Welcome back! It's episode 55 of Payne Points of Wealth and inflationary pressure is mounting. We've literally had the 10-year treasury up above 1.5% as central banks around the world are starting to indicate that they're going to start to taper and potentially raise interest rates sometime next year. In addition to that, we've got oil prices surging around the world right now, a natural gas shortage in Europe, and costs are going up because oil literally runs everything. So what do you make of the current economic environment? Meanwhile, we still have fighting on Capitol Hill as they're looking to spend trillions and raise taxes. It's a tumultuous time but we're going to give you the game plan you need right now to succeed. On the Tipping Point today we'll talk about how your financial independence plan is like having a great flight plan to make sure you can create the most secure financial situation for yourself. Don’t miss it!
You will want to hear this episode if you are interested in...We talk about the fear of this virus mutating. Well, we mutate. The economy, the global economy, it all mutates. We've changed how we do things and the economies are booming as a result of mutating away from the way things used to be done. Now, there are some near-term problems like supply chain disruptions. But if you're making stuff right now, if you have stuff in your inventory, you can charge whatever you want for it. What a great place to be. Those in the stuff manufacturing business aren’t sitting at home twiddling their thumbs, they’re working 24/7 to get more stuff produced and manufactured so they can sell it!
Meanwhile, all this has inflationary implications, but nothing like we had in the 70s’. We're going to have higher inflation, it will be a little stickier, but we will probably end up at 2.5-3%, nothing to be afraid of, but something you have got to hedge your portfolio for.
This week on the tipping point: Financial flight plansLike anything in life, it's important to have a plan, especially when you're flying, you have to have a flight plan. Your flight plan will be dictated by what the weather's like, the winds, how many passengers you have, how much fuel you have to take. It's important before you take off to have a good idea of not only where you're going but how you intend to get there. That same principle applies to your investment portfolio. It's not about making the most money, it’s about getting to your destination as safely as possible.
The other thing about a flight plan is you're going to have turbulence along the way that comes out of the blue. That's what happens with the markets, like the pandemic, no one could have predicted it. It came out of the blue, the drop in the markets came out of nowhere. It's not how you react in the moment, it's about having that proactive plan ahead of time. You have to be prepared for turbulence in your portfolio. Most of you aren’t and you don’t even realize it. If the world falls apart tomorrow, you're not protected. That's why we always take your portfolio through that stress test.
Is your portfolio built and designed to get through that turbulence?
This week’s hidden facts of financeThe total value of US stocks is now over $51 trillion, a $16 trillion dollar rise from pre-pandemic values. To put that $16 trillion advance into perspective—it took over 200 years from the founding of the earliest US stock exchange in 1790 to the 2007-09 financial crisis for the stock market to create its first $16 trillion in value. Wow! So that's an amazing amount of money in the course of a very short period of time, during a pandemic and a global shutdown to boot! If there's any doubt as to where you should be investing your money, with a $16 trillion increase in just 18 months, sounds like the stock market is the place to be.
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Beware of the Shiny Brochure, Ep #40
From Common Questions to The Right Questions?, Ep #39
The Last 10 Years Aren’t Going To Look Like The Next 10 Years, Ep #38
Simplicity Over Complexity, Ep #37
Inflation, Bonds, & Bitcoin with Kenny Polcari, Ep #36
Calling All Financial Procrastinators! This Show is for YOU!, Ep #35
Financial Products Don’t Sell Themselves And Those Who Sell Them Don’t Do It For Free, Ep #34
Some Like It HOT...We Prefer Profitable!, Ep #33
Learning a Payneful lesson, there are no new eras in investing, Ep #32
Are You Positioned For Last Year or is Your Portfolio Thinking Ahead?, Ep #31
Questions To Ask Yourself When It Comes To Risk In Your Portfolio, Ep #30
The Urgency Of Financial Planning, Ep #29
Do You Have A Fiduciary Acting In Your Best Interest?, Ep #28
The Most Important Age to Focus on Your Financial Plan is...RIGHT NOW!, Ep #27
Ironic Things When It Comes To Investing, Ep 26
Positioning Today For Tomorrow & Preparing For The Red Zone, Ep #25
It’s Easy To Go Up, When You’re Already Down, Ep #24
Mounds of Money and Mounds of Speculation, Ep #23
A year into a pandemic and how it’s impacting your future?, Ep #22
When You Hit A Portfolio Home Run Are You Smart Or Are You Lucky?, Ep 21
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