WEBVTT 1 00:00:22.879 --> 00:00:26.000 This is Financial Issues, where we help you defund darkness 2 00:00:26.059 --> 00:00:29.300 and fund the light by investing with biblical integrity. Folks, 3 00:00:29.339 --> 00:00:31.910 great to have you on this winning Wednesday. Also, if 4 00:00:31.949 --> 00:00:34.670 you missed Mark's commentary this past week, which if you're 5 00:00:34.710 --> 00:00:36.530 not a partner, you certainly did, and you should become one, 6 00:00:36.549 --> 00:00:38.299 and then you can get that commentary. We'll give you 7 00:00:38.310 --> 00:00:41.600 a little sneak peek behind the curtain, though. Glad to 8 00:00:41.640 --> 00:00:44.100 do that for you, folks. I'm Seth Udinski. Sam Case 9 00:00:44.159 --> 00:00:46.780 is in the control room. And your host, Mark Manilla, 10 00:00:47.179 --> 00:00:48.219 is here with us today as well. 11 00:00:48.240 --> 00:00:49.000 Mark, good morning, brother. 12 00:00:49.560 --> 00:00:51.280 Welcome to Winning Wednesday. 13 00:00:51.299 --> 00:00:52.119 It's a good day. 14 00:00:52.460 --> 00:00:54.799 Good to experience some wins here in the middle of 15 00:00:54.820 --> 00:00:58.060 the week, brother. Hey, the phone's 610-363-1110, folks. Give us 16 00:00:58.100 --> 00:01:00.159 a call. We'd love to hear from you. We'll get 17 00:01:00.189 --> 00:01:03.549 to Winning Wednesday in just a moment, guys. First and foremost, though, 18 00:01:03.630 --> 00:01:05.109 our topic of the day, I'd like to read a 19 00:01:05.170 --> 00:01:07.430 quote for you guys out of context and then explain 20 00:01:07.450 --> 00:01:07.769 what it is. 21 00:01:08.129 --> 00:01:10.329 The quote is this. It's the best way to quote something. 22 00:01:10.370 --> 00:01:13.370 Thank you, Sam. And remember, you do not have to 23 00:01:13.530 --> 00:01:18.310 own something in every sector just because it's there. Now, 24 00:01:18.609 --> 00:01:21.650 that quote is from Mark's weekly commentary from this past week, 25 00:01:21.689 --> 00:01:23.450 of course. You should read it if you're a partner. 26 00:01:23.750 --> 00:01:26.349 You should check it out. Carries a great deal of wisdom, guys, 27 00:01:26.390 --> 00:01:29.280 for the faithful steward as we seek to honor God 28 00:01:29.329 --> 00:01:32.319 with our money. Mark, it does beg the question. If 29 00:01:32.379 --> 00:01:34.819 I have a large choice of sectors to invest in 30 00:01:35.079 --> 00:01:37.760 and I'm not invested in every one of those, should 31 00:01:37.819 --> 00:01:40.180 I be? Should I bite at every chance? So, Mark, 32 00:01:40.200 --> 00:01:43.140 can you help us navigate this? How should we prioritize 33 00:01:43.519 --> 00:01:46.420 which sectors to invest in if we have a large choice? 34 00:01:47.359 --> 00:01:50.840 Well, first of all, diversification does not mean we're required 35 00:01:50.900 --> 00:01:55.120 to own all 11 sectors or 10 or 12 or 10. 36 00:01:56.310 --> 00:02:00.469 depending on how you divide up sectors. So my approach 37 00:02:00.530 --> 00:02:03.349 is much simpler. If we have a buy rated companies 38 00:02:03.510 --> 00:02:08.840 on the FISM buy list and in that sector, you're 39 00:02:08.900 --> 00:02:11.139 welcome to be in that sector. If we don't, you 40 00:02:11.159 --> 00:02:14.719 don't have to be. It simplifies it. Oftentimes when we 41 00:02:14.780 --> 00:02:17.000 don't have it in that sector, it's because we can't 42 00:02:17.080 --> 00:02:19.810 find anything worthy at that point. 43 00:02:20.030 --> 00:02:21.090 So if we. 44 00:02:21.030 --> 00:02:24.879 Can't find companies that need buy that meet our standards, 45 00:02:25.020 --> 00:02:31.340 I'm perfectly comfortable with leaving that sector empty. So I 46 00:02:31.419 --> 00:02:33.659 don't believe we have to own every sector is the 47 00:02:33.699 --> 00:02:37.099 bottom line. My basic rule is straightforward. Again, if there 48 00:02:37.159 --> 00:02:40.159 are buy rated companies on the FIS and buy list 49 00:02:40.500 --> 00:02:43.539 in that sector, then I'm comfortable investing in that sector. 50 00:02:43.800 --> 00:02:47.509 What we're looking for is strong companies first above everything else. 51 00:02:47.849 --> 00:02:51.879 We're not filling boxes on an asset allocation chart just. 52 00:02:51.740 --> 00:02:53.340 Because the boxes exist. 53 00:02:53.680 --> 00:02:57.159 Remember, this is to guide us in helping us find 54 00:02:57.340 --> 00:03:01.909 great stocks for you. The idea of sector analysis is 55 00:03:01.949 --> 00:03:04.870 to help us find the stronger sectors. Just because a 56 00:03:04.930 --> 00:03:08.770 sector isn't strong at this time doesn't mean there won't 57 00:03:08.849 --> 00:03:11.610 be a stock or two in it. Or just because 58 00:03:11.650 --> 00:03:14.009 it is strong doesn't mean there's a stock in there 59 00:03:14.030 --> 00:03:17.930 that's not way overvalued or that has the financial issues 60 00:03:17.949 --> 00:03:21.830 still we need. So if we can't find a company 61 00:03:21.909 --> 00:03:26.469 that meets our biblical standards or fits our needs, what 62 00:03:26.509 --> 00:03:30.789 I believe is a financial issues investment personality, which means 63 00:03:30.849 --> 00:03:34.120 it has the fundamentals we want as well as the 64 00:03:34.159 --> 00:03:38.219 potential and at an attractive value, then I'd rather just 65 00:03:38.280 --> 00:03:41.259 leave that sector empty until we are able to find 66 00:03:41.319 --> 00:03:46.650 those kind of stocks that fit a very strong, a 67 00:03:46.750 --> 00:03:49.370 very positive growth portfolio. 68 00:03:50.060 --> 00:03:50.159 Yeah. 69 00:03:50.180 --> 00:03:52.419 You know, Mark, I gotta say there, there are times 70 00:03:52.560 --> 00:03:56.000 where sometimes I feel like if I don't have money 71 00:03:56.060 --> 00:03:58.259 that is actively being put to work right now, if 72 00:03:58.300 --> 00:04:00.599 it's sending in my money market account that I'm wasting 73 00:04:00.659 --> 00:04:03.430 time and I'm wasting the money. But what I'm hearing 74 00:04:03.469 --> 00:04:05.870 you say is sometimes that's the wise thing to do. 75 00:04:06.009 --> 00:04:08.930 If there's not an option available, there's no harm in that, 76 00:04:09.129 --> 00:04:11.069 in that money sitting in cash, especially if it's in 77 00:04:11.090 --> 00:04:13.750 a money market account, it's making 3% while you're waiting 78 00:04:13.789 --> 00:04:16.360 for more sectors to rotate into favor. Am I understanding 79 00:04:16.379 --> 00:04:16.860 that correctly? 80 00:04:18.240 --> 00:04:19.870 Um, No. 81 00:04:20.519 --> 00:04:21.120 Okay. 82 00:04:21.199 --> 00:04:21.730 Could you explain? 83 00:04:21.810 --> 00:04:24.750 Actually, sitting in cash is one place it could go, 84 00:04:25.069 --> 00:04:27.730 but it also could be divided among the other sectors. 85 00:04:28.029 --> 00:04:32.750 It could be put to work. Diversification. You know, one 86 00:04:32.769 --> 00:04:35.970 time I was talking with a musician. A musician friend 87 00:04:36.029 --> 00:04:38.930 and I were talking about music, and something came up, 88 00:04:39.029 --> 00:04:42.310 and I said, theoretically, music, talking about music theory, that 89 00:04:42.569 --> 00:04:45.930 progression doesn't work, but it sounds so good. And he 90 00:04:45.990 --> 00:04:49.350 looked at me and he said, theory explains the music. 91 00:04:49.529 --> 00:04:53.639 Music doesn't follow the theory. And the whole idea of sectors, 92 00:04:54.120 --> 00:04:58.879 of analyzing sectors and having diversification in multiple sectors is 93 00:04:58.899 --> 00:05:02.399 a way to reduce risk, but it shouldn't force you 94 00:05:02.439 --> 00:05:05.589 into more risk by having you invest in weak stocks. 95 00:05:06.009 --> 00:05:09.089 So when sectors go weak and the majority of stocks 96 00:05:09.149 --> 00:05:11.589 in those go weak, there's no reason to be in there. 97 00:05:11.949 --> 00:05:14.670 Let's follow the strength and put more money in the 98 00:05:14.730 --> 00:05:18.629 other sectors. Or it could be in cash if everything's 99 00:05:18.689 --> 00:05:23.069 overvalued or if everything's getting kind of weak. So, you know, 100 00:05:23.209 --> 00:05:26.290 there's weak sectors all the time and there's strong sectors. 101 00:05:26.329 --> 00:05:28.810 There's very few times that I've seen all the sectors 102 00:05:29.240 --> 00:05:32.100 that we follow the way we've divided it up that 103 00:05:32.139 --> 00:05:35.459 are all really strong. There are times and I can't 104 00:05:35.620 --> 00:05:38.779 ever remember a period outside of for a week or 105 00:05:38.819 --> 00:05:41.040 a few days that all sectors look bad. 106 00:05:42.600 --> 00:05:46.660 Your comment about the music reminds me of that famous quote, why, yes, 107 00:05:46.720 --> 00:05:48.779 it works in practice, but does it work in theory? 108 00:05:49.079 --> 00:05:49.800 Very important. 109 00:05:50.579 --> 00:05:52.060 So one of my questions, though, is we have a 110 00:05:52.100 --> 00:05:54.180 couple of weak sectors right now, and it doesn't mean 111 00:05:54.199 --> 00:05:57.500 there's necessarily no buys in there, but what are the 112 00:05:57.550 --> 00:06:00.329 weakest sectors at this moment, and why are they weak? 113 00:06:01.730 --> 00:06:04.430 What a weak sector is, the way I rank them, 114 00:06:04.550 --> 00:06:07.620 let's go there. That's really important. I look at the 115 00:06:07.660 --> 00:06:11.680 different sectors, look at the holdings, the securities in those sectors. 116 00:06:11.800 --> 00:06:15.980 Usually I find something to represent that sector in general, 117 00:06:16.000 --> 00:06:20.279 like an ETF that just buys all of the stocks 118 00:06:20.339 --> 00:06:21.100 in that sector. 119 00:06:21.459 --> 00:06:22.779 And what I'll do is I'll. 120 00:06:22.899 --> 00:06:26.629 Compare that ETF with an ETF in the other sector 121 00:06:26.649 --> 00:06:28.810 and actually in all the other sectors. So it's a 122 00:06:28.949 --> 00:06:33.110 relative strength formula that I use to figure out which 123 00:06:33.170 --> 00:06:35.970 sectors are strong and which sectors are weak. which ones 124 00:06:36.050 --> 00:06:38.579 are rising faster than the others, and which ones are 125 00:06:38.620 --> 00:06:40.800 falling slower or falling. 126 00:06:40.519 --> 00:06:41.500 Faster than the others. 127 00:06:41.959 --> 00:06:46.379 Right now, consumer staples, consumer discretionary, and real estate are 128 00:06:46.420 --> 00:06:49.610 what I would call unfavored. They're the bottom three of 129 00:06:49.810 --> 00:06:53.649 all the relative strength measurements right now. So that doesn't 130 00:06:53.709 --> 00:06:56.490 mean there's nothing in there. I have some real estate 131 00:06:56.529 --> 00:07:00.439 in my portfolio. because there are some good stocks in these. 132 00:07:01.360 --> 00:07:04.819 And again, remember, just because they're the weakest doesn't mean 133 00:07:05.000 --> 00:07:07.639 every stock in there is weak. It just means a 134 00:07:07.819 --> 00:07:11.769 lot of the stocks or the securities in there are 135 00:07:11.910 --> 00:07:15.569 weaker than, say, technology right now. 136 00:07:15.629 --> 00:07:16.350 So, yeah. 137 00:07:17.389 --> 00:07:21.509 Consumer discretionary is one of the weaker ones. You know, 138 00:07:21.569 --> 00:07:24.569 customers are becoming much more selective about where they spend 139 00:07:24.610 --> 00:07:28.660 their money. That makes sense, especially when you have Interest 140 00:07:28.720 --> 00:07:32.550 rates that people are uncomfortable with and the markets are 141 00:07:32.569 --> 00:07:36.470 a little bit, you know, the economy right now is 142 00:07:36.509 --> 00:07:39.769 going through a bit of a transition as this administration 143 00:07:39.870 --> 00:07:42.629 tries to strengthen it and win a war at the 144 00:07:42.689 --> 00:07:46.040 same time and balance those two. So people are waking 145 00:07:46.100 --> 00:07:48.540 up and being a little more careful. So it's harder 146 00:07:48.560 --> 00:07:52.259 to find strong stocks in the discretionary. In the staples, 147 00:07:52.860 --> 00:07:59.439 they're slower earnings growth and difficulty passing stocks. additional price 148 00:07:59.500 --> 00:08:04.560 increases from things like tariffs, from things like waiting for 149 00:08:04.899 --> 00:08:08.639 the manufacturing to come back to the U.S. As they're 150 00:08:08.689 --> 00:08:12.089 building the factories, they're not here yet as they're building them. 151 00:08:12.209 --> 00:08:15.209 And real estate, well, I think that we're just going 152 00:08:15.230 --> 00:08:18.410 through that cycle. Real estate remains very sensitive to interest 153 00:08:18.430 --> 00:08:19.829 rate and financing costs. 154 00:08:20.189 --> 00:08:22.769 That's true. That's not the only reason. 155 00:08:22.810 --> 00:08:27.500 We also have constructions that have fallen behind. There's all 156 00:08:27.560 --> 00:08:30.500 sorts of things. So those three seem a little weak. 157 00:08:30.730 --> 00:08:35.450 And as such, we probably don't have enough choices in 158 00:08:35.470 --> 00:08:37.769 there for everybody to say I'm very comfortable with this. 159 00:08:38.529 --> 00:08:41.169 That doesn't mean that money shouldn't be deployed at this time. 160 00:08:41.210 --> 00:08:44.210 The markets are still strong. So I believe that you 161 00:08:44.250 --> 00:08:48.549 would deploy that elsewhere, Seth, instead of just sticking in cash. However, 162 00:08:49.029 --> 00:08:52.230 as time goes on here, I'm seeing more and more weaknesses, 163 00:08:52.289 --> 00:08:54.990 little cracks in the market that I might change my 164 00:08:55.029 --> 00:08:57.970 mind and start saying, well, There isn't anything in this 165 00:08:58.009 --> 00:09:01.309 sector or there's very little, if you need to, uh, 166 00:09:01.909 --> 00:09:04.750 if you have money available that you wanted to put there, 167 00:09:05.149 --> 00:09:07.909 it might be good in cash or a fixed income, 168 00:09:08.149 --> 00:09:12.820 you know, like the Timothy plan, uh, fixed income ETF. 169 00:09:14.879 --> 00:09:15.139 Yeah. 170 00:09:15.220 --> 00:09:18.559 It makes sense. Mark. Yep. 6, 10, 3, 6, 3, 11, 10. Uh, Mark, 171 00:09:18.840 --> 00:09:20.659 what are some of the ways that we can identify 172 00:09:20.759 --> 00:09:24.779 strong sectors? Other than listening to the show, of course, 173 00:09:24.820 --> 00:09:25.620 and hearing what you have to say. 174 00:09:25.639 --> 00:09:28.850 Well, that's the best way, Seth. 175 00:09:28.990 --> 00:09:30.730 This is one of the reasons I spend a lot 176 00:09:30.769 --> 00:09:34.450 of time discussing sectors during the monthly partner call. I'll 177 00:09:34.570 --> 00:09:40.129 also address significant changes periodically in the Christian Investors Weekly Commentary. 178 00:09:40.559 --> 00:09:43.200 Those are two areas where you could get that. You 179 00:09:43.220 --> 00:09:44.340 can go out to almost. 180 00:09:44.179 --> 00:09:48.919 Any financial investment site and they'll have their sectors and 181 00:09:49.259 --> 00:09:51.480 how they rank them and stuff like that as well. 182 00:09:52.120 --> 00:09:55.000 I don't really expect the average investor to spend every 183 00:09:55.039 --> 00:09:58.990 day tracking relative strength in sectors or studying. 184 00:09:58.710 --> 00:10:02.820 Earning revisions or comparing. valuations. That's not what they want 185 00:10:02.860 --> 00:10:03.179 to do. 186 00:10:03.240 --> 00:10:07.549 That's why they want somebody like financial issues to go in, 187 00:10:07.870 --> 00:10:11.379 figure out, does this company, is it biblically responsible? Does 188 00:10:11.419 --> 00:10:14.389 it have the financial issues still we want? And does 189 00:10:14.450 --> 00:10:17.470 it have the potential we want? Having somebody else do 190 00:10:17.529 --> 00:10:19.929 that and then dividing that up into the sectors and 191 00:10:19.990 --> 00:10:23.299 doing that work for you is a real blessing, especially 192 00:10:23.340 --> 00:10:28.940 since it's not costing $ 1, 800 or $ 1, 300. are $ 4, 000 a year, 193 00:10:29.019 --> 00:10:32.879 but just $ 132 a year. That's why we do it 194 00:10:32.960 --> 00:10:35.320 for you, to take that off of you, because that 195 00:10:35.399 --> 00:10:36.840 is a lot of work if you want to do 196 00:10:36.860 --> 00:10:37.279 it yourself. 197 00:10:37.600 --> 00:10:39.639 But if you want to, we'll help you learn how 198 00:10:39.700 --> 00:10:41.769 to do that as well. The number here is 610-363-1110. 199 00:10:41.779 --> 00:10:41.840 610-363-1110. 200 00:11:10.200 --> 00:11:14.620 610-363-1110. Folks, listen, I can't emphasize this enough. Mark's commentary 201 00:11:15.250 --> 00:11:17.389 is such a good resource for you, and that's why 202 00:11:17.429 --> 00:11:19.230 you need to become a partner if you're not one. 203 00:11:19.509 --> 00:11:21.590 For those partners, though, please make sure that you have 204 00:11:21.629 --> 00:11:25.389 access to the commentary page. We send alerts out so 205 00:11:25.409 --> 00:11:28.889 you know that that commentary is posted, but nonetheless, great 206 00:11:28.909 --> 00:11:31.669 to save that commentary page maybe on your favorites on 207 00:11:31.730 --> 00:11:34.009 your internet browser there on the back end of the 208 00:11:34.049 --> 00:11:35.950 partner website. It'd be a great thing for you to do. 209 00:11:35.950 --> 00:11:37.389 There's a lot of great wisdom in there for sure. 210 00:11:38.820 --> 00:11:41.970 Let's jump back to that conversation, though, because I just 211 00:11:42.000 --> 00:11:44.309 want to know, I'm sure people are thinking, hey, Mark, 212 00:11:44.370 --> 00:11:46.730 this makes a lot of sense. You don't necessarily buy 213 00:11:46.830 --> 00:11:49.169 into a sector just because it's there. But what if 214 00:11:49.309 --> 00:11:52.190 multiple sectors are weak at one time? Isn't that going 215 00:11:52.210 --> 00:11:54.460 to leave big gaps in my diversification? 216 00:11:55.429 --> 00:11:59.470 Well, it could, yes, under ordinary conditions, perhaps. 217 00:11:59.629 --> 00:12:03.659 But, you know, there's always two or three sectors, almost 218 00:12:03.899 --> 00:12:06.559 always two or three sectors that are weak or what 219 00:12:06.600 --> 00:12:10.429 I call unfavored anyway. They're the bottom two or three 220 00:12:10.649 --> 00:12:16.389 of the sector relative strength comparison. So so it really 221 00:12:16.429 --> 00:12:19.690 doesn't concern me if weakness were to spread until the 222 00:12:19.750 --> 00:12:23.779 majority of sectors became unfavored, then we should probably be, 223 00:12:24.299 --> 00:12:28.590 we're probably dealing with a really, uh, weaker overall market. 224 00:12:28.629 --> 00:12:33.259 And at that point, uh, I'd already be thinking or 225 00:12:34.519 --> 00:12:39.190 discussing raising cash and reducing portfolio risk that way. The 226 00:12:39.289 --> 00:12:43.690 diversification equation would change. I know that might confuse some people. 227 00:12:44.029 --> 00:12:47.129 So let me take a second with this. If you're 228 00:12:47.169 --> 00:12:49.409 in a sailboat and you're out on the sea and 229 00:12:49.470 --> 00:12:54.029 it's just a nice, smooth, easy breeze, you have full 230 00:12:54.090 --> 00:12:58.860 sails up in a sailboat and you're cruising along. If 231 00:12:58.919 --> 00:13:02.039 the wind comes up and the waves start breaking, you 232 00:13:02.080 --> 00:13:03.179 pull those sheets down. 233 00:13:03.240 --> 00:13:04.250 You bring them down. 234 00:13:04.259 --> 00:13:07.850 You now start running on your motor that you have 235 00:13:07.870 --> 00:13:10.169 in the boat because if you kept your sheets up, 236 00:13:10.230 --> 00:13:14.450 it would toss your boat upside down. Under different conditions 237 00:13:14.529 --> 00:13:18.519 in the market, different things come into play. Asset allocation 238 00:13:18.580 --> 00:13:22.159 is there so when When there is movement in the market, 239 00:13:22.220 --> 00:13:26.539 such as moving from, as we're seeing in the last 240 00:13:26.639 --> 00:13:31.639 month or so, moving from technology into things like finance 241 00:13:31.779 --> 00:13:37.200 and industrials and industrial metals, things like that, you're already 242 00:13:37.460 --> 00:13:41.139 there with some stocks. It's receiving the money coming in there, 243 00:13:41.179 --> 00:13:44.200 pushing that up. As this sector goes down, these are 244 00:13:44.240 --> 00:13:47.110 coming up, and it's balancing out. That's the whole idea 245 00:13:47.120 --> 00:13:52.539 of how sector allocation works. When there are little to 246 00:13:52.620 --> 00:13:55.750 no sectors that are working, it is best to move 247 00:13:55.799 --> 00:13:56.970 to a safe haven. 248 00:13:57.490 --> 00:14:01.590 And that's when we start talking about dry powder. 249 00:14:02.389 --> 00:14:05.090 If you're selling something, maybe it's just put in cash 250 00:14:05.190 --> 00:14:09.649 or a fixed income or something like that. So the 251 00:14:09.750 --> 00:14:14.720 diversification equation would change in that sense. Instead of saying, 252 00:14:14.840 --> 00:14:18.080 I need exposure to every sector, we'd be saying, I 253 00:14:18.120 --> 00:14:22.000 need less overall exposure to risk and moving it to 254 00:14:22.039 --> 00:14:25.500 a safer, safe money position at that time. 255 00:14:25.990 --> 00:14:27.230 Did that help, Sam? 256 00:14:28.250 --> 00:14:28.870 I think it does. 257 00:14:29.700 --> 00:14:31.820 Just knowing that you're not going to have all these 258 00:14:31.980 --> 00:14:35.600 massive holes in your diversification, I think is helpful for people. 259 00:14:35.840 --> 00:14:37.879 It resists that temptation that you're just going to have 260 00:14:37.919 --> 00:14:40.340 to put a square hole in a round peg just 261 00:14:40.360 --> 00:14:41.480 because you have a round peg. 262 00:14:42.019 --> 00:14:47.549 Yeah. Sometimes proper diversification means diversifying away from risk, not 263 00:14:47.590 --> 00:14:53.029 merely spreading your money among 11 equity sectors to help 264 00:14:53.909 --> 00:14:54.809 reduce risk. 265 00:14:55.210 --> 00:14:55.350 Yeah. 266 00:14:55.769 --> 00:14:56.470 Makes a lot of sense. 267 00:14:56.830 --> 00:14:59.070 Mark, that leads to this question then. How do we 268 00:14:59.110 --> 00:15:03.129 keep a sound mind in tempering the innate desire? And 269 00:15:03.149 --> 00:15:05.240 I think all of us have this. We want to 270 00:15:05.289 --> 00:15:07.679 snatch up positions in as many sectors as we can. 271 00:15:08.120 --> 00:15:10.559 But how do we temper that desire so that we're 272 00:15:10.600 --> 00:15:13.039 not just jumping into every sector that might be available 273 00:15:13.080 --> 00:15:13.350 to us? 274 00:15:13.870 --> 00:15:18.190 Well, keeping a sound mind is easier for some than others. 275 00:15:18.250 --> 00:15:19.210 Let me just say that. 276 00:15:19.230 --> 00:15:23.570 I'm not saying anything about the question or the questioner. 277 00:15:24.220 --> 00:15:25.659 He's really talking about me. 278 00:15:27.000 --> 00:15:28.879 This isn't a social security conversation. 279 00:15:28.899 --> 00:15:30.940 I know that now. All right. 280 00:15:30.980 --> 00:15:34.399 Start remembering the key question or the key way to 281 00:15:34.440 --> 00:15:37.139 do this. Start remembering that activity is not the same 282 00:15:37.210 --> 00:15:42.649 thing as stewardship. You don't receive extra credit in investing 283 00:15:42.789 --> 00:15:46.669 for owning more stocks or more sectors. Every investment should 284 00:15:46.769 --> 00:15:49.750 earn its place in your portfolio. Ask, does this align 285 00:15:49.789 --> 00:15:53.610 with biblical integrity? Does it fit my investment personality? Do 286 00:15:53.700 --> 00:15:57.899 I understand why I own it? Is it fundamentally strong? 287 00:15:57.940 --> 00:16:02.320 Does it have potential? Does this improve my portfolio? If 288 00:16:02.340 --> 00:16:05.340 the answer is no to these, there's nothing wrong with 289 00:16:05.419 --> 00:16:08.279 keeping that money available for better opportunity. 290 00:16:08.600 --> 00:16:11.580 Guess what? You've heard about, you know, you missed the 291 00:16:11.620 --> 00:16:13.320 boat on this one. Guess what? 292 00:16:13.379 --> 00:16:17.409 The boats are lined out like the Hormuz boats. channel 293 00:16:17.450 --> 00:16:20.889 there just waiting to get through. There's always another opportunity 294 00:16:20.970 --> 00:16:23.889 coming in the market. Don't worry about it. If you 295 00:16:23.929 --> 00:16:27.429 missed one or you're not in all sectors or you 296 00:16:27.470 --> 00:16:29.129 can't find something there, just wait. 297 00:16:29.389 --> 00:16:30.769 There'll be something coming along. 298 00:16:30.970 --> 00:16:33.730 You're not missing the last helicopter out of Vietnam. It's 299 00:16:33.789 --> 00:16:34.409 not happening. 300 00:16:34.750 --> 00:16:36.789 That's a good way to say it, Sam. 301 00:16:37.230 --> 00:16:42.269 You know, and also remember 2 Timothy 1.7, for God 302 00:16:42.309 --> 00:16:45.409 has not given us a spirit of fear, but of power, 303 00:16:45.710 --> 00:16:46.250 of love. 304 00:16:46.820 --> 00:16:48.179 And of a sound mind. 305 00:16:48.620 --> 00:16:51.899 So keeping a sound mind means turning to God, realizing 306 00:16:51.919 --> 00:16:54.600 we're a steward, we're not a day trader. Our goal 307 00:16:54.620 --> 00:16:57.620 here on earth is not to accumulate the most money possible, 308 00:16:57.899 --> 00:17:00.070 just to do the best we can with what God 309 00:17:00.110 --> 00:17:04.029 has entrusted to us, and then leave the impact of 310 00:17:04.069 --> 00:17:04.809 that to him. 311 00:17:05.809 --> 00:17:06.230 Very good. 312 00:17:06.490 --> 00:17:09.089 One last question here. How long do sectors remain out 313 00:17:09.130 --> 00:17:12.410 of favor? Is there a typical cycling time, or does 314 00:17:12.430 --> 00:17:13.250 it kind of depend? 315 00:17:14.160 --> 00:17:17.140 There really isn't. There's no reliable timetable. 316 00:17:18.069 --> 00:17:20.769 I tried looking at that many, many years ago, see 317 00:17:21.390 --> 00:17:24.630 what kind of cycles there were, but I've seen from 318 00:17:24.730 --> 00:17:29.329 several months through an entire economic cycle to several days 319 00:17:29.490 --> 00:17:33.630 or even occasionally for years, and I could not find 320 00:17:33.710 --> 00:17:36.819 any rhyme or reason in it outside of That's the 321 00:17:36.859 --> 00:17:40.460 way the markets win. So I don't look at sectors 322 00:17:40.759 --> 00:17:44.750 as being cyclical in and of themselves of how long 323 00:17:44.789 --> 00:17:47.490 they remain in favor or not in favor. 324 00:17:47.849 --> 00:17:51.410 Anything can trigger it. That's the issue. Anything from from 325 00:17:51.490 --> 00:17:54.569 politics to economic conditions. 326 00:17:55.670 --> 00:17:59.930 To just meme stocks it can it anything could could 327 00:17:59.970 --> 00:18:02.730 change that sector remember if you get two or three 328 00:18:02.769 --> 00:18:04.960 meme stocks in one sector and they go through the 329 00:18:05.019 --> 00:18:08.359 ceiling that sector is going to change its position very 330 00:18:08.460 --> 00:18:11.319 quickly and then it's going to drop very quickly again 331 00:18:11.400 --> 00:18:14.819 too so Almost anything can change them. So we have 332 00:18:14.859 --> 00:18:18.019 to be careful about about chasing them. That's why we 333 00:18:18.160 --> 00:18:21.420 use diversification to begin with. But we also use our 334 00:18:21.460 --> 00:18:25.609 mind that says, OK, look, it looks like seven out 335 00:18:25.630 --> 00:18:29.250 of 11 are really weak. And the stocks in there 336 00:18:29.430 --> 00:18:34.549 are either overvalued or weak stocks. So let's start positioning 337 00:18:34.609 --> 00:18:39.609 our portfolio to to avoid the risk instead of just 338 00:18:39.670 --> 00:18:43.250 diversify it. That's the choices we have there. 339 00:18:43.509 --> 00:18:45.970 It seems like another example, you can't time the market, 340 00:18:45.990 --> 00:18:47.720 you can't time the sector rotations. 341 00:18:48.200 --> 00:18:49.019 Right, right. 342 00:18:49.660 --> 00:18:53.210 Yeah, good stuff, guys. Mark, thanks for your insight on that. Folks, listen, 343 00:18:53.230 --> 00:18:54.990 today's show brought to you in part by our friends 344 00:18:55.069 --> 00:18:57.650 over at Preborn. You can check them out at preborn.com 345 00:18:57.730 --> 00:19:02.220 slash FISM. Preborn is leading the fight in saving babies 346 00:19:02.259 --> 00:19:04.660 from abortion, and we're honored to partner with them. They're 347 00:19:04.680 --> 00:19:06.859 the leaders, and we're just standing by their side, shoulder 348 00:19:06.880 --> 00:19:11.220 to shoulder, holding their arms up. Preborn.com slash FISM. You know, guys, 349 00:19:11.259 --> 00:19:13.900 it is Winning Wednesday, and it's appropriate that we celebrate 350 00:19:13.940 --> 00:19:16.720 Preborn with this because we got a great, excellent show. 351 00:19:17.220 --> 00:19:18.940 win here in the fight for life. Sam, give it 352 00:19:18.960 --> 00:19:19.190 to us. 353 00:19:19.480 --> 00:19:22.539 In the state down of Oklahoma, the latest state now 354 00:19:22.579 --> 00:19:25.849 to take action against the trafficking and distribution of the 355 00:19:25.930 --> 00:19:28.690 abortion pill with a brand new law that started this 356 00:19:28.769 --> 00:19:32.109 month making distribution of abortion pills a crime in the 357 00:19:32.170 --> 00:19:34.069 state with penalties of up to $ 100, 000 and up to 358 00:19:34.069 --> 00:19:39.349 10 years in prison. Oklahoma is now the 15th state 359 00:19:39.390 --> 00:19:42.819 in the country to criminalize abortion pill trafficking. Abortion, by 360 00:19:42.839 --> 00:19:45.259 the way, is already banned in Oklahoma, but as with 361 00:19:45.380 --> 00:19:49.269 all the pro-life states, the abortionists have been finding loopholes 362 00:19:49.349 --> 00:19:53.019 to make it stop. still be a pro-abortion state. This 363 00:19:53.079 --> 00:19:55.680 is meant to crack down on more of those. The 364 00:19:55.740 --> 00:19:58.549 only exception for abortion in Oklahoma is the life of 365 00:19:58.569 --> 00:20:01.569 the mother. Supporters say this new law will close all 366 00:20:01.609 --> 00:20:04.950 those loopholes down and, as a result, save thousands of 367 00:20:05.029 --> 00:20:06.269 lives in the process. 368 00:20:06.369 --> 00:20:09.549 So really, really a big win for this winning Wednesday. 369 00:20:10.150 --> 00:20:12.630 Absolutely. More babies will be born. 370 00:20:14.680 --> 00:20:18.619 And hopefully the Christian community will come along, those mothers 371 00:20:18.700 --> 00:20:21.900 who don't have the means to care for a baby 372 00:20:21.960 --> 00:20:24.960 or don't have the education or the network that they 373 00:20:25.039 --> 00:20:28.119 need to help do that. And that's where Preborn comes in. 374 00:20:28.579 --> 00:20:32.369 They are an incredible organization that makes it easier for 375 00:20:33.240 --> 00:20:37.730 a mom to take care of that baby. They do 376 00:20:37.789 --> 00:20:41.480 it financially they help with the needs of the baby 377 00:20:41.500 --> 00:20:45.950 they they do it with uh through the ultrasounds helping 378 00:20:45.970 --> 00:20:48.890 the mom understand what life truly is and they do 379 00:20:48.930 --> 00:20:52.710 it spiritually those are those are three things that every 380 00:20:52.769 --> 00:20:56.410 mom really needs to be able to have the hope 381 00:20:56.450 --> 00:20:59.269 to raise a child and raise them in love i 382 00:20:59.410 --> 00:21:02.259 i'm so glad we could partner with pre-born. 383 00:21:02.339 --> 00:21:05.670 Yeah amen mark Honored to do it, folks. 384 00:21:05.690 --> 00:21:05.970 610-363-1110. 385 00:21:06.569 --> 00:21:10.130 That is the number to call in here, folks. Mark, 386 00:21:10.170 --> 00:21:12.710 I'd love to give Jeffrey his due here with this question. 387 00:21:12.750 --> 00:21:14.630 So I think we might save Jeffrey's question for the 388 00:21:14.670 --> 00:21:17.500 other side of the break. But before we get to 389 00:21:17.539 --> 00:21:19.819 the end of this segment here, the markets yesterday did 390 00:21:19.859 --> 00:21:22.160 pretty well. It was a good day overall. The Dow 391 00:21:22.180 --> 00:21:24.089 Jones ended up up a third. Same with the S 392 00:21:24.089 --> 00:21:26.799 & P 500. The Nasdaq was up about two thirds 393 00:21:26.819 --> 00:21:29.710 of a percent and the Russell 2000 was up about 394 00:21:29.809 --> 00:21:33.829 half a percent. Unfortunately, this morning, Mark, everything's somewhat in 395 00:21:33.890 --> 00:21:36.079 the red this morning. 396 00:21:36.220 --> 00:21:37.960 What goes up must go down. 397 00:21:38.039 --> 00:21:39.380 Exactly. That's the way it goes. 398 00:21:39.420 --> 00:21:41.940 Yeah, when I got up, it looked much better. I 399 00:21:42.039 --> 00:21:42.920 don't know what's going on. 400 00:21:42.940 --> 00:21:43.269 It's you. 401 00:21:43.309 --> 00:21:44.890