Episode 269

• Stock market is due for a huge crash!!
• There is a new normal, some are saying investing will go back to the way it use to be
• When some invest, the euphoria of seeing stocks go up is the same that addicts feel from cocaine
• Many investors view the stock market as a gamble
  • From business owners
  • It's a gamble because people don’t know what they own and why
  • aka no clarity
• There are risks in everything
• Cookie cutter approaches and the race to the bottom on lowering fees
• 5 tips
  • Know what you own and why
  • Get a second opinion
  • Trust in diversification 
    • Asset allocation is just as important!!
  • Be ready to buy the dip
  • Get a second opinion

March 13, 2018

03/13/18

Investing for Success

Episode 268

• Radio guests: Chris and Brad
  • Kaplan Insurance agency
  • Property causality 
• “It's a price competitive situation”
  • Looking for appropriate insurance to protect you and your ownership
  • Must understand where risk lie in other investments, not just investment performance 
• Channels for insurance
  • Direct
  • Captive arena
  • Agencies
• Biggest mistakes people make
  • Finding insurance through the wrong people
  • Certified insurance counselor
    • Legal to sell insurance but doesn’t mean they always know what they’re doing

March 8, 2018

03/08/18

Investing for Success

Episode 267

• The longer your portfolio is going up the more complacent investors become 
• Short term moves of markets instead of long term objectives of money
• Why do you care if there is a financial crisis?
• Volatility’s an opportunity creator
• Investors will start to care more about their money when corrections happen
• People need to understand how their money is allocated
• The difference between risk and investment
  • Beta of a portfolio is the volatility associated with it compared to a benchmark
• Risk is relative… it is not absolute

March 6, 2018

03/06/18

Investing for Success

Episode 266

• Short term investors are extremely myopic and emotional
• Big news coming out about Zest
• Investors will not buy stock when its going up… but they never buy when its on sale?!!!
• Volatile periods like this are the times that create opportunities to invest in great businesses
• Stress test example of a radio listener
  • Tolerance for risk/volatility is extremely important
  • Investment objectives matter
• Investors spend all their time focusing on individual companies and not the portfolio as a whole
• Time in a business not timing a business
• Example about “great winners” over the years
• Reporting structure: you don’t have the most accurate info on how your portfolio is doing

March 1, 2018

03/01/18

Investing for Success

Episode 265

• The media is all about volatility and investing in “the market”
• Technical investing is looking at charts and technical indicators 
• A 40% pullback is pretty big
• When you get fully invested at 20%. your downside is 20% and so is your upside
• Be fearful when others are greedy and greedy when others are fearful
• Not a fundamental correction, its a technical correction
• Don’t listen to predictions, listen to process
• Invest in businesses over time
• You should have an appropriate asset allocated portfolio
• Most investors who own mutual funds and ETFs do not have flexibility
• Corrections are part of a NORMAL market!
• Consider a rebalance of your portfolio 
  • Static rebalance
• Do not allow your emotions to get the best of you
• Headline: put yourself in a strong position to capitalize
• Most people believe this correction is a deleveraging correction and not a fundamental correction

February 8, 2018

02/08/18

Investing for Success

Download

Episode 264

• If you don’t understand how your money is being managed you need to take an investment stress test
  • There are far too many risky investments
• Modern portfolio theory is used to create allocations for portfolios
• Your asset allocation is extremely important when it comes to how your money should be invested and the affect volatility may have
• Everyone has a threshold for loss in the short term
• Allocated properly, not just diversified
• Emotions generally drive actions
• What do you do from a volatility standpoint as an investor?
  • You just stay the course
  • At the same time volatility provides opportunities
  • Created when you utilize your buy discipline and sell discipline
• Tax loss harvesting
• Selling weaker positions to buy stronger positions
• There is nothing wrong with taking profit along the way and lock in some gains
• A pension is not guaranteed
• Portfolios are not always compared apples to apples
• When corrections and uncertainty fall on the market most investors will sell their index fund and will move to cash
• KISS - keep it simple
• The great businesses will always rebound

February 7, 2018

02/07/18

Investing for Success

Download

Episode 263

• Many retail investors have a lot of money in their 401k and IRA rollovers
  • In investment vehicles where you can’t see what they’re doing in portfolios
• The market is over valued relative to what?
• Trillions of dollars are just sitting on the sidelines 
• 18.7x current earnings- historical average is 16
  • Volatility is mandatory and it will continue
• Volatility is not risk, it is opportunity
• Everyone is buying index funds and derivatives and the cycle continues
• Appropriate asset allocation allows you to buy stronger companies during corrections
• A variety of asset classes is important
• Myopic lossiversion
  • In our mind, the likelihood of something happening recently is much lower than its probability
• We are not in the business of guessing, we are unemotional in the process
• Secular bull markets
  • Inflation adjusted basis you have a flat market (2000-2009)

February 6, 2018

02/06/18

Investing for Success

Download

Episode 262

• Always be prepared for a correction
• We have not had a 20% correction since 2009 at the bottom of the correction
• How nervous are you in this correction?
  • The pullback is expected
  • If the market still was going to continue going up, this correction was needed 
• Being able to see what you own in your portfolio gives you insight on how to take advantage of corrections
• You don’t invest in the stock market, you invest in businesses
• The noise that is happening right now in the grand scheme of things is irrelevant
• If you have the correct allocation this shouldn’t bother you
• Correction started by institutions and end with retail investors
• Rebalancing decisions must be made as long term
• Feel of rising interest rates and accepting those can be a reason for this correction
• Price to earning ratio (PE) people will pay for a stock based on future earnings
  • People buy stocks based upon the future earnings of the company that are unknown 
  • But then they buy mutual funds and ETFs based on historical; performance driven
• Bong term investing means you stick to a process

February 5, 2018

02/05/18

Investing for Success

Download

Episode 261

On this episode, Mark talks about:

• Show discussing the IPS
  • An agreement between the advisor and the investor
• Allows you to put parameters on what investments you own
• Not just risk tolerance, but the policies applicable to the investors portfolio
• Performance expectations
  • Why do people buy high and sell low
  • Move their money constantly
• Investors don’t have clarity on their expectations
• You have no idea how your portfolio performs when you own mutual funds
• Stop asking the wrong questions!
  • Investors always ask what fees are
  • Should be asking about buy and sell discipline
• Discussion on Claritology

January 18, 2018

01/18/18

Investing for Success

Episode 260

On this episode, Mark talks about:

• Maintain reasonable expectations
• Black swan events: things that are unpredictable and out of any controls
• You should view investing as a process
• Bitcoin:
  • Crypto currency
• Paper gains mean nothing
  • Only matters when you sell
  • Selling should be a process just as buying is a process
• Why do money managers have bad years?
  • Stick to a process
• SMA
  • Your money is not commingled with other peoples money (mutual funds, ETFs)
• DOW jones is a price weighted index
• Stick to a buy and sell discipline
  • When do you buy or sell?
• ASK how the money is managed
• Great businesses do not always reflect it in their stock price
• Fixed income, gold and silver are horrible investments
• Bonds and the price of bonds can be very volatile
  • The economy is heating up, tax cuts have come
• A “melt up”in the stock market when the market becomes fully valued
  • When everyone sells bonds and buys stocks
• You must remain unemotional and stick your process

January 17. 2018

01/17/18

Investing for Success

Download

Episode 259

On this episode, Mark talks about:

• Own a more global portfolio
• Investors don't like to talk to financial advisor
  • It makes them uncomfortable
  • They hear the same thing over and over
• Indexes are designed to be guidelines not investment vehicles
• Discussing issues or experiences with Advisor Josh and Kevin
• It's not always the guy who knows the most, its the person willing to lead
• Leadership is incredibly important in an advisor
  • It's not about appeasing a client
• Work with a firm that enables you to see and understand how your portfolio operates
• Mistakes investors make:
  • “The fear of missing out”
  • “What goes up must come down”
• Any pull back investors are waiting
• We have never seen interest rates this low

January 4. 2018

01/04/18

Investing for Success

Download

Episode 258

On this episode, Mark talks about:

• Investors look to advisors to talk about their portfolio first and planning second
• It's never too late to start
• Many investors have questions about an investment portfolio first
  • Inherited money
  • Sold a business
  • Have a 401k rollover
  • Etc
• Investors rarely come in and ask for a financial plan first
  • Nepsis clarity roadmap and clarity compass
• Investors don’t know what to do with their money and they aren’t happy
• Are you in it for the long term journey or are you focused on short term gains and returns
• Facebook question: “Give examples of the Art in investing”
  • Strategic cost averaging
  • Tax loss harvesting
• Active vs passive management
• Risk is relative, its not absolute 
• Not one position makes or breaks a portfolio

January 3, 2018

01/03/18

Investing for Success

Download

Episode 257

On this episode, Mark talks about:

• “But this time is different”
  • Every bull market has something different
  • There is still 1 fundamental fact that is constant in any bull market
    • The valuation of a market or stock is only as high as how much people will pay for it
• Invest in yourself
• Long term care insurance, life insurance, do you need them?
• Stress test experience discussed
• Past performance is not indicative of future performance
• Characteristics in a portfolio
  • You must have an investment strategy
    • Do you know the strategy for how investment decisions are made?
    • Strategic and tactical
  • Blocking and tackling component
    • What are you doing to enhance your investment success
  • "Tactical allocation”
    • The money manager can justify charging you a fee now
  • Tax loss harvesting
    • Getting the tax deduction against capital gains
• Investment tactics = investment strategy ?
  • NO
  • There is a strategy, and then there are tactics that help you execute the strategy
• Headline: “why the S&P 500 will surge to 3000 in 2018
• "Stocks can easily keep soaring”
• Despite economic conditions and black swan events, we can not predict them
• Many investors don’t know WHY

January 2, 2018

01/02/18

Investing for Success

Download

Episode 256

On this episode, Mark talks about:

• Continuation on 2018 predictions 
• More cash on the sidelines, but hitting all time highs (dependent on how your portfolio is invested)
• Free advice
  • You get what you pay for
• We believe investors do not have enough clarity in their investments
• Do not chase historical returns
• The only benchmark you should focus on is the benchmark of reaching your goals
• Investors will continue to be over diversified
  • They are not focusing on the efficiency of their portfolio
• Investors love to pick the benchmark that they think will work best for them
• Article: “time to remind your clients why they won’t beat the DOW this year”
  • Setting expectations with their clients for planning and investment terms
  • Focus on the plan and the big picture
• Performance expectations from investors
  • Short term in nature not long term
• Smart people in the money business are not dumb
  • “The stock market is rigged”
  • Media is making investing a cost issue instead of a value issue
• Most investors invest in a ray of “hope”
• Investors will continue to have an unrealistic time horizon for their investments
• Less than 15% of five star rated funds only three years later had performed at the same level of a 5 star fund

December 28, 2017

12/28/17

Investing for Success

Download

Episode 255

On this episode, Mark talks about"

• DOW is a price weighted index
• Why do you have a bad year?
• We don’t invest for one year, we invest for the long term
• How much risk do you take in order to get the return
• The idea of knowing what you own and why; knowing how things affect your portfolio good or bad
• Top 10 predictions of 2018
  • S&P predictions ill be wrong
  • Stock prices and sick market will move up and down irrationally
  • Focusing on short term performance will distract investors
• Strategic cost averaging is investing unequal dollar amounts in strategic areas
  • Static rebalancing
• Josh and Ken sharing experiences with clients and advisors

December 27, 2017

12/27/17

Investing for Success

Download

Episode 254

On this episode, Mark talks about:

• In the absence of value, thus becomes price
• If an investor does not have a perception of value that they are getting from their advisor then it is only common sense they look for low cost
• People pay for value
• You don’t pay Nepsis to manage your money, you invest in Nepsis and invest in someone to do a good job for you
• Clarity brings greater confidence to the decisions you make
• It's not a cost, its an investment
• Can you put a price on clarity?
• Trump and his capital growth plan
  • Capital sued to build the economy and add more jobs
  • You have to pay more to get the best
• No tax plan ever appeased everyone
• This plan “doesn’t give the working class a tax break”
  • If you aren’t paying much tax into the system in the first place, how are you saving taxes anyway
• It's the 1% that takes the capital they’re making and reinvests it, buys, or donate

December 20, 2017

12/20/17

Investing for Success

Download

Episode 253

In this episode, Mark talks about:

• Technical investing and technical analysis
  • You are looking at stock charts to decide based on factors that are used in technical investing
• "Over bought and over sold”
  • Markets can be those for periods of time
  • Yhat is why you can’t time the market
• When investors have a better understanding of what they own and why they are more likely to stick to the process
• Stocks tend to be more volatile
• Values are relative, not absolute
  • This can make investing challenging for a lot of people
• When do you start buying something, and when do you sell?
• MSCIEAFE index
• Theres no guarantees, fundamentally you need to know what the greatest risks in your portfolio are

December 19, 2017

12/19/17

Investing for Success

Download

Episode 252

• Rebalancing is the most powerful tool investors have to buy low and sell high
• You are setting your allocation to the percentages that you want them to be at
• Volatility levels eventually even out
• People are as bearish as they were in 2009
  • Losing out on gains
• Successful investing has to start with a time tested investment philosophy and strategy
  • You must understand how decisions are make
• Flexibility and transparency are key to stick to the process
• Question from Facebook:
  • Are your investments doing the best they can, and are you on track with your investments?
  • You don’t need to know every detail of your portfolio especially if you trust your advisor
  • Rebalancing, asset allocation
• It's less knowing why you own something; its the fact that you know the businesses in your portfolio
  • You hired someone to give you the insights while they manage it for you
• Own the best of the best
• It's always good to tune up the portfolio and prune it
• People spend their time chasing benchmarks
• Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria
• There is so much cash and people are scared they are going to miss out on the market
• Tax cuts generally don’t bring in big market corrections

December 18, 2017

12/18/17

Investing for Success

Download

Episode 251

On this episode, Mark talks about:

• What's coming in the next ten years?
  • “Software will disrupt most industries in the coming years”
• Think ahead when it comes to your investments
• If a corporation makes money
  • It's going to go back to the owner in the form of a dividends
  • It may go into the bank account of the corp
  • Directly investing in their own business
• The tax plan does not only help the rich
• Wide economic moat
  • Sustainable competitive advantage that a business has that makes it difficult for rivals to compete with
• The only benchmark you need is whether or not you’re reaching your goals
• When things are going well a sense of complacency takes hold in investors
• When things are going well we have the herd mentality
• It is process that enables you to be successful
• It's important that you have a plan of action to help you with your investments and accomplish your goals
• Static rebalancing
  • Rebalance back to the static percentage
• How do MLPs and LPs compare to stock
  • Stock is equity in a business
  • Most companies that trade on the exchange or c-corps
  • MLPs and LPs have a place in your portfolio depending on your goals

December 12, 2017

12/12/17

Investing for Success

Download

Episode 250

On this episode, Mark talks about:

• The job of the media is to get people engaged
• Bitcoin: went from 1700 to 1800, then moved back to 1470
  • Back up to 1800
  • The actual bitcoin went 12,000 to 9,000 and today closed at 19,000
  • The problem with bitcoin can’t be turned into cash
• Who is valuing bitcoin? You are - the people buying it
• A rule of thumb: many investors view those metals as investments - they are not investments!
• Proxies for currency, they are hedges
• 24 is the average pike PE before markets go into a spiral
• Do not let the media scare you from investing!
• Asset allocation tool, piece you put in the portfolio as part of your portfolio for overall portfolio performance
• When you have a portfolio and it is appropriately asset allocated every position in that portfolio should be owned for a specific reason for the whole portfolio to perform as one
• Everything is in the portfolio for a reason

December 7, 2017

12/07/17

Investing for Success

Download