1 00:00:00,200 --> 00:00:04,160 Well, I think when we're in periods of time where inflation is high, 2 00:00:04,879 --> 00:00:09,080 bond markets are not at place for performance either. And then we take a 3 00:00:09,080 --> 00:00:13,599 look at housing. Right, So for anyone who's looking to either downsize, 4 00:00:13,960 --> 00:00:17,719 move, look for employment in a different areta, it's definitely not the time 5 00:00:17,800 --> 00:00:21,199 that they want to go out and get any mortgage where they're looking at rates 6 00:00:21,199 --> 00:00:26,000 a loan. You're listening to Carrie Lutz's Financial Survival Network, where you get 7 00:00:26,079 --> 00:00:31,719 valuable information you just can't find anywhere else to thrive in today's trying times. 8 00:00:31,920 --> 00:00:38,479 You need the Financial Survival Network now more than ever. Go to Financial Survivalnetwork 9 00:00:38,520 --> 00:00:45,240 dot com and get your free newsletter and gift. Financial Survival Network now more 10 00:00:45,320 --> 00:00:53,600 than ever. And welcome you are listening to and watching the Financial Survival Network. 11 00:00:53,600 --> 00:00:57,200 I'm your host, Carrie Lutz. A. It's Friday, just before 12 00:00:57,679 --> 00:01:02,840 Memorial Day weekend. The official art of summer, although the official start of 13 00:01:02,920 --> 00:01:07,760 summer in Florida is doesn't have an official start, and it's always summer year. 14 00:01:07,040 --> 00:01:12,400 It's just hot and hotter. So our good friend Mindy Macintosh is with 15 00:01:12,519 --> 00:01:18,439 us and now and many welcome back. So the first thing that popped out 16 00:01:18,879 --> 00:01:22,359 well, I guess we should talk about consumer sentiment. But before we do 17 00:01:22,480 --> 00:01:26,400 that, the vix All right, when you see the vics enter a period 18 00:01:26,799 --> 00:01:33,879 of complacency or maybe indifference, like nobody's training it, it's just staying at 19 00:01:33,920 --> 00:01:38,159 a low level. You know, nothing's happening. Doesn't that give you a 20 00:01:38,200 --> 00:01:42,200 pause for thought? Absolutely a pause. It's like, here's the calm before 21 00:01:42,239 --> 00:01:46,840 the storm, and you know something's going to happen. But here's where we 22 00:01:46,920 --> 00:01:51,280 just kind of see a slower calming period of time, which really, you 23 00:01:51,319 --> 00:01:53,599 know all honestly, Caroly, is the time that I tell folks that we 24 00:01:53,719 --> 00:01:57,400 need to start establishing a plan. So you know, here we really make 25 00:01:57,439 --> 00:02:00,599 sure that folks have that. It's kind of the first step. Make sure 26 00:02:00,640 --> 00:02:05,599 you have a world diversified plan. So what are you doing today inside of 27 00:02:05,680 --> 00:02:09,759 your investment portfolio? And how are we looking at things such as volatility and 28 00:02:09,919 --> 00:02:14,719 risk and video and all of these different piecees to the puzzle to make sure 29 00:02:14,759 --> 00:02:17,520 that you don't have too much in anyone give an allocation and making sure that 30 00:02:17,520 --> 00:02:21,319 we're here to walk you do that, because it didn't definitely in that period 31 00:02:21,400 --> 00:02:23,319 of time where it's like, oh my goodness, we're at around twelve, 32 00:02:23,639 --> 00:02:28,280 and we know what that hanging into when history repeats itself or just kind of 33 00:02:28,360 --> 00:02:31,680 something is brewing and coming up. All right, So now combine that with 34 00:02:31,840 --> 00:02:38,439 the consumer sentiment report in May, which fill further the Michigan the University of 35 00:02:38,479 --> 00:02:46,680 Michigan's Consumers Sentiment Index, you know, falling eight point one points a month 36 00:02:46,759 --> 00:02:51,879 over months. You know, maybe the consumers know something we don't. Well, 37 00:02:51,879 --> 00:02:55,719 I think when we're in periods of time where inflation is high, bond 38 00:02:55,840 --> 00:03:00,800 markets are not at place for performance either. And then we take a look 39 00:03:00,840 --> 00:03:06,360 at housing. Right so anyone who's looking to either downsize, move, look 40 00:03:06,400 --> 00:03:08,879 for employment in a different areatia, it's definitely not the time that they want 41 00:03:08,919 --> 00:03:13,639 to go out and get any mortgage when they're looking at rates alone, and 42 00:03:13,680 --> 00:03:16,120 then how do they head those when you're looking at you know, what does 43 00:03:16,199 --> 00:03:20,319 wealth instruments look like for them? And they might be looking at you know, 44 00:03:20,400 --> 00:03:23,599 short term CDs. Right now, we're definitely out performing long term, 45 00:03:23,680 --> 00:03:25,120 and we take a look over all in the market. I mean, gosh, 46 00:03:25,199 --> 00:03:29,439 how long are they going to continue to say you can earn five plus 47 00:03:29,800 --> 00:03:32,759 in a six month CD? And yet how do we look at the next 48 00:03:32,919 --> 00:03:37,120 ten, fifteen, twenty thirty years down the road, so we have to 49 00:03:37,159 --> 00:03:40,719 be super careful of what staple items, where folks are still spending their money, 50 00:03:42,120 --> 00:03:45,719 how we want to actually influence this and really what the feds are going 51 00:03:45,759 --> 00:03:46,960 to do and when we see the rates are going to be cut. So 52 00:03:47,000 --> 00:03:51,879 we got to make sure that we're well, we're well looking ahead. We're 53 00:03:51,919 --> 00:03:54,879 making sure that we're not spending too much money in anyone give an area out 54 00:03:54,919 --> 00:03:59,039 we hear even have a process and we look at that with folks to say 55 00:03:59,120 --> 00:04:01,919 where shouldn't we be weaning a little thin and what should we be diving into 56 00:04:02,039 --> 00:04:05,159 even from our investments standpoint, you have a few extra bucks, where should 57 00:04:05,199 --> 00:04:10,520 we be and not too heavily weighted in one sector? Yeah? Yeah, 58 00:04:10,840 --> 00:04:18,040 you know it's interesting is that indicators pretty pretty consistent, isn't it, Mary. 59 00:04:18,160 --> 00:04:21,560 Yeah, And the indicators just show that we don't want people to run 60 00:04:21,639 --> 00:04:26,199 fearful, but we know that something is coming, so they have to make 61 00:04:26,199 --> 00:04:30,079 sure that they have their investment and even their healthcare philosophy set in place, 62 00:04:30,399 --> 00:04:32,639 Especially for we work with a lot of people that are internearing retirement. Kind 63 00:04:32,680 --> 00:04:36,879 of our specialty here and really helping people focus on retirement made clear. So 64 00:04:36,959 --> 00:04:41,279 you think of that, if they're getting ready for a time to retire and 65 00:04:41,319 --> 00:04:44,480 we see those vis at twelve, you know, we don't want them running 66 00:04:44,480 --> 00:04:46,839 scared, but we need to have the appropriate plan for how are they going 67 00:04:46,920 --> 00:04:50,560 to instill income to NATO living in retirement and what things should we be doing 68 00:04:50,680 --> 00:04:54,639 looking out of the short term versus the long term, and then how do 69 00:04:54,680 --> 00:04:58,000 we set that around their goals of what they might want to do throughout their 70 00:04:58,000 --> 00:05:01,360 retirement years. It really is a time, a pivotal time point that we 71 00:05:01,519 --> 00:05:05,120 have to look at all those indicators. Yeah, yeah, I couldn't agree 72 00:05:05,160 --> 00:05:12,000 with some more. And you know, nobody's talking about a soft landing anymore. 73 00:05:12,240 --> 00:05:15,759 You know, you don't hear much. Nobody's saying inflation's transitory. Now 74 00:05:16,120 --> 00:05:20,920 we find out it's not transitory. It's sticky, right, and maybe it's 75 00:05:20,959 --> 00:05:27,199 semi permanent at this point. So you know, it looks like the meme 76 00:05:27,240 --> 00:05:31,040 makers out there at the Fed and the Treasury, they're kind of losing their 77 00:05:31,199 --> 00:05:35,480 grip on things absolutely, and you know those are those are things too that 78 00:05:35,560 --> 00:05:38,879 we need to look at when we take a look at even just a rise 79 00:05:38,920 --> 00:05:42,480 inflation, you're talking about interest rates, the Feds hunting and cut rates. 80 00:05:42,560 --> 00:05:46,120 You take a look at even our national debt and what we're looking at there, 81 00:05:46,160 --> 00:05:49,519 and I think some folks don't even realize how cheerful we need to be 82 00:05:49,560 --> 00:05:56,000 about legislative risk and taxation later in life, even when we take a look 83 00:05:56,040 --> 00:05:59,680 at portfolio. So we're always taking a look at folks and look at even 84 00:05:59,680 --> 00:06:01,560 the tame little standpoint as a nation, how are we going to cut rates? 85 00:06:01,639 --> 00:06:06,519 Where are we going to have our taxpayer dollars spent? And make sure 86 00:06:06,519 --> 00:06:10,959 you're preparing for that as you're getting ready for retirement. Tax free is the 87 00:06:11,079 --> 00:06:13,800 envelope to go in. And there's just different ways we could help you to 88 00:06:13,839 --> 00:06:16,879 make sure the consumers are holding on to as much of their dollar as they 89 00:06:16,920 --> 00:06:24,120 can. So what's your take on with what's happening in the banking sector now? 90 00:06:24,279 --> 00:06:30,120 While we're seeing a lot of mergers acquisitions, banking is really taking overall, 91 00:06:30,199 --> 00:06:33,399 especially here in Michigan with you know how much we're seeing transitory there and 92 00:06:33,600 --> 00:06:36,560 transitioning, and I think that we have to really take a look that. 93 00:06:36,879 --> 00:06:42,639 Obviously we're seeing CD rates, banking rates, what it's happening. What are 94 00:06:42,680 --> 00:06:46,399 new folks moving into the area. So I think some folks who just have 95 00:06:46,480 --> 00:06:49,160 some cash on hand, why not get into a six month CD. But 96 00:06:49,199 --> 00:06:53,160 on the flip side, we should be using treasuries, and they don't have 97 00:06:53,240 --> 00:06:56,199 the state tax here in Michigan to be able to be doing that. So 98 00:06:56,199 --> 00:06:59,600 there's little nuggets that, you know, we can be making sure that we're 99 00:06:59,680 --> 00:07:03,160 using treasuries instead of CDs. And as we take a looking at the bank, 100 00:07:03,319 --> 00:07:08,600 some people aren't real comfortable and feeling that their money is going to be 101 00:07:08,959 --> 00:07:12,639 super safe sitting there. And when we talk about the stick ratio, people 102 00:07:12,680 --> 00:07:16,480 want funds in cash, how can they reliably utilize them? So I feel 103 00:07:16,519 --> 00:07:21,240 like the banking into industry has definitely transitioned from where it used to be to 104 00:07:21,279 --> 00:07:25,199 where it is today, you know. So I definitely agree that it's something 105 00:07:25,240 --> 00:07:29,839 that consumers have really been taking a look at. Yeah, for sure, 106 00:07:30,199 --> 00:07:33,560 for sure. So you know, I guess it all depends where you are 107 00:07:33,639 --> 00:07:39,240 in your point in life, whether you're getting ready to retire, whether you've 108 00:07:39,279 --> 00:07:43,959 got thirty forty more years before you have to retire, all that stuff. 109 00:07:44,040 --> 00:07:49,720 So there's no like cookie cutter answer here, but certainly caution is the byword, 110 00:07:50,360 --> 00:07:54,279 definitely caution. We need to be careful that people have a well thought 111 00:07:54,279 --> 00:07:57,720 out plan, seek out help with that and what they should do next, 112 00:07:58,000 --> 00:08:01,079 so that ways we know life changes, we know there's change coming, but 113 00:08:01,120 --> 00:08:05,240 we want to make sure you're not here with that surprise because you're dealing bike 114 00:08:05,279 --> 00:08:07,920 jery. I don't think we're going to see us soft landing here. So 115 00:08:07,959 --> 00:08:11,680 you're being prepared and make sure that we're working together to walk through this and 116 00:08:11,759 --> 00:08:15,879 navigate on how you should be set up so we don't have that nakage surprise 117 00:08:15,959 --> 00:08:18,839 because some people like surprises on birthdays. Outside of that, we want to 118 00:08:18,839 --> 00:08:24,920 make sure we have a well thought out plan. The one thing that gives 119 00:08:24,959 --> 00:08:30,600 me a little solace is you know the old saying that economists have predicted five 120 00:08:30,680 --> 00:08:35,000 out of the last two recessions, right, sure, yeah, So when 121 00:08:35,039 --> 00:08:37,240 we take a look at that, it does help. I mean, I 122 00:08:37,279 --> 00:08:41,080 think that as long as we can look ahead and look at these indicators, 123 00:08:41,120 --> 00:08:45,519 right, we need to look at unemployment rates and what's happening in consumer staples. 124 00:08:45,600 --> 00:08:48,360 So these are all indicators that do help us to look ahead to make 125 00:08:48,360 --> 00:08:52,200 sure that we are well prepared to know what has happened in the past, 126 00:08:52,240 --> 00:08:54,799 where we at currently, what do we see coming because we're definitely in a 127 00:08:54,879 --> 00:09:00,200 different train point in a different world that we than what we ever have in 128 00:09:00,240 --> 00:09:03,919 my opinion, as we look at rates and interest rates and really this inflationary 129 00:09:03,960 --> 00:09:09,279 period of time. Yeah, so what's your take on cutting rates? Are 130 00:09:09,360 --> 00:09:11,720 we going to see it? Are they going to hold off to the last 131 00:09:11,759 --> 00:09:15,559 possible moment? What are they going to do? I feel like they have 132 00:09:15,679 --> 00:09:18,840 to hold the last possible a little bit. I'm not sure what we're going 133 00:09:18,879 --> 00:09:20,919 to exactly see with race, but I don't feel that we're going to see, 134 00:09:22,039 --> 00:09:24,039 you know all, we're going to actually seeknvence cut rates, housing numbers 135 00:09:24,080 --> 00:09:28,080 go back to where they should, interest rates, make some changes and transitions. 136 00:09:28,240 --> 00:09:31,759 I think we're going to wait till last possible they need to do. 137 00:09:31,840 --> 00:09:35,080 So. Now, I think that what folks are expecting to see for the 138 00:09:35,159 --> 00:09:37,519 level playing field leveling back out, we might, you know, be a 139 00:09:37,639 --> 00:09:41,639 period of time where Dan Barga said a little bit different and this might be 140 00:09:41,840 --> 00:09:46,519 somewhat more of the new norm, at least from what I've been seeing. 141 00:09:46,000 --> 00:09:50,679 Yeah, yeah, you know, that's that's a little scary. Well, 142 00:09:50,679 --> 00:09:54,720 one thing that the unemployment numbers have held up pretty well. There have been 143 00:09:54,799 --> 00:10:01,639 some states down in others, you know generally, and it's all in the 144 00:10:01,679 --> 00:10:05,240 revisions, right, isn't there Right, Yes, it's in the revisions. 145 00:10:05,240 --> 00:10:07,679 And how they're gonna uncover that and watch that. I mean, we definitely 146 00:10:07,720 --> 00:10:11,360 need to see there's periods of time where you see, okay, we need 147 00:10:11,399 --> 00:10:15,399 more folks purchasing homes and selling and moving into new heritors. But when we 148 00:10:15,440 --> 00:10:18,080 take a look at unemployment, those numbers look good. People are still going 149 00:10:18,080 --> 00:10:22,799 out, the consumer staples are time, We're still seeing people traveling. So 150 00:10:22,840 --> 00:10:26,399 that's why I think sometimes we're going to see a hold on this now eventually 151 00:10:26,440 --> 00:10:28,240 is going to need to happen and make some changes, see some you know, 152 00:10:28,279 --> 00:10:33,639 we really need to see a period of time where information and interest rates 153 00:10:33,879 --> 00:10:37,320 in bond prices are all kind of on mis teeter totter. Well, we'll 154 00:10:37,360 --> 00:10:39,360 see that leverage out at some point. I just I think they're going to 155 00:10:39,440 --> 00:10:43,600 hold off of it. Yeah. Yeah, And you know, one thing 156 00:10:43,960 --> 00:10:48,519 I learned over the years is that you know, what's happening in the economy 157 00:10:48,559 --> 00:10:52,639 is always important, but sometimes the flow of funds coming in from the rest 158 00:10:52,639 --> 00:10:56,720 of the world is really more important. And we see like the flow of 159 00:10:56,720 --> 00:11:01,799 funds going into China's stopped gone, Like nobody's putting money in there. They're 160 00:11:01,840 --> 00:11:07,440 getting the heck out. So a lot of flight capital from China as well 161 00:11:07,440 --> 00:11:11,000 as other parts of the world are coming here, right, Yeah, I 162 00:11:11,000 --> 00:11:13,000 mean, so that's nice, and we can keep it in the States. 163 00:11:13,039 --> 00:11:16,639 We've definitely seen that the trade. We're continuing to see that more and more 164 00:11:16,639 --> 00:11:20,799 inside the US, which is helpful. It does help our economy, which 165 00:11:20,840 --> 00:11:22,679 means that why would they need to change some of the inditional items. They've 166 00:11:22,679 --> 00:11:28,080 already done that. They pivotally changed some exterior your barriers, wire done meat, 167 00:11:28,159 --> 00:11:31,159 I think is going to just continue to try to help the consumer shape 168 00:11:31,200 --> 00:11:33,519 it here and then how do we actually look at that for revenues down the 169 00:11:33,600 --> 00:11:37,240 road, and how FEDS are going to handle this and just globally, where 170 00:11:37,240 --> 00:11:41,840 are we seeing that? So I just still say be plaustrous and look ahead, 171 00:11:41,320 --> 00:11:46,440 make sure you're looking inside these accounts and really watching what's up and coming. 172 00:11:46,679 --> 00:11:50,000 Okay, So the other question is I don't know your family situation, 173 00:11:50,120 --> 00:11:54,799 but let's say you're talking to your mother who's eighty, what are you telling 174 00:11:54,799 --> 00:11:56,799 you? Or seventy five to eighty, what are you telling her to do? 175 00:11:58,039 --> 00:12:01,840 Well? We definitely want to make sure that we're transit into being well 176 00:12:01,879 --> 00:12:05,039 diversified, so our folks already are, meaning that we don't want to just 177 00:12:05,039 --> 00:12:07,440 say, oh, everybody go to Nvidia because that's important and everyone to be 178 00:12:07,480 --> 00:12:11,399 an AI in tech stoc So that is definitely a position to have portion of 179 00:12:11,399 --> 00:12:13,919 your portfolio, but as an age, we need to be more and more 180 00:12:15,000 --> 00:12:16,799 well grounded. I also say we don't want to be directly in the bond 181 00:12:16,799 --> 00:12:20,360 index right now, not a spot to be so wrong time period of COVID. 182 00:12:20,679 --> 00:12:26,240 We have bond alterna venoms into portfolios to help perform where the bond IndX 183 00:12:26,320 --> 00:12:28,159 is and where it should be. So what I tell my grandmother is not 184 00:12:28,279 --> 00:12:31,600 a buy and hold strategy, It is making sure we have a solid income 185 00:12:31,600 --> 00:12:35,279 plan. So, especially for their age, looking out for things like long 186 00:12:35,360 --> 00:12:39,919 term care and having a solid income plan, which means navigating their investment portion 187 00:12:39,960 --> 00:12:43,960 of portfolio and optimizing that is key. So we definitely don't want to ignore 188 00:12:43,000 --> 00:12:48,279 it. We don't want to run scared though either and just make sure you're 189 00:12:48,279 --> 00:12:50,879 talking to your family members and your advisor to make sure me you're setup for 190 00:12:50,879 --> 00:12:54,960 success. All right, I think we got a good insight into things. 191 00:12:56,000 --> 00:12:58,600 I think we'll let it go of that, Mindy, just tell us where 192 00:12:58,600 --> 00:13:01,159 do we find you on the way up? How do we connect with you? 193 00:13:01,399 --> 00:13:05,039 So in order to connect with us, please go to Wealthmichigan dot com. 194 00:13:05,080 --> 00:13:07,960 Some of you might be interested in our toolkit and our new book titled 195 00:13:09,000 --> 00:13:11,679 Cultivate Wealth. It can talk to you about some of these things that we 196 00:13:11,720 --> 00:13:15,279 are seeing currently in the market, and so we'd be happy to help you 197 00:13:15,320 --> 00:13:18,440 there. So Wealthmichigan dot com or Macintosh you she'll see it all right, 198 00:13:18,519 --> 00:13:22,759 excellent, And of course the link is in the show notes to this interview 199 00:13:22,840 --> 00:13:26,879 on Financial Survival Network dot com. When you go there, please sign up 200 00:13:26,919 --> 00:13:31,320 for your free newsletter Mandy. It's always a pleasure. And hey, we'll 201 00:13:31,320 --> 00:13:35,480 try to put the link in to get your toolkit as well, and we'll 202 00:13:35,480 --> 00:13:37,639 talk to you again soon. Thanks, Kerry, appreciate it. Thanks for 203 00:13:37,720 --> 00:13:45,039 listening to carry lets this Financial Survival Network your solution to today's trying times. 204 00:13:45,279 --> 00:13:50,679 For the latest, go to Financial Survivalnetwork dot com. Financial Survival Network now 205 00:13:50,840 --> 00:13:52,840 more than ever