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Speaker 1: There couldn't be more rich territory to talk to Zach

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Abram about today. For instance, do natural resources determined country's wealth?

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Is Harvard already in financial problems? And what about people like?

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Are people sometimes the equivalent of a destructive asset. We'll

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talk about this with the help of Zach Abraham, my brother,

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chief of vis Mouficer couple of managements.

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Speaker 2: And thank you to God Almighty.

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Speaker 3: The Todd Herman Show is one hundred percent disapproved by

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big pharma technocrarats in tyrans everywhere from the high mountains

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of Free America. Here's the Emerald City exime.

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Speaker 2: Todd Herman.

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Speaker 1: Today is the day the Lord has made, and these

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are the times to which God has decided we shall live.

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Speaker 2: My friend and brother, Zach Abraham, joins me the godless

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Seattle area. Man. You guys have a knack for making

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the news, do Zach.

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Speaker 4: Yeah, Well you're gonna love so today we're headed Woodland

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Park Zoo.

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Speaker 5: We're gonna feed Christians allions.

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Speaker 2: That's you and the kids.

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Speaker 3: Yep.

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Speaker 5: It's good clean, good clean family fun.

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Speaker 4: Uh you know, And that's that's you know, that's the way,

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that's the way we roll around here. It's it's look,

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it's it's all about diversity and equity and inclusion.

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Speaker 5: And that's really what it is. Uh, you know, the lions.

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Speaker 4: Lions needed too, and you know, I mean you're not

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gonna feed it. You can't feed them a transactivist or

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a city council member.

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Speaker 2: Well, the transactivist, they wouldn't know what it was.

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Speaker 4: Well, I mean there is that, There is that, but yeah,

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it's it's it's gonna yeah, it's gonna.

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Speaker 5: Be good times. That's it's something else. So I I uh,

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I'm old enough.

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Speaker 4: To remember when when classical liberals actually stood for everybody's

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constitutional rights, but everybody.

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Speaker 2: We were all people.

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Speaker 5: Well, I mean yeah, I mean that's true, that's true.

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Speaker 4: I mean yeah, we're I mean there's a lot of

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bigots running around out there.

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Speaker 5: They don't qualify as people.

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Speaker 1: Right, people with the Bibles in there, like some people

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have Bibles at home.

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Speaker 4: Well, and some people cling to their Bibles and their guns, right,

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you know, bitterly, there are those, There are those folks.

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I would count myself actually to be one of them.

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Quite honestly. I've always I've always had a bit more

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faith in my Bible and my guns than I do

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the federal government, but that.

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Speaker 5: You know, I I'm kind of I'm kind of weird

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that way.

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Speaker 1: Yeah, so I didn't necessarily bitterly cling to my Bible.

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I wouldn't describe it as that. But man, you guys,

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every time I turn around, there's another reason for me

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to praise God for being out of there. I was

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doing show research and mind in my own business and

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this show Zach nothing's ever happened before. It just just

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came at me, and I kept going through silversers, going,

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oh God, Askack about this, got to ask about this,

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Gotta ask Hack about this. Let me start with this

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this clip from Meggie Thatcher, because this gets into a flow.

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She talks about natural resources of the country, this stuff

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with India's happened, They've passed Japan. I got to thinking

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about humans's natural resources, and then I would to wrap

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this up today by talking about Harvard and their natural

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resources their financial assets, because by one measure, they might

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already be in financial trouble.

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Speaker 2: So let me do this.

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Speaker 1: This is Meggie Thatcher, and let's start the conversation with this.

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Speaker 6: Countries are not rich in proportion to their natural resources.

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If they were, Russia would now be the richest country

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in the world, and Gola would be very rich. And

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there are many other countries that have a lot of

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natural resources, but they have not had an enterprise economy

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to develop those resources. Russia has everything oil and gas

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Downwond's platinum, gold, silver, marveless soil, but has been poor.

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She's also on the second bott very bad emboverment.

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Speaker 1: So she goes on to make this point, and she's

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compared Russia, and I think some things have changed Russia.

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They've gotten better at, you know, making money, and Putin's

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net worth would indicate that. But she talks about these

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natural resources. Does that hold true that it's not just

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these natural resources? Because India just passed Japan. We'll talk

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about that second. But does that hold true it's not

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just the natural resources.

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Speaker 4: Yeah. One And a perfect example of that that I

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think is topical that everybody would know would be Venezuela.

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Speaker 3: Right.

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Speaker 4: So the one thing about Venezuela that I don't think

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most people realize is how big their oil reserves are.

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I mean as in like Saudi Arabia Lotti. If you

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combined a bunch of those countries oil reserves, they'd be

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like a drop in the bucket, right, So I mean

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it is massive and look at that country, right, it's

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what you do. Now, our natural resource is part of it, yes,

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but it's what you do with them, right, It's it's

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what type of productivity. Like think about it like sort

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of like a like a corporation, right, not a perfect analogy,

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but let's say you have a corporation that is no

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longer you know, active or whatever, but it still owns

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a bunch of assets.

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Speaker 3: Right.

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Speaker 4: If we go to sell that corporation, we're going to

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sell it at some discount to the value of those assets.

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Speaker 5: Some okay, But.

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Speaker 4: If that same corporation has a company, right, and there's

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a CEO and they're able to take those assets and

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make a profit with those assets, Okay, now we're going

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to sell that company for an amount of money that

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is greater than the value of its assets, right because

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why because we don't just have the assets, we've also

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got the human capital and then know how to take

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those assets and create a profit.

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Speaker 3: Right.

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Speaker 4: So countries work similarly, where yes, natural resources and access

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to those natural resources certainly helps in economic development and

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GDP growth and all those things. But if you do

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not have the human capital and then know how to

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convert those resources into marketable goods.

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Speaker 5: Then it doesn't really matter.

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Speaker 4: Yeah.

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Speaker 1: Yeah, And I'm looking at the natural resources and then

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the government, the structure, and the enterprise structure. But it

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gets us down into people in a discussion about people.

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And this is what was interesting to me about India,

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because India has surpassed Japan as what another, the fourth

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largest economy in the world, and getting past Japan, that's

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kind of a big deal. I want to talk with

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you about that and then our natural resources as a

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country in terms of our human beings, because there's been

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a dumbing down of that, and I think we'll probably

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agree with that together. Zach Abraham's with me. He's a

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user of the same product I'm going to tell you about.

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Its called mass simes. Zach and his wife started using it.

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In fact, he's why I asked, why does a product

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that's designed to help you more efficiently digest foods, in

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this case, proteins, really concentrates on proteins. I asked Wade,

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who runs Baptimized, just why the heck does that cause

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you to sleep better? And he said that undigested protein

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causes your mind to get all messed up. It's kind

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of you know, releases these sort of neurotoxins. And I've

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definitely definitely learned that since I start taking an extra

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dose of mass simes before bed, because I eat three

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hundred and sixty grams of protein every stinking day, even

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on days where I don't.

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Speaker 2: Work out, and it's a chore. It's gross.

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Speaker 1: I don't like it, but it's what I have to

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do to do what I do athletically, and I found

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out that I do sleep better. So a thank you

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Zach for turning me on to that. B. If you

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want to sustain the lean muscle you have or have

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any chance at growing it, you want to sleep better.

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You want to get more nutrition out of every bite

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of food for which you pay and then chew and swallow.

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Go to boptimizers dot com slash todd and use promo

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code todd. You get temper sent off all the products there,

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including mass signs.

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Speaker 2: To which used to subscribe.

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Speaker 1: That's Boptimizers dot Com slash Todd, promo code Todd. Okay,

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So the the economies in the world, the largest economy

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of the world ZAC India has just passed Japan.

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Speaker 2: Now, if you look at the chart.

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Speaker 1: I mean there's there's the United States and China like here,

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and then way down here you see Germany and then India.

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But this is not a small deal for them to

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go past Japan. I don't think, is it.

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Speaker 4: No, no, no, I mean it's a it's a it's

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a huge deal. And you know, you talk about human

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capital and also natural resources.

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Speaker 5: You know, India's India's really big.

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Speaker 4: It's a big, big country, big piece of land, a

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lot of people. And I think no kind of free

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is perfect, right obviously, but I've long thought that that

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there is the baseline in India for them to be

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a much larger contributor to the world economy.

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Speaker 5: And in a productive way that's good for their citizens.

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Speaker 4: I think all of the developments in India are are positive.

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I think it's a for the most part, it's a

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it's a positive culture, right, Like there's there's some cultures

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in the world like, look, you want the like you

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want good for everybody, And it doesn't make my life

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better that anybody's not having a good run of things,

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right that being said, I mean, let's just be honest.

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There are there are certain cultures that you see on

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the rise or decline, and you're like, Okay, that may

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be good for them, but that poses problems for the world.

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Like think of the rise of China. Right as China

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got we we knew as being a communist, you know,

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an authoritarian government. There are benefits there. You're happy that

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there are people who are coming out of coming out

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of poverty, but you also know that you know there's

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there's probably gonna be some friction there.

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Speaker 5: With India, there's just much less of that.

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Speaker 4: I think that they're much more Western friendly, if that's

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the way to put it, kind of culture, and I

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think that they naturally align much more with the West

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than they would you know, the East in terms of

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China and Russia. So yeah, it's a big deal for them,

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and and I think it's a I think it's a

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good thing for the world.

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Speaker 1: They bought a premium on education, Zach. I mean, they've

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got premium education. They want everyone. And again I don't

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think everyone should do stem.

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Speaker 2: I think that's stupid. I think that's way overblown.

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Speaker 1: There's a lot of reasons that people should go to

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trade schools and pursue all that. And President Trump had

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this great idea, take three billion from Harvard.

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Speaker 2: We're going to talk about Harvard here.

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Speaker 5: In a bit.

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Speaker 2: Give it to trade schools.

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Speaker 3: Love that.

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Speaker 1: But in India there's the cast system that's still there.

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That's bothersome. No country's perfect, but they put a ton

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of focus on getting a business education, business degrees, working

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in business, entrepreneurism, technology, service, we can be the service

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economy English language like. They've put a huge premium on that.

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You compare them to China. China, what do they have STEM?

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Everybody needs to do that focus on business right and

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they've got the Chinese Communist Party making sure.

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Speaker 2: That only the right businesses succeed.

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Speaker 1: But then I'm starting to look at the United States

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and yeah, there's been the STEM push, and yes, I

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still think we've got the great entrepreneurial culture, but of

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all the dumbing down that's starting to show up is

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starting to show up, I think in workplaces and attitudes,

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even in places. I mean, and I know it's not

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like the world's most important thing to talk about.

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Speaker 2: A Starbucks barista.

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Speaker 1: All workers honorable, they're God's kids if they belong to Jesus.

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But I'm looking at the comparison between our peoples and

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in India, am I wrong, or have they viewed their

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people as a resource in a way that we don't.

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Speaker 4: Oh, they absolutely do. And but one of the I mean,

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this is one of the insidious. And it's more complex

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than this. And I'm not trying to I'm not a

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silver bullet guy, because you know it's silver bullets exist

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in movies and in child's brains, right, we all know that. Well,

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you know what I mean. It's like it's one of

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the things that even bugs me in political analysis, where

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like this is the problem, Like this is never the problem.

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Speaker 5: It's always a confluence of.

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Speaker 4: Events, right, and so they But here in the United States,

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I do not think it is an accident that the

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dumbing down of our educational system and then just the

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dumbing down of our people have coincided with a period

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of time in which we have taken on the most

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at run record deficits.

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Speaker 5: And printed money.

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Speaker 4: And why because think about it, this is the first

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time in the history of mankind that money, in the

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way that we all think about it, is truly fungible.

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And I don't mean money's always been fungible, meaning it's

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the most easily replaceable asset in the world, but in

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terms of being able just.

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Speaker 5: To caught like your word, call it out of thin air.

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Speaker 4: Right, And if you think about that, if if we

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have wealth via the printing press, it sort of takes

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the starch right out of every other you know, well

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you need to do this to be a productive member

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of society, or you need to do this. It sort

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of disincentivizes it in a way. And you know a

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perfect example of that is I just saw a new

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proposal from the City of San Francisco, the school Board

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of San Francisco. They're they're going to get rid of homework. Yep,

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they're going to get rid of assignments, and they're going

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to make it more equitable. So your whole, whole grade

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will come down to your final which you can take

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theoretically as many times as you want.

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Speaker 2: To and to see see what percentage equals to c No,

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what was it? Forty one?

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Speaker 4: Forty one? There you go, oh forty one.

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Speaker 5: See what's an f Well, yeah, we don't use that word.

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Speaker 4: Oh I'm sorry, I apologize fans for fantastic right right,

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So my friend, yeah, you gotta me come on, man.

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Uh so, But but this is you know, this goes

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back to the old days of Michael Savage talking about

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the enemy within right, meaning if you don't see it

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right now, you're not looking at it, and do does

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the proletariat just go along with this because it sounds good?

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And yeah, I mean it always sounds good to the proletariat,

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right like uh oh, yeah, it's gonna be nicer for kids,

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gonna be And you sit there and you go, hey, guys,

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we why where do we have any evidence of laxing

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standards and decreasing standards making better people? And where is

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there any evidence that there is any benefit to giving

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somebody a successful mark or a successful conclusion to any

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type of work that they do. Where is there any

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evidence that the the self estem esteem boosts they get

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from that aid supersedes the lack of skill that they

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didn't acquire getting that grade, the type of knowledge that

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they didn't acquire getting that grade. And it's just nonsensical

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and it's so tragic because we don't need an army

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to come in here and beat us. We're doing the

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job ourselves. And in what world does you know decreasing

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those standards? Well, you can't even say decreasing the standard

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because the academic proposal of the City of San Francisco's

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throwing up there. It's just the removal of any standard, right,

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I mean, grades are meaningless at this point.

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Speaker 1: Right, And we've seen this. We've seen this move from

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a very early age. But the nineteen fifties we started

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to see we went to a peak of standards and

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things were okay, but rout nineteen seventy through nineteen seventy

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five we started to see a decrease in standards, and

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that treat this level of absurdity.

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Speaker 2: In your area.

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Speaker 1: There's no AP classes, they don't allow advanced placement courses

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because not enough bipops we're getting the buy into the courses.

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Speaker 5: So well, it's also because it's also because we care

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about children.

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Speaker 1: Well, I mean certain children, not the Christian ones. You're

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feeding the lions and what oh gosh, I don't want

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to keep you right, No, right, this is not the volcan.

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Well no, I guess I'd prefer the volcano. But no,

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we're watching this and I.

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Speaker 2: See the results so very clearly. Red state, Blue state.

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Speaker 1: There's plenty of kids who work over in the Blue states,

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but there's a difference here, Zach. My guys who are

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fourteen or fifteen years old, if.

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Speaker 2: They don't have a job, they're stressed.

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Speaker 1: I'm the guys to get to work with at church, like,

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oh my gosh, I need a job. And you look

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at my youth group, the one that is I'm most

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commonly with, it's the hardcore members are fifteen Zach there,

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none of them are above the age of fifteen, and

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thirteen of them already have their jobs lined up for

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the summer. And I'm talking serious jobs. The other two

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are really feeling stressed because they don't have it. So

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they're saying like this, I don't know, I might just

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have to do constructionists my dad this year. Again, that

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is not the case over in the city of Settle

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It's not in in Los Angeles. There are kids who work,

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but it is not I must work. Do you see

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what I'm saying.

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Speaker 4: Yeah, well, yeah, well it's because they didn't grow up

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in my house. So my thirteen year old getting ready

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for her summer job right now, and yeah, it's the

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whole thing is part of education. The other part of

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it too, is you really can't. This is not this

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isn't a story we haven't heard before, right right, Like,

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let let's let's let's sit back and think about this

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for a second. Where have we heard, Oh, you know what,

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it's okay. You don't really need to do your homework.

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You don't really have to. Everything's gonna be fine. We're

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just gonna get you. Everybody can pick their own way.

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There's multiple ways. Where have you heard that before? Right?

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And and that kind of sounds a lot like demonic

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and satanic whispers?

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Speaker 5: Doesn't it right?

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Speaker 3: Right?

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Speaker 4: You don't. You don't have to adhere to a standard. No, no, no, no,

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God's just being too stricture.

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Speaker 5: There's more ways.

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Speaker 2: You won't die.

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Speaker 4: No, he didn't mean not eat from the tree.

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Speaker 5: What he was really saying.

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Speaker 1: You know, I got a note from a guy on

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YouTube who said, how dare you say Satan's the one

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who lied? Because he said they wouldn't die and they didn't.

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This and this is.

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Speaker 2: This the level of debate we get are sometimes I like, wait, wait, wait.

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Speaker 5: It entered in death in mortality, like they did.

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Speaker 4: They did die.

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Speaker 2: God didn't say did die.

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Speaker 4: They're not alive. Did you talk to him?

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Speaker 3: Right?

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Speaker 4: I mean God, I'm pretty sure they died.

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Speaker 2: God didn't say that. Second, no, right, right.

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Speaker 1: This was a serious defense because there's a lot of theologians.

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I don't know if you know this, but in the

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YouTube comment section it's almost all theologians because they don't

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have other work. All right, I want to give a

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point of comparison to what Starbucks is to itself and

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in one way, I love this and I'll play this

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in just a second. Let me ask you something because

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I'm scared to talk about. You have these conversations with

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people Borward Capital Management and you will get on the

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phone or a video conference.

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Speaker 2: What's that like? You know, you do these free now

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obligation conversations. People present to you.

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Speaker 1: Their portfolios, their debts. You did this with my friend

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Ben's dad. Ben's dad, you're nodding your head. You remember

382
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he has he did the big job at one of

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the big national retailers, and you told him, dude, you

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are set go get it.

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Speaker 2: Go get retirement. And you know later Ben.

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Speaker 1: Told me goush, my dad was so jack thrilled. My gosh,

387
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Zach think I thinks I did a good job. What's

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that like for people? When they come in and you

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do video, you do in person like, how does that

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stuff flow?

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Speaker 5: Well?

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Speaker 4: So typically the first conversation is like it's usually between

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thirty to forty five minutes, and.

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Speaker 5: It's us trying to get to know you.

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Speaker 4: And try to figure out, you know, what you've got,

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00:20:01,480 --> 00:20:03,480
what it is that we're trying to accomplish, where you

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want to live, what kind of budget we're looking for,

398
00:20:05,799 --> 00:20:08,720
and then just getting an idea right kind of building

399
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the framework and then and a big part of that,

400
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and I think people are typically a little bit surprised

401
00:20:14,599 --> 00:20:18,119
by that, but there is a conversational and personal part

402
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of this. And one of the things I tell people

403
00:20:19,680 --> 00:20:23,480
all the time is, look, people forget about this, but

404
00:20:23,599 --> 00:20:26,519
whoever you hire to do this job, they're going to

405
00:20:26,640 --> 00:20:31,200
know more financially about you than anybody outside of your spouse, right,

406
00:20:31,759 --> 00:20:34,839
which is a very personal relationship, and it's one that

407
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most people are not used to. And so one of

408
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the reasons if anybody's wanting to know one of the

409
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reasons I started working with you on this podcast is

410
00:20:44,000 --> 00:20:46,920
we started saying, look, I once had a guy call me,

411
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he DM me on Twitter, and he goes, why are

412
00:20:49,720 --> 00:20:53,920
you making you know, conservative political statements? You're alienating half

413
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of your potential clients, And I go, no, I'm not.

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Speaker 5: I don't want to work with those people.

415
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Speaker 4: And I don't know. There are things more important than money, right.

416
00:21:04,200 --> 00:21:06,799
I firmly believe that God has put me in this place,

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and I think as long as we're obedient to him,

418
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I think that purpose will continue to play out. But

419
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God's put me in a place to do this for

420
00:21:13,720 --> 00:21:18,880
like minded people money. If you're completely opposite political politically,

421
00:21:18,960 --> 00:21:22,359
you're Unless one of you is really well adjusted and

422
00:21:22,880 --> 00:21:26,400
able to set their own personal beliefs aside, it's probably

423
00:21:26,400 --> 00:21:29,119
not gonna be a very fruitful financial relationship. Yeah, right,

424
00:21:29,960 --> 00:21:31,920
because it flavors the way that you. So part of

425
00:21:31,960 --> 00:21:34,079
it is getting to know each other, sitting there saying, hey,

426
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can we work together? Do you see things? Are you

427
00:21:37,720 --> 00:21:39,039
going to freak out?

428
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Speaker 3: You know?

429
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Speaker 5: Like last year is a perfect example.

430
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Speaker 4: We had a couple of new clients leave because we

431
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were up fifteen sixteen percent in a year where the

432
00:21:44,720 --> 00:21:47,880
market was up twenty three. Well, I understand what they

433
00:21:47,920 --> 00:21:50,720
were saying, but they didn't listen to us. Right fast

434
00:21:50,720 --> 00:21:54,400
forward to this year, markets flat to negative on the year,

435
00:21:54,720 --> 00:21:57,279
and you know the value portfolio I runs up ten

436
00:21:57,680 --> 00:22:00,960
So meaning look, no, no, this is how we want

437
00:22:00,960 --> 00:22:03,400
to do things. We're not focused on one year marks.

438
00:22:03,680 --> 00:22:07,799
We're focused on limiting volatility, making your retirement, you know,

439
00:22:08,240 --> 00:22:09,839
viable for the rest of your life.

440
00:22:09,920 --> 00:22:11,920
Speaker 5: Yeah, and we're focused on the long run stuff.

441
00:22:12,119 --> 00:22:13,839
Speaker 4: So a lot of it is vetting that out, but

442
00:22:13,880 --> 00:22:16,559
then just going through the process and over that three

443
00:22:16,640 --> 00:22:19,960
meeting process, we vet out all the information we need

444
00:22:20,000 --> 00:22:22,720
and we're able to put together a portfolio proposal.

445
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Speaker 5: And complete with the cost.

446
00:22:24,000 --> 00:22:27,839
Speaker 4: And so people aren't buying something unforeseen, right they sign up,

447
00:22:27,880 --> 00:22:30,720
they know exactly what they're getting, and yeah, that's that's

448
00:22:30,799 --> 00:22:32,960
kind of that's that's the that's kind of the process

449
00:22:33,000 --> 00:22:34,000
in its entirety.

450
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Speaker 2: Okay, so here's how you can get this process for you.

451
00:22:36,039 --> 00:22:38,599
Speaker 1: If you're five, ten, fifteen years from retirement, now's the

452
00:22:38,640 --> 00:22:41,640
time to have these conversations with Zach, beginning with is

453
00:22:41,680 --> 00:22:42,640
he who he says he is?

454
00:22:42,720 --> 00:22:44,559
Speaker 2: And he is. You're gonna have this meeting with him.

455
00:22:44,559 --> 00:22:46,559
Speaker 1: You'll find out this Zach is the same Zach you're

456
00:22:46,559 --> 00:22:49,200
gonna be talking to. So go to the website and

457
00:22:49,240 --> 00:22:53,880
it's changed. It's Know your Risk Podcast dot com. Know

458
00:22:54,160 --> 00:22:58,480
your Risk Podcast dot Com. Go there and get this free,

459
00:22:58,519 --> 00:23:01,160
no obligation. By the way, either one of you can say, hey,

460
00:23:01,200 --> 00:23:04,319
you know what this ain't gonna work, but go there.

461
00:23:04,440 --> 00:23:06,160
Speaker 2: It's Know Your Risk podcast.

462
00:23:06,640 --> 00:23:10,119
Speaker 1: Dot Com Investment Advisor's services off through Trek Financial LLC

463
00:23:10,200 --> 00:23:13,000
and sec Register. Investment Advisor investments of all risk and

464
00:23:13,000 --> 00:23:15,799
are not guaranteed past performance, doesn't guarantee future results. Truck

465
00:23:15,839 --> 00:23:18,680
twenty five DESH two one seven. So this is a

466
00:23:18,920 --> 00:23:21,039
Starbucks employee and this is the second clip of HAD

467
00:23:21,039 --> 00:23:22,240
this week. I don't know if you saw the one

468
00:23:22,279 --> 00:23:25,559
went ultra viral. This young man, he had to be

469
00:23:26,200 --> 00:23:31,960
mid mid twenties, was weeping, Zach weeping because he had

470
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to work in eight hour shifts and work double eight

471
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hours on the weekends plus a twenty six hour h

472
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He has twenty six credits.

473
00:23:39,519 --> 00:23:40,359
Speaker 2: He's taking college.

474
00:23:40,759 --> 00:23:43,039
Speaker 1: And there were so many customers and so many and

475
00:23:43,119 --> 00:23:45,960
they all lined up, and I get it, like people

476
00:23:45,960 --> 00:23:48,240
can have ADHD, they can have anxiety issues.

477
00:23:48,279 --> 00:23:48,680
Speaker 4: I get it.

478
00:23:49,279 --> 00:23:52,519
Speaker 1: And yet he's weeping and saying it was unfair. Now

479
00:23:52,559 --> 00:23:56,519
this is another Starbucks employeeho's made an announcement about the unions.

480
00:23:56,559 --> 00:23:57,960
I think Starbucks has done this to.

481
00:23:57,920 --> 00:24:01,839
Speaker 7: Themselves union over these stress code changes.

482
00:24:02,039 --> 00:24:04,279
Speaker 4: Therefore we have productstop the stress code.

483
00:24:04,519 --> 00:24:07,519
Speaker 7: Workers United has also sent a letter to Starbucks demanding

484
00:24:07,519 --> 00:24:10,440
but the new dress code not be implemented at union

485
00:24:10,480 --> 00:24:15,079
represented stores until bargaining concludes. Starbucks is legally required to

486
00:24:15,119 --> 00:24:18,400
bargain with workers at union stores over changes to their

487
00:24:18,440 --> 00:24:23,119
working conditions. UNI lotal changes are not legal. If the

488
00:24:23,160 --> 00:24:26,240
new TRUSS code is implemented at our store, or if

489
00:24:26,279 --> 00:24:28,880
workers are disciplined for wearing face masks, we will be

490
00:24:28,920 --> 00:24:32,839
forced to take escalating action. Thank you the union partners

491
00:24:32,839 --> 00:24:34,039
at thirty six and May.

492
00:24:36,519 --> 00:24:37,880
Speaker 4: Thank you. Thank you.

493
00:24:38,640 --> 00:24:43,599
Speaker 8: They don't want uniforms there, and they're hold on and

494
00:24:43,640 --> 00:24:49,359
they're fighting for their right to wear face masks.

495
00:24:49,359 --> 00:24:50,519
Speaker 2: Twenty twenty five.

496
00:24:51,319 --> 00:24:54,039
Speaker 4: Well, so, I you know, I've got a simple solution

497
00:24:54,160 --> 00:24:56,519
to this don't work. I would shut down all my

498
00:24:56,599 --> 00:25:00,240
union stores. I just shut them cand you Yeah, yeah,

499
00:25:00,240 --> 00:25:01,519
you need to shut them down. Yeah, they can't make

500
00:25:01,559 --> 00:25:03,559
you keep a store open. Oh they can just shut

501
00:25:03,559 --> 00:25:05,599
the stores. Huh. I mean you just sit there and

502
00:25:05,799 --> 00:25:08,759
it's non economically viable. Just shut the store down.

503
00:25:09,799 --> 00:25:11,960
Speaker 1: I would love to see that. And yet Starbucks has

504
00:25:12,000 --> 00:25:12,960
earned this.

505
00:25:12,960 --> 00:25:16,559
Speaker 4: This is They've supported it, They've they've engendered it, they

506
00:25:16,559 --> 00:25:19,119
have fostered it. They have tilled the soil to grow

507
00:25:19,160 --> 00:25:23,200
this insanity in our own backyard. They deserve every bit

508
00:25:23,480 --> 00:25:26,319
of it. I'm glad their stock has gotten smashed. They

509
00:25:26,319 --> 00:25:31,640
deserve it. And and what really, what really irritates.

510
00:25:31,119 --> 00:25:32,319
Speaker 5: Me though, is.

511
00:25:33,839 --> 00:25:36,440
Speaker 4: They're not the only ones that eat from that plot

512
00:25:36,480 --> 00:25:40,200
of land. Right, They've sowed weeds that all of us

513
00:25:40,240 --> 00:25:42,519
have to deal with and all of this nonsense. So

514
00:25:42,599 --> 00:25:44,400
I love it. I you know, you and I talked

515
00:25:44,400 --> 00:25:48,599
about it for years. We you look at what the

516
00:25:48,720 --> 00:25:51,839
left in this country has been curating and what they've

517
00:25:51,839 --> 00:25:55,519
been nurturing, and they've been building this beast in secret

518
00:25:55,960 --> 00:25:58,599
that eventually has turned on them and has begin to

519
00:25:58,599 --> 00:25:59,039
eat them.

520
00:25:59,400 --> 00:25:59,960
Speaker 5: And I love it.

521
00:26:00,039 --> 00:26:03,799
Speaker 4: It's it's if it wasn't so deleterious and so dangerous

522
00:26:03,799 --> 00:26:06,000
for society as a whole, I think it would be

523
00:26:06,039 --> 00:26:07,880
a I think it'd be wonderful.

524
00:26:08,200 --> 00:26:08,359
Speaker 3: Right.

525
00:26:08,400 --> 00:26:10,440
Speaker 4: The downside to it is that we all have to

526
00:26:10,480 --> 00:26:12,920
deal with it. But I mean, I mean, listen to

527
00:26:13,000 --> 00:26:17,240
what we're talking about, like dressed like you, I mean

528
00:26:18,440 --> 00:26:22,440
what I basically it's I want to do whatever I

529
00:26:22,480 --> 00:26:24,000
want to do and you owe me this much money

530
00:26:25,240 --> 00:26:30,680
and and crying about I did see this is the

531
00:26:30,720 --> 00:26:33,200
part about it now And I've i know family members

532
00:26:33,200 --> 00:26:35,759
that are caught up in this, especially young people, that

533
00:26:35,920 --> 00:26:39,240
this is the part about it, that these people are

534
00:26:40,559 --> 00:26:44,880
too foolish to see. They're they're spiritually blind, they are

535
00:26:45,160 --> 00:26:51,599
uh you know, intellectually lightweights. But what they don't understand

536
00:26:51,680 --> 00:26:56,960
they're killing these kids. Man, Yes, they're ruining these these

537
00:26:57,480 --> 00:27:00,759
these kids' lives are going to be garb because of

538
00:27:00,799 --> 00:27:04,680
the nonsense you're feeding them because it never pays. They're

539
00:27:04,839 --> 00:27:07,359
never going to live me or your lifestyle. They're never

540
00:27:07,440 --> 00:27:11,240
going to the state can't give them that level of lifestyle,

541
00:27:11,599 --> 00:27:14,559
so you're robbing them of the only thing that's going

542
00:27:14,599 --> 00:27:19,039
to get, which is initiative drive. Can you imagine, let's

543
00:27:19,200 --> 00:27:22,200
just talk about a society not where a kid is

544
00:27:22,400 --> 00:27:25,279
crying because he's got to work eight hours, but where.

545
00:27:25,119 --> 00:27:30,119
Speaker 9: He's not embarrassed to post it on social media, right, Like, yeah,

546
00:27:30,200 --> 00:27:33,359
I mean, why don't you just wear a sign around

547
00:27:33,400 --> 00:27:35,960
and say I'm not a real man, come slap me

548
00:27:36,000 --> 00:27:36,680
across the face.

549
00:27:36,799 --> 00:27:38,799
Speaker 4: Yes, right, Yes.

550
00:27:39,000 --> 00:27:40,759
Speaker 1: One of the proudest moments I had in my life

551
00:27:40,839 --> 00:27:43,160
was when my daughter had her job at this pizza

552
00:27:43,200 --> 00:27:46,599
place and it was in this sports facility and it

553
00:27:46,680 --> 00:27:47,160
was you know.

554
00:27:47,359 --> 00:27:47,759
Speaker 4: By the way.

555
00:27:47,799 --> 00:27:51,039
Speaker 1: It was crazy good pizza, like what you know, mini

556
00:27:51,079 --> 00:27:54,480
golf and oh, by the way, great pizza. And I

557
00:27:54,519 --> 00:27:57,799
went in there one day and she goes, oh my gosh.

558
00:27:57,839 --> 00:27:58,200
Speaker 2: She turned.

559
00:27:58,240 --> 00:28:00,240
Speaker 1: She goes, oh no, no, no, no, no, no said what.

560
00:28:00,319 --> 00:28:02,480
She goes, I got to remake that. I go what

561
00:28:02,599 --> 00:28:05,559
she goes, No, no, no, she she went. She said,

562
00:28:05,559 --> 00:28:08,079
I'm sorry, I'll be right back. So she she like.

563
00:28:08,440 --> 00:28:11,119
Speaker 2: She would take it a break, just visiting with me.

564
00:28:11,559 --> 00:28:14,680
Speaker 1: She pops into the kitchen, recooks his pizza, and comes

565
00:28:14,680 --> 00:28:16,559
out and gives it to the customer. It takes over

566
00:28:16,559 --> 00:28:18,799
a ham Sorry, this is late. Here's a couple of

567
00:28:18,799 --> 00:28:22,160
SODA's on me. And she's like fourteen, and so I

568
00:28:22,200 --> 00:28:24,279
sat back on what long? She goes, well, I didn't

569
00:28:24,319 --> 00:28:26,240
get to put the toppings on that. I only got

570
00:28:26,240 --> 00:28:28,880
to roll it out and and and they just didn't

571
00:28:28,880 --> 00:28:29,200
do it right.

572
00:28:29,240 --> 00:28:32,880
Speaker 2: But my name's on that pizza. Yeah, it needed to

573
00:28:32,920 --> 00:28:35,759
be perfect. And yeah, well I was fourteen.

574
00:28:36,640 --> 00:28:38,880
Speaker 4: Yeah, so you know, a similar one. It was a

575
00:28:38,880 --> 00:28:42,519
great experience for me. But you know, uh, a job

576
00:28:42,559 --> 00:28:44,920
I took during high school, I've worked. I've worked tons

577
00:28:44,920 --> 00:28:46,480
of job dan my way through college and all that

578
00:28:46,519 --> 00:28:48,880
kind of stuff growing up. But but one of the

579
00:28:48,920 --> 00:28:52,559
jobs I took I was a bus boy, and I

580
00:28:52,599 --> 00:28:56,240
took that job really personally, right, I wanted to want

581
00:28:56,279 --> 00:28:59,440
to have and I worked my tail off at that job,

582
00:28:59,480 --> 00:29:02,079
and it got the point where as a bus boy

583
00:29:02,359 --> 00:29:04,839
at a Mexican restaurant. Right, so we're not talking about

584
00:29:04,880 --> 00:29:09,039
an expensive El Galacho steak typed restaurant. But you know,

585
00:29:09,119 --> 00:29:11,759
I was making between seventy to one hundred bucks a

586
00:29:11,880 --> 00:29:15,359
night and tips as a bus boy because the waiters

587
00:29:15,799 --> 00:29:19,319
wanted me in their section. Because I took it personally

588
00:29:19,359 --> 00:29:22,000
and it was a wonderful experience. It took me to

589
00:29:22,400 --> 00:29:24,839
a take pride in what you do. But be also,

590
00:29:24,960 --> 00:29:27,240
if you do it and you do it excellently, you're

591
00:29:27,240 --> 00:29:28,240
gonna make more money.

592
00:29:28,440 --> 00:29:31,119
Speaker 5: You're gonna people are gonna want you to work their sections.

593
00:29:31,359 --> 00:29:34,039
Speaker 4: And this is how you look. You know, that's how

594
00:29:34,079 --> 00:29:35,160
you learn, Right.

595
00:29:35,240 --> 00:29:36,880
Speaker 1: I learned when I was working at a pizza place

596
00:29:36,920 --> 00:29:38,920
and started to get recruited by other pizza places.

597
00:29:39,160 --> 00:29:39,359
Speaker 4: Yeah.

598
00:29:39,400 --> 00:29:41,680
Speaker 1: Yeah, that blew my mind as a high school kid,

599
00:29:42,039 --> 00:29:43,799
like I thought it was a scam. What you don't

600
00:29:43,839 --> 00:29:45,680
go like, no one goes and tries to find it.

601
00:29:45,720 --> 00:29:47,519
Employees and one of my friends said, where do you

602
00:29:47,559 --> 00:29:48,960
think they find employees.

603
00:29:50,599 --> 00:29:51,079
Speaker 2: To pizza?

604
00:29:51,119 --> 00:29:53,279
Speaker 1: They said, Wow, this kid is running the joints on

605
00:29:53,359 --> 00:29:55,599
his own. Why would I not try to hire them away?

606
00:29:55,960 --> 00:29:57,519
Like that actually happens.

607
00:29:57,880 --> 00:30:00,000
Speaker 4: I keep my eyes open whenever I'm talking to people

608
00:30:00,160 --> 00:30:02,839
in the service industry, I keep my eyes open. Yeah,

609
00:30:02,880 --> 00:30:05,160
I don't think I've ever hired anybody right out of that,

610
00:30:05,200 --> 00:30:08,359
but I know that I've hired people based off interactions

611
00:30:08,359 --> 00:30:09,759
with them working at other businesses.

612
00:30:09,759 --> 00:30:12,640
Speaker 1: Oh, I've recommended people. I mean I know that, like

613
00:30:12,680 --> 00:30:15,720
I see young people, I see initiative, like I've recommended

614
00:30:15,759 --> 00:30:17,079
some and I will.

615
00:30:17,200 --> 00:30:20,559
Speaker 4: And man the other part of it too that and

616
00:30:20,599 --> 00:30:22,319
you know this, and some man of your listeners know

617
00:30:22,400 --> 00:30:25,000
this too. But it's the work ethic side of it,

618
00:30:25,240 --> 00:30:29,759
like meaning it it's never fun, okay, But you get

619
00:30:29,759 --> 00:30:32,240
to a point where you learn how to shoulder the

620
00:30:32,319 --> 00:30:35,960
load and just keep plowing, and you start taking pride

621
00:30:35,960 --> 00:30:38,720
in that, and you start to see results, and so

622
00:30:38,839 --> 00:30:41,680
you double down and it builds a muscle inside of

623
00:30:41,720 --> 00:30:44,599
you that nobody can take away that if you know

624
00:30:45,279 --> 00:30:47,799
I it'd be a horrible thing. And I don't say

625
00:30:47,880 --> 00:30:50,400
this to brag, but you could take Bullwark away from

626
00:30:50,400 --> 00:30:52,960
me right now, and based on what I've learned getting

627
00:30:52,960 --> 00:30:55,519
to this point, I'm pretty sure I could be back

628
00:30:55,559 --> 00:30:57,359
at a place where I'm earning a decent living for

629
00:30:57,480 --> 00:31:00,640
my family and a not too distant, not too distant future.

630
00:31:00,200 --> 00:31:01,480
Speaker 2: Right And you would do anything?

631
00:31:02,680 --> 00:31:05,599
Speaker 4: Well? Yeah, because because that's because that's that's the price

632
00:31:05,640 --> 00:31:07,599
to pay, right, Like, that's that's what you got to

633
00:31:07,599 --> 00:31:08,079
pay the pie.

634
00:31:08,200 --> 00:31:09,720
Speaker 1: I know, I've told you the story about the guy

635
00:31:09,759 --> 00:31:12,119
who lived in our neighborhoods and the guy who had

636
00:31:12,480 --> 00:31:15,319
lost everything and he needed to work, and they were

637
00:31:15,319 --> 00:31:17,880
building houses across the street, and he went over and said, look,

638
00:31:18,839 --> 00:31:20,039
you know, I've lost everything.

639
00:31:20,119 --> 00:31:21,799
Speaker 2: I need to work. Can I sweep up? Can I

640
00:31:21,839 --> 00:31:22,359
do anything?

641
00:31:22,799 --> 00:31:24,799
Speaker 1: Next thing, you know, he's over there doing this and

642
00:31:24,599 --> 00:31:26,759
he starts to see how they do construction.

643
00:31:26,759 --> 00:31:28,400
Speaker 2: He's like, wait, this is how you do things.

644
00:31:28,920 --> 00:31:31,799
Speaker 1: Yeah, if I could build you software that could actually

645
00:31:31,799 --> 00:31:33,559
handle some of this planning, would you use that?

646
00:31:34,200 --> 00:31:34,359
Speaker 7: Wait?

647
00:31:34,440 --> 00:31:34,920
Speaker 2: You could do that?

648
00:31:35,880 --> 00:31:37,799
Speaker 1: He goes back and he puts together a software program

649
00:31:37,799 --> 00:31:41,160
which is basically a construction project management program that he

650
00:31:41,200 --> 00:31:44,960
built and super elementary, and they start using it. Next thing,

651
00:31:44,960 --> 00:31:46,920
you know, the guy who runs a construction company's like, hey,

652
00:31:47,000 --> 00:31:48,319
why don't you build this for other people?

653
00:31:49,359 --> 00:31:50,000
Speaker 2: Like, I'll be.

654
00:31:49,920 --> 00:31:52,160
Speaker 1: Customer number one. Next thing, you know, two years later,

655
00:31:52,759 --> 00:31:56,920
he's rebuilt. He destroyed his financial life. He was rebuilt

656
00:31:57,240 --> 00:32:00,839
because if he hadn't had the humility, right, because God

657
00:32:01,160 --> 00:32:03,720
is going to humble us. You cannot be fully used

658
00:32:03,759 --> 00:32:06,680
by God until you need him because God will humble you.

659
00:32:06,799 --> 00:32:09,039
Speaker 2: I garay t God will humble.

660
00:32:08,799 --> 00:32:10,599
Speaker 5: You multiple times.

661
00:32:10,640 --> 00:32:12,400
Speaker 1: Right, if you hadn't been humble enough to say, I'll

662
00:32:12,480 --> 00:32:15,680
wash the construction trucks, I'll spray them off. I'll bring

663
00:32:15,720 --> 00:32:19,039
you lunch, I'll sweep, I'll stay later and clean up

664
00:32:19,039 --> 00:32:21,160
all the nails. I'll put up signs.

665
00:32:21,680 --> 00:32:25,039
Speaker 4: I'll eat from the troughs, R right, the prodigal son,

666
00:32:25,079 --> 00:32:26,839
I'll eat from the troughs right right.

667
00:32:27,200 --> 00:32:28,119
Speaker 2: It's a great visual.

668
00:32:28,839 --> 00:32:29,119
Speaker 7: Second.

669
00:32:29,160 --> 00:32:31,240
Speaker 1: I want to talk about Harvard here in a second,

670
00:32:31,279 --> 00:32:34,200
because there was a man I watched this piece, Bill

671
00:32:34,240 --> 00:32:37,000
Ackman on Harvard. I want to go through this with you,

672
00:32:37,079 --> 00:32:39,160
but I just brought up visuals. I want to recommend

673
00:32:39,200 --> 00:32:40,920
the movie to you in your family. Have you seen

674
00:32:41,279 --> 00:32:43,240
I don't think unless you went to the theaters to

675
00:32:43,279 --> 00:32:45,519
see this. It's not yet availablet home. If you've seen

676
00:32:45,640 --> 00:32:49,000
King of Kings. The King of Kings, it's a animated

677
00:32:49,000 --> 00:32:50,200
documentary about Jesus.

678
00:32:50,799 --> 00:32:52,079
Speaker 4: No, I haven't even heard about it.

679
00:32:52,119 --> 00:32:54,000
Speaker 2: Okay, so this is I'll tell you.

680
00:32:54,079 --> 00:32:55,519
Speaker 5: We're watching the David miniseries.

681
00:32:55,559 --> 00:32:59,000
Speaker 4: Have you seen the David miniseriessel Yeah, the House as

682
00:32:59,000 --> 00:32:59,640
a Family Together?

683
00:32:59,720 --> 00:32:59,920
Speaker 3: Yeah.

684
00:33:00,079 --> 00:33:02,279
Speaker 5: Do you think I think it's outstanding.

685
00:33:02,400 --> 00:33:02,680
Speaker 7: Yeah.

686
00:33:02,839 --> 00:33:04,480
Speaker 1: We were a little worried at first because there's a

687
00:33:04,480 --> 00:33:08,480
little bit of they referred to their god, the Jewish

688
00:33:08,480 --> 00:33:11,160
God is their God. We're like, oh, I don't know

689
00:33:11,200 --> 00:33:13,920
about that. But it turns and gets much more biblical.

690
00:33:14,440 --> 00:33:16,839
Speaker 4: Yeah, yeah, it's it. I was a little bit worried

691
00:33:16,839 --> 00:33:19,200
about it drifting because I went, oh, no, this isn't

692
00:33:19,240 --> 00:33:22,079
like remember like the Last Temptation of Jesus Christ. Yes,

693
00:33:22,160 --> 00:33:24,759
it was just a mockery, right, and I was kind

694
00:33:24,799 --> 00:33:26,160
of afraid that it was going that way.

695
00:33:26,160 --> 00:33:28,960
Speaker 5: And then it writed really quick. I've I've been really impressed. Yeah,

696
00:33:29,000 --> 00:33:29,480
that was awesome.

697
00:33:29,519 --> 00:33:31,519
Speaker 1: I read the book The LSTs Sentation of Christ before

698
00:33:31,759 --> 00:33:34,839
Scrosacey did that. So this is from Angel Studios. It's

699
00:33:34,839 --> 00:33:37,079
there are the people who did Sound of Freedom, remember.

700
00:33:36,759 --> 00:33:37,720
Speaker 5: That right, right?

701
00:33:37,799 --> 00:33:38,039
Speaker 4: Yep.

702
00:33:38,240 --> 00:33:40,920
Speaker 1: So it's from the point of view of the Charles

703
00:33:40,920 --> 00:33:44,279
Dickens family. So Dickens wrote a piece called the Life

704
00:33:44,279 --> 00:33:46,640
of Our Lord, and so in this in this movie,

705
00:33:47,319 --> 00:33:50,799
he's telling his story life. He's telling that's what's the

706
00:33:50,880 --> 00:33:53,759
Christmas story he told? Uh with Evan User Scrooge. He's

707
00:33:53,799 --> 00:33:56,599
telling that, and he's got this annoying little boy comes

708
00:33:56,599 --> 00:33:58,799
to interrupts the play, and it's got this ridiculous cat.

709
00:33:58,880 --> 00:34:01,480
So my wife had to watch this. Uh oh, annoying

710
00:34:01,480 --> 00:34:04,200
little boy and little cat. But then the dad starts

711
00:34:04,200 --> 00:34:06,480
to tell him the story of Jesus and he does

712
00:34:06,519 --> 00:34:08,639
it like in a Princess Brideway. So the movies like

713
00:34:08,679 --> 00:34:11,679
the dad's telling the story and then the kid's interrupting.

714
00:34:11,880 --> 00:34:14,800
But then the kid gets into the Jesus story and

715
00:34:14,840 --> 00:34:17,280
he walks with the Lord, and you can see it's

716
00:34:17,360 --> 00:34:19,440
changing the kid in the story, and then you learn

717
00:34:19,519 --> 00:34:22,679
it changes him in his life. And he's obsessed with

718
00:34:22,719 --> 00:34:25,159
King Arthur and the Roundtable. But he grows to understand

719
00:34:25,159 --> 00:34:28,280
the King of Kings is so so good. And Angel

720
00:34:28,440 --> 00:34:31,039
Students is doing something brilliant. I'll tell you about this.

721
00:34:31,079 --> 00:34:35,000
They have created the Angels Studio Guild. So dig this

722
00:34:35,119 --> 00:34:37,159
when you become a premium member. You to watch the

723
00:34:37,239 --> 00:34:39,760
King of Kings. You get to stream all their fan

724
00:34:39,840 --> 00:34:43,800
curated shows. You get two free tickets to every Angel's release,

725
00:34:43,840 --> 00:34:44,719
Angel Student release.

726
00:34:44,960 --> 00:34:45,920
Speaker 2: But you get this too.

727
00:34:46,679 --> 00:34:48,760
Speaker 1: You get to do thumbs up or thumbs down on

728
00:34:48,800 --> 00:34:52,079
the movies they make, and you go to Angel dot

729
00:34:52,119 --> 00:34:55,400
com slash todd you join over one million people like me.

730
00:34:56,280 --> 00:34:58,599
We give thumbs up or thumbs down to the movies

731
00:34:58,599 --> 00:35:01,599
that they're gonna produce and stories they're going to tell.

732
00:35:01,920 --> 00:35:04,679
We're taking control of entertainment. Angel has opened the door

733
00:35:04,719 --> 00:35:08,000
to Hollywood. We're marching through. So go become a Premium

734
00:35:08,000 --> 00:35:10,440
Angel Studio Guild member to watch the King of Kings,

735
00:35:10,719 --> 00:35:13,719
stream all the fan created shows and movies, get two

736
00:35:13,719 --> 00:35:17,239
free tickets to every Angel Studios theatrical release, and you

737
00:35:17,320 --> 00:35:20,559
get thumbs up thumbs down. We are voting on what

738
00:35:20,639 --> 00:35:24,400
Angel puts out next incredible. It's Angel dot Com slash

739
00:35:24,480 --> 00:35:26,719
tut so I fully recommend. I got a screener's copy

740
00:35:26,760 --> 00:35:28,639
and I'll actually ask him if I could share that

741
00:35:28,639 --> 00:35:31,519
with you before it is in home streaming. Alex producer

742
00:35:31,519 --> 00:35:33,039
Alex is watching it. He's going to do a review

743
00:35:33,079 --> 00:35:35,599
on it too. So I'll tell you about that. I'll

744
00:35:35,599 --> 00:35:36,800
see if I can send you the link, if you

745
00:35:36,800 --> 00:35:37,679
guys want to look at it.

746
00:35:38,000 --> 00:35:39,400
Speaker 5: That'd be awesome. Yeah, I love it.

747
00:35:39,840 --> 00:35:40,840
Speaker 2: So here's the deal.

748
00:35:42,199 --> 00:35:45,599
Speaker 1: President Trump has come out and said this was this

749
00:35:46,000 --> 00:35:49,599
was so trumpion. President Trump comes out and says, hey, I.

750
00:35:49,559 --> 00:35:50,440
Speaker 2: Got an idea.

751
00:35:50,679 --> 00:35:54,159
Speaker 1: Why did I take three billion dollars from Harvard And

752
00:35:54,360 --> 00:35:56,239
why did I give this to trade schools?

753
00:35:56,559 --> 00:35:57,960
Speaker 2: Because that could we could do? You know, you could

754
00:35:57,960 --> 00:35:58,800
train a lot of people.

755
00:35:59,000 --> 00:36:02,119
Speaker 1: And where I live in Idaho, there are like three

756
00:36:02,239 --> 00:36:05,039
or four trade schools within ten minutes of where I'm at.

757
00:36:05,199 --> 00:36:07,400
And one of the trade schools they've got power lines

758
00:36:07,400 --> 00:36:09,079
set up and back so kids can go learn to

759
00:36:09,079 --> 00:36:11,559
climb up power lines and take care of that. They've

760
00:36:11,559 --> 00:36:14,239
got machinery in there, They've got machining shops. There are

761
00:36:14,320 --> 00:36:16,519
kids that can come out of there and make a car.

762
00:36:16,960 --> 00:36:20,320
And I'm not like saying, you know, just just modify car.

763
00:36:20,360 --> 00:36:23,960
I'm saying, make a full on car. So Trump says this,

764
00:36:24,239 --> 00:36:26,840
and I'm fascive with this. And I was thinking about that,

765
00:36:27,159 --> 00:36:30,320
and Zach Abraham, chief Investments for Bowart Capital Management. I

766
00:36:30,440 --> 00:36:34,880
saw Bill Ackman and he was talking about Harvard's financial profile.

767
00:36:34,920 --> 00:36:36,400
Speaker 2: First of all, has Akmen a guy who knows what

768
00:36:36,440 --> 00:36:39,000
he's talking about financially, Yeah.

769
00:36:38,719 --> 00:36:39,039
Speaker 3: He is.

770
00:36:39,360 --> 00:36:42,480
Speaker 4: He's been in the game for a long time. I

771
00:36:42,519 --> 00:36:44,719
wouldn't put him in the same pantheon as a buffet,

772
00:36:45,679 --> 00:36:49,840
but he's at He's generated very good returns. He's run

773
00:36:49,880 --> 00:36:53,679
ahead Frond for a very long time. Pershing Square is

774
00:36:53,719 --> 00:36:57,320
the name of his fund. Ye, And he's yeah, And

775
00:36:57,360 --> 00:37:00,920
he's a very he's a very common sense pro America

776
00:37:00,960 --> 00:37:07,880
guy too. Yeah, he's a credible human being, and more

777
00:37:07,920 --> 00:37:12,079
importantly from from the outside looking in. And I know

778
00:37:12,239 --> 00:37:15,239
people that have met him and know him. He is

779
00:37:15,280 --> 00:37:17,639
a guy that tries to do the right thing, which

780
00:37:17,639 --> 00:37:18,280
I appreciate.

781
00:37:18,599 --> 00:37:18,840
Speaker 2: Yeah.

782
00:37:19,000 --> 00:37:21,320
Speaker 1: Yeah, And when Trump made this announcement, we'll get to

783
00:37:21,320 --> 00:37:25,880
this Bill Ackman piece. Just what Trump said, X dash

784
00:37:26,000 --> 00:37:29,440
Trump or true social I'm considering taking three billion dollars

785
00:37:29,480 --> 00:37:31,880
of grant money away from a very anti Semitic Harvard

786
00:37:32,199 --> 00:37:34,679
giving it to trade schools, all caps all across roy Land.

787
00:37:34,800 --> 00:37:36,679
What a great investment that would be for the USA

788
00:37:36,719 --> 00:37:40,079
and so badly needed batsya Ungar Sargon replied, And this

789
00:37:40,199 --> 00:37:42,679
is exactly right, she writes, This would be an actual

790
00:37:42,679 --> 00:37:45,079
redistribution of wealth from the elites to the working class

791
00:37:45,079 --> 00:37:47,760
that would create upward mobility for labor. Yet watch the

792
00:37:47,840 --> 00:37:50,960
so called left, they will bray against it and insists

793
00:37:51,000 --> 00:37:53,199
we keep the status quo of robbing the working class

794
00:37:53,199 --> 00:37:57,119
to fund the quote education of the rich in future apparatrics.

795
00:37:56,440 --> 00:37:58,239
Speaker 2: Of the CCP. What a joke.

796
00:37:58,320 --> 00:38:01,679
Speaker 1: I totally agree with that statement. This has happened Harvard's

797
00:38:01,760 --> 00:38:04,199
Now this is going to be the second lawsuit. So

798
00:38:04,320 --> 00:38:07,400
here's what Ackman said, and here's where I want you

799
00:38:07,519 --> 00:38:10,320
to be the chief investment.

800
00:38:09,880 --> 00:38:10,519
Speaker 2: Officer of this.

801
00:38:10,960 --> 00:38:13,519
Speaker 1: Listen to what he's talking about with Harvard's finances, and

802
00:38:13,559 --> 00:38:14,679
you tell me, Zach.

803
00:38:14,840 --> 00:38:17,920
Speaker 10: Harvard's marketing a billion dollar slice at their portfolio. So

804
00:38:18,000 --> 00:38:21,840
one thing I believe is that the private equity portfolios,

805
00:38:21,880 --> 00:38:25,360
the real estate portfolios, the venture capital portfolios are mismarked.

806
00:38:25,760 --> 00:38:31,360
What's meaningful, I would say forty percent discount forty percent.

807
00:38:31,519 --> 00:38:31,719
Speaker 3: Yeah.

808
00:38:32,719 --> 00:38:36,599
Speaker 10: First of all, the every institution is completely full up

809
00:38:36,800 --> 00:38:41,199
with private equity. No one wants incremental exposure to private equity,

810
00:38:41,239 --> 00:38:44,440
so the next buyer cost of capital is meaningfully higher.

811
00:38:45,280 --> 00:38:48,280
My guess is Yell chooses not to transact, and Harvard

812
00:38:48,320 --> 00:38:50,440
may do the same because they don't want to report

813
00:38:51,400 --> 00:38:54,360
the figure. So how has Harvard been meeting its obligation

814
00:38:54,400 --> 00:38:57,239
as they've been issuing debt. What's not talked about when

815
00:38:57,239 --> 00:38:59,199
you mentioned the fifty three billion dollar endowment is Harvard

816
00:38:59,199 --> 00:39:02,559
has seven point nine billion dollars worth of debt. My

817
00:39:02,679 --> 00:39:05,519
experience with charity or you know nonprofits that have large

818
00:39:05,519 --> 00:39:07,840
amounts of debt, it's it's a death spiral because the

819
00:39:07,840 --> 00:39:10,039
donor doesn't want to give money that they want to

820
00:39:10,079 --> 00:39:12,039
give to a project, they don't want to give to

821
00:39:12,039 --> 00:39:14,719
to kind of pay interest expense. Harvard relies on the

822
00:39:14,719 --> 00:39:21,320
federal government on uh, you know, the alums donations and

823
00:39:21,360 --> 00:39:24,199
a very small liquidity pool to meet their kind of

824
00:39:24,199 --> 00:39:29,199
ongoing obligations, and a draw from the endowment, and each

825
00:39:29,239 --> 00:39:32,480
of these has been meaningfully impaired. Donors are not excited

826
00:39:32,519 --> 00:39:34,159
to give money to the university, and they're going to

827
00:39:34,159 --> 00:39:36,719
be less excited once they understand what's the financial picture.

828
00:39:37,800 --> 00:39:41,280
The tax exemption is at risk, which means, you know,

829
00:39:41,320 --> 00:39:44,599
that tax exemption benefits the institution because they get the

830
00:39:44,960 --> 00:39:47,320
you know, they don't have to pay taxes. But I

831
00:39:47,360 --> 00:39:50,079
would say more significantly, the donor gets the benefit of

832
00:39:50,199 --> 00:39:52,400
a meaningful tax deduction in America when we give to

833
00:39:52,440 --> 00:39:54,199
these institutions that goes away.

834
00:39:54,400 --> 00:39:56,039
Speaker 2: I mean, it's it's it's a disaster.

835
00:39:56,280 --> 00:39:59,519
Speaker 1: So that's Bill Ackman and my producer Acts did a

836
00:39:59,559 --> 00:40:01,719
lot of editing to that to fit it into a

837
00:40:01,760 --> 00:40:02,360
short space.

838
00:40:03,159 --> 00:40:03,880
Speaker 2: It's accurate.

839
00:40:04,760 --> 00:40:05,480
Speaker 4: So put on the.

840
00:40:05,480 --> 00:40:08,159
Speaker 1: Chief investment officer hats and you're looking at Harvard with

841
00:40:08,199 --> 00:40:09,960
a fifty three billion dollar endowment.

842
00:40:10,079 --> 00:40:11,880
Speaker 2: Maybe maybe they have to write that down.

843
00:40:13,280 --> 00:40:18,519
Speaker 4: Yeah. So this is so emblematic of so many different

844
00:40:18,519 --> 00:40:20,840
things we've all seen, right, like, let me, let me

845
00:40:21,199 --> 00:40:23,880
let Let's take you back a little bit too. You know,

846
00:40:23,960 --> 00:40:27,360
Silicon Valley Bank going under? Okay, okay, you almost have

847
00:40:27,559 --> 00:40:30,320
the collapse of the regional banking system in our country

848
00:40:30,679 --> 00:40:33,679
because risk managers at banks did not understand the long

849
00:40:33,760 --> 00:40:36,960
duration bonds would get hammered when interest rates went up. Now,

850
00:40:37,599 --> 00:40:40,360
if you do what I do for a living, like,

851
00:40:41,840 --> 00:40:45,800
do you we were not short those banks when they

852
00:40:45,840 --> 00:40:47,639
started going down? Okay?

853
00:40:47,800 --> 00:40:49,719
Speaker 5: Do you want to know the reason we weren't?

854
00:40:50,639 --> 00:40:54,840
Speaker 4: Because I never dreamed they were that inept, right Like I,

855
00:40:54,840 --> 00:40:56,239
I No.

856
00:40:56,159 --> 00:40:58,400
Speaker 2: You guys hedge everything and that didn't occur to you.

857
00:40:58,559 --> 00:41:00,760
Speaker 4: Yeah, yeah, and we didn't get hurt by it because

858
00:41:00,760 --> 00:41:01,800
we didn't have any exposure.

859
00:41:01,840 --> 00:41:04,559
Speaker 5: But we didn't. You just sit there and you went,

860
00:41:05,000 --> 00:41:05,800
hold on a second.

861
00:41:06,079 --> 00:41:09,360
Speaker 4: You've got inflation running at a forty year high, you

862
00:41:09,400 --> 00:41:12,159
have the FED telling you they're going to raise interest rates,

863
00:41:12,480 --> 00:41:16,239
and you're just sitting in your long duration fixed income positions.

864
00:41:16,719 --> 00:41:20,079
So you because and I think this is a byproduct

865
00:41:20,159 --> 00:41:23,599
of the FED and the US government papering over so

866
00:41:23,679 --> 00:41:26,920
many holes for the last fifteen years that you know,

867
00:41:27,079 --> 00:41:31,119
when you live in fair like if we're doing a Disneyland, like,

868
00:41:31,719 --> 00:41:36,039
you know, doing a Disneyland ride, and let's say it

869
00:41:36,079 --> 00:41:38,440
has to do with like like an office scene or

870
00:41:38,519 --> 00:41:41,159
like the Harry Potter rides. Right, you don't need to

871
00:41:41,320 --> 00:41:45,760
hire real teachers to work in a fictional Hogwarts right, Right,

872
00:41:46,000 --> 00:41:48,079
So the same is true when you lived in a

873
00:41:48,119 --> 00:41:52,559
contrived financial environment where we're just backfilling stuff. You don't

874
00:41:52,599 --> 00:41:54,880
need real risk managers because it doesn't matter. Every time

875
00:41:54,880 --> 00:41:57,280
there's a real risk that pops up, the FED steps

876
00:41:57,320 --> 00:42:01,360
in and sanitizes it. Right, So you see this writ

877
00:42:01,440 --> 00:42:06,880
large did why did Harvard run their The problem that

878
00:42:06,920 --> 00:42:09,679
Harvard's got right now is not the size of their endowment.

879
00:42:09,960 --> 00:42:11,920
The problem that Harvard's got is too much if it's

880
00:42:11,920 --> 00:42:14,960
a liquid and like Ackman says, if they want to

881
00:42:15,000 --> 00:42:17,639
make it liquid, they got to take big right downs.

882
00:42:17,800 --> 00:42:19,960
And the reason they got to take big right downs

883
00:42:20,360 --> 00:42:23,119
is they bought into something that we've been laughing at

884
00:42:23,119 --> 00:42:27,360
for the last decade, which was by private equity. Because

885
00:42:27,360 --> 00:42:31,400
you're going to get stock market returns with fixed income

886
00:42:31,480 --> 00:42:35,679
risk okay, meaning you're going to get the returns of stocks,

887
00:42:36,079 --> 00:42:38,679
but with the volatility of bonds. And you know what

888
00:42:38,719 --> 00:42:41,559
I have to say to that, No, you're not. No

889
00:42:41,639 --> 00:42:44,679
you're not, because it doesn't work that way. There is

890
00:42:44,760 --> 00:42:48,440
no cash flow stream that grows at the pace of

891
00:42:48,480 --> 00:42:51,280
an average equity like trading on the S and P

892
00:42:51,360 --> 00:42:55,199
five hundred that has fixed income vall that doesn't exist.

893
00:42:55,559 --> 00:42:58,960
That it's not meant to work that way. So equity,

894
00:42:59,039 --> 00:43:01,760
by its very name, is more volatile than debt.

895
00:43:02,800 --> 00:43:05,000
Speaker 1: So it's the same thing. So you're using the bank

896
00:43:05,119 --> 00:43:08,960
scenario we have. We're told Harvard has these smartest people

897
00:43:09,000 --> 00:43:11,639
in the world. They produce the smartest people in the world.

898
00:43:11,960 --> 00:43:14,239
They're the people who should run things. Everyone should be

899
00:43:14,280 --> 00:43:15,920
there from Harvard or Yale. If they're going to be

900
00:43:15,960 --> 00:43:18,840
on the Supreme Court, except for someone from pen. This

901
00:43:18,880 --> 00:43:21,519
is the pedigree everyone wants. I remember the Microsoft days.

902
00:43:21,679 --> 00:43:23,639
Oh we get this guy's coming in. He's a Harvard MBA.

903
00:43:23,719 --> 00:43:25,719
Oh well, then hire him because clearly he knows what's

904
00:43:25,760 --> 00:43:29,360
going on. And their fund managers are looking at a

905
00:43:29,440 --> 00:43:32,119
fifty three billion dollar endowment that if they today wanted

906
00:43:32,119 --> 00:43:34,880
to make liquid, it would turn into more like a

907
00:43:35,400 --> 00:43:38,440
thirty billion dollar dumbit. If they wanted to make this liquid,

908
00:43:38,440 --> 00:43:38,880
if they.

909
00:43:38,719 --> 00:43:41,920
Speaker 4: Had to, could be worse, could be worse. And the

910
00:43:42,000 --> 00:43:45,360
reason why is because private equity, though their private equity

911
00:43:45,400 --> 00:43:48,480
private business right right, private business does not have a

912
00:43:48,559 --> 00:43:50,960
legal obligation to report its financials.

913
00:43:51,239 --> 00:43:51,440
Speaker 5: Right.

914
00:43:51,480 --> 00:43:56,000
Speaker 4: So theoretically, when you're carrying let's say you and I

915
00:43:56,039 --> 00:43:57,639
have let's say you and I are running a private

916
00:43:57,639 --> 00:44:00,679
equity fund, that is that we own private businesses. It

917
00:44:00,760 --> 00:44:04,079
is totally allowable for us. And let's say three years

918
00:44:04,079 --> 00:44:06,519
ago we raised money for a group of our for

919
00:44:06,639 --> 00:44:09,400
one of our private businesses in our portfolio at a

920
00:44:09,440 --> 00:44:13,360
ten billion dollar valuation. But let's say over the course

921
00:44:13,400 --> 00:44:15,719
of the last four years, since we raised money at

922
00:44:15,760 --> 00:44:18,840
a ten billion valuation, let's say things really haven't worked

923
00:44:18,840 --> 00:44:23,119
out that well and revenues decreased, we do not legally

924
00:44:23,199 --> 00:44:25,440
have to write that down. We can still carry that

925
00:44:25,519 --> 00:44:28,239
investment on our books as being worth ten billion, even

926
00:44:28,239 --> 00:44:31,039
though if they've got to if their revenue has declined

927
00:44:31,119 --> 00:44:34,000
thirty percent since they last raised money, they ain't worth

928
00:44:34,079 --> 00:44:38,760
ten billion dollars, right. But because it's private equity, this

929
00:44:39,079 --> 00:44:43,239
is why I was telling people, do not buy any

930
00:44:43,360 --> 00:44:47,239
of these private equity ETFs that are coming out. Blackrock

931
00:44:47,360 --> 00:44:55,280
was launching them. These literally are exit liquidity for institutional investors.

932
00:44:54,960 --> 00:44:56,679
Speaker 5: To pawn this off on the public.

933
00:44:56,880 --> 00:44:59,880
Speaker 4: And that's why we've been like, do not touch the

934
00:45:00,119 --> 00:45:03,440
private equity et apps. They are a roach motel.

935
00:45:03,840 --> 00:45:08,239
Speaker 1: And yet Harvard is long, loaded up, loaded up, long

936
00:45:08,320 --> 00:45:11,920
and thick on this then the debt. So when President

937
00:45:11,960 --> 00:45:13,920
Trump came out and said, hey, you know what, I

938
00:45:14,000 --> 00:45:16,760
might pull your funding, part of me was like, wait, well,

939
00:45:16,760 --> 00:45:19,039
Harvard's got fifty three billion dollars, what do they care?

940
00:45:19,119 --> 00:45:19,880
Speaker 2: I mean, it's you know.

941
00:45:20,280 --> 00:45:22,760
Speaker 1: And so then when I hear this analysis from Acman,

942
00:45:23,159 --> 00:45:25,679
I got to think President Trump knew this because I

943
00:45:25,679 --> 00:45:28,480
could see Trump, because this is this is finance, dude, Trump.

944
00:45:28,679 --> 00:45:30,679
I could see Trump looking at the books, going, you know,

945
00:45:30,800 --> 00:45:33,000
you guys don't get it. They need government. They don't

946
00:45:33,000 --> 00:45:35,760
want to admit it. But without government, they're dead. Without

947
00:45:35,760 --> 00:45:38,679
our grants, they're dead. This is their debt to income ratio,

948
00:45:38,760 --> 00:45:41,199
and this is what their donors know. I mean, apparently

949
00:45:41,199 --> 00:45:43,119
Trump knew this, so this threat is real.

950
00:45:43,920 --> 00:45:46,960
Speaker 4: I Ackman really knows this stuff, so I I have

951
00:45:47,039 --> 00:45:48,000
not looked into Harvard.

952
00:45:48,199 --> 00:45:49,920
Speaker 5: The other thing is he went to Harvard.

953
00:45:49,599 --> 00:45:52,360
Speaker 4: So I mean he's this is this is personal to him,

954
00:45:52,360 --> 00:45:54,719
and he's been He's been on the Harvard case for

955
00:45:54,760 --> 00:45:57,400
a while, so I'm gonna I'm gonna I'm gonna totally

956
00:45:57,440 --> 00:45:58,559
trust his numbers here.

957
00:45:59,239 --> 00:46:00,840
Speaker 5: But part of me is they're going.

958
00:46:02,400 --> 00:46:05,840
Speaker 4: To have an endowment that large and have the government

959
00:46:05,920 --> 00:46:06,880
backing that you have.

960
00:46:08,440 --> 00:46:09,280
Speaker 5: For that debt.

961
00:46:09,639 --> 00:46:11,800
Speaker 4: Why do you even have the debt? Why do you

962
00:46:12,039 --> 00:46:15,599
need debt? The other thing is is you'd expect any

963
00:46:15,679 --> 00:46:19,320
debt to just be completely asset back. So maybe yeah,

964
00:46:19,519 --> 00:46:22,000
Like so, if you told me this on the face

965
00:46:22,000 --> 00:46:24,119
of it, and I'm assuming this isn't the case, or

966
00:46:24,519 --> 00:46:27,280
Ackman wouldn't be talking about it like this, but I

967
00:46:27,320 --> 00:46:30,320
would assume it was a tax advantage strategy. But you

968
00:46:30,320 --> 00:46:32,719
know what, then I'm talking to myself. Now, they're a

969
00:46:32,800 --> 00:46:34,480
five on one C three, so they don't need to

970
00:46:34,519 --> 00:46:35,199
worry about that.

971
00:46:35,679 --> 00:46:36,280
Speaker 5: No, the debt.

972
00:46:36,719 --> 00:46:38,320
Speaker 4: The reason I was thinking that is a lot of

973
00:46:38,360 --> 00:46:42,679
times I've known some very wealthy people, okay, that are

974
00:46:42,679 --> 00:46:46,360
worth billions of dollars, and what they typically do is

975
00:46:46,440 --> 00:46:50,400
they take loans against their money, against their assets, against

976
00:46:50,400 --> 00:46:54,280
their stock portfolios for tax advantages. Right, So a lot

977
00:46:54,320 --> 00:46:56,559
of times they're not spending their own money, they're taking

978
00:46:56,599 --> 00:47:00,400
loans against their securities or their portfolios or whatever. And

979
00:47:00,760 --> 00:47:02,960
at first, blush, you would think that's what happened here

980
00:47:02,960 --> 00:47:04,559
with Harvard. But like I said, they're a five oh

981
00:47:04,599 --> 00:47:06,320
one C three, so they don't have any advantage to

982
00:47:06,320 --> 00:47:07,960
try to take advantage, you know, they don't need to

983
00:47:07,960 --> 00:47:10,760
manipulate things like that on a tax side. So yeah,

984
00:47:10,760 --> 00:47:13,000
they're just racking up debt. And with what Trump's doing,

985
00:47:13,039 --> 00:47:17,280
I love it. I don't understand why in the world

986
00:47:17,719 --> 00:47:20,519
are we when you look at the garbage that Harvard

987
00:47:20,599 --> 00:47:22,559
is spinning out, when you look at the fact that,

988
00:47:22,639 --> 00:47:25,760
in my opinion, Harvard is an enemy of the state. Okay,

989
00:47:26,159 --> 00:47:29,639
now here's the beautiful thing about America. They're free to

990
00:47:29,679 --> 00:47:32,159
be that. I'm not gonna say they can't do that,

991
00:47:32,719 --> 00:47:35,519
but why in the world are we funding it when

992
00:47:35,679 --> 00:47:38,920
they have a fifty five to sixty billion dollar endowment.

993
00:47:39,519 --> 00:47:43,000
It is nuts. And I actually disagree with that one.

994
00:47:43,079 --> 00:47:45,880
I agree with the ethos of what she said, but

995
00:47:45,920 --> 00:47:47,480
the redistribution.

996
00:47:46,840 --> 00:47:48,639
Speaker 1: Of the money from the elites back to the working

997
00:47:48,639 --> 00:47:51,719
class by virtue of investing the trade schools, right. Zach Abraham,

998
00:47:51,800 --> 00:47:54,119
chief investment officer Bulwark Capital Management, was going to say, what.

999
00:47:54,880 --> 00:47:56,559
Speaker 4: Yeah, well, I was going to say, it's not really

1000
00:47:56,559 --> 00:47:59,880
a redistribution, because you're not. It's not money that Harvard

1001
00:48:00,280 --> 00:48:04,599
good point, right, So it's it's it's a reallocation of

1002
00:48:04,639 --> 00:48:07,800
government resources. And when I'm sitting there looking at trade

1003
00:48:07,880 --> 00:48:09,519
I don't even need to look at the financials of

1004
00:48:09,559 --> 00:48:11,760
trade schools. Let me just look at them optically from

1005
00:48:11,800 --> 00:48:14,400
the outside and then look at Harvard with their sixty

1006
00:48:14,440 --> 00:48:18,079
billion dollars in endowment and going, that's our priority, right,

1007
00:48:18,079 --> 00:48:20,880
I mean, we're literally built like I feel like when

1008
00:48:20,920 --> 00:48:22,679
you look at Ivy League, to me, it's like the

1009
00:48:22,840 --> 00:48:27,760
management or we're like we're training the management of you know,

1010
00:48:27,960 --> 00:48:31,840
the next you know, Chinese communist regime or something like that, right,

1011
00:48:31,880 --> 00:48:37,079
she made She made a reference that as well. So, yeah,

1012
00:48:37,119 --> 00:48:39,199
I mean, what are we doing. Why would we be

1013
00:48:39,199 --> 00:48:42,000
granting that we know the anti American drivel that they're

1014
00:48:42,159 --> 00:48:44,360
supporting and doing all that yank they're funding.

1015
00:48:45,400 --> 00:48:47,880
Speaker 1: This is the part that I wish people would recognize.

1016
00:48:48,000 --> 00:48:49,480
I didn't when Trump.

1017
00:48:49,320 --> 00:48:51,159
Speaker 2: Started to do this, I said, Okay, this is awesome.

1018
00:48:51,159 --> 00:48:54,000
Speaker 1: He's going to put pressure on them, bully pulpit, He's

1019
00:48:54,039 --> 00:48:55,800
going to embarrass them. He's going to call them out

1020
00:48:55,840 --> 00:48:59,119
as sponsoring anti Semitism. And they go and give awards,

1021
00:48:59,159 --> 00:49:02,000
financial rewards to two of their employees who block a

1022
00:49:02,079 --> 00:49:05,679
Jewish student from going on campus. They give them awards,

1023
00:49:05,719 --> 00:49:08,280
they give them a shout out at graduation. They're not

1024
00:49:08,440 --> 00:49:11,400
just winking at anti Semitism, they're sponsoring it. They're paying

1025
00:49:11,440 --> 00:49:12,280
for it.

1026
00:49:12,360 --> 00:49:14,360
Speaker 4: They violating the Constitution.

1027
00:49:14,000 --> 00:49:17,360
Speaker 2: Right right, his civil rights and ours with our money.

1028
00:49:17,599 --> 00:49:18,000
Speaker 5: Yeah.

1029
00:49:18,039 --> 00:49:19,960
Speaker 1: So I guess I'm looking at this as someone who

1030
00:49:20,480 --> 00:49:22,679
comments on politics for a living, going.

1031
00:49:22,519 --> 00:49:23,679
Speaker 2: Okay, good bully pulpit.

1032
00:49:23,920 --> 00:49:26,840
Speaker 1: But if actman's right, and I'll take your word for it,

1033
00:49:27,039 --> 00:49:30,119
I mean, if you say he's a solid guy, he's

1034
00:49:30,119 --> 00:49:30,719
a solid guys.

1035
00:49:30,719 --> 00:49:34,159
Speaker 2: I see it Trump could end Harvard. And this to

1036
00:49:34,199 --> 00:49:36,119
me is it's a you know, it's a hunger Games thing.

1037
00:49:36,159 --> 00:49:36,440
I love.

1038
00:49:36,519 --> 00:49:38,440
Speaker 1: It's a pretty radual system that can be brought down

1039
00:49:38,440 --> 00:49:40,880
by just a few berries. Herard must be a pretty

1040
00:49:40,920 --> 00:49:43,679
fragile place if it can be brought down by just

1041
00:49:43,719 --> 00:49:45,800
a couple of words from a president or taking away

1042
00:49:45,840 --> 00:49:48,280
the tax exempt status. So, as I read this, if

1043
00:49:48,320 --> 00:49:51,880
Trump did succeed in yanking the tax exempt status, Harvard

1044
00:49:51,960 --> 00:49:53,280
is done.

1045
00:49:53,519 --> 00:49:56,760
Speaker 4: Well. I don't think it would be done, but I

1046
00:49:56,800 --> 00:49:59,320
think that this iteration of it would be done because

1047
00:49:59,440 --> 00:50:02,519
guess what what would Harvard have to do. They'd have

1048
00:50:02,599 --> 00:50:05,239
to go back to their donors. Well, they've picked a

1049
00:50:05,320 --> 00:50:09,239
lot of their donors off big money people, including Acman,

1050
00:50:09,800 --> 00:50:13,719
and Ackman's got several other stories where he's donated money

1051
00:50:13,719 --> 00:50:17,639
to them and they specifically did exactly what he asked

1052
00:50:17,679 --> 00:50:20,760
them not to do with the fund with his money. Yeah,

1053
00:50:20,800 --> 00:50:24,079
he gave them. He gave them a chunk of stock

1054
00:50:24,239 --> 00:50:28,639
from a company called Koupeng and it was not IPO yet,

1055
00:50:29,079 --> 00:50:32,280
and he was saying, I will give this to you.

1056
00:50:32,360 --> 00:50:34,960
At the time, it was valued at ten ten million,

1057
00:50:35,400 --> 00:50:37,679
because that's what he bought in for but he knew

1058
00:50:37,679 --> 00:50:39,400
what it was going to IPO for, which was like

1059
00:50:39,440 --> 00:50:41,599
eight to ten times that amount, right, and so he

1060
00:50:41,639 --> 00:50:44,679
effectively gave them a hundred million with a ten million

1061
00:50:44,719 --> 00:50:48,480
dollar cost basis. Well, a few months after he did

1062
00:50:48,480 --> 00:50:51,719
the transaction, he finds out about this. Afterwards, they turned

1063
00:50:51,760 --> 00:50:55,480
around and sold it and tost themselves the appreciation of

1064
00:50:55,519 --> 00:50:58,960
all that the company, the company, these people are so

1065
00:50:59,199 --> 00:51:02,440
stupid they turned around and sold it for that same

1066
00:51:02,519 --> 00:51:06,039
price back to Kupeng right before the IPO.

1067
00:51:07,920 --> 00:51:08,679
Speaker 2: This is Harvard.

1068
00:51:09,440 --> 00:51:12,119
Speaker 11: Yeah, and you sit there and you're laughing because you go, hey, guys,

1069
00:51:12,719 --> 00:51:16,119
if a company that's about ready to go public is

1070
00:51:16,159 --> 00:51:19,519
making aggressive tenders offers for its shares on the private market,

1071
00:51:20,159 --> 00:51:21,920
you don't hit that bid, right.

1072
00:51:21,920 --> 00:51:24,480
Speaker 4: And the reason you don't hit that bid is because

1073
00:51:24,880 --> 00:51:28,239
they know that if they want to buy more equity

1074
00:51:28,320 --> 00:51:32,000
outstanding before ipoing, that tells you all you need to know.

1075
00:51:32,360 --> 00:51:34,880
And they did exactly what he asked them not to do,

1076
00:51:35,000 --> 00:51:37,840
sold it and then cost themselves ninety million dollars in

1077
00:51:37,840 --> 00:51:38,360
the process.

1078
00:51:38,400 --> 00:51:41,639
Speaker 1: And that's why we have Zach Abraham, Chief Investment Officer

1079
00:51:41,679 --> 00:51:44,599
board couple of managements. It is Know Your riskpodcast dot

1080
00:51:44,639 --> 00:51:47,320
Com on the show. Thank you for Zach for that.

1081
00:51:47,840 --> 00:51:51,159
I want to wrap up with consumer credits and the

1082
00:51:51,199 --> 00:51:53,840
debt markets here and it's a pretty simple question, and

1083
00:51:53,880 --> 00:51:57,199
I'll ask you this after we talk about consumer well

1084
00:51:57,239 --> 00:52:00,800
not consumer credit, but personal credit being intermingled with business credits.

1085
00:52:01,599 --> 00:52:04,360
Really really, really important that people understand the difference. So

1086
00:52:04,960 --> 00:52:07,639
let me paint the scenario. You built up a small

1087
00:52:07,679 --> 00:52:11,599
to medium sized business. You've got employees, You're busy. If

1088
00:52:11,639 --> 00:52:14,920
your business owner like me, you're doing sixty seventy eighty

1089
00:52:14,920 --> 00:52:17,159
hours on a regular basis. There's days that are twelve

1090
00:52:17,159 --> 00:52:21,000
fourteen hours, you know, the drill. Then there's the business travel.

1091
00:52:21,119 --> 00:52:23,199
Like you know, I've done more this year than I've done.

1092
00:52:23,280 --> 00:52:25,880
I've got another speech coming up, I've got Mexico coming up.

1093
00:52:26,280 --> 00:52:28,480
If you're like Zach, you've got the you know, reports

1094
00:52:28,519 --> 00:52:30,519
you need to fill out, You've got the sec stuff,

1095
00:52:30,840 --> 00:52:33,679
you have your team, so you have this all going

1096
00:52:33,719 --> 00:52:35,519
and somewhere in the back of your mind, you know

1097
00:52:36,119 --> 00:52:40,360
you know that you should have corporate credit. You know that,

1098
00:52:41,559 --> 00:52:44,039
and if you don't, I'm telling you there's a big difference.

1099
00:52:44,679 --> 00:52:46,960
If you don't have actual corporate credit based upon your

1100
00:52:47,000 --> 00:52:51,079
employee identification, number, your EI in everything you're doing at

1101
00:52:51,119 --> 00:52:55,280
your business is actually putting you at risk. Your home,

1102
00:52:56,039 --> 00:52:59,159
your retirement account, your college funds for your kids, all

1103
00:52:59,199 --> 00:53:02,039
of that is at risk if God forbid, you make

1104
00:53:02,079 --> 00:53:06,039
a mistake, something happens, you get sued. Okay, that's you.

1105
00:53:06,039 --> 00:53:08,079
Your bank knows this. They put your name on the

1106
00:53:08,119 --> 00:53:10,880
credit card, in the debit card, but they didn't base

1107
00:53:10,920 --> 00:53:11,840
it upon your EIL.

1108
00:53:12,559 --> 00:53:13,719
Speaker 2: So now if you.

1109
00:53:13,719 --> 00:53:16,559
Speaker 1: Did know that, you still have the sixty to eighty

1110
00:53:16,599 --> 00:53:19,000
hour weeks, you still have the business travel, you still

1111
00:53:19,000 --> 00:53:20,119
have the sec stuff.

1112
00:53:20,159 --> 00:53:21,400
Speaker 2: In Zach's case, in my.

1113
00:53:21,400 --> 00:53:25,199
Speaker 1: Case, you've got the paperwork for advertising affidavits and this

1114
00:53:25,280 --> 00:53:27,559
ad you need to record, and this radio affiliate wants

1115
00:53:27,559 --> 00:53:29,239
you to do a whole bunch of announcements, and it's

1116
00:53:29,239 --> 00:53:32,239
all good stuff. Right when do you have time to

1117
00:53:32,280 --> 00:53:35,320
turn around and then go activate actual corporate credit. This

1118
00:53:35,360 --> 00:53:39,199
is why Zach became a minority investor in Bisible. And

1119
00:53:39,280 --> 00:53:41,360
I realized A nice lady sent me a note saying, man,

1120
00:53:41,400 --> 00:53:43,599
I'm trying to go to a bi What was she saying?

1121
00:53:44,519 --> 00:53:47,880
A bidable or bibbable is bisible b I Z A

1122
00:53:48,039 --> 00:53:50,679
B l E. The website is go Bisible they do

1123
00:53:50,760 --> 00:53:53,920
this seven easy steps. The rest of it you do online.

1124
00:53:53,960 --> 00:53:55,840
It's like two or three things you do online at

1125
00:53:55,880 --> 00:53:58,679
their website. It's gobisible dot com. They give a free

1126
00:53:58,719 --> 00:54:01,199
new obligation console time where you're going to learn things.

1127
00:54:02,320 --> 00:54:04,960
This gets taken care of for you. To me, no brainer.

1128
00:54:05,280 --> 00:54:08,760
I'm a client, now you're a client, No brainer for you, right.

1129
00:54:08,800 --> 00:54:12,280
Speaker 4: Yeah, yeah, and and and literally it's not I became

1130
00:54:12,320 --> 00:54:16,400
an owner because of who runs it is. It started

1131
00:54:16,400 --> 00:54:18,079
and run by a very good friend of mine that

1132
00:54:18,119 --> 00:54:20,960
I trust implicitly. But the other part of that when

1133
00:54:21,039 --> 00:54:24,679
when you understand the value proposition for the price that

1134
00:54:24,719 --> 00:54:28,199
they're putting every if you have not established corporate credit

1135
00:54:28,239 --> 00:54:30,920
on your own, you need to. You are just passing

1136
00:54:31,000 --> 00:54:33,280
up free security and free protection.

1137
00:54:33,400 --> 00:54:35,679
Speaker 5: And it just it's just not a good idea.

1138
00:54:35,880 --> 00:54:36,079
Speaker 3: Yeah.

1139
00:54:36,159 --> 00:54:38,519
Speaker 1: And and Zach was even in that position. I've been

1140
00:54:38,519 --> 00:54:40,679
in a position I'm you know, Bisible's digging me out.

1141
00:54:40,679 --> 00:54:43,840
They're digging Zach out. Uh So it's go bisible dot

1142
00:54:43,880 --> 00:54:45,760
com A B I Z A B l A just

1143
00:54:45,760 --> 00:54:47,760
think biz go bisible dot com.

1144
00:54:48,039 --> 00:54:48,320
Speaker 3: All right.

1145
00:54:48,360 --> 00:54:51,159
Speaker 1: On the consumer side of things, Zach, I'm reading this,

1146
00:54:51,360 --> 00:54:55,639
rejection rates are rising for loans and financing, sheriff applications

1147
00:54:55,679 --> 00:54:58,679
rejected in Februar of each year, and yep, I see

1148
00:54:59,639 --> 00:55:04,280
credit card limits increases, mortgage refinancing being way way up

1149
00:55:04,320 --> 00:55:08,239
in terms of rejection, credit cards, auto loans. I mean,

1150
00:55:08,280 --> 00:55:14,920
it's everything is almost hockey sticked. Is this a correction

1151
00:55:15,599 --> 00:55:17,239
or how alarms should we be to this? And what

1152
00:55:17,239 --> 00:55:20,000
do we do with retirement when we're watching this stuff happen.

1153
00:55:21,199 --> 00:55:25,199
Speaker 4: Well, it's going to be really there's so many cross

1154
00:55:25,239 --> 00:55:28,960
currents and noise right now, because if you were looking

1155
00:55:29,000 --> 00:55:31,920
at things in a normal setting, like let's say you

1156
00:55:31,920 --> 00:55:34,320
know you're running two and a half to three percent deficits,

1157
00:55:35,880 --> 00:55:37,519
I would sit there and say, look, you're going into

1158
00:55:37,559 --> 00:55:42,320
recession right when you're running seven percent deficits, and that

1159
00:55:42,400 --> 00:55:44,880
spending looks like it's going to increase at least marginally.

1160
00:55:46,400 --> 00:55:53,039
It's a much more complicated scenario. Having said that, the

1161
00:55:53,079 --> 00:55:56,480
one thing that I think seems very clear to me

1162
00:55:56,639 --> 00:56:00,960
right now is that regardless of what Trump, because remember,

1163
00:56:02,039 --> 00:56:04,719
if you take all the good stuff that Trump is

1164
00:56:04,760 --> 00:56:08,039
proposing to do in the real economy, those things still

1165
00:56:08,079 --> 00:56:09,960
take time to have an impact.

1166
00:56:10,159 --> 00:56:10,360
Speaker 3: Right.

1167
00:56:10,440 --> 00:56:13,480
Speaker 4: So let's say you passed a really big tax cut

1168
00:56:13,559 --> 00:56:17,320
or whatever. That's great and that can boost that can

1169
00:56:17,360 --> 00:56:20,920
boost you know, animal spirits that can boost people's feeling

1170
00:56:20,920 --> 00:56:23,480
about things or willingness to look at different jobs and

1171
00:56:23,519 --> 00:56:27,159
make different investments. But you're not going to see the

1172
00:56:27,280 --> 00:56:33,679
benefits of it economically speaking, feedback through immediately. And so

1173
00:56:34,599 --> 00:56:36,719
when you when you look at the state of things

1174
00:56:36,840 --> 00:56:40,280
right now and they look really shaky, what it looks

1175
00:56:40,360 --> 00:56:43,880
like is you've got a marketplace full of assets that

1176
00:56:43,920 --> 00:56:46,960
are priced for economic conditions that just don't.

1177
00:56:46,719 --> 00:56:47,920
Speaker 2: Exist right now.

1178
00:56:48,119 --> 00:56:52,480
Speaker 4: And that's the way it feels. Okay, Now, what do

1179
00:56:52,519 --> 00:56:56,360
you do on the investment side, Well, what we think

1180
00:56:56,480 --> 00:57:00,400
you do, and this is typically what you do, is

1181
00:57:00,960 --> 00:57:03,079
there are a lot of places around the world right

1182
00:57:03,119 --> 00:57:07,199
now that are not like us, that are the exact opposite,

1183
00:57:07,239 --> 00:57:10,159
where their markets look like they're bombed out and they've

1184
00:57:10,159 --> 00:57:13,480
gone through a great depression, and the flip side is

1185
00:57:13,480 --> 00:57:16,239
is they're actually starting to ramp up right and they're

1186
00:57:16,239 --> 00:57:22,000
doing better. So you need international diversification for sure, you

1187
00:57:22,079 --> 00:57:29,960
need you need exposure to natural resources inflationary type investments

1188
00:57:30,280 --> 00:57:34,360
because inflation is not going away. I think it's going

1189
00:57:34,400 --> 00:57:38,320
to be something that we're battling periodically for maybe the

1190
00:57:38,360 --> 00:57:40,639
next you know, eight to fifteen years. I would say

1191
00:57:42,079 --> 00:57:44,480
based on historic you know, based you know, and those

1192
00:57:44,480 --> 00:57:46,360
things can change, But based on history, I think that's

1193
00:57:46,400 --> 00:57:48,519
a fair it's kind of a fair guess, fair estimate,

1194
00:57:50,000 --> 00:57:52,079
but what you need to do. And I'm not just

1195
00:57:52,119 --> 00:57:54,039
saying because we you know, I know that there's a

1196
00:57:54,039 --> 00:57:55,599
lot of people that will listen to this, that won't

1197
00:57:55,599 --> 00:57:58,960
ever call us and won't ever become clients. And that's fine,

1198
00:57:59,360 --> 00:58:03,440
but something we're really passionate about. And I gave our

1199
00:58:03,480 --> 00:58:06,119
employees a big Rara speech about this the other day

1200
00:58:06,119 --> 00:58:08,199
where I said, look, guys, we're all in this, defeat

1201
00:58:08,239 --> 00:58:09,960
our families and make a living. But one of the

1202
00:58:10,000 --> 00:58:12,440
reasons we've been successful is we believe in the mission,

1203
00:58:12,480 --> 00:58:14,920
which is we think that a lot of people and

1204
00:58:15,599 --> 00:58:19,239
I think history and data backs this up. We think

1205
00:58:19,239 --> 00:58:23,079
the vast majority of people are invested completely inappropriately and

1206
00:58:23,840 --> 00:58:27,320
diversification has gone out the window. They've become consolidated into

1207
00:58:27,360 --> 00:58:29,280
the same few stocks in the same market.

1208
00:58:29,679 --> 00:58:31,119
Speaker 5: Valuations are ridiculous.

1209
00:58:31,480 --> 00:58:35,079
Speaker 4: And yeah, we think that there's all kinds of ways

1210
00:58:35,119 --> 00:58:37,039
to account for this, but one of the just one

1211
00:58:37,079 --> 00:58:39,079
of the main ones is the United States isn't the

1212
00:58:39,159 --> 00:58:41,440
only game in town, and we don't need to be

1213
00:58:41,519 --> 00:58:45,480
anti US investments. But this is where valuations matter, and

1214
00:58:45,519 --> 00:58:48,119
I think Warren Buffet's built a pretty good track record

1215
00:58:48,119 --> 00:58:51,360
paying attention to fundamentals and valuations, which is is the

1216
00:58:51,400 --> 00:58:53,800
price we're paying for this stock? Does it make sense

1217
00:58:53,800 --> 00:58:56,719
on a financial basis? And when people are paying sixty

1218
00:58:56,760 --> 00:59:00,440
two times earnings for Costco who's growing at five and

1219
00:59:00,480 --> 00:59:05,079
a half percent a year with two point seven percent margins,

1220
00:59:05,559 --> 00:59:07,519
I don't care how much you love the company, that

1221
00:59:07,599 --> 00:59:11,440
investment don't pencil and it's probably gonna have horrific returns

1222
00:59:11,480 --> 00:59:12,599
over the next ten years.

1223
00:59:12,840 --> 00:59:13,000
Speaker 3: Right.

1224
00:59:13,039 --> 00:59:16,400
Speaker 4: It reminds me you remember the days, right Microsoft? Remember

1225
00:59:16,400 --> 00:59:19,400
how everybody was down on Microsoft because for ten years

1226
00:59:19,400 --> 00:59:22,719
the stock went nowhere? Yep, And they're like, oh, Microsoft's

1227
00:59:22,760 --> 00:59:24,880
if you go back and look at that ten year

1228
00:59:24,920 --> 00:59:27,480
period of time, Over that ten year period of time,

1229
00:59:27,800 --> 00:59:32,800
Microsoft crippled their revenue in ten years, that's unbelievable growth.

1230
00:59:33,079 --> 00:59:34,920
Then people go, well, why did the stock go anywhere?

1231
00:59:35,400 --> 00:59:39,320
Because you bought it at one hundred times earnings. It

1232
00:59:39,400 --> 00:59:42,679
needed a decade to grow into that multiple. Okay, you

1233
00:59:42,719 --> 00:59:46,039
were buying cought You were buying Microsoft back then in

1234
00:59:46,119 --> 00:59:49,159
the dot com bubble at one hundred times earnings, and

1235
00:59:49,239 --> 00:59:53,119
Microsoft was growing at thirty percent a year. Today people

1236
00:59:53,159 --> 00:59:56,840
are buying Costco at sixty two times earnings and it's

1237
00:59:56,840 --> 01:00:00,480
only growing at five Like it's You look at.

1238
01:00:00,400 --> 01:00:02,159
Speaker 5: Them and go, well, what do you think is gonna happen?

1239
01:00:02,159 --> 01:00:03,880
I go, I don't think it's gonna happen.

1240
01:00:04,000 --> 01:00:08,320
Speaker 4: I will tell you that over the next indefinite period

1241
01:00:08,320 --> 01:00:12,000
of time eight ten years, Costco is going to dramatically

1242
01:00:12,079 --> 01:00:16,079
underperform the performance. The reason you're still holding Costco right

1243
01:00:16,119 --> 01:00:19,199
now is because of what it's done, not what it's

1244
01:00:19,280 --> 01:00:22,280
gonna do. And I love the company. It's not their fault.

1245
01:00:22,280 --> 01:00:24,119
Speaker 5: The stocks irrationally priced.

1246
01:00:24,239 --> 01:00:26,719
Speaker 4: But you look around the world tod and there's just

1247
01:00:26,880 --> 01:00:30,159
so many and there's opportunities in the US too. The

1248
01:00:30,280 --> 01:00:32,960
problem is is that's not the They're not the five

1249
01:00:33,119 --> 01:00:36,480
or seven that everybody's looking at. So we, like I've

1250
01:00:36,519 --> 01:00:41,519
said before, a you need to rethink things as a

1251
01:00:41,960 --> 01:00:45,239
as a retail investor, and you need to become not

1252
01:00:45,400 --> 01:00:48,679
so US centric, and you need some precious metals exposure,

1253
01:00:49,039 --> 01:00:52,199
and you need the portfolio you have was built for

1254
01:00:52,239 --> 01:00:55,480
a deflationary period of time that work between the age

1255
01:00:55,599 --> 01:00:58,039
the years of nineteen eighty five to twenty twenty five.

1256
01:00:58,559 --> 01:01:00,239
The world we are living in is very print.

1257
01:01:00,280 --> 01:01:01,360
Speaker 5: Your portfolio needs.

1258
01:01:01,159 --> 01:01:03,280
Speaker 2: To mirror that good we've called givel evil will be

1259
01:01:03,400 --> 01:01:05,559
called good. Down is up up, us down? Thank you,

1260
01:01:05,679 --> 01:01:06,440
Zach Abraham.

1261
01:01:06,920 --> 01:01:09,000
Speaker 1: You can go to Know your Risk podcast dot com

1262
01:01:09,079 --> 01:01:11,719
schedule a free now obligation consultation with Sach.

1263
01:01:12,039 --> 01:01:13,239
Speaker 2: This is the Todd Herman Shaw.

1264
01:01:13,280 --> 01:01:16,719
Speaker 1: Please go, be well, be strong, be kind, and just

1265
01:01:16,800 --> 01:01:19,800
go out and walk in every way you can in

1266
01:01:19,840 --> 01:01:21,119
the light of Jesus Christ.