Money Tree Investing

Today we welcome Jason Crawshaw from Polaris to talk about investing in international markets. Originally from South Africa, he is now a portfolio manager here. His journey's been a rollercoaster, from business school in the US to cutting my teeth in Johannesburg's equity market. Now, for over a decade, he's called Polaris home, focusing on global value. Lately, he is locked on international plays, whether it's established or emerging markets. Learn more about the future of investing in international markets! T

his week we discuss...

• Jason's experience in the equity market, particularly in fundamental equity analysis, with a focus on cash flow generation.
• How Jason's investment strategy revolves around discounted cash flow analysis, particularly focusing on maintenance cash flow adjusted for inflation.
• Jason's preference for international markets over the US due to perceived value opportunities.
• The dominance of the US in global equity markets and the potential overvaluation compared to other regions.
• Regions like Europe and their economic challenges, energy concerns, and regulatory issues.
• Emerging markets: past enthusiasm and current challenges, especially in China.
• Africa as a frontier market with demographic advantages but also currency and governance challenges, making it difficult for equity investors.
• The importance of capital allocation and shareholder returns, and the impact of management decisions on stock performance.

For more information, visit the show notes at https://moneytreepodcast.com/investing-in-international-markets-jason-crawshaw-629

Today's Panelists:

• Kirk Chisholm | Innovative Wealth
• Megan Gorman | The Wealth Intersection
• Phil Weiss | Apprise Wealth Management

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast

Did you know that Willie Mayes can teach us a lot about the stock market? Baseball and investing may have more in common than you think! We talk market statistics, market inefficiencies and arbitrage -- once a profitable strategy is widely known, it loses effectiveness due to widespread adoption (think the short squeeze on GameStop). We also discuss the potential decline of the US dollar's dominance as the world's reserve currency and the direction energy sources may go in the future. It's important to be financially prepared! Today we discuss...

Market statistics and sports statistics can be loosely tied together, with both requiring consideration of multiple metrics for evaluation. There is no single metric that defines the best stock or the greatest player in sports. Efficient market theory suggests that market inefficiencies are arbitraged out over time as more people exploit them. How hedge funds often exploit small arbitrage opportunities, but these opportunities may disappear once they are widely known. Momentum trading strategies can lose effectiveness as more market participants adopt them. How some investors track congressional actions and use them as indicators for investment decisions, but this strategy may lose effectiveness over time. Roaring Kitty's success with GameStop illustrates how retail investors can challenge institutional investors by exploiting publicly available information. The Senate passed a nuclear bill aimed at reducing costs and expediting the permitting process for nuclear energy projects. The expiration of a 50-year trade agreement with Saudi Arabia signals a shift in global power dynamics and highlights the need for the US to transition to alternative energy sources.

For more information, visit the show notes at https://moneytreepodcast.com/willie-mayes-can-teach-us-619

Today's Panelists:

Kirk Chisholm | Innovative Wealth Douglas Heagren | ProCollege Planners

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast

Today we discuss the financial industry and the cycles of business. We have Liz Young from SoFi here to discuss her role in producing investment-related content across various platforms. The strategist shares insights into her career journey, emphasizing the importance of being open to unexpected opportunities.

Liz advises young professionals to explore different roles to discover their interests. We also talk market dynamics, Fed policies, and inflation! Join us as we discuss...

• Investment-related content across various platforms for SoFi.
• Macroeconomic trends and their impact on capital markets.
• The importance of seizing opportunities in one's career.
• The significance of workplace environment and personal skills for career satisfaction.
• Embracing discomfort and learning from mistakes early in one's career.
• The unpredictability of the finance industry and the need for resilience.
• The influence of market conditions on personal happiness and resilience.
• Considering the business cycle as a mental model for navigating market volatility.
• The challenges of identifying the current phase of the business cycle.

Today's Panelists:

• Kirk Chisholm | Innovative Wealth
• Barbara Friedberg | Barbara Friedberg Personal Finance
• Phil Weiss | Apprise Wealth Management

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast

Today's markets have been quite uneventful, but consumer sentiment leads the way! Consumer confidence is down, potentially influenced by upcoming election concerns and negative economic rhetoric. The breadth of stocks above their 50-day moving averages is low, indicating a bearish tone, despite strong performance in the tech sector, particularly semiconductors, driven largely by Nvidia.

This uneven performance highlights the importance of staying agile and adaptable in investment strategies, as the economic environment is constantly shifting.

Today we discuss...

• How the markets have been quite boring due to a lack of significant movement.
• The Dow Jones Industrial Average has been almost flat.
• Only twelve stocks in the entire S&P 500 have hit new 52-week highs recently.
• There are concerns about the economy and potential election results influencing market sentiment.
• Real estate prices continue to rise despite affordability issues.
• Growth stocks, particularly in the tech sector, are outperforming value stocks.
• The US stock market is outperforming the rest of the world.
• Modern Dow Theory suggests semiconductors are the new transports, indicating their importance in the current market.
• Many indicators suggest caution is warranted in the current market environment.
• Technology and AI, particularly companies like Nvidia, are driving market performance.
• Inflation has significantly increased the cost of living, requiring much higher incomes to maintain the same standard of living as in the past.

For more information, visit the show notes at https://moneytreepodcast.com/consumer-sentiment-leads-the-way-617

Today's Panelists:

Kirk Chisholm | Innovative Wealth Douglas Heagren | ProCollege Planners

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast

Do you think there are conspiracies in common financial practices? I do. Michael Edesess thinks so too. He thinks there may be some conspiracies with pensions as well. He explains why strategies like rebalancing, diversification, mean variance optimization, and tax loss harvesting might not be as beneficial as they seem. Michael sheds light on how institutions like Ivy League endowments and public pension funds waste billions on active management that underperforms simple market indices, driven by the industry's profit motives rather than investors' best interests.

Today we discuss...

• Michael's unexpected entry into the finance world, influenced by a classmate's suggestion to explore a brokerage firm using mathematics.
• Why the finance industry and its practices, such as rebalancing and tax loss harvesting, fundamentally flawed.
• Michael's perspective on rebalancing, challenging the belief that it improves investment returns, and why he believes this advice is often misguided.
• The misconception of diversification in mutual funds and clarify the real benefits of diversification according to Harry Markowitz's theory.
• Modern portfolio theory (MPT) and Michael's critique of its practical application, especially concerning mean variance optimization.
• Why tax loss harvesting is not as beneficial as commonly perceived and the costs associated with it.
• Robo advisors, their cost efficiency, and why Michael believes they still don't offer significant value over simple index funds.
• The inefficiency and high costs of investment management for Ivy League endowment funds and public pension funds, labeling the industry as a conspiracy of inefficiency.

Today's Panelists:

• Kirk Chisholm | Innovative Wealth
• Barbara Friedberg | Barbara Friedberg Personal Finance
• Phil Weiss | Apprise Wealth Management

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast

For more information, visit the show notes at https://moneytreepodcast.com/conspiracies-in-common-financial-practices-michael-edesess-616

Mr. Roaring Kitty and stonks are back! Today we have a discussion about GameStop's recent stock movements and the role of individual investors in market volatility. We also talk about asset allocation, the current disparity between large-cap and small-cap stocks, and the potential implications of rising interest rates.

Today we discuss...

• Mr. Roaring Kitty's return and his influence on GameStop's stock.
• The importance of mindset in success, regardless of external circumstances.
• Challenges to the statement that wealthy people succeed due to access to opportunities.
• GameStop's stock, its volatility, and market speculation.
• Structured products as potentially misleading investments influenced by institutional interests.
• The difference in performance between large and small-cap stocks, influenced by inflation and interest rates.
• Business development companies' reliance on floating rates and potential risks from rising interest rates.
• The complexity of understanding business development companies and their investment potential.

Today's Panelists:

Kirk Chisholm | Innovative Wealth Douglas Heagren | ProCollege Planners

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast

For more information, visit the show notes at https://moneytreepodcast.com/stonks-are-back-615

Do you think that Bitcoin can reshape the economy for a better future? Today Jeff Booth is here to discuss the future here sees for the economy and Bitcoin's role in it. Jeff believes that inflation, caused by governments manipulating money supply, is unsustainable. He sees Bitcoin as a decentralized solution. Despite challenges, he's optimistic about Bitcoin's potential to reshape the global economy. Today we discuss...

The idea that the natural state of a free market is deflation, where prices fall as technology advances. He argues that inflation, caused by governments manipulating money supply, is unsustainable and leads to a control system rather than a free market. How Bitcoin is seen as a decentralized solution to this problem, providing a pathway to a more abundant future. Jeff highlights the importance of understanding deflation and its impact on the economy, especially in comparison to inflation. While Bitcoin adoption is growing, there are still hurdles to overcome in making it easier for people to use. How other cryptocurrencies as scams - Bitcoin stands out as the only decentralized and secure protocol.

For more information, visit the show notes at https://moneytreepodcast.com/can-bitcoin-reshape-the-economy-jeff-booth-614

Today's Panelists:

• Kirk Chisholm | Innovative Wealth
• Barbara Friedberg | Barbara Friedberg Personal Finance

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast

Nuclear energy is coming sooner than you think! Today we discuss the sudden shift in media coverage around energy, where negative talk about nuclear power has vanished, and the hype around wind, solar, and other green technologies has faded.

Recently, the White House announced support for large-scale nuclear reactors, emphasizing their necessity for climate goals, marking a significant policy shift. This change in media and government stance indicates a growing recognition of nuclear energy's practicality as a crucial component of our clean energy future.

Today we discuss...

• The cessation of negative discourse around nuclear energy and the halt in positive rhetoric about alternative technologies like wind and solar.
• Curiosity about the uniformity of media narratives and the concept of the persuasion bubble.
• The need to analyze media narratives critically and avoid being swayed by sensationalism.
• Recent governmental support for large-scale nuclear reactor development.
• Challenges in energy infrastructure hindering the adoption of alternative energies.
• Reflections on market valuation trends and the importance of caution in investing.
• Observations on Nvidia's growth and historical parallels with tech giants' valuations.
• Significance of positive developments in various sectors, despite political complexities.

For more information, visit the show notes at https://moneytreepodcast.com/nuclear-energy-is-coming-613

Today's Panelists:

• Kirk Chisholm | Innovative Wealth
• Phil Weiss | Apprise Wealth Management

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast

Oliver gives us the scoop on Truflation, the solution to finding alternative data on all the economic data. Forget CPI and PCE—Truflation offers a fresh perspective, scooping up real-time data from various sources. Oliver dives into why traditional metrics miss the mark, explaining how Truflation tackles these issues using multiple data sources. Oliver urges us to think beyond the usual metrics and consider real-world factors shaping our economic outlook.

Today we discuss...

• How Truflation offers an alternative view of inflation compared to traditional metrics like CPI and PCE.
• How Truflation tracks over 14 million items daily from 40 different data sources.
• Traditional metrics like CPI use outdated methods and surveys.
• Why customers adapt their spending, often switching to cheaper products.
• Market reactions often depend on government-reported numbers like CPI and PCE.
• Historical data revisions by government agencies can cause market instability.
• Housing costs are weighted differently by Truflation compared to CPI.
• Major companies like Unilever and General Mills adjusting prices due to consumer pushback.
• Global trends show a downward trajectory in inflation, but with variations.
• Concerns include high household debt and potential stagflation.
• How monitoring consumer expenditure, household debt, and delinquency rates is crucial.

Today's Panelists:

• Kirk Chisholm | Innovative Wealth
• Douglas Heagren | Pro College Planners

Follow on Facebook: https://www.facebook.com/moneytreepodcast Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast Follow on Twitter: https://twitter.com/MTIPodcast

Crypto Week was a double header. ETH ETFs are approved but not yet live. CBDC's area dead... or just sleeping... Don't count them out, but we can party today. Also in the news...

US tax trends can get tricky! No matter where you fall on the political spectrum, I think we can all agree, no one wants to pay higher taxes. Today we also discuss the nature of markets. Managing risk is crucial, especially during downturns. Success in investing requires understanding your emotions and personal risk tolerance. Today we discuss...

• Markets fluctuate: they rise about 70% of the time, fall 30%, and rarely move sideways.
• Understanding market risk is crucial for managing investments during downturns.
• Investors' risk tolerance shifts with market conditions.
• Emotional responses to market movements often lead to poor decision-making.
• Studies suggest that individuals who don't frequently check their investments tend to perform better.
• Various factors, including government policies, influence market dynamics.
• Government decisions on CBDCs may impact currency stability and investment strategies.
• Concerns about hyperinflation should be tempered by an understanding of historical inflation trends.
• Calls for higher taxes on the rich may not yield desired outcomes and could lead to unintended consequences.
• Aligning policy with human nature can lead to more effective outcomes in economic governance.

Today's Panelists:

• Kirk Chisholm | Innovative Wealth
• Phil Weiss | Apprise Wealth Management

Follow on Facebook: https://www.facebook.com/moneytreepodcast

Follow LinkedIn: https://www.linkedin.com/showcase/money-tree-investing-podcast

Follow on Twitter/X: https://x.com/MTIPodcast