Speaker 1: Jim Kramer has advice, so get ready to do the
Speaker 1: opposite of that to Wi Wasserman. Schultz apparently caught in
Speaker 1: a violation of the Stock Act violation. We'll tell you
Speaker 1: about her three hundred and thirteen percent bump since her trade,
Speaker 1: and we'll talk about this with Zach Abram. Also might
Speaker 1: touch on the mayor of New York or the likely
Speaker 1: new mayor of New York. He's got himself a plan,
Speaker 1: a bold one. Zach Abraham joins U, Chief Investment Officer,
Speaker 1: Bulwark Capital Management.
Speaker 2: The Todd Herman Show is one hundred percent disapproved by
Speaker 2: big pharma technocrats and tyrns everywhere from the hind mountains
Speaker 2: of Free America. Here's the Emerald City EXI.
Speaker 1: Todd Herman. Today is the day the Lord has made,
Speaker 1: and these are the times through which God has decided
Speaker 1: we shall live. It is wise count today. Zach Abraham
Speaker 1: joins us. Zach, Welcome back to the Todd Herman Show,
Speaker 1: starring No Let's say it this way. Welcome back to
Speaker 1: Zach Abraham with Todd Herman.
Speaker 3: I didn't think it's I think it's the other way around.
Speaker 3: But I'm the side this year. But no, good, good,
Speaker 3: to be back man plenty to talk about obviously, So.
Speaker 1: Jimmy Kramer and I don't even get this. I'm normally
Speaker 1: I can kind of sus things out by anything.
Speaker 2: Uranium.
Speaker 1: Is this because Iran? Is this just because Jim Kramer.
Speaker 3: It's because the chart broke out? Okay, Now, to be fair,
Speaker 3: that's it to be. To be fair, we have had
Speaker 3: uranium as a staple in our portfolio for probably the
Speaker 3: last five years.
Speaker 1: You don't say precious metal.
Speaker 3: Yeah, this is so let me give you. This is
Speaker 3: why if you want to listen to your Kramer at home,
Speaker 3: I would urge you not to. Okay, all right, So
Speaker 3: perfect example. So Camico for those for those at home,
Speaker 3: picker symbols CCJ, they are by far the biggest supplier
Speaker 3: and contractor of uranium outside of Kazakhstan. Okay, so they're
Speaker 3: they're the biggest company. They're kind of the bell Weather
Speaker 3: right yep. Jim Kramer is talking about everybody go buy uranium.
Speaker 3: When we got into Camico, we got into it about
Speaker 3: five or six years ago at about eight dollars and
Speaker 3: fifty cents a share. Today it hits seventy one eighty seven.
Speaker 3: And now Jim Kramer is telling you to go out there.
Speaker 3: So it's only nine xt since we bought it, but
Speaker 3: now it's a buye if you want to know Jim
Speaker 3: kra like, there's Jim Kramer right right. This is also
Speaker 3: this is also why this is also another example of
Speaker 3: why in the short run it can be so tempting
Speaker 3: to chase the things that are running by the breakouts.
Speaker 3: But this is why we believe in value investing, and
Speaker 3: and sometimes it takes a while, sometimes it's going to
Speaker 3: be frustrating. But when we were back buying Camico at
Speaker 3: eight point fifty, it was so bloody cheap. The only
Speaker 3: thing you were worried about was what would be the
Speaker 3: catalyst to get people to notice the stock right. And
Speaker 3: I'll be honest with you, it was a frustrating trade
Speaker 3: for the first two years. But then you look back
Speaker 3: six years and you know, a nine x return in
Speaker 3: six years isn't too bad, Todd. I'll take that annualized
Speaker 3: grade of gain right right, And it works over the
Speaker 3: long run, and that's how you're going to get big wins.
Speaker 3: And that's how we've gotten the majority of our big wins. Unfortunately,
Speaker 3: it's just become a very unpopular way of investing because
Speaker 3: everybody is so short term minded. But it's still not
Speaker 3: going to be how you find your biggest wins, and
Speaker 3: it's certainly not going to be jumping on the Jim
Speaker 3: Kramer bandwagon after nine x returns of already been name.
Speaker 1: Let's tell you a second. He did a feature the
Speaker 1: day about business ideas. He's trying to help young entrepreneurs out,
Speaker 1: and I'll tell you an ID he had, and I'll
Speaker 1: see what you think of this one. This is a
Speaker 1: good opportunity to talk about this halfway webinar you're doing.
Speaker 1: It's you're looking at our country as if people's retirement
Speaker 1: accounts are sports teams, they're financial advisors. How are they
Speaker 1: doing if they have a fiduciary, big difference. Fiduciaries have
Speaker 1: to put their their financial interests behind ours, your fiduciary
Speaker 1: at Bulwark. So you're looking at it halfway through the year,
Speaker 1: and then you're gonna be looking at risk profiles, costs.
Speaker 1: How you guys are always looking to cut costs? Can
Speaker 1: you give people any like maybe hint in this because
Speaker 1: the webinar's free, but these things like they fill up.
Speaker 1: It's Know Your riskpodcast Dot com to register for this
Speaker 1: Know Your Risk podcast dot com. Just give someone just
Speaker 1: maybe a tiny little tease, just a taste of the cocaine.
Speaker 3: Yeah. So, in investing, I think one of the biggest
Speaker 3: misnomers is that there's a right way to do it
Speaker 3: and there's a wrong way to do it. There's a
Speaker 3: lot of different ways to do it. But the thing
Speaker 3: that has always re resonated with me, and I think
Speaker 3: it makes all the sense in the world is our
Speaker 3: job is not to sell you a B and C.
Speaker 3: What our job to do. What our job should be
Speaker 3: as a money manager is to accomplish your goals while
Speaker 3: taking as little risk as possible.
Speaker 2: Right.
Speaker 3: So a perfect example of this, now listen, people hear
Speaker 3: me say this, Like, we have plenty of clients that
Speaker 3: don't use these products. It all depends on what's right
Speaker 3: for you. But a big example of what makes us
Speaker 3: different is we have we always used to own stocks
Speaker 3: and bonds. Okay, interest rates went to zero, so bonds
Speaker 3: lose money when interest rates go up. When should you
Speaker 3: get out of bonds, I'd say when rates are zero,
Speaker 3: it's probably a pretty good time.
Speaker 4: Yes.
Speaker 3: So instead of using bonds, we used our bond replacement
Speaker 3: strategy if it was appropriate for somebody, and we use
Speaker 3: something called the fixed indextinuity. Now they get ranked on
Speaker 3: a lot and people take shots at them. But the
Speaker 3: one thing I'd like people to remember is one of
Speaker 3: the reasons they take shots at them is because everybody
Speaker 3: taking shots out of them is an investment company. Okay,
Speaker 3: Annuities are an insurance product.
Speaker 2: Yep.
Speaker 3: They Investment companies can't charge fees on insurance products. So
Speaker 3: that doesn't mean all. Yeah, it doesn't mean all insurance
Speaker 3: products are good. It doesn't mean that. It doesn't mean
Speaker 3: that you should have insurance products instead of stocks. Yeah,
Speaker 3: But what it does mean is if I've got a
Speaker 3: bond that is paying me less than the inflation rate,
Speaker 3: and I am paying a management fee for that and
Speaker 3: interest rates are zero, and I'm doing that because that's
Speaker 3: a safer investment, why not go buy this investment that
Speaker 3: has no fee, that averages you know, four to six
Speaker 3: percent a year and is insured against loss. So a
Speaker 3: good example of this was in twenty twenty two, the
Speaker 3: worst year ever for bonds, when bond portfolios were down
Speaker 3: thirty to forty percent. Our clients didn't lose a dime, right, Yeah,
Speaker 3: So now again, we have plenty of clients that don't
Speaker 3: use those products. It's not right for everybody. But my
Speaker 3: whole point is saying, we're looking at a portfolio and going, Okay,
Speaker 3: what do you need to accomplish? What out there? What
Speaker 3: is the best way we can build this portfolio to
Speaker 3: insulate you against risk but also give you the most
Speaker 3: upside at the same time, right, because that's the other thing. Oh,
Speaker 3: you're you're a nuity. Didn't lose And I'm like, well, yeah,
Speaker 3: but you know what that means. That means that when
Speaker 3: that's used with the stock portfolio, not only did it
Speaker 3: not lose, but you have a higher net return, right
Speaker 3: Like you made more money, taking less risk, paying less
Speaker 3: and fees. That should be the goal, And those things
Speaker 3: change from time to time, and so you've got to
Speaker 3: stay up on it. So our attitude is, hey, when
Speaker 3: things are like this, we do it this way. If
Speaker 3: they change, we do too. You know, right now, a
Speaker 3: lot of our clients have way more exposure to value
Speaker 3: type stocks, international type stocks, commodity type stocks, specifically precious metals,
Speaker 3: way more than the average you know, just market oriented portfolio.
Speaker 3: Why we're in an inflationary environment and inflationary environments, a
Speaker 3: totally different type of stock benefits, So you should change
Speaker 3: your you know, your approach one of the and this
Speaker 3: is something I keep bringing up, and this is one
Speaker 3: of the things that you know. This to me, I
Speaker 3: feel just as adamant about pounding the table on when
Speaker 3: rates were at zero and people were still in bond portfolios,
Speaker 3: where you're sitting there going you are in a can't
Speaker 3: win investment. Okay, You're going to sit around and make
Speaker 3: less than the inflation rate until interest rates go up
Speaker 3: and you get hit for twenty five to thirty percent.
Speaker 3: I was saying that since twenty fifteen, that's exactly what happened.
Speaker 3: Right you flip around, you have a very similar dynamic
Speaker 3: right now. Not only are you in an inflationary environment,
Speaker 3: but because this past period of time has been so
Speaker 3: dominated by one type of stock, the kind of stocks
Speaker 3: you need right now also happened to be generationally cheap,
Speaker 3: which is a wonderful opportunity. And so you know, it's
Speaker 3: not just about avoiding risk, and it's not us saying
Speaker 3: the sky is going to fall. What it is saying, though,
Speaker 3: is there is a generational opportunity in so many of
Speaker 3: these types of things to buy them at valuations where
Speaker 3: you have never seen those types of things is discounted
Speaker 3: to the normal US stock market than they have ever been.
Speaker 3: So I like to buy things when they're really cheap.
Speaker 1: It's a weird investment strategy, but it might work out.
Speaker 1: So if attend this halftime webinar at Zach is going
Speaker 1: to look at the country's performance. Halfway through, go to
Speaker 1: Know Your riskpodcast dot com to register investment advisors services
Speaker 1: up through check Financial LLC and sec Richard Investment Advisor
Speaker 1: Investments volve risk can not guaranteed past performances and guarantee
Speaker 1: future results truck twenty five. That's two five two. Since
Speaker 1: we have bagged Don Kramer a little bit and had
Speaker 1: some fun to expense, I did want to tell you
Speaker 1: I saw this feature. Apparently he does, and it's sort
Speaker 1: of to help out young entrepreneurs. And this was an
Speaker 1: interesting theory. He was talking about taking something that's sort
Speaker 1: of commodity, like just available anywhere, building an experience around it,
Speaker 1: like a you know, kind of a place. I think
Speaker 1: he called it a third place you would go and
Speaker 1: it would say And what he did is he said
Speaker 1: coffee that you could really kind of.
Speaker 5: Okay, that's like literally, that's literally like Starbucks. I mean
Speaker 5: he's a little he's at themselves the third place. Like
Speaker 5: that's literally what they call you know that.
Speaker 1: I know you know that No, I was, I was,
Speaker 1: I was not. I was babbelon being you.
Speaker 3: He didn't.
Speaker 1: He didn't really do that. Okay, but but you bought
Speaker 1: it because it would be very Cramer esque. Okay, let
Speaker 1: me run this by you.
Speaker 4: Uh.
Speaker 3: Look, is a guy is guys that are doing deep
Speaker 3: research all the time and really trying to find nuggets
Speaker 3: for our clients. It kills me because he's always telling
Speaker 3: these people to buy this stuff after all the money
Speaker 3: has been made right, and when it's dirt cheap, he
Speaker 3: doesn't like it. When it's expensive. Is he dirty?
Speaker 1: I mean, you can't say I don't don't don't answer
Speaker 1: that legal problems, so I don't think something you's just
Speaker 1: think he's dumb.
Speaker 3: I don't think he's dumb. I think that Jim is
Speaker 3: a I think he is a horse for a course,
Speaker 3: and I think, like a lot of investors for reasons
Speaker 3: that I will never understand, adapt completely to the environment
Speaker 3: they're in and forget all the lessons they've learned before.
Speaker 3: Why that happens every time? I don't I've never understood it.
Speaker 3: But that's you know, like the uranium thing's a perfect example.
Speaker 4: Right.
Speaker 3: We were buying uranium when literally the the price of
Speaker 3: uranium was was one third the production cost. So you
Speaker 3: knew it had to go up or it wasn't going
Speaker 3: to exist.
Speaker 4: Right.
Speaker 3: He didn't want to buy those stocks then because the
Speaker 3: stocks weren't doing well. And you're like, that's that's where
Speaker 3: buy it, you know, So you know, yeah again classic
Speaker 3: And guess what. Remember when I told you Camico, right
Speaker 3: is number Yeah, so he's like, buy anything uranium. One
Speaker 3: of the things he listens is you rn M. That's
Speaker 3: a fund, right, guess what the number one holding of
Speaker 3: you rn ms? I have Cammaco CCJ. And so you're
Speaker 3: just like, it's my it hurts. He's good on the TV.
Speaker 1: I mean, I'll give him this credit. He's good on
Speaker 1: the TV.
Speaker 3: He is. This is exactly. And now I'll tell you
Speaker 3: a real life story too, really short, same thing coming
Speaker 3: out of covid. Okay oil goes negative thirty eight. Now
Speaker 3: that was pretty wild to see, right. I remember a
Speaker 3: conversation we had in our office that day where we go,
Speaker 3: all right, boys, plug your nose, we're digging deep, load
Speaker 3: up on oil. Okay.
Speaker 2: Yeah.
Speaker 3: Everybody's like why and I'm like, cause they're giving it away, right.
Speaker 3: So Jim Kramer comes over out the next day and
Speaker 3: he goes, now, oil's uninvestable, and I'm going, you, you
Speaker 3: want to buy that sixty, but you don't want to
Speaker 3: get it when it's good. They're giving it away. Yeah,
Speaker 3: it's uninvestable. And so literally we heard that and we
Speaker 3: went double down. We increased our oil holdings on him,
Speaker 3: saying that because sitting there going it's never been better,
Speaker 3: it's never been cheaper. You know, the world needs oil.
Speaker 3: You think oil is gonna stay it twenty dollars a barrel?
Speaker 1: Anyone ever? Does anyone ever confront him? Does he ever
Speaker 1: go to industry meetings? And does anyone ever like on
Speaker 1: a panel I got to tell industry. Okay, So I
Speaker 1: said this in a super rude way, and I deeply,
Speaker 1: deeply hate that I said this. I would love to
Speaker 1: figure out who this man is. I would love to
Speaker 1: go apologize to him. I was not to discappled Christian
Speaker 1: at the time. That's no excuse. I'm on a panel
Speaker 1: in Hollywood and there's a guy from a major agency
Speaker 1: there and we're talking about Facebook, okay, And I was
Speaker 1: in a period of time where Microsoft had asked me
Speaker 1: to study Facebook. How is this singing to make money?
Speaker 3: What is it?
Speaker 1: Is there any tech? What's our role in this? Should
Speaker 1: we buy it?
Speaker 3: What should we do?
Speaker 1: And so I'd come back with this recommendation, and what
Speaker 1: I was saying is, look, this is a data and
Speaker 1: an app play and that's what it was at the point.
Speaker 1: They have so much data, but it's behavioral data. You
Speaker 1: can't think of buying that they're getting in terms of
Speaker 1: how people interact, when they interacts, There's looks like they're
Speaker 1: looking at emotional data. There's a whole it's a massive
Speaker 1: data suck, data vacuum. So I'm on this panel and
Speaker 1: the panel leader, the moderator, says, do you think Facebook
Speaker 1: will be a viable platform for advertising? And this guy
Speaker 1: with a major international ad agency says, you know what,
Speaker 1: that really remains to be seen, That means to be seen.
Speaker 1: And it came to me and I said, well, are
Speaker 1: you asking me if the world's number one social platform
Speaker 1: that has data on when people are going to do
Speaker 1: a thing together? Such as twenty people going to a
Speaker 1: movie together, all of them are going to need gas,
Speaker 1: probably a place to eat, going on vacation together, that
Speaker 1: there are people who joined this support group for pre diabetes.
Speaker 1: Are you asking this, I don't know.
Speaker 3: This is how rude it was.
Speaker 1: Are you asking me if that's going to make money?
Speaker 1: That is the stupidest question I've ever heard in my
Speaker 1: entire life. And anybody who doesn't see that should never
Speaker 1: be in the advertising business.
Speaker 3: Again.
Speaker 1: Now, I mean, that was very, very rude, But this
Speaker 1: was in.
Speaker 3: Hey, listen, you were dead right and all to the
Speaker 3: point where I was. So I learned I learned that
Speaker 3: same thing way later than you did, because I all
Speaker 3: of a sudden, I remember, I just kept it was
Speaker 3: social media, right, and it was just tech, and it
Speaker 3: was hype, and I just kind of dismissed it, dismissed it.
Speaker 3: And then all of a sudden I was reading and
Speaker 3: doing some research and I went, oh, my goodness, this
Speaker 3: is the greatest curator of consumer data that has ever
Speaker 3: been invented. Yep. Yes, Like, and you realize all of
Speaker 3: a sudden, You're like, they know where you're going, they
Speaker 3: know what you're buying, they know what you're wearing. They
Speaker 3: know who you're doing it with, they know who you're
Speaker 3: shopping with, they know what you're using to buy it with.
Speaker 3: Right They literally they know everything. They know when you
Speaker 3: do it, they know what types of the year you spend.
Speaker 3: More like you're putting it all on Facebook. It yes,
Speaker 3: you saw it earlier, and I did, man well, I
Speaker 3: was assigned to go look at it.
Speaker 1: And then when when we had a product at Microsoft,
Speaker 1: I don't remember what it was called, there was MySpace.
Speaker 1: I think it was called spaces, and this is where
Speaker 1: you would go store notes, you know, ideas, are things
Speaker 1: you wanted to do, snippets of writing you're working on, pictures, photos,
Speaker 1: songs that you liked. And I looked at this and
Speaker 1: I remember going back to the guy who was running
Speaker 1: this and said, I've got a question for you. Why
Speaker 1: not take this and integrate it with Messenger so that
Speaker 1: everybody can see everybody else's stuff and you could share
Speaker 1: this with your friends. And he goes, why so you
Speaker 1: could share it? But but this is what that's that's
Speaker 1: we don't see it this way.
Speaker 3: This is true.
Speaker 1: This is a storage place, this is a utility. And
Speaker 1: this was the same company I begged them when when
Speaker 1: when Facebook started to hit, I begged them to buy
Speaker 1: classmates dot com member that site yep, yep. Why it's
Speaker 1: not make any money, Because it's not making any money.
Speaker 1: They've got all this data, they've got everybody and where
Speaker 1: they graduated from, and they don't let them interact. All
Speaker 1: it is is you can you know, you know, sometimes
Speaker 1: go scan and see who's going to the reunion. They've stopped.
Speaker 1: They sell reunion books, they sell pictures of what you
Speaker 1: look like that and now they haven't said visit with
Speaker 1: your old high school friends. This could be a legit
Speaker 1: Facebook competitor tomorrow. And these mindsets, man, these mindsets people get.
Speaker 1: You don't work a software company and you know we're
Speaker 1: going to produce productivity software. That's great, be a productivity
Speaker 1: software company. Then don't pretend to go be a media company.
Speaker 1: Don't do that well.
Speaker 3: And to get to your point, I mean in corporate
Speaker 3: America is very much the same. But investing too now
Speaker 3: and obviously like you can't be a contrarian just for
Speaker 3: the sake of being a contrarian, but contrary, it's but
Speaker 3: when you when you're chasing popular, when you're just following
Speaker 3: the crowd, especially in investing. If you think about it,
Speaker 3: Warren Buffett has a saying which nobody ever really thinks about,
Speaker 3: But it's so true that the number one thing that
Speaker 3: defines the success of an investment is the price you
Speaker 3: pay period. Right, Like that's the people don't think of that,
Speaker 3: but that is what defines it.
Speaker 2: Right.
Speaker 3: So, uh, even if that asset goes down, how much
Speaker 3: are you gonna lose, depends on what you bought it for.
Speaker 3: If the asset goes up, how much you're gonna make,
Speaker 3: it all depends on what you bought it for. Right,
Speaker 3: So when do you want to buy things? By definition,
Speaker 3: you want to buy them when all the guys like
Speaker 3: Jim Kramer aren't talking about them because by the time
Speaker 3: they're talking about them, right, because they're chasing what's hot.
Speaker 3: Right now, you're gonna have to pay, like for in
Speaker 3: the in the case of chemical, by the time Jimmy
Speaker 3: came around to uranium, that stock at already nine xt right.
Speaker 2: Ye.
Speaker 3: By the time he came around to oil, oil was
Speaker 3: backup at eighty a barrel and not fifteen where he
Speaker 3: said it was uninvestable. So like that's just the there's
Speaker 3: times where you see things. Why did we jump all
Speaker 3: over the oil trade? What are you joking? You think
Speaker 3: oils are gonna keep giving it away? It's gonna stay
Speaker 3: at twenty dollars a barrel. You're an idiot. How long
Speaker 3: do you think it's How long will it take to
Speaker 3: bounce back up? I don't know, but they're giving it
Speaker 3: away right now. So we're going to back up the truck.
Speaker 1: But there's another way to not rocket science. There's another
Speaker 1: way to invest and this and I don't look you.
Speaker 1: You manage my money, most of it for a reason,
Speaker 1: my fiduciary, But there is another way. And I'm going
Speaker 1: to challenge you here, okay, And I don't like doing this,
Speaker 1: but I'll do this in just a second. So Zach,
Speaker 1: and one of the things that Zach and I both
Speaker 1: agree on is that politics is downstream of culture, right,
Speaker 1: and that culture is downstream of God Almighty, because God
Speaker 1: Almighty is upstream of every single thing. And Angel Studios
Speaker 1: appears to believe the same thing. Angels makes movies that's
Speaker 1: absolutely affirm faith. They're absolutely family valued, and they've done
Speaker 1: this despite the fact that they were told you can't
Speaker 1: do that, you can't build a family oriented faith oriented
Speaker 1: studio that can't happen. They it breakout movies like Sound
Speaker 1: of Freedom, breakout movies, or breakout programs like The Chosen. Recently,
Speaker 1: they took on Snow White, they took on this ridiculous
Speaker 1: Pixar movie that failed, and they won with King of
Speaker 1: Kings that is right now streaming on their platform. It
Speaker 1: was no longer in theaters, though it dominated theaters, and
Speaker 1: it's part of a very important movement that you should
Speaker 1: invest in. If you pay any money at all from media,
Speaker 1: any subscription money at all from media, some of it
Speaker 1: is stuff that doesn't even abide by your values. Like
Speaker 1: you probably have a Netflix subscription, you might have a
Speaker 1: subscription of other platforms. You might have a subscription to
Speaker 1: a gaming platform. So why would you not buy a
Speaker 1: subscription to the Angel Studio Premium Guild membership because you
Speaker 1: get much much more. Number One, you go stream King
Speaker 1: of Kings tomorrow, great story about Jesus Christ and an
Speaker 1: animated feature that will draw kids into it. Number two,
Speaker 1: you get to get two free tickets to any of
Speaker 1: their theatrical releases every time they come out. Number three
Speaker 1: stream all their fan creative programs and go back and
Speaker 1: watch your favorites like Sound of Freedom and a whole
Speaker 1: bunch of other shows that they're bringing in, all of
Speaker 1: them around faith and family. Then there's this. We vote
Speaker 1: this audience, the million people who've joined this, We vote
Speaker 1: on the movies. They pipeline, they make, they distribute, they promote.
Speaker 1: We're basically running the jerret So it's angel dot com
Speaker 1: slash todd. That's angel dot com slash todd. So, Zach,
Speaker 1: there's one other way to do this, and I get
Speaker 1: this is it's a it's a narrow path, it's difficult
Speaker 1: to get in. But what you do is you become
Speaker 1: Debbie Wasserman Schultz. So that's that's step number one. And
Speaker 1: let me run man, okay, man, let me run this
Speaker 1: through you. This is from Quiver quantitative breaking. We just
Speaker 1: caught another Stock Act violation. Representative w Wasserman Schultz just
Speaker 1: filed a twenty twenty four purchase of new gold stock NGD.
Speaker 1: She's the only member of Congress who've ever seen by
Speaker 1: this stock. It has risen three hundred and thirteen percent
Speaker 1: since you're trade. You just didn't dag that Schultz through
Speaker 1: what what?
Speaker 2: What? No?
Speaker 1: I think you've just reacted physically well yeah.
Speaker 3: Well, because first of all, I love seeing congressional people
Speaker 3: buying gold miners. Yeah, that tells me that.
Speaker 1: That's yeah all over it. So this is a gold
Speaker 1: mining company.
Speaker 3: Oh yeah, yeah, yeah, yeah yeah.
Speaker 1: And uh oh look Zach, Yeah no, I'm just yeah,
Speaker 1: you're all you're all a Whippley woodlash Now or whatever
Speaker 1: his name is. You're all rubbed your fingers together, Mary Burns. Excellent.
Speaker 3: Yeah, because people like it and it and it's crazy
Speaker 3: how blind the market is because people do not understand. Like,
Speaker 3: I'll give you one of our top holdings. In the
Speaker 3: last year, their cost of production per ounce has gone
Speaker 3: up five dollars. Over the course of that same period
Speaker 3: of time, the price of gold has gone up eight
Speaker 3: hundred Okay, So like these guys are throwing off margins
Speaker 3: that are more than double Google okay, as a gold
Speaker 3: mining company, and nobody cares, nobody wants to own. These
Speaker 3: things are pumping out so much free cash flow it
Speaker 3: makes your head spin and no one's paying attention. I
Speaker 3: just I love it. I'm sorry, I digress.
Speaker 1: Wait, actually was looking at our sub stack and I
Speaker 1: just saw a d Wasserman Schultz as a premium subscriber.
Speaker 1: Oh yeah, she might be listening to listening to this
Speaker 1: talk about this. This came off of your This came
Speaker 1: off of your Twitter. Sometimes you are show prep, or
Speaker 1: at least your Twitter is, and you you you posted
Speaker 1: something about or you reposted something about bitcoin, and we
Speaker 1: talk about this from time to time. And I had
Speaker 1: a discussion through the day because there's in this gym
Speaker 1: and there's a young guy there and I'm warming up,
Speaker 1: and hey, what do you do for a living?
Speaker 2: Oh?
Speaker 1: You know podcasts and radio. Oh that's interesting, et cetera.
Speaker 3: What do you do?
Speaker 1: Well, you know, I'm trying to be a professional athlete,
Speaker 1: so work out here because James works out here. But
Speaker 1: really I'm supporting myself through bitcoin. I go, oh, okay,
Speaker 1: so you're successful off this. He goes, well, you know,
Speaker 1: my dad bought bitcoin really really early, and he died
Speaker 1: and passed it on to me. So I'm kind of
Speaker 1: managing the portfolio. And so what does that mean, Well,
Speaker 1: I sell a little herd there.
Speaker 3: This is what he said.
Speaker 1: So apparently dad bought a lot of bitcoin, because I
Speaker 1: don't think he's stewarding it as much. It sounded to
Speaker 1: me like he's spending it, which is different.
Speaker 3: This is from Sea.
Speaker 1: Wolf Capital talking gold Bitcoin meals under this on a
Speaker 1: podcast with D M.
Speaker 3: Moses.
Speaker 6: Bitcoin's a hard one for me. You know, I much
Speaker 6: prefer gold over bitcoin. You know, I think in the
Speaker 6: near term the flows into bitcoin are going to keep going.
Speaker 6: When the flows stop, it's over. I mean, there's nothing
Speaker 6: else but flows, right, So I just but I think
Speaker 6: that the central banks are going to keep buying gold.
Speaker 6: I think that, you know, we have a nice pladium
Speaker 6: size in the pladium or platinum, which is I think
Speaker 6: now a substitute for gold. So if you go and
Speaker 6: get a jewelry, right, much cheaper to buy a platinum
Speaker 6: ringular or a lab diamond, yeah, or a lab platinum
Speaker 6: in a lab diamond.
Speaker 2: Yeah, there you go.
Speaker 3: There you go, platinum in a lab diamond seting, go out,
Speaker 3: perfect quarter.
Speaker 2: You see that.
Speaker 4: It's great.
Speaker 3: Tell my wife what you should be making these days?
Speaker 4: Actually making that.
Speaker 1: So he's talking about the flow continuing into bitcoin, but
Speaker 1: governments and big entities continued by gold, like wa Washerman Schultz,
Speaker 1: she's buying minors. Now does bitcoin?
Speaker 3: Does?
Speaker 1: Is there a possibility? I mean I guess everything's possible,
Speaker 1: but is there a reasonable possibility that's bitcoin? I mean
Speaker 1: ultimately fails for real, I can't imagine, but could that happen?
Speaker 3: Yeah? Well, in funny side note, actually, so that so
Speaker 3: the two guys getting interviewed there were Porter Collins and
Speaker 3: Danny Moses. I've actually had both of them on our
Speaker 3: podcast before. And and the reason if that name that
Speaker 3: those names sound familiar, they are two. They are two
Speaker 3: of the animals. Well, one was an analyst, one was
Speaker 3: a trader on the team in the Big Short where
Speaker 3: Steve Corell was the boss. Right, remember, they're like, why
Speaker 3: why are they bragging? Or no, no, why why are
Speaker 3: they why are they why are they confessing? They're not confessing,
Speaker 3: they're bregging, right they So if you go watch that
Speaker 3: movie again, they talk, they say the name Danny Moses,
Speaker 3: Porter Collins, They're they were on that Big Short team
Speaker 3: that had that Big Short, big win. That one of
Speaker 3: the reasons I was laughing in is because when I
Speaker 3: interviewed them, we had a ridiculous amount of crossover and
Speaker 3: our portfolios, like we were drawn to the same things.
Speaker 3: And he immediately said, we've got we've got a position
Speaker 3: in platinum and Palladium. We do too, So I I
Speaker 3: just they're they're great guys, and I love the way
Speaker 3: they think about things. But could bitcoin go to zero?
Speaker 3: So in investing, there is something that we look up
Speaker 3: look at called intrinsic value. Okay, so we intrinsic value
Speaker 3: can be a lot of different ways. Uh, we bought
Speaker 3: a we bought a South American airline company recently, all right,
Speaker 3: and when we counted up the the value the net
Speaker 3: value of all of their assets, so what we call
Speaker 3: their NAV or their net asset value. Right, So it's
Speaker 3: it's equity assets minus all liabilities. That equalled about eighty
Speaker 3: five percent of their total market capitalization.
Speaker 2: Right.
Speaker 3: So I would look at that and say, okay, that
Speaker 3: company has an intrinsic value of somewhere around eighty percent
Speaker 3: of its market cap, meaning we could part it out
Speaker 3: and sell the parts for this much.
Speaker 2: Right.
Speaker 3: That's the that's the internal value. The one of the
Speaker 3: issues that bitcoin has is that its internal value, its
Speaker 3: intrinsic value, is zero. Now, everybody that owns bitcoin, now
Speaker 3: keep in mind, we own some bitcoin in all of
Speaker 3: our client's portfolio, is a very small amount, and we
Speaker 3: trade it. Recently. We sold it at one oh eight,
Speaker 3: probably three or four months ago. The last time it
Speaker 3: was there. Bitcoin got smacked down, We picked it back
Speaker 3: up at seventy eight, wrote it back up. And the
Speaker 3: reason we trade it like that is because it does
Speaker 3: not have intrinsic value, meaning I'm not gonna sit there
Speaker 3: and hold it while it drops. And now when I
Speaker 3: say it doesn't have intrinsic value, I do not mean
Speaker 3: that it doesn't have any utility. Right, it does have
Speaker 3: some utility. It's it's a wonderful way to transfer money
Speaker 3: from one part of the world to the other. But
Speaker 3: what is its intrinsic value? It's zero, right, So could
Speaker 3: it go to zero? Yes? Will it go to zero
Speaker 3: at some point? I will be shocked if it does not.
Speaker 3: And the reason I'll be shocked if it does not
Speaker 3: is there is no asset on the face of the
Speaker 3: earth that has zero intrinsic value that doesn't eventually go there.
Speaker 3: People say, well, what about gold. Gold has a Hey,
Speaker 3: if you could buy gold for one hundred bucks an ounce,
Speaker 3: it has a ton of intrinsic value, right like, think
Speaker 3: about what gold. Think how useful gold could be like
Speaker 3: in the maritime industry, right like if gold was cheap
Speaker 3: enough to where you could coach somebody's out drive in
Speaker 3: gold and they never have to worry about erosion for
Speaker 3: the rest of their lives. I mean, I'd be all
Speaker 3: over that, right. What about electricity conducting if gold was
Speaker 3: cheap would yes?
Speaker 2: Right?
Speaker 3: So gold has tremendous utility and tremendous intrinsic value, meaning
Speaker 3: if the price of gold dropped to a certain level,
Speaker 3: you would get it. See, you would see it get
Speaker 3: used for all kinds of stuff. Not to mention it's fun,
Speaker 3: it's nice to look at, right. But what is bitcoin?
Speaker 3: And again this is coming from a guy that's owned
Speaker 3: some This is coming from a guy that when it
Speaker 3: first came out in nine said, quote unquote, this is
Speaker 3: a shot across the butt bow of fiat currencies. But
Speaker 3: if you want to get down to brass tax and
Speaker 3: you want to be intellectually on now, that doesn't mean
Speaker 3: you can't own bitcoin. But this is where I tell people,
Speaker 3: be honest with yourself about what you own to thine
Speaker 3: own self. Be true. Right, Know that to a certain
Speaker 3: degree you're playing with fire. And when I look at
Speaker 3: people that are sitting on giant winds of bitcoin, they
Speaker 3: look at me and go, you're saying you should sell it?
Speaker 3: And I go not all of it. But if you
Speaker 3: you have a big life changing win, if you have
Speaker 3: one hundred x win, if you have a two hundred
Speaker 3: x win, why would you not memorialize some of that
Speaker 3: win and put it into assets that do have an
Speaker 3: intrinsic value. That way, regardless of what happens. You know,
Speaker 3: if you own five bitcoin and bitcoin goes to one
Speaker 3: hundred million dollars.
Speaker 1: You're gonna be in good shape, decent shape.
Speaker 3: Okay, yeah, okay, So doesn't all have to be one
Speaker 3: or the other.
Speaker 1: You know, this is how and you tweeted this guy
Speaker 1: named junked my Chronics wrote, someone said, I don't get
Speaker 1: I don't get bitcoin. This is a Twitter covers I
Speaker 1: don't get bitcoin. This guy writes back, imagine if Keeping
Speaker 1: your car Idling twenty four seven produced Solve Seducos, you
Speaker 1: could trade for heroin.
Speaker 3: I had to repost that because that was so funny, right, Like,
Speaker 3: I mean, because that, if you think about it, that's
Speaker 3: effectively what we're doing.
Speaker 1: Yeah, right, yeah, I mean, that's that intrinsic value thing.
Speaker 1: I mean, it's not it's not the same thing. But
Speaker 1: Ray Kroc, who was an unbelievable scoundrel, can we admit
Speaker 1: he was a just greasy scoundrel of a man. Smart,
Speaker 1: oh my gosh, smart vicious. He used to say about himself,
Speaker 1: it's croc with the K like a you know, like
Speaker 1: a crocodile, but not spelled that way, right, crocodile, not
Speaker 1: spelled that way. He used to have fun going out
Speaker 1: and making fools of business NBA students, and he'd get
Speaker 1: up and offer them money and a bunch of it.
Speaker 1: Who can tell me what business I'm in? The raised
Speaker 1: their head. You're in the people business. No, wrong, you're
Speaker 1: in the service business. No, I guess food business isn't
Speaker 1: right now. You're in the business of pleasing families. No,
Speaker 1: I'm in the real estate business.
Speaker 2: Right.
Speaker 1: I'm one of the biggest holders of real estates in America.
Speaker 1: And that wasn't his idea. By the way, that someone
Speaker 1: he was about to fail, and someone came to him
Speaker 1: and created the McDonald was Leasing Corporation, and they rode
Speaker 1: into the agreements with the franchisease. You had to purchase
Speaker 1: your land or leach your land through the McDonald's corporation.
Speaker 1: And that was the big turn. And he made a point,
Speaker 1: I owned real estate in Times Square, New York. I
Speaker 1: own real estate in downtown Los Angeles. In Tokyo, it
Speaker 1: was a real estate play. So can a McDonald's franchise
Speaker 1: go to zero?
Speaker 3: Sure?
Speaker 1: Right if they just do hold the horrible things. They
Speaker 1: get bad reviews, they make people sick, they make porrible
Speaker 1: dis iss decisions, but they've got that intrinsic value of
Speaker 1: the land, and that's the thing about bitcoin that it
Speaker 1: doesn't have. We'll continue to talk with Zach about this
Speaker 1: because speaking of real estate, there's a brilliant plan the
Speaker 1: likely new mayor of New York City is revealed, and
Speaker 1: we'll run through this with Zach and maybe this is
Speaker 1: an investment opportunity for us. In some former fashion. Zach's
Speaker 1: also joined me in Mexico, went down to Port of
Speaker 1: Art to Mexico with me to go to renew Dot Healthcare,
Speaker 1: and we both had different outcomes. I'm at a different
Speaker 1: time in my trim and I went down because my
Speaker 1: lower back was really bugging me. In any debt lift
Speaker 1: over like two seventy five, my back clicked. It felt
Speaker 1: like my if any decently heavy squat, it felt like
Speaker 1: my s I was shifting, which in your SI joint
Speaker 1: that's not a good feeling. By the way, with weight
Speaker 1: on your back that it feels like your backbone is shifting.
Speaker 1: Not a big, not a fun thing. I get a
Speaker 1: lot of pain doing this. So now I'm about three
Speaker 1: and a half months after treatment with the stem cells
Speaker 1: from umbilical cords in this world class lab. I've drawn
Speaker 1: from this world class lab at Debt renew and I
Speaker 1: have done now workouts with let's see deadlift at two
Speaker 1: twenty five. I think a total of fifty reps at
Speaker 1: that and then cleans and jerks in this and jush
Speaker 1: sit ups. Not a hint of clicking gone. And I'm
Speaker 1: not even through the rebuilding phase, Like my rebuilding tissue
Speaker 1: phase doesn't end for six months. Already changed. So and
Speaker 1: the numbness I was getting that's gone. Now this is
Speaker 1: just me want of the lift ways. You have a
Speaker 1: situation in your life where you need to move, you
Speaker 1: need to work, You maybe can't use your hands, You're
Speaker 1: you're at a different stage, and I don't think you're
Speaker 1: the clicking stuff. But how's it for you right now?
Speaker 3: I you know, it's feeling, it's feeling really good. I
Speaker 3: the knee isn't. Everything feels better than when I went
Speaker 3: down there for sure. The the some of it is
Speaker 3: some of it is. One of the tough things you
Speaker 3: realize when you get some of these things is it
Speaker 3: creates some body imbalance. So my knee is not where
Speaker 3: I want it, But that's because I haven't gotten the
Speaker 3: imbalance part of it figured out. Mean I was, I
Speaker 3: was out shooting hoop with my boys last night and
Speaker 3: I realized I was just putting a lot of weight
Speaker 3: on my left knee in a in an abnormal way,
Speaker 3: and it has to do with kind of being off kilter.
Speaker 3: But man, the I went and did yoga for the
Speaker 3: first time yesterday. I got back on my yoga. Yeah,
Speaker 3: felt phenomenal. Woke up back felt great. So I you know, yeah,
Speaker 3: I just if anybody's dealing with some of those long,
Speaker 3: long term injuries that are bugging you, yeah, I can
Speaker 3: recommend them enough. And it's also just a it's also
Speaker 3: an enjoyable experience as well. Great people.
Speaker 2: Yeah.
Speaker 1: Yeah, And they really like the lab. And you look
Speaker 1: at that lab and realize it's one step below a
Speaker 1: biohazard lab. It's a big did they're doing a webinar, Zach.
Speaker 1: I'm going to join them for this. It's a July
Speaker 1: eighth to two o'clock Pacific. You go to the renew
Speaker 1: website register for that. You have to sign up, and
Speaker 1: they're gonna have their caregivers there. Steve is gonna be
Speaker 1: there as a managing partner. Some of their docks and
Speaker 1: stuff are going to be there. I'm gonna be there.
Speaker 1: It's renew dot Healthcare r e n u e uh
Speaker 1: dot Healthcare. So this is then likely.
Speaker 3: Well, one other thing I think it's important to point
Speaker 3: out too, like they don't sponsor me, right like, so
Speaker 3: I went down there and paid for my treatment like
Speaker 3: everybody else. Yeah, that's won everybody. You know, when I'm
Speaker 3: repping them, I have no business affiliation with them. I
Speaker 3: went down and paid like everybody else else. I stayed
Speaker 3: in the same place everybody else stayed. Yeah, and I
Speaker 3: do it again. As a matter of fact, I will.
Speaker 3: I will go down there again at some point.
Speaker 1: Thanks for pointing it out. And that's why I hope
Speaker 1: you take your wife next time, because we do this time.
Speaker 3: But yeah, yeah, I thank you for.
Speaker 1: Pointing out that is important our e n U e
Speaker 1: dot healthcare.
Speaker 3: The new.
Speaker 1: Nah I keep saying he's the new mayor. That's not
Speaker 1: a FATA company. It's Andrew Colma's going to stay in
Speaker 1: the race, and I think that this is just the
Speaker 1: I think Democrats know if this guy gets in, he's
Speaker 1: going to tank New York City and he's going to
Speaker 1: create New York is a Los Angeles two point zero.
Speaker 1: They know that people are watching this, They know that
Speaker 1: outside of the Manhattan Corridor, this guy's scene as nuts.
Speaker 1: Here's his plan for housing in New York.
Speaker 4: We can establish community land trusts to gradually buy up
Speaker 4: housing on the private market and convert it to community ownership.
Speaker 4: We can give tenants a right a first refusal to
Speaker 4: buy out their landlords when buildings go up for sale.
Speaker 4: And we can fully commit to a new era of
Speaker 4: social housing, ending subsidies for luxury housing development and using
Speaker 4: our wealth to build beautiful, high quality social housing projects
Speaker 4: that offer good homes and strong communities to everyone. We
Speaker 4: won't decommodify housing overnight, but we know what we have
Speaker 4: to do, and we have history to guide us.
Speaker 1: That's a very very smart phrase, because who doesn't like housing,
Speaker 1: who doesn't like society, who doesn't like being social? Very
Speaker 1: very smart. But I love this as well. We're not
Speaker 1: gonna then, that's a popularizing phrase, so he's using that
Speaker 1: phrase to make it seem friendly. Then he goes and
Speaker 1: obscures it. We're not going to decommoditize housing right away,
Speaker 1: so then he uses a more complicated phrase for what
Speaker 1: he intends to do. Is there a single model where
Speaker 1: this has worked? You guys did this in Seattle. I
Speaker 1: was there when this began, and they started buying up
Speaker 1: hotels and putting street people in the hotels with no
Speaker 1: rules like drink, sex, traffic, drug traffic. Do it everyone.
Speaker 1: Is there a model in the States where this has
Speaker 1: actually worked anywhere? And I'm open to it. Maybe there is.
Speaker 3: Not, not in the States that I'm aware of. I mean,
Speaker 3: you could maybe point to some places in third world
Speaker 3: countries where you came and instituted some stuff, but no,
Speaker 3: not in a free now the one just to just
Speaker 3: to be fair and try to be amimal about this.
Speaker 3: The one thing that I think is somewhat interesting that
Speaker 3: that I don't think and I'd have to look into it.
Speaker 3: But giving current tenants a first ride a refusal to
Speaker 3: pay a market price, I wouldn't have a problem. I
Speaker 3: don't think I necessarily would have a problem with that,
Speaker 3: because because it's not coercive, right, You're just getting them
Speaker 3: a shot and saying, hey, would you like to would
Speaker 3: you like to buy that you know, would you like
Speaker 3: to buy this building instead? Or you get the ride
Speaker 3: of first review if you if you put that that
Speaker 3: language into a lease agreement, I would have no problem
Speaker 3: with that. So here in lies the issue. It is
Speaker 3: going to do a couple things. It's going to be
Speaker 3: disastrous for the city because perversely it's going to make
Speaker 3: real estate more rare in the sense that they're going
Speaker 3: to suck it up. But it's going to be controlled
Speaker 3: by the state. So I think what you're what you
Speaker 3: will see is you will see inadvertently way less so
Speaker 3: apply at the lower end, which will make prices worse
Speaker 3: or there just won't be any availability. And then it's
Speaker 3: probably going to hit prices at the higher end, which
Speaker 3: means less property tax, et cetera for the state. So
Speaker 3: it's just basic economics. And like he said in there,
Speaker 3: he goes, and we've got history and our and I'm
Speaker 3: like sitting there going which one yet? So history through
Speaker 3: this idea on the trash heat man, right, like your
Speaker 3: and and and and and the unfortunate part of it.
Speaker 3: The unfortunate part about this argument is that it always
Speaker 3: descends into like, well, that's your worldview, that's what you believe,
Speaker 3: that's not what I believe, and you go, Okay, I
Speaker 3: understand why you're approaching it this way. But this is actual,
Speaker 3: very basic economics. Okay, let's just picture this in a
Speaker 3: city that's too expensive to live, which means there is
Speaker 3: an off balance and supplying to me. Yep, the government
Speaker 3: is going to step in. Who is not a natural buyer, right,
Speaker 3: meaning they don't respond to market moves or gyrations. They're
Speaker 3: just buy it using the public checkbook. They're buying up
Speaker 3: more land and effectively giving it to people that couldn't
Speaker 3: otherwise afford it. Okay, so a that will make those
Speaker 3: properties much more scarce, right, there will be less supply. Uh.
Speaker 3: And then on top of it, I remember I got
Speaker 3: in a debate in college in a philosophy class about
Speaker 3: social No, yeah, it was philosophy. We're debating socialism versus capitalism.
Speaker 3: Can't remember how we got out of that topic, but
Speaker 3: we were going. I was going back and forth with
Speaker 3: professor because you know, everybody's like, you go to college
Speaker 3: to get liberal. I went to college to debate and
Speaker 3: drive my professor's nuts just because I wasn't much more soist.
Speaker 3: Oh yeah, this is I was like, this is nonsense.
Speaker 3: And I remember looking at the class. Oh, hey, guys, stop,
Speaker 3: let's let's say this. Let's say you got a Street
Speaker 3: of Dreams that you've been working your whole life to afford,
Speaker 3: and you finally get on there. You've been living on
Speaker 3: the Street of Dreams for a year, two years, whatever,
Speaker 3: and all of a sudden you find out that the
Speaker 3: state bought up eighty percent of the houses and the
Speaker 3: Street of Dreams and it's going to give it to
Speaker 3: low income people. What are you going to do? Everybody
Speaker 3: in the class said, we're going to sell the house,
Speaker 3: get out of there, right. Why Because it's not just
Speaker 3: the economic dynamic that housing, the quality of that housing
Speaker 3: is going to go in the tank. Those things are
Speaker 3: going to be magnets for crime. It's just it's just
Speaker 3: unfortunate because the outcome is certain. You don't even need
Speaker 3: to run the experiment we already have.
Speaker 1: If you've different lived around government housing and I have,
Speaker 1: or next door to it, or in a neighborhood where
Speaker 1: it's dominated by housing, not vouchers, but housing. Subsidies. If
Speaker 1: you've different experienced this, there's a reason that what Michelle
Speaker 1: Obama called food ghettos, there's a reason they exist. And
Speaker 1: there was a UCLA professor who set out so look
Speaker 1: into this with the intention of killing gentrification, because he
Speaker 1: had determined emotionally that gentrification was a horrible, horrible, horrible thing.
Speaker 1: And then he went looked at the data. And I
Speaker 1: want to talk about this too with you in just
Speaker 1: a second. Sac there's like gentrification of housing.
Speaker 3: This is what this is called.
Speaker 1: There's this whole idea of independent housing. Now that you
Speaker 1: have this these independent dwellings in the backyard and you
Speaker 1: can become this you know, little Airbnb thing. There's also
Speaker 1: this reality of independent businesses. And we have reserved a
Speaker 1: slot on this program from day one for businesses that
Speaker 1: could not afford to advertise here. Alan SOPs is one
Speaker 1: of those businesses. Okay, here's why it is. Because soap
Speaker 1: is a very very low margin business. We do this
Speaker 1: because we love the mission of Allan's and it's not
Speaker 1: just the mission. The soap is amazing soap. It's made
Speaker 1: in America, it's gentle, it's it has no chemicals in it,
Speaker 1: all natural and it's the mission that we support. It
Speaker 1: started with Alan thirteen. He's been through about eighteen operations
Speaker 1: nonverbal because of autism. He was the reason for this
Speaker 1: because his parents wanted to have a place their son
Speaker 1: could work. Ian his brother joins him, Amy, and just
Speaker 1: to just imagine that you're neurotypical, you're in And this
Speaker 1: was her. She was in college, neurotypically, doing well, and
Speaker 1: then she started to get brain fog and have trouble
Speaker 1: like man, I can't read anymore, and she got autism
Speaker 1: in her late teens early twenties. She works at Allen's
Speaker 1: and she's thriving. And the soap is at the core
Speaker 1: of this. So it's an independent company. It's small. They
Speaker 1: could never afford to advertise here. We do this because
Speaker 1: we love them and we love John. So that's not
Speaker 1: a sob story by the soap. If you love the soap, subscribe.
Speaker 1: If you don't love the soap, then just you know,
Speaker 1: love the people. It's Alan Soaps, Alan Soaps dot Com,
Speaker 1: slash Todd tempercent off all other products there, Alan soaps
Speaker 1: dot Com, slash Todd so Zach. When I lived in
Speaker 1: what is correctly called the ghetto, I noticed that there
Speaker 1: were no nice stores. That the grocery stores had substandard goods.
Speaker 1: Because remember I grew up a kid in Spokane Valley.
Speaker 1: We weren't rich, far from it. In fact, we were,
Speaker 1: you know, lower middle class. I noticed that the like
Speaker 1: silly things like the beef jerkys in the little so
Speaker 1: called you know, little tiny convenience stores were a day
Speaker 1: from expiring. Sometimes after that, I noticed that the restaurants
Speaker 1: had like really decrepit seating and maybe questionable health practice.
Speaker 3: Is great food.
Speaker 1: By the way, there's a place this guy he knew branding.
Speaker 1: It was called barbecue. That was that's what it's called.
Speaker 1: First time it went in there, and the one white
Speaker 1: dude walking in and I sit down, he goes, want
Speaker 1: to get you, And I said, uh, I guess I'd
Speaker 1: like to try the ribs. Seems like a specially. What
Speaker 1: do you want to drink? I go, I said, die
Speaker 1: cocouse grape juice. I said no, I said, diet cocyus No, no, no,
Speaker 1: diet coke with ribs grape juice. So he made me
Speaker 1: have grape juice. By the way, grape juice and ribs.
Speaker 1: I'm telling you something. The way this man cooked these ribs. Incredibly.
Speaker 1: He cooked them out of fifty five gallon old oil drums.
Speaker 1: I'm not even sure the oil was out of it.
Speaker 1: I didn't care. But that was the rawity because the
Speaker 1: people in the neighborhoods couldn't afford the beef jerkey that
Speaker 1: had a week left on it. They couldn't afford the
Speaker 1: name brands. There are companies that they're not predation companies.
Speaker 1: They know who they're targeting. But the crazy thing is,
Speaker 1: and I finally noticed this. I started to drive over
Speaker 1: to the QFC, the Knights or Food Place when I
Speaker 1: started to make a little bit of money, and I
Speaker 1: had my little studio apartment in the true ghetto building
Speaker 1: where they were drive by shootings. I saw a dead
Speaker 1: man in my elevator. I knew he had a kid, heartbreaking.
Speaker 1: The food was less expensive. That was the crazy thing.
Speaker 1: I go to QFC. It's better food, it's less expensive,
Speaker 1: and in the ghetto, they're able to take advantage of people,
Speaker 1: not just and I'd up saying that these store owners
Speaker 1: were predators, but no one wanted to be there. It's
Speaker 1: a long drive to QFC. I had a car, A
Speaker 1: lot of people didn't. So this guy from UCLA. He
Speaker 1: did this study and he was looking at situations like this. Okay, well,
Speaker 1: the solution's not it's not gentrification. You know Whatady found out,
Speaker 1: gentrification helps the black communities because these people have held
Speaker 1: their homes forever. They have no idea they could make
Speaker 1: this much money. And those who don't sell, they all
Speaker 1: of a sudden are surrounded by nicer things. Their kids
Speaker 1: go make better money, they have better job opportunities. Then
Speaker 1: they get to clean up their houses, and then they
Speaker 1: start to get hip to Oh wow, you know the
Speaker 1: Johnson's up the street. They sold their house for ten
Speaker 1: times what they bought it for. They don't take that
Speaker 1: money and say, hey, let's move to another ghetto. They
Speaker 1: take that money and say, hey, you know what, we
Speaker 1: have some cash, let's go move to a nicer place
Speaker 1: for kids, put them through these private schools. He had
Speaker 1: his whole heart change from this.
Speaker 3: Well, I mean, are we making the argument that desegregation
Speaker 3: isn't better for society written large?
Speaker 2: Right?
Speaker 3: Because I mean that's because it kind of gets down
Speaker 3: to a segregation issue, right. The idea is, Yeah, the
Speaker 3: same ethos that drives this whole idea about being anti
Speaker 3: gentrification is the same ethos that drives let's bring back
Speaker 3: black only dormitories on college campuses. Yeah, where you go.
Speaker 3: And here's the other thing that people if I if
Speaker 3: I had if I had a if I had a
Speaker 3: way to if I was talking full a room for
Speaker 3: young people at college level. Yes, And the debate of
Speaker 3: the topic about socialism versus capitalism came up. The one
Speaker 3: thing I would say to them, as guys, first of all,
Speaker 3: you're going to learn in life that there is no
Speaker 3: perfect solution. That what we need to look at is
Speaker 3: the costs and benefits of each thing, right, and what
Speaker 3: gives us the most at the least amount of cost.
Speaker 3: And when you look at capitalism, it is not perfect.
Speaker 3: There are some downsides to it. Why do we stick
Speaker 3: with it? Because there's way less? Yeah, right, there's way less.
Speaker 3: Will we see some inequality peak up at per cup
Speaker 3: at times? Yeah, But I'm gonna sit here and look
Speaker 3: at you and tell you right now, I think the
Speaker 3: majority of wealth and equality of this country is not
Speaker 3: something that can be fixed by government. I think it's
Speaker 3: something that's been caused by government, agreed, right, And and
Speaker 3: it is this unholy union between government and big business.
Speaker 3: It's the Federal Reserve has played a key role in this.
Speaker 3: People who have the Federal Reserve play role. Well, when
Speaker 3: you come in after a disaster, right, and normal people's uh,
Speaker 3: you know, normal people's balance sheets, normal people's credit scores
Speaker 3: have been wrecked. And in that environment, you dumped trillions
Speaker 3: of dollars into the market and artificially lower interest rates.
Speaker 4: What did you just do?
Speaker 3: Okay, you you just excluded everybody because they're they've lost
Speaker 3: their house, their credits wrecked, they can't buy house anyway.
Speaker 3: So now the only people that can take advantage of
Speaker 3: record low interest rates and all the stimulus money you
Speaker 3: pumped out there are the people that are already rich.
Speaker 3: And guess what they get to take that zero percent
Speaker 3: interest rate and go buy up neighborhoods full of four
Speaker 3: closed houses at fifty cents on the dollar. Right, So
Speaker 3: you're sitting there talking about housing getting too expensive. I'm
Speaker 3: sitting there going you guys NodD adhering the capitalist policies
Speaker 3: are the biggest reason for housing being where it's at
Speaker 3: in the last twenty years. Well, so why don't we
Speaker 3: focus why don't we focus on that?
Speaker 1: Well said man, you get heated with this stuff.
Speaker 3: You know, man, I do, because when you see the
Speaker 3: folks getting lied to, yeah, and they're getting told that
Speaker 3: this one thing that has been the greatest lever to
Speaker 3: get people out of the mere and the muck of
Speaker 3: poverty that has ever been introduced, and that you're going
Speaker 3: to sit there and tell them that the greatest enslaver
Speaker 3: of people, socialism is the answer. Not only are you wrong,
Speaker 3: you're a moral boom.
Speaker 1: It's good to have you on the show, my brother.
Speaker 1: Thank you so much for wise counsel Zach Abraham, Know
Speaker 1: Your Risk podcast dot com. This is the Todd Herman Show.
Speaker 1: Please go, be well, be strong, be kind, and forget trying.
Speaker 1: When you stop that trying, just go follow the light
Speaker 1: of Jesus Christ.