Latest / Money Grows on Trees / #351 - Full Shares Masterclass, Wasn’t Meant For The Public

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#351 - Full Shares Masterclass, Wasn’t Meant For The Public · Money Grows on Trees

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The average person has no idea how shares actually work, and it's costing them
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a fortune. You see, most people think investing in shares is like gambling on
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a number going up or down. The reality is, a share
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is a piece of ownership in a real business, a genuine business. And
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when you understand that, everything about building wealth changes. I'm
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Lloyd J. Ross, seven-figure investor and entrepreneur, and I've helped thousands of everyday Australians,
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Americans, New Zealanders, and Canadians get out of debt and build real wealth. And
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in this video, I'm going to walk you through the complete share masterclass
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that, to be honest with you, was really never supposed to be shared with you in public. So
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we're going to break down what makes a great company, exactly how shares
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work, and how to build a portfolio today. So buckle up, it's going to be fun.
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This is a longer episode and I wasn't joking when I said this is a
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masterclass. The reason it's longer is because I'm divulging things in
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here that I teach in our courses and mentoring. Real
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genuine financial education that is inside some of our stuff. You're getting
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it from inside out right now. This is a little glimpse of
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the stuff that I cover inside our programs. So enjoy
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this one. Stay with it to the end. Gets juicier as I go. So
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the first thing we have to cover is where do shares come from? What
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is a share? And so I have to explain this
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to you so you understand, right? It's not just a little blip on a screen.
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It's not a number on a screen. It's not a chart. A share represents legal
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ownership in the equity of a company. Now
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that particular company may have one business or multiple businesses, right? So
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Alphabet as a company happens to have lots of businesses. It's
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got YouTube, it's got cloud, it's got search, it's got
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Waymo. A company can house multiple businesses. At
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the end of the day, a share represents legal ownership in
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the equity of the business. You're an owner of the company, right?
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As a company is developed and grows, It can grow
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through debt or it can grow through equity. Debt is when
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it borrows money from a lender and then pays it back over time and uses
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the money to grow. Whereas equity is we're actually selling a
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piece of the company. A private business ultimately
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becomes a company. So if you're starting out a business, eventually what
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you'll do is you'll end up starting a company and a company will really own
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that business. So for example, we have, just to make things simple,
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we have a laundromat business. Now the name of the laundromat business is
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Buddy's Laundromat. But the company that
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owns the business, that bought the business is not named that. It's
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named a different name. So a company can buy and own
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and develop and build multiple businesses. So in
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Australia, a private company can have up to 20 shareholders. So
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a Pty Ltd company that you or I could start, we
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can issue shares to other investors who
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own a piece of the company, which means they then own a piece of the businesses that company
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owns. Is this making sense? So that's what happens when
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you first start a business. Now, a private company, when
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it's doing well, can stay private. It doesn't have
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to go public, which I'll explain in a second. And
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some wonderful businesses that stay private. You definitely don't have to
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go public. Up until recently, SpaceX is a private company. Now,
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private company just means that no one outside those private shareholders
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owns the business or owns the company. When it goes public, which
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I'll explain how that happens in a second, anyone can buy shares
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in the company. Okay, so let's say a business is
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fairly new, it's doing well. The company that owns the business,
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it can have multiple shareholders, but up to 20 in Australia, and
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it's growing so fast. Guzman Gomez was
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a good example of that. They make these amazing burritos, right? And
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it was one of the fastest growing takeaway joints in Australia.
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And they could have stayed private. But when a company or a business is
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growing, it needs money. Businesses are thirsty for
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cash. because you have to open new stores, put
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in new staff, adopt new technology. It's a lot of money to scale
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and grow a business. So there's two ways for a company to
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actually grow faster and access cash. Well,
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the very first way is to bootstrap it with its own profits. That's a
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bit slower. It takes time. So if a company wants to grow fast,
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it can do two things. One, it can borrow money. That's debt. So it can issue
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bonds, or it can just borrow from a bank. And of course, with that,
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it's got to pay 6%, 7%, 8%, 10% interest on the borrowings. That's
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one way to do it. The other way is it can issue shares, which we
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discussed. If it's really growing rapidly
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and it wants to tap into the equity markets, it will actually
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decide based on certain the size of the company, how much
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revenue and profit it's doing, the projections of where it's going,
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etc. And the propensity for investment banks to underwrite the
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float as it goes public is it will start to decide,
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okay, well, what we want to do is we don't want to borrow more money in debt, We don't
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want to bootstrap it. We wanna go to the public markets, which means we
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want to sell a lot of shares to the public. So
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what will happen is it'll go through what's called an IPO, an initial public
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offering, where its shares or ownership of the shares are
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initially offered to the public for a particular price.
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So what will happen is, it'll go through the process of listing on the specific
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stock exchange it wants to list on. So for example, in Australia, it says, well,
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we wanna list on the Australian Stock Exchange, the ASX. So it goes
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through the process to do that. It's floated on a specific day. It
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says, okay, we're now trading in the public markets. Any
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mom and dad can now buy shares in this particular business, in
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our company. And you can go on with your broking app
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and you can buy shares. For example, when Guzman Gomez floated
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in Australia, anyone could go and buy its shares. Now
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what's interesting about that is the owners of the private business or the private company,
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when it floats on the stock exchange, it typically floats
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and is offered to the public at extremely high price multiple. Think
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of it like when you buy a brand new car. Everybody knows when
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you buy a brand new car, By and large, it
5:48
goes down in value very quickly because there's a lot of costs associated
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with selling that brand new car in a showroom. There's luxury car
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tax, there's GST, there's showroom costs, there's selling costs of
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the commission to the agent. There's all these costs built in. The same thing happens
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with the company. The investment bank has got to get paid. The owners
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want to sell for a highest price as they can. They've got the great business, like, well,
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let's sell for as much as we can. Elon Musk went through this massive
6:12
campaign with SpaceX recently. where they were
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like pumping this, oh, we're gonna go, we're gonna mine asteroids and
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we're gonna go to Mars and then, oh, everyone's bought into this mission.
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And they sell the stock, I think it listed at $150 a share and
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it went right up and then it's come right back. I think it's 110 now, I'm not sure. But
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whenever they do an initial public offering, typically, typically, it's
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always sold over price, which is why I don't
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touch IPOs. That's just the rule.
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because you have no prices, you don't know what's worked, you can't see the books. Now
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once it goes public, they're required, the company's required to
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report quarterly earnings, revenue and earnings and profit numbers,
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et cetera, every quarter. Which means as an investor, you
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then have absolute access to the financial information. Doesn't
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mean it's always accurate either, but for most part it is, then you understand
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what you're dealing with. But until it goes public, you don't know the numbers. You
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can have an idea, right? So I don't touch
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them. Anyway, I digress. That's how shares are
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effectively created, right? That's where they come from. So
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when you then go onto a brokerage platform, and there's so many brokerage
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platforms on your phone, you can access there's tons. It enables you
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to physically put money in that account and then buy shares. If a company's
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public, you can own shares in them, right? And
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that's effectively what investing in
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shares becomes about. So that being said, why does
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one want to put money into shares? And the answer to
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that question is because, and the only answer it should be, is because that
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particular business or that particular company that is
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growing a great business is that you want
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to participate in the success of the business. That's the only reason to
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own shares. And how that came about
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originally was with the, I think it
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was the East India Company, where it was effectively the
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first business enterprise that you could buy shares in. So back
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then it was like, we've got these ships and we've got this ability to go and explore and bring back
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all these spices and minerals and different things and
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sell them in the marketplace. So they would syndicate people to basically
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syndicate the exploration. So they'd sell shares in
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the East India Company, people would put money in, the ships would sail out and
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bring back stuff, and they'd all share in the spoils of
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that. Now, if the ship came back and there was no spoils, the
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value of the shares fell or they lost their money. And that's how shares kind
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of started. It was like, well, let's share in the profits of what you discover.
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Okay. And that's now evolved since then. So there's a lot, there's a
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huge evolution of companies and businesses and
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how people like us can buy into them. Now there's a
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lot of regulation around it. They have to report specifically. They
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go to jail if there's real shenanigans going on. There's been a
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lot of market collapses and crashes. So there's definitely
9:04
a lot more a rigor around safety of
9:08
capital when you invest in a business. So now, I
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think there's never been a safer time to be able to deploy your capital
9:14
into a business and get a reasonable return for it over time, because
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we have developed companies that have been around for a hundred years
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or plus or more. It's not like we're giving
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our money to a ship and saying, hey, go bring some stuff back.
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That's highly risky. Now, people still do that because you can still do
9:32
that in a mining company. It happens all the time, like, oh, this is a junior miner
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and it's going to drill for these mines
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and then it's going to develop and explore it. And this is so risky. It's like
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having the East India Company do that. So
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there's been a lot of regulation change. The objective of one who wants to buy shares
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would want to participate in the success of a business. This is a
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very important concept to understand. Because the idea of
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investing in the essence of what it really is, is
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can I deploy my capital that I have today, and
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can I deploy it into an asset
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that can generate me returns above the rate
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of inflation on a consistent basis, safely? That
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is the entire investing essence
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wrapped up in one sentence. That's what you're trying to achieve. Now, if
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you can't predictably calculate always
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be accurate either, where you can deploy that money into a
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risk asset, so a business, a piece of real estate, whatever
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it is, where there's risk that you've got to take. So you've got to be rewarded for that risk. Now
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if, for example, let's say a term deposit, which
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is almost no risk because it's a lend to the banking institution, or
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treasury bonds, which is effectively risk-free, they
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call it the risk-free asset because there's no risk when you lend money
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to the US government, they're paying 5% interest coupons.
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So you can deploy your money at a risk-free rate of
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5% a year. Pretty good. No risk, 5% a year.
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That's very good actually. In the days gone by, it's usually 2%. So
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the risk-free rate right now is very high because there seems to be
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a bit more uncertainty. There's many things that impact. I
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won't get into it now. But right now is that the US government risk-free
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assets 5%. So if you're going to deploy your money into real estate or
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into shares in a business, stocks, then you
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want to make sure that you're getting rewarded beyond
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the risk-free rate of 5% for the risk you're taking. So
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you want to be able to say, well, I want to get a 10% return. That's what you'd be
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aiming to achieve, right? And many wonderful companies can
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secure you on average a 10% plus return. They can, right?
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Many have done that, which I'll explore in a second. So that's
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your objective. Now, the reason for that too is that if you can do that
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year in, year out, year in, year out, you start to what's called compound your
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money effectively. And so money itself
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is not compounding. You're exchanging your money when
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it comes to shares for a share, a legal representative
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ownership of the business. So you're now an owner of a business. So when
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you see the money on the screen in your portfolio, it's not money. it's
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the market value of the shares that you own in the company. So
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you're now a company owner, okay? So it's not the
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money that grows, it's the company and business that grows in
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value from how much profit and revenue it can generate into the future. Now
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the more profit and revenue it can generate, it will grow very well
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and your wealth will grow with it. Now over time, if you can do that
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10% a year, 12% a year every year for a long time, you'll make
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a lot of money. That's compound interest. It's interest in the
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first year and then interest on the capital plus the interest on
12:39
the second year. And it's an exponential return, which
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is why Albert Einstein called it the eighth wonder of the world. It's amazing when
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you can sit there and your money will compound it as
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it compounds more and more and more and more. And so that's why Charlie
12:53
Munger said the first real objective of investor is
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to get your portfolio to six figures because at six figures, compound
13:00
interest is starting to really help you. Like for example, you have 100K in
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your portfolio in a few stocks or in an index fund which
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we'll come to, you get 10%, that's $10,000. Now the next year, if it's 10%, it's 10% on the 110K. Right,
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which is 111. So it's a little bit more every time
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without you doing anything extra, which is why it's
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such a powerful concept to understand. It's a powerful force
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to understand. And Charlie Munger, Warren Buffett's former business partner, used
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to say, take the simple ideas and take them seriously.
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And so compound interest is a very simple idea, it's a simple force
13:39
in the universe and I want you to take it seriously because it can have
13:42
a huge impact on your future wealth creation, right? So
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let's now understand, now we understand that, there's
13:49
this thing called the circle of competence and it's where you
13:52
are competent to play. So for
13:55
example, in the world of assets, there's bonds, there's
13:59
real estate, there's currencies, there's precious metals, there's
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commodities, there's share, there's different types, there's options
14:06
trading and swaps and futures and forwards. There's a
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big universe of different assets that you can deploy out there. There's even crypto and
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all that sort of jazz. There's lots. But
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in that universe, The reality is you
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shouldn't be playing or touching 95% of it.
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It's just outside your circle of competence. And
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I'll give you a statistic that'll blow you away. First and foremost, before
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I do, out of that universe of assets where I play, I
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can play in these, I'll show you where I can play, where I have enough competence to play.
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I have competence to play in real estate, individual
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shares, index funds for sure, term deposits and
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probably more so government bonds. I don't own any corporate bonds and
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that's it. Out of all
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the assets, that's where I play. The second part is
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this, and this is the statistic I was going to share with you. When
15:00
it comes to shares, most people aren't
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equipped to own shares in individual companies, okay?
15:08
We're going to cover on this master class, but most people aren't equipped. So,
15:12
you might think that someone like Warren Buffett is fully equipped to understand all
15:16
shares of all companies, and the answer is absolutely not, not even close. So
15:20
where he plays is, let's say, and there is probably 5,000 publicly
15:26
listed companies. That means there's 5,000 companies in
15:29
the American stock market that, or the New York Stock Exchange, that
15:33
you and I can buy and sell shares in, 5,000 roughly. I
15:36
don't know the exact numbers, but it'd be about that. So 5,000 publicly
15:40
available companies to own shares in. So it's quite
15:43
a few, right? Now you would think someone like Warren Buffett would be like,
15:46
oh, I can understand all those businesses. And nothing could be further from
15:50
the truth. He has said time and time again, we are competent
15:53
in areas and we stick to those areas. In fact, Tom Watson
15:57
Senior, the former CEO of IBM, they interviewed
16:00
him and they said, Tom, what makes you so effective as
16:04
a CEO? And he said, well, I'm smart in areas and
16:07
I stick to those areas. When it comes to shares, Warren Buffett
16:11
has said, this is outside our circle of competence, we can't touch
16:14
that. He's said that to a variety of different tech stocks over
16:18
the years. But once he does understand it, he
16:21
can play there. And it takes him a while to learn, like where
16:25
he's competent is insurance companies, infrastructure companies, like
16:28
railroads, et cetera, energy companies, and consumer
16:32
goods and staples, real estate to some extent, like
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I'm talking about companies that buy and sell real estate, but it's not his jam. And
16:39
then consumer discretionary and some tech
16:42
stocks, but they're more like consumer goods, full ecosystem tech stocks. So
16:46
that's his whole, out of all the companies, that's where he plays the
16:50
best. So he stays there. If you look at his portfolio, it's
16:53
those things. Oh, and banks. He's a very good investor in banks. So
16:57
that's it. If you think about it, those sectors that
17:00
I explained, it's not a wide, all-encompassing sector
17:04
specialty. He's really good in those areas. So if I took
17:08
all of the stocks available for him to analyze, and there was a
17:11
hundred, his circle of competence would be 5%. This
17:15
is the greatest investor in the world and his circle
17:20
of competence in all the stocks is 5%. So when someone
17:23
says to me, ìOh, Lloyd, Iíve got these stocks in this company or I found this company and blah,
17:27
blah, blah.î Iím like, ìOh, my God. Well, one, youíre not Warren Buffett and two, even
17:30
this would be outside his circle of competence.î So you have no business
17:33
plan there. And you see it a lot. There was a student of mine that once said to me, ìLloyd,
17:37
I bought shares in Virgin Galactic.î I'm like, ìOh my God.î And
17:40
you see this a lot too with Tesla and SpaceX and people got burnt with SpaceX. ìI
17:43
bought some shares in SpaceX.î I'm like, ìOh.î It's just
17:47
way outside the circle of competence. So I think you need to understand that. Now, out
17:50
of the companies that would be personally in my circle of
17:54
competence, Well, I've got a portfolio now of eight companies
17:58
and there's probably, I can understand to an extent, maybe
18:03
200, but it's not a lot. It's just not a lot. It's not. So
18:07
I think that's a very important concept for you to understand if you're going
18:10
to be investing in individual shares. Now, if you're not going
18:13
to invest in individual shares, which I'll come to shortly, then
18:17
index funds is an appropriate and effective and intelligent choice
18:22
for many reasons we'll cover. But I want to get into the nitty-gritty on this masterclass.
18:26
I want to talk to you about what makes a good company,
18:30
what makes shares in individual companies effective and how is
18:33
it done correctly. And this is why this is really not ideal
18:36
for public use because I'm going to divulge some things here
18:40
for you that took me 15 to 20 years to learn. and
18:44
I'm just going to give it to you. If this episode on our YouTube channel gets 1,000 views,
18:48
I'll be very irritated, because this is
18:51
what's taken me so long. Now, I'm not the best, but I have, for the
18:54
last couple of years, outperformed the S&P 500. I haven't done it,
18:58
I don't think, out of fluke. The
19:01
old saying goes, anyone in a bull market can outperform, but We have
19:05
outperformed this year from our oil positions, et cetera, that we owned before
19:08
the Iran. There's things that we've like our rail positions up 20%. It's
19:12
been the S&P 500 by itself, but no one said,
19:16
do go and buy this. I don't get financial advice from someone
19:19
to go and do stuff. It's all my own research. It's all my own thought process based
19:23
on the things that I've learned that I'm going to share with you today. So how do you buy shares
19:27
in individual companies? So here's a few rules, super
19:31
important. One, I don't understand every company. So
19:34
I got a buddy of mine, went to school with him, and he and I text and call and
19:38
talk about this a lot. And he says to me, hey, what do you think about this? And
19:42
the answer back to him is, I don't have a position on
19:45
that. And he said to me the other day, he goes, for God's sake, don't
19:48
make me do my own research. And the answer is, I just don't have
19:51
an opinion on every company. Because the effort required to
19:55
understand a business and a company, it takes hours
19:59
and hours and thought process. For example, if
20:02
I'm researching a new company, I want to
20:05
read the annual report which is available on their website under the investor tab
20:09
and I want to go through and understand it. I want to also understand
20:13
its history. Before I bought American Express, I
20:16
went and looked and researched a lot of its history and
20:20
it turned out it was actually developed and founded by the
20:24
guys that founded Wells Fargo Bank, incidentally. It used to be Pony
20:28
Express. It's come a long way. I do
20:32
spend a lot of time understanding a company and a business. I'm
20:35
thoughtful about it. When I go to the gym, for example, if I'm researching a company,
20:39
I'll literally listen and watch every YouTube clip that anyone's
20:43
ever done on that company. I'll read all the Seeking Alpha articles on it in the comment
20:46
section. I'll go through its annual reports. I'll do my own. It's a
20:49
scuttlebutt. It's trying to find as much information as possible. I'll go through and scour
20:53
X and search for that and look at other people's. I'm
20:56
just looking for as much as I can get on it. I'm looking at what
20:59
the super investors are buying because you can access that as public information. every
21:03
quarter they've got to disclose what they buy. So I look at what all the
21:07
super investors, including Warren Buffett and Chris Horn and David Tepper
21:10
and these guys are buying, Li Lu, like I follow maybe a dozen of them. And
21:14
I'm always scouring every quarter as to what they're buying and I try and re-engineer it
21:17
back as to why. Now I don't always copy them and buy it, but I just want
21:20
to know what they're thinking about. If I understand it, then
21:24
I'm interested. But if I don't understand it, like for example Micron, which
21:28
has gone up 10x in the last 11 years, I was looking
21:31
at that. because I noticed that Manish Pabrai, he
21:35
was on the Diary of a CEO, he's the Indian guy, he was on the Diary of a CEO. He's
21:38
got a book out called The Dando Invest, a really good book. I follow him.
21:42
I like his style and everything. He's a good teacher, but he
21:45
bought that with Li Lu. Charlie Munger said to him, whose idea
21:49
was the Micron idea? This was before Charlie passed away. He said, it was mine. He said, that's going to do
21:52
well. I looked at it. I understood it. I went to see if I could understand it,
21:55
and I couldn't understand it. And so, I didn't buy it and it went up 10x.
21:58
And I don't worry about that because I couldn't understand it. And here's
22:02
the thing, if you don't understand how a company or
22:05
a business makes money, you have no business owning its shares. None.
22:09
If you can't explain in one sentence how it makes money, You
22:12
don't have any business owning it. And so I couldn't understand it, so I didn't touch it. And that's the trick.
22:16
You have to understand this business. The old saying, if
22:19
you couldn't safely and securely put
22:22
your entire net worth in these shares of this company, you don't understand
22:26
it well enough. Because that's the type of quality business you want to look for.
22:30
So when it comes to a quality business, here's what you want to look for. One,
22:34
do you understand how it makes money? If you don't understand that, you
22:37
don't even touch it. But two, is
22:40
it high quality? And high quality means, can it generate returns
22:44
on its own capital well above the equity
22:48
risk rate? So the capital that's got from its selling its shares and so forth, can
22:51
it generate returns beyond, you know, 15 to
22:56
20%? Can it do that? And can it do it consistently? And this is
22:59
probably the most important factor when it comes
23:03
to investing in shares. Because what I learnt the hard way that I'm
23:06
sharing with you right now is, The quality of a company
23:10
is even more important than its price. It took me forever
23:13
to learn that because what I was looking for all the time was bargains. I was looking for a great
23:17
company that's extremely undervalued and they're just great companies like
23:20
Costco, American Express, Google, Apple, Visa,
23:24
MasterCard. Moody's, whatever. These
23:28
really good high quality companies, they seldom sell
23:31
for cheap multiples, which means they're always selling for
23:35
a multiple of 20 times earnings, 30 times earnings, etc. So
23:39
for example, like right now American Express, which is a great company, it has
23:42
a return on invested capital of 30% a
23:45
year, which is amazing. So it has the same risk profile
23:49
as like Bank of America or Wells Fargo Bank or Commonwealth Bank, whatever. Same
23:52
risk profile. But its return on capital is like triple Commonwealth
23:56
Bank. So it can return 30% of its invested capital
24:00
to shareholders every year. But it's selling for a
24:03
multiple of 20. or 19, four times earnings. It's very,
24:07
very well priced for a company that can do that, that
24:10
has been around for 150 years and doing that. So
24:14
the quality of the business is the first most important thing. Now
24:18
if there's a quality business, like let's take Costco for example, one of
24:21
the highest quality companies and businesses on the planet. It's one of the few businesses
24:25
that is immune to Amazon's disruption. It
24:29
sells items and it sets price based on
24:32
those items and it has a select number of brands and it has its own home
24:35
brand too in its stores. And it sells it for a margin, but
24:39
it doesn't sell it for any more margin than 14%. So
24:42
it doesn't price gauge any of its customers. But what's fascinating about that is
24:46
it can cut and be the price leader in the world because
24:50
of the volumes it sells, but also because of this. It
24:53
can sell items at the cheapest possible price. because
24:57
it doesn't increase margin but most importantly because it makes its margin from
25:00
its memberships. So that's where it makes its margin.
25:05
It's amazing. And so it's almost
25:08
impossible for other companies to penetrate and compete with it. And
25:12
this is what you're looking for when it comes to a great business. Basically you're
25:15
looking for a monopoly. You're looking for a business that's impossible to
25:19
compete with and disrupt. That's the reality. Now, if you start
25:22
there, you're going to pay a high price for those companies because they are highly priced.
25:26
And it took me forever to learn that. So now, what I look for is I look
25:30
at the companies I want to own and I only want to own six to eight companies. Charlie
25:33
Munger used to say that to be diversified, you've only got to own three. And
25:37
I think he owned Berkshire, Costco and Bank of
25:40
America, Wells Fargo, that's pretty much it, three or four. Because
25:43
if you think about it, if you owned those four companies outright, you'd
25:48
be very diversified. If you owned a McDonald's business up the road, a
25:51
laundromat or a couple of those, and then a piece of real estate and
25:55
then something, you've diversified. So when you own three
25:59
great quality companies, you are already diversified. You own
26:02
three different businesses. If someone owned three small businesses, you would say that they're pretty
26:05
diversified. Why is it any different in stocks? It's not. as
26:09
long as they're high quality companies, right? Now, Warren Buffett and
26:12
Charlie Munger have said, you only have to find six to eight great
26:16
businesses in your entire life and you'll get rich. Even
26:19
Peter Lynch used to say that too. So why would I go out
26:22
and try and find 20 stocks or 30 stocks? And people do this in their portfolio, 20 stocks,
26:26
30 stocks. It's like, what? You're not gonna outperform the S&P 500 if
26:29
you do that. You may as well just own the, if you wanna be fully diversified, like
26:33
own the top 500 companies, you may as well just own something like the S&P 500. And
26:37
by the way, that's done really well and will continue to do well over the longterm. I
26:40
think since 1957, that index fund specifically has returned
26:44
10% per annum on average. It's amazing, but doing nothing. We'll
26:48
come to that in a second. But I just want to explain this to you. So the quality of
26:51
the company matters. So does it have a high
26:54
return on invested capital? Now recently, as an example, it took Warren
26:57
Buffett, because I think Google listed in 2002 or 2000, and it
27:02
took him 26 years to buy shares in Google. Think
27:05
about that. Because he didn't have any certainty around the quality of
27:08
the business. Now since Google listed, which was initially for its search business, It
27:12
has developed search to be 90% market
27:16
share. It's Android operating system to be like 90%, some
27:19
huge number of the smartphone. I don't think it's 90, but it's a lot of the smartphone
27:23
market in the operating system. It owns a big market share. People
27:27
don't know that. It's cloud businesses are now huge. It's
27:30
a huge business and progressively getting better. It's got YouTube.
27:33
It owns YouTube. Thanks, Google, for YouTube. Pays us the money.
27:37
It owns search, of course, still, as I mentioned that. Waymo,
27:41
it's got it owns actually like 7% I think of anthropic it
27:44
owns about 7% of SpaceX incidentally anyway look It's
27:48
got a chip. It's a what's happened in that time frame. It's become a fully integrated. It's
27:52
obviously got AI Gemini It's been a it's now a fully integrated
27:55
ecosystem so with its subscriptions and everything like that It's gonna email like
27:59
you pick up Google, and it's got like five or six really
28:03
world-class businesses in one So when you own a share of Google, you're
28:07
effectively owning multiple businesses in one. So that's something that Warren
28:10
Buffett's done. He's looked for ecosystems. He did that with Apple. Apple's got
28:13
the App Store, it's got the phone, it's got this, it's got that, it's got the, you know, it's multiple
28:17
businesses in one. So he bought Google recently and
28:20
now, it will now be on the next quarterly report, it'll be his third
28:24
biggest position, just behind Apple and American Express. And
28:27
so if you think about that, why? Because Google not
28:32
only has its return on invested capital been about 20-25% for a
28:35
number of years, but now you can see if you look, you
28:38
can see it's growing to 30-35% on its way to just reported
28:43
52%. So it's actually not just having a high return on capital, but the return
28:47
on invested capital is growing very quickly. And
28:50
that's, in my understanding of the research I've done over the last 15-20
28:53
years, that's what gets Warren Buffett's
28:57
attention. Now, he likes to buy them when they're selling for
29:00
10 times earnings, which seldom happens, if ever. He
29:03
bought American Express at 7 times earnings when the salad oil scandal happened. He
29:07
bought it back again. Anyway, he likes to buy it cheap.
29:11
The highest quality company is cheap, but you seldom do it. Recently, he
29:15
bought Google at 25 times earnings. Now, for Warren Buffett,
29:19
that's extremely expensive. But he's realized it
29:22
doesn't matter as much because the quality of the business is
29:26
so good that in the next 20 and 30 years that price is
29:29
going to look ridiculously cheap. So as long as you're not
29:32
buying it for 50 times earnings, like Costco right now for example, the
29:36
reason I haven't touched Costco, brilliant business. is 47 times
29:40
earnings, which means it would take 47 years for it to earn itself back. It's
29:43
just too expensive. It's not growing its earnings fast enough, but
29:47
something like Google at 20, 25 times earnings, growing its, you know, it
29:50
just grew its earnings at 296%. What the hell? I mean, it had unrealized
29:54
gains in its other businesses, but its operating earnings, let's
29:57
just go there, grew by 82%. Yeah. So
30:02
it's cheap at 24. That's what Warren's seeing, right? So
30:05
the PE multiple, can look expensive if
30:09
it's high, but if the earnings are growing very robustly, like
30:12
at 50% or more, it can actually look quite cheap. So gotta be
30:16
careful of that. What you gotta look for is high quality return on
30:19
invested capital. Is it growing the ROIC, right,
30:23
return on invested capital? And is it growing its earnings consistently? Does it
30:26
have multiple businesses that minimizes the risk of just one competitor
30:30
taking it? And what else? Does it have manageable debt? Is
30:35
it growing its revenue top line as well? And this is very
30:38
important before I move into index funds. Does it have
30:42
a durable competitive advantage that
30:45
it can't be competed away with? For example, Blockbuster, it
30:49
had an advantage, but it lost it when it didn't buy Netflix and Netflix destroyed it.
30:54
Kodak, destroyed. Blackberry, destroyed. It's still a real company.
30:57
So you've got to look at these companies. If they don't innovate
31:00
and evolve, or not even innovate, but if their business model can
31:04
be attacked by another business and it can disintegrate its competitive edge, the
31:07
return of investor capital drops massively and the shares fall massively and
31:10
it loses its edge. This happens a lot in capitalism. Capitalism is
31:14
designed to destroy companies. Because they're always competing
31:18
with new, like if there's profits to be made in an area, people
31:22
are clamoring in to compete there. That's happening in AI right now. So
31:25
you've got to be in a company like, I'll rattle off a few for you so you can understand
31:28
what I mean. The reason we own a railroad company, the leading railroad company
31:32
in the world, is because you can't easily replace 32,000 miles
31:35
of railroad. So it's not, there's not easy substitutes. Does
31:39
that make sense? That's what I'm looking for. So monopoly, reasonably
31:43
priced, high return on invested capital, great brand, less
31:48
debt, cash in the bank can cover this. What's the downside? It
31:52
can manage this downside. And if you've ticked all those boxes, and there's a
31:55
few to tick, You come to like 20 or 30 great companies that
31:58
you can touch. And that's why I don't really have, I don't have a big portfolio.
32:01
I don't need it. So look, I've probably divulged enough there when it comes to individual companies.
32:05
I know you probably want to move on to the next thing, but this is, I'm giving you some stuff here that I've
32:08
learned. Like it's just gold. This is worth thousands and
32:11
thousands of dollars that I'm just throwing up here, just so you know. Now,
32:16
if you don't want to go to the gym like me and do your workout and listen
32:19
to earnings reports, if you're not going to do that and you're not going to listen and
32:22
you want to be thoughtful, for example, S&P Global just
32:26
released its earnings report and there's a snapshot of the summary of
32:29
what it did really well. But I was salivating
32:33
to read it, the earnings report. Now if you're not in that frame
32:37
of mind and you're not curious, if you have no agency to pick up
32:40
the quarterly disclosure of the super investors or you're not curious enough to
32:44
listen to 15 YouTube deep dives while you're in the gym about this
32:47
one company, if you're not interested in business, if you're not interested in
32:50
the competitive environment, if you're not interested in reading all the books that I read about, if you're not interested
32:53
in any of that, you have, listen, you have no business
32:58
owning individual stocks, zero. Don't even
33:01
pretend. Don't even play with yourself. My buddy sitting
33:05
there goes, ìMan, you know what? I really shouldn't be owning
33:08
individuals.î He knows. I was like, ìYeah, probably right.î
33:12
If you're not going to do your own research, how do you play the game? Warren
33:16
Buffett, to finish off this episode. I know it's a longer one, but I hope
33:20
you're enjoying this. If you're enjoying this, getting value from this, comment below. I'd
33:24
be curious to know. By the way, let me throw this nugget out there. My
33:27
portfolio is based on a hundred year portfolio and how I approach it
33:31
is, what are the six to eight companies that I only want to own for the next hundred
33:34
years, that will still be around in a hundred years, that have a high heroic, low debt, blah, blah,
33:37
blah. And they're the ones I own now, they're the ones I'll only ever own. So
33:41
when you get this right, you literally don't have to own any other companies, which
33:44
means when they force you to buy more. This is how you
33:47
outperform the S&P 500. This is a layup.
33:52
The reason I'm laying it up, you're like, why are you saying this? Because I
33:55
know that most of you won't go out and do the work. Not that I
33:58
don't want you to, I want those, the 2% that understand this, kudos,
34:02
awesome, well done, happy to serve you. But I also want to frame
34:06
this in a way so you realize why I bang
34:09
on so much about index funds and probably why Warren Buffett does too is because Most
34:13
people aren't equipped to do this investing game in individual shares, nor
34:17
should they. So how do you play the game? Well, you go and you understand index funds.
34:20
Now, index funds are very basic. They're very easy to understand. Jack Bogle invented them
34:24
in the 1970s. He was the founder of Vanguard Group, which is
34:27
a company, and they developed the first index fund. Now, an index fund is pretty simple to
34:31
understand. It's a fund where everyone's money goes and they
34:34
take it and they deploy it into these shares in the
34:37
market for you. in a way that's
34:41
weighted based on the biggest companies, that's automatically recalibrated
34:45
through computers for you, that mimics, that
34:49
replicates as close as possible to the performance of
34:52
a particular index. An index is
34:55
a point system attached to the broader market of
34:59
the constituents of the index. So for example, Standard & Poor's,
35:03
people called S&P, Standard & Poor's is a real company, called S&P Global,
35:07
they rate their rating agency, and
35:11
they created the index. And many years ago, like
35:14
a hundred years ago, they created the S&P
35:20
500 index. Now that's an index with points that tracks the
35:23
performance of the top 500 companies domiciled in North America who are publicly listed. That's
35:27
what it does. So there's a number attached to it. So when you turn on the screen in
35:30
Bloomberg, it's like the market, as they call it, the
35:33
S&P 500 index is up 45 points today. That's
35:37
because they're tracking the performance of those constituents in the index by
35:41
numbers. And they're just tracking the performance of the broader market. So
35:45
500, the central limit theorem in statistics suggests that if you've got a sample of 30, a
35:49
distribution approach is normal, which means you don't have to have much more
35:52
than a sample of 30 to give a statistically significant
35:56
data set. So there's 500 in the S&P 500. plenty
36:00
to give you a bit of a broad idea of the market. That's why the Dow
36:04
Jones has 30 constituents or stocks in it, the
36:07
Dow Jones, the index of that is because 30 needs to be there to be statistically
36:10
significant so they can tell you the market's up or down. I'm
36:14
getting a bit detailed here but stay with me. So the index
36:18
is not the fund. The index is a performance measure
36:23
of the stock market. that S&P created. Now,
36:27
when Vanguard created an S&P 500 fund,
36:32
it said, hey, mum and dad investors, we know it's hard
36:35
to pick individual stocks, we know it takes work and effort, and we
36:39
know that 90% of professional money managers can't beat the
36:44
Is there a woman on planet Earth that manages more money from an investing capacity than
36:48
Maybe not. My God. How has she gone on to die over CEO? I'm
36:52
overseeing nearly $30 billion. What the hell? She's lost more
36:57
This is all you need to know. Cathie Wood built a multi-billion dollar fund by spotting trends
37:01
She's absolutely opposite of a good investor. And now, with over four years
37:04
of market insight, she's showing you how and where to invest too. She's categorized the
37:07
worst investor of all time, yet she's on die over CEO.
37:11
What the hell, man? She hasn't even beaten the S&P 500. Stephen Bartlett,
37:14
get me on. And there's lots of great small-time
37:19
investors that beat the S&P 500, right? Now, it's arguably
37:22
easier to do with smaller capital, but she's just awful at it. Just so you know, don't
37:26
follow her. What was I getting to? Okay, so an index fund. So
37:30
Vanguard and BlackRock and these fund managers, there's a lot of them, let's say probably
37:34
50 fund managers out there. They have said, well, mom
37:38
and dads, give us your money and we'll invest it
37:41
for you specifically into those companies that are in the S&P 500 in
37:45
a specific weight and we'll manage it for you at 0.15% fee,
37:49
which is nothing. It's almost zero for nothing. We'll
37:53
do this for you for 0.15% fee. You don't even see it.
37:56
It's so small and we'll do it for you. And you're
37:59
like, oh my God, this is the greatest invention of all time in the history of finance.
38:03
Oh my God, thanks Jack Bogle. Here's my money. And
38:07
this is what's been happening. And that's why you see now most people
38:10
buying an index fund. Now, when you own shares in an index fund, like
38:13
the S&P 500 index fund, with a company like Vanguard, or
38:18
like BlackRock, or like Fidelity, whoever you decide
38:21
to go with, all these fund managers have an S&P 500 index fund. You're
38:25
basically buying a share, one
38:28
share of the index fund is basically buying 500 shares, 500 different companies
38:32
in one. It's amazing. It's like having a
38:35
basket of stocks, a basket of 500, which means this, listen
38:38
up very closely, for you to lose money, when you own that,
38:43
two things can happen. One, there's a market collapse
38:46
like COVID where it fell 30% in a number of weeks and
38:50
it falls. And because you haven't listened to this channel or
38:53
follow me or got any help or read book, whatever, and
38:56
you're not educated and you shit the bed, which
39:00
happens because you read the paper too much and listen to your neighbor and you sell.
39:04
at the bottom like an idiot, you're gonna lose money. And if you do, you deserve
39:08
to. So, suffer in your jocks. You're an idiot. If
39:11
you can't handle that, don't even touch stocks. Just go and
39:14
buy your house and go buy real estate and be there and be okay and get a turn deposit. And
39:19
Charlie among you say, and you'll get the average returns you deserve because you
39:22
can't manage your emotions. 500 of the best companies ever
39:26
to exist in the world. You own a share in the S&P 500, you basically own
39:29
a share of the best 500 companies ever to exist on planet Earth, ever. And
39:33
not only that, when one is sick and
39:36
falls and dies, it's replaced by one of
39:40
the best, forever, at 0.15%. It's crazy
39:43
good. So the other way for you to lose money is this. This is
39:47
the other way that you could lose money. The planet could get
39:50
hit by a huge asteroid. Think about it. For
39:53
you to lose money, those 500 companies have to go broke on the same day. Now
39:57
for that to happen, asteroid, or the sun explodes and we die. Now in
40:00
that case, no one cares about your money. So, if
40:03
you understand that, that's why it should just be such an
40:06
easy decision. Since 1957, this particular
40:10
fund has returned 10.26%, which is above the
40:13
rate of inflation, it's above the risk-free rate, and
40:17
by all accounts, you know, risk in academic
40:20
parlance, when you go through financial courses at university and so forth, the
40:24
financial department, the academia, they call risk beta, and
40:27
risk is where They measure risk as the movement
40:31
of volatility of an asset. Now, of course, if you've got a public
40:34
auction market, which is what the stock market is, it's an auction market, which is bidding and
40:37
selling. When you're buying shares in an index fund, you're not buying them off the fund directly.
40:41
You're buying them off Mary Sue who's selling them on her own brokerage. You're buying secondhand. It's
40:45
the secondhand market. It's an auction-driven secondhand market, like real estate,
40:48
right? It's just that there's offers and bids every second.
40:52
There's lots of volume. There's huge liquidity in the American stock market.
40:56
You can catch a bid for anything. And so it's easy to buy
41:00
and sell shares. But it's an auction. Of course, in an auction
41:03
market with highly liquid market, with great quality companies,
41:07
of course you're going to have prices move around like this. This is why you
41:10
see it on the screen go up and down like this. But just because the price moves up
41:13
and down doesn't mean anything. It doesn't. You've
41:17
got to understand that the extent to which you make money in stocks is
41:21
correlated with the performance of the
41:24
business. That's why Ben Graham, who is Warren Buffett's
41:28
mentor, said, in the short term, the stock market's
41:31
a voting machine. In the long term, it's a
41:35
weighing machine, which means the price will eventually oscillate around
41:39
the earnings of the business. So if the earnings are shit, Guess
41:43
what? The price will eventually follow, which is why I don't own Tesla stocks.
41:47
But if the performance is really good, eventually the price
41:50
will follow, okay? Okay, why I still own Alibaba four years
41:54
in, because the earnings are growing. And you watch, it'll just go vroom one
41:57
day. You may not believe me, but. So you have to understand the long-term, so
42:01
it's not a year, it can sometimes be 10 years. Microsoft took 13 years
42:05
for the price to match the earnings, 13. And people made
42:08
a fortune, 5X, bang! But you gotta have patience, which
42:11
is why Warren Buffet said most people shouldn't own stocks, you gotta have patience. So
42:15
if you understand this, looking at the S&P, like an index fund, there's
42:19
multiple, there's like the NASDAQ, it follows the top 100 non-financial
42:23
companies listed on the NASDAQ exchange, which is a digital exchange. And
42:27
you got the S&P 500. So there's this index fund. Now, if you invest money there, and
42:31
you consistently add to it over time, and you can think it may not
42:34
get 10.26 in a few, but it might get nine. It might get nine. I mean, pretty
42:38
richly valued at the minute, but it's not crazy. It's not like 50 times earnings
42:42
to buy the S&P 500. So look, I don't know what the performance is
42:45
going to be in the next year or two years or three years, but I do know over the
42:48
next 20, 30 and 40 years, the performance of that is
42:51
going to be amazing because businesses, listen up, businesses
42:56
are the best wealth building vehicles in the
43:00
world, period. How would I know that? Go and look at the Forbes 400, the
43:04
400 or 400 wealthiest people in the world. All of them, all
43:08
of them, got there through business. I
43:11
don't see a crypto person up there. I don't see a
43:15
FX trader up there. I don't see a currency trader,
43:18
I don't see a binary options trader up there, I don't see, I don't. They're
43:22
all business owners. So business is the preeminent asset
43:25
to own for wealth creation. Fact. So
43:28
of course if you own the top 500 index fund over time, of course it's gonna
43:32
outperform gold. Of course it's gonna outperform crypto, shitcoin. Of
43:35
course it's gonna outperform real estate, of course. Because they're
43:39
better creators of value in the world than anything else. That's
43:42
why they're valuable, right? You're better off to own shares in app. That creates
43:46
more value in the world than gold. That's why
43:49
this is such a valuable company, which is why it's up 50% this year.
43:53
50, can you believe that? Apple, it's up 50 because
43:57
it's the best creator of value in the world. That's why I get
44:00
on this podcast and I talk here and people give me You guys are
44:04
super kind in the comments. Thank you. Come around. Obviously, the audience agrees
44:08
with my values. But when we first started, and
44:11
I started slamming shitcoin and gold, and by the way, silver's way down since we've done it.
44:15
I'm not just pulling it out of my ass. I'm saying these
44:18
are economic facts over time. But most
44:22
people aren't looking and reading about that, they're just, oh, gold's up,
44:25
I'm gonna run after this, then run after that, run after, that's just how they are, right? And
44:28
so this is why I'm such a strong
44:32
firm investor in stocks, and I have owned index funds
44:35
in the past for sure, but I feel like I know enough to beat
44:39
the market, and I have so far, this year beating the market again, and last
44:42
year beat the market, so I think I can do it long term. I like to play
44:45
the game too, right? Which is why most of our net worth is
44:48
in stocks. So when people say to me, Lloyd, you've told us not
44:52
to buy this and not to buy that, not to buy this. What do you own? And the
44:55
answer is stocks. Even when Jeremy Grantham the other day was on Diver's CEO.
44:59
Don't own US stocks. That's a simple strategy that you can act on.
45:07
And if you have a big position in US technology stuff, my personal advice
45:13
Anyway, I'm going way off track here. The whole idea is to treat
45:16
stocks or shares in a company how you would if you own the whole company.
45:20
You don't buy and sell companies instantly like that. Like our laundromat, I
45:23
want to sell that for the next 20 years. It's a great business. And I just use the laundromat
45:27
all the time because it's a simple business to understand. But we have got five companies, five
45:31
businesses in five different companies. I want all of
45:34
them to last next 20, 30 years, but how I own
45:38
stocks is the same. I want to own my American Express stocks for
45:41
the next 100 years. Literally, our portfolio is called our 100-year
45:44
portfolio. I was going to write a book on it, but that's how I approach it
45:48
because if you approach it like that, you're going to be solid. You're
45:52
going to have a strong foundation. What I'm teaching you and sharing you on this episode, by
45:55
the way, No one gets this information. This is a
45:58
packaged piece of information, things I've learned in 20 years. I
46:03
hope you're finding this valuable. You may send this to someone. Great if you
46:06
do. So how do we wrap this up? You buy and sell shares through
46:09
a brokerage account. You can add an app on your phone. please don't ask me
46:13
in the comments or DM me on Instagram asking me to recommend your brand. I'm
46:16
not gonna do that. I'm not here to recommend financial products. I'm
46:19
not here to give financial advice. I'm here to educate you and give you
46:23
a framework or a mindset and some lessons,
46:27
some guardrails. and some information that's
46:31
easy for you to digest without you reading 50 books, even
46:34
though I still want you to go read the 50 books. It's just, I hope this has
46:38
helped you understand why Warren Buffett has said multiple
46:42
times at his Berkshire shareholder meeting that we're at last year, we saw him retire
46:45
last year, stand up, get a 10-minute standing ovation. We're in Omaha. It was awesome. The
46:49
reason why he said in his will to his wife, when
46:53
I die, I want you to put the money that you do get into the S&P
46:57
500 index fund. I think he says that one. Because
47:01
he understands that 90% of people can't beat it.
47:05
Now, if you understand these things, These are the types of market signals
47:09
out there that you'd follow with your own research, with
47:13
your own understanding of risk profile and understanding of, you know, your
47:16
ability to handle risk and movement of asset prices, this is all
47:19
up to you. But you can see why he doesn't say, Asher, go
47:23
buy gold, go buy this, because he's not, because he's smart.
47:27
In fact, he's so smart his IQ would boil soup. This
47:31
is the greatest investor who's ever lived, in his will, to his wife
47:34
who he loves, to telling her what to do. Now, if you can't
47:37
pick that up and run with that, you've got rocks in your head. I don't know what to tell you. What
47:40
do you want? What else do you want? This
47:44
is why it's so simple to see how to manage money in this world. It's so easy.
47:48
It's easy. And how it's easy is you knock out all the bullshit noise that's out
47:51
there. This is part of the process of getting good with your finances, is
47:54
the ability to ignore the bullshit. And
47:57
there's a lot of bullshit. There's a lot of shit on Instagram,
48:01
it's everywhere, right? Let me finish like this. And
48:06
I know I've said don't buy, like the market's supposed to be bad in real
48:09
estate right now, but if you were to buy a home, much
48:12
less than what the bank will lend you the money for, and you owned it outright, you
48:16
never leveraged against it, you just held it, a paid off home, shelter,
48:20
especially in Australia with CGT free gains, that makes
48:24
some sense. If you have that, you wouldn't rush around and destroy that.
48:27
If you're on the way to that, great. Would I
48:30
go and buy multiple residential property investments? No chance. It's another episode.
48:34
If you had a home you paid off that was well within your
48:38
budget, so the home didn't own you, great, and you kept it for a long
48:41
time and lived there for a long time, like Warren Buffett lived in his house for 65 years. That
48:45
makes sense. If you built or bought a business that
48:48
enables you to generate profits to release yourself from a job, that
48:52
makes sense. If you haven't got that, I encourage it, hugely
48:55
encourage it. That's how you get financial freedom the fastest. It's not through stocks.
49:00
Then, once you're on the path to that, and perhaps you have that, and
49:03
you wanted to deploy and build your capital and do it in a passive way,
49:08
stocks specifically, if you do your own research, an
49:11
indexing strategy makes sense for most people. And if you did that, you'd
49:15
scale your wealth without scaling your problems. If you had those three things in
49:18
place, paid off home within budget, a
49:22
business that was able to generate income for you that you didn't get tied to
49:25
an employee, so you have some level of freedom and ability to scale, and you
49:28
had a portfolio, and you effectively moved to reduce your
49:32
debt across those and manage your debt, you're going to be so
49:35
solid, not just for you, but for generations to come in how you manage money.
49:39
So how you take this information and deploy it into that is, well, do I have
49:43
these going on? And if I'm going to invest in stocks, have I taken this
49:46
episode that Lloyd did, a masterclass on investing, thought about it, and
49:49
actually understand now what I own? And can I have patience with
49:52
it to do it for 20, 30, 40, 50 years? And can I teach my kids this? This
49:56
is why I was talking to a guy the other day. In fact, we had some new machines delivered
50:00
to our laundromat. And by the way, if
50:03
you know anyone selling one, let me know. We're going to buy another one. He
50:06
said, you know, it'd be good to be able to talk more about money and finance. I'm
50:09
like, listen, man, money and finance is fucking easy. It's easy. It's
50:14
simple. Buy a house, small and paid off, get a
50:17
business, and put the balance of profits you make into
50:20
shares and just leave it. And you just be rich. That's pretty much
50:24
financial 101. But everyone wants to make it harder than it
50:27
is. They're flapping around, planning outside their zone of competence, worried about
50:30
what people think of them and blah, blah. So anyway.
50:34
I could go on forever. As you can see, this episode, I
50:37
could talk about this forever. This is my wheelhouse. This is my jam. And on
50:41
our show, I've spoken about property to the cows come home, because I just want
50:44
people, because it seems to have done really popular topic in Australia. But
50:48
now it's time to shift it and go, hey, this is what I'm good at. This is what I do.
50:52
This is my wheelhouse. This is my jam. This is my space. And this is why I can talk about
50:55
it forever. This is why I've got books on it. This is why I do it.
50:59
So if you wanna learn this stuff, stay tuned, because we're gonna do more
51:02
of this, all right? So I hope you've enjoyed the episode. If you have, if
51:06
you've found maximum value in what I've just thrown out here today, please hit
51:10
the subscribe button. We just hit 10,000 subscribers on our YouTube channel. We wanna
51:13
hit 100,000, we wanna get a million, why? Because what a fun adventure to go
51:16
on. How cool is it to do that? And to give value to the people out there,
51:20
a no BS approach, a non-biased approach to
51:24
finance, personal finance in the world that's not fed, it's
51:27
not, I'm not, yes, we've got our books here, and if you end up buying one,
51:31
fantastic, great. Of course I encourage, I'm an author. Someone goes, hey, he's
51:34
just here to sell his book. Yeah, no shit, Sherlock, why wouldn't I? I'm
51:37
an author. What kind of retarded author doesn't want
51:41
to sell their book? What's wrong with people? Of course. So
51:44
yeah, buy our books. Great. Money Buys Happiness, great place to start. But
51:47
so, I mean, this is, you know, there's no ads here.
51:51
If you're ready to take control of your finances, my book, Money Buys Happiness, simplifies
51:55
investing. Get your copy via the link in the show notes. I'm just giving
51:59
value, because I love to do that, because I want you to do well, right? Because
52:03
there's a lot of stuff out there that will put you down the wrong path. So I
52:06
hope you can see that. If you can, hit
52:10
the subscribe button, leave me a question or comment below. I know the last few episodes, I'm
52:13
gonna come back and hence you guys too have been flat out doing some things, but
52:17
thank you for your attention. Thank you for helping us grow the channel. And
52:20
if you could share this with a friend and help us grow up faster, that'd be fun, but
52:24
you don't have to. I hope you've just got value, right? So if you have, thanks very much. And I'll