow economic growth, but still could lead to China growing faster than the U.S. Also, what is going on with Turkey and are other emerging market countries vulnerable to the same plight? Thanks to Circle Invest for sponsoring today's episode. For show notes and more information on this episode click here . [1:07] Is China or the US more vulnerable to economic downturn? [4:55] Why have emerging markets done so poorly recently? [8:51] The concept of balance of payment is reviewed and examined in a case study of Turkey [16:20] Emerging markets are doing better than in previous years [20:35] The 3 reasons why China is more vulnerable than the US [22:25] What China has to do in order for their economy to continue growing quickly See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 15, 2018
Rebalancing, Overvaluation, Market Timing, and Stock Splits
#217 Which rebalancing strategy is best or should we even bother rebalancing? Should we just exit stocks completely, especially given how overvalued the U.S. stock market it is? And why do companies split their stocks? In this episode, we answer these and other listener questions. For show notes and more information on this episode click here . [0:30] Why this episode of Money For the Rest of Us is a bit different than previous ones [2:15] Is rebalancing your portfolio really necessary? [12:43] Can you use valuations for timing the market? [23:17] Is it possible to use exiting stocks as a way to increase revenue? [33:39] The idea behind doing investing on a sector neutral basis rather than a capitalization weighted basis. [36:20] What factors do companies consider when doing stock splits? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 08, 2018
Avoid This Investment: P2P Lending
#216 Why peer-to-peer lending on platforms like Lending Club and Upstart is no place for individuals to invest given higher defaults, lower returns and competition from institutional investors. Thanks to Circle Invest for sponsoring today's episode. For show notes and more information on this episode click here . Episode Chronology [1:04] There are a lot of issues going on with the global P2P lending market [5:34] How the P2P lending environment has changed over the past few years [11:24] Why advertised returns are higher than actual returns [15:35] How are these P2P lending platforms surviving? [21:26] How these 3 credit enhancements impact the P2P lending market [25:51] Individual investors don’t do as well in P2P lending environments - here’s why [30:00] Here’s the bottom line on why you should avoid P2P lending investments See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 01, 2018
Is A Dollar Collapse Coming?
#215 Will stagflation cause the dollar to crash and be a bottomless pit when the next recession hits? That is what Peter Schiff is predicting. We look at where he is right and where he seems to be off the mark when it comes to the U.S. economy and a dollar collapse. Thanks to Haven Life and Wunder Capital for sponsoring today's episode. For show notes and more information on this episode click here . Episode Chronology [0:33] Is a dollar collapse imminent? [3:07] Economic expansions don’t die of old age [5:22] How tariffs and imports impact the US economy [10:44] If the dollar has to crash, it does so relative to other currencies [14:01] The relationship between the Federal Reserve and interest rates [19:11] Bank deposits, savings, loans, and interest rates all contribute to the US economy today [24:29] The relationship between money supply and inflation is essential to understand [33:08] Why David doesn’t believe a dollar crash and economic ruin are on the horizon See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 25, 2018
Should You Trade Currencies (Forex) Like Soros?
#214 How the foreign exchange market works and how George Soros made more than a $1 billion shorting the British pound in 1992. Why currency trading today is more like gambling than when Soros made his billions. Why trading closed end funds can be more profitable than currency trading. Thanks to Wunder Capital and Blooom for sponsoring todays' episode. Use code DAVID on Blooom for your first month free. For show notes and more information on this episode click here . [0:35] David introduces the listener question for this episode, “Should You Trade Foreign Currencies?” [2:24] Why David would never invest in Forex strategies [6:56] How trading works on platforms such as Darwinex [8:43] Investing through trading currencies is like gambling [11:40] The George Soros story and how governments can balance the economy through interest rate control [24:20] Betting against the exchange rate of foreign currencies isn’t reliable [27:50] The benefits of investing in closed-end fund markets See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 18, 2018
Why Health Insurance Is A Mess
#213 How health insurance isn't really protection against a catastrophic illness but prepayment of routine healthcare consumption, leading to overconsumption of healthcare and over treatment by medical professionals that drive up costs. What would it take to reform the health insurance marketplace so it is more fair and functions more like life insurance or homeowners insurance. Show notes and links can be found here . Thanks to Circle Invest for sponsoring today's episode. For show notes and more information on this episode click here . [0:57] Why pay $20 for a doctor’s visit, when health insurance is $36,000 a year? [4:03] Digging into the fundamental flaw in health insurance [9:10] Why does health insurance pay for “routine maintenance” on our health? [13:20] The pros and cons of employer-based health insurance policies [19:35] Health insurance is a mess because it doesn’t primarily insure against a catastrophic health event [21:42] The current setup for health insurance limits healthcare choices and encourages overconsumption of services [24:50] Health insurance is an artificial market [27:00] The over-consumption drives the cost of health insurance [29:02] Here’s why you can’t figure out what medical procedures actually cost See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 11, 2018
Trade Wars Increase Prices and Poverty
#212 How a complex global trade system has reduced poverty, raised incomes, increased productivity, and lowered prices while a trade war will reverse those trends. You can find show notes and links here. Thanks to Blooom and Wunder Capital for sponsoring this episode. Episode Summary President Trump recently unveiled new tariffs on trade with China, and many fear this decision could lead to a trade war. This 25% tariff on $34 billion worth of Chinese imports into the U.S. and an additional $216 billion of announced tariffs will change the trade landscape in the coming months. On this episode of Money For the Rest of Us, David explains why trade wars tend to increase the prices of goods and the poverty rate. He discusses the consequences attached to global trade tariff decisions and outlines why healthy global trade is successful in reducing poverty. To hear informed information about the complexities of tariffs and global trade, be sure to give this episode your full attention. Why does the US run such a large trade deficit with China? In 2017, China exported over $500 billion worth of goods to the US. In that same year, the US exported $130 billion to China, resulting in a trade deficit of $375 billion. Why is this figure so high? There are three main reasons why the US has such a large trade deficit with China: China has a lower standard of living and pays workers lower wages Technology and the internet has reduced the risk to US businesses when importing from China At times, the Chinese yuan is too weak relative to the US dollar Healthy global trade reduces poverty - here’s why Countless economists and writers have examined why healthy global trade reduces poverty. In 1981, the percentage of the world’s population living in extreme poverty was holding at 42%. Since then, the number of people living at that level of income has fallen by 1 billion. And in 2013, the most accurate data puts the world’s population living in extreme poverty was 10%. This figure has fallen so dramatically because of trade, specifically because China has significantly ramped up its manufacturing capabilities and exports, increasing household income through higher wages. From 1820 to 1920, in Great Britain the percentage of the population in extreme poverty fell from 40% down to 10% from the 1820s to 1920s. From 1870 to 1970, Japan did the same - taking their poverty population from 80% down to nearly 0%. China is on course to reduce extreme poverty even faster. To hear more about the relationship between poverty and trade, don’t miss this episode of Money For the Rest of Us. Global tariffs can lead to
Wed, June 27, 2018
How To Navigate A Housing Bubble
#211 Why housing bubbles can last such a long time and what to do if you really want or need to buy a house in a frothy market. More information, including show notes, can be found here. Episode Summary Navigating a housing bubble is often on everyone’s minds. With changing family needs, balancing multiple incomes, and varying environmental factors, finding a great house is a struggle most families face. On this episode of Money For the Rest of Us, David responds to a listener’s question of how to navigate a housing bubble. He explains the idea of “economic gravity,” outlines factors that are influencing the global housing market, and offers solutions to the housing bubble crisis. A housing bubble cannot break free from economic gravity David discusses the idea of “economic gravity” on this episode. Simply, over the long-term housing prices can't be disconnected from the ability of households to service a level of mortgage debt - to successfully make those payments every month. Nobel prize-winning economist Milton Friedman explains, “When (corporate) earnings are exceptionally high, they don’t just keep booming - they can’t break loose from economic gravity.” The same concept applies to home prices. When prices are high, they can boom for an exceptionally long time. But they cannot break free from this underlying economic concept. Factors that are driving up the global housing market Housing bubbles are being created across the globe because of a few major factors. Low interest rates, offshore demand for domestic property, influxes in immigration, and interest only loans are all contributing factors to the housing bubble discussed in this episode of Money for the Rest of Us. David draws many parallels between the US housing market and those in Australia and Canada. Housing markets don’t always align with growing family needs Joe, the Money For the Rest of Us listener that submitted the question for this episode, is seeking different housing for his family as it grows and shifts. But he’s finding that unfortunately, housing markets don’t always align with growing family needs. Better school districts, larger homes, easier commutes, etc. are all factors that millions of Americans are seeking for their prospective homes. David encourages listeners to consider what type of housing their family can reasonably afford and still maintain the type of lifestyle they desire. You never want to purchase a house that you cannot comfortably afford. To hear more about the housing market in the US today, data on current housing prices across the country, and even more great information, don’t miss this episode. 3 ways you can respond to rising house prices After considering all the data related to the housing bubble and overall
Wed, June 20, 2018
Are There Always Winners and Losers When Trading?
#210 Why fair markets require uncertainty for both the buyer and the seller, and why sellers don't need to disclose everything they know to the buyer. More information, including show notes, can be found here. Thanks to Wunder Capital for sponsoring this week's episode. Episode Summary A recent listener of the Money For the Rest of Us podcast posed the question, “Are there always winners and losers when trading?” This question is the focus of this episode of the podcast. David explains an age-old thought experiment created by Cicero and how it relates to modern financial decision making. The key differences between concealing and simply not revealing information are discussed and how trading decisions can be ethical for all involved. David also explains how high-frequency trading bots exist outside the parameters of conscious decision making and how they can impact market volatility. It’s an episode full of great insights and should not be missed, so be sure to listen. There’s a key difference between concealing and not revealing information In Cicero’s thought experiment, there is a grain seller that has imported foreign goods during a period of domestic hardship. Is the seller required to disclose information of additional shipments coming into the market soon? Or is he able to sell his stores at a higher price, without telling the buyers what he knows? David explains that technically it would be an ethical sale since there’s not a defect in the grain he’s selling. The seller isn’t concealing critical information, he’s simply using the current market conditions to his benefit. To hear David’s full summary of this scenario, be sure to listen to this episode. The outcome of a transaction should be unknown for all parties involved in order to be ethical Simply put, the outcome for any transaction must be equally unknown to all parties involved in order to be considered ethical. David explains by saying, “If they (buyers and sellers) go in not knowing exactly what's going to happen, and there isn't a defect that is being concealed, then that's just how markets work.” These schools of thought differ between normal commerce and financial markets In normal commerce, where a buyer purchases a product from a seller at a specific price point, there is an exchange of currency and value. The buyer loses money but gains function and value from the product. The seller reaps financial benefits from the transaction. Even if the seller then drops the price, it’s ethical because there wasn’t a defect in the product at the original price point. For financial markets, there generally will be a winner and loser because the price WILL change. The key is both buyers and sellers go into the trans
Wed, June 13, 2018
Why Bother Investing Internationally?
#209 Is it worth investing outside your home country given the risk? Should you hedge currency risk? What is the impact of Chinese "A" share listed companies being added to emerging market indices. More information, including show notes, can be found here. Episode Summary Should you be investing internationally? What are the benefits to having foreign stocks in your portfolio? Do the currency risks outweigh potential returns? On this episode of Money For the Rest of Us David considers these questions and more. Comparing different markets, understanding expected stock return projections, the benefits of hedging international stocks, and more are covered on this insightful episode – be sure to listen! Why would anyone WANT to pursue investing internationally? Many investors focus solely on domestic markets. Why? Because it’s familiar! They know historical market patterns and there’s no currency risk. Why then should you consider investing internationally? There’s one main reason – because your returns could be higher! To hear why investors are branching out into foreign markets, and some considerations you need to understand before taking the leap, be sure to listen to this episode. This is why you can’t simply compare one country’s market to the next When comparing international markets it’s essential to remember that you have to understand their differences in terms of sectors. For example, the US market is comprised of 26% tech stocks, while the world ex-US contains only 6.5% tech. The tech sector and its percentages in varying global markets is only one example why comparisons cannot be made simply. If you adjust your research to accommodate varying sector percentages, you can start to get an idea of which markets are more expensive than others – but these numbers are never set in stone. Should you invest in hedged international stocks? If you choose to invest internationally, should you hedge those investments? Hedging international investments can remove the currency exchange risk. Many investors find success in partially hedging their portfolios. It can reduce the amount of volatility associated with currency rate swings. However, in some market conditions, it can actually reduce your returns. For more information on the pros and cons of hedging while investing internationally, be sure to listen to this episode of Money For the Rest of Us. Yes, there is risk in investing internationally – but there is opportunity as well! No matter how much research you do before investing, there will always be risks involved. Any investing market, domestic or international, carries currency, political, and human factor risks. Just because one market has dominated in the past does NOT mean it will continue to prosp
Wed, June 06, 2018
The Biggest Market Crash Is Recyclables
#208 How a Chinese ban and careless recycling habits by households and businesses led to a market collapse in recyclables. More information, including show notes, can be found here. Episode Summary The biggest market crash facing the United States today isn’t entirely economic in nature. It’s actually surrounding the idea of recycling and recyclable goods. Recycling is a service that most communities require and demand. But is it economical? Why has the market crashed in recent months? What are the solutions? This episode of Money For the Rest of Us will answer all that and more, so be sure to listen. What are the current values of recyclables, given the market crash? Most types of recyclable products have fallen steeply in price. Mixed paper prices have fallen 98% in the past year. Corrugated cardboard has fallen 48% and plastics ranked 1 to 7 have fallen 78%. Co-mingled plastics, aluminum, and steel have been holding steady or even increasing, however, the vast majority of recyclables aren’t bringing in the high returns they used to. In areas such as the Pacific Northwest, you even have to pay a company to take it off your hands. What changed? Be sure to listen to this episode to find out. What has caused this massive market crash? The biggest influencer in the recyclables market crash was China’s decision in January 2018 to ban imports of 24 different types of recyclable materials. Americans recycle 66 million tons of material each year, and much of this material used to be sent overseas to be sorted, cleaned, and processed. However recyclable exports to China fell 35% in the first 2 months after the ban, and future rates aren’t looking favorable. Now, all of this recyclable material has nowhere to go. To get the full story behind the China ban and how it impacts the US recycling industry, be sure to catch the full audio for this episode. The 5 main ways we can improve our recycling habits To solve the market crash issue, Americans need to rethink their recycling habits. The problem with “aspirational recycling,” or thinking everything can be recycled just because we want it to, is a contributing factor to this complex issue. 5 ways to combat the recyclable market crash and current mindset about recycling are featured on this episode of Money For the Rest of Us. Here they are: Understand that recycling isn’t going away Consider recycling rate stabilization funds Consider banning certain materials at specific plants to reduce contamination and mixed goods Revamp educational programs about recycling Develop recycling markets right here in the US What’s the real solution to the recycling market crash issue? Even with all the great strategies discussed on this episode, simply recy
Wed, May 30, 2018
How Do The Mega Rich Invest?
#207 Why the mega rich don't have magical investing powers, but there are some investing attributes they possess that we can emulate. More information, including show notes, can be found here. Episode Summary A new listener of Money For the Rest of Us inspired the question for this episode: how do the mega rich invest? Forbes reports that there are 585 billionaires in the US and most of them utilize a family office/professional management structure. But do they have some magical, secret way of making more money than the general population? Do they become exponentially richer by allocating their money in certain ways? These questions and more are explored on this episode, and it’s one not to be missed. What are the major differences in how the mega-rich invest? While the mega-rich, also known as ultra-high net worth individuals, don’t have any secret ways of making exponentially more money than the rest of us, they do invest in different ways. The biggest difference in investment strategies falls within the area of alternative investments such as venture capital, private real estate, energy investments, hedge funds, etc. Ultra-high net worth individuals invest as much as 46% of their portfolios in these areas, which is significantly more than many other investors. The mega-rich also hold more cash, combatting the illiquidity of their alternative investment strategies. These strategies are available to all investors but are more easily accessible to people with more funds at their disposal. Don’t be fooled, mega-rich investors DO make mistakes Even though the mega-rich invest in slightly different ways than typical investors, they are liable to make the same mistakes as everyone else. Many ultra high net worth individuals have fallen under the allure of hedge funds, but have generally been disappointed with performance. For example, a study CEM Benchmarking found hedge funds overall have been underperforming customized benchmarks with similar volatility at a rate of 1.3% annually, and they have been since 2000. Returns have also been especially disappointing in the long-short equity space. Do mega rich investors achieve the same rate of return as typical investors? Ultra-high net worth investors DO receive the same rate of return as other investors, however, they benefit from compounding. It’s simple math. If you’re able to put more money into a certain type of account that compounds in a beneficial way, you’ll come out on top faster than those who cannot invest as much. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.co
Wed, May 23, 2018
Be Bear Aware of Bank Loans
#206 Why the leveraged loan market (i.e. bank loans) is becoming more risky. What are collateralized loan obligations and how do they influence bank loans. Why I will sell my bank loans fund when the economy turns. More information, including show notes, can be found here. Episode Summary Just as you need to be “bear aware” when traveling in the backcountry, you also need to be aware of the risks and benefits when investing in asset classes such as bank loans. What may seem harmless on the surface could backfire within your portfolios if not treated with the appropriate level of caution and knowledge. On this episode of Money For the Rest of Us, David examines bank loans, also known as floating rate or leverage loans, and the various risks associated with this type of asset class. What are bank loans and why don’t they have interest rate risk? Bank loans or leveraged loans represent loans made by banks to non-investment grade companies. They have variable interest rates because the interest paid by the borrower is tied to short-term interest rates that are connected to LIBOR – the world’s most widely-used benchmark for short-term interest rates. For bank loans, as interest rates go up, values don’t go down. Bank loans also hold seniority when it comes to bankruptcy payback. Bank loans are getting more risky as investors move away from high yield bonds During the week of May 13-19, 2018 the net inflow to bank loan mutual funds reached $925 million – the largest intake in 55 weeks. The past 11 weeks have also had extremely high levels of bank loan intakes. Comparably, high yield bond funds had $1.3 billion during the same week in May 2018. The increased demand for bank loans from investors and from collateralized loan obligations is pushing up prices for bank loans, lowering their yields. The increased demand is also prompting more issuance. The bank loan market now exceeds $1 trillion – double the amount in 2010. Protections to those investing in bank loans are lessening There are more leveraged loans in the system as companies take on more debt. However, lender protections are weakening. Many bank loans are “covenant-light loans,” meaning they don’t have as strong of legal protections for creditors. Bank loans also have more flexibility regarding definitions of default. 82% of all leverage loans were considered covenant lite as of April 2018, compared to 60% in 2015. The lax lending standards should definitely cause investors to pause and consider the risks before investing in the asset class. Collateralized Loan Obligations David profiles the characteristics of the largest buyer of bank loans: collateralized loan obligations, also known as CLOs. Episode Chronology [1:02] What are bank
Wed, May 16, 2018
Is The Federal Reserve Really Printing Money?
#205 If the Federal Reserve has printed over $2 trillion dollar and given it to banks to lend, why is U.S. inflation still low? More information, including show notes, can be found here. Episode Summary Many people wonder if the Federal Reserve is really printing money. Varied schools of thought exist behind the value of money, how it gets injected into a country’s economy, and how it impacts the private sector. On this episode of Money For the Rest of Us David offers insights into this complex subject, all while giving you the best information regarding the Federal Reserve, its open market operations, bank reserves, and why we aren’t experiencing hyperinflation. It’s sure to be an educational episode that you don’t want to miss. Can the Federal Reserve create money without printing it? The US Federal Reserve is not able to produce physical money in the form of coins or bills. That’s the responsibility of the US Treasury, their Bureau of Engraving and Printing, and the US Mint. The Federal Reserve, however, can “print money” when it purchases U.S. Treasury bonds with money it creates by adding to its member bank reserves. Kimberly Amadeo, a writer at The Balance, explains this buying/selling of US treasuries by saying, “One of the Fed’s tools is open market operations. The Fed buys Treasuries and other securities from banks and replaces them with credit. All central banks have this unique ability to create credit out of thin air. That’s just like printing money.” How do banks create money for individual borrowers? Contrary to what many believe may happen, banks do not transfer money from a different account or withdraw it from a central vault for loans. Rather, David explains that banks “create money out of nothing” and withdraw it when loans are repaid. Thus, excess central bank reserves are not a necessary precondition for a bank to grant credit and therefore create money. Banks typically only have to have 10% of all accounts in reserves. If a bank lacks the reserves to cover the payments, it can be borrowed from an inter-bank market or central bank system. Why haven’t we seen hyperinflation due to these processes? The United States hasn’t seen an influx of hyperinflation because the private sector hasn’t been willing to borrow enough funds to strain the current capacity of the economic machine. David further explains the lack of inflation by using the two money aggregates that exist in the US: M1 and M2. M1 is composed of currencies, paper, bills, notes, traveler’s checks, and checking accounts (demand-deposits). M2 is made up of everything in M2 plus savings accounts, CDs, retail money market funds, etc. In March 2009, at the height of the recession, M1 levels were around $1.6 trillion. As of April 2018, the M1 was a
Wed, May 09, 2018
Why Are Investment Returns So Low?
#204 How low real interest rates contribute to low returns for stocks and other risk assets. How real interest rates are determined. More information, including show notes, can be found here. Episode Summary Low investment returns are never the best news for financial investors. On this episode of Money For the Rest of Us, David examines the relationships between real interest rates and investment return, who or what is driving real rates, and offers historical information on previous periods of low rates. His insights will shed light on this concerning issue, so be sure to give this episode your full attention. The US and the world are in a period of low real interest rates and real returns University endowments, retirement funds, and individual portfolios are currently affected by low-interest rates and low investment rates. If this continues, overall portfolio values could decrease after adjusting for inflation and spending. In the United States, we have seen an average 6.5% real return on stocks since 1900. The global average for real return rates has been hovering around 5.2%. However, these rates have been lower in the past 2 decades than they have been in the previous 80 years. There’s a linkage between real interest rates and subsequent asset class returns David delves into research on the relationship between real interest rates and subsequent investment returns on this episode of Money For the Rest of Us. He explains that when real rates were higher, the returns were much higher. For example, when real rates reached 9%, real returns on stocks were as high as 10.8%. Today, the real rates hover around 0% or even dip into the negative percentages. The real return for stocks at these rates have historically been just over 4%. What drives these low real rates? After hearing all of this information, listeners may be asking, “So who or what is driving these low real rates? And can they be manipulated to be higher to produce higher returns?” David quotes Former Federal Reserve Chairman Ben Bernanke who explains, “But what matters most for the economy is the real, or inflation-adjusted, interest rate. The real interest rate is most relevant for capital investment decisions, for example. The Fed’s ability to affect real rates of return, especially longer-term real rates, is transitory and limited. Except in the short run, real interest rates are determined by a wide range of economic factors, including prospects for economic growth—not by the Fed.” Essentially, no group or institution can manipulate these rates. What DOES influence these rates is the balance between those who save and those who borrow. Currently, the world is in a period of high savings and less borrowing, resulting in lower interest rates and lower returns. The tides for these r
Wed, May 02, 2018
Is Investing More Like Poker or Chess?
#203 How to make better investing and life decisions. More information, including show notes, can be found here. Episode Summary David asks the question, “Is investing more like poker or chess?” on this episode of Money For the Rest of Us in order to help you better understand why investing is inherently unpredictable. The book, “Thinking in Bets: Making Smarter Decisions When You Don’t Have All the Facts” by Annie Duke inspired this episode. David ponders big ideas such a reflexive vs. deliberative thinking and why the differences between causation and correlation must be considered. If you’ve ever wondered about how to improve your investing decisions while combining analytical research with skilled intuition, this episode will answer many of your questions. Investing and life are like poker – not chess! Many investors approach financial decisions like a game of chess, where there are correct and incorrect moves. However investing, and real life, are more closely related to poker, a game of uncertainties. Duke explains in her book that a term known as “resulting” drives poker games. “Resulting” is the belief that the quality of a decision affects the quality of the outcome. However, David explains that a great decision is a result of a great decision-making process, regardless of the end outcome. Learn how to improve your decision-making process by listening to this episode. Don’t assume causation when there’s only correlation One of the biggest threats to a good decision making processes it the belief that there is always a direct causation linking the process and the end result. Even with the best knowledge and highest levels of skill, investing still contains an element of uncertainty. Sometimes there aren’t any connections between the decisions investors make and the end goal. For example, if you purchase a house, fix it up, and sell it 3 years later for a 50% profit, does that make you great at real estate investing? Maybe. But it could also have been a result of an overall uptick in the housing market, and any buy/sell transaction would have been profitable. David wants his listeners to know that correlation between good investing decisions and profitable outcomes do not always mean the same result will occur. How can you improve the quality of your investing decisions? Since investing is strongly related to the uncertainties and variables found in a game of poker, there are never surefire ways to ensure every decision will be profitable. But there are ways to increase your chances of succeeding. Duke explains that “The quality of our lives is the sum of our decision quality plus luck.” Investors can enhance their decision-making skills by considering market trends and understanding that no one knows for sure what market variable
Wed, April 25, 2018
Will Your Next Car Be Electric?
#202 What are the impediments to the mass adoption of electric vehicles. More information, including show notes, can be found here. Episode Summary Over the past few months David has been traveling across the country and throughout the trip, he’s covered thousands of highway miles and seen countless vehicles. This inspired him to ask the question, “Will my next car be electric?” On this episode of Money For the Rest of Us he outlines how the vehicle market is changing, the benefits of electric vehicles over gasoline-powered vehicles, main factors prohibiting widespread adoption of electric vehicles, and the impact governments can have on consumer buying decisions. Conversations behind renewable energy and reliable transportation abound, and you’ll want to listen to this episode for the latest information on this heated debate. Cars are changing: they’re safer, but we’re purchasing less of them In 2017 there were 40,109 reported motor vehicle deaths, down 1% from 2016 figures. The number of deaths per 100 million vehicle miles traveled has been on a downward trend for decades. This is due in part to enhanced motor vehicle safety laws but also refined manufacturing techniques. Cars are getting safer! However, consumers are purchasing fewer vehicles than in years past. Vehicle sales peaked at 17.9 million for the year ending in March 2018, compared to 18 million in the prior year. In 2017 electric vehicles surpassed 1% of the entire market – a nominal figure compared to future projections of 25% of the market being comprised of electric vehicles by 2040. Electric cars are extremely efficient compared to gasoline-powered vehicles Perhaps the most common argument in support of electric vehicles is their efficiency. Popular models such as the Ford Focus Electric and Chevy Volt top the list of efficiency on a kilowatt-hour (kWh) to miles per gallon (MPG) scale comparison. These two models boast 19-20 kWh used per 100 kilometers driven. Conversely, a traditional gasoline-powered vehicle that achieves 20 MPG efficiency requires 131 kWh of energy to travel 100 kilometers. As the world moves towards cleaner, greener, and more renewable sources of energy, efficiency will become an even more important factor in the debate. What’s preventing electric vehicles from being widely adopted? Since electric vehicles are far more efficient than their fossil-fuel powered counterparts, what’s preventing their widespread adoption? David outlines 4 main reasons on this episode of Money For the Rest of Us: High upfront cost Cost of battery Production limitations Limited infrastructure for charging stations New electric vehicles start at around $30,000 and only go up from there. While battery costs are down from $1,000 per kWh of storage t
Wed, April 18, 2018
Is Your Portfolio Unbalanced?
#201 Why most conventional portfolios make huge and often unintended bets on the stock market. How role based investing can lead to a more balanced portfolio. More information, including show notes, can be found here. Episode Summary Having a balanced portfolio is a key to financial success. It offers a secure future and provides a level of security to your day-to-day lifestyle. On this episode of Money For the Rest of Us, David considers the question, “Is your portfolio unbalanced?” A new member of Money For the Rest of Us Plus introduced him to the book “Balanced Asset Allocation” by Alex Shahidi and it was the inspiration behind this podcast episode. 4 main reasons behind market volatility Shahidi writes, “The ultimate goal is to capture excess returns over time, with as little risk as possible. The more volatile the return, the greater the risk of capital loss.” David explains that there are often unintended consequences of single-track investment strategies and that having too much of your portfolio invested in one asset class is not a good strategy. Here are three main reasons as to why the market is volatile: A shift in the economic environment Shifting risk appetites A shift in expectations of future cash rates (future path of short-term interet rates) Every market segment has inherent biases in various economic environments The key to avoiding market volatility is to hold multiple asset classes. These various types of assets will allow you to benefit in any type of market. For example, slowing economic growth is better for traditional bonds, while accelerating growth is better for stocks. TIPS and commodities do better when inflation is increasing. Even though most investors have a heavy bet on economic growth because of their stock-heavy portfolio, the arguments outlined in Shahidi’s book encourage otherwise. Don’t be in the unenviable position of not receiving returns on your portfolio The single most important takeaway from this episode of Money For the Rest of Us is this: Don’t rely on any single asset class to provide financial returns. Shahidi writes, “Own asset classes that are as volatile as stocks, but that perform better in different economic regimes.” Shahidi recommends 30% in long-term Treasury inflation-protected securities (TIPS), 20% in commodities, 30% in long-term bonds, and 20% in stocks. Collectively, this type of portfolio could generate excess returns above cash, although many investors might find the volatility of the underlying segments unsettling. Why David DOES believe you can identify shifts in the market Investing will never be 100% predictable, it’s the nature of the game. But David does believe, contrary to what Shahidi writes in his book, that you CAN i
Wed, April 11, 2018
The Great National Debt Debate
#200 Joshua Sheats from the Radical Personal Finance podcast and I discuss our different views regarding the national debt and the severity of the U.S. government fiscal situation. More information, including show notes, can be found here. Episode Summary Navigating a housing bubble is often on everyone’s minds. With changing family needs, balancing multiple incomes, and varying environmental factors, finding a great house is a struggle most families face. On this episode of Money For the Rest of Us, David responds to a listener’s question of how to navigate a housing bubble. He explains the idea of “economic gravity,” outlines factors that are influencing the global housing market, and offers solutions to the housing bubble crisis. A housing bubble cannot break free from economic gravity David discusses the idea of “economic gravity” on this episode. Simply, over the long-term housing prices can’t be disconnected from the ability of households to service a level of mortgage debt – to successfully make those payments every month. Nobel prize-winning economist Milton Friedman explains, “When (corporate) earnings are exceptionally high, they don’t just keep booming – they can’t break loose from economic gravity.” The same concept applies to home prices. When prices are high, they can boom for an exceptionally long time. But they cannot break free from this underlying economic concept. Factors that are driving up the global housing market Housing bubbles are being created across the globe because of a few major factors. Low interest rates, offshore demand for domestic property, influxes in immigration, and interest only loans are all contributing factors to the housing bubble discussed in this episode of Money for the Rest of Us. David draws many parallels between the US housing market and those in Australia and Canada. Housing markets don’t always align with growing family needs Joe, the Money For the Rest of Us listener that submitted the question for this episode, is seeking different housing for his family as it grows and shifts. But he’s finding that unfortunately, housing markets don’t always align with growing family needs. Better school districts, larger homes, easier commutes, etc. are all factors that millions of Americans are seeking for their prospective homes. David encourages listeners to consider what type of housing their family can reasonably afford and still maintain the type of lifestyle they desire. You never want to purchase a house that you cannot comfortably afford. To hear more about the housing market in the US today, data on current housing prices across the country, and even more great information, don’t miss this episode. 3 ways you can respond to rising house prices After considering
Wed, April 04, 2018
What Kind of Money Is It?
#199 How a bank panic led to the creation of the Federal Reserve, and why having diversified sources of money can protect us in case we have a bank panic today and can't get access to our bank deposits. More information, including show notes, can be found here. Episode Summary Asking the question “What kind of money is it?” may seem a bit unnecessary. Everyone knows what money is, what it does, and why it exists. However, on this episode of Money For The Rest Of Us, David explains the different types of currency, why the bank panics of the 19th and early 20th centuries defined American banking today, and why it is so important to diversify your types of money holdings. How the Panic of 1907 defined the American banking systems we see today Thousands of Americans sadly learned that grand architecture could not shore up failing banks during the Panic of 1907. Massive amounts of money were lost due to failing institutions, party because only 5% to 25% of all deposits were held in cash. When citizens caught wind of the failures and wanted to immediately withdraw their holdings, the banks and trust companies could not fulfill their requests. A similar situation happened during the financial crisis of 2008 when the liquidity for banks lending to Wall Street dried up. David takes these complex scenarios and breaks them down into manageable ideas. Why were bank panics so common in the 19th century? Events such as the Panic of 1907 were common in the 19th century because there was not a central bank that could provide liquidity in times of crisis. Each state and national bank had their own currency. This proved to be unstable. The U.S. central bank, the Federal Reserve, was created as a reaction to the original Panic of 1907, and the US dollar as issued by the Federal Reserve began in 1914. The original gold standard lasted until 1933 when Americans could no longer redeem their notes for physical gold at the Federal Reserve. The 7 main characteristics of money, no matter the type There are seven main characteristics of money that tie different forms of currency together. They include the issuer, the form, the accessibility, the transfer mechanism, the availability, interest-earning capabilities, and the level of anonymity. Different types of currencies have some or all of these characteristics and each has a varying level of liability attached to it. David weighs the pros and cons of bank deposits, cash, central bank reserves, cryptocurrencies, and gold. Diversification in your money is important for those “just in case” scenarios David and many other investors are strong proponents of diversifying the different types of money you hold. Understanding that no system is fail-proof, and having different types of money that you can acces
Wed, March 28, 2018
Capitalism Is Creation
#198 Why save for retirement if capitalism is going to collapse and/or universal basic income will be available. How millennials can lead the next work transition. More information, including show notes, can be found here. Episode Summary Capitalism, universal basic income, socialism, and artificial intelligence are all tied together in America’s current economy. Today’s millennials are asking big questions about the future of the national economy and what place AI has in the job market. On this episode of Money For the Rest of Us, David tackles these questions and contemplates the idea of a universal basic income. The keys to successful capitalism and fulfilling employment are also discussed. Why aren’t millennials saving for retirement? David explains on this episode of Money For the Rest of Us that 66% of millennials have nothing saved for retirement. Why aren’t millennials investing in their own future? Some aren’t committing to a savings plan for retirement because they don’t believe capitalism will exist by the time they retire. Some even think socialism could it be a great retirement plan. There are, of course, many different degrees of socialism, including some that emphasize a market economy. David shares some of the negative consequences of state controlled socialism as practiced in Venezuela and Cuba. Artificial intelligence is not going to take over the world, but it will lead to a cultural shift and a consideration of universal basic income Why artificial intelligence is accelerating rapidly, AI is not going to take over the world as in some dystopian horror story. AI machines do not have the ability to be creative or complete multifaceted, complex tasks. So-called “weak” AI that is currently available can only complete one-track tasks, all of which must be pre-programmed. However, AI machines will eliminate the need for humans to complete repetitive and routine tasks. Since millennials are already shirking these factory-like positions, the only thing that will change in today’s economy once artificial intelligence becomes mainstream is the way we think about employment and entry-level positions. Since AI is set to potentially replace 50% of jobs over the next 20 years, significantly increasing the productivity of the economy in terms of the ability to produce goods and services with less resources, businesses, households and governments will need to grapple with how people will get income to pay for the ample supply of goods and services that will be available. State controlled economies should be feared, not something to look forward to in the American economy A top down, state controlled economy lacks the bottom up, creative dynamism of capitalism, although even capitalism has rough edges that need to be addresse
Wed, March 21, 2018
The Power of Less and Local
#197 Why having less things and activities gives us more freedom and happiness. Why low probability risks are unacceptable if the consequences affect all of us. More information, including show notes, can be found here. Episode Summary The inspiration behind this episode came from the idea of the power of local and less, from Nassim Nicholas Taleb’s book Skin in the Game. David discusses the power behind experimenting at the local level in order to avoid systemic risk, as well as why less is more when it comes to happiness. Living in a via negativa mindset can set you free Taleb writes extensively about “via negativa” in his book, which explains that “The act by removing is more powerful than acting by addition.” If having nice things means working long hours at a job you hate while sacrificing time with your loved ones, then perhaps having nice things shouldn’t be the end goal in life. If you’re not concerned with physical “stuff,” then you are free to live your life and pursue your greatest joys without the burden of material goods. David argues that if you’re not happy with less, then you certainly won’t be happy with more. By removing the negative aspects of your life, you can increase your level of overall happiness. A simple landscaping example illuminates this idea perfectly. If a wonderful hotel has impeccable landscaping, but the surrounding grounds are littered with trash and clutter, then the only thing one must do to improve the overall situation is to remove the clutter – not add more landscaping! Since via negativa states removing unnecessary or unwanted parts of your life will result in greater levels of happiness, it only makes sense to conclude that adding things will not give you the same result. People spend decades collecting items that they do not need or truly want. And the more they seek, the less happiness they find. For true happiness, one must appreciate all the good things in life and simply live day to day in a joy mindset. Why taking action against climate change is so critical, due to the precautionary principle While seemingly unrelated to via negativa, the second major principle discussed on this episode is just as critical. The precautionary principle is what drives Nassim Nicholas Taleb to take action against the global threat of climate change. Taleb argues that If an action could potentially destroy the planet, it is on those who pollute to show a lack of tail risk. So much of the controversy regarding climate change is about the accuracy of the scientific models, but what would the correct policy be if we had no reliable models? We only have one planet. Even a risk with a very low probability is unacceptable when it affects all of us – there is no reversing a mistake of that magnitude. If we don’t fully underst
Wed, March 14, 2018
How To Survive Financially
#196 Why relying on averages is dangerous given our fate is often determined by extreme events and how we react as financial markets, the economy and our own lives evolve. More information, including show notes, can be found here. Episode Summary As people age, one of the most common questions asked is “how can I survive financially?” The world is filled with unpredictable markets, unforeseen circumstances, and lifestyle events that may impact your ability to be financially secure. On this episode of Money For the Rest of Us, David explains some key concepts for fiscal survival long into old age. You don’t want to miss his insights, so be sure to give this episode your full attention. How you can survive financially even throughout a long lifespan David begins this episode by describing a man he met that is in his 101st year of life. This man has survived long past the median lifespan prediction for the United States and he is still living independently while being financially secure. In order to live happily into old age, you must first survive. You cannot begin to plan for retirement without first having your basic necessities taken care of. After you have secured the main pillars of survival, there are ways to have an investment portfolio last 40 to 50 years of retirement. David explains that “time removes the fragile and keeps the robust.” The longer your portfolio survives, the likelier it is to continue surviving. What truly matters is how you react to the unpredictable risks that enter your life Even the best financial consultants and investment specialists cannot predict the minutiae of life. Markets will rise and fall, family dynamics will shift, and your personal circumstances will always be ebbing and flowing as you age. Long-term financial success comes from understanding how much risk you are willing to take with your investments, evaluating the potential returns, and understanding that “the world cannot be solved, it must be lived.” David encourages his listeners on this episode to be self-aware and understand how to handle dramatic shifts in circumstances. Learning how to properly mitigate negative changes to ensure your financial security is also critically important. So how can you combat these unforeseen variables? In addition to being self-aware and knowing your own decision-making strengths and weaknesses, David explains that there are multiple ways to protect your financial future. You can mitigate the tail risks of stocks by investing in the following different areas: public securities, public entities, gold, land, and single premium immediate annuities. The added layer of Social Security is also a good thing to keep in mind, however, it should not be solely relied upon. The 4% spending rule and the importanc
Wed, March 07, 2018
Has A Trade War Begun?
#195 Why duties and other actions are necessary to address trade disputes, but across the board tariffs are a blunt instrument that can lead to a devastating trade war and global recession. More information, including show notes, can be found here. Episode Summary With President Trump recently unveiling new tariffs, many investors and economists are asking the question, “has a trade war begun?” On this episode of Money For the Rest of Us, David Stein explores this idea and explains the new tariff plans, the potential impacts on the steel and aluminum industries, and why there are better solutions to the complex trade system than just blanket tariffs. Why new tariff plans were created and the concern surrounding national security When President Trump unveiled his new tariff plan and claimed via Twitter that “trade wars are good and easy to win,” the stock market fell 2% and people across the world began asking countless questions. Are these tariffs going to apply to every single country, even longstanding US trade partners? How will this impact the US economy? To answer these questions, David explains that trade investigations regarding steel, aluminum and oil imports have occurred several times in the past, and one of the main goals is to determine if competition from imports is having a negative impact on national security. National security goes beyond just national defense and include impacts on the overall domestic economy. Recent findings and insights on the 2018 aluminum report The January 2018 report on the aluminum industry found that there is a connection between the economic welfare of the US and national security because of the loss of skills, higher amounts of foreign investments, the unemployment rate of US forces, and many other reasons. Since the US aluminum industry is only operating at 43% of capacity, and aluminum imports comprise 90% of consumption and are up 60% from 2012, the Department of Commerce determined that aluminum imports are directly impacting national security. The report found domestic aluminum production was becoming unstable and nearing a point where US forces would be unable to respond to a national emergency that would require an increased level of production. How do the findings on the steel industry differ from those of the aluminum industry? When compared to the findings of the aluminum study, the US steel industry and the impact of foreign steel are not nearly as dramatic. While imports have increased due to foreign competition, there’s no shortage of domestic steel. Imported steel only makes up approximately 30% of US consumption, and the Department of Commerce recommendation for taking action was because steel imports were weakening the U.S. economy rather than there being insufficient steel to meet nation
Wed, February 28, 2018
Four Investment Lessons From Warren Buffett
#194 Four investment lessons from Berkshire Hathaway's fiscal year 2017 Shareholder Letter with additional insights from Howard Marks and Seth Klarman. More information, including show notes, can be found here. Episode Summary Every year, Berkshire Hathaway releases a letter written for their shareholders filled with information on their performance, portfolios, and investments. On this episode of Money For the Rest of Us, David digs into the 2017 letter and discusses four investment lessons Warren Buffet shares. It’s filled with great insights that any independent investor shouldn’t miss, so be sure to check out this informative episode. Investment Lesson #1 – Use debt prudently Buffett writes in this letter, “Investing is an activity in which consumption today is foregone in an attempt to allow greater consumption at a later date. ‘Risk’ is the possibility that this objective won’t be attained.” On this episode of Money For the Rest of Us, David encourages his listeners to utilize debt in such a way that maximizes future opportunities while also managing the risk that comes with taking on debt. He discusses the idea of “float” money, how one investor could have avoided losing half of his portfolio, how to manage margin calls, and why you have to be confident in your decisions as an independent investor. Investment Lesson #2 – Keep your eyes open and focus on a few fundamentals It takes patience, but independent investors can focus on the leading edge of the present and invest in ways that major corporations may not be able to do. One must simply be aware of the opportunities that are occurring right now as well as focus on a few fundamentals: valuations, economic trends, portfolio drivers, asset classes, etc. David quotes Buffet on this episode and explains that “Though markets are generally rational, they occasionally do crazy things. Seizing the opportunities then offered does not require great intelligence, a degree in economics or a familiarity with Wall Street jargon such as alpha and beta. What investors then need instead is an ability to both disregard mob fears or enthusiasms and to focus on a few simple fundamentals. A willingness to look unimaginative for a sustained period – or even to look foolish – is also essential.” Investment Lesson #3 – Stick with easy decisions and avoid excessive trading Unfortunately, trying to outsmart the market can lead to short-term gains but longer-term mediocrity in investing. David outlines a bet that Warren Buffett made with Protégé Partners and how Buffett learned that sticking with the big, easy decisions often pays off more than getting caught up in the minutia of constantly buying and selling. By making infrequent, larger decisions an independent investor can make better prog
Wed, February 21, 2018
Why Plan If Life Is So Unpredictable?
#193 How planning helps us avoid catastrophic errors while maintaining flexibility and margins of safety allow us to thrive even if our plans don't work out. More information, including show notes, can be found here. Episode Summary There are two sides to the “why plan if life is so unpredictable?” debate that David talks about in this episode of Money For the Rest of Us. Some individuals believe you should plan even though countless variables exist, and others insist on not planning for even the slightest event. David has found that in every aspect of life, the only predictable idea is the fact that nothing is 100% predictable. He also believes that there must be a healthy balance between planning for the future and living life day by day. To hear David’s solutions to this age-old dilemma, and to learn how to maintain a healthy level of financial flexibility, be sure to listen to this episode. Is failure an option? Or are minor mistakes irrelevant as long as the bigger picture is intact? David discusses two companies in this episode that perfectly illustrate the question “why plan?” NASA is famous for operating under the “failure is not an option” mindset. After the devastating loss of the Challenger Space Shuttle in 1986, redundancy and extra precautions were built into every level of operation. While avoiding catastrophic mistakes is certainly of great importance, NASA’s high level of caution often leads to inflated costs and drawn out construction timelines. In a recent article published by Financial Times, John Thornhill writes about another aerospace company called Planet. Planet has deployed the world’s largest fleet of private satellites that circle the globe taking photos of Earth’s every inch. These nanosatellites known as CubeSats are not high-resolution cameras and they can cost as little as $20,000 to create. If one (or even a handful) of Planet’s satellites fail, it may be considered a failure but it does not threaten the operation of the entire network. Planet operates within the idea of failure being acceptable, as long as the greater goal is still being accomplished. Determining the right timing for action is often the most challenging part of financial planning Once you have decided that small failures are okay for your own financial decisions, you must then determine how to know when to act. When deciding when to sell, buy, or invest you should wait until the time is right, but understand that life happens and things will come up when you least expect them. For example, David explains how he used the tool Portfolio Visualizer to model retirement planning outcomes but the success depends on the assumptions used and the range of potential outcomes is wider than what we are typically comfortable with as individual investors. We are often taught that the
Wed, February 14, 2018
Is Anything Scarce Anymore?
#192 In this episode we explore scarcity. Artificial scarcity created by laws and real scarcity created by our evolving lifestyles and economy. We'll see that most physical products, with drinking water being an exception, are becoming less scarce while trust and attention are becoming more scarce. More information, including show notes, can be found here. Episode Summary – Is Anything Scarce Anymore? Scarce goods and services have been a topic of debate since the original intellectual property (IP) laws were created. Products are getting cheaper to produce, but high-quality services are still in demand. On this episode of Money For the Rest of Us, David tackles the issue of scarcity with clear explanations and timely resources that are sure to help you understand this complex idea. You don’t want to miss his insights, so be sure to listen to this episode. The history of economics, scarcity, and why intellectual property laws are outdated David explains on this episode that the original purpose for IP laws was to ensure people would continue to create quality ideas and content. While these laws worked in theory, they created a level of artificial scarcity. Mark Lemley of Stanford Law, explains that “IP rights are designed to artificially replicate scarcity where it would not otherwise exist. In its simplest form, IP law takes public goods that would otherwise be available to all and artificially restricts their distribution. It makes ideas scarce because then we can bring them into the economy and charge for them, and economics knows how to deal with scarce things.” While certain protections should be given to creators, scarcity needs to occur in an organic way in order for it to be effective. David illuminates this concept through the lens of TED talks and conferences. TED is able to publish all of their talks online – with full audio, video, and transcripts – because tickets to the physical conference cost hundreds or thousands of dollars. How free content can still be turned into a money-making venture David features Cory Doctorow’s work on scarcity on this episode, and quotes him as saying “Although it’s hard to turn fame into money in the arts, it’s impossible to turn obscurity into money in the arts.” Essentially, even if a creator produces exceptional content, no one will know about it if they’re 100% obscure and protected. Technically speaking, this aversion to positive externalities permits the creator to live in fear of someone benefiting from their work for free. Without digital and word-of-mouth exposure, you won’t make money – period. Thus, the free content you produce and distribute can drive interested parties towards your other content, such as books or fee-for-service courses. There will always be paying customers for quality work, even if you have to g
Wed, February 07, 2018
Has The Bond Bear Market Begun?
#191 Why interest rates are rising and what could happen to bonds, stocks and the economy if rates returned to more normal levels. More information, including show notes, can be found here. Episode Summary – Has A Bond Bear Market Begun? On this episode of Money For the Rest of Us, David Stein walks you through the complex idea of a bond bear market. He explains that a market consisting of losses of 20% or more are considered a bear market type loss and that this type of loss is possible even in the bond market. David states that “It’s important to understand what drives interest rates, how high they could get, and what the ramifications of that are.” Be sure to listen to this full episode to fully understand this idea and to hear some of David’s suggestions for investing in a rising interest rate environment. When was the absolute low in interest rates and the beginning of the bond bear market? After the Brexit vote, in early July 2016, ten-year treasury bonds were yielding 1.37%. Today, they’re yielding 2.85% with an annualized return over that period of approximately negative 4.5% annualized. Ray Dalio, the founder of the hedge fund Bridgewater Associates and author of “Principles,” explains, “A 1% rise in bond yields will produce the largest bear market in bonds that we have seen since 1980-1981.” Investors around the globe are asking big questions about what these changes in interest rates mean, and David does a great job of explaining the issues on this episode of Money For the Rest of Us. The simplest way to dissect the complex idea of interest rates With a discussion of the bond bear market comes many moving parts. David seeks to explain the concepts while utilizing the analogy of cutting an apple. An apple can be cut in many different ways, and each method uncovers a new way of looking at the apple and its pieces – in this case, interest rates. There are two main interest components that are discussed in this episode of Money For the Rest of Us: inflation expectations and real rates (i.e. your return after inflation.) Analyzing how high interest rates could rise by decomposing the nominal yield into the expected path of future short-term interest rates and term premiums Not only does David explain the idea behind a bear market on this episode of Money For the Rest of Us, he also examines nominal yields and how they can be dissected into the expected path of future short-term interest rates and term premiums. While the drivers behind climbing interest rates cannot always be observed directly, these two main factors shed light on just how high interest rates could climb in the coming years. Also, learn how the Federal Reserve estimates the path of short-term of interest rates and why term premiums are countercyclical and tend to rise
Wed, January 31, 2018
How To Keep Up With Inflation
#190 What investments are best for maintaining purchasing power relative to inflation. Using the pencil as an example, how inflationary and deflationary forces work together over decades to determine the price of product. More information, including show notes, can be found here. Episode Summary – How To Keep Up With Inflation Businesses and individuals are asking questions such as “How can we protect our earnings and purchasing power? How do we invest smartly while keeping inflation in mind?” On this episode of Money for the Rest of Us, David Stein takes an in-depth look at inflation and the causes behind it by examining the issue through the lens of a case study on pencils. You don’t want to miss out on his thorough explanation, so be sure to listen to this episode. Forces that contribute to inflation and deflation as viewed through a case study on pencils The simple pencil is an extraordinary example of the inflationary and deflationary factors that influence nearly every aspect of consumerism. In 1844, U.S. made pencils sold for $0.75/dozen, or $6.25/dozen in today’s dollars, but pencil costs did not keep up with overall inflation rates. With the invention of pencil-making machines, the world soon saw a drastic increase in the number of pencils being produced, but consumers already had an “anchored price point” in their minds. Their understanding of what a pencil was valued at and what it should cost did not reflect the actual costs. Essentially, cost savings were not passed onto consumers. Why great selling environments for pencil manufacturers didn’t last long Even though the demand for pencils was drastically increasing in the early 20th century, manufacturers were quickly plagued with a number of issues: decreasing amounts of American red cedar wood, a large influx in foreign orders, and a variety of other capacity constraints. As the industry began to examine the possibility of using secondary wood sources and increasing the productivity power of machines, price points for pencils continued to shift. Additional inflationary and deflationary factors that impacted pencil production As the pencil industry began to move into the 21st century, there were many factors that greatly influenced its path. Deflationary pressures such as imports from low cost countries and quality and productivity improvements led to lower pencil prices. However inflationary factors such as rising raw material costs, capacity constraints due to increased demand, and higher wages also greatly impacted the industry. Consumer behavior as it relates to inflation and investment suggestions to combat inflation rates With the story of the pencil’s journey in mind, David shares his top suggestions for ways to invest to keep pace with inflation.
Wed, January 24, 2018
Should The Minimum Wage Be Raised?
#189 Will increasing the minimum wage help or harm workers and businesses? How many U.S. workers are paid at or below the minimum wage? More information, including show notes, can be found here. Episode Summary – Should The Minimum Wage Be Raised? Nearly every employee in the United States has grappled with the minimum wage question at some point in their lives. High schoolers, recent college graduates, and older workers all ask themselves, “Can I survive on an hourly job making the minimum wage?” Professors, industry leaders, and government officials debate over if the national minimum wage should be raised, and if so, by how much? Join David Stein as he sheds light on this challenging episode and uncovers truths behind the minimum wage in the United States today, where the workforce is headed in the future, and some creative potential solutions. The current state of the minimum wage in the United States The minimum wage was initially created in the 1930s to prevent employers from forcing workers to work for pennies on the hour. Businesses and governments at every level were asking themselves, “Can companies survive if they are forced to pay workers a set amount?” Today, that same question is being asked. While the minimum wage has come a long way from the original $0.25/hour amount – the current national minimum wage is $7.25/hour – a large portion of the workforce is still being paid hourly. According to the Bureau of Labor Statistics, 80 million workers aged 16 and up work hourly, with 701,000 making exactly $7.25/hour and 1.5 million earning less than minimum wage. For more statistics on the current state of the minimum wage workforce, be sure to check out the full episode. What is the impact on the workforce if the minimum wage is raised? There are countless short and long-term impacts on the American workforce that would arise from raising the minimum wage. While short-term impacts are nearly indistinguishable from not changing the minimum wage at all, many jobs will be lost in the long run as a result of raising the minimum wage. As explained in the “ Wage Shocks and the Technological Substitution of Low-Wage Jobs ” research article, automation is quickly substituting humans in routine cognitive jobs – and contrary to popular opinion these jobs are not being lost to offshoring either. To hear more about the varying impacts from raising the minimum wage, be sure to listen to this episode of Money For the Rest of Us. Three enlightening findings from the most recent study on the minimum wage According to the article “<a href="https://f247968a-a-62cb3a1a-s-sites.googlegroups.com/site/isaacsorkin/aaronsonfrenchsorkin_puttyclay.pdf?attachauth=ANoY7c
Wed, January 17, 2018
Should You Pay Off Debt Or Invest?
#188 How our net worth is more than our financial capital but includes our lifetime earning capacity or human capital. What role does debt play in investing in human capital and how our human capital impacts how we allocate our financial investments. Why stocks aren't less risky in the long-term. How to invest a lump sum payment and how I recently did so in today's market environment. More information, including show notes, can be found here. Episode Summary At some point in our lives, we all have to deal with the issue of debt. It’s a specter that hangs over our heads and gives us an uneasy feeling until it is gone. Debt has a cost, naturally so because it demands interest all the time. A question that comes up often is whether or not it is better to pay off debt immediately, primarily because it IS debt, or if a better return can be achieved, should available money be placed into investments instead? You could run the numbers and figure out what looks best on paper and go with that. But the answer is honestly not that simple. This episode is designed to walk you through many of the issues that should be considered when answering the question. If it costs you less numerically to pay interest on loans than you could make on investments, you should invest instead of paying off debt, right? Maybe it’s not that simple Let’s do the math. If you are paying 5% for your home mortgage and have a lump sum of cash available to pay it off, but you also have the opportunity to lend the money to a real estate crowdfunding platform with a guaranteed return of 9%, isn’t it true that you would make 4% more by investing in the crowdfunding platform than you would if you paid off the mortgage? Yes, that’s what the numbers say, but there’s more to be considered. You want to think about things like human capital, the nature of the debt, and the mental cost you bear for having the debt hanging over you. Most people should try to do both: invest and pay off debt. Here’s why- When it comes to the choice between paying off debt with available funds or investing those funds elsewhere, there is no cut-and-dried answer that fits everyone. But after doing his research in thinking through the issue, David feels that most people should try to do both. While there is a psychological benefit to paying off debt, there is also the knowledge and discipline that comes from investing. In This Episode You’ll Learn [0:46] Welcome to the show – and could you help spread the word? [1:55] Should you pay off student loans first or put your cash into investments? [4:20] We’ve got to consider the cost of developing “human capital” [9:40] What is debt and how does short-term VS long-term debt apply [12:45] How do human capital issues impact how we invest? [16:13] Why most people
Wed, January 10, 2018
Do You Have Dollars and Sense?
#187 Why opportunity costs should be our primary frame for deciding what to buy instead of anchoring, mental accounting or whether we pay with a credit card or cash. More information, including show notes, can be found here. Episode Summary When David noticed that a new book by Dr. Dan Ariely and Jeff Kreisler was actually titled, “Dollars and Sense,” he couldn’t believe his eyes. That’s one of the most tired and overused phrases when it comes to financial writing and publication. Yet, there it was, a best seller on Amazon. The title wasn’t enough to keep him from reading the book and he’s very glad that he did. This episode highlights some of the concepts expressed in the book including the difference between investment and speculation, what it means to do malleable mental accounting (which is not a good thing), and why we need to consider opportunity costs when making purchases. If you want to have sense in the way you use your dollars, this episode is for you. This episode is about spending dollars while maintaining your common sense… and why many of us are not able to do it All of us fall into strange patterns of behavior when it comes to spending money. We can either be far too stingy and refuse to spend money for things we legitimately need, or we can convince ourselves that a purchase we desire to make is for our good or in our best interest when the facts reveal something different. David has a great way of explaining why those kinds of things happen and on this episode uses his own back and forth experience when buying furniture to demonstrate the good, the bad, and the expensive of making purchases for both good and bad reasons. Be careful that you don’t convince yourself that a purchase is an investment when it’s really nothing more than speculation As David and his wife were shopping for furniture they came across many beautiful but expensive antique pieces. The outcome of their furniture shopping is quite ironic because David started out feeling a bit of pain about having to spend money at all – and he wound up purchasing some of the most expensive pieces they found in their shopping adventure. How did it happen? One of the ways was that David convinced himself that the purchase of antiques was actually an investment because the value was likely to increase over the years. But according to all rational definitions, that is not investing, it is speculating. Malleable mental accounting: How you convince yourself to spend money for reasons you never intended If you want to truly use common sense when spending your dollars, you need to understand a phenomenon called malleable mental accounting. It describes the way we convince ourselves that a purchase makes sense when it actually doesn’t make sense according to the budget. It’s a way we ju
Wed, January 03, 2018
Why Do We Pay Taxes?
#186 Why paying taxes has very little to do with funding the federal government. We also explore the potential impact of the U.S. tax reform on households, businesses and the economy. More information, including show notes, can be found here. Episode Summary – Why Do We Pay Taxes? They say the only things certain in life are death and taxes. While that’s probably true it’s also likely that many people who have resigned themselves to paying taxes don’t truly understand why taxes are necessary. In this episode, David covers the issue extensively in light of the new Tax Cuts and Jobs Act the U.S. Congress has passed. If you take the time to listen you’ll not only understand the recent tax legislation better, you’ll also understand why you have to pay taxes in the first place, and what it does for the nation. Consider it a 30-minute lesson in economics and government spending that actually applies to your life. Comparing the U.S. tax system to other countries like Denmark makes you wonder why taxes have to be so complicated One of David’s friends lives in Denmark. In a recent conversation, this friend mentioned that it took him less than 10 minutes to prepare and file his taxes. Really? It’s true. But there are other things about the tax system in Denmark that might not be so attractive, like a 36% to 52% tax rate. When David started looking over his tax liability in light of the recently passed Tax Cuts and Job Act, the contrast between the two systems was obvious. After 45 minutes David couldn’t understand the implications of the legislation so he asked his tax accountant whether he’d get a tax cut or not. The answer? Maybe. It’s complicated. In this episode, David explains some of the basic principles behind how our economy and national budget work, including why taxes are necessary at all. One reason we pay taxes is to prevent inflation. Here’s how it works: When a government spends more than it takes in, it runs a deficit and then issues debt in order to balance its accounting books. If the federal government spends and spends and spends, the capacity of the private sector to produce goods and services is constrained and prices rise. That’s how inflation happens. Paying your taxes can help prevent inflation because it can keep federal government from overspending, particularly during a period when the economy is growing quickly. As the economy expands, households and business get more income, which means they have to pay more taxes, which keeps the federal budget deficit at a reasonable level. What will be the overall impact of the 2017 Tax Cuts and Jobs Act? It’s expected that the new tax legislation for 2017 is going to stimulate the economy by encouraging more production and creating incentives for more workers to join the workforce. Lower taxes mean
Wed, December 27, 2017
Introducing Topics by Money For the Rest of Us
There is no regular episode of the podcast this week, but there is a new podcast you can subscribe and listen to: Topics by Money For the Rest of Us. This is a seasonal show released monthly that categorizes existing episodes into topics with a newly recorded introduction. Please subscribe so you automatically get the seasons as they are released. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
Wed, December 20, 2017
A Conversation On Retirement With Jason Parker - Year End Special
A wide ranging discussion on retirement math, sequence of return risk, investing buckets, scaling exposure to Bitcoin and gold, and creating a lifestyle business. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
Wed, December 13, 2017
Are U.S. States Just Like Greece?
#185 How Illinois and other states can suffer a debt crisis like Greece but why it wouldn't lead to an economic depression similar to what Greece suffered. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 06, 2017
Massive Job Losses Are Inevitable But There Will Still Be Work
#184 Why technology eliminates jobs but doesn't increase the level of unemployment even though for more than 50 years that has been the worry. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 29, 2017
How To Invest In Commercial Real Estate
#183 What to look for when investing in public real estate investment trusts ("REITs), private REITs and direct real estate deals on crowdfunding real estate platforms. What are current valuations for REITs and commercial real estate. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 22, 2017
Was Tulipmania Just Like Bitcoin?
#182 What caused tulip mania in the 17th century in the Netherlands and how is it similar to Bitcoin? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 15, 2017
Does Illegal Immigration Help or Hurt the Economy?
#181 What is the economic impact of illegal immigration. What would be the cost and impact of mass deportation. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 08, 2017
Can You Outperform Harvard's Endowment?
#180 Why have college endowments underperformed a simple three fund Vanguard portfolio? Should you mirror a simple two or three fund portfolio or invest more like an endowment with multiple asset classes? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 01, 2017
Free Markets and the Great Famine
#179 How a concern about interfering in markets and trade may have contributed to over one million deaths during the 19th century Great Famine in Ireland. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 25, 2017
Japan the Impact of a Shrinking Population
#178 How a country’s working age population growth impacts economic growth and stock returns. What Japan can do about its population decline. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 18, 2017
How Business Contributes To Income Inequality
#177 How high profits and low investment by business in R&D and workers lead to income inequality. Why the current situation is unsustainable and what can be done about it. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 11, 2017
Are 60 Percent of Americans Insolvent?
#176 What percent of Americans are insolvent and what makes data trustworthy. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 04, 2017
How To Conduct Investment Due Diligence
#175 What attributes should you look for in analyzing an investment advisory firm, financial planner, investment partnership, crowdfunding platform or other investment related offerings. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 27, 2017
Navigating Modern Life Like The Amish
#174 What the Amish can teach us about adopting new technology without being overwhelmed. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 20, 2017
Should You Invest Based On Economic Cycles?
#173 What are some of challenges of investing using long-term economic cycles. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 13, 2017
Equifax Aftermath—Should You Freeze Your Credit To Protect Against Identity Theft?
#172 Why your personal data will be compromised if it hasn't already been, and what to do to protect yourself from the consequences of identity theft. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 06, 2017
The Extraordinary Impact of Cities
#171 Why cities are the primary driver of economic growth and why do they outlive companies. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 30, 2017
Are Financial Markets Efficient?
#170 Why investment markets can be both efficient and inefficient depending on the environment, and how that should impact your investing. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 23, 2017
Eclipse Special: The Sound of the Totality From Idaho
A short episode on the August 2017 solar eclipse as it happened. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
Wed, August 16, 2017
The Debt Ceiling—What Happens If the U.S. Defaults
#169 What could happen if the U.S. Congress doesn't raise the debt ceiling and defaults on U.S. financial obligations, and why does Congress wait until the last minute before it acts on these things. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 09, 2017
Is Life More Difficult For Millennials?
#168 How being a millennial is both different and the same from young adults of earlier generations. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 02, 2017
Is Bitcoin Better At Money Than The Dollar?
#167 Why bitcoin is a compelling speculative diversifier and how it has been a better store of value than both the U.S. dollar and gold. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 26, 2017
Do We Really Need Growth?
#166 Why enterprises, industries, and economies can't grow at all costs but need to enrich humanity and strive for permanence and sustainability through regeneration. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 19, 2017
Why Do We Invest? It's Not Just For Return
#165 How corporations evaluate and use investment capital provided by individuals. Why companies find it easier to buy back stock rather than invest in capital projects. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 12, 2017
Optionality—When To Keep Your Options Open and When To Commit
#164 How to use the asymmetric payoff of options, trial and error, and commitments to better yourself financially and in other areas of your life. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 05, 2017
Vacation Special: A Conversation With Roger Whitney, The Retirement Answerman
A conversation with Roger Whitney about retirement investing, asset allocation, active versus passive management, luck versus skill, behavioral finance the difference between investing, speculating and gambling. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
Wed, June 28, 2017
Is There An Indexing Bubble?
#163 How an indexing bubble is manifest, why most active managers underperform and how individuals can structure their own quasi index fund that outperforms the market. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 21, 2017
Is Inflation A Good Thing?
#162 What causes inflation and why do central banks allow it to persist instead of having a 0% inflation target. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 14, 2017
What You Need To Know About Retirement Calculators
#161 How retirement planning and retirement spending calculators work and what are some of their flaws. Why figuring out how much money you will have when you retire and how long it will last is a lot like the work hydrologists do to figure out whether Phoenix or Los Angeles will run out of water. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 07, 2017
Why Ethical Consumption Is Myth
#160 How cost, complexity and an unachievable standard keeps us from consuming ethically while the stories we tell ourselves make us feel good about our purchases anyway. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 31, 2017
Vacation Special: A Conversation with Michael Port
In this interview with Michael Port, we discuss asset allocation, business, healthcare, minimalist investing, roboadvisors, our emotional relationship with money, and selecting a financial advisor. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
Wed, May 24, 2017
What You Need To Know About Volatility
#159 What is volatility, what determines it and how to invest in it. But should you? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 17, 2017
How To Invest Like A Cockroach
#158 How reserves, slack and simple rules of thumb help us deal with radical uncertainty. Why the next financial crisis is unlikely to be like the last one. This episode of Money For the Rest of Us is sponsored by Health IQ, an insurance company that helps health conscious people get special life insurance rates. Go to healthiq.com/david to support the show and learn more. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 10, 2017
The Most Important Economic Question Of Our Time
#157 Why the likelihood of a future fiscal crisis sparked by the national debt depends on whether there is a limited or an unlimited supply of money. Is it possible the federal government's endless borrowing could crowd out the private sector and harm the economy? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 03, 2017
Your Job Or Half Your Business Could Be Gone Tomorrow
#156 How to gain a personal competitive advantage in an evolving job and business environment. This episode of Money For the Rest of Us is sponsored by Health IQ, an insurance company that helps health conscious people get special life insurance rates. Go to healthiq.com/david to support the show and learn more. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 26, 2017
Clues To The Next Financial Crisis
#155 How panic caused the great financial crisis and what to look for to see if it is happening again. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 19, 2017
Do Homeowner Tax Breaks Cause Homelessness?
#154 How a transitioning economy, government regulation and tax policy have contributed to stagnating wages, rising housing costs, and homelessness. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 12, 2017
Will Social Security Go Bankrupt?
#153 Why Social Security will not collapse and the four actions government can take to make sure it won’t. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 05, 2017
You Know Less Than You Think
#152 How simple rules, just-in-time learning and checking your understanding can help you make better financial decisions. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 29, 2017
Amazon Impacts Everything
#151 How even index fund investors have a big stake in the Amazon revolution. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 22, 2017
Finding Your Perfect Match
#150 How to navigate matching markets where price alone doesn’t determine the outcome. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 15, 2017
Do You Have Enough To Retire?
#149 How to estimate how long your assets will last in retirement and the steps you can take to take make them last longer. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 08, 2017
Is Your Financial Advisor Loyal To You?
#148 Why some financial advisors must show undivided loyalty to you while others can have undisclosed conflicts of interest. How to tell the difference. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 01, 2017
Is Infrastructure A Good Investment?
#147 How to invest in infrastructure assets and why there is a perpetual infrastructure "crisis". See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 22, 2017
How To Decide What To Buy
#146 How to optimize your purchase decisions and why eliminating negatives can increase happiness more than buying more stuff. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 15, 2017
People Like Us Invest Like This
#145 Our view of the world dictates how we should and should not invest. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 08, 2017
Trade Deficits Aren't Always Bad. Trade Wars Are
#144 What causes trade deficits and how they can both help and hurt a country's economy. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 01, 2017
Are You Investing, Speculating or Gambling?
#143 What is the difference between investing, speculating and gambling. Why binary options trading is gambling. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 25, 2017
Why Are Some Nations Wealthier Than Others
#142 Poor nations work harder than rich ones. Why then are they still poor? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 18, 2017
The Universal Law You Need To Overcome To Thrive
#141 How to overcome the second law of thermodynamics in investing and living. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 11, 2017
How Climate Change Could Impact Your Investments and Your Life
#140 Is there a carbon bubble whose bursting could lead to financial instability? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 04, 2017
Are You Making Fear-based Financial Decisions?
#139 How to design a life, pursue a career, and build financial security without acting out of fear. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 28, 2016
Year End Special - Live From Fincon - What I Learned Investing in 2016
Conversation with Brian Bain of Investor In the Family at the Fincon financial media conference about what we learned investing in 2016. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
Wed, December 21, 2016
Should You Sell Your Stocks Before Trump Takes Office?
#138 How to make decisions in the face of uncertainty and why deciding to sell stocks should be based on feelings of regret rather than gut feelings about what we think will happen with financial markets and the economy. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 14, 2016
Is the American Dream Dead?
#137 Are private equity buyout activities contributing to income inequality and the death of the American Dream? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 07, 2016
Filter By Asset Class - Featuring Preferred Stocks
#136 How framing and filtering by asset classes makes investing easier. How to invest in preferred stocks. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 30, 2016
Embrace the Messiness
#135 Why we need to control the chaos while embracing messiness in living and investing. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 23, 2016
It's Just Money
#134 Why we should be indifferent toward money and what are the risks of a dollar shortage. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 16, 2016
Interest Rates Are Rising. Four Things You Can Do.
#133 Here are four investment strategies investors can use to avoid losses due to rising interest rates. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 09, 2016
Trump Wins. Now What?
#132 What should you do about Trump presidency? And how the truth was the real loser in this presidential election. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 02, 2016
Is This The Creepiest Investment Ever?
#131 How hedge funds and pension plans earn 20% a year buying life insurance policies from unwary individuals. Why it's better to keep your permanent life insurance rather than sell it. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 26, 2016
Should You Buy A Vacation Home?
#130 How changes in financial circumstances, property markets, zoning rules and personal taste can make owning an illiquid vacation property a risky proposition, but why we bought our dream place anyway (and then sold it). See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 19, 2016
Finding Simplicity On Other Side of Complexity
#129 Why we need to embrace complexity in order to find lower cost, less stressful solutions to challenges including with investing. Plus is investing moral? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 12, 2016
Is There Too Much Savings?
#128 How holding onto goods longer before replacing them and a global savings glut impact the economy, interest rates and stock returns. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 05, 2016
Investing Is Wayfinding
#127 Investing is like exploring an unknown territory. What are the tools to help us navigate. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 28, 2016
Where Federal Money Flows
#126 Why cutting federal spending and trying to lower the national debt reduces household income and spending, potentially causing a recession. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 21, 2016
Is The Economy Really Doing That Poorly?
#125 How to thrive in an ever changing, increasingly complex economy. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 14, 2016
Build Your Inventory, Discover Your Theme
#124 How to balance developing new skills, learning new things and becoming an expert. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 07, 2016
Why Health Insurance Premiums and Prescription Drug Prices Are Exploding
#123 How pharmaceutical companies use of maximum pricing power is leading to double digit annual increases for prescription drug prices and health insurance premiums. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 31, 2016
Why Negative Interest Rates Are Dangerous
#122 How negative interest rates increase volatility and lower future investment returns. What can you do about it. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 24, 2016
What If Everyone Starts Indexing?
#121 How more and more indexing via ETFs leads to market fragility, lower diversification and herd behavior, but why most investors should index anyway. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 17, 2016
Lao Tzu on Living and Investing
#120 What ancient Chinese philosopher Lao-Tzu can teach you about living and investing. Plus two contrasting views of today’s market environment and what to do about it. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 10, 2016
Investing Won't Make You Rich
#119 The primary role of investing is to preserve your wealth not grow it. How then do we grow our wealth? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 03, 2016
Are Renewable Energy ETFs A Good Investment?
#118 Does the significant growth of solar and wind energy mean companies in the space are attractive investments? Show notes at http://moneyfortherestofus.net/mny118-invest-renewable-energy-etfs/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 27, 2016
The Retirement Journey
#117 Why lower retirement spending rates means most retirees will need to work some during their retirement years. Show notes at http://moneyfortherestofus.net/mny117-retirement-journey/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 20, 2016
Why Investors Can't Ignore China
#116 Will China's growing debt burden lead to a banking collapse? How would that impact investors globally, and what should you do about it. Show notes at See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 13, 2016
How To Get Financially Unstuck
#115 Why we can't not invest due to fear and uncertainty. Plus how to tell if the stock market is overvalued and what to do about it. To get the U.S. stock market valuation charts, text the word "charts" to 44222 See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 06, 2016
Vacation Special: Investing In Your Family
There is no regular episode this week due to the 4th of July Holiday and the Stein Idaho family reunion. Instead, here is the audio from a conversation that Brian Bain of Investor In the Family and I had on investing in family relationships. In the interview, we discuss work and family and balancing the two. We also discuss career transitions and the challenge of raising children. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
Wed, June 29, 2016
Money Is Cheap, Freedom Is Expensive
#114 Two outcomes from the Brexit vote is money got cheaper and politics got scarier. What should you do about it. Plus we profile a man who never retired and was still working at 87. Show notes at http://moneyfortherestofus.net/mny114-money-cheap-freedom-expensive/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 22, 2016
Brexit and the Economics of Immigration
#113 Does immigration harm or benefit a country’s economy? And should the UK leave the European Union? See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 15, 2016
Your Retirement Depends On Robots
#112 How productivity increases due to robots and other technology enhancements should lead to both higher wages and higher investment portfolio returns, allowing workers to save enough to eventually retire. Show notes at See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 08, 2016
How To Be A Minimalist Investor
#111 How to be a minimalist both in life and investing. To get the Portfolio Charts summary sheet, text the word PORTFOLIOS to 44222. Show notes at http://moneyfortherestofus.net/mny111-minimalist-investor/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 01, 2016
How To Protect Yourself From Bail Ins
#110 What are bail ins and how to protect yourself from them. Show notes at http://moneyfortherestofus.net/mny110-protect-bail-ins/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 25, 2016
Money Is A Time Machine
#109 How to shift money from the present to the future and vice versa in order strike an equitable balance between our present and future selves. Show notes at http://moneyfortherestofus.net/mny109-money-time-machine/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 18, 2016
Investing in Real Estate Via Crowdfunding Platforms
#108 What to consider when investing in commercial real estate via crowdfunding platforms. Show notes at http://moneyfortherestofus.net/mny108-investing-real-estate-crowdfunding-platforms/ To sign up for the free Insiders Guide, text the word INSIDER to 44222 See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 11, 2016
Work, Freedom, and Leaving A Legacy
#107 How to find the balance between work, freedom, meaning, and leaving a legacy. Show notes at http://moneyfortherestofus.net/mny107-work-freedom-financial-peril/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 04, 2016
How Worried Should You Be About the National Debt?
#106 Why some nations are at risk of default on their national debt and others are not. Plus why the U.S. national debt will never be repaid. Show notes at http://moneyfortherestofus.net/mny106-national-debt/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 27, 2016
How Corporate Profits Drive Stock Returns
#105 What drives corporate profits over time and how they contribute to long-term stock returns. Show notes at http://moneyfortherestofus.net/mny105-corporate-profits-drive-stock-returns/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 20, 2016
Is It Possible To Win At Trade?
#104 When a country runs a trade deficit is that a good or bad thing? It depends. Learn why in this episode. Show notes at http://moneyfortherestofus.net/mny104-possible-win-trade/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 13, 2016
How To Reenter the Stock Market
#103 Here are the three things you need to coax yourself back into the stock market if you are on the sidelines. Plus, why short-term market declines are difficult to accurately predict but bear market declines can often be anticipated and avoided. To get a U.S. stock market decline frequency and magnitude summary sheet, text the word "DECLINE" to 44222. Show notes at http://moneyfortherestofus.net/mny103-reenter-stock-market/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 06, 2016
What It Takes To Be A Value Investor
#102 Why the value style outperforms growth investing, and what are the attributes of successful value investors. Show notes at: http://moneyfortherestofus.net/mny102-takes-value-investor/ To get the article on growth investing mentioned in the episode, text the word "BUBBLE" to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 30, 2016
Why Markets and Economies Are Ceaselessly Creative and Radically Unpredictable
#101 How memes, stories, people, systems, goods and services mix and interact to create an expanding economic web that is ceaselessly creative and radically unpredictable. To sign up for the Insiders Guide, text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 23, 2016
Navigating a Negative Carry World
#100 How to invest and live in a radically unpredictable, low investment return world. Show notes at http://moneyfortherestofus.net/mny100-navigating-negative-carry-world/ To sign up for the Insiders Guide, text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 16, 2016
Money Is Story
#99 How money originated and why our relationship with money is driven by the stories we tell. Show notes at http://moneyfortherestofus.net/mny099-money-story/To sign up for the Insiders Guide, text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 09, 2016
Why You Need A Lifestyle Business
#98 How a lifestyle business can offset the impact of lower investment returns and contribute to a more sustainable economy. Show notes at http://moneyfortherestofus.net/mny098-need-lifestyle-business/ To sign up for the Insiders Guide, text the word INSIDER to 44222 See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 02, 2016
The Great Financial Crisis
#97 What caused the great financial crisis and how the lessons learned apply to our own financial lives. Show notes at http://moneyfortherestofus.net/mny097-great-financial-crisis/ To sign up for the free Insider's Guide, text the word INSIDER to 44222 See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 24, 2016
Five Wealth Lessons From A Stoic
#96 Rumors are always circulating about economic collapse. How the stoic philosopher Seneca would handle these predictions of calamity. To get the Seneca's 5 Wealth rules and supporting quotes, text the word "SENECA" to 44222. Show notes at http://moneyfortherestofus.net/mny096-five-wealth-lessons-stoic/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 17, 2016
Keep Investing Simple
#95 Steps to take to keep investing simple. Plus how changes in China are having spillover effects for global economic growth and asset class returns. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 10, 2016
How Money Is Created and Destroyed
#94 How federal governments allow banks to create the vast majority of the world's money supply, and why that erodes the value of money over time. Show notes at http://moneyfortherestofus.net/mny094-money-created-destroyed/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 03, 2016
Capitalism, Complexity, and Cuba
#93 Why uncertainty and failure is necessary for a functioning economy and why Cuba is embracing both in its struggle to reform its economy. Show notes at http://moneyfortherestofus.net/mny093-capitalism-complexity-cuba/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Tue, January 19, 2016
What Robo-advisors Recommend
#92 How do the leading robo-advisors compare in terms of their recommended portfolio mixes, fees, expected returns and risk. To get summary sheet of my robo-advisor review and sign up for the Insider's Guide text the word ROBOADVISOR to the number 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 13, 2016
Demography Rules
#91 How the number of retirees compared to workers impacts economic growth, inflation and stock returns. Show notes at http://moneyfortherestofus.net/mny091-demography-rules/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 06, 2016
The True Cost and What It Takes To Be Retired
#90 Knowing what things truly cost can help us live like we are already retired. Show notes at http://moneyfortherestofus.net/mny090-trust-cost-takes-retired/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 30, 2015
How To Outperform The Market Without Predicting The Future
#89 How using smart beta and timing economic regime changes can lead to market outperformance. Show notes at http://moneyfortherestofus.net/mny089-outperform-market/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 23, 2015
Are You A Stock Or A Bond?
#88 Our total wealth includes both financial and human capital, which is the value of our future employment earnings. How to consider both in your asset allocation. Show notes at http://moneyfortherestofus.net/mny088-stock-bond/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 16, 2015
Is This Normal?
#87 How long-term trends in inflation, stocks and climate changed are hidden by short-term countertrends, creeping normalcy and myriad moving parts. Show notes at http://moneyfortherestofus.net/mny087-normal/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 09, 2015
Don't Be A Commodity
#86 How not to be a commodity even if you work in a commodity business. Plus, an update on commodities and master limited partnerships. Show notes at: http://moneyfortherestofus.net/mny086-commodity/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 02, 2015
Are You Home Country Biased?
#85 Why you should invest outside of your home country. Show notes at http://moneyfortherestofus.net/mny085-home-country-biased/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 25, 2015
Money Is Trust
#84 Why money requires trust and cooperation in order to function. What happens when trust disappears. Show notes at: http://moneyfortherestofus.net/mny084-money-trust/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 18, 2015
Please Save More
#83 Why individuals need to save more for retirement and how to figure out how much more you should save. Show notes at: http://moneyfortherestofus.net/mny083-please-save/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 11, 2015
Asset Returns When The Fed Raises Rates
#82 How have various asset classes performed when the Federal Reserve begins tightening by raising short-term interest rates. Show notes at: http://moneyfortherestofus.net/mny082-assets-return-fed-raises-rates/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 04, 2015
When Booms Turn To Busts
#81 What are the early warning signs a boom has turned to a bubble or the boom / bubble is about to burst. Case study: Australia. Show notes at http://moneyfortherestofus.net/mny081-booms-turn-bust/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 28, 2015
Investing Means Getting Lost
#80 Don’t be overwhelmed or play it too safe when it comes to investing and living. Show notes at http://moneyfortherestofus.net/mny080-investing-means-getting-lost/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 21, 2015
Lump Sums and Life Insurance
#79 Is it better to dollar cost average or invest a lump sum? And what type and how much life insurance should you buy. http://moneyfortherestofus.net/mny079-lump-sums-life-insurance/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 14, 2015
What If The Economy Stopped Growing Permanently
#78 How a zero-growth economy would impact investing, employment and lifestyle. It depends on whether the economy is flat lining due to population shrinkage or a willful choice to be less productive. Show notes at http://moneyfortherestofus.net/mny078-economy-stopped-growing-permanently/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 07, 2015
Does Ethical Investing Outperform the Market?
#77 Why ethical investing will underperform the stock market unless consumer behavior changes. Show notes at http://moneyfortherestofus.net/mny077-ethical-investing-generating-higher-returns/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 30, 2015
Should You Lend To Your Peers?
#76 How peer-to-peer lending works and what annualized return should you expect. Show notes at http://moneyfortherestofus.net/mny076-lend-peers/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 23, 2015
We Have To Invest Somewhere
#75 The biggest challenge facing Money For the Rest of Us listeners is how to allocate their assets in order to be able to retire. Show notes at http://moneyfortherestofus.net/mny075-invest-somewhere/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 16, 2015
Capital Flows Where It's Treated Best
#74 How investment capital seeks out the most attractive opportunities, and why that is causing China to dump some of its U.S. Treasury bonds. Show notes at http://moneyfortherestofus.net/mny074-capital-flows/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 09, 2015
Why You Shouldn't Trade
#73 How trading differs from allocating and why human traders have lost their edge to trading bots. Show notes at http://moneyfortherestofus.net/mny073-shouldnt-trade/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 02, 2015
Will A Robot Take Over Your Job?
#72 How robots and information technology are replacing humans at work and what we can do about it. Show notes at http://moneyfortherestofus.net/mny072-will-robot-takeover-job/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 26, 2015
Please Don't Panic
#71 When the stock market is falling, understanding market history and current conditions can help us make objective, less fear-driven investment decisions. Show notes at http://moneyfortherestofus.net/mny071-please-dont-panic/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 19, 2015
Rule #1 and the Investor's Journey
#70 Should you invest like Warren Buffet? How your temperament, experiences, interests and skills influence how you invest. Plus why most passive index investors unknowingly make active investment decisions. Show notes at http://moneyfortherestofus.net/rule-1-investors-journey/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 12, 2015
Do You Feel Financially Trapped?
#69 What to do when you feel financially hopeless. Show notes at http://moneyfortherestofus.net/mny069-feeling-financially-trapped/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 05, 2015
Why The Middle Class Is Stagnating
#68 How technology and too much free stuff is undermining the middle class. What can be done about it. Show notes at http://moneyfortherestofus.net/mny068-middle-class/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 29, 2015
When Investments Lose Money
#67 I share with you what questions to answer to decide whether you should sell, hold or buy more of an underperforming investment. Show notes at http://moneyfortherestofus.net/mny067-investments-lose-money/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 22, 2015
Impermanence and Winning by Not Losing
#66 Why focusing too much on the future and too little on the present can be dangerous. Show notes at http://moneyfortherestofus.net/mny066-impermanence-winning-losing/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 15, 2015
Greece—What Really Caused the Crisis and Why It Never Ends
#65 How the Greek depression and the euro crisis started with Greek citizens just wanting to buy a decent car. Show notes at http://moneyfortherestofus.net/mny065-greece-really-caused-crisis-never-ends/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 08, 2015
The Pitfalls of Private Real Estate Investing
#64 Should you invest in a rental property? Here are some things to consider and pitfalls to avoid. Show notes at http://moneyfortherestofus.net/mny064-pitfalls-private-real-estate-investing/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 01, 2015
Alarmists and the Economics of Collapse
#63 Why economic alarmists are dangerous, and what has to happen for the financial system or economy to collapse. Show notes at http://moneyfortherestofus.net/mny063-alarmists-economics-collapse/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 24, 2015
What Dying Bees Can Teach Us About Asset Bubbles and Income Inequality
#62 The link between honey bee colony collapse, asset bubbles and income inequality. Show notes at http://moneyfortherestofus.net/mny062-income-inequality/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 17, 2015
How Much Should You Spend In Retirement?
#61 Why your retirement spending rate should vary over time based on individual and market circumstances. Show notes at http://moneyfortherestofus.net/mny061-retirement-spending/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 10, 2015
Are You Hoarding Or Investing?
#60 What is the difference between hoarding and investing. Most people do both. Show notes at: http://moneyfortherestofus.net/mny060-hoarding-investing/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, June 03, 2015
Is Gold Money?
#59 What are the three attributes of money and does gold have them? Show notes at http://moneyfortherestofus.net/mny059-gold-money.html To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Tue, May 26, 2015
Are ETFs and Indexing Becoming Too Popular?
#58 What are the hidden risks of ETFs and passive investing. Sow notes at http://moneyfortherestofus.net/mny058-etfs/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 20, 2015
Live Like A Local When Traveling
#57 Hacks to live like a local when traveling including how to rent homes through Airbnb.com. Show notes at http://moneyfortherestofus.net/mny057-travel/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 13, 2015
Why We Need Volatility
#56 How we can thrive amidst volatility and not become complacent due to a false sense of stability. Show notes at http://moneyfortherestofus.net/mny056-volatility/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, May 06, 2015
Are You Financially Fragile or Antifragile?
#55 How to gauge your financial fragility or vulnerability and how to be the opposite of fragile. Show notes at http://moneyfortherestofus.net/mny055-antifragile To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 29, 2015
Do You Live To Work Or Work To Live?
#54 Why you don't need money to have more freedom and happiness. Show notes at http://moneyfortherestofus.net/mny054-live-work/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 22, 2015
Should You Invest In Bitcoin?
#53 What you need to know about bitcoin in order use it and invest in it. Show notes at http://moneyfortherestofus.net/mny053-bitcoin/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 15, 2015
Why are interest rates so low, even negative in some places?
#52 What factors determine interest rates and why interest rates matters to the economy and your investment portfolio. Show notes at http://moneyfortherestofus.net/mny052-interest-rates/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 08, 2015
Is Deflation Coming?
#51 The world is flirting with deflation. How GDP growth, debt, population changes and exchange rates will determine whether a Great Depression like deflation is coming. Show notes at http://moneyfortherestofus.net/mny051-gdp-deflation/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, April 01, 2015
Navigating Early Retirement
#50 Navigating early retirement is less about money and more about allowing space and time for your true path to emerge. Show notes at http://moneyfortherestofus.net/mny050-early-retirement/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 25, 2015
Is Money Dying?
#49 Is monetary collapse imminent as some pundits say? Plus another look at gold and how to tell if a government's debt burden is unsustainable. Show notes at http://moneyfortherestofus.net/mny049-money-dying/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 18, 2015
Do You Have Too Little Invested In Stocks?
#48 How fear of another market crash may be causing you to keep your stock market allocation overly conservative despite evidence global stock markets are in a secular bull market. More info at http://moneyfortherestofus.net/mny048-secular-bull/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 11, 2015
Should You Invest For Income Or Total Return
#47 Why individuals should follow the lead of endowments and foundations and focus on total return investing. Show notes at http://moneyfortherestofus.net/mny047-income-total-return/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, March 04, 2015
Discover Your Investment Style
#46 How to begin investing and discover your investment style. Show notes at http://moneyfortherestofus.net/mny046-investment-style/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 25, 2015
Funding the Start Up of You
#45 With student loan default rates soaring, what are some education funding models besides debt. Plus is college even worth it? Show notes at http://moneyfortherestofus.net/mny045-education/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 18, 2015
Should You Pay Off Your Mortgage
#44 How a home mortgage can help you build real wealth. Plus what factors to weigh if you are considering paying off your mortgage. Show notes at http://moneyfortherestofus.net/mny044-mortgages/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 11, 2015
What Drives Home Prices?
#43 What investment return should you expect for your home and what leads to housing booms and bust. Show notes at http://moneyfortherestofus.net/mny043-home-prices/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, February 04, 2015
All Countries Are Insolvent and That's A Good Thing
#42 Why all federal governments are insolvent but investors still line up to buy government debt at low interest rates. Show notes at http://moneyfortherestofus.net/mny042-insolvency/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 28, 2015
The Cult of Overwork
#41 Why overworking is so dangerous and why leisure is on a completely different plane from work. Show notes at http://moneyfortherestofus.net/mny041-overwork/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 21, 2015
Should You Invest In Commodities?
#40 What you need to consider before investing in oil and other commodities. Two schools of thought regarding the direction of oil prices. Show notes at http://moneyfortherestofus.net/mny040-commodities/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 14, 2015
What Drives Currency Exchange Rates
#39 Why currencies fluctuate, what are the impacts and should you hedge against currency movements. Show notes at http://moneyfortherestofus.net/mny039-currency-exchange/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, January 07, 2015
How To Invest Like A Hedge Fund
#38 What are hedge funds and how can individual investors apply strategies from top-tier hedge funds to their own portfolios. Show notes at http://moneyfortherestofus.net/mny038-hedge-funds/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 31, 2014
Gold—Without the Hype and Politics
#37 Why and how to invest in gold. Show notes at http://moneyfortherestofus.net/mny037-gold/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 24, 2014
How Wealthy Are You?
#36 Wealth can be measured in more than money. Wealth is also time and mobility. Show notes at http://moneyfortherestofus.net/mny036-wealthy/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 17, 2014
Investment Performance—What You Need To Know
#35 Power laws, fractals and investor psychology. Why security prices behave like they do. Show notes at http://moneyfortherestofus.net/mny035-investment-returns/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 10, 2014
Investing Rules of Thumb
#34 Why simple investment rules are more accurate than complex formulas. Show notes at http://moneyfortherestofus.net/mny034-rules-of-thumb/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, December 03, 2014
To Retire Early, Mind the Gap
#33 The simple formula to sustain an early retirement without running out of money. Show notes at https://moneyfortherestofus.com/mny033-mind-the-gap/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 26, 2014
Die Broke
#32 How to deplete most of your assets before you die by using single premium immediate annuities. Show notes at http://moneyfortherestofus.net/mny032-broke/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 19, 2014
The Role of Luck In Success
#31 How luck and skill intertwine to make you successful. Show notes at http://moneyfortherestofus.net/mny031-role-luck-success To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 12, 2014
Are You Sure You're Diversified?
#30 How to tell if your investment portfolio is really diversified. Hint: Don't focus on correlation. Show notes at http://moneyfortherestofus.net/mny030-diversification/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, November 05, 2014
Quantitative Easing—A Big, Fat, Dangerous Placebo
#29 Why quantitative easing is both a financial placebo and an unpredictable game of musical chairs. Show notes at http://moneyfortherestofus.net/mny029-quantitative-easing/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 29, 2014
Live By Your Own Financial Rules
#28 There are no hard-and-fast financial rules other then don't cause yourself irreparable financial harm. Show notes at http://moneyfortherestofus.net/mny028-own-rules/ To sign up for the Money For the Rest of Us Insider's Guide text the word INSIDER to 44222. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 22, 2014
What Is The Right Price?
#27 The right price for something is dependent on our state of mind. Anchoring, mental accounts and other behavioral tricks we rely on when buying. Show notes at https://moneyfortherestofus.com/mny027-right-price/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 15, 2014
Why Are Stocks Falling?—A Story
#26 How stories drive the financial markets and why markets are currently declining. Show notes at https://moneyfortherestofus.com/mny026-stories/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 08, 2014
Are You A Materialist?
#25 Why paying more for what you buy not only helps the economy but enriches your life. Plus why we prefer things that are wabi sabi. Show notes at https://moneyfortherestofus.com/mny025-materialist/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, October 01, 2014
Timeshares, Preppers and, Permanent Portfolios
#24 What are the economics behind vacation timeshares, how to implement a permanent portfolio and has the stock market ever taken decades to recover from a major sell-off? Show notes at https://moneyfortherestofus.com/mny024-permanent-portfolios/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 24, 2014
Smart Beta—What Is It and Should You Use It?
#23 What is the difference between beta, smart beta and alpha when investing. Plus, what are the different ways to index a portfolio, and why it's easier to be a successful investor by focusing on things that won't change rather than trying to predict what will. Show notes at https://moneyfortherestofus.com/mny023-smart-beta/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 17, 2014
Will Interest Rates Ever Increase?
#22 What causes interest rates to rise and fall, and what can you do to adjust your investment portfolio when interest rates begin climbing. Show notes at https://moneyfortherestofus.com/mny022-interest-rates/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 10, 2014
Investing Without A Map
#21 I share my own portfolio as an example of investing without a map. Plus why I don't use peer-to-peer lending platforms such as the Lending Club and Prosper. Show notes at https://moneyfortherestofus.com/mny021-no-map/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, September 03, 2014
How To Allocate Your Assets
#20 What you need to know about asset allocation, including the flaws in modern portfolio theory. Show notes at See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 27, 2014
Live Like You're Already Retired
#19 A traditional thirty year retirement will be out of reach for most people. Here's how to live like you're already retired. Show notes at https://moneyfortherestofus.com/mny019-retired/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 20, 2014
Which Investment Vehicles Should You Use?
#18 How do closed end funds, open end mutual funds, exchange traded funds ("ETFs") and exchange traded notes ("ETNs") differ and when should you use each one. Show notes at https://moneyfortherestofus.com/mny018-investment-vehicle/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 13, 2014
Why China Matters To Your Pocketbook
#17 How China's stunning economic growth impacts everything from how much you pay for gas and burgers to what you can earn investing. Show notes at https://moneyfortherestofus.com/mny017-china/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, August 06, 2014
The World Is Getting More Risky
#16 What is risk and how do you manage it so you can protect against the downside and capture the upside. Plus, why the world is more risky and what to do about it. Show notes at https://moneyfortherestofus.com/mny016-risk/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 30, 2014
Stop Worrying About the Next Market Crash
#15 Discover the four things you can do to stop worrying about financial calamities. Show notes at https://moneyfortherestofus.com/mny015-market-crash/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 23, 2014
Are You A Complacent Investor?
#14 Has the Federal Reserve and other central banks led you to be complacent about risk? Plus, I share an investment strategy with surprisingly good returns. Show notes at https://moneyfortherestofus.com/mny014-complacent-investors/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 16, 2014
Are You Saving Enough To Retire Early?
#13 How to know if you are saving too much or too little for retirement. Show notes at https://moneyfortherestofus.com/mny013-saving-enough/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 09, 2014
Currency Trading, Petrodollars and Monetary Collapse
#12 What you need to know if you want to trade currencies. Also, will the dollar collapse? Show notes at https://moneyfortherestofus.com/mny012-currency/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Wed, July 02, 2014
Bank Runs, Repos, and Your Retirement
#11 How bank runs were a leading cause of the global financial crisis and why it could happen again. Show notes at https://moneyfortherestofus.com/mny011-repo/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Thu, June 26, 2014
You'll Never Be Rich, But You Can Live Like You Are
#10 How to live like your rich without the money. Show notes at https://moneyfortherestofus.com/mny010-rich/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Thu, June 19, 2014
What Investment Rate of Return Can You Expect?
#9 Expected portfolio returns are currently very low. Why that is and what should you do about it. Plus learn how to calculate the expected return for your portfolio. https://moneyfortherestofus.com/mny009-expected-return/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Thu, June 12, 2014
What If Everyone Worked Only Four Hours Per Day?
#8 We can have sustainable economic growth and a thriving stock market while working less and enjoying life more. Show notes at https://moneyfortherestofus.com/mny008-four-hours/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Fri, June 06, 2014
Predicting the Economy and the Stock Market. Can It Be Done?
#7 Is it possible to successfully predict the future? Every investor has three choices. They can ignore the future, predict the future, or react as the future unfolds into the present. In this podcast, we'll take a close look at each of these strategies and what it takes to be successful at each one. Show notes at https://moneyfortherestofus.com/mny007-predicting/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Fri, May 30, 2014
Why You Should Care About the Economy
#6 Most people don't understand what the economy is, how it grows and what causes recessions. Nor do they care. This episode describes in simple terms how the economy works and why you should care so you can influence the quality of economic growth and its impact on the Earth's limited resources. Show notes at https://moneyfortherestofus.com/mny006-care-about-economy/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Tue, May 20, 2014
The True Cost of a Thing
#5 The price of something does not always reflect its true cost, both to ourselves and to society. Through the eyes of Henry David Thoreau and a discussion of why I no longer shop at dollar stores, you'll discover the true cost of a thing. https://moneyfortherestofus.com/mny005-true-cost-of-a-thing/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Mon, May 19, 2014
Seesaws, Budget Deficits, and the National Debt
#4 If you understand how a seesaw works, then you'll be one of the few who understands why we need both federal budget deficits and the national debt. Show notes at https://moneyfortherestofus.com/seesaws-budget-deficits-and-the-national-debt-004/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Sun, May 18, 2014
Should You Invest In Individual Stocks?
#3 Why investing in individual stocks can be so intoxicating and dangerous. What you should know before you try. Show notes at https://moneyfortherestofus.com/should-you-invest-in-individual-stocks-003/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Sat, May 17, 2014
What Causes Inflation and Deflation?
#2 Studies show most people have no idea what inflation is and what to do about it. Don't be one of those people. Show notes at https://moneyfortherestofus.com/what-causes-inflation-and-deflation-002/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
Thu, May 15, 2014
What Is Money?
#1 How banks and governments create money out of thin air, and what you should do about it. Show notes at https://moneyfortherestofus.com/what-is-money-001/ See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info .
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