Latest / How Canadian Markets Work / Episode 85: NAVPS (The Blind Commitment)

Transcript

Episode 85: NAVPS (The Blind Commitment) · How Canadian Markets Work

0:00
So imagine walking into a grocery store, filling
0:03
your cart to the absolute brim, and then just
0:06
handing the cashier a blank check. Right, because
0:09
the final prices of your food won't actually
0:10
be decided until midnight. Exactly. I mean, you
0:14
would probably never agree to that in real life.
0:16
No, nobody would. Yet every single day, millions
0:19
of investors do exactly that when they buy a
0:21
mutual fund. So welcome back to the deep dive
0:25
glad to be here in our last deep dive into the
0:27
source material We explored the massive, you
0:30
know compounding impact of management expense
0:32
ratios or MERS over time But today we are answering
0:36
the logical next question, which is exactly when
0:39
and how are those fees actually deducted from
0:41
your money? Right. We're going on a mission today
0:44
to understand the invisible machinery of net
0:47
asset value per share, or NAVPS. It's a bit of
0:50
a mouthful, but it's crucial. Yeah. We're going
0:52
to explore how mutual funds calculate their worth
0:55
daily, why placing an order at like 11 a .m.
0:59
means buying at a price you literally cannot
1:01
know yet. Which is wild to think about. Oh, it
1:03
is. And we'll look at how the hidden mechanics
1:06
of daily valuation fundamentally protect you
1:10
from, well, predator. It is a system that feels
1:13
incredibly counterintuitive the first time you
1:16
interact with it. I mean, we're so conditioned
1:18
by modern technology to expect instant gratification.
1:22
Yeah, real -time pricing on everything. Exactly.
1:24
But once you see the architecture underneath
1:26
the mutual fund complex, you realize that stripping
1:29
away that instant gratification was designed
1:32
for a very specific, highly protective reason.
1:35
Okay, well let's unpack this because before we
1:37
can understand how you buy or sell a fund or
1:40
why the price is hidden from you during the day,
1:42
we have to understand what a fund is actually
1:44
worth on any given Tuesday. Right. And critically,
1:47
how it quietly pays those management fees we
1:49
spent so much time discussing last time. So to
1:52
find that worth, we really have to look at the
1:54
daily calculation of net asset value per share.
1:57
And the formula itself is actually just simple
1:59
arithmetic. Okay, hit me with it. You take the
2:01
total assets of the mutual fund, subtract the
2:04
total liabilities and then divide whatever number
2:08
you get by the number of units outstanding. Meaning
2:11
the total number of shares held by all the investors.
2:14
Exactly. But the devil is always in what makes
2:17
up those two broad categories. Like, let's start
2:20
with the assets. What is actually in the plus
2:22
column? Well, the assets include all the securities
2:25
the fund holds. and those are valued at their
2:28
absolute final closing prices for that specific
2:31
trading day. Okay, so every stock, every bond,
2:35
commercial paper, all of it. Right, all of it.
2:38
But it also includes any raw cash the fund is
2:40
holding in reserve, plus any receivables. Receivables,
2:43
like money owed to the fund. Yeah, exactly, money
2:45
that hasn't arrived in the bank account yet,
2:47
like maybe a pending corporate dividend payment
2:49
that was declared today but doesn't actually
2:51
pay out until next week. Oh, I see, that makes
2:53
sense. It's basically the total pile of wealth.
2:55
So what about the liabilities? What does a massive
2:58
mutual fund actually owe on a daily basis? A
3:01
few things. Liabilities include any unsettled
3:04
trades. So if the portfolio manager bought, say,
3:08
$50 million worth of stock at 2 p .m., the fund
3:11
holds the stock but hasn't fully transferred
3:13
the cash yet. Ah, OK. So that's a liability on
3:17
the books. Right. It also includes any declared
3:19
distributions that haven't been paid out to you,
3:21
the investors. Yeah. But the most crucial liability
3:24
for our discussion, the one that connects to
3:26
our previous deep dive, is accrued management
3:29
fees and operating expenses. OK, I want to make
3:32
this really concrete for you listening because
3:34
this is where that invisible fee deduction actually
3:36
happens in action. Yeah, it's a great concept
3:38
to visualize. So think of this daily NAVPS calculation
3:42
like valuing a house that you own with a mortgage.
3:45
To figure out your actual equity in that house,
3:48
you wouldn't just look at the current market
3:49
value of the property. No. because you don't
3:52
own it free and clear. Exactly. That's just your
3:54
total assets. You have to subtract what you owe.
3:58
So you take the million dollar market value of
4:00
the house and you subtract the remaining principal
4:02
on your mortgage plus the daily interest that
4:05
has accrued on that loan up to this exact minute.
4:08
And whatever is left over is your true actual
4:13
equity. Right. And if you co -own that house
4:15
with 10 other people, you divide that remaining
4:18
equity by 10 to find out what your specific share
4:21
is worth. That is a perfect analogy. That daily
4:24
interest on the mortgage is the exact equivalent
4:27
to your fund's management fee. I mean, the MER
4:29
is always quoted to you as an annual percentage,
4:31
right? Yeah, like 1 .5 percent or whatever. Exactly.
4:33
But the fund doesn't just wait until December
4:36
31st and chop 1 .5 percent off the top all at
4:39
once. That would be a huge hit. It would. So
4:41
instead, it is accrued and deducted continuously,
4:45
day by day, fraction by fraction. That liability
4:47
is subtracted from the asset pool before the
4:50
net asset value per share you see on your screen
4:52
is even calculated. Wait, so the returns you
4:55
are looking at on a funds fact sheet or the performance
4:59
chart on your brokerage app, those are already
5:01
net of the MER? 100%. They are already net of
5:03
the fees. Wow. Well I guess that explains why
5:06
you never get a bill in the mail for your mutual
5:08
fund. Right. You never see a line item on your
5:10
monthly statement deducting a fee from your cash
5:13
gallons. It is entirely baked into the price
5:16
of the unit itself. That is so subtle. It really
5:18
is. Yeah. Every single business day. After the
5:21
markets close, the fund administrators tally
5:24
up the new closing prices of the assets, subtract
5:27
the liabilities, including that specific day's
5:30
tiny slice of the annual fee, and divide by the
5:33
units. And that finalized number becomes the
5:35
official published price. Exactly. Which kind
5:38
of brings us back to that grocery store analogy
5:40
from the start. Because this NFVPS calculation
5:43
relies on the absolute final closing prices of
5:46
the broader market, it creates this bizarre situation
5:49
when you actually try to buy a mutual fund during
5:51
the trading day. Because the price doesn't exist
5:53
yet. Right. The price you are trying to buy at
5:56
simply does not exist. is a complete departure
5:59
from how we buy almost anything else in life.
6:02
I mean, if I pull up my brokerage app at 11 a
6:04
.m. and I want to buy a regular company stock,
6:07
or even an ETF like an exchange -traded fund
6:09
that tracks an index, I see the price instantly.
6:13
Yeah, you see the live ticker. I see the order
6:15
book. I can buy an ETF at $25 .12, and I know
6:19
exactly what my treat is going to cost me, down
6:22
to the penny. Right. But if I pull up a traditional
6:25
mutual fund at 11 a .m. and enter an order for
6:28
$5 ,000, I am completely blind. The app might
6:32
show me a price of $25, but I'm not actually
6:34
buying it for $25, am I? No, you're not. You
6:37
are looking at a ghost. You are looking at yesterday's
6:41
closing price. The actual price you will pay
6:43
for your new units is completely unknown to you.
6:47
And frankly, it's unknown to the fund manager
6:49
at 11 a .m. too. Because the price is entirely
6:51
dependent on what the market does between my
6:54
order time and the closing bell. So if the market
6:56
tanks at 2 p .m., my price changes. I'm taking
6:59
on all this intraday market risk and I have zero
7:02
control over my entry point. I mean, isn't that
7:05
fundamentally unfair to the buyer? What's fascinating
7:07
here is that your frustration is the universal
7:10
reaction. Everyone feels that way at first. We
7:14
all want the control of a live ticker. Of course
7:15
we do. But this blind commitment, what the industry
7:19
calls forward pricing, is not some antiquated
7:22
bug in the software. It's not. No. It is a structural
7:26
safeguard specifically engineered to protect
7:29
the people who matter most in this scenario,
7:32
which is the existing investors who are already
7:33
holding the fund. OK, you're going to have to
7:35
explain that because I'm struggling to see how
7:37
forcing me to buy a financial product blindfolded
7:40
is actually a protective measure. Fair enough.
7:43
Let's run a quick thought experiment and look
7:44
at the alternative. Imagine if mutual funds did
7:47
not use forward pricing. Okay. Imagine if the
7:50
rules allowed you to buy in today at yesterday's
7:53
known calculated NAVPS. Okay, so I place my order
7:57
at noon on Tuesday and I get Monday's 4 p .m.
7:59
price. Exactly. Now suppose overnight a central
8:03
bank makes a massive surprise announcement. or
8:06
a major geopolitical conflict is suddenly resolved.
8:10
The news is overwhelmingly positive. Right. The
8:13
markets are going to love that. They do. Before
8:15
the North American markets even open, futures
8:18
are surging. It is absolutely guaranteed that
8:20
when the opening bell rings, stocks are going
8:22
to rally by 3 % across the board. Well, if the
8:26
rules let me buy the mutual fund yesterday's
8:28
price, I am basically printing free money. You
8:31
are. I mean, I buy in at the old cheaper price.
8:34
Knowing for a fact that the underlying assets
8:36
the fund holds are already worth 3 % more today,
8:39
I capture that game instantly. You do. And that
8:42
specific action is called market timing. It is
8:45
a risk -free arbitrage trade for you, the new
8:47
buyer. Well, we have to ask. Where does your
8:50
3 % profit actually come from? It doesn't materialize
8:54
out of thin air. Well, it has to come from the
8:56
pool, right? Yes. It comes directly out of the
8:59
pockets of the existing investors because the
9:02
fund is selling you newly minted units for less
9:05
than those units are actually worth based on
9:08
the real world value of the assets today. Oh,
9:10
wow. So I'm diluting their value. Exactly. You
9:13
are diluting the equity of everyone who is already
9:16
faithfully holding the fund. That's basically
9:18
a time machine vulnerability. Pricing at yesterday's
9:22
close is like letting people place bets on a
9:24
horse race that finished an hour ago. That's
9:26
exactly what it is. I mean, you already know
9:28
the outcome. So of course you're going to bet
9:30
your life savings on the winning horse. But the
9:32
bookie still has to pay you. And the only way
9:34
they do that is by taking money away from the
9:36
people who place their bets fairly before the
9:39
race started. And historically, this wasn't just
9:41
some hypothetical thought experiment. It was
9:44
a massive vulnerability. that sophisticated traders
9:47
heavily exploited in the real world. Really?
9:50
Oh, yeah. Particularly in funds holding international
9:53
assets. It was known as the stale price vulnerability.
9:58
Wait, how did that work in practice? Think about
10:00
a North American mutual fund that holds Japanese
10:02
equities. OK. The Asian markets close hours and
10:05
hours before the North American markets do. So
10:08
by the time the North American fund calculates
10:11
its NAVPS at 4 p .m. Eastern time, Tokyo has
10:15
been asleep for half a day. Oh, right, because
10:17
of the time zones. Exactly. So the closing prices
10:20
of those Japanese stocks are already incredibly
10:22
stale by 4 p .m. in New York. Because, I mean...
10:26
Half a day of global news, US economic data,
10:31
currency shifts, all of that has happened since
10:33
the Asian markets closed. Exactly. So institutional
10:35
traders would watch the US market during the
10:37
day. If the S &P 500 was surging on a Tuesday
10:40
afternoon, it was a statistical near certainty
10:43
that the Japanese markets would also surge when
10:45
they finally open for their Wednesday session.
10:47
Right. So these traders would buy the North American
10:49
Mutual Fund at 3 .59 p .m., locking in an NAVPS
10:53
based on those stale Asian closing prices from
10:55
yesterday. underlying assets were about to gap
10:58
up in value overnight? Exactly. Wow. They were
11:01
legally stealing the future gains from the long
11:04
-term buy and hold investors of that international
11:06
fund. They were. And to combat this, regulators
11:10
eventually stepped in with strict rules. Funds
11:13
are now required to use what are called fair
11:16
value adjustments when closing prices are stale.
11:19
So they can't just use yesterday's Tokyo closing
11:21
price blindly anymore. No, they can't. They use
11:24
complex algorithms, looking at correlated assets
11:27
like U .S. futures or American depository receipts
11:30
to estimate what that Japanese stock would be
11:33
trading at right now if the market were open.
11:35
Oh, OK. They adjust the estimated value of the
11:38
foreign holdings before the daily NAVPS is calculated.
11:41
OK, so when I get frustrated that I have to buy
11:43
blindly at 11 a .m., I really need to reframe
11:46
my thinking. Forward pricing perfectly neutralizes
11:49
the market timers. It stops them in their tracks.
11:52
Because if the market falls 2 percent by the
11:54
close, my blind order gets executed at a cheaper
11:56
price. If it rallies 3 percent, I pay more. I
11:59
cannot control the intraday moves, which means
12:02
the time traveling arbitrager can't control them
12:04
either. Exactly. And as a long term investor,
12:07
does the intraday movement of a Tuesday in October
12:09
actually matter? to your retirement 30 years
12:12
from now? Not really, no. No. Forward pricing
12:16
forces everyone to act like a long -term investor.
12:19
And it ensures that no sharp trader can drain
12:22
value from the shared pool you are invested in.
12:25
So it's basically a protective wall. Exactly.
12:27
When you place an order before the daily cutoff
12:29
time, usually around 3, 0, or 4 p .m., you get
12:33
that day's eventual closing price. If you miss
12:35
the cutoff, you just get... tomorrow's closing
12:38
price. OK, so once I let go of that need for
12:41
instant price gratification, I can actually start
12:44
to see the massive benefits of this exact same
12:46
pricing structure, especially for like the average
12:49
retail investor who's just putting away a few
12:51
hundred dollars a month. Yes, we often call this
12:53
the hidden fairness of the mutual fund. Yeah,
12:55
let's dig into that, because if we compare this
12:57
to buying an ETF or a stock on the open market,
13:00
it's very different. In a live market, you have
13:02
invisible transaction costs. You have a bid price,
13:05
what buyers are willing to pay, and an ask price,
13:08
what sellers are demanding. The spread. Right.
13:10
And the market maker, the middleman facilitating
13:13
the trade, takes a cut of every single transaction
13:16
through that bid ask spread. If you are buying
13:20
a thinly traded ETF or a small cap stock, that
13:23
spread can be huge. You lose a percentage of
13:26
your wealth the very second the trade executes.
13:29
That's exactly right. And you also face market
13:31
impact. What's that? Well, if you place a large
13:34
order, say an institution wants to buy 50 ,000
13:37
shares of a small company, that order will eat
13:40
through the order book. They will buy the first
13:42
few hundred shares at a good price. But to fill
13:45
the rest of the mass order, they'll have to accept
13:47
progressively worse and worse prices as they
13:49
chew through the available sellers. Oh, because
13:52
their own buying demand pushes the market price
13:54
against them. Exactly. But with a mutual fund,
13:56
because of how NAVPS is calculated and how forward
13:59
pricing is executed, those execution costs basically
14:02
vanish for the individual trade. Because everyone
14:04
is pooled together. Right. Every single order
14:07
received before the cutoff time is pooled. The
14:09
fund does its NAVPS calculation after the close
14:12
and every single investor gets the exact same
14:14
price, down to the fraction of a cent. It is
14:17
a perfectly level playing field. I mean, whether
14:20
you place your order at 9 a .m. or 3 .55 p .m.,
14:24
whether you are a retail investor buying $100
14:26
worth in your retirement account or a massive
14:29
pension fund buying $10 million worth. You all
14:32
receive the exact same net asset value per share.
14:35
That is wild. There is no bid ask spread to eat
14:39
into my monthly contribution. There is no market
14:41
impact where a big whale gets a different average
14:44
fill price than a retail minnow. It's all equalized.
14:47
People love to complain about mutual fund mechanics
14:49
being clunky compared to live trading apps. But
14:52
for a regular contributor, this execution mechanism
14:55
is arguably far fairer and more democratized
14:58
than stepping into the live arena of the stock
15:01
exchange. It trades certainty of price for certainty
15:04
of fairness, which really changes how you evaluate
15:06
the product. Absolutely. Okay. So buying in is
15:09
perfectly egalitarian. But what happens when
15:11
things go wrong? What happens when a massive
15:13
crowd of investors get spooked by the news and
15:15
decides they want out of the fund at the exact
15:17
same time? Does that fairness still hold up?
15:19
That is the big question. So redemptions use
15:22
the exact same forward pricing mechanism. If
15:26
you submit a sell order before the cutoff today,
15:29
you get today's calculated closing NAVPS. Okay.
15:33
On an individual level, it is perfectly fair.
15:36
But remember, the mutual fund is a shared pool.
15:39
And when you want to leave the pool, the fund
15:41
must actually have raw cash to pay you out. But
15:44
the fund isn't just sitting on a mountain of
15:46
uninvested cash, though. I mean, that would drag
15:49
down the overall returns. The money is deployed
15:51
into the underlying stocks or bonds. Right. A
15:53
fund usually holds a small cash buffer for normal
15:56
day -to -day redemptions. But if redemptions
15:58
are heavy, say during a severe market panic when
16:01
everyone is rushing for the exits, the cash buffer
16:04
is drained immediately. So what do they do? To
16:06
generate the cash to pay the exiting investors,
16:09
the portfolio manager is forced to sell off the
16:11
underlying holdings into the live market. And
16:13
when a manager is forced to sell assets, they
16:15
trigger real -world consequences. Specifically,
16:19
tax consequences. When the portfolio manager
16:22
sells those underlying stocks to raise cash,
16:25
they are crystallizing capital gains. They are
16:28
turning a theoretical paper profit into a hard
16:31
taxable cash profit. Assuming, of course, the
16:34
assets went up in value since the fund originally
16:36
bought them. Right. Assuming a gain. Now, in
16:39
a tax -sheltered vehicle like an IRA in the United
16:41
States or an RRSP in Canada, this doesn't matter
16:45
much to the investor. The tax shelter shields
16:47
you. Okay, good. But in a non -registered, fully
16:50
taxable brokerage account, those realized capital
16:53
gains don't just sit inside the fund. By law,
16:57
to avoid corporate -level taxation, the mutual
16:59
fund has to distribute those taxable gains to
17:01
its unit holders. Okay, wait. The people who
17:03
panicked and sold their units, they took their
17:05
cash and left. They are gone. They are gone.
17:07
So the taxable capital gains generated by the
17:09
managers selling assets to pay them out? Where
17:11
do they go? By law, those games are distributed
17:13
to whoever is still holding the fund when the
17:16
distribution is made, the remaining unit holders.
17:18
That is horrifying. So I can face a massive tax
17:21
bill just because other people decided to panic
17:23
and sell. Yes. I didn't do anything. I held strong.
17:27
I weathered the market volatility. And my reward
17:30
is a taxable distribution because my fellow investors
17:33
got spooked and forced the manager to liquidate.
17:35
That is the double -edged sword of the shared
17:38
pool. You share the efficiencies, you share the
17:40
perfectly level pricing, but you also share the
17:43
consequences of the pool's liquidity needs. If
17:46
the pool needs cash, the pool crystallizes the
17:49
gain, and you are part of the pool. Wow. That
17:53
feels like a massive trap for anyone investing
17:55
outside of a tax -sheltered account. It is a
17:58
known structural reality, which is exactly why
18:00
many mutual funds impose short -term trading
18:02
fees. You might see a penalty fee of 1 or 2 percent
18:06
if you buy a fund and then sell it within 30
18:08
or 90 days. Ah, so those fees aren't there to
18:11
pad the manager's bonus. No, not at all. They
18:13
are designed to actively punish the kind of rapid,
18:16
opportunistic trading that forces the fund to
18:18
constantly buy and sell underlying assets, which
18:21
racks up trading costs. and tax consequences
18:23
for the long -term holders. Exactly. It is a
18:26
penalty to protect the herd from the disruptive
18:29
behavior of the individual. But understanding
18:32
this pass -through taxation leads to a vital
18:35
warning for anyone investing in taxable accounts,
18:38
especially toward the end of the calendar year.
18:40
Okay, what is it? We call it the end -of -year
18:42
tax trap. I want to walk through a scenario for
18:44
this, because it catches so many people entirely
18:47
off guard. Say it is late November. You get a
18:51
bonus at work, you have a chunk of cash, and
18:53
you decide to buy into a mutual fund in your
18:56
taxable brokerage account. You place your order,
18:59
forward pricing gives you your perfectly fair
19:01
NIVPS, and you are in. Great. But let's say that
19:04
fund has had an incredibly active, profitable
19:07
year. The manager has been buying and selling,
19:09
realizing capital gains throughout the spring
19:11
and summer. The fund prepares to make its legally
19:14
required annual capital gains distribution in
19:16
the middle of December. Okay, but I bought the
19:18
fund in late November. What happens to me? Two
19:20
weeks after you buy the fund, you receive a massive
19:23
taxable capital gains distribution. You are now
19:26
legally on the hook to pay taxes on profits the
19:28
fund earned before you even owned it. I literally
19:31
bought a tax liability. You did. That is absurd.
19:35
I wasn't there for the growth in March. I wasn't
19:37
there for the smart trades in July. But because
19:39
I jumped into the pool in November, I get handed
19:42
a slice of the tax bill for the entire year's
19:45
party. Which is why understanding the distribution
19:47
schedules of the mutual funds you buy is absolutely
19:50
critical. So what should someone do in that situation?
19:54
If it is late in the calendar year and you are
19:57
investing in a taxable account, you must check
19:59
when the fund distributes its gains. It is often
20:03
mathematically wiser to simply hold your cash
20:05
in a high -interest savings account for a few
20:07
weeks and wait to buy into the mutual fund until
20:10
the day after the December distribution has been
20:13
paid out. Wow. Okay, so tying this all together,
20:16
the mechanics of a mutual fund are basically
20:18
a master class in trade -offs. They really are.
20:21
The NAVPS is the daily heartbeat. tallying the
20:24
assets, subtracting the liabilities, and invisibly
20:27
skimming off that management expense ratio so
20:29
you never have to see the bill. We give up the
20:31
instant gratification of live pricing. And in
20:34
return, forward pricing shields us from the time
20:36
traveling arbitrageurs who want to steal our
20:39
equity. Exactly. We get a perfectly level playing
20:41
field with no bid ask spreads. But we also accept
20:45
that we are tethered to the behavior of our fellow
20:47
investors, sharing the tax burden when the herd
20:50
decides to stampede. The machinery is brilliant,
20:53
but you absolutely have to know where the tripwires
20:55
are, especially those end of year tax distributions.
20:58
It is a deeply interconnected system. But, you
21:01
know, all of this machinery, all this talk of
21:03
perfectly level playing fields and precise daily
21:06
valuations relies on one foundational assumption
21:09
that we haven't actually challenged yet. Uh -oh.
21:11
What's the assumption? We have spent this entire
21:13
time assuming that the total assets part of the
21:15
NFEPS calculation is a hard, indisputable scientific
21:20
fact. And for a mutual fund holding large liquid
21:22
stocks like major banks or global tech giants,
21:25
it is. The closing price at 4 p .m. is a public
21:29
verifiable number. But this raises an important
21:32
question. What about funds that hold illiquid
21:35
assets? You mean things like private equity,
21:38
small cap mining companies, or commercial real
21:40
estate, things that don't trade on a live second
21:43
-by -second ticker? Exactly. For those assets,
21:46
there is no pristine closing price at 4 p .m.
21:48
to plug into the formula. The mutual fund has
21:51
to rely on estimates, driven by its own internal
21:54
valuation models and policies. Wait, really?
21:57
Yes. The daily NAVPS for a fund holding illiquid
22:00
assets relies heavily on an educated guess. OK,
22:03
so that daily heartbeat isn't a hard fact at
22:06
all. It's essentially a policy estimate. Right.
22:08
Now, I want to leave you with this to mull over.
22:11
Consider what happens when a severe market panic
22:13
hits. Everyone rushes for the exits. The fund
22:16
has to sell assets to meet redemptions. But because
22:18
those assets are illiquid, the fund discovers
22:20
that the actual real world cash they can get
22:22
in the fire sale is far, far low. than the optimistic
22:26
estimate they've been using in their daily NAVPS
22:28
calculation. Oh, wow. If a mutual fund's daily
22:31
price relies on estimates, what happens to that
22:34
perfectly fair forward pricing when reality violently
22:38
collides with the policy? Who really pays the
22:40
price when a fund is forced to liquidate and
22:42
the exiting investors get paid out at an artificially
22:45
high estimated NAVPS, leaving the remaining investors
22:48
holding a portfolio worth a fraction of what
22:50
the formula promised? That is a terrifying thought
22:53
to end on, but it proves the point. Keep an eye
22:56
on the plumbing, check your distribution dates,
22:58
and never assume the price on the screen tells
23:00
the whole story.