The Young Wealth Blogcast by Jason Hartman

enMarch 28, 2022

YW Blogcast 72: Dr. Peter McCullough, Mandates, Misinformation, Censorship & The Thought Police

Join Jason today as he welcomes Dr. Peter McCullough, MD. Dr. McCullough has over 50 peer-reviewed papers and is an extremely credible person in the medical field.

You can also watch the video NOT on YouTube (having been censored) but on Jason’s other video sites:

After receiving a bachelor’s degree from Baylor University, Dr. McCullough completed his medical degree as an Alpha Omega Alpha graduate from the University of Texas Southwestern Medical School. He went on to complete his internal medicine residency at the University of Washington, cardiology fellowship including service as Chief Fellow at William Beaumont Hospital, and master’s degree in public health at the University of Michigan. Dr. McCullough is a practicing internist, cardiologist, epidemiologist in Dallas Texas and the Chief Medical Advisor of the Truth for Health Foundation.

Listen in to hear another side of this whole pandemic/vaccine debacle and discover what you can do to protect your liberties!

Follow Dr. Peter McCullough, MD at Twitter @P_McCulloughMD and listen to his podcast America Out Loud: The McCullough Report

Key Takeaways:

0:10 Who is Dr. McCullough

2:15 Misinformation and censorship

3:50 Booster concerns and the vaccine numbers tell the story

5:10 Why the misinformation?

5:40 Data, death and deception- is there any end in sight?

7:53 What is truly important

10:45 A collapsing house of cards

12:32 Numbers are grossly under-reported

17:00 Data: The vaccines are causing great harm

20:15 World Council for Health and post vaccine issues

22:58 Inflammation and post vaccine metrics

25:23 Fertility side effects, tin foil hats and dating sites

29:37 Fracturing of decisions- the wall begins to crumble

33:01 Vaccines don’t work

Watch, subscribe and comment on Jason’s videos on his official YouTube channel: YouTube.com/c/JasonHartmanRealEstate/videos

Free Mini-Book on Pandemic Investing: PandemicInvesting.com

Jason’s TV Clips: Vimeo.com/549444172

CYA Protect Your Assets, Save Taxes & Estate Planning: JasonHartman.com/Protect

What do Jason’s clients say?: JasonHartmanTestimonials.com

Free Class: Easily get up to $250,000 in funding for real estate, business or anything else: JasonHartman.com/Fund

Call our Investment Counselors at: 1-800-HARTMAN (US) or visit JasonHartman.com

Free white paper on the Hartman Comparison Index™

Guided Visualization for Investors: JasonHartman.com/visualization

Jason’s videos in his other sites:

The Collective Mastermind

enMarch 27, 2022

YW Blogcast 71: Mark Victor Hansen, Ask! The Bridge From Your Dreams to Reality, Jason Hartman University Live Event

The legendary Mark Victor Hansen, best selling author, real estate investor and entrepreneur is Jason's guest today, talking about his new book, Ask!: The Bridge from Your Dreams to Your Destiny. Most people have beautiful dreams deep inside—the things they would like to have, the relationships they’d love to enjoy, and the wellness and well-being that would help them express their best, in every way. But often those dreams lie buried inside us. Hidden by fear or unworthiness or a lack of awareness of what could be. Asking is the only language to which the Universe can deliver a solution, understanding, illumination, or plan.

There are three distinct channels through which we can ask: Ask Yourself, Ask Others and Ask God.

You were born with a destiny. Your job is to discover it. Once you begin to practice the art and science of asking to discover your destiny and start to move toward it, you can manifest innumerable blessings for yourself and others. This isn’t a complicated process; in fact, it’s a simple gift that lies dormant within you. Once you learn to access that gift, everything changes for the better. Ask! will help you access your hidden dreams and reveal them to be recognized and fulfilled in miraculous ways.

You matter. The world needs you to find your destiny and live it. This book is your guide. Start crossing the bridge to your destiny today!

Key Takeaways:

Introducing Mark Victor Hansen
The triangle
Unlocking your potential
Wakes up at 2:58am
Affirmations
Goal versus affirmations
What's holding you back?
The 4 principles
Do everything you desire
Be consistent and a "Master Asker"
The Top 3 favorite books you've published
Final Comments

Mentions:

AskTheBookClub.com

MarkVictorHansenLibrary.com

Watch, subscribe and comment on Jason’s videos on his official YouTube channel: YouTube.com/c/JasonHartmanRealEstate/videos

Free Mini-Book on Pandemic Investing: PandemicInvesting.com

Jason’s TV Clips: Vimeo.com/549444172

CYA Protect Your Assets, Save Taxes & Estate Planning: JasonHartman.com/Protect

What do Jason’s clients say?: JasonHartmanTestimonials.com

Free Class: Easily get up to $250,000 in funding for real estate, business or anything else: JasonHartman.com/Fund

Call our Investment Counselors at: 1-800-HARTMAN (US) or visit JasonHartman.com

Free white paper on the Hartman Comparison Index™

Guided Visualization for Investors: JasonHartman.com/visualization

Jason’s videos in his other sites:

enMarch 27, 2022

YW Blogcast 70: How to Profit from Millions of Americans Moving to the Suburbs

For more information visit JasonHartman.com

enMarch 14, 2022

YW Blogcast 69: Why Mass Inflation is Still a Threat to Rich Countries

For more information visit JasonHartman.com

enMarch 07, 2022

YW Blogcast 68: What Zimbabwe Can Teach Investors About Jurisdictional Diversification

For more information visit JasonHartman.com

enFebruary 28, 2022

YW Blogacast 67: Renter Majority Suburbs are on the Rise

enFebruary 21, 2022

YW Blogcast 65 - Unemployment, Wage Growth, and Making Ends Meet

Not long ago, we worried a lot about the lack of jobs. We talked about rising unemployment rates and worried about students graduating into an economy that had absolutely no jobs to offer. We saw individuals with years of work experience and advanced degrees getting laid off, struggling to find any work.

The problem we seem to be facing now is similar–still troublesome, still limiting. Now we’re left wondering where exactly the wages are. We’ve got the jobs–the labor market is approaching full employment–but wages remain the same. Logically, an increase in the number of jobs should put more pressure on wages, which would then rise. The unemployment rate is below six percent, which is a huge improvement. Unfortunately, earnings growth is nonexistent.It’s a strange occurrence, leading many to question why exactly that’s happening.

Place

When employment studies come out, they’re spread across an entire population. They mean that “overall” employment rates are higher. So what happens if people are getting jobs in one place? It alters the overall statistics. The same is true of wages–while they may be increasing in areas where jobs are growing, they aren’t increasing everywhere. Thus, the numbers are distorted.

There are also a few industries that are experiencing wage growth, but it isn’t universal. While mining and energy are boasting more jobs and higher wages, retail and food service workers have experience little to no wage growth–and they represent a much larger portion of the labor market. There are a lot of jobs being added to industries that lack wage growth, which causes the overall numbers to be down. Jobs in goods-producing industries have grown significantly since the recession, but jobs in service producing industries (the lowest wages and slowests to grow) are also growing.

Discouraged and Part Time Workers

Unemployment statistics obviously don’t account for everything, which makes it hard to get a real grasp on what is actually going on. It leaves us with a class of invisible unemployed people–discouraged and part time workers who desire more hours. Technically, they’re employed, though they likely aren’t working the number of hours they’re hoping to. They’re also potentially working at jobs that are well below their skill and experience level.

The official unemployment rate is around 5.8 percent excludes these folks who are still not making ends meet with their part time hours. In reality, the number of unemployed Americans has declined twice as quickly as the number of discouraged and part time workers. If we break it down, the difference becomes even more clear. In 2002, official unemployment accurately reflected what was happening in the labor force, with numbers far higher than more “invisible” types of unemployment. Since, the spread has lessened. Essentially, unemployment rates are not at all accurate representations of the actual condition of the labor force in America.

It’s also important to note that the workforce is aging–which leads to a difference in visible and invisible employment rates.

A shift in the workforce

Recently, there’s been an increase in work completed by companies in America by workers who are not American. An emphasis on heavy production for low labor costs have changed the way many companies do business. They’ve led to an increase in productivity and a higher profit margin–but they aren’t good for American businesses.

Expansion and hiring abroad have controlled labor costs within the United States and have greatly benefited investors–but wages are not growing.

What it means

Unfortunately, there are stories all across the United States that echo these findings–people earning low wages who are technically employed but whose salaries have failed to keep up with the rising cost of living. Healthcare is more expensive than ever–double what it cost a family only a decade ago. Gas is twice as much today, and higher education has risen from around $7,000 to approximately $17,000. And it’s leading Americans into debt. To be more specific, around $15,000 on the credit card and approximately $32,000 in student loans.

So what do we do to compensate?

If wages fail to expand (no matter the reason) many people are going to struggle because nothing else is getting significantly less expensive. Attempting to make ends meet can be difficult in a flourishing economy and becomes nothing short of a struggle in the aftermath of a recession.

As a member of the workforce, you’ve got a couple different options–and some are easier than others.

Pick up a part time job

A lot of young people are picking up a nontraditional part time job–think writing, photography, social media management. These jobs allow flexibility of schedule, involve some creative thinking, and allow a person to work from home.

These types of positions can be great for supplementing income if you’re struggling–and they can open the door to other things.

Invest

One of the “other” things they make way for are investments, which is what Jason Hartman recommends. While it is never a good idea to gamble your money with risky investments (like stocks), there are other, more permanent, forms of investments that can supplement your income considerably. With the money you make from a temporary extra job, invest in something that isn’t going anywhere. Everyone needs a place to live, so real estate is generally a low risk form of investment. But don’t buy for yourself–consider your investment an income property and find a way to make your money work for you.

Your tenants will pay mortgage and you’ll collect some extra money on top of that. Your investment will make more of the money you’re earning, no matter your wage. While the economy often fluctuates, people will always need a safe, comfortable place to live.

It can be difficult and ultimately frustrating to read the job reports, especially if you’re employed part time and struggle to find full time work. Unfortunately, these types of reports don’t reflect the often devastating reality of unemployment and partial employment. While you may have to work harder for awhile and things may seem grim, keep your chin up–you’ll get through this and be on your way to creating a future of wealth and prosperity.

enApril 02, 2015

YW Blogcast 64 - How to Be Your Own Boss

The millennial generation is known for a lot of things–tech savviness, high student loan debt, a reluctance to spend forty plus hours a week in a windowless cubicle working for a boss you don’t particularly care for. The millennials and the generations to follow have the entrepreneurial bug and it shows no signs of disappearing.

There’s this idea that working for yourself is the way to go, and ultimately it’s not a bad one. By taking charge of your strengths and interests, you’re responsible for your own future–your own wealth. In a still struggling job market, the idea of being your own boss can be an appealing one.

What many fail to recognize is the responsibility, time, and dedication that such an undertaking requires. If you’re considering starting a business, you’ll need to be a good boss–but first you’ll need to be a good employee. There are a lot of other things you’ll need to be, too–and here’s a look at some of them.

To the responsible go the spoils

Sure, it may sound a little obvious, but you’re going to need to be a highly responsible person to be your own boss. People that are concerned only with marketing themselves will struggle in a boss role–it’s responsibilities first, branding second. Your personal brand isn’t important if your business can’t deliver.

You’re also going to need to be extremely committed. This can mean canceling plans to tend to the needs of your business, giving up weekends, and suffering a less than ample bank account for a few years. You’ve got to believe in your business with your whole heart and be willing to do whatever it takes to make things happen.

You’re naturally optimistic

(Or at least optimistic about your business.) People who are the boss (of themselves and others) have to have a generally positive attitude, even when things aren’t going too well. Other employees, if there are any, may get down about the process–as the owner, you can’t. People are greatly impacted by the attitudes of others, so maintain a good one.

Your company is probably your passion project, but that doesn’t mean it exists to serve your needs–ultimately, you’re serving your customer, whoever they may be. You can’t whine about things that happen to your business, be they fair or unfair. Work to lead by an example of positivity and hard, tireless work.

Similarly, your attitude about how to get ahead should be a positive one. If you’ve got a good idea for a business and you’re willing to work hard to be successful, you want to be the kind of boss (if only for yourself) that succeeds because you are achieving and not bullying. Power may come with your position, but it probably won’t be the thing that you’re after. You’ll listen to the ideas of others, educate yourself, and move forward with optimism and leadership.

enMarch 26, 2015

YW Blogcast 63 - The Sun Also Rises: Solar Power

There’s a lot of talk about the rising cost of energy, and you’ve probably heard discussions about solar power. Perhaps you’ve seen solar panels or billboards advocating for one side or the other. But what exactly is solar power? Simply, it’s the conversion of sunlight into electricity.

Concentrated solar power systems rely on lenses and mirrors to narrow sunlight into a small beam, while Photovoltaics convert light into electric current–and both work to produce solar power. While there are still a few things to figure out in the area of solar power, we do know that the cost is falling and the potential for low-carbon energy is increasing.

A brief history

Commercial concentrated solar plants appeared for the first time in the 1980s. Currently the largest solar power plant finds its home in the Mojave Desert, where there’s plenty of sun. Spain, India, and the United States all have a variety of solar power plants producing at relatively large volumes.

In the 1860s, development of solar technologies began when people predicted that there would be a lack of goal. In the early 20th century, the development stopped because of the abundance of coal and petroleum. In the early 70s, there were only six homes in North America that relied on solar power exclusively. The 1973 oil embargo and the 1979 energy crisis brought new attention to the potential of solar energy technology and efforts began to more fully research and produce this form of power.

The early 80s saw oil prices fall, which again limited the growth of solar power. Then, issues with oil and natural gas supplies as well as new discoveries about global warming renewed our excitement about solar power. Since 2000, it has experienced a 40% growth rate and many more plants have been built or are under construction.

A look at the future

So, historically speaking, cheaper fossil fuels mean that we care a little bit less about solar deployment. But that may be about to change–solar power is getting even cheaper and is on track to be the cheapest form of electricity. While you might think about solar power as being something only the wealthy can afford, times are changing.

Solar energy is becoming something that is accessible for everyone, and prices will likely continue to drop. Technology is finally trumping fuel, and it means that efficiency will likely increase. Fossil fuel, on the other hand, is becoming more expensive and less efficient.
Experts predict that, by 2050, solar electricity will be the world’s single largest source of electricity–shocking, since it accounts for just a fraction of one percent at present. Interestingly (and understandably) the small market share that solar energy currently has means that, even with rapid expansion, other forms of energy will not be impacted, at least price-wise–but they’re losing their power, so to speak.

Some cool applications

You may have seen an increasing number of electric vehicles roaming around the streets–but some of them are now being powered by sunlight. By installing solar panels on a rooftop, it is possible to generate enough energy to power a vehicle. The panels aren’t cheap, but they’re increasingly affordable–the vehicles, on the other hand, are pretty pricey.

Expect to pay about $7,200 for a gas-electric hybrid vehicle with solar capabilities than you would for an average car, even with the federal tax credit. It’s an investment, but advocates are confident that its going to pay off.

While we’re not sure how many electric cars are actually being powered by the sun, we can provide a look at how many electric and plug-in cars are being sold–97,563 last year alone in the United States. That number is up 83% from the year before, which is pretty significant.

About 500,000 homes and businesses in the United States have some form of solar installation. To give you an example–enough panels for an average house might be 41, which will cost $51,865. The federal tax credits received bring that number down to $29,205. The panels will produce about 14 megawatt hours of electricity, around 8 of which a family might use. If you add a solar powered car into the mix, you’ll use an extra 5 megawatt hours approximately.

And If you’re not by a charging station, you can use gas too–but your costs are significantly reduced. It is estimated that solar power will pay off for such a family in only six years. Without the car, it will take almost 12 years to pay off.

A few things to consider

As with anything, there are a few things to consider. You’ve got to have a roof for solar panels and it has to be a sunny one. A big clear roof is best–chimneys can be pretty pesky. Also, while costs are significantly down, it’s still a pretty significant investment. You may be able to lease too–and there are a lot of tax credits available for both solar powered homes and solar powered cars.

You’ve got to think more about your location too. While cities may provide a number of electric charging stations for your car, more rural areas may be lacking. There are cars that can suite your needs virtually anywhere though–some offer gasoline backup in case of emergencies and may be a better choice for those in more “out of the way” areas.

Solar power is getting cheaper, and it promises to change the way we consume things going forward. While it might be an initial investment, it promises to make your property more valuable in the long run.

Whether you own your own home, rent from someone else, or manage a variety of income properties, solar paneling is the wave of the future. So far, it seems like a great way to increase the overall value of your home while doing something a little friendlier for the environment.

What do you think? Is solar power the way of the future? Is it going nowhere? Would you consider installing solar paneling to power your house, vehicle, life? Let us know!

enMarch 19, 2015

YW Blogcast 62 - Health, Wealth, and Freedom

Lottery winners have become collectively famous for their inability to manage their money upon winning. New lotto millionaires misspend and misuse, fail to invest, end up with less money than they started with. The same can be said for NFL athletes–men who beat up their bodies for wealth that frequently ends in bankruptcy or corruption.

Of course, anyone can spend their money poorly–the rules of proper investing cross all levels of wealth. Jason Hartman believes in the value of real estate in building wealth–but what then?

If you’re a student with a part-time job or a professional athlete with a ten year, $80 million contract, there are rules for managing your money, so take note.

Rules for acquiring wealth

Acquiring wealth isn’t easy–very few people strike it rich and many never experience the level of financial comfort they had once dreamed of. But it isn’t impossible–with some hard work, education, and careful investing everyone is capable of financial freedom.

It isn’t about your income

A hefty paycheck is great, certainly–but it isn’t the only factor that determines your ability to build wealth. People who have significant wealth have it because they’ve saved appropriately–no matter how much they’re bringing in. Focus less on the number on that bi-weekly check and more on what you’re doing with it.

And if you’re wisely managing your money and still struggling to save, look at alternative ways to make a couple of bucks. Real estate investing is a great way to passively make income, and collecting rent is a great way to build your personal fortune. While stocks and bonds can be a bit of a gamble, there are plenty of investment opportunities that promise high returns with little risk.

Look past the initial lack of sparkle

We get it–investing doesn’t initially seem as sexy as other ways of making money. You don’t immediately get a big car or a fancy new house. But everything in time. Good investors are patient and don’t spend a lot of time messing around with their investments. They invest in areas that make sense and not just those with a little flash. They spend time reading and researching. They show a level of patience that differentiates them from those that never quite build wealth.

Find the people who fail

It’s interesting to look at people who have done well with their money, but it doesn’t tell you all that much. It’s unlikely that your path to wealth will follow someone else’s very closely, so while it might be enjoyable to attempt to follow in the path of the elite, it is helpful in a limited way.

Instead, look for the people that have done a pretty bad job of managing their money. This way, you work toward avoiding bad choices. You make fewer mistakes because you’re aware of what those mistakes actually are–and you’re going out of your way to make sure they never happen to you. As a beginner, avoiding mistakes will be more beneficial than making amazing choices. Everything in time.

Rules for living with wealth

Once you’ve made a few great choices and acquired wealth, you’ve got to live with it. Don’t worry–it shouldn’t be that hard.

It’s more about the things you can’t see

Wanting to look rich is a poor reason to become wealthy. Resist the initial vanity that comes with money and work toward wealth that isn’t as visible. Lottery winners, athletes, and celebrities live extravagantly because they want to prove their success with expensive items, and many go bankrupt as a result. If you’ve got the stuff but not the cash, how real is your wealth?

Focus on building assets that will last a lifetime–and produce income.

It’s all about perspective

You’ve probably heard that it isn’t good to compare yourself to those around you–while this may be true in some areas of your life, it can be helpful in others. Because wealth in America is different from wealth in India is different from wealth in the UK, it can be useful to look at yourself in comparison with the people immediately around you.

So compare yourself, and then remember that it doesn’t actually matter. If you’re financially free according to your own standards, you’re doing just fine.

Rules for dying with wealth

Maybe you’ll spend your money and maybe you won’t before you pass on–but establishing a means of lifelong wealth is a pretty cool feeling. It requires planning, sure, but much of it relies on your feelings about wealth and even more is all about the attitude.

Learn to do things because YOU want to

Wealthy people think differently, so stop caring what other people are thinking about you. The general public is generally bad with money, so you’re operating on a whole different level. While many people are going for the “get rich quick” scheme, your wealth will take longer to builder. But it will last longer, too.

Remember to educate yourself

Investing isn’t always intuitive, so take the time to learn all you can about the things in which you wish to invest. Remember that education is a continuous, lifelong process. Don’t assume anything, seek advice, and think carefully about your decisions.

The world is an unpredictable place

We get it–a lot of things happen in this crazy world of ours. As such, it’s important to recognize this. Perhaps you’ll work very hard for your money and then lose it in the unpredictable stock market. Perhaps you’ll win the lottery. Jobs are lost, salaries increased, divorces finalized. Life is expensive and unpredictable.

But wise investors are as prepared for these events as one can be. They’re capable of surviving financial crisis because they’ve been smart with their money. Accept the inevitable, but prepare for it too.

By following these rules (and making up a few of your own as you go along) we know that you have the great potential to be successful. Remember that it is okay to make mistakes–as long as you learn from them–and it’s okay to celebrate your victories. Live financially free–and happy investing!

enMarch 12, 2015

YW Blogcast 61 - Criminals on Wall Street?

Jason Hartman has often said that Wall Street is the modern version of organized crime. And he’s not wrong–the things that happen on Wall Street are beyond deplorable. Masquerading as the place where our financial heart beats, where our cash arteries thrive with the life force of money, Wall Street is instead a bit of a hole down which we flush our financial dreams.

Some pretty crazy things have gone on there, but what are the worst among them? Quite honestly, it can be hard to tell–but allow us to provide a look at some of the highlights or, more accurately, low lights.

Richard Fuld

You’ve probably heard Fuld’s name tossed around, and never affectionately. Initially patted on the back for his handling of the sub prime mortgage crisis, Fuld was the longest tenured CEO on all of Wall Street. While other bigwigs were forced to resign, Fuld kept his job though he drastically underestimated the spiraling housing market in the United Stated and the effect it might have on Lehman’s business.

He failed to complete deals that many thought would prevent Lehman Brothers from bankruptcy on the basis that he thought the firm was worth more–it wasn’t. But in 2008, Fuld (along with twelve other Lehman Brothers higher ups) were summoned by the grand jury in connection with three investigations related to securities fraud.

Fuld was nicknamed the “Gorilla” because of his competitiveness and rumors circulated that he was once punched in the face at a company gym. He’s made a lot of Worst CEO of All Time lists and is one of Time magazines top 25 people to blame for the financial crisis.

Jamie Dimon

This J.P. Morgan Chase CEO was head of an extremely mighty bank, though much of his corruptive acts were born of the Federal Reserve. The Fed has twelve regional offices in which officials from that regions banks make up the board of directors. This meant that Jamie Dimon was on the board of the New York Fed, who was supposed to regulate J.P. Morgan.

Is this a conflict of interest? Certainly. Does it happen with regularity? Absolutely. And Jamie Dimon didn’t even have to try very hard to help his bank out, negotiating a bailout package with the New York Fed during his time on the board. On Wall Street, Dimon’s otherwise criminal behavior was likely celebrated.

Phil and Wendy Gramm

Why do alone what you can do with a loving partner? Texas Senator Phil Gramm helped push through the Commodity Futures Modernization Act, which banned federal regulation of poker chips and state enforcement against anti-gambling laws against derivatives trading. Enron was a lobbying force, though they later memorably collapsed under fraudulent derivatives trades.

At the time the bill passed, Wendy Gramm served on the Enron board of directors and, while the company collapsed, Wendy made her share of cash.

Phil left the senate for the vice chairmanship at UBS, a Swiss bank. Since, UBS has been involved in a number of scandals. A lot of folks have gotten in trouble, but Phil and Wendy seem to be doing alright.

Warren Buffett

Not to be confused with Jimmy, the more fun Buffett, Warren was once a spokesperson for many, speaking out about class warfare. Now, he actively lobbies against Wall Street reform. He’s used his wealth to buy friends who will do the same–a Nebraska Senator filibustered on reform for Buffett. Buffett has defended Goldman Sachs–he is, after all, an investor.

In 2008, he put a casual $10 billion into Goldman Sachs. He’s since acknowledged that he did that only because he thought Goldman would be bailed out by the government. He was right many times over and was handsomely rewarded with the help of taxpayers.

Robert Rubin

Robert Rubin was a Goldman Sachs chairman who happened upon the position of Treasury Secretary under President Bill Clinton. Rubin ruled over a time of great deregulation and was a heavy political influencer. He helped repeal Glass Steagall, a law that banned banks from gambling with taxpayer money in securities. In 1998, Citibank merged with Travelers Insurance group, which was illegal–but Rubin repealed the law in 1999. The two companies merged to form Cigigroup.

That year, Rubin hit the road, taking up employment with Citi where he earned a salary of $120 million. When the company collapsed in 2008, they required a bailout. With a terrible public image, Rubin decided to attempt repair by speaking about Social Security and government spending.

Alan Greenspan

Yet another familiar name on the list, Federal Reserve chairman Alan Greenspan was a buddy to Rubin, backing his deregulatory plans and squashing efforts to regulate derivatives. He left office in 2006, when the derivatives market had become a multi-trillion dollar casino. Greenspan accepted a position with PIMCO and later Paulson & Co, a hedge fund. You’ve probably heard their name too–they worked with Goldman Sachs to ruin their own clients through unregulated derivatives.

In the 80s, Greenspan was linked to a series of financial criminals.

Stephen Friedman

When the financial crisis reached it’s peak, around fall of 2008, Stephan Friedman was chairman of the New York Fed and also set on the board of directors at Goldman Sachs. The Fed paid to keep AIG from collapse and then paid AIG’s counter parties 100 cents on the dollar for AIGs bets. Friedman bought 52,600 shares of Goldman stock, which doubled (and then some) his holdings.

The public didn’t find out which banks received money until much later. Friedman made millions of dollars from his Goldman stock (they were the number one beneficiary of the bailout). If he knew it, he’s a criminal and if he didn’t–well, he’s an idiot.

The bottom line

As you can see, corruption runs deep down Wall Street. This list, while long, could be a lot longer–and nothing is changing. While stocks can be a seemingly fun option, you’re putting your money at great risk and you’re dealing with risky people. This kind of investing is little more than a gamble. Investors beware!

Unemployment, Wage Growth, and Making Ends Meet

enMarch 07, 2015

YW Blogcast 60 - The Big Money of Big Sports

You’ve probably heard a number of children respond to the question—what do you want to be when you grow up? And the answers vary, if only slightly. Many children want to be firefighters or doctors—and still more want to be professional athletes. Whether they’re gunning to drive a racecar or dribble down the court, from an early age, kids want to be professional athletes.

As children, we’re probably more into it because of the cool factor—the very idea that a person could play a sport for a career is astounding (and still is). As adults, the paychecks associated with such a career may make the idea even more appealing. Professional athletes make a ton of money, though they don’t always know what to do with it.

So what athletes are the highest paid in the world?

Floyd Mayweather is the top earner, and he’s been making significant money for over a decade. His fights are among the most popular in history, and he earns as much as $32 million for only one fight. He’s widely considered the most popular boxer in the world and he promotes fights, further driving up his paycheck.

Cristiano Ronaldo is a soccer player and he ranks second overall for athletic earners. He’s pulling in $80 million and is often paid for endorsement deals with major companies—think Samsung and Toyota. Combine that with his soccer salary and he’s making almost as many dollars as he has social media fans (83 million on Facebook).

LeBron James unsurprisingly comes in at number three, earning $72.3 million. His endorsement deals include Nike and McDonalds and his shoe and jerseys sales reflect this popularity. He’s also making a ton of money through Beats by Dre, which he outfitted the entire 2008 US Olympic basketball team in.

Next is Lionel Messi, a soccer player who earns $64.7 million. He’s the face of a franchise, and his paycheck certainly shows it. He’s on his seventh contract in 11 years and is the beneficiary of a lot of sponsor dollars. He’s doing his fair share of endorsements too, which include companies like Adidas and Gillette.

And finally, Kobe Bryant comes in fifth with a casual $61.5 million. He, like Jason Hartman, is an investor, though his product of choice is sports drink BodyArmour. He’s got a super high salary and is working with companies like Nike and Turkish Air. Overall, his jersey is the third best selling in the NBA and he’s raking in the cash.

Of course, these represent extremes. Many and most athletes fall somewhere in the middle.

And what is it they’re doing with their money?

As you might have guessed, the money of the rich and famous is passed through a lot of hands. They’ve got someone to invest it, someone responsible for paying the bills, an accountant monitoring everything, and perhaps a secondary accountant for just in case. Oh, and there’s at least one lawyer to make sure everything is on the level. The money of famous athletes is juggled between a lot of people and places, to say the least. That is, if they’re smart, they are enlisting the help of financial professionals. But that isn’t always the case.

For many athletes, particularly the young and reckless, this sudden wealth can be a bit of a burden. There’s so much money to be had, which is a lot of pressure for someone young and newly wealthy. Some money goes to bad investments or perhaps worse, casual and excessive spending.

It is a shame—those with access to a lot of easy money squander it so quickly, leaving themselves penniless for later years. Estimates indicate that as many as 35% of professional athletes end up penniless as the result of poor money management. And, while some of the spending is undoubtedly related to ego, a lot of the poor decisions can be linked to a simple lack of financial education.

Part of the problem is in the way professional athletes are asked to view the world. They’re required to focus on the immediate future, the task in front of them at this moment. As they sacrifice their bodies on the playing field, they sacrifice their bank accounts in much the same way.

While some organizations have put forth efforts to increase the financial literacy of their players, the struggle is ongoing. Classes and seminars are certainly a step in the right direction, though the solution isn’t a quick one.

If you’re curious about what it is these athletes are spending all of their money on, we’ve got a list. First, vehicles. Fancy cars that cost upwards of $80,000 portray the image athletes hope to relay to their fans. They’re also big, luxurious cars meant to accommodate the tall and muscly.

They’re also buying stereo equipment for both their homes and cars, satellite dishes, and—you guessed it—clothes. Professional sports have also become more fashionable, and all of those fancy clothes come at a high cost. From sweat suits to ties, athletes make up a large portion of the clientele at high-end clothing stores.

They’re also, if they’re recently out of college, looking to buy at least one home, and then they’ve got to furnish it.

So it is easy to see where a financial professional might come in handy, if only to act as a keeper and distributor of money. Because many athletes come from lower or middle class backgrounds, this type of assistance can be so vital. We are all pretty good about living within our means—some of our means are just more significant than others.

The average salary for MLB, NFL, and NBA players is $507,600, but that takes into account extreme highs and mediocre salaries. About 30% will go to income tax and the rest will go to a variety of other expenses—hopefully, they are the right ones.

How would you spend all of that professional athlete money? We’d recommend some smart investments in something like real estate!

photo credit: Artur Potosi via photopin cc

Read more from Young Wealth:

The Lesson of Pacific Property Assets

enFebruary 26, 2015

YW Blogcast 59 - The Lesson of Pacific Property Assets

We hear about it all the time–scams aimed at swindling money from innocent people. Especially targeted are the elderly, who may not be (though this is certainly changing) as familiar with technology, making them easier to take advantage of. This is happening across the country–no city, large or small, is immune to this troubling behavior.

John J. Packard, of Long Beach is accused of this type of conniving behavior. He’s the co-founder of a failed apartment investment firm and will be pleading guilty to federal fraud charges. The US Attorney’s Office claims that hundreds of investors, mostly elderly, were scammed out of nearly $91 million by Packard and Pacific Property Assets–a Ponzi scheme.

What exactly is a Ponzi scheme?

While you’ve probably heard the term, you might not know much about a Ponzi scheme, except that it’s generally a bad idea to get involved in one and something worth staying far away from. You’re not wrong–but there is a little more to it than that.

A Ponzi scheme is an investment operation in which an individual or organization pays returns to investors fraudulently by using new capital paid to the company by other new investors instead of paying from profit earned by the company.

So why would anyone become involved with such a company? It all comes down to money. Companies operating Ponzi schemes offer higher returns than can be found with other companies or types of investments. Jason Hartman often says that if it sounds too good to be true, it probably is–wise investment advice, no matter your industry.

The charges

Victims have been notified that he will plead guilty to charges, though the case prosecutor declined to comment, maintaining that the documents relevant to the hearing were all under seal. There are no details about whether or not Packard will get a plea deal should he testify as a witness against former Pacific Property Assets CEO Michael Stewart, who has relocated to Arizona.

Federal courts have charged the pair with 16 counts of fraud, including mail, bank, and bankruptcy fraud. Initially following their February arrests, both pleaded not guilty. Now, they’re set to go to trial on April 14, and Steward could be sentenced to up to 320 years in prison.

A timeline

Packard and Steward created their business in the late 90s to requisition investments to purchase, refurbish, and operate apartment buildings in Long Beach, Riverside, and Phoenix. But in spring of 2009, the firm essentially collapsed in on itself, taking with it the money of around 700 investors. The losses, which include mortgages on Pacific Property Assets buildings, amount to nearly $115 million.

Pacific Property Assets solicited new investments for something they called an “Opportunity Fund”, which promised to pay up to 30 percent interest before the default in May of 2009. Steward and Packard, the ever dynamic duo, looked for new investors even after the company went bankrupt, which did not sit kindly with investors.

The firm is said to have been in financial struggle since 2005, though they claimed to have been making a profit. It is thought that both Steward and Packard were using the money of their investors to pay the interest payments of existing investors–until the money ran out. Of course, they also managed to, with company funds, purchase an interest in a Newport Beach yacht and pay themselves a casual $750,000 per year. Attorneys also accuse the duo of spending additional millions on a variety of things.

How to avoid schemers and scams

Making any sort of investment can be scary given the prevalence of wrongdoing in the industry, but investments should be exciting! Knowing how to protect yourself against companies that are looking to take advantage of you is crucial in this situation.

The key to investing is in understanding a few quick commandments, brought to you by real estate expert Jason Hartman.

Become Educated

The best way to make smart investment choices and avoid being scammed is to educate yourself. Be your own best advisor by seeking out information that makes you the expert on your own finances.

Seek Guidance

While you can get a lot of information by educating yourself, you’ll eventually need to look for a little bit of expertise. At this point, find the help of a professional you trust who will be with you for the long term. Build a relationship of trust and find someone who will produce results.

Stay in Control

The place where most investors encounter trouble is when they turn over control to someone else. Someone else should never make decisions for you–always be a direct investor.

Remain prudent

Before making any decision, you’ll want to keep your long term goals in mind for investments. Set an investment plan and then follow it to ensure that you’re still on track. Think about your long and short term goals for wealth, your risk tolerance, and your own financial situation.

Do not gamble

If you’re looking for ways to get rich quickly, you’re more likely to get scammed–see the above story for an example of what we’re talking about. Don’t flip houses, speculate, or take other risks.

Always diversify

The least risky portfolios are those that are diverse, both in type of investment and location. Remember that real estate is always a local investment–but you can be local in a lot of different places!

Be area agnostic

Don’t limit yourself only to areas you are familiar with or have preconceived ideas about. Look at opportunities everywhere.

Use borrowed money

If you use a lot of your own money, it isn’t free to do other things. Borrowed money is repaid by tenants. In this way, borrowed money works for you and reduces personal risk.

Identify universal needs

Real estate is a great investment (particularly residential real estate) because everyone needs a place to live. Look for investments that share these qualities and address universal needs.

Purchase tax favored assets

We get it–taxes aren’t the most interesting things to deal with. But get excited about taxes and see how much money you’ll be able to save when you own income properties.

Follow these commandments and prepare yourself for a life of solid investments and a serious lack of scams.

enFebruary 19, 2015

YW Blogcast 58 - The Millennial Struggle House and Home

If you participate in social media, you’ve likely seen the memes that put millennials under the microscope. Statements like they’re uncommitted or they spend too much time indoors have a way of downplaying the types of jobs and job market they’re being presented with. Then again, social media has a way of taking everything to one extreme or another.

In actuality, millennials do change jobs a lot. But it isn’t because they’re perpetual job hoppers without the ability to see anything through. Instead, they’re career-minded individuals with an eye for the future. When they’re moving jobs, they’re doing it for about 25% more money—every time. And what to do with this extra money? Well, Jason Hartman recommends investing in real estate.

By moving from job to job, millennials are developing a diverse skill set that will serve them well in the future. The reality of the job market has been that it is difficult to immediately get a high paying job out of college—so millennials are taking lower paying jobs for shorter periods of time. An education simply isn’t enough. Employers are seeking employees with demonstrated on the job skills, even if that job doesn’t require a college degree.

Wages have stagnated across the board, increasing only in health care. There are pay cuts everywhere and annual pay is about $10,000 less than what we saw ten years ago. It’s causing mimllennials to stick with jobs (when they’re able) and to switch when they’ve developed the skills (and when an opportunity opens up). Because of this, growth requires them to switch jobs if they hope to advance.

Baby boomers had pensions that encouraged them to stay with one particular company for a long (or even life) time. Now, we aren’t seeing that and millennials risk becoming more financially at risk than their parents were years ago. And there are ways to combat that (becoming financially literate, exploring investment opportunities, saving), but the risk is real.

Overall, millennials are more educated than generations before them but they’re more likely to live in poverty and be unemployed. Some attribute this to their need to find a job that corresponds with what they are passionate about—but it has more to do with the massive student loan debt they’ve been saddled with. So, we’re seeing millennials who, despite popular opinion, are focusing less on passions and more on the money they’re struggling to make.

As the job market begins to turn around and hiring is on the rise, millennials are also increasing a drop in unemployment numbers. There are, and not just among millennials, more people changing jobs, which is a positive sign for the job market. For millennials who wish to develop their skillset by moving jobs, there are a few things to keep in mind.

First, changing companies too frequently can inhibit growth because it doesn’t allow employees to develop connections and meaningful relationships with colleagues. If you leave before you have time to complete a large project, you may not have as good of a reference, making it more difficult for you to move up in your career. As a sort of compromise, you can always ask to push back your start date a month or so—it give you time to wrap up any projects you might be working on while allowing you to develop a new set of skills.

enFebruary 12, 2015

YW Blogcast 57 - The Big Money of Big Sports

So what athletes are the highest paid in the world?

Of course, these represent extremes. Many and most athletes fall somewhere in the middle.

And what is it they’re doing with their money?

enFebruary 06, 2015

YW Blogcast 56 - The Real Reason Billionaires’ are Dumping Stocks

Like rats leaving the Titanic, billionaires’ Warren Buffett, John Paulson, and George Soros have been quietly divesting their portfolio of of stocks. The question is why? The stock market is in the midst of a historic rally, real estate prices have been showing signs of strength in some areas, and unemployment, if not exactly improving, at least seems to have stabilized somewhat. So why the rush for these financial titans to get out of stocks? Is it possible they don’t know what they’re doing?

Ha! Possible but not likely. The more probable reason is that they’re paying attention to something that the majority of investing schlubs haven’t noticed yet. In fact, there is a specific bit of research from a well-respected source that indicates the stock market is set to correct itself soon, perhaps by as much as 90%. Before you dismiss the number as ludicrous, consider the source. This prediction comes from Robert Wiedemer, the man who correctly called the most recent housing market collapse and published his research in a book called America’s Bubble Economy.

A variety of financial experts, drawn from sources like Dow Jones, Standard & Poor’s, and Goldman Sachs, believe we should be paying close attention to Weidemer’s newest book, Aftershock. While Weidemer acknowledges that a drop of 90% is a worst-case scenario, he believes some sort of large drop is almost guaranteed.

Here’s why. By the way, followers of Jason Hartman’s predictions will find the following reasoning very familiar. Jason has been saying the same thing for years.

The problem starts with the Federal Reserve’s continuing quest to stimulate the economy by printing massive amounts of money. Weidemer is quoted on MoneyNews.com: “These funds haven’t made it into the markets and the economy yet. But it is a mathematical certainty that once the dam breaks, and this money passes through the reserves and hits the markets, inflation will surge. Once you hit 10% inflation, 10-year Treasury bonds lose about half their value. And by 20%, any value is all but gone. Interest rates will increase dramatically at this point, and that will cause real estate values to collapse. And the stock market will collapse as a consequence of these other problems.”

The logical result of the preceding scenario is that businesses will stop expanding and begin either laying off workers or at least freeze hiring, actions which will result in lower profit margins and lower dividends. No self respecting billionaire will accept these eventualities on his holdings. That’s why the big boys are dumping stocks. You might be wise to assess whether you should do the same.

enJune 20, 2013

YW Blogcast 55 - The Perfect Property Management Scam

A property management scam is when someone claiming to be a property manager implements a purposeful scheme to deceive and defraud you out of money. As heinous as that thought is, Jason Hartman reminds you that, as a landlord, you should keep in mind that there is a difference between the incompetence displayed by a legitimate manager who is simply bad at his job and the illegality perpetrated by a scam artist.

While there are many different types of scams circulating in the property management industry, one of the most effective is also one of the simplest. Here’s how it works. Your newly hired “property manager” saturates the local media in order to draw the most interest in renting your unit. Anyone who has ever just missed landing a great apartment knows the frustration of multiple people vying for the same property. What if, rather than renting to a single tenant, the property manager carefully spaced out the showing and move-in schedule so that he could sell the space to five different tenants, collecting five different sets of first and last months’ rent in the process?

Obviously, this is completely unethical and illegal but this “property manager” might easily put $8,000 to $10,000 in his pocket over the course of a few hours and skip town before either the landlord or his new tribe of unrelated tenants knows what hit them. It’s kind of icky to think about, but the only way to beat this kind of scam is to think like a scammer and don’t give him the opportunity to take advantage of

you.

As a landlord, the easiest way to avoid being scammed by a fake property manager is to take the time to conduct a background check. It’s actually not hard to establish a management company’s bona fides, and if the individual you want to check out seems evasive, be very concerned! Research state and county records to make sure the company is legitimate. Ask to see identification and then search local government websites and the Better Business Bureau to insure there’s nothing fishy associated with that name.

The bottom line is that any honest property manager who has been in business for even a short length of time will have some sort of track record that can be easily located. If nothing else, ask for references. While it’s a fact of life that every business has to start somewhere, it’s not your responsibility to risk your own money and reputation giving a brand new guy or gal a try. Let someone else be the guinea pig. You should only entrust your rental properties to a proven property manager.

enJune 19, 2013

YW Blogcast 54 - 3 Reasons it’s Great to be a Young Investor

Irish playwright George Bernard Shaw claimed that youth was wasted on the young. When it comes to finances, whether or not a young investor appreciates the advantages of having logged fewer years on planet earth is irrelevant. What matters is that a savvy twenty-something can build a substantially larger portfolio over time simply on the basis of recognizing his youth and allowing that to dictate an investment strategy. Here are three reasons it’s great to be young.

Take More risks!
Don’t interpret this to mean that you should put every last nickel to your name in a penny stock company founded by Bernie Madoff’s secret cousin, because we’re not saying that. What we are saying is that an investor in his or her mid 20’s has, theoretically, about 40 years until retirement. When you don’t need to touch your money for four decades, it affords the luxury of being able to create a portfolio with a slightly riskier mix of assets. Normal market volatility should not be as much of a factor because you have time to recover from a sharp downtown.

Compounding Really is a Miracle
We’ve said it before and we’re never going to stop saying it. The miracle of compound interest is the single greatest financial tool/strategy ever invented. You could be an absolute moron in every other aspect of your life, but if you simply contribute $5,000 every year (beginning at age 25) to an IRA that earns, on average, 7 percent annually, you will arrive at age 70 with more than $1.5 million waiting for you. Start at age 35 and the age 70 lump sum drops to about $800,000. Put off investing until age 40 and you’re looking at $546, 891. The lesson here is threefold:

Start investing early
Be regular
Reap the fruits of your wisdom with a more awesome retirement lifestyle

Create a Financial Plan
The truth is you probably won’t reach your financial goals by simply wandering through life. You’ve got to create a plan that includes:

1. Contributing enough to receive any employer matching 401(k) contributions that might be available.
2. Getting rid of high-interest debt – anything above 9 percent is killing you economically. It might even be a good idea to extinguish the higher interest rate debt with extra savings.
3. Contributing the maximum amount to your workplace 401(k) and then looking into opening a personal IRA like a Roth.

Last but not least, set up automatic investment plans to reach other financial goals. While working your way through these three steps, don’t forget to tell George Bernard Shaw to stick his words where the sun don’t shine. While youth may or may not be wasted on the young, fewer candles on the birthday cake could mean much more money down the road.

enJune 18, 2013

YW Blogcast 53 - 4 Financial Lessons for Kids (And Others Who Need Them)

In a perfect world, we would all have the following critical financial ideas pounded into our heads at the earliest possible age, preferably before 10. However, the reality of parenting and the educational system is that few of us are exposed to proper thinking about money early, if ever. Young Wealth is here to rectify the situation so, in the likely event your parents forget to cram the financial wisdom of the world down your throat – here it is. Don’t say you were never told.

1. It takes money to make money: Teens may be taken aback when the Bank of Mom and Dad eventually turns off the spigot and the realization sets in that, ughh, it’s time to think about working for your money. It’s a tough lesson but that’s how the cookie crumbles. Unless you’re a trust fund kid, Disney tween star, or plan to invent the next world conquering computer operating system, you’re going to have to slave for your wages. That’s okay. Learn the value of work and how much you don’t want to do it the rest of life. Therein might be the motivation to save and invest!

2. Set a Goal: It’s tough to get anywhere in life without setting a goal. It could be as simple as buying a new iPod or more lofty like retiring before the age of 30. Either way, learning to set goals is an invaluable part of finances. Set a price tag and time frame and let your industriousness take care of the details.

3. Income is a good thing: The reality of life is that the majority of us are going to have to go to work every day to make ends meet. The sooner we internalize and accept that fact, the better. The important idea here is to learn to make the connection between effort and achieving the goal. Plus there’s the small matter of being able to afford to put food on the table and gasoline in the car.

4. Motivation means reward: To accomplish anything of substance in life requires motivation. That’s where goals and rewards come in. Though our first goals might be a new bicycle or Wii, eventually we move on to more substantive life accomplishments like retirement or a new car. That’s when the lessons of childhood pay off in a big way. Motivation takes you to the reward, which provides more motivation for the next goal and an even bigger reward. Rinse and repeat.

These financial lessons might seem simplistic to those out of college or in the work world but, if you find yourself experiencing money hardships, maybe it’s time to go back to these very simple financial lessons and re-apply them to your life. It’s normally the basic, simple ideas that carry the most power.