That's why he's bricks in. These these countries are getting together, say we
need an alternative a dollar. These guys are taking us to cleaners because we're
loaning the money, and they're they're paying us back with discounted dollars because they're
inflating the dickens out of them. And that's that's the insidious tax of a
government gone awry. Yeah. And that's a hidden tax too, isn't it.
Yeah, because you don't really see it. You know. It's like
I tell people, you may put that dollar in the bank, but the
dollar you get backs a smaller dollars still looks the same as it feels the
same. It's just smaller. You're listening to Carrie Let's his Financial Survival Network
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Survival Network now more than ever. Welcome you are listening to the Financial survivell
Network. I'm your host, Carry Lutz. Well, the economy it's bleak,
it doesn't look good. Things continue to deteriorate, and we've got the
debt ceiling kabook game dance going on right now. What is going to be
a net result of all this? Well, hey, I'd like to know
your opinion. Tell me what you think. Email me k l at Kerry
Lut dot com. In the meaningtime, we've got Brad Williams. You find
him at ask Brad Williams dot com. Brad Economy anything good to report?
Well, yeah, I mean, you know, inflation seems to be slow.
In deployment still about one and a half jobs per jobs here, in
consumer spending positive. The problem is is the underlying foundation and that's where we
have the real problem. I mean, when we have a Chairman of the
or the Secretary of the Treasury that doesn't see inflation coming. You know that,
you said back in twenty twenty one, it kind of makes you scratch
your head. When you print all the money, inflation is going to follow
it, period and uh, and we're seeing that. Wait wait wait,
I thought the uh there were two infallible people in the world, the Pope
and the chair well the chairman of the Federal Reserve and the Secretary of Treasury.
That's three people that never make mistakes. You're berthing my bubble here broad
well when I when I hear you say, and three is probably appropriate because
it reminds me of those monkeys that's there, you know here evil see no
evil speak no evil. You know. Um, but uh, you know
we've got things are starting to damp and wage growth is slowing and labor demand
is slowing. So you know, it's not the job seekers market that it
used to be. All the you know, it's still not bad, it's
just you're not getting to raise you were so um people are I think starting
to stay at the jobs more so. We're seeing some of that. But
like what you said, you know about all this debt ceiling KABOOKI For a
while back I did a and this was even about god, this was just
background. Seventeen, two thousand seventeen, I did a client dinner where I
did what I call the Tale of two budget and I said, you know,
I preface it with your kid comes in, he's got a problem.
You're looking at his credit card debt and spending every year and his income and
all that the stuff, and you're going over it, and you're going over
it in real numbers that you might see in a budget, and I said,
would you lend this? Would you bail's kid out? Well, no,
I'd straightened this butt out and telling him he needs to get a handle
on his spending and get out of debt. And then what I did was
I flipped the page Gary and I added all his years necessary to be the
federal budget. And everybody was just kind of shock, you know, And
I said, so, why aren't we lending these people money? There?
You know, you can say spending like a drunken sailor on a short lea.
At least he's spending his own lend. Yeah, well that's an insult
to all drunken sailors. Really, he's a performative valuable functions. And if
you had employees and all they did was lose money for you, and all
they did is make your company go further and further into debt, would you
keep those people around or would you like fire there uses? You know,
I think pink slips would be in the in the very near future. The
problem is is we have so federal employees, not not disinfederal employees, but
the federal government doesn't have to turn a profit. So that's that's part of
Our problem is accountability, and you know, our conishman and senators as greatest
accomplishments and getting reacted every two and six years. That seems to be what
they're more concerned about than anything else. So they don't want the gravy train
to end, just like anyone else out there, all right, right,
Yeah, and then when you get people responsible that are saying, hey,
we just can't keep spending this money. I mean, when you think of
the fact we are five trillion dollars in two thousand national debt and now we're
we're thirty one getting pushing thirty two treeing. You know, that's why he's
in these these countries you're getting together, say we need an alternative to dollars.
These guys are taking us to cleaners because we're loaning the money and they're
they're paying us back with discounted dollars because they're inflating that dickens out of them.
And that's that's the insidious tax of a government gone awry. Yeah.
And that's a hidden tax too, isn't it. Yeah, because you don't
really see it. You know. It's like I tell people, you may
put that dollar in the bank, but the dollar you get back to a
smaller dollars, still looks the same, it feels the same, it's just
smaller, and so you don't get as much for it. Yeah, so
it goes, it goes less, right, dollars not going as far as
it used to. We all know that, right, right, So what
do you do about it here because we don't have any control over our out
of control federal government. Well, I think probably on a micro level,
is really looking at your spending patterns and what you're what you're what you're buying.
I know a lot of people are cutting the cave off and things like
that. When you look at the excretionary spending that people have today versus say,
you know, thirty years ago or forty years ago, there's nothing stuff
on. They're spending money on the stuff that we'd spend money on thirty and
forty years ago. It becomes a larger and larger portion of the bud So
you got to look at that and tighten that down. If you're getting close
to retirements, you need to start thinking about de risking your portfolio and looking
more at income and looking at some of the safer alternatives to preserve your capital.
You know, I had one guy coming this week and he was asking
me, I got all this cash in the bank, and you know,
I'm afraid the banks that they're going to go out. And I was just
wondering should I take a bunch of that cash and put it in silver just
as a hedge? And I said, what are you planning on doing with
that money? And he said, well, in a year, we're going
to use it for a house. And I said, well, last thing
you want to do is pay an extremely high premium to buy a lunch of
silver to protect it, you know, because they know what's going on with
precious metals and the premiums you're getting on those, if you're going to buy
them for emergency or for the you know, for apocalypse, then who cares
what you pay for it? Now you'll have it when you need it.
But the premiums on silver, especially now, are almos much as a coin,
right, Okay? So silver, gold, and uh, what else
can we do? Well? Um, looking at investments that provide you an
income. Um. You know, last year texts were down here, they're
up a lot of other stocks or you know, you had what five or
six stocks. It really drove sixty percent of SMP so far this year,
mainly tech stocks. UM. The key is and if you're getting income from
your investments, if you're getting a good dividend from your portfolio, UM,
then you can weather these storms. If you're in it for the long term,
if you're if you're coming out of the accumulation stage going into the distribution
stage of life, you know you're you're getting ready to retire and live off
what you work for. Then you start you need to start changing what you
do because is the rules that you live by to get you where you are
now are not the ones that are going to get you through, all right,
So different rules now govern a game pretty much if you look at it
like a football game. You know, you can go out that you're the
coach and you go out there and it's all sunny, and you got this
great passing game. You got a good passing quarterback, and you want yardage.
You want to put points on the board. Okay, great, Well
the second half rules around and during halftime show you got a downpour. You
know your field's just totally muddy. Well, that pass game's gone. You
need a good running game and you need to grind that thing out and maybe
you're getting yardage, and that's which in times like this, that's what you
need to look at your portfolios. This is not a time to go for
big games. This is a time for a good income and steady growth.
So go for income knock gains. We have both, but preface setting even
those games on things that are going to provide you a good didn't all right,
So so income first and foremost, but the dividends yields on these ox
are not keeping up with inflation either. Well, and you're you know you're
going to have that problem right now. And so if you've got growth mixed
in there and you're in the rights ox and you're you're in good companies,
you'll weather the storm. Now again, if you're right at retirement, you
may look at at other alternatives. And you know, the noodies are gaining
in great popularity now and for good for reason. They're not for everybody and
they're not the end at all solution for everything, but a lot of what's
said about them and the media is incorrect, and so looking at that might
be a solution for you, and just looking at things not being all in
one basket. Now, if you're forty years old, This is a buying
an opportunity when the market's going down, well to buy more because you're buying
things into a discount, you're not gonna need it for a while. What
I'm speaking at about in as those people that are you know, say fifty
five that need to start transitioning out of their risk based investments, right,
all right, So it all depends upon your your your point in life that
you are, you're the accumulation stage still or at the point where you're going
to have to start stop accumulating and start spending your savings. Right, That's
exactly right, because you you know, you want you want to try to
eat the egg and not the chicken. Yeah, that's not always possible though,
especially with the way returns have been. I think the public at large
and many of you out there are where it got used to got spoiled by
these excessive rate of return that the stock market got past fourteen years. And
now reality is starting to dawn on you, exactly. And if you look
at like you said, that's a that's a great, a great comment you
made about the last fourteen years. If you look at the market from two
thousand and thirteen, because from two thousand and two thousand and three, it
dropped fifty percent, raised back up to two thousand and seven, two thousand
and seven and nine drop sixty percent, an inbow thousand and thirteen or so,
it was back to where it was in two thousand. A lot of
people are looking at these returns over the last fourteen years from the bottom of
two thousand and nine. Well, if you were in the market prior to
that, you got to look at it from two thousand and thirty eight,
and the returns aren't as stellar. They were good, but they weren't as
stellar as you know, as a as you look at from two thousand and
nine. You know the old saying, I mean, you got to look
at the numbers. Don't lie, but you got to make sure you're looking
at the right numbers. What is there? There's lies, There's damn lies
in their statistics. Yeah, yeah, I think Churchill said that. Yeah,
I think, and that's true now more than ever. So when we
have this conversation in a year, Brad, where do you think things are
gonna be at that point? I think that really is going to depend on
things like Ukraine, things like Taiwan, because being overly aggressive, right,
now we've got some Joe political issues we haven't really faced a long time.
We're in one of those generational times where things can go pretty wildly in different
directions, and so I think people need to play their cards close to their
vas and pay attention. Okay, I think we will leave it at that.
Appreciate it. So we find you at ask Brad dot com. Ask
Brett Williams dot com. Do I have that right? That's right? If
you got a financial question, just ask Brad Williams all right, and the
link is in the show notes this interview on Financial Survival Network dot com.
If you've got a question for Brad myself heyl at carey lets dot com.
Make sure when you're at the site you sign up for a free newsletter.
Brat always a pleasure. We'll talk to you again soon. Thank you,
Carryalls Pleasure beyond. Thanks for listening to carry Let's Financial Survival Network, your
solution to today's trying times. For the latest, go to Financial Survival Network
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