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Monday night, Monday. Happy New Year.

Happy New Year, man, I hope everybody had a happy and safe New Year, brought it in. Have you decided to bring it in and hope, you know, focused on getting to get into it in twenty, twenty one?

It's always the year execution. So let's see. Was about that life as of Friday, early till they jump in here.

Man, it's been it's been a while before we had a chance to get it going.

It's going to be a big show and I can feel it. I feel it. Happy New Year to all the animals that's popular right now. What's going on? To all our new owners, put it on the chart, let me show you are the ones in a chart if you if you brand new Zeya first times your first market Monday. OK, OK. We got some newbie's. Don't worry, we're going to hold your hand to this process.

Chart all our shot of the North Slope. Shatalov, that's all our top earners. He shot to the city of Miami. No shots fired, a shot out of Miami vibes. He was out there, enjoyed ourselves out there. Yes, yeah.

Shot to the. I don't know what they put in a damn. Yo, I saw somebody downtown that was wearing the assets over liabilities shirts. Man, you guys are blowing up. I was like, yo, that was us.

It might have been it might have been us. You never know. You never know.

The shot. Everybody out there, all over the world. We got a lot of love in Miami. A lot of people stopped us show love more than one person. Stop me personally and say that there was a big fan of market Monday's market Monday has become a cult phenomenon. It is a cultural fixture within itself. So shocked everybody out there, shock to my. We had a great time back home, back in New York and ready ready to get to work.

The man made by the people for the people shout that everybody that has told a friend to tell a friend I saw today was nominated for the top business and finance podcast shout on the radio saying that for a long time, no one in the world and now you know the world is on notice, thanks to us.

So we appreciate your wholehearted shout out to our radio. Ernie Elysha has been nominated for the Best Business and finance podcast at the I Heart Radio Podcast. Awards is unfortunate. That is Kawi right now because I'm usually as is in Las Vegas and it's a whole thing. So it's a real award show. Like I said, it's like the Grammys of our podcast. And, you know, it's a very prestigious thing as five other the five podcasts nominated and one of the five and yeah, me, I was that was a good feeling.

So thank you to my heart is always good to be acknowledged for your work. And most importantly, like I said, thank you to all of the supporters and earner's all over the world. You have championed us and that have propelled us to to that feat. It is not is over probably three hundred thousand business podcast. So to be honored as one of the top five and to possibly be the top one out of, you know, close to half a million business podcast in the world.

Very rare. Very rare for networks paid off. Very rare. Anything and everything is possible. That is a big fact.

Kevin Samuels mam was good man.

And that was going on. Brother, my brother. How are you feeling? I'm good. I'm good. You're looking great with that pink on there. And congrats on the nomination. That's that's big boisterous.

Appreciate it. You know, you know what's coming next. Right. Mark, Monday, we're going to have to go now to a big fat Tony Tony me, when I was in Miami, a few people pulled up on me and was like, yeah, I'm a big fan of Mark. Reminds me, I watch every week.

So it crazy shout out to my days, man. Shots of Mark on Mondays. But how how have you been.

I'm good. Enjoy the break. Had a good holidays. Happy to be back. Nervous but I enjoy the time off. I needed it. I needed it so. You know, don't. Oh, yeah, we want to welcome everybody once again, greetings and salutations. Happy New Year. This is the first episode of Season two of Market Monday. Season one. Are we frozen right now? Yeah, we're frozen. Now, you're not frozen, but we're frozen.

Oh, hopefully we don't stay frozen, but yeah, I'll get to it since we're frozen. Hopefully we can fix that. Situation is always an issue. But this is season two of Market Monday's Market Mondays is an investment show. We talk about a wide variety of investments, not just stocks. Obviously, stocks is the thing that we talk about the most, but, you know, personal finance, investing, things of that nature answer questions. And today is a big is a big show for us.

We have a guess where we're going to bring on a little bit of home now. Yes, yes, yes. Tom Alumni shooting episode two. Yeah, child Kizzia Williams. If you don't follow the black upstart, you're doing an awful, tremendous disservice. She's just a rock star in personal finance and business entrepreneurship. She she's one of these superstar entrepreneurs out here. She's just killing it online. She's been on CNBC. She's been on The Wall Street Journal.

She's been all over, all over. So it's going to be fun to have her own good on unmatched.

Yeah, I imagine she's great.

She's a very impressive person.

She started the black dollar campaign around the time. Yeah. And that that made national news that I got on CNBC, all kinds of stuff.

So, you know, it's an honor to have her on just just just an amazing person. The energy is contagious, man. So everybody's in for a treat tonight. For sure. For sure.

But but before we do that, just a quick rundown. What we got going on this week are really big weekend 508 big guy. The guy is killing the game right now. If you're not familiar, Marcus Barny shot to him. Congratulations to him and his wife. They just got married. I'm here.

And a million dollars million dollar wedding.

That's not going to show this crazy PTG. They brought the pink Bentley and then he put a pink Birkin bag. Don't forget the AP.

Did you have a pink appy happen?

A lot of pressure on fellas. Yeah, man. Yeah, yeah. Brian McKnight singing at his wedding. When was that Maxwell supposed to come? Couldn't make it to sing.

I mean, so, so sorry for him.

I love her. That's different. You go to the next one man. He loves her. And that's a fact.

That's a fact. But now he's a good deal. Man, we got a chance to really spend some time with him every time we go to Atlanta. And he is very, very smart, very, very intelligent guy. And he's a very dangerous guy when it comes to credit, leveraging credit to all kinds of tricks with these credit cards. Credit cards. Yeah.

So he's he's that's a big episode for us tomorrow, five o'clock Eastern Standard Time. You YouTube laugh all podcast. Also check that out and we back off while university this week we got the boy Ashkenaz Cash Splash man. He's going to be teaching a class for us on Wednesday. And then we have. You're doing your session. I met the temp. Yup. Breaking bread this Sunday break bread this Sunday. So it's, it's a jam packed session for us so.

Yeah, yeah. We're looking forward to it. And with that being said, we're going to we're going to do so.

So if you knew, if you knew and I know we got some newbies in here s all of that. But we got a disclaimer from the good folks here, Ernie Ilija and the good brother ain't done that. All right. So no one do your own research. Our content is intended to be used and must be used for informational purposes only. It was very important to do your own analysis before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with or independently research and verify any information that you find on our show and wish to rely upon whether for the purpose of making an investment decision or otherwise.

And I told you to do the homework, doing homework.

We let y'all in on a little bit of the homework. We let you all in a little bit more homework we got to do. But do your homework, please. Please. This is a disclaimer from the good folks that annualise and the good brother. He's done that. That's a fact.

All right. End of the floor is yours, brother. Thank you, I appreciate it. Happy New Year to everybody. Let's get to it. Let's get to it. Let's get to it. We're going to go back to slides to start off twenty, twenty one, I can't believe the new year. We're back. No, I was saying 20, 20 happens to me every year. I don't say twenty twenty one until like three weeks in.

When do you stop saying Happy New Year? Happy New Year. So as we. I don't know. I just feel like the vibe has changed. All right, let me know if you can see my screen and we'll get going. That's dope artwork to put it at the home. You already know. OK. I appreciate you guys. I told him I saw a James Bond theme and I want to switch it up. The power thing was dope, but I wanted to make sure we walked our own path.

So, you know, I had to bring out a little surprise, you know, like that.

It's like a magazine cover, you know, a couple fellows that they don't look too bad.

So 2020, we're going to do something different. I'm going to let you guys decide if you want to execute or not. I'm not going to force you, but this is for those who want the greatest return and possibly the greatest year possible to follow up from last year.

These are the three secrets to winning with your money and 20 21.

So let's rock and roll so we can bring our amazing guest or so No. One.

What I want you to do, please write these down. Every spare dollar that you get in twenty one, I want you to put half into the market and half until eliminating debt, if you want to be debt free type debt free and check.

I think all last year we proved what kind of gains are possible.

Tesla said 100 percent. Apple eighty nine percent. We'll talk about a few others that ran up 20 percent.

The misnomer that you can only get seven to 12 percent. That's why we proved that to be wrong.

But this year, I want to go more comprehensive and talk about lifestyle structure and.

Having great gains in the market means nothing if you have a ton of debt and a bunch of bills every time you walk to your mailbox. Number two, this is important for my fellow. Got to avoid lifestyle creep, I say this because interest rates were more than likely rise in 2023. This year will not will not be as sexy as 2020. So it be a little bit more difficult. So we're going to get a chance to see the cream rise to the top and those who can actually invest and trade it will be on display this year.

So you don't need to go get a 14 bedroom house this year. Let's wait. Everyone can do like him. Five hundred.

Listen, you may not be able to get by tonight, maxilla, so, you know, you may not be able to get John Legend say, baby, I love you. Let's put on his playlist and let's not have any stress. And then number three, everyone always asks me, how long does it take for me?

It took me about 18 months. Once I concentrated heavily on it.

I use the Dave Ramsey death snowball, but modified. So every other revenue stream I put 50 to 75 percent into paying off my debt. If you only have one source of income, it can take you anywhere from two to three years.

If you have more than one, it can take you 12 months if you really bust your ass and put all your extra money into it. I know when covid clears, everybody wants to go to Plier. Everyone wants to go to loan.

Great. Hold off until you get debt free the. This quote from John Templeton is probably one of the most important happiness comes from spiritual wealth and not material. And when I was broke, I used to think to myself, like, oh, give me the money and then I'll find a way to be happy. But we tried to put this on display week after week. Last year, I was happiest given to others last year. Very rarely do I even talk about my personal accomplishments.

Last year it was I was happy to give to those who need it or wanted it.

So I'm begging you to write this down. I need you to find a way to give to 10 people every week for 52 weeks this year and watch how the blessings multiply in your life. This is not some theoretical Rubio or some church thing. This is something I've actually done has had a tremendous impact on my life. Unless you're something you beat up on things like that, all you cover stocks and long term investing, but this is what I call the freedom satellite.

So this is the beginner's version. And once we go to week 16, I'm going to give you the full blueprint. But this is your freedom satellite. These are the things that you need in place to actually have financial freedom.

So, number one, you need a business you pick now in your industry.

You need to see what the probability of hitting a million or multi million dollars is in your business.

We don't want to walk by hope. We want to walk into the data and know what's possible. Number two, stocks, we talked about that forever. We know why. Real estate, so I said this before, is not a gang war. It's both. It's not stocks or real estate is both. We talked about it two weeks ago, life insurance for what you invest and the bang for your buck that you get life insurance is a great addition to your satellite and portfolio.

This is a big one I want to touch on. I talked about it in the sniper room earlier, but having a job don't let people on Instagram and social media tell you that working is bad for the average entrepreneur makes less than 30000 a year. We all have a friend that is excuse me, had a business for eight years and he hasn't won anywhere. But he's like, man, I can't believe you work for somebody else.

And meanwhile, they're not able to provide for them. So there have been more millionaires made from stock options inside of companies than there have been actual entrepreneurs that have went on to make a million. So don't let people not my my mom used to tell me some beats none. Right. So if you have money coming in, it's what you do with it that would help catapult you.

And then once you actually get into this business, we'll talk about this week, eight. You need twenty four streams of revenue in your business. Now, when we talked about a two or three weeks ago, people were shocked because you often heard seven was the number. I've been to enough conferences. Wherever I brought up that number, people laughed.

But I want to walk you to an illustration of what corporations do. Don't follow what I say. Follow with the top 10 companies throughout the world.

So these are the fundamentals that matter at this to the fundamentals when you are evaluating a company. This is key. How many customers are in their ecosystem? So Apple has one point five billion active devices caught in last year, T-Mobile actively has 98 million customers paying every month. Microsoft has 75, Netflix 73, Disney plus eighty six point eight.

They're projected to go to 260 million by the end of this year. The only weakness with Disney, plus, they don't have any amazing content.

They're living off old content, but if they can find a way to create more content without going into debt like Netflix, they can have a powerful business. So a key point I want you to write this down, companies with a subscriber base of 70 million to 100 million is a sweet spot to invest in your homework for tonight. Make a list of 10 of those companies and select the three that you want to invest in. Really quick go, I don't like you don't like the Mandalorian, this is the last episode was amazing, but it's one of those things where it's like.

It's very niche, it's very it's kind of like Kid Cudi, like Kid Cudi spawned a wave.

But not everyone is like, Yo, you heard the new cutie. But if Kanye does it, Kanye would be Apple or T-Mobile or Netflix in comparison.

Now, these are incredible. That's a good one.

I try I try to spot a point that needs to be struck home for the fellas. You can either buy and hold for freedom or you can choose to be selfish. Fellows, I'm going to talk to us more aggressively this year. And I might tell you some of the things that I wish that I was told earlier. The number one reason that people don't hold for 10 to 30 years because you don't give a damn about who is in your life or who is in your family and you're not looking to secure their future.

At some point, fellas, we've got to have some private talks about hedging and relationships and but the thing that I see is amongst the men that love their kids and love their family, they all have put something away.

For the men that have had the misfortune of dealing with the wrong type of person or having a child and being divorced with the wrong type of person, they are a lot more hesitant for generations at cash and carry kitchens.

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And whenever I talk to them in the ones who really love their kids, it was not even a question if they have money put away. So we won't do this in a public forum.

But in the private phone, we have to talk about some strategies to mitigate, even if you are in a tumultuous situation in your household, if you got in before the crash last year, it only took you three months to recover, thank God to quantitative easing and all the Robinho traders and all of us that were new in the market to help prop some of these things up.

And if you bought at the absolute high before the world shut down, it only took you six months to recover. Six months. And we talked about it before post-World War two and a recession on average. It takes 17 months to recover, which is not a long time when you're in the middle of that storm and it feels like hell on earth. But I want to re-emphasize these points. So if we enter another, because today the market slid out and everyone was panicking, I'm like, Nasdaq hit an all time high before the open.

What did you think it was going to do?

Once again, if I score fifty two and a garden the next game, I'm probably I'm going to go back to my baseline average and the people who kept waiting and kept saying, well, in another month I'll invest. They missed out on one of the greatest rallies in history. So I need you to know once the market drops 30 to 50 percent, I usually goes up one hundred to one hundred and thirteen percent.

In four years of indexing alone, technology usually is five hundred percent to a thousand percent return. These are the three sleepers that I wish I called in 2020, this first of all, you need to write down Domino's Pizza. We've talked about it. I wish I would have called it in March so I could have patted myself on the back. But I think I did with tussling over the last 10 or 11 years, Domino's is up fifty seven hundred percent.

Fifty seven hundred percent number to Overstock, Overstock is going to slide back down this year, but there was a nice return of five hundred and seventy percent. Seventy six percent. And Novavax is a sleeper.

I don't think Novavax is good now and maybe would be charge time next week for sure. But ten thousand and last year Novavax would have gross you two hundred and eighty grand.

I can't lie.

I have some Fumo for that. I really do. This is my personal blueprint for 2020, for my entire theme of this year is going to be no talking or executing somebody straight to the point on every episode. And I want you to execute if you choose to. For me, I'm personally going to go through 200 pages a day, go through my research stack. I'm going to go through the weekly review of the top 100 companies on my list.

So write this down, because if you want a competitive edge, this is what I'm doing to get it. I'm going to research every single stock and all markets are international markets and domestic. And ninety days I'm going to mark off the Bizos for every company. Markoff, which ones are winners and losers and block out all the noise. This point right here is the most important block out all the noise, I'm going to be real. Most financial outlets have turned into Worldstar or chatroom.

Kudos to the good people. I love you.

Right, but. Not a lot of information is given to help you catapult to the next level.

A lot of it is to keep your attention in eyeballs glued to their page for ad revenue. And then my final assignment to discover what the top three investments are for the year.

So screenshot that because it's my personal blueprint.

So if I'm a little bit quieter this year, I'm getting back in the trenches in the laboratory so I can put some enhancements on a crystal ball. This is one of the most popular posts and caused some controversy.

But I originally posted this in twenty eighteen in December and posted it again in the fire.

But I'm not putting this to cause you to be stressed or depressed. I'm doing it to give you context. So when you first get your first hundred grand, what is liquid, partially liquid or all tied up once you have kids in a family, that's not real money, right? So let's take me out of it and let's look at the data. Kudos to Joshua. In order to be considered rich, according to the 2019 survey, you need at least two point three to be wealthy.

That's to have a cushion. So whether it's liquid real estate, a combination of both.

That's how much this is the metric for where we are. Right. So. The first goal you want to get to is 10 grand, after that, you want to get to 50. The third milestone is 100.

After that, you have to be pushing to get to the million dollar mark in combination of all assets that you have underneath your portfolio before you actually, if you have kids, be able to breathe.

And the true way to know if you have more than enough money, you need to multiply whatever your bills are and multiply those times 10 years, and that'll tell you how much room you need for cushion to be stable. The top performing assets of 20 tons of silver took the lead, a draw down 34 percent at one point and went up one hundred twenty seven. I know everybody was so happy about gold. Gold had a lower drawdown, but also had a lower return than small cap.

Stocks took off like crazy and then crude had a nice bounce off of that low that happened.

But if you look at the bond market, the bond market is a hedge. Didn't draw down that much. But it didn't grow that much, right, so a lot of you were asking about how to include bars into it is not going to give you the best game, is going to give you a decent a decent hedge, however, so we can see the returns here. If you want to screenshot this silver, 47 percent SmallCap was 18 percent.

Canadian stocks, 2.8. Corporate bonds, nine point seven. Once again, to tech to index a very simple formula, tech performed the best in 20 20 hands down. So you can see information technology on average was that 89 percent consumer discretionary second. Third was communication. This mix will not change. I know some of you are wondering what engine energy turn around in 20, 21 or 22.

They're going to be at the bottom of the barrel. Financials may bump up this year more so probably in twenty twenty three if interest rates go up. But until then, tech will be the dominant leader.

Now, let's look at currencies. The Swiss franc only drew down two point one percent, so it only lost two point one percent of its value. I want you to go look at the correlation for how they handle covid versus other countries. And the Chinese want only lost two point nine percent. So the Australian dollar lost more, twenty one point five, and it rebounded well. But we want to put our money into things that have lower draw down.

Big gains are great, but not everyone is able to sit through a drawdown of 50 percent or 45 percent. The first thing you need to look at any asset is what's the highest drawdown over a 10 year period that asset has. That will tell you how much safety you have in it. The biggest one is a 20 20 Novavax. I don't think it will be that great this year, but I had a hell of a run. Tassell, of course, test is going to be to the moon Moderna solecism.

Of course, Bitcoin on Overshot is happy because he didn't sell out his coins and that was a bunch of apples. And I think that the stock thing is done, even though there's maybe one or two companies that have done a decent job with them. And the biggest losers, Carnivàle, I hope they're able to rebound because if not, there's a lot of people that are going to lose their jobs and never be able to recover energy stocks, Air Canada crew and then the Footsie.

One hundred. So a lot of you are looking for international exposure. I could argue that Silicon Valley has the best talent. From most nations that have been drafted here, the international exposure that you need for most global corporations are going to be domestic based.

So I need you to type and chat, what is the return you want to get this year? Because this year is not going to be like last. So the probability of getting one hundred percent return in a year is going to be a lot lower. I want you to set the baseline for what you want to get in terms of return and be happy with that.

Anything above that is extra for those you started last year. I'm sorry, you're not going to get 60 percent on accident this year. You'll be able to squeeze out 25.

You came in at a great time. But I want us to be realistic. We're going to be more on the tech side, maybe 20 to 20 percent opposed to 60 and 70. And chart time, so every week I'm going to go over the same and I was going to give a new. Way to get into the market. I'm actually a lot of Helensvale using the 200 day moving average. I asked him again why?

Can you explain it? Because some people might be new. This might be their first time ever. Watch the market Monday. Can you just explain what the 200 day moving average is?

It takes the last 200 days of collection of data and then it marks off on this line where the average is so.

If you're looking for an easy and simple way to consistently and this is Microsoft and I went down today, so if you look at a daily chart, depending on what time horizon you look over, Microsoft came down exactly to the spot and bounced up. You can see the high a few days prior was to. This is around 213. Give it about four or five weeks.

So for those of you who are like, hey, you guys never tell us how to get getting in, even though we gave five ways last year, I'm going to focus on the 200 day moving average.

And this is also a place where you can start to load a note about this is where a lot of technicians, prop firms, hedge funds, fund to fund managers are looking to get in.

So it's a universally respected indicator because it's not new, because it's not sexy.

And only nine people in Nova Scotia know about it. And then somebody from Atlanta flew back and dropped it to everybody in Midtown is not valued as much.

But you need a system that's super easy that you can use over and over again, and it's an easy way to buy.

So when we drop down and this is only for quality companies, only for quality. So if you find some peace, hey, it doesn't apply to it because it's going to burn through the 200.

But a good company is going to come down around this area, maybe float a little bit lower and three or four weeks start to go up.

This is the perfect investment plan for 20 21, write this down and I can hear you all on YouTube on a replay. For long term positions for the year. I'm going to be real. I've talked to at least six or seven hundred people that missed out on some great companies because they were switching companies like Tesla and get out of it and I'm a get in. I'll I'm not mad at it. But whatever you pick, I want you to marry the positions that you have.

Type of chat, Mary, the positions. Now, if you're wrong and a company is no good. Or the thesis changes great, but if you have a great company, hold onto it, hold on to it. Like I said, it's like having a star basketball player. I'm not trading Michael Jordan for anything. Do not care. Do not care. No. To 12 swing trades on the year. So whether the future's any other assets or derivatives, I want you to take this one per month, you should know what the gains that will come from that.

And then for short term investing, I want you to do 24. This is not apply to the snipers or anybody in Alpha before everyone else. If you're looking at futures, you can do twenty four trades and hit a ridiculous return and be OK. OK.

Key point here. I only want you to take trades that you know will not lose. And here's how to know if it won't lose.

If you have to ask someone hey man HRO you think if I get in right here, if I have to ask is not good.

Your intuition is already telling you. And then also when you take a Saturday and go through the entire market. Map out where you want to get in those same bars zones on a macro level, once you pare down to your intraday time frames, they're going to line up and you're going to have a chance to take straight there as well and be OK. These are the top 10 lessons to improve your performance for trading, number one, and keep your losses small, your wins should be 10 times bigger than your losses.

Easy risk reward, you want to risk one to make 10. Number two, don't chase them off. If you miss it, let it go. Kudos to the snipers. You've seen me do this. Send attacks my move and be frustrated as hell. I get it. But once you if you want to get into a position, let's say at 244 bucks, once it goes to 245. If you're trading it, don't touch it. Don't get distracted, miss an excellent set.

Do not trade against the market. The market can eat can only go north or south. Even with range bound people like, oh, but we're ranging and we're consolidating, man, the move is either slow down because it's going to explode to the upside or downside. That's why they will slow down. OK, and then we saw it took off like crazy. There is buildup. I need you to know this. When the market is constricting or getting tight, that is the time to set up your moves on a large.

So if you're looking at a day chart or something higher, a breakout move is going to come. Have the patience to wait three or four weeks worth of breaking your favor. Everyone's talking about financial freedom. But you can't wait four to five weeks, you're trying to flip, don't flip the money would be there. Do not trade when the volume is low. I'm begging you, you're going to get your head chopped off, your account cut in half and maybe margin call.

Wait until volume is at a peak so your orders can get filled. You can get exits on your trades if you have a predetermined area that you want to get out.

And then that way you won't be sitting in a loss potentially for three or four hours either. And then do not trade overtreat under any circumstances. If your plan is to take 24 of the year, take twenty four seven. Do not increase your position, size or dollar amount and the trade to try to recover.

So let's say you were trading 20 contracts on futures and you lost seven grand. I do not want you to go trade 40 contracts to try and make up for it because you already got the direction wrong. So if you wrecked a Camry, I can't put you in a Ferrari and then let you wreck that as well. Come back. True, the same size, and if you're doing a one to terrorists reward ratio, you don't need them and he tries to recover the loss and be back in profit.

No, this is key. Do not micromanage traits. Let them run once you secure a profit. So if you get in a trade and let's say you're up 10 percent and you lock in two percent, let it run. If your target is 40 percent, let it go there. A lot of you are self sabotaging and we all do it and it takes time to get over it. But a lot of people are self sabotaging and cutting off winners when you could have let certain stocks or trades run up 30, 40, 50, 80 percent last year and you cut them off at 10 percent, know what your exit is before you enter the trade?

Number nine, do not try to do in a bad mood. If you got into an argument with your kids and you make them breakfast and they spill juice and use all of your keyboard, don't treat the day I'm telling you got into a fight with your significant other. Don't do it at number 10. This is the most important. Do not trade unless you know what your statistical edge is in the market. You should know your win percentage or profit factor, the best time to trade and the best asset that you treat once again, your win percentage, your profit factor, the asset that you trade the best and what time of day you trade it best.

This is an off emotion. This has to be hard data. And I said, and if you guys go to the site, I'll send you a list of twenty books that you should read for this year. But I'm going to be reading and I want you guys to make the decision tonight if you're going to execute or not.

I love you guys. Appreciate that, brother. That was great until the last minute, that was a. Great, great, great presentation. Great presentation. I was a lot of information and a good thing or mark my day is that, you know, you can go back and watch it when he's watching on YouTube or you're listening to it on a podcast. Make sure you subscribe to Market Mondays, are all podcast outlets and leave a review and stone and five star comment.

A five star rating helps the car to buy. Yeah. So, you know, sometimes you might not be able to catch all information. All the Jim's right away, so, you know, use it as a reference sheet and go back and listen to it and watch it a few times. And, you know, you might have you might have missed something. That was a game I did. I lost the game. Like everything you're talking about, that's the game.

Like when you're talking about the prizes constricting, like you can see that, right.

So, like, if you have your 200 day on, you got the biologies bans on.

You can see the like. It's contracting, right? Yes. How to be a breakout at some point we're going to keep you.

It's because we got some newbies in here. So we're going to break it down into a very beginner friendly manner so everybody can understand what we what we talk about right now. Cha cha cha. I'm going to be fine.

Fine. But what we should do a special, like bonus episode for the podcast listeners.

Yeah, let's do that. Yeah, for sure. All right. Let's bring in our esteemed. Yes. Prestigious, the prestigious one. Oh, yeah, shot by that game of Supachai shot to take a shot at me. Sorry about that, but I was trying to link in Miami, he was just running around like crazy. He played me to make him want to get out.

You know how it is going out of town on this tough shot?

The truth. Jones youngest in charge, the young legend himself, shot John John Palmer. Hey, how are you doing?

Are you muted? You've got to let me let me do the honors. Please amuse yourself because you amuse yourself. You've been unmuted. Oh, hey, I got nine, I was good for a minute, just hit the hit the you. Now, you still muted him, don't don't feel that you know, can you hear me? Hallelujah. Happy New Year. Twenty one. It's so good to see your faces, I'm sure.

Likewise. Likewise. Wow. How have you been?

I've been so good. Can I just start out by saying I love Ian's voice? It reminds me of quiet storm. I never quite saw him on the radio.

The station voice. Thank you. I was like, yo, I put you in a mood to listen.

I was out of the air for the wonderful voice. I don't I don't have a quite a strong voice as you want to get right to it.

Troy was settled in Miami Flexin with the Roundy's.

I see your cool go. That's another type. Another topic.

You know, I'm watching you. I was like put in my basket and while my paper before I ran out of gas and everything.

Urn please. Yeah. Yeah.

Congratulations on all of your success.

Oh yeah. Thank you for being a part of that. Yeah. To talk to Tom. You are alumni.

You know, as I said, I gave the introduction earlier, but I'm just a superstar rock star. And you know, the good thing, I was all people to get there I like about you is that you're you're like a very commonsense person when people understand sometimes and business people get too complex and it gets old, it goes over people's head. But you have a unique ability to not only, you know, bring enthusiasm, but to actually break it down and, you know, talk about stuff that everyday people can relate to and break down how everyday people can can make money.

And it's not just for rich and wealthy people. So I would like to jump right into it. That's OK. I'm writing the stimulus. The stimulus is a shot. Everybody on YouTube, if you could like the video, we would greatly appreciate it. Sixty two hundred people. The stimulus is something that is a hot topic right now, right? Oh, absolutely.

They started they started sending some stocks. I think some people got.

Yes. Some of the six hundred dollar checks posted today. My grandma called me at 6:00 a.m. this morning and let it be known that she was going call me back at 10 AM.

If you didn't post to grandma, shout out to Granny.

So, yeah.

So a lot of people, you know, they got some money and they may not necessarily, you know, need it in that regard. As far as you know, if you if you have a job or if you're working, there's extra money like a bonus. Right. So some people are thinking about, you know, investing the money or doing something constructive, paying off debt, putting in savings or putting in their kid's college savings plan. You have any tips or any ideas for people that are getting stimulus money?

Well, first, I think we should maybe talk about like the six hundred dollars, because there's been so many questions about, hey, do I get this stimulus package or the stimulus check? It's a six hundred dollars going to post to my accounts as stimulus number two mandates, you must have an adjusted gross income of seventy five thousand dollars if you're single. One hundred and fifty thousand dollars if you're married and one hundred and twelve thousand about that. If you're head of household, if you make anything more than that, the amount of stimulus will decrease according to whatever that number is.

So sixty if you're making seventy five thousand dollars and you're single, that can go up to eighty seven thousand dollars before you get no check. So if you have any elderly like my granny, she's on Social Security, going to get a stimulus check. If you have any cousins, uncles, aunts, friends who are currently incarcerated, guess what? They're on the list to get a stimulus check. If you have kids, that's six hundred dollars per child living in your household that you can qualify for.

So I wanted to make sure that people were they were aware of how they qualify now, how they send the stimulus checks. They're going to look at your twenty nineteen tax filing and they're going to determine what your AGI is, which we're talking about your adjusted gross income. And they're going to make the determination that way. If you receive the check the first time and you have not amended your taxes now, you can expect to receive the check again if it has not changed.

OK, I see a couple of comments where folks are talking about what if I got pregnant? I was busy during the you know, during the quarantine, during and socially decision day was coming. And obviously when I got pregnant, I have a baby. You can amend your tax filing. So it's a ten forty X form. So you can amend that in order to update it and say that you now have a new dependents.

OK, so that's about. The six hundred dollar stimulus. Now, one of the things that I have been talking about, guys, is that I do believe, and I'm sure you all agree, that the tax code was set up for owners to win and I believe employees to pay for. A lot of people are really upset about this. Six hundred dollars. I mean, I saw many people flipping over tables, Tolleson here and said, I'm just upset.

Right, because you have millionaire people in Congress making these decisions about money that people need right now, today. And what I've been telling folks is that. Six hundred dollars. Yes. Is the stimulus check, but there's also tens of thousands of dollars that may be available to entrepreneurs with the economic injury disaster loan, cash advance, with the paycheck protection program and with the twenty five billion dollars that have been allocated to be awarded to community development financial institutions.

So I hope we get some time tonight to talk about that money, because I believe that money is the money that a lot of business owners, especially black business owners, unapologetically need to pursue.

Let's talk about that that right now. Actually, I'm glad you I'm glad you talked about that, because somebody had asked me today, like, they like I make two hundred thousand dollars, am I going to receive a stimulus check? And I'm like, I know. I'm not really sure I'll look into it. So, yeah, let's let's talk about. But before we talk about that, is there a cap on? If you make too much money, you don't get the stimulus.

Yeah, so it's seventy five thousand going all the way up to eighty seven thousand. You don't get a stimulus check, but for those folks who are balling out of control, you sound make. I made one hundred and fifty thousand dollars this year. The first thing I'm going to ask you is do you want a business? I believe that every black person, especially even if you don't want to be an entrepreneur, should be a business owner because of the tax code that we just discussed.

Why? Because the adjusted gross income, the AGI is based off of your income after deductions. So personally, I will be asking, did you donate to charity? But from the business perspective, the specific question that I would be asking is what deductions have you taken from your business that reduced your taxable income to the point where your your adjusted gross income was seventy five thousand dollars? There's a lot of folks that may have made two hundred and fifty thousand dollars.

Perhaps they had a business that did very well when they listed their deductions. So that reduced that income down to seventy five thousand dollars, thus qualifying them. So for business owners especially, let's talk about one that we know that's going to be kicked out in a couple of days.

Yarl's, President Donald Trump, that's how he legally or illegally I don't know your political position ends up paying less than a thousand dollars in taxes because his accounts are looking for the deductions. They're looking for the losses to reduce that taxable income. So if you make two hundred thousand dollars and you didn't own a business and you didn't your standard deduction or any other tax deductions that you took didn't reduce that liability, then? No, you wouldn't qualify for a stimulus check.

Now we can talk about the business. We can definitely go there. The first thing that we could talk about is economic injury, disaster loans, cash advance. And I am a huge proponent of doing research. I know that some of this terminology can be a little confusing because when you say cash advance, you know, the first thing we think about is, oh, somebody is advancing cash and what do we have to do?

Guys back pay it back. What did the economic injury disaster loans, the economic injury, disaster loans, cash advance is equivalent to a grant. And so much as it's equal to ten thousand dollars that you don't have to pay back if it if in the event they approve the advance. And so a lot of folks, the first round saw cash advance and disqualified themselves from the opportunity it might have been available to them. So I think that the first thing we should talk about is those folks who apply for the ideal.

The first time they saw cash in advance and they were like, Huldah, I did my research right. We don't want to swim in an ocean of knowledge and drown in ignorance. So they pulled up the paperwork, they read it and they saw the cash advance was equivalent to a grant they applied. And after they applied, guidance was issued that stated that they didn't get the full ten thousand cash advance the first time. Instead they were allocating one thousand dollars per employee.

OK, so if you have three employees, that was three thousand dollars. If you had some employees, that was two thousand dollars, you didn't get the full ten thousand dollars. What's good about this second stimulus is in that five thousand five hundred page bill. I know because I got to a few hundred and get through a few thousand. I went to business and I went to six times a little bit of what's going on over there and over there.

But it's said that they mandated that when that guidance was issued that it was incorrect insomuch as it violated the provisions of stimulus number one. So for stimulus number two, as it's written now, if you qualify for the ten thousand dollars cash advance grant the first time and receive fewer than ten thousand dollars for your business, guess what? That will square out. Hello. OK, I'm on. The one is excited about it because I got three thousand so I'm looking for my seven thousand dollars.

They are going to square up and make that hole and it doesn't require any additional requirements. Not sure about application submission if you qualify for the first time. So I've received a lot of questions about folks that said, OK, I'm seeing that they're saying they're going to pay the difference. The answer is yes, but we're still waiting on that guidance. OK, so let's talk about number two. Not unless there's any questions.

I actually have a question for stimulus bill, too, because there's a group that was kind of left out the first time around. You know, you have college students. Seventeen to twenty three. Right. So if they were under 17, then you weren't qualified. I'm wondering if this time around, is there anything in that in the bill that any type of loophole for college students? Because typically 17, 18, you're on your own at college, but when you come back home from school, you're living with your parents most of the times and those people were left out.

Is there anything in the stimulus bill this time around that that can help the college student?

So it's depending on if they're being claimed as it depend. Right now, what I've read is that if you're 17 and under, you can be claimed by your parents as independent and thus disqualify you from this stimulus check. But in regard to being a college student and starting a business again, access to IDL or being a college student and getting access to the stimulus check. My question to that college student would be, did you file taxes? And if you did file taxes and at that point, I would say probably not, because your paperwork is not on file with the federal government and therefore they cannot determine what your adjusted gross income could be even more.

OK, one group for the economic injury disaster loan round so that I want to be especially vigilant about applying for the second round of stimulus if businesses that are sole proprietor. So that means you're doing business, but you have not registered with the state, limited liability companies, limited liability partnerships if you are independent contractors. So those are the entrepreneurial people who have worked for for over who have worked for GrubHub, who have worked for is the car. And you've lost some income as an independent contractor.

I'm talking will be talking to you. OK, so if you're non-profit organization, clergy, most clergy, you have Fabin Wannsee three. That's what your churches is organized under. OK, so private non-profit entities, not for stimulus number two, there are different requirements. You must have less than three hundred employees and four black entrepreneurs. That's most of y'all, because currently there are two point five six million black entrepreneurs, but only one hundred and nine thousand of them, according to the last stimulus, have an employer.

So that means a vast majority, over 90 percent of black entrepreneurs right now are the only people owning and operating their business. And you have no employees. So if that's you, I'm talking to you less than 300 employees. The second thing is the business must have been started by January 20, 20. OK, so January 20, 20, you must have started to operate your business. If you have an LLC and you file in October, October 20, October 20, 20, I love you.

Don't qualify for this business if you start operating your business on Christmas, December 25th, when you was watching CNN and trying to see if you're trying to see if President Trump was on sign that bill, God forgive, we all have a back room that is the end of the year.

Don't qualify.

But January 30, first twenty twenty. OK, January twenty twenty. If you started your business, this qualifies for you. OK, I'll talk about those businesses that were started later on in a year later on in this conversation. And then finally, this wasn't a provision in the first stimulus, but your business must be operating in an area that has a 20 percent or higher poverty rate. OK, how do you know if you're living in an area with a 20 percent or higher poverty rate?

According to the stimulus bill, they are recommending that you go to the US Census. So census that I believe and that you go and you look putting your zip code put in a city where you're owning and operating and see if that poverty rate is below or sees me above 20 percent. So Newark, New Jersey is one. Richmond, Virginia, where I live on the site. That's one. So. Twenty percent. So you want to see if your business is operating in that realm?

They're trying to get money in the hands of businesses that will stay open and continue to serve these communities. But most importantly, they're trying to get hands on the business money in the hands of businesses during the first round. We're competing with small businesses like Shiksha. Our small businesses like Ruth Grace or if you watch the NBA, which I don't know you have, I'm watching a couple of years that the stimulus package, but they were competing with the mom and pop shops that were truly small and micro businesses that shouldn't have to compete with companies that are publicly traded and have strong cash flows, have strong balance statements.

So they're trying to square up and make that right. So that's the ten thousand dollar cash advance, which is a loan. The application is not available yet. So you can go on to the SBA dot gov website and I want you to continue checking for that application. You can when you apply for the application, I want folks to know, OK, that when you apply for the cash advance grant, you're also applying for a loan. All right.

So there's a ten thousand dollar cash advance that you do not have to pay back. That is also not taxed. But when you submit the application, you're also applying for a loan. You could get approved for the cash advance. You could get denied for the loan. That's OK. You can still keep the cash advance. You can be approved for the cash advance will be wired to your account. OK, you can also get approved for the loan.

You can decline the loan and still keep the cash in advance. So for business owners, this is a benefit that's available to you. That's essentially cash in hand.

OK, what question for you for business owners that may be afraid when they receive this money, what do you recommend that they do with it so that they can keep their business afloat or possibly thrive during this economic downturn?

So most businesses are happy to pivot during this time. I mean, look, while they were they were very gritty city.

They were better at doing it, you know, doing it out came D.C. have 500 people in a row. Right. Last time we talked all the time before that, I was sitting in a room sandwiched between Don and Troy, you know, having a conversation. And now we pulled up digital. Right. Like Rashad and Troy. I got the nice little setup in the back. You know that all of that is represented a pivot, which means that business owners during this time, during this pandemic, had to figure out a way to change your business operations in such a way that they met their economic need.

But we know that when you change the direction of your business, it cost you right. It cost you it's going to cost you capital in order to acquire new resources, in order to pivot all your marketing and so that ten thousand dollars can be used to fund that pivot to keep your doors open. Let's say that you're operating your business, but the profit doesn't look the same as it did in twenty nineteen. You could take that ten thousand dollar cash advance and you could supplement whatever that gap is like.

We know that there are entrepreneurs out there, specifically black entrepreneurs out there that were already working nine to five jobs. Whether their paycheck was separate and unequal, their entrepreneurial endeavor was a gap that they needed to fill in terms of pay. So when the pandemic hit, let's say you were hit with a furlough, you were hit with a layoff or you were hit with pay that was cut and your entrepreneurial endeavor, your business was in the middle of a pivot.

This ten thousand dollar grant is meant to help you figure out a way to keep your business doors open with black business owners. Forty two percent, a little over forty one percent projected to go out of business by this year to ten thousand dollar cash. Grant can mean the difference between open door, closed doors.

What do you think the biggest reason that a lot of those businesses are going under? Because I know a lot of business owners don't go in and look at the numbers or data to see what's possible. But from your experience, what are some of the biggest downfalls you're seeing when people are picking a business or picking a business model to operate under?

Well, I think it's important that you find the economic need. I think the biggest challenge there's a couple of challenges. I would speak to black entrepreneurs right now because I'm one we are four black entrepreneurs. I think the first thing that we needed to realize is that in twenty, twenty and also in twenty twenty one, we may have entered twenty twenty one with one point. Right. February and March hit in twenty twenty when a pandemic was first getting started and things had to change.

And a lot of people held tight to the plan that they made at the end of twenty nineteen. Not realizing that as things changed, a plan may change, but the purpose remains the same. I think that black entrepreneurs, entrepreneurs specifically need to realize what the purpose is, the purpose that you're serving, but they're separate that from the plan that you need to orchestrate. Secondly, I think it's important that you find an economic need. Specifically, what are people paying right now?

Like what products or services are they paying in order to meet a pain point? Like there's a reason why Teladoc is taking off. People are going into. The wanted to the medical offices like they were before, right, so they're taking appointments at home for restaurants, you can't serve people inside of their shop or inside of their restaurant. They had to open doors outside during the summer in order to supplement income that's serving an economic need. The needs of your customer changed.

So that means that your business function also had to change. So I think that that's one of the issues that we experience, is finding the need and filling it. And I think the second thing is, is that we need to, especially as a people, be willing to to buy from black owned businesses unapologetically. There is one point three trillion dollars flowing through black hands every single year. And I think there are black business owners that are begging, pleading for people to make sometimes uncomfortable, sometimes inconvenient decision to say, I'm going to buy for you, even if I have to wait three days, pass what I would have done if if I can find your product on Amazon.

And that can be the difference between another month in business or my clothes. And I think the final thing is and I think it's important for us to talk about a lot of businesses and stimulus, one kept their businesses open from your tax dollars because why everyone was focused on the twelve hundred dollar paycheck. Ruth Crucis Shake Shack was focused on two million dollars, five million dollars of grants. So forgivable loans to the paycheck protection program that were that they anticipated being forgiven because they were looking at the stimulus dollar for the businesses.

And we were focused on celebrating a 12 hundred dollar check. There are a lot of people in this country that pulled up on a policy, but they're expecting other people to pull up by their bootstraps when money becomes available that you helped invest in because you paid your taxes in twenty nineteen. It's important for you to go after those resources because that's your money. That money is just a refund. So I think that those three, those three aspects contributed to close businesses.

And I think those three aspects can continue to contribute to continued open businesses.

That's that's very true what you said. And it's like, you know, the vast majority of people is focused on the twelve hundred all six hundred dollar check. But business owners like us, like we got the tweet. I don't know if I even got the check. I'm not sure, but we wasn't focused on that. We focus on the SBA differently.

Like I said, I told the story before. We didn't we didn't need fortunately, by the grace of God, we didn't really need the loan. But WMG, the mortgage guy, got his loan and he told us about he broke up. He broke down a plea to us. Oh, my God, why not? Let's let's let's see if we can get something, because this is zero percent interest for 12 months. We can invest that money into the business and buy stuff at three percent interest by the time we just paid off in full.

Is that an interest free loan?

The amount of money that we received Matt told you about this past March, I don't know if you don't want to get on the website, which gives you real quick because I don't think about the ten thousand dollars cash advance.

You don't have to pay it back. And like I said, you can you can decline the loan. But the application is is two pages and they ask for two numbers. What income did you make for pizza for the stimulus? Number two, they're going to ask how much money you made between March and December. Twenty nineteen. And they're going to ask you to compare those numbers to how much money you made from March twenty twenty to December twenty. And if you're able to demonstrate a thirty percent economic loss, then at that point you are eligible potentially for that benefit.

And so that's important to know. Probably what IMG, the mortgage guy was talking about was the paycheck protection program. And there were a lot of entrepreneurs that were a little hesitant, myself included, to apply for the paycheck protection program, because when you hear forgivable loans, you ask, but what's on the other side of forgiveness? I know Jesus said forgive 70 times seven, but the way to say I'm your uncle is set up my way will forgive you.

Come to your wages. OK, I need to know what's on the other side of forgiveness. Is it financial grace? Thank you, Jesus. So like the the guidance has been issued for p p p stimulus number one, also stimulus number two. And one of the things that's especially exciting about p p p number two is that they really outlined those sole proprietors are single member LLC, for which a lot of black entrepreneurs are like, what are the requirements for forgiveness?

But then also what resources do you have available to you if you can't count your payroll? Right. Because you're a sole proprietor. So you're paying yourself or you're a. Remember L.L.C., so you have nobody on your payroll and you're not fired as a C corporation, what type of resources are available to me? And one of the things that I really like about the paycheck protection program, which is probably what M.G. was talking about, is that you have to be connected to a bank.

So that means that you must not be storing your business revenues underneath your mattress. OK, so it needs to go in the bank and that's where you're going to pull your financial statements.

And you want to take a look at if you had twenty five, least twenty five percent or higher losses from your business in revenue from it, look at your quarters. So like if cornerman 20 19 was five thousand dollars and quarter one twenty twenty was five hundred dollars, you know that that's higher than twenty five percent. You want to look at each quarter and you want to identify those quarters where you saw losses. If you have payroll, if you don't have payroll, you want to pull out that tax formiga, you want to pull out that for 10, 14, and you want to actually want to pull out your schedule C and you want to look at what was your net profit for that year and then you want to divide that by 12.

You take whatever number that is and you multiply it by two point five. OK, so if it's five thousand dollars, I'll have the look. I was a I may just always have to pull my calculator out. OK, so you're not just going to say so if it was five thousand dollars, when you multiply that by two point five, that's twelve thousand five hundred dollars.

For those who are the sole owner of your business, you can use a benefit called the ownership compensation replacement. OK, so the OCR, the ownership compensation replacement allows for independent contractors, sole proprietors, single member LLC to apply for a paycheck protection program or the paycheck protection program. Forgivable loan use those resources to compensate you for the revenue. So for the business income that you lost due to covid, they can allow you to do this up to twenty thousand eight hundred thirty three dollars.

So that's the maximum amount of benefit that you can get and forgivable loans. And the greatest thing about it is the forgiveness application is one page. If it's twenty thousand eight hundred and thirty three dollars or fewer, it's one page is called the easy form. And you essentially self certify that you use the money to supplement the income you lost because of covid. Because real quick, the idea alone, you said, do we know the parameters as far as interest on when we have to pay up, when we have to pay back for the IDL loans, not the grants.

So the ten thousand dollars. I just want to be very clear. Ten thousand dollars is a grant. And then if you do decide to accept the loan for non-profits, the interest rate is two point five percent and for for profits is three point five percent once interest kicks in.

Let me let me ask you to to switch topics a little bit. That was a lot of game. And that's one of the things I'm really hoping people, you know, really realize the dollar saved is a dollar or like right now, I'm very interested in all kinds of tax strategy. You talk to our accountant and his business all the time, especially like at the last week at a year, trying to figure out how to, you know, mitigate some taxes.

And as a business owner, that's one of the great things with being a business owner, is that you do have a lot of leeway and we talk about investing. This is investing, Joe, but you've got to have money to invest. And one of the biggest things that hurts people is taxes is really is is if you are like you said, if you're an employee, most of the time you add up, you're paying a much higher tax rate than an employer.

Even if the employer makes three or five or 10 times more money than you, an employer can make a million dollar business, can make a million dollars and be at a 10 percent tax rate. An employee can make one hundred thousand dollars and be at a twenty five percent tax return to note with no real deduction. So and then when you add estate tax, you live in New York City by city tax, also a property tax. So it's like for us even, you know, like my son is an employee of the company.

He helps out with marketing. We pay him. He's a YouTube guru. So, you know, so that that lowers our taxes in the family head. I'm always at lower taxes. That lowers our taxable income. And it allows me to pay him. And he doesn't have to pay taxes on the money. So I say to say, tell me about. Yeah, well, we did the most that we can do with the most you can do with twelve thousand six hundred.

We did twelve thousand five hundred. So, so I said my son is ten years old, 10 years old. We got paid twelve thousand five hundred for the year which is going in his brokerage account and will be invested is tax free to him because it's under that guideline. He helped out with the company. He interned with us.

He's a paid intern and I got their shots and that's who they have got some ads that have some content coming. The children, the children are employed by our kids.

So I had to say, oh, yeah, something that I'm very interested in as far as saving money, because the more money that you say you can invest and like I said, we saved that money as a company. I didn't get to invest it personally, but it's invested for my son. So if he's invested for him, it's invested for me because I look at it because I don't have to give it to him is going to be his own money.

Now, he can have, you know, later on down the line we calculated if we did the twelve five. Right. My son is like seven. Right. So if he takes that 12 for the next ten years, he's over one hundred twenty six thousand by the time he seventeen. You see what I'm saying. Like that's a different start than any of us really had. Like that we knew growing up should start is a huge start.

And so like just these little things that we pick up along the way, like we not just taking the information, we actually executing on it. And like you said, this is my first year of really even being on the business side because I had just been an employee being in education.

I was like, oh, oh, this is a deduction. I'm like, oh, this is great, you know? I mean, it's just a different ballgame.

Yeah. So I encourage everybody to open up the business.

It's it's a great feeling. And as you said, is something that you can still be an employee and have a business. But we can't talk about investing, saving money without talking about tax strategy. One of the best tax strategies is to have a business for a variety of different reasons. And once you really start to go down the rabbit hole, it's just so many different things. You can have these tax conversations forever. And unfortunately, we don't know any of this stuff and we're so ignorant when it comes to that.

Ignorance isn't a bad word. People think ignorance is about. It just means you don't know something. You so, you know, you can you can choose to be ignorant or you can choose to be educated. And I feel like the time that we're in now, there's really no there's no excuse to be ignorant. At one point, you had no choice but to be ignorant. It was against the law to read. It was against the law to learn this stuff.

Like now we all have free information, we have YouTube, we have Google, we have market Mondays. We have all of these different resources. We got the black upstart. So you have to you have to educate yourself 100 percent.

So I want to I want to ask you a few personal finance questions.

Yeah, I'll go. Going to question and answer. So this is for one K, right? This is this is the beginning of the year. The four one case is a lot of people's first wait to start investing in the stock market. Right. Most. Actually, the majority of this stock investment, or if they only they only have one stock investment, and that is the four one K, right. A lot of people don't have outside stock investments outside of a retirement plan.

So what is your suggestion for people, young people, old people, whatever that might have just signed up for the four one K or are in a form of K? Your thoughts on allocation and things of that nature?

No, I think that that's a really good question. I did want to address what you said about the tax deductions before we move forward, because I think that that's important and significant. When you live your life like a business, the expenses that you incur as an individual, you can, like you said, write off as a business. So like the Internet that you're using on a regular basis, you already know you was going to be scrolling through Instagram following you while following followership.

I don't know if I don't like the black Web site, but you also use your Internet to run your business, your cell phone. You're going to call your girlfriend. You don't gossip about that guy you swipe right on. And he showed up at the day, a whole catfish. But guess what else? You going to use your cell phone? So call make this is called in order to generate business. Like when I started looking at the number of tax deductions that are available for your business.

Those number over four hundred deductions. If you're going on vacation, but you're doing business for a certain percentage of time, that's no longer a business. I mean, that's no longer a vacation. That's now business travel. So when I started to reorient my mind, it's the thinking about what are the things that I'm going to do anyway. You know, just as an individual, how can I reclassify that as my business? I was able to see how I can reduce the taxable income because you all talked about taxes being expensive.

Taxes are expensive the more income that you earn because the percentage that they charge in taxes increases along with your income, what deductions? You're able to reduce that tax liability. And that's what deductions really afford to do. So that was I really like how you all talked about that in regards to the four oh one came for O3b. If you're working with a nonprofit organization for like four or three beats P if you're self-employed, is the IRS restriction on a Roth?

We can talk about that as well. The first thing that you want to do is you want to ask your employer, because a 401K is an employer sponsored program if they can match your contribution and how much they match per dollar. So one of my employers match up to six percent of the salary that I was earning. So every single year, just like you said, Renshon, they're going to ask for those individuals to want to contribute to the 401k and they're going to ask how much you want to contribute and how frequently.

So you want to make sure that you ask those critical questions. The second thing is the biggest mistake that I made is I did listen to my mom because she told me, listen, at 20 years old, you are going to be investing in your 401k. And I will tell her I'm 20 years old. I'm not thinking about retirement. I'm not thinking about retirement. But we know the benefits of compound interest. The earlier you get started, the more your money can go to work with you or work for you over the years.

So my mom started investing in retirement at 31. She thought if I can start 11 years ahead of her, that perhaps I could retire early. But for fall, in case you want to look inside whatever your employer has set you up with initially. For me, one of the biggest mistakes I made is I looked inside my for work late and I saw that nearly one hundred percent of my money was invested in money market. So I think I heard maybe and talking about it earlier, I came in maybe about 10 minutes towards the end of the conversation.

But money markets are not going to return as much as equities. So like my money is returning one or two percent a year. It took me like two years to check one or two percent a year. That's equivalent to your money be invested in a savings account. You think about it for one K, if you are actively managing your funds or you're critically thinking about what mutual funds you want to select, then you should be returning, at least in my opinion at least, that what the S&P 500 is returning.

So one to two percent was too low for me, so I had to go inside of my first one came look at the mutual funds that my employer has selected for me and they get smart. Just like you all said, information is on the other side of your fingertips. Get smart about what? Mutual funds. I thought we could perform better for me versus what my employer selected. What are some of the things that I look for? The first thing is rule of thumb.

You take one hundred and ten, you subtract it by however old you are right now. And whatever that results in number is, is the percentage of equities in which your mutual funds should be invested.

So one more time because I know people missed it, but the simple formula. Yes. I'm so happy to see you subtract your age and whatever that results number is, is the percentage of equities in which you should be invested. Equities is synonymous to. Fox, you can have US equities, which is US companies, you can have non US equities, which means that's foreign investment as a foreign businesses is are being traded on their stock markets. So whatever that number is, equity should be represented there.

And I just want to I just because that was that was actually a very, very good, useful formula.

So if you're 30 years old, that's roughly 80 percent, 80 percent of your money should be in stocks.

Yeah, yeah. That's that's extremely. I agree.

You guys are sleeping on it.

Write that down and make it plain and through the formula, write it down now ready to come out and have like are you saving that money markets until you're like 70 or 80?

I can't believe that.

So that's the thing about it. And I'll give away a lot of free game. So you want to look at the percentage of equities you want to get familiar with the different asset classes that are available to you. So I heard Ian talking about bonds. You can do real estate, you can do a mix fund. So like you want to take a look at what's inside of that fund next. You want to take a look at your mutual fund.

What is the expense ratio? Because over time, the higher the expense ratio is, the more expensive it is to keep that particular mutual fund. I recommend that the expense ratio be one percent or fewer. Expense ratio is what fund managers charge you to pay them to actively manage the investments within your mutual fund portfolio. So that's one percent. You take that one percent and you multiply it by the money that you have invested in that account.

It's important that you understand what type of equities are in there. So you may look at what is the type of fund and may say things like large cap, mid-cap small cap, I believe, and was talking about this earlier to so large cap. Those are the large companies that you definitely recognize their names as the Amazon, the Facebook, the Microsoft, the Googles.

But then during the pandemic, some of the high performers have been the mid-cap companies. So one particular mid-cap mutual fund that I own, some companies that were on there that were turned into triple digits. Tesla was in their Teladoc within there, those were two companies that you absolutely know their name and they returned it significantly. Why? Because, of course, we had a Black Swan event. No one could have predicted that we would be in the middle of a health pandemic.

Right. A pandemic that nobody could have anticipated. And those companies that were able to serve our needs while we stayed at home, which is why they call it stay at home stocks, were able to experience tremendous growth. OK, so mid-cap, mid-cap and do you have small cap companies? And so those are small cap of the lives. That's what that cap is, capitalized companies, if you want to take a look at that. Another thing that I take a look at when I'm looking at mutual funds, I'm looking at the sectors.

So we know there's 11 sectors in the stock market like what are the top three to four sectors within that fund? One of the things that I love about what Ian said, he said, hey, these were the top three performing sectors for 2020 20 technology. Was it communications, consumer discretionary? Get comfortable with figuring out what exactly does that mean? And guess what? Google is your friend on the other side of your fingertips to give us information, don't swim in the ocean of knowledge and drown in ignorance.

When we talk about technology, that's the Apple and Microsoft. That's a Google. We talk about consumer discretionary. That's Home Depot. Yahoo! Was in your house fixing your closets, paint your walls, make your house pretty. That's McDonald's. We're not going to negotiate. If you should be chicken nuggets. Let me tell you, some people got tired of cooking and went right on in the drive thru. That's an extreme discretionary category. Communications. Everybody was watching Netflix, Disney, plus the introduction of five GS.

So that Sprint I talk about just Sprint folks, but the call always drops to somewhere between communication factors.

Be smart about the sectors. What are the companies that you're patronising that you're spending your hard earned dollars at during a pandemic flu pandemic? Pre pandemic? Be smart about the sectors. What are the sectors that underperform energy? Why, that's oil, right? That's oil.

You can't love Tesla and be pro energy to go and be this clean energy, you know. So you're looking at energy. You know, you talk the planes have been grounded.

What do they require? Fuel, right. Well, we're talking about cars some of you are commuting to. You're not a five. You're not a five. You're not driving from your house to your job. You walk in from your bedroom. So you live alone. OK, so you're not put in as much fuel in your car. Energy sector underperform. Right. So, like, that's ranking low. So you want to take a look at those sectors and you want to see if that makes sense.

What are some companies that are part of those sectors? And then I look at the top ten holdings within that mutual fund. I think it's important, you know, one of those top ten holdings, how are they performing? And then the last thing that I'll say is that, yes, I read the prospectus. That's important. You should always read the prospectus. Yes. For some of you all, it's long.

But if you can sit and you can watch Netflix and binge watch it for three consecutive days and well, you can read the prospectus, but also look at the benchmark because the benchmark is what the fund manager said the day we're going to this particular benchmark, I'm going to perform at or better than this benchmark. What is the benchmark the guys talked about around? You know, that's why I live here. Right? So, like, that might be the S&P 500.

Five hundred publicly traded companies. That might be the Russell 2000. The Russell 2000 growth is in the Russell 2000 value. It might be the Russell twenty five hundred. It might be the Russell one thousand. This benchmark, if you look at and this is a Ketut I do when I'm teaching my classes, I go to market feedback home. Or if you have a time account with fidelity or whatever, wherever your 401k exists, go going there. Maybe they have some resource still, but I go to markets FT.com, I type in the stock symbol and I click performance.

And when you click performance, it will show what was the benchmark for that particular mutual fund and what percentage did it return five years ago? Three years ago, one year ago, six months ago, three months ago today.

If the stock market was open that day, OK, it might be 15 percent. 20 percent. Right. Let's say five years ago was fifteen percent. Three years ago it was ten percent. Then you're going to look at your mutual fund and you want to see how well those fund managers put the expense ratio that they charge you, that one percent, that point zero five percent to work. If their benchmark was fifteen percent of Russell, one thousand return fifteen percent and your mutual fund returns six percent, they didn't even meet their benchmark.

Then they set a goal that they couldn't even meet and they couldn't meet their goal. Five years, three years, two years, one year. What makes you think that they're going to meet the goal today? When I look at the mutual fund, I always look at that benchmark and I'm always looking at the mutual fund. It's. If that percentage is higher, then the goal that the fund set for itself, and that's important to look at performance long term because like you said, 2020 was an amazing year for those people who got smart and got active in the market if you could afford to invest.

Right. Those were some of these mutual funds were trying to 20, 30, 40, 50 percent. We probably cannot anticipate that that's going to happen in twenty twenty one with the introduction of the vaccine. But if you look five years, three years, two years ago, pre pandemic, you can see how those fund managers were managing that account absent Colbie, and that could be a future indicator for their performance moving forward.

Well, not cut you off what was a mutual fund or top two that you like, because I know they're going to kill us if we don't ask.

I like the fidelity blue chip growth. So I believe that that is the right time to stick to stocks have room for that, but that's fidelity, blue chip growth. And then I also like being watermelon, small mid-cap. So that's DBI Max. So D b m a x DB Max. So those are the two and a half the fidelity.

I'm definitely familiar with the fidelity mid-cap growth one. That's a that's a very good one. That was a hope that they go and that information is not just for for one KS like that's just a broad range investment information. She just talked about mid-cap large cap, small cap PE ratio and looking at the whole benchmarks, a lot of the stuff that I don't think we even spoke about before.

So, yeah, I mean, I was that was great. I just I just want people to fully appreciate the level of education, because that was a lot a lot of gym.

Sometimes you get people with so many gyms, it's just like they don't fully understand what was being given to them. That was like a full blueprint of actually how to break down a fund.

Yeah, it's the crazy part is like to me, when I was listening to what I'm like, yo, this is crazy. It sounds pretty similar to how we will research our ideas.

Well, once you like I said about a process, they process once you learn what it's like learning a language, like once you learn one thing, whether it's a mutual fund, whether it's an ETF, whether it's an individual stock, it's all it's all synonymous with each other. And this is what helps you like once you start to learn about the investment language, they're all very similar. So you can use the same the same thing in individual stocks with your brokerage investing for your kid.

Doing the IRA for one K is all very similar.

But you know what the beautiful part is and I'll give you a whole lot of credit is like think about all what she just told you. Like, that's the homework.

You know, people like, oh, well, yeah, you're saying like do your homework.

But what she just gave you a whole lesson of how to do the homework when it comes to investing in mutual funds and s everybody, I see people putting up that. We went into depth about expense ratios in a book club. But, you know, you just laid it out.

We got we got to get he's got to get you to take your class the key for you and be able to to the professor key guy that can we got to get you to teach a class and I would love to join.

I do want to add that the one I just wanted to my fidelity account, that's why I keep traditional IRA and we're talking about four one KS. But like I said, this information is transferable and that's F big R. S, that's the stock ticker.

So that's F, b, g are X and s Fidelity Bluechip Major Fund and they give us a whole lot of game.

WILLIAMS Oh well that's in the building.

Let's do it. Let's can we get it. Let's get a couple of questions before we wrap this up. So we do the last part of our show is a question and answer. So we just take a couple of questions and any since this is four of us, any one of us can just feel free to answer it. So, yeah, I want to just get that in before we before we got a chance to see.

Let's see. Yeah. Yeah. What's going on. Mr. Self, you've been a muted you got. Yeah. I guess most you would say the up guys.

So what are you doing. Happy New Year. Happy New Year to you too. No this is crazy. Listen, I'm in a hospital right now. I got so excited last month. Something I know I'm listening to you off like last year, but I got one question.

How do you determine what is high volume versus low volume being that all companies of different sizes, if you're looking well, if you a TD Ameritrade, I'm probably about to record a video on it.

But if you go to settings, you can click on equities and then it will tell you it's a tab where you can click show volume sub graph. It will literally tell you the volume and how much is being traded in real time. I don't do it on any of the platform, but on TV Ameritrade, this how you do it. I got the platform dunk from watching you guys. Yeah, I'll give you another one.

So like Yahoo!

Finance is a is a pretty good site that I've been on there with the the Bollinger bands. Yeah, yeah.

So when you go to the price, it'll show you the value in real time so you can see what how active it's being treated like. Literally it will tell you real time the amount of volume that's being traded in and out of the position. Is there like a certain ratio of market cap or high quality companies.

You're not going to have to worry about the volume. What I was referring to specifically was intraday trading. So if you're not trading to open or close and be trading at eleven, twenty five a.m. Central is not that's a dead zone time that you want to stay away from. If you look at the long term investor, you're fine. As long as you trade it by the open close, you'll be fine. But for intraday, make sure you literally only trading up and close.

There's no advantage to trading it. I'm only doing long term right now.

Are you're good at any top two? Three hundred company will have enough volume. We'll have more than enough right now.

I got Apple, Alibaba and Bolly. How long have you been involved? I just got that today, actually. You're going to have the down side is going to slide probably 176, 25 or 176. Give it like 13, 14 months and be back to 217 to 73. OK, you got to ride it out.

Ali Baba is going to probably just want to 25 and then go back up and about four or five months. And Apple has been so good. Good apples to apples.

Gold, man. That's right. That's right. Got I got to tell you and I hope you get better because your accident, man, if we can do anything for you, please let me know. Appreciate. I'm in. I'm in. I'm in the back.

I'm in. I'm almost dead. I'm about to get at least a couple of days actually from rehab. So, you know, thanks for the blessings, babe. I appreciate you doing your thing. I appreciate your. Have a good night. Is Richard talking? I try to talk. Oh, I thought it was just me. So we have some submitted questions from our Facebook group, shot everybody in the Facebook group.

And so I'll read one for one of our top on. His boss had a question. He said, should you dollar cost averaging on ETFs like Aycock and indexes like the O on a monthly basis despite the price of them?

And how you feel about that, if you can get one superior price, so should you load the boat or dollar cost average if you don't know of a specific price to get in? Yes, you dollar cost averaging, if you have a chance to get in at a superior price, I would do that. So let's take a look at, like the oil. So hypothetically, if you can catch vola, like two hundred and fifty bucks or two hundred and forty nine bucks, that'd be a good place to load if you dropped it for even maybe two seventy five.

But other than the habit of buying every month is better. Your games will be higher if you can catch it like we did in March or April. But remember that you want to get to that goal of ten thousand shares. It doesn't matter if you call it, you know, apply the equivalent of 110 and then you only have nine shares in. And so yes, our dollar cost averaging, if you are worth the biggest days when the market drops usually will be between Tuesday and Thursday.

I will look upon those days and stay away from buy on Friday or Monday.

If you look to long term best and I'm not sure if you guys have talked about fractional share investing.

I know. Yeah, well, fractional share.

So like we all that's the S&P five hundred ETF with Vanguard for those new investors. So that is an ETF that tracks the S&P 500, which is a major index. So there's a value if you are to spy, that's also another one. But in regard to dollar, cost averaging is dollar cost averaging is just finding on time every other week, every month to consistently invest in the stock market with the stock market is going down or whether it's going up.

And the whole ideology around dollar cost averaging is since you're doing it consistently and no one can predict a market drop or even a market correction that you benefit long term because it goes down and it goes up. So your consistency, your discipline pays off. Now, I know some folks get sticker shock, so you see the three hundred plus dollar sign per share. And people you look at your budget and you like the way to my dollars are counted out.

My God. To me, you know, I got 40, 50, but I only got three hundred dollars. So you sit it out. The great thing about fractional share investors is that you can buy a piece of a share, OK? You can buy a piece of a share and have some form of ownership in it. So it's like a four one share cost. Three hundred. You can buy 10 percent of that total share and every single time you get paid, you just put a little sum of money.

It's a little bit like layaway. You know, layaway used to wear pants to go out.

I have I had like three pairs.

But, you know, you put a little it was expensive. I had to pull them on it. It was like layaway so I could get the jeans out of layaway for fractional shares. It allows me to put a little sum on shares that may be too expensive for your budget at that point where you can't buy a whole share every other paycheck. And with time you own a whole share and you start that whole process again. So don't let the cost of this year disqualify from you for being from being active in sort of the fractional share.

Thank you for answering my question. Appreciate it. We got happy. Happy New Year. Happy New Year. Happy New Year, brother. Yeah.

We got another one from Marlene Anthony who said thoughts on the trajectory of bitcoin and other crypto always owe more. Oh, go ahead of yourself.

Let me just tell you what's going on, guys.

How's everybody doing, man? How are you? I'm great. And thank you, everybody, for the gems. I don't even know how to pronounce your name, sweetheart, but you've been killing it tonight and me and my wife are soaking it all up, so we really appreciate it.

Thank you. My question, you know, Bitcoin and crypto is, are the the wave right now and the big news, what do you guys think is the way to approach that with Bitcoin being at a high where REPL basically getting ready, whatever, deregulated, monetize, whatever happened. Reppel, Ethereum, what do you see with that? And is dollar cost averaging good when it comes to cryptocurrency? The sharks want to check it out first. Let's do that.

So first of all, most great question. Thank you for asking Bitcoin. Glad you asked that question, because that is the hottest thing on the streets right now. Shout out to Kenny Burns. First and foremost. I'm a weekly contributor on VH1 with me in Atlanta. And I spoke about Bitcoin today. It was thirty eight hundred dollars in March, I believe, and it peaked. Think it was high as it got to thirty three thousand today.

It got up to thirty four thousand thirty four dollars. And right now it's at thirty three thousand thirty three. Thirty three thousand.

And obviously the bitcoin unstoppable bitcoin will not it will not be stopped. You can put me on. This is just my own personal opinion. I'm not speaking for your leisure or market person.

Bitcoin will not be stopped. It's on its path to fifty thousand and is on its path to a hundred thousand. But but the same rules apply to all investments.

Do not buy at all time high, which it is at its all time high right now, close to an all time high. You don't want to buy one thing about crypto any. And this is the good thing about investments. You learn about investments, you learn about all kinds of investments. We know that the stock market always has pullbacks and always says it's always going to pull back the stock market. Always every month is a pullback. Usually a correction is 10 percent.

The thing with crypto is this is the stock market on steroids. So like the stock market, crypto doesn't close in twenty four hours a day. We've got a very fast pace. The pullbacks are more dramatic. So a pullback in crypto might be 20, 30, 40 percent. And that's like normal conservative. Yeah, we've now we've experienced. Yeah.

So I say I have to say it's highly unlikely that Bitcoin doesn't have a major pullback in twenty twenty one.

Twenty four thousand is a good area. If you guys are looking at what you say. Twenty four thousand dollar twenty four down.

So, so I say, I have to say if you're looking to invest in Bitcoin you might just want to just wait for a pullback, be patient. All investments pull back. The reason why all investments pull back is because investors want to take profit. That's really when something has run up, if you've got it at thirty eight hundred and thirty two thousand right now, no matter how enthusiastic you are about the future of Bitcoin, you might be tempted and taking.

You made a lot of money. So it's is low for twenty. Twenty was fifty three on it and now we're up to thirty five.

So they get lower than that. No, no, no. March the bitcoin feature went to forty five hundred. Yeah. One to forty three. Twenty three. So adjusted. Yeah. But like forty five, ten. Something like that. So I mean it ran up but again so bitcoin was up three hundred percent. Right. But Ethereum the number to coin was up 600 percent etherial. And so like if you know, if you know the block chain, if you know cryptocurrency, you know that there is one of those, those platforms where it's built to have other things built on top of it.

So a lot of coins and a lot of things are built from the Ethereum coin. So it's a very interesting space. You've got to be patient and you've got to be disciplined. But like you said, when you know one discipline, you know the other. And so before I even knew fractional shares in the stock market, we would do with fractional shares in cryptocurrency. We were like, yeah, we can't buy one Bitcoin at the time. You know, let's just get a piece of it.

You know, we can't get it. Let's just get a piece of it. So we were doing the fractional shares with those before we even knew that, you know, you can get a fraction of Amazon, but you don't mean so that the cryptocurrency space is great.

And I just had this conversation with Jamal.

You can still find some space in the stock market for some bitcoin, and I think it might have won over people's heads, but that PayPal situation is a real thing. So if you didn't hear the news on that and if you sleep on it.

PayPal is now allowing you to buy, sell and hold crypto currencies. And so I'm just I just want to give you a little bit of numbers on it. So PayPal has over three hundred and forty five million customers and they have 200 they have 26 million merchants of 26 million merchants throughout the world. And they're now allowing you to use cryptocurrency to pay and trade and they turn it to fiat currency. So that's huge. That's huge.

Also, if you guys want a cheaper version of BTC, which is a great scale, Bitcoin trust somewhere around the twenty five area will be decent if you're looking to get in a long term or around maybe 19 area and maybe 19 year to march a correction.

March 12 Bitcoin did hit thirty eight hundred dollars.

Yeah, well, OK, but here's the thing. No, no, no, but here's the thing.

So like depending on the platform that you trade on and that's the thing with cryptocurrency, like I can go to finance and it'll be forty five hundred. Right. And you can go to Coinbase and it could be 40, 100. So it just depends on what you're looking at.

And that is not unique to the stock market. Right. The price is the price. It doesn't matter which brokerage you buy from the price. Is the price dependent on the brokerage in this space, you never know. Right? They can have it at thirty six thousand and they can have it at thirty four.

So that's also assume that you have a back to that drawdown point. I know. So dollar cost averaging. Yes. You still need to go look at what that drawdown is because if you can't handle a 70 percent drop, you shouldn't touch it and it should probably only be 20 percent max of your portfolio. And if you are a Bitcoin believer and have been for five or six years, but if you can't handle a 50 percent or 80 percent drawdown, no touching.

But two weeks ago I said, whatever you believe in, you should be willing to hold it for 10 years if you do that to pan out pretty well for you. But if you guys are going to stay away from the coins, I'll say that because once this run is off, the market eases a lot of this buying and everyone's retail traders like us are piggybacking off the institutional parts of the jobs where everyone else is behind it. But when it turns over and then the market stabilizes and then the cold vaccine is great and everyone goes back to work, you're going to see a little bit of a dip.

So people are playing. This is part of a hedge as well. So be careful. Do not buy at the higher where it is now, but you can do what you want to do except in trouble.

Big trouble actually manages to stay away from that. They are in big trouble.

And again, if they if they get kicked off Coinbase, which is an American exchange, that's not good. That's that's never good. Right? It's never good. When when government regulators come first and foremost, we got to, you know, send our prayers out to Jack Ma. It's a very. Yeah, yeah.

I want to touch on that. But this has a very strange situation was going on right now. One of the richest people in the world has been missing for two months at the spoke about the Chinese government. But it just goes to show you, I mean, obviously, that's an extreme level of, you know, the government is a little different in America. But when the government is after you, it's never good.

It's never good.

It could be extremely bad, like something that could happen in China or Russia. But just from like an American standpoint, your company is like nobody's bigger than the government. It's like when they used to say, like, no play is bigger than a team. The people a lot of CEOs and a lot of this is extremely important. Even when you start making money online, you need to pay your taxes, because no matter how much money you get, even if you're the richest person in the world, you're still not bigger than the government.

This is why Trump wanted to become president, because like politicians and government, shadow government, I don't even want to go into that.

But please don't government. The government has power that companies will never have. They will never have as much power as the government. So did Jack. My situation is a perfect example that the richest man in China, something you just can't say.

Yeah, they wanted to to deregulate. They said his company was growing too fast. Right. And they were about to put out the group. The FinTech company was about to IPO for thirty four billion in IPO in the history of the world. Yep. They said nope, nope, nope, nope. Slowdown and yeah, we haven't heard from them since October.

Hopefully he's laying low somewhere and he he'll appear hopefully hopefully praying for God will go on as our grandmother is always say there's someone bigger and better than either certain forces you cannot face and go against. It's not worth it. Don't do it. Yeah. Yeah.

Well yeah. Hopefully he's OK. You want to have one more question or one more? Let's do one more. Let's see. Let's go to. Michelle, Michelle, you've been a muted a mute yourself. What's going on? So you guys should go to the Russell three thousand. Hey, hey, how are you? Hey, everybody.

How are you doing? Oh, my guys, thanks for answering me. I really just had a question in regards. It's funny.

Like my kids, they're mad at me because they both start working. And I've been taking out like I just give them twenty five dollars and fifty dollars and put their money in the stock market. Like you'll you'll thank me.

You're a good they, they, they kind of salty.

I said, I asked them what do you want. Once the iPhone one a PlayStation four.

I bought one Sony, I bought the other one Apple Gomaa pesto. But I'm definitely very, very, very new to this and I'm really trying to understand options and I've been trying to watch I'm a recent answer, so I've been trying to go back, but I don't want to miss anything tonight.

I'm like, OK, I got to stop. I got to see what they do once a night comes up.

But I'm really trying to understand how to work options and how to learn it.

I feel like I've gotten some knowledge, but not as much as I need to know.

Are you willing to practice before you into that arena? Because the options market that existed in twenty twenty would not be available in twenty twenty one. OK, OK. And that's what I've been trying to do, I've been trying to paper three. How many people church have you done so far? I'm confused by looking at them, by looking at it, so I signed up for Weeble and then I signed up. I have a fidelity and then I can't do it on Vanguard or Fidelity.

And I did another one with TD Ameritrade, but it's confusing to me. I'm like, wait, this doesn't look like Robin Hood, but I hate.

Do me a favor. Take 100 practiced trades. If you complete 100, I buy the iPhone to your kid. The reason I say that because I don't want you to blow to your back, OK? And the there are probably at least 80 people that I talk to the liquidity funds and started trading with the futures options, penny stocks, crypto and lost it all. OK, so paper trading, at least a hundred. I'm going to be real for my traders.

You notice if you want, you can go to one hundred practice trades in two weeks if you want to. OK, discrete multiple accounts and also options.

I mean, everybody's strategy is different, even like, you know, I mean options. I like to trade options. I only like to trade on a more long term player. I like ETF. I try to stay away from stocks, even even in my individual investments as well as stock. I only like I don't really like to have some stocks. I feel like especially with options because option it moves up a lot and it moves down sharply.

And when you're in individual stocks, that's more so kind of gambling in a sense, because it's like you can still have the best company in the world. But, you know, a variety of different factors can cause that company to go down. And if you don't have an edge. Yeah, if you have structure. Yeah.

And I've definitely I've been listening to you all. I've been dumping, like all of this stimulus money definitely is going to ETFs because I feel like I can't I can't be a ETF unless I'm some guru and I'm far from that. Yeah.

So what I'm saying what I'm saying is that you could do options, ETFs as well. So like you can invest in regular ETFs and you can do options, ETFs as well, which just gives you a little bit more. It sounds like you just starting out. So you want to give yourself as much security as you possibly can. The longer the longer the time frame out, the more security ETFs as opposed to individual stocks, more security. So as opposed to like me, like a couple of ETFs that I own personally are Semih QQQ, you know, I feel comfortable with those situations.

The individual stocks take, they move up, they can move down. Like I said, it could be it could be a good company. But individual stocks move a different patterns then ETFs, because the they're just the singular where ETF is an entire basket. So even if Tesla starts to decline, are could still potentially, you know, stay stable because Tesla only makes up, I think, 10 percent of art. It's not the whole entire portfolio.

So you just hedging you're hedging your bet for lack of a better word. So that works for me. Everybody's strategy is different, but that works for me. And that's something that I feel comfortable with, especially when I when I do option investing. I would like to use the word trade too much, but when I do options investing, I like to more have so guarantee. So invest close to the strike price long term out ETFs. Choi likes to do stocks.

Troy does individual stocks to more than individual. Everybody else does individual stocks. Well, we like to do individual stocks.

What do I do?

And I want to hold on because I think under the bus, I mean, I think one of the questions I do, but I'm just saying I think one of the questions we should ask Michele, is like, what is our plan? What is our first strategy? You know, the first thing you that I want to do options trading. But you also talked about you wanted to invest on behalf of your kids, like speaking about your children. One of the things that I know Eduardo has talked about consistently is the UGMA account of the U.S. email account.

But then also my personal favorite, that Custodio Roth IRA accounts. And that's what I did. That's it. Yes, that's what I prefer because I hired them for my business. So I definitely maxed out that. Twelve thousand, I think was a twelve thousand four hundred twelve thousand five hundred. I max that out for them and I put it I'm like their employees and then their, their money from so that unlike like their savings but their money from their work.

Because I think if I'm not mistaken what at what. Because it's a at home business. What I pay them.

I can't put in their Roth because they're not taxed because Roth IRA requires earned income. So exactly. Yeah. It's doing work. When they earn that money you can deposit that within the account. I'm OK.

I could be mistaken. Please correct me because if that's the case I will pull it out of the savings. I was under the impression that because there it's a parents at home business that even though it's earned, they're not paying taxes on it. So I couldn't put that in their Roth, but they both worked at like McDonald's. And then another place, this tavern. And I take their payroll and I invest that in their Roth.

You can put it in a roll up to the amount of money that they make, the most you can punch through the roof. I think this year, sixty six thousand sixty is up to the income that they receive.

You can put into the roll, right.

When you're talking about also the investments that you're making with your children. I love I'm on rishard team like I love EPS, but you can also do sector specific ETF. So Vanguard. So you mentioned technology has a sector specific high tech ETF, V.T.. Yeah, yes. BGT. And then also if you're talking about ETFs and you want to get a little risky with it, though, I don't highly recommend that you do have leveraged ETFs while we're talking about exchange traded funds.

Usually people buy the leveraged ETF and they only hold it for a short short term. So it's not like our where you hold it for a long time. But like you, Dow, for example, you dial is a leveraged ETF that tracks the performance of the Dow Jones Industrial Average and Dow Jones and seeks to beat it three times every single day. So the Dow is up three points. It's going to try to be up nine points. And so that's the way still for you to maybe reduce your risk is still very risky.

But it's a way for you not to just jump feet first into options trading.

Yeah, and the show just lasting the site that we use. And I think we spoke about like maybe two or three weeks ago. ETB is a great place to start when you want to search ETFs. Yeah. If you go back and market Mondays, you'll see like we break it down and we show you exactly how to fund holdings and the performance over the past week, ten, five year, three year.

And then like I said, once you go down one rabbit hole, it opens up another because then you can.

And that what I was actually watching it that day. And so, like, I have everything got, like all my windows is up every day, all day.

Love I love and I'm loving it. I just I want to give a shout out to Vincent because Vincent definitely told me about Jack. He told me about Charlie a while ago. And I was just hesitant because you got so many pop up, everybody's who think they gonna do this, that not too many of them.

And I was just like, you know, like, I'm not I'm not paying you to McDonnell. Does Vincent McDonnell tie yellow with what?

Well, you finally do something useful.

Did he? He used to tell me. Go ahead, do it, do it, do it. I remember him posting and posting. And then last last year, you you were like a this is this is the lowest it's ever going to be. It's only going up from here. And I was like, let me do it.

So thank you.

I'm definitely trying to catch all the jewels. I'm so excited y'all picked me because I was literally about to run downstairs and then I was like, oh, wait, they said my name.

I'm glad you traitor's. Thanks. Yeah, I want to remind you, only put 20 percent of your money Max, on the trade. And then if you don't know how many trades out of one hundred, you're away. You should not trade. We have to know that I don't want anybody to gamble because I know everyone's trading crazy, and then you ask them, how did you do last year?

What's your net worth? A lot of people quiet. People don't. Like many of you have not had the misfortune to talk to somebody that's lost half a million dollars and you're trying to sound cute until. They lost their house and got divorced. I'll tell you, I don't have them conversations as real talk. Don't. So it's like, oh, well, I put on go up enough.

But now you lost your house, your kids, your wife. And you have to be careful. People are telling those stories on Instagram, so be careful.

But I want people to trade, but only if they put the work in. And then once you take off your shirt, you should know your Certina index. Also index. You should know your average time in the market. You should know when you're going to lose what market conditions are favorable to you, which ones are not.

How does your account of trade, how to like it so much? You need to be able to see a post just jumping out there, because I don't want you to call back in two months and be like, hey, I lost everything I've saved up or half of it in the 30 day period, which is more than likely. So we appreciate you.

Thank you. There you have it. There you have it, ladies and gentlemen. And before we wrap it to Georgia, I think the Georgia elections tonight or tomorrow, tomorrow, that is definitely Georgia runoff.

Please be very important for the stock market if the Democrats win. A lot of people are scared that capital gains is a big situation.

Capital gains, if you want to potentially potentially something to think about. And then, of course, you know, the Republicans, if they win all kinds of stuff, is going to be so divided.

Government is divided, divided again in the political process. But it's been a pleasure. I want to give you the first word out. First and foremost. Thank you for joining us. You know, you never disappoint. I, I knew ever some people would not even like you. You had people like that. It's like you don't even got to be worried about what you actually, I'll be honest. You actually I knew the truth. I knew what you knew so much stuff.

But I don't know if she was a seasoned investor like that. Also, like, you know a lot about investing.

You know a lot about the hours that was thoroughly impressive and very educational as far as the mid-cap large and all of that that you broke down to school.

And I hope I hope people really took notes, took notes.

So, you know, can we can we get like an emotive look? Can we put keesing in? That's what we're going to do.

We're going to put that at the I want you to come back.

I love the new emoji.

You have to come back. I'm going to force you now. I believe all you have to come back. The other kids, you see them. I know you see them. Yeah, for sure.

So what would you like it all? You like to tell the people before we before we leave and tell your Instagram to a lot of people are asking for your Instagram.

Yes. Guys, thank you so much for having me on your show. I think this is the first show of the New Year.

So, like, thank you so much for having me. Whenever. Meanwhile, guys, come on. I'm always like, yes. And hopefully we're working on some exciting projects this year, so just wait for that. And when I did finally publish my book, guys, so I have the Black Entrepreneurs Work book, and that walks you through the six steps that you need to start your business. And it also breaks down 400 plus tax deductions. So we talked about that adjusted gross income.

So that's in there. And the entire book is centered around a black case studies. And so it tells you how to turn the obstacle of racism into profitable opportunities. So that's available for sale now. Professor Keys dot com. Also follow me on Activia. OK, easy A and W and also follow my business page, the black website. I hope for a twenty twenty one day cash flows like water in your life that your paycheck feels like play money claim.

Then in twenty twenty one we will be the first millionaires multimillionaires in our family. Thank you. Well thank you. A shot. Thank you Troy. Thank you for having me. And y'all have a good evening. I do have a follow up question before I go.

What, what, what are some of it's hard hats turned over to look like.

Am I going to be like, oh no, no, no, I'm serious.

Then we're gonna charge real quick. Know what? You have a pulse on black business, but no other. What are some of the businesses? And this decade you think people should stay away from because you you've interacted with thousands and thousands of companies and not everyone is doing well. What are just some some industries or businesses that don't work anymore or have a higher probability of of failure within the first two or three years?

Oh, oh, that's a good one. I would like to reverse that question. Like, what are the ones that are performing well? And I would say the ones that are capitalizing off of black values. So one of the things that I really. For what for fun is the Nillson Consumer Index report. And when you look at the top ten products that black people buy, so detergents, the unsexy stuff, gum, contraceptives. Refrigerated drinks. You know, these are things that are on that list and you look at the types of businesses that black people start, which starts with, I believe, waste remediation, professional services, not a bad way to be in there.

But, you know, when you look at what we buy, you look at the type of businesses that we start. There's no alignment. So when I read data like the average black on business will not growth over six figures and business receipts, that we have more entrepreneurs in the marketplace than other minority groups. And their business income is double, triple ours. But the difference is that they're starting businesses and black communities and capitalizing off of the black dollar in ways that we are not.

And so when I talk to black entrepreneurs, I always tell them be intentional about researching where black dollars already flow. There's one point three trillion dollars already there. So to answer your question on the flipside, what are the businesses that I think are primed to perform well in twenty, twenty one? Look at where that money is flowing and look at where that dollars going to open your business there, create a product or service that we're already buying so that you can start a business in twenty, twenty one and not trying to monetize a hobby.

You have a lot of it. That's media training at its finest has to have.

You don't monetize to have the Nelson consumer in the Nelson because the new consumer index report and at LSC in every two years they do a report on black spending and also fascinating, Nielsen like this did the same thing that démarches TV rating.

Yes.

Well, they monitor they monitor spending and they talk about the top industries in which people perform. They do reports on women. They do reports on Asians, Hispanic Americans and blacks will give you a competitive advantage for your investors.

Absolutely.

Fine. Well, so like black woman, magic big fat guy.

Thank you so much for having me. Have a good one. Thank you.

Thank you. Thank you. And what a shout out to a legendary Kizzie, I mean, she never she never the energy is amazing.

I told you it's contagious.

I told her I'm like, yo, she's she's she's the one man. She's special. Some people are just special and she's definitely special. Well, let's give you the last word, Troy. What would you like to tell people?

Yo, man, again, 20, 21 obviously is a new year, but we are still facing some of the same problems. So I'm always going to encourage you to reach out to somebody, especially in these times, man. I think people are remiss when it comes to this pandemic. I mean, we are losing more people than we ever have as recent as yesterday.

And if you look at the reports of what's going on in California right now, it's going to be a trying week in L.A. County. So prayers are for everybody that is facing this and all of our medical professionals that are out there that are combatants to make sure that we stay safe. Our prayers up to you. But again, reach out and, you know, contact somebody I know we said give to somebody because it was a holiday season. But giving like you said tonight, man, that should be a daily thing or weekly thing that you should be practicing and actually executing on, man.

Because, again, the blessings I have, if they come back, will come back to L.A. thing is confusing to me.

Has the strictest lockdown in America in the highest corporate rate.

No one staying in L.A. You talk to anybody in L.A., they house party hopping like crazy house parties is going crazy.

Yeah, we had it in New York. And what we had the highest rate had we had the strictest lockdown. No, we do not know.

They shut it down to all my California people. Please be careful like I've known maybe eight people in the last three weeks that have had covered and I'm deathly afraid of the second string.

Yeah, I think New York just found they just today that that mutated strain. They got the first case in New York. So, you know, this is crazy times, man. So everybody just be safe.

Namaskar wear gloves with my 12 year olds open, fully open for business, fully open for business, alarmingly open for business.

Be safe out there. Definitely.

Houston, I heard is open to the Houston. Been open. My goodness. What would you like to tell the people?

I love you guys so much. I'm happy to be back. If I can do anything to help you, let me know from my investors. Let's dig in deep. Go through. I want you to look at the entire market, Russell 2000, Dow, S&P 500 Nikkei. If you go through the Russell 3000, what you'll be surprised once two thousand probably have 40 companies that outperformed the market, four or five X, you'll be able to find some gems there.

But you have to dig deep. Take care of your health. I know you guys want to here to stay in, because if there's a secondary screening, the possibility of a third wheel coming out later this year is very probable. If you look at it like a stats base where escritoire bell curve is over 45 percent probability, and I hope that we don't go through the same thing we went through last year, but it's looking likely. So be careful.

Be careful. And I appreciate your feeling. I was going to wear pink, too.

I was going to put the camera on pink and show that at the last minute.

But, you know, can we take one moment to acknowledge the greatest of all time? Of course, my people rock nation.

I appreciate your you know, my love is love. You know how we got to still manage to shock somebody, put that up early from Illmatic to still manage to still manage or sell the album over there. That's a beautiful, dark, twisted fantasy.

You. Oh, I got a heartache, but I don't want to get killed. I'm going to have to take on on an album.

Homochitto Chris Rock said that's the best rap album of all time.

I'm not gonna argue with Chris Rock has his back is because of my level of talent to massive. It's a classic album. It's a massive still so it's still muddy. So dramatic is underrated.

Yeah. I mean it's classic that one might that. Yeah. Man that was rewind.

Yeah. Yeah. Had man probably my favorite after three was probably one. The most beautiful was a shout out to Eskow man. That was a strong comeback. They thought he was dead and that was a strong story.

Somebody recorded the best you all time. Yeah I would agree.

I think Bo Jackson is the orange of come on we, we got we got to gradually get to that point, bro. Don't get the orange and blue. It's coming bro. I can shout. What's your favorite sneaker all the time. It's hard to be.

You shout out to everybody you see in Calumet when we used to go to Turkey time me I had the red and black was chillin. Oh my lord, I have a fire.

Everything we had I'm a I'm a Dallas Niggerhead man. So we're going we're going to take through a journey. I'm going to go through a journey through this kicking man.

If you if you got some I can get off you instead of going to, you know, twelve and a half. Let me know as I look at shot here, I'm going to let me know.

Just come on. You can get all the days.

Besides you're twelve and a half. Oh that's not even a real size. It's only it's only 12. So restless. I'm special about new balance. You got a new boss like very hard on a new balance. Don't don't do me you really.

We're twelve and a half. Where do you get sneakers from? I can't say that I won't order what I like to just after like a just a tattoo like Diana, Diana 12 or 13.

It could that's like, you know, that's the point after 12 days straight. It's tricky. You've got to be highly connected to get a 12 and a half.

You don't have a plug, you know. Love is love. I'm telling you, when sneakers right now that it's. No, I'm not. But I do. Got on some some track pants. No more shorts trackpad. So they're here baby. Ma'am, ma'am.

I love is love man. We will see y'all on Wednesday as far as El Universal and tomorrow a big one.

Five o'clock the big one. Tap and tap in me. You're going to learn a lot.

Five hundred is that guy south of Marcus Bond. They call him the big Barny.

Now, that's funny. When is all that? Your love is love. We're going to catch your pace. Pace.

Announced Monday, London Monday.