Your Money Is Losing Value... DO THIS NOW!
The Iced Coffee Hour Clips
0:00 Are you bullish or bearish for the US economy?
0:03 From an investment perspective,
0:04 very bullish from a quality of life and I don't think it'll
0:07 be the best country to live in for the next 50 years.
0:09 I don't think it'll be the safest.
0:10 I don't think it'll be the highest quality of life or the longest uh lifespan.
0:15 You think Switzerland?
0:16 I think Switzerland is far better.
0:17 Yeah, for sure.
0:18 What about Japan?
0:19 Probably better.
0:19 Yeah, probably better.
0:23 Yeah,
0:22 I think we're going to see a lot of people our age retiring in other countries.
0:26 I think so, too.
0:27 I think that's is just the only way they're going to be able to do it.
0:30 If you have $2 to $500,000 saved, right, and you're 60 years old,
0:35 nobody by the time they're 60.
0:36 Like, very few people get to that amount.
0:38 If you're lucky enough to have $500,000 saved at the age of 60 and you're done
0:42 with work and you want to retire and you
0:44 lose your job because a robot just took it,
0:47 you can go anywhere in the world and live a fantastic life on $500,000.
0:51 I totally agree.
0:52 Yeah, there's a lot of alternatives.
0:54 I I think that's going to happen.
0:55 In terms of the US economy, what are your leading bullish indicators
0:59 terms of an investment perspective?
1:03 Yeah.
1:02 Well, I think the same reasons that uh got us here in the first place.
1:06 I think we'll still remain the world reserve currency
1:09 and I I do think there will be a challenger.
1:11 I think Jerome Pal even said that he's like it's okay.
1:13 There's going to be probably two competing ones.
1:15 It's probably going to be China's currency.
1:17 It's going to be our currency.
1:18 But as long as we have the world reserve currency,
1:21 I I think it it will always squeeze asset prices
1:23 up no matter what because we have the money printer.
1:26 And as long as the world is still in need of those currencies,
1:30 of those units, then we'll always export our inflation to the rest of the world.
1:35 And with that money, they'll be buying our assets.
1:37 They'll be buying our treasuries cuz they'll want an interest on it.
1:40 And that'll push everything from equities to treasury bonds.
1:42 That'll always What determines the world reserve currency?
1:45 Is it just like who has the strongest military?
1:47 I would say that was a big part of it.
1:49 Yeah, I think that definition is changing obviously which
1:51 is why the dollar is losing dominance over time.
1:54 Like not to be that guy.
1:56 I'll show you that.
1:57 The dollar has had its worst year I think since 1972.
2:01 Yeah.
2:01 2025 we've lost 10%.
2:03 And here's what's interesting.
2:05 If uh here strong versus we see oh there we go.
2:09 So in 2025, the Dixie index,
2:12 which is measures the strength of the dollar in 2025, lost 10%.
2:16 Which is kind of crazy.
2:17 So what that means is like I opened up my investment account.
2:20 I look at my stocks.
2:23 So year to date on this portfolio, I'm up like 14%.
2:26 Which sounds really good.
2:27 Like cool, like that's great.
2:29 14%.
2:30 That's not bad.
2:31 But the reality is I'm only up like 4%.
2:35 Right?
2:35 Because the dollar's lost 10%.
2:38 Which means if you didn't get a pay raise this year that was 10%.
2:42 Then you lost money in terms of purchasing power.
2:45 So that $100 at the beginning of this year now buys you $90 worth of stuff.
2:52 That's literally this year alone.
2:53 Which means we're all forced to participate in the market.
2:58 Which is another answer to your question like why
3:01 is the US going to continue to go up?
3:02 Because we are literally forced to put our money in these assets.
3:06 If we don't we lose purchasing power.
3:07 But here's the thing I'm noticing in terms
3:09 of daily purchasing power over the last year.
3:11 You say it the dollar is down 10%.
3:14 But I'm not seeing real estate cost 10% more.
3:16 I'm not seeing groceries costing 10% more.
3:19 I'm not seeing gas costing 10% more.
3:21 I I'm seeing a lot of those basically in line.
3:24 Do you go to grocery stores?
3:26 Yeah.
3:26 Where do you go?
3:27 Trader Joe's.
3:28 Trader Joe's?
3:29 Yeah.
3:29 Why?
3:30 That's like That's not middle class.
3:31 Trader Joe's.
3:32 No.
3:32 Trader Joe's is nice.
3:33 I like Trader Joe's.
3:35 Yeah.
3:35 I thought you said Whole Foods.
3:36 No, no, no.
3:37 Where'd you go?
3:38 Arrowan.
3:40 Awan, it's still the same price, dude.
3:42 The $20 strawberry is still $20 per strawberry.
3:47 That's funny.
3:48 I'm just not seeing everything rise by 10%.
3:52 If anything, I'm seeing gas prices are down a little bit.
3:56 Um, energy prices are more or less the same.
4:00 Um, I don't know, but but maybe that's because I'm so isolated here in Vegas.
4:05 potentially.
4:06 Yeah.
4:07 I mean, I think we're definitely losing purchasing power over time.
4:10 We're making more.
4:11 We're printing more money.
4:12 It's constantly something that's going to keep happening.
4:14 Um, one thing I actually found really interesting
4:16 is I don't know if you saw this.
4:17 Um, did you see that?
4:18 So, Bergkshire Hathaway, Warren Buffett's company, in the last 27 years,
4:23 it's actually matched the price performance of gold.
4:29 Look at this.
4:30 So in the last 27 years, gold
4:36 gold and Berkshire Hathaway, they've basically been the same.
4:42 So what does that tell you?
4:44 And then there's this one.
4:45 So the total returns, it actually goes back to 25 years.
4:47 This is just a 20-year against the S&P 500.
4:50 So literally a shiny rock has outperformed all
4:54 the smartest people on Wall Street, all the innovation.
4:58 That's kind of nuts.
4:59 Sometimes I worry that these are very selective dates.
5:03 I knew I thought you were going to say that, but like 25 year period.
5:06 It's not like I was like, let's start right here and at a very recent time.
5:09 This is 25 years worth of innovation.
5:13 But sometimes going back 30 years could change the picture quite quite a bit.
5:19 or when you look at it from 1978 to today,
5:23 you get a bit of a different idea because gold,
5:26 my understanding is that gold just hit its inflation adjusted
5:31 price as to what it was back in the 1980s.
5:33 Yeah, it's caught up for sure.
5:35 It's caught up.
5:35 So, if you invested in the 1980s, you would have the same amount of money
5:40 today as you would back then adjusted for inflation.
5:42 And that's after what is that 40 years,
5:45 45 years, almost 50 years, we'll call it.
5:48 And you have the same amount of money
5:49 as back in the 1980s if you invested at the P.
5:52 Sure.
5:52 Sure.
5:52 But the most brilliant investor like Warren Buffett
5:54 25 years hasn't been able to outperform gold.
5:57 It does make me worry too that maybe Bitcoin could be one
6:00 of those of like Bitcoin's version is the 1980s version of gold, right?
6:05 Where it doesn't do anything for 25 years, right?
6:07 And then 50 years later you're like, "Oh my gosh, it just hit $2 million.
6:11 It's inflation adjusted."
6:13 Could totally happen.
6:13 Could totally happen.
6:14 Yeah.
6:15 I don't know I don't know what to draw from that conclusion.
6:18 It's just like that's that's kind of crazy to me
6:20 though that a shiny rock was able to outperform
6:23 some of the smartest minds in the world.
6:25 I think it's just the lack of confidence in the United States dollar
6:28 right now is really contributing to that and tariffs I don't think are
6:32 helping confidence and I think people just want a safe place to store
6:37 their cash and in terms of a safe place to put their money.
6:40 Stocks investors feel like is overvalued.
6:44 the dollar.
6:44 They don't have faith that it's going to be worth the same three years from now.
6:48 Bitcoin is a bit too volatile.
6:51 Where do they put it now?
6:52 Gold, silver, real estate.
6:55 But even real estate is expensive relative to the current interest rate, right?
7:00 And also, so it seems like Yeah, it makes sense how how gold
7:02 and also interest rates are going down, which weakens the dollar.
7:05 So, you know, less demand from foreign countries to buy our treasuries.
7:10 So that also weakens the dollar which partially
7:12 contributes to the 10% loss in purchasing power.
7:14 It's a lot of things.
7:15 Yeah.
7:16 I'm curious, have you made more money
7:17 investing or with YouTube over the past year?
7:21 So far, definitely YouTube.
7:22 By far.
7:23 Definitely.
7:23 By far.
7:24 By far.
7:24 Have you ever had a year where you made more investing than YouTube?
7:27 Before YouTube.
7:29 Before YouTube.
7:30 But I hope it doesn't come across that way on my YouTube channel.
7:32 I'm not like, "Hey, I'm the investment guru.
7:34 You should follow me because I make more money." I think
7:36 I'm pretty transparent about YouTube being my main source of income.
7:40 But I think on a long-term scale,
7:42 I think obviously investments will make a lot more money than YouTube,
7:45 but investing just takes forever.
7:46 Yeah.
7:46 But you can't compare the two.
7:48 Like even if you're in the market earning 8%,
7:50 you can't compare that to like a job that you're working at 8 hours a day,
7:55 5 days, six days a week.
7:56 Yeah.
7:56 I I think most importantly, as long as I don't position myself and I'm
7:59 not dishonest with people and I'm not like,
8:01 "Hey, look at my portfolio and look how much money I have.
8:04 you should buy my course cuz I know what I'm talking about.
8:07 I hope I'm pretty transparent about that and I
8:09 don't think that should be a secret.
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