1 00:00:40,709 --> 00:00:46,009 Suze: April 7th 2024. Welcome everybody to the Women and Money 2 00:00:46,020 --> 00:00:51,340 Suze: podcast and everybody smart enough to listen, Suze O, here 3 00:00:51,348 --> 00:00:55,509 Suze: and today is Suze School and I suggest that you 4 00:00:55,520 --> 00:01:00,049 Suze: take out your little Suze notebooks because I just have 5 00:01:00,060 --> 00:01:04,010 Suze: a feeling that you're going to need them. Now as 6 00:01:04,019 --> 00:01:04,660 Suze: you know, 7 00:01:05,260 --> 00:01:08,000 Suze: or maybe you don't know. But when I sit down 8 00:01:08,010 --> 00:01:12,919 Suze: to do a podcast, I really don't know what I'm 9 00:01:12,930 --> 00:01:15,430 Suze: exactly going to say. It's not like I have it 10 00:01:15,440 --> 00:01:19,910 Suze: scripted out and I just kind of talk about the 11 00:01:19,919 --> 00:01:23,559 Suze: things that I think you need to know based on 12 00:01:23,930 --> 00:01:28,080 Suze: the emails and some of the community responses that I 13 00:01:28,089 --> 00:01:34,069 Suze: get from you since the last podcast. So we'll see 14 00:01:34,080 --> 00:01:37,250 Suze: what happens. But the very first thing that comes to 15 00:01:37,260 --> 00:01:41,110 Suze: my mind is the basketball game 16 00:01:41,440 --> 00:01:47,289 Suze: with Iowa against UConn and oh my God. And I 17 00:01:47,300 --> 00:01:51,099 Suze: just have to say something, obviously, Iowa won, but it 18 00:01:51,110 --> 00:01:54,139 Suze: wasn't so obvious for a while. I really thought uconn 19 00:01:54,150 --> 00:01:56,139 Suze: was gonna win. But that's, besides the point 20 00:01:57,029 --> 00:02:03,129 Suze: is that whenever I watch anything, whenever I look at anything, 21 00:02:03,889 --> 00:02:08,589 Suze: I always think about it in terms of money, 22 00:02:09,559 --> 00:02:13,199 Suze: not money, how much money they make things like that. 23 00:02:13,369 --> 00:02:18,329 Suze: But the players of a team such as a basketball team, 24 00:02:18,339 --> 00:02:22,758 Suze: a football team, whatever it may be, I look at 25 00:02:22,770 --> 00:02:28,948 Suze: those players as if they were players in your personal 26 00:02:28,960 --> 00:02:30,820 Suze: financial portfolio 27 00:02:31,529 --> 00:02:35,990 Suze: and how you need all different kinds of players to 28 00:02:36,000 --> 00:02:40,619 Suze: win a basketball game. And I was really thinking about 29 00:02:40,630 --> 00:02:46,460 Suze: this on Friday night when Caitlin Clark and everybody knows now 30 00:02:46,470 --> 00:02:52,839 Suze: who Caitlin Clark is phenomenal. But truthfully she was so 31 00:02:52,850 --> 00:02:59,270 Suze: off her game on Friday night, but yet they still 32 00:02:59,320 --> 00:03:00,070 Suze: won 33 00:03:00,600 --> 00:03:05,399 Suze: and why did they still win because the other players 34 00:03:05,410 --> 00:03:11,820 Suze: on that team stepped up and that is why they won. 35 00:03:12,240 --> 00:03:16,419 Suze: And most of the time you need different players that 36 00:03:16,429 --> 00:03:20,630 Suze: do different things because it's a team sport to win 37 00:03:20,639 --> 00:03:25,539 Suze: a game. But the same is true. Exactly. The same 38 00:03:25,550 --> 00:03:28,100 Suze: is true. When it comes to your money, 39 00:03:28,729 --> 00:03:35,520 Suze: you need different players, different financial instruments in order for 40 00:03:35,529 --> 00:03:41,279 Suze: you to win the financial independence game. Really? You do. 41 00:03:41,589 --> 00:03:45,500 Suze: So you need money, that's safe, you need money, that's liquid, 42 00:03:45,509 --> 00:03:48,750 Suze: you need money, that's for growth. You need all different 43 00:03:48,759 --> 00:03:51,750 Suze: kinds of things that you have in place 44 00:03:52,169 --> 00:03:56,190 Suze: to make sure that if one goes the wrong way, 45 00:03:56,279 --> 00:04:01,869 Suze: another one will step up and eventually it all works out. 46 00:04:02,399 --> 00:04:05,949 Suze: I tell you this because I'm a little bit afraid 47 00:04:06,250 --> 00:04:09,720 Suze: that a lot of you aren't doing that. A lot 48 00:04:09,729 --> 00:04:12,940 Suze: of you. When you hear me mention a specific stock, 49 00:04:12,949 --> 00:04:16,190 Suze: for instance, you just buy that one stock, 50 00:04:16,670 --> 00:04:20,890 Suze: but yet you don't have any other stocks at all 51 00:04:20,899 --> 00:04:26,010 Suze: in your portfolio. So if that stock happens to go down, 52 00:04:26,570 --> 00:04:31,779 Suze: you have no other players, no other stocks or investments 53 00:04:31,869 --> 00:04:34,328 Suze: that may be going up 54 00:04:34,829 --> 00:04:38,410 Suze: to equalize it out. And it doesn't have to just 55 00:04:38,420 --> 00:04:43,309 Suze: be other things besides stocks, but maybe their stocks in 56 00:04:43,320 --> 00:04:50,730 Suze: different areas than all in one specific area. Because right 57 00:04:50,738 --> 00:04:55,089 Suze: now you've been seeing that last week, the markets had 58 00:04:55,100 --> 00:04:56,849 Suze: a really hard time 59 00:04:57,488 --> 00:05:01,169 Suze: that for a few days there, they were going down 60 00:05:01,178 --> 00:05:04,920 Suze: and down and down and I'm sure many of you 61 00:05:04,928 --> 00:05:09,799 Suze: were totally freaked out. Oh, no, they're going down. My 62 00:05:09,809 --> 00:05:13,719 Suze: portfolio was up and now they're going down and down 63 00:05:13,730 --> 00:05:14,440 Suze: and down 64 00:05:15,130 --> 00:05:18,390 Suze: and while I'm thrilled that they're going down 65 00:05:19,119 --> 00:05:23,899 Suze: because remember, we don't want to put all of our 66 00:05:23,910 --> 00:05:29,540 Suze: investment money in the stock market at one time, we 67 00:05:29,549 --> 00:05:33,299 Suze: always want to do it little by little by little. 68 00:05:33,459 --> 00:05:37,790 Suze: So that in case the market goes down and your 69 00:05:37,799 --> 00:05:41,099 Suze: stocks or mutual funds or ETFs go down, 70 00:05:41,649 --> 00:05:46,140 Suze: that you then can take advantage of the downward moves 71 00:05:46,149 --> 00:05:49,450 Suze: and dollar cost average into whatever it is that you're 72 00:05:49,459 --> 00:05:53,630 Suze: buying and bring your average cost down. 73 00:05:54,640 --> 00:05:58,779 Suze: And so I'm always happy when the markets go down 74 00:05:58,829 --> 00:06:03,559 Suze: because then I can buy more of my favorite investments 75 00:06:04,260 --> 00:06:07,929 Suze: for less than if they were to continue up and 76 00:06:07,940 --> 00:06:13,519 Suze: up and up and all investments cycle. 77 00:06:14,230 --> 00:06:18,890 Suze: And you need to know that. So you always want 78 00:06:18,899 --> 00:06:21,160 Suze: to keep, they always say you want to keep powder dry. 79 00:06:21,170 --> 00:06:24,988 Suze: I don't know why they call money powder. But anyway, 80 00:06:25,100 --> 00:06:29,850 Suze: you always want to keep some money to continue to 81 00:06:29,859 --> 00:06:31,369 Suze: invest more. 82 00:06:32,040 --> 00:06:39,159 Suze: And that's true with not only obviously stocks and ETFs, 83 00:06:39,570 --> 00:06:45,579 Suze: but it's true with gold, Bitcoin and even treasuries 84 00:06:46,549 --> 00:06:50,730 Suze: and CDs. Just something I want you to think about. 85 00:06:50,738 --> 00:06:54,849 Suze: Put a pin in CDs for a second here. 86 00:06:55,988 --> 00:06:56,609 Suze: Now, 87 00:06:57,589 --> 00:07:01,730 Suze: the first part of this lesson of the Suze School 88 00:07:02,488 --> 00:07:08,709 Suze: is I want you to write down cyclical uptrend and 89 00:07:08,720 --> 00:07:11,109 Suze: a secular uptrend 90 00:07:12,500 --> 00:07:17,299 Suze: as I sit here speaking to you today. So I 91 00:07:17,309 --> 00:07:21,250 Suze: don't care when you're listening to this, this applies to 92 00:07:21,260 --> 00:07:24,540 Suze: right here and right now. So if you listen to 93 00:07:24,549 --> 00:07:28,079 Suze: this podcast a year from now, it might not be true. 94 00:07:28,859 --> 00:07:31,079 Suze: But we are in both 95 00:07:32,160 --> 00:07:35,709 Suze: in the stock market, a cyclical uptrend 96 00:07:36,369 --> 00:07:39,440 Suze: as well as a secular uptrend 97 00:07:40,230 --> 00:07:46,899 Suze: and a secular uptrend is a long term uptrend. 98 00:07:47,850 --> 00:07:50,630 Suze: Now, every once in a while when we're in a 99 00:07:50,640 --> 00:07:54,829 Suze: long term uptrend, which means it's gonna last probably for 100 00:07:54,839 --> 00:07:58,230 Suze: years or a while and we've already been in one. 101 00:07:58,630 --> 00:08:03,950 Suze: Usually it can be normal that in a secular uptrend 102 00:08:03,959 --> 00:08:05,959 Suze: long term uptrend, 103 00:08:06,679 --> 00:08:13,140 Suze: you can have cyclical down trends and a cyclical downtrend 104 00:08:13,200 --> 00:08:17,290 Suze: is for a short period of time because certain things 105 00:08:17,299 --> 00:08:19,730 Suze: are happening in the economy, 106 00:08:20,429 --> 00:08:24,010 Suze: the markets for instance will go down. 107 00:08:25,130 --> 00:08:32,349 Suze: But when you have a cyclical downtrend in a secular uptrend, OK, 108 00:08:32,359 --> 00:08:37,650 Suze: the markets then will tend to come back. Right now, 109 00:08:38,320 --> 00:08:42,630 Suze: we're also in a cyclical uptrend. 110 00:08:43,409 --> 00:08:49,049 Suze: So when you look at investing and investing in ETFs 111 00:08:49,210 --> 00:08:53,829 Suze: and mutual funds in your 401k plans and your retirement accounts, 112 00:08:54,450 --> 00:08:59,590 Suze: this is still a fabulous time right now. Now, anything 113 00:08:59,599 --> 00:09:07,900 Suze: obviously can happen, but right here and right now for equities, everybody, 114 00:09:08,739 --> 00:09:12,880 Suze: I truthfully believe from the bottom of my heart that 115 00:09:12,890 --> 00:09:15,119 Suze: equities positioned correctly 116 00:09:16,349 --> 00:09:22,569 Suze: diversified correctly will outperform treasuries. 117 00:09:23,429 --> 00:09:28,010 Suze: So when it comes to investing, you have to know 118 00:09:28,020 --> 00:09:32,858 Suze: more than just what are treasuries doing, what are CDs doing? 119 00:09:32,869 --> 00:09:35,989 Suze: Should you go long term or short term with treasuries? 120 00:09:36,000 --> 00:09:40,450 Suze: What should you be doing with all of that? Treasuries 121 00:09:40,460 --> 00:09:41,169 Suze: and CDs 122 00:09:42,380 --> 00:09:47,150 Suze: need to make up a part possibly of your portfolio, 123 00:09:47,159 --> 00:09:52,359 Suze: especially if you are older, 60, 70 or 80 because you 124 00:09:52,369 --> 00:09:58,030 Suze: just want that security. But if you are younger, you're 125 00:09:58,039 --> 00:10:03,260 Suze: in your twenties, thirties, forties or even fifties right now, 126 00:10:03,270 --> 00:10:07,359 Suze: we're in a fabulous investment environment 127 00:10:07,710 --> 00:10:11,270 Suze: where there are ways for you to invest and actually 128 00:10:11,280 --> 00:10:17,330 Suze: with dividend yields on certain stocks get a higher interest 129 00:10:17,340 --> 00:10:22,728 Suze: rate than what treasuries are paying you than what CDs 130 00:10:23,210 --> 00:10:24,599 Suze: are paying you. 131 00:10:25,270 --> 00:10:29,049 Suze: So you have to have different players 132 00:10:29,770 --> 00:10:35,549 Suze: and you can't just have everything in just stocks and 133 00:10:35,559 --> 00:10:40,069 Suze: one type of stock or everything just in treasuries and 134 00:10:40,080 --> 00:10:43,570 Suze: that is it or everything just in your money market 135 00:10:43,580 --> 00:10:48,140 Suze: account or everything that you have just in CDs because 136 00:10:48,150 --> 00:10:51,299 Suze: just like the markets go up and down, 137 00:10:52,030 --> 00:10:56,609 Suze: you have to make sure that you have different players 138 00:10:56,640 --> 00:11:01,419 Suze: on your financial team when something starts to go down 139 00:11:02,159 --> 00:11:06,710 Suze: versus starts to go up. And that brings me to 140 00:11:06,719 --> 00:11:13,789 Suze: certificates of deposits as well as treasuries. Alliant Credit Union 141 00:11:14,239 --> 00:11:20,130 Suze: had a change in their certificates of deposit rates a 142 00:11:20,140 --> 00:11:21,669 Suze: few days ago, 143 00:11:22,010 --> 00:11:28,949 Suze: the six month went to 5%. However, the 12 to 144 00:11:28,960 --> 00:11:35,309 Suze: 17 months went down a little bit to 5.15%. 145 00:11:36,159 --> 00:11:43,780 Suze: The 18 to 23 months went to 4.90% and the 146 00:11:43,789 --> 00:11:47,500 Suze: two year went to 4.30%. Now, 147 00:11:48,260 --> 00:11:54,840 Suze: those are for amounts of under $75,000 if you put 148 00:11:54,849 --> 00:12:00,820 Suze: in $75,000 or more, the 12 to 17 months went 149 00:12:00,830 --> 00:12:02,429 Suze: to 5.20 150 00:12:03,090 --> 00:12:08,260 Suze: the 18 to 23 months went to 4.95 and the 151 00:12:08,270 --> 00:12:11,710 Suze: two year went to 4.35 152 00:12:12,580 --> 00:12:15,950 Suze: especially the 12 months to 17 and the 18 to 153 00:12:15,960 --> 00:12:23,520 Suze: 23 months, those are still great, great interest rates the 154 00:12:23,530 --> 00:12:26,559 Suze: other day, I had a half an hour talk with 155 00:12:26,570 --> 00:12:33,119 Suze: Dennis Devine, who is the CEO of Alliant Credit Union. 156 00:12:33,960 --> 00:12:39,229 Suze: And what's so great is that I know that when 157 00:12:39,239 --> 00:12:45,109 Suze: Alliant Credit Union is having a change in interest rates, 158 00:12:45,840 --> 00:12:49,840 Suze: they're doing it. Not just because they want more customers 159 00:12:49,849 --> 00:12:52,848 Suze: or whatever, it may be. Not just because their job 160 00:12:52,859 --> 00:12:55,659 Suze: is to offer you the highest interest rates out there 161 00:12:55,669 --> 00:12:57,419 Suze: that you can get anywhere, 162 00:12:58,090 --> 00:13:03,390 Suze: their job truthfully is to protect your money. 163 00:13:04,119 --> 00:13:09,780 Suze: Their job is to protect the money of the people 164 00:13:09,789 --> 00:13:15,940 Suze: that have invested in Alliant Credit Union, whether it's in 165 00:13:15,950 --> 00:13:19,630 Suze: the ultimate opportunity savings account or one of the CDs 166 00:13:20,020 --> 00:13:22,900 Suze: or whatever else it may be. 167 00:13:23,989 --> 00:13:29,250 Suze: I'm loving the fact that in the 2.5 years 168 00:13:29,929 --> 00:13:33,630 Suze: that I've been talking to you about Alliant Credit Union, 169 00:13:34,020 --> 00:13:41,390 Suze: close to $1 billion from all of you have been 170 00:13:41,400 --> 00:13:47,789 Suze: invested in their CDs in the Ultimate Opportunity Savings Account. 171 00:13:48,609 --> 00:13:53,320 Suze: That is a lot of money and that's just from 172 00:13:53,450 --> 00:13:58,150 Suze: all of us here at the Women and Money podcast. 173 00:13:58,760 --> 00:14:03,320 Suze: They obviously have far more than that because not everybody 174 00:14:03,330 --> 00:14:06,340 Suze: listens to the women and Money podcast, but you should 175 00:14:06,349 --> 00:14:08,929 Suze: be telling absolutely everybody 176 00:14:09,750 --> 00:14:14,530 Suze: to listen. That's besides the point, but just from all 177 00:14:14,539 --> 00:14:19,690 Suze: of you think about that. So it's Dennis' job and 178 00:14:19,700 --> 00:14:25,150 Suze: it's my job to make sure that that money, that 179 00:14:25,159 --> 00:14:27,630 Suze: is a lot of money from all of you, it 180 00:14:27,640 --> 00:14:32,190 Suze: is safe and it is protected no matter what happens. 181 00:14:32,530 --> 00:14:35,289 Suze: So I have people that post and they go, I 182 00:14:35,299 --> 00:14:37,710 Suze: can get a higher interest rate at such and such 183 00:14:37,719 --> 00:14:40,080 Suze: a place or I'm gonna do that or I'm gonna 184 00:14:40,090 --> 00:14:43,270 Suze: do this, you can do whatever you want. 185 00:14:44,409 --> 00:14:48,719 Suze: But I feel great that no matter what interest rate 186 00:14:48,729 --> 00:14:51,390 Suze: they're offering right now and it's still one of the 187 00:14:51,400 --> 00:14:52,729 Suze: highest out there, 188 00:14:54,190 --> 00:14:58,710 Suze: whatever interest rate that they're offering. I know that your 189 00:14:58,719 --> 00:15:04,599 Suze: money is safe and sound assuming that you are under 190 00:15:04,609 --> 00:15:11,330 Suze: the $250,000 NCUA, limit for insurance or you have multiple 191 00:15:11,340 --> 00:15:15,239 Suze: different types of accounts or multiple beneficiaries. So that even 192 00:15:15,250 --> 00:15:18,049 Suze: if you have a million dollars in there, it's insured. 193 00:15:19,140 --> 00:15:24,250 Suze: I want to know regardless of insurance that your money 194 00:15:24,260 --> 00:15:27,409 Suze: is invested in such a way that is safe and 195 00:15:27,419 --> 00:15:28,090 Suze: sound 196 00:15:28,739 --> 00:15:34,380 Suze: with that said, however, for those of you who live 197 00:15:34,570 --> 00:15:43,140 Suze: in high income state tax brackets, California, New York and 198 00:15:43,150 --> 00:15:49,030 Suze: so forth right now, the one year treasury note is 199 00:15:49,039 --> 00:15:54,429 Suze: still a little bit under the interest rate of the 200 00:15:54,440 --> 00:15:57,760 Suze: CD at Alliant Credit Union. 201 00:15:58,369 --> 00:16:02,190 Suze: What you need to do truthfully is you need to 202 00:16:02,200 --> 00:16:07,789 Suze: figure out in your tax bracket. Do treasuries make more 203 00:16:07,799 --> 00:16:13,510 Suze: sense for you now than certificates of deposits. You just 204 00:16:13,520 --> 00:16:18,760 Suze: need to think about that and research it in many circumstances. 205 00:16:18,770 --> 00:16:21,070 Suze: It absolutely might. 206 00:16:21,940 --> 00:16:25,219 Suze: I want to talk about interest rates now for a second. 207 00:16:26,309 --> 00:16:31,039 Suze: It is obvious that the Feds want interest rates to 208 00:16:31,049 --> 00:16:36,690 Suze: come down. They had projected that in this year, 2024 209 00:16:36,700 --> 00:16:40,090 Suze: there would be three or four interest rate cuts. I'm 210 00:16:40,099 --> 00:16:42,659 Suze: not sure there will be any interest rate cuts from 211 00:16:42,669 --> 00:16:48,429 Suze: the feds this year. But they really want interest rates 212 00:16:48,440 --> 00:16:51,650 Suze: and inflation to come down. 213 00:16:52,049 --> 00:16:55,640 Suze: But for interest rates to come down, inflation has to 214 00:16:55,650 --> 00:17:02,349 Suze: come down and we'll see what happens there. But technically speaking, 215 00:17:02,359 --> 00:17:06,310 Suze: what the technical analysts are projecting 216 00:17:07,109 --> 00:17:10,040 Suze: and these are people that work with numbers and look 217 00:17:10,050 --> 00:17:14,479 Suze: at trends and all these other things. Technically, they are 218 00:17:14,489 --> 00:17:20,619 Suze: projecting that right now, the 10 year treasury that is 219 00:17:20,630 --> 00:17:23,530 Suze: at 4.40% 220 00:17:24,290 --> 00:17:29,589 Suze: will probably go as high as 4.55%. 221 00:17:30,430 --> 00:17:34,250 Suze: But most likely by the end of this year or 222 00:17:34,260 --> 00:17:40,770 Suze: beginning of next, it will be down to about 3.5%. 223 00:17:41,689 --> 00:17:44,489 Suze: Are interest rates going to go up? Are they going 224 00:17:44,500 --> 00:17:49,349 Suze: to go down? We don't know. However, right now 225 00:17:50,069 --> 00:17:57,130 Suze: the 30 year Treasury is about 4.551%. 226 00:17:57,930 --> 00:18:00,579 Suze: Now, I know that I told many of you a 227 00:18:00,589 --> 00:18:04,310 Suze: while ago, including with millions of dollars of my own 228 00:18:04,319 --> 00:18:08,379 Suze: money that I would start buying the 30 year treasury 229 00:18:08,819 --> 00:18:13,959 Suze: because as interest rates go down, the long term treasuries 230 00:18:13,969 --> 00:18:17,310 Suze: will go up. Not that we plan to keep it 231 00:18:17,319 --> 00:18:18,469 Suze: for 30 years, 232 00:18:19,310 --> 00:18:23,420 Suze: but interest rates have not gone down. They've actually with 233 00:18:23,430 --> 00:18:25,229 Suze: treasuries have gone up. 234 00:18:25,910 --> 00:18:31,849 Suze: So now you can get a 30 year treasury for 4.551% 235 00:18:32,030 --> 00:18:35,579 Suze: very different. A half a percent difference from when I 236 00:18:35,589 --> 00:18:40,969 Suze: started at 4%. and then it went from 4.34 4.5. Now, 237 00:18:41,599 --> 00:18:44,420 Suze: here's what I want to say to all of you, 238 00:18:44,800 --> 00:18:47,369 Suze: depending on your age 239 00:18:48,390 --> 00:18:53,859 Suze: and really what you need from your financial player. That 240 00:18:53,869 --> 00:18:57,880 Suze: is like your safeguard your safety. Now, we're talking football, 241 00:18:57,890 --> 00:18:59,010 Suze: but that's besides the point. 242 00:18:59,670 --> 00:19:05,000 Suze: Your safe guard of your money. You just wanna know 243 00:19:05,489 --> 00:19:10,089 Suze: that interest rates on that money are locked in for 244 00:19:10,099 --> 00:19:16,369 Suze: a long time. Possibly the rest of your life. Then 245 00:19:16,380 --> 00:19:19,919 Suze: I don't have a problem with you on any level 246 00:19:19,930 --> 00:19:23,359 Suze: putting money in, especially if you're 60 247 00:19:23,680 --> 00:19:29,869 Suze: you're 70 you need the income from that money, you 248 00:19:29,880 --> 00:19:34,000 Suze: need it and you cannot risk it. I don't have 249 00:19:34,010 --> 00:19:36,119 Suze: a problem with you putting it in a 30 year 250 00:19:36,130 --> 00:19:38,459 Suze: treasury bond at 4.5%. 251 00:19:39,079 --> 00:19:43,010 Suze: Maybe it'll go to 4.6. Maybe if we were lucky, 252 00:19:43,020 --> 00:19:47,968 Suze: it would go to five. But again, don't put all 253 00:19:47,979 --> 00:19:52,530 Suze: of your safeguard money in at 30 years right here 254 00:19:52,540 --> 00:19:55,280 Suze: and right now, but I don't think it's a bad 255 00:19:55,290 --> 00:20:00,530 Suze: idea to possibly take advantage of some of it that way. 256 00:20:01,579 --> 00:20:04,109 Suze: If you are younger, however 257 00:20:04,839 --> 00:20:09,719 Suze: you're 20 or 30 or 40 that is money really 258 00:20:09,729 --> 00:20:12,569 Suze: that you don't want to lock into a 30 year treasury. 259 00:20:13,430 --> 00:20:16,380 Suze: Maybe you want to put it into a money market account, 260 00:20:16,390 --> 00:20:20,550 Suze: your emergency fund and get 4 4.5 5% Schwab or 261 00:20:20,560 --> 00:20:22,910 Suze: Fidelity or whatever that may be 262 00:20:24,030 --> 00:20:27,839 Suze: and leave it there. For those of you who are 263 00:20:27,849 --> 00:20:32,369 Suze: in a really high income tax state bracket, maybe you 264 00:20:32,380 --> 00:20:35,819 Suze: want to buy four week treasury bills or whatever it 265 00:20:35,829 --> 00:20:38,869 Suze: may be as your emergency money. So you don't have 266 00:20:38,880 --> 00:20:44,129 Suze: to pay state and local income taxes on it just 267 00:20:44,140 --> 00:20:46,010 Suze: up to you as to how much you're keeping in 268 00:20:46,020 --> 00:20:47,770 Suze: emergency funds 269 00:20:48,339 --> 00:20:54,089 Suze: when we're in right now, a cyclical and secular uptrend. 270 00:20:54,880 --> 00:21:00,780 Suze: And you're younger, 20, 30 you have 10, 20, 30, 40 years before 271 00:21:00,790 --> 00:21:04,540 Suze: you need this money. This is the time to be 272 00:21:04,550 --> 00:21:11,300 Suze: dollar cost averaging into great ETF s great individual stocks 273 00:21:11,369 --> 00:21:18,589 Suze: with diversification, all of those things. So I just wanted 274 00:21:18,599 --> 00:21:21,530 Suze: to say that to you and I wanted you to 275 00:21:21,540 --> 00:21:22,979 Suze: think about that 276 00:21:23,300 --> 00:21:27,199 Suze: very briefly as you know, I have been an advocate 277 00:21:27,209 --> 00:21:29,489 Suze: and a lot of you are mad at me because 278 00:21:29,500 --> 00:21:34,899 Suze: of climate changes and that it's not politically correct, but 279 00:21:34,910 --> 00:21:41,739 Suze: energy right now, energy is still going up and up 280 00:21:41,750 --> 00:21:44,599 Suze: and right now, WTI oil, 281 00:21:45,699 --> 00:21:48,310 Suze: they're doing great. And as I've said to you, as 282 00:21:48,319 --> 00:21:50,199 Suze: long as oil goes up, 283 00:21:50,949 --> 00:21:56,510 Suze: the stock such as Chevron and Devon and FANG and 284 00:21:56,520 --> 00:22:00,410 Suze: even PXD, all of them will continue to go up 285 00:22:00,420 --> 00:22:05,349 Suze: as well. It's very possible if there was a breakout 286 00:22:05,359 --> 00:22:10,780 Suze: of WTI above 83 and WTI right now is at 287 00:22:10,790 --> 00:22:15,930 Suze: about 86 that it could very well go to 93. 288 00:22:16,770 --> 00:22:23,520 Suze: It seems like WTI is doing quite, quite well. So, 289 00:22:23,530 --> 00:22:26,139 Suze: for those of you who are in energy stocks, I'm 290 00:22:26,150 --> 00:22:31,459 Suze: sure you're very happy with your dividends far higher than Treasury, 291 00:22:31,469 --> 00:22:36,349 Suze: CDs or anything else, truthfully a lot higher and you're 292 00:22:36,359 --> 00:22:42,020 Suze: getting growth on your money as well. Will energy continue up? 293 00:22:42,030 --> 00:22:43,060 Suze: I don't know. 294 00:22:43,339 --> 00:22:47,400 Suze: But when you still see all the conflicts that we 295 00:22:47,410 --> 00:22:49,199 Suze: have overseas, 296 00:22:50,060 --> 00:22:52,040 Suze: I don't see it going down. 297 00:22:52,780 --> 00:22:56,959 Suze: The downside of that is when energy goes up. And 298 00:22:56,969 --> 00:23:00,000 Suze: we've been telling you or I've been telling you anyway, 299 00:23:00,130 --> 00:23:03,199 Suze: don't be surprised to see it at $100 again. 300 00:23:04,140 --> 00:23:08,479 Suze: However, when oil or energy like that goes up, so 301 00:23:08,489 --> 00:23:13,310 Suze: does the price of gas at the gas station, which 302 00:23:13,319 --> 00:23:18,569 Suze: then relates to inflation? So well, then inflation start to 303 00:23:18,579 --> 00:23:23,429 Suze: go up again and things like that vary possibly. 304 00:23:24,140 --> 00:23:28,839 Suze: So there's an upside if you're invested in energy stocks 305 00:23:29,069 --> 00:23:33,589 Suze: and then there's a downside if you're buying gasoline at 306 00:23:33,599 --> 00:23:37,439 Suze: a gas station and then what happens to inflation and 307 00:23:37,449 --> 00:23:41,800 Suze: then what happens with Jay Powell. Let me talk about 308 00:23:41,810 --> 00:23:46,780 Suze: Bitcoin for a second here. Bitcoin has been going up 309 00:23:46,790 --> 00:23:49,640 Suze: and down and up and down. As you know, 310 00:23:49,959 --> 00:23:52,660 Suze: I suggested that all of you, if you don't want 311 00:23:52,670 --> 00:23:57,459 Suze: to buy the actual Bitcoin itself, which currently is at 312 00:23:57,469 --> 00:24:05,660 Suze: about $67,000 you could always buy the ETF IBIT. But 313 00:24:05,670 --> 00:24:12,030 Suze: Bitcoin currently, like I said is at about 67,000 $68,000 314 00:24:12,040 --> 00:24:16,239 Suze: at Bitcoin. And long term, it is projected 315 00:24:16,770 --> 00:24:22,819 Suze: to go to $81,000 of Bitcoin. If it does, I 316 00:24:22,829 --> 00:24:26,810 Suze: have no idea. But that's just the prediction of it. 317 00:24:26,819 --> 00:24:32,109 Suze: So short term, it seems positive over the long run. 318 00:24:32,400 --> 00:24:36,630 Suze: It kind of seems neutral. Just know that. 319 00:24:37,260 --> 00:24:40,880 Suze: All right, those are things there wanna talk to you 320 00:24:40,890 --> 00:24:45,069 Suze: now because I mentioned inflation and so many of you 321 00:24:45,079 --> 00:24:49,489 Suze: are writing me about I bonds. What should you be 322 00:24:49,500 --> 00:24:56,000 Suze: doing about your I bonds that have a 0% fixed 323 00:24:56,010 --> 00:24:57,479 Suze: interest rate? 324 00:24:58,430 --> 00:25:02,170 Suze: And as you know, I have not been wanting to 325 00:25:02,180 --> 00:25:06,250 Suze: buy more I bonds lately, I just think that there 326 00:25:06,260 --> 00:25:10,530 Suze: are more aggressive ways and more intelligent ways to be 327 00:25:10,540 --> 00:25:12,688 Suze: investing for the long term. 328 00:25:13,770 --> 00:25:18,290 Suze: I know that you want inflation fighters. But another way 329 00:25:18,300 --> 00:25:24,859 Suze: to fight inflation is by have investments that grow in value. 330 00:25:25,229 --> 00:25:29,729 Suze: But for those of you who just wanna save, you 331 00:25:29,739 --> 00:25:32,410 Suze: don't want to risk the money, you want it to 332 00:25:32,420 --> 00:25:38,728 Suze: be absolutely just great protected by the US government, whatever 333 00:25:38,760 --> 00:25:42,810 Suze: and you're into I bonds or you purchased I bonds 334 00:25:42,819 --> 00:25:43,959 Suze: in the past. 335 00:25:44,680 --> 00:25:49,979 Suze: If I had an I bond with a 0% fixed 336 00:25:49,989 --> 00:25:56,510 Suze: interest rate right now, I would probably cash out of those. 337 00:25:56,609 --> 00:25:58,839 Suze: And what you would do is you would go on 338 00:25:58,849 --> 00:26:00,800 Suze: to Treasury direct site 339 00:26:01,609 --> 00:26:04,229 Suze: and you would go on to your account and you 340 00:26:04,239 --> 00:26:07,239 Suze: would look in at the bottom of your account. You 341 00:26:07,250 --> 00:26:12,030 Suze: will see the actual cash value of your I bond 342 00:26:12,040 --> 00:26:17,659 Suze: that you are currently looking at redeeming. Now, remember you 343 00:26:17,670 --> 00:26:21,239 Suze: should be looking at redeeming the I bonds that have 344 00:26:21,250 --> 00:26:25,250 Suze: a 0% fixed interest rate. 345 00:26:26,430 --> 00:26:30,680 Suze: So not the ones that have a 1.3% fixed interest 346 00:26:30,689 --> 00:26:35,770 Suze: rate currently, but the ones that are at 0%. 347 00:26:36,680 --> 00:26:39,968 Suze: Remember if you redeem an I bond first of all, you 348 00:26:39,979 --> 00:26:43,739 Suze: can't redeem it during the first year. But if you 349 00:26:43,750 --> 00:26:47,300 Suze: redeem it years two through five, 350 00:26:48,040 --> 00:26:52,139 Suze: there will be a three month interest penalty. You don't 351 00:26:52,150 --> 00:26:55,699 Suze: have to figure out what that interest penalty is going 352 00:26:55,709 --> 00:26:58,969 Suze: to be because when you go on to your treasury 353 00:26:58,979 --> 00:27:04,180 Suze: direct account, you will see they give you the actual 354 00:27:04,189 --> 00:27:10,199 Suze: value of that bond as of today. If you redeemed 355 00:27:10,209 --> 00:27:16,179 Suze: it today, that includes the three month interest penalty. 356 00:27:17,180 --> 00:27:21,339 Suze: What it doesn't include unless you ask them to is 357 00:27:21,349 --> 00:27:25,430 Suze: the taxes that you are going to owe on that interest. 358 00:27:25,650 --> 00:27:29,629 Suze: So just remember when you redeem an I bond, 359 00:27:30,430 --> 00:27:36,129 Suze: in most cases, you will owe taxes on the interest that, 360 00:27:36,140 --> 00:27:40,630 Suze: that I bond earned. So if you have a lot 361 00:27:40,640 --> 00:27:45,409 Suze: of I bonds at a 0% interest rate, if you want, 362 00:27:45,420 --> 00:27:49,379 Suze: you can redeem them all, but you're going to owe 363 00:27:49,390 --> 00:27:51,069 Suze: income taxes 364 00:27:51,760 --> 00:27:55,339 Suze: on whatever interest you earned. So you just might want 365 00:27:55,349 --> 00:27:59,319 Suze: to think about what does that do to your taxes 366 00:27:59,329 --> 00:28:03,339 Suze: and your actual return. So again, you can redeem all 367 00:28:03,349 --> 00:28:06,770 Suze: of them. But when you redeem them, 368 00:28:07,510 --> 00:28:14,780 Suze: remember, you can still only buy $10,000 of I bonds 369 00:28:14,790 --> 00:28:15,729 Suze: a year 370 00:28:17,150 --> 00:28:23,250 Suze: per person. Now, obviously, you could buy 10,000 in a trust. 371 00:28:23,260 --> 00:28:27,229 Suze: You could buy $10,000 worth as a business. So you 372 00:28:27,239 --> 00:28:32,280 Suze: could buy more. You can gift each other $10,000 373 00:28:32,959 --> 00:28:39,540 Suze: but you can only as an individual buy $10,000 a year. 374 00:28:39,719 --> 00:28:42,900 Suze: So for those of you who are writing me, and 375 00:28:42,910 --> 00:28:46,800 Suze: you're saying, Suze, I've been told, I need, I don't 376 00:28:46,810 --> 00:28:49,739 Suze: know who's telling you, but all right, I've been told 377 00:28:49,750 --> 00:28:54,900 Suze: I need to redeem my 0% fixed interest rate I 378 00:28:54,910 --> 00:28:55,939 Suze: bonds now 379 00:28:57,060 --> 00:29:02,380 Suze: and roll them over to the I bonds right now 380 00:29:02,390 --> 00:29:09,079 Suze: before they change in May to lock in the 1.3%. 381 00:29:09,290 --> 00:29:11,079 Suze: What do you think about that? 382 00:29:11,839 --> 00:29:14,459 Suze: I think that if that money 383 00:29:15,229 --> 00:29:20,119 Suze: was your safeguard money, your inflation money, you feel good 384 00:29:20,130 --> 00:29:23,530 Suze: in I bonds. And that was the goal of that 385 00:29:23,540 --> 00:29:25,890 Suze: money for a long time, 386 00:29:26,689 --> 00:29:29,069 Suze: then I don't have a problem. That's actually a very 387 00:29:29,079 --> 00:29:34,660 Suze: smart move to do. But just remember if you have 388 00:29:34,670 --> 00:29:37,270 Suze: an I bond that you bought maybe in 22 or 389 00:29:37,280 --> 00:29:42,400 Suze: whenever you bought it maybe is worth 11,000 or whatever 390 00:29:42,410 --> 00:29:43,949 Suze: it may be worth right now. 391 00:29:44,910 --> 00:29:51,270 Suze: But you can only buy $10,000 of a new I 392 00:29:51,300 --> 00:29:54,930 Suze: bond with that money, the interest of it. 393 00:29:55,579 --> 00:29:58,560 Suze: You have to put somewhere else and figure out something 394 00:29:58,569 --> 00:30:02,550 Suze: else to do with the interest. So I don't have 395 00:30:02,560 --> 00:30:05,359 Suze: a problem if that's what you want to do, 396 00:30:06,170 --> 00:30:11,810 Suze: that's my take on I bonds again. We'll see what happens. Remember, 397 00:30:11,819 --> 00:30:16,579 Suze: I bonds come out with a new rate every November 398 00:30:16,589 --> 00:30:21,729 Suze: 1st and May 1st if this, however, is something that 399 00:30:21,739 --> 00:30:27,750 Suze: you want to do to lock in the 1.3% fixed 400 00:30:27,760 --> 00:30:31,239 Suze: interest rate, which is really the highest it's been. And 401 00:30:31,250 --> 00:30:33,229 Suze: I don't even know how many years, a lot of 402 00:30:33,239 --> 00:30:33,949 Suze: years 403 00:30:34,640 --> 00:30:37,780 Suze: if you want to do that, which means that the 404 00:30:37,790 --> 00:30:42,380 Suze: interest on your I bond, this particular I bond can never go 405 00:30:42,390 --> 00:30:46,410 Suze: below 1.3%. And you want that guarantee, 406 00:30:47,280 --> 00:30:51,719 Suze: then you need to redeem your I bonds right now 407 00:30:52,439 --> 00:30:59,880 Suze: and buy the new one right now because sometimes Treasury 408 00:30:59,890 --> 00:31:03,280 Suze: Direct can take quite a while to do something. So 409 00:31:03,290 --> 00:31:08,260 Suze: I would definitely be buying the new one before, you know, 410 00:31:08,270 --> 00:31:13,510 Suze: like the 27th or 26th of this month. Make sure 411 00:31:13,520 --> 00:31:14,619 Suze: that you have done it 412 00:31:15,420 --> 00:31:19,089 Suze: really right away. Just do it now. Why even wait, 413 00:31:19,459 --> 00:31:22,560 Suze: what will the new I bond rate be? May 1st? 414 00:31:22,569 --> 00:31:25,069 Suze: What will the be fixed rate? I don't know. 415 00:31:25,750 --> 00:31:28,229 Suze: You know, everybody can guess. I'm sure many people will 416 00:31:28,239 --> 00:31:34,410 Suze: be guessing. But again, the reason that I've switched courses 417 00:31:34,420 --> 00:31:39,410 Suze: here is that if you want safety, you want the 418 00:31:39,420 --> 00:31:43,489 Suze: government guarantee, you want to make sure that your money 419 00:31:43,500 --> 00:31:47,770 Suze: is protected against inflation, but that's all you want. 420 00:31:49,170 --> 00:31:53,339 Suze: All right, eye bonds may be the way you decide 421 00:31:53,349 --> 00:31:57,229 Suze: to go. However, with an I bond now comes a 422 00:31:57,239 --> 00:32:00,750 Suze: one year lock up that you cannot touch it 423 00:32:01,640 --> 00:32:05,859 Suze: as well as four more years of a three month 424 00:32:05,869 --> 00:32:09,739 Suze: interest penalty. So right now, if you want to sign 425 00:32:09,750 --> 00:32:15,719 Suze: up for that, you can go ahead. However, that's not 426 00:32:15,729 --> 00:32:21,199 Suze: what I'm choosing to do with safe money. I rather 427 00:32:21,260 --> 00:32:24,250 Suze: do other things with them. I still feel better with, 428 00:32:24,260 --> 00:32:27,660 Suze: at my age of 73 a 30 year treasury bond 429 00:32:28,109 --> 00:32:30,699 Suze: because I want to know that if something happens even 430 00:32:30,709 --> 00:32:34,010 Suze: in two years for me or six months for me 431 00:32:34,020 --> 00:32:36,459 Suze: or the first year and I needed that money, I 432 00:32:36,469 --> 00:32:37,199 Suze: can get it. 433 00:32:38,119 --> 00:32:42,109 Suze: And maybe some of you are in that position, but 434 00:32:42,119 --> 00:32:46,660 Suze: I always like to know personally that I can get 435 00:32:46,739 --> 00:32:52,300 Suze: at my money and there are no restrictions. All right, 436 00:32:52,310 --> 00:32:53,420 Suze: one more thing 437 00:32:54,260 --> 00:33:00,780 Suze: on my alliant.com, which is the website that you go 438 00:33:00,790 --> 00:33:05,160 Suze: to the URL. If you wanna buy a certificate of 439 00:33:05,170 --> 00:33:09,319 Suze: deposit with Alliant Credit Union or if you wanna do 440 00:33:09,329 --> 00:33:12,959 Suze: the ultimate opportunity savings account. And for those of you, 441 00:33:12,969 --> 00:33:16,589 Suze: by the way, who don't have a savings account, you 442 00:33:16,599 --> 00:33:18,680 Suze: just don't even know how to start. 443 00:33:19,180 --> 00:33:23,369 Suze: You have got to start with the Ultimate Opportunity Savings Account. 444 00:33:23,380 --> 00:33:25,719 Suze: This is where you put in $100 a month. 445 00:33:26,469 --> 00:33:31,410 Suze: You do. So every single month for 12 consecutive months. 446 00:33:31,579 --> 00:33:34,890 Suze: And guess what? In the 12th month you get $100 447 00:33:34,900 --> 00:33:38,560 Suze: from Alliant Credit Union. You get about a 3% interest 448 00:33:38,569 --> 00:33:42,050 Suze: rate while it's sitting in there. You can access it. 449 00:33:42,060 --> 00:33:45,130 Suze: If you can't continue to do it, there's no penalties. 450 00:33:45,560 --> 00:33:49,689 Suze: That's how you start. Somebody wrote me and they said, Suze, 451 00:33:49,699 --> 00:33:52,170 Suze: I don't even have a penny to do anything with. 452 00:33:52,180 --> 00:33:55,410 Suze: I'm a teacher. I'm this, I'm, that, I have only 453 00:33:55,420 --> 00:33:58,689 Suze: a few little, I'm nothing. How do I start? That's 454 00:33:58,699 --> 00:34:02,550 Suze: how you start. There's not a better savings account out 455 00:34:02,560 --> 00:34:07,949 Suze: there that does that anywhere bar numb number one. But 456 00:34:07,959 --> 00:34:11,169 Suze: if you go to my alliant.com, 457 00:34:11,580 --> 00:34:15,409 Suze: you will see a quiz that I created for all 458 00:34:15,419 --> 00:34:22,370 Suze: of you. I'm calling it the Stay Smart and 2024 quiz. 459 00:34:23,158 --> 00:34:28,938 Suze: Can you just take that quiz? Five simple questions that 460 00:34:28,948 --> 00:34:33,579 Suze: are yes or no. And I just want you to 461 00:34:33,589 --> 00:34:38,418 Suze: answer them if you answer yes. There's a reply for you. 462 00:34:38,428 --> 00:34:41,607 Suze: If you answer no, there's a direction of what you 463 00:34:41,618 --> 00:34:46,198 Suze: should be doing for you. Can you just do that 464 00:34:46,208 --> 00:34:50,349 Suze: and see? Are you smart? What do you need to 465 00:34:50,358 --> 00:34:51,898 Suze: do to stay smart? 466 00:34:52,350 --> 00:34:56,370 Suze: And then there's a place that asks you for your email. 467 00:34:57,229 --> 00:34:59,679 Suze: I'm just gonna give you a little heads up if 468 00:34:59,689 --> 00:35:03,870 Suze: I were you, I would put in your legitimate email 469 00:35:03,879 --> 00:35:04,330 Suze: there 470 00:35:05,060 --> 00:35:09,479 Suze: because I just have a feeling in a few weeks, 471 00:35:10,050 --> 00:35:14,158 Suze: I'm gonna have something to announce for all of you 472 00:35:14,320 --> 00:35:19,110 Suze: that took the stay smart quiz, put in your email 473 00:35:20,030 --> 00:35:24,790 Suze: and you'll see what happens. But you might just want 474 00:35:24,800 --> 00:35:27,639 Suze: to do that everybody. 475 00:35:51,919 --> 00:35:54,229 Suze: So I'd like to end this podcast with one last thing. Iowa Hawkeyes, Caitlin, you go out there this afternoon and you be unstoppable and bring that championship home. Until then, everybody else, remember there's only one thing that matters when it comes to your money. And it is this people first, then money, then things.Now you stay safe and also stay unstoppable.