WRKO>Audio & Video on Demand>>Full Show 5-7-18

Full Show 5-7-18

May 7, 2018|

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

This is the financial exchange with the very Armstrong and chunks of you're exclusive look at business and financial news affecting your day your city your world. Stay informed and up today about economic and market trends plus get breaking business news every day. And now the financial exchange with the very Armstrong and chuck Exxon. You know the sun is shining. The stock market is up but I'm a little nervous has to do with the price of oil that continues to rise it's over. Seventy. Dollars per barrel. We're should be talking about apple and Warren Buffett this morning hi everybody it's very and John Moody with you here on a Monday morning in. You know leave it to me to be the grim reaper man bring up the one. Aspect of what's going on in today's market that makes me nervous but I have to do it will at seventy dollars a barrel. That for a lottery. Reasons gives me cause for concern what it should because it's a larger import cost in the United States would no one like strident after the pomp and spending more of their free available cash and gasoline. We're getting you know a utility bill that's higher that's more money out of your pocket. But unfortunately this is a consequence largely of a stronger economy. And now the big thing which I think is proving to be an even bigger thing than the demand brought on a stronger economy. International attention specifically Iran in the in the nuclear deal with them so that is. That's what's driving this right now. And it's at your catching everybody by surprise. You the one committees nobody. That I've talked to in the last year or two. Thought we'd see seventy dollar was in made a twenty team. Everybody's of the mindset up until now and it's you know well you know the US is continuing production. OPEC will never be of the cool dude Russia will start pumping. And it's happened Russia's behaving Russia and Saudi Arabia have negotiated a peace treaty. Curtail production and they are adhering to those production cut as are many of the other OPEC countries in the United States continues to pump and neck continues to equal Saudi Arabia pretty much in terms of the B the size of the player the problem is only so much that we can pump out and we still do import oil soaked. Look it's an international game. I'm frankly not all that shocked that something is major is Iran would drive us to seventy dollar you know west Texas international 7560. For Brent. The other high numbers are hard to your point. Would win or feel pretty much is in that ninety to 110 dollar range five years ago no it's not going to thirty right no when sought going to thirties right so again where it was very hard to predict. And and and it'll be punished as to what happens assuming we do pull out of the Iran deal done. I have a funny feeling that a lot of that is already baked in the case went when the consensus is of course Trump's gonna pull out. That means we can price accordingly so I'm not sure if we do bill but it goes a whole lot higher should be good for domestic production. It here at seventy dollars yup yields went off line are now gonna come back on. And you're you're gonna have. You know you out of the production comes out north Dakota's expense. It all of sudden seven bucks kinetic tethers and then we've put the shovel. And they've driven those costs down with technology a lot year after year. Seventy dollars a barrel is. The problem there on his workers. That's a big problem. It it and that's speak not because of the industry because the economy. I mean we're a full employment economy and you got this job that requires yes specific skills it's dangerous it's dangerous everybody who wants to work is already working. So that's a challenge for them but 78 dollars an oil something. Here's the problem with seven dollar barrel oil. There's always the concern could go much higher if if you could say hey John here's the deal gonna with. We're gonna give you seventy dollars forever I would take it. Because that would help our economy. I don't think two dollars and 69 cents at the gas kills almost anybody not to 69 anymore John. 279. Like 27 and came at a that upon new producer there two days ago paid to 85. Ask your buddies at all -- three years ago I told you or be under three dollar a gallon at the gas pump PB like you're crazy too optimistic. And we are driving vehicles that get better mileage. Our. The SUV sales spiders like at thirty miles on the highway 25 in the city and if I know it's it's I worry about this because the the dipping their remember. It is. Gas price increases. Hit the working. Really hard on yet members. Median income in this countries around sixty grand a year and that's household income that's why I don't want to go higher so if you're 60000 bucks a year in all of a sudden your pain twenty dollars an extra week. As a dramatic impact your house but we here at the point were you as having an impact but if we could stop at this level and stay there. I think we would end up. It be very very bullish for the Dakotas to be very very bullish for Pennsylvania. Are very bullish for Wyoming Texas Oklahoma migraine and I don't think it's a back quicker and it's good you are under three bucks a gallon pump I think what you will be pretty happy if it's it's good young were it's good for stocks that he fueled. ExxonMobil fuel BP my gosh that's stocks and run. We talked years ago buried that twenty dollar a barrel oil and 120 dollar a barrel oil are equally problematic. And so I can maybe 72 all right maybe sixties the sweet spot. But there's some point here we can help or economy EMB on the side of the consumer to you know whose love and this is Saudi Arabia or if it. They say they want it easy out here and and out they would be have the tools to drive at eight. And you know they're not going public till next year now you're not going public to nineteen yeah. But you know let me take the other side of that yeah. I did that they wanted to go higher a year ago to look for a 103. Months into the longest recovery practically on earth. We have massive demand we have international tension. And that gets us the seventy. I'm not sure it gets a whole lot of this on that on unless something really bad happens Middle East or the economy's takeoff which has happened how many times. A number to exit at. An unpredictable times no doubt that. Let's talk about apple. Apple receiving news on Friday morning in Austin this previously we all found out on Friday morning that Warren Buffett had been accumulating just some state in Apple's shares. Stock rallied on Friday in the rally in the party continues at apple to two dollars and sixty cents today and this is I I worked in Omaha and and and in full disclosure I've been you know TV reporter in my previous life. And I covered music artists. Wise and I just exactly you know it in the east being humble. He hung out with Warren Buffett. The 88 before he was famous. He. I I didn't even famous to deeper all along in 1986. Well I I was covering him in 1988. And at the time he made a generational that. On Coca-Cola. He had two billion dollars to invest he invested one billion of the two billion on Coke. He basically bet the form and he was absolutely right for generation Coke are performed. He knew what they had was special. I would argue I've covered by offered for years and an and I and I know him. This is the generational debt of today that Berkshire Hathaway's me. All before this news came out Berkshire already had 28 billion dollars invested in apple which was its biggest holding by considerable amount even more than Wells Fargo Coke. It was already it's no one hole and he added thirteen billion dollars to that he YDDD. That's good that's our listeners on many of our audience owns shares of apple. Bulls I would bargain that most of our listeners have an apple device of some sort let me give me. When you're the quick answer number one he said the beautiful thing about apple is. Number one they make more money than any company in the history of the planet twice as much as the second most profitable company in the country number two. They're priced like an average company depart he young company is the same as the general market. Number three. I think. He realizes they don't even need to grow for this investment to work because they make 55 billion dollars a year profit and the jocks on the company's Steve Jobs and it's legit. But Buffett says there's a beauty and the simplicity as he said everything they make can be put on your dining room table. It's that simple it's there it's there's it's one of the least capital intensive business they little be great cash in what appeals. To Buffett. They're actually comparison the Coke investment. He wants companies that are brand names and to have a special connection with their users he believes that apple was the consumer product. That has a unique emotional connection to which users. How this is part of their life they would not give it up because it if it's easy to navigate they like it. Yeah it in the ecosystem in the other products associated with are growing very rapidly so he thinks the mode on this is it's a consumer products company. Much like Coca generation ago where people have an emotional connection to. That's that's what you like and it again if if you're making 55 billion dollars a year. He has bought Apple's bought back 21% of all their shares in five years. If they just use 35 billion about 35 billion. They can buy back another 20% so if you own it. Ten years from now if the stock never increases their earnings. You'll twice as much because you bought back half the company so. It's a cash machine with a special connection with with with consumers you know what's ironic is in the last ninety days up and tool. Thursday the news on all the pretty. But he would argue that was great opportunity because he's not buying this because the sales of iPhone ten I mean about what that sales are not ever get suspicious though when he sees them. I don't because and and is acting too much like Goldman sacks and a Goldman Sachs I would eat. You know they would play it bad information. About well in the end and then they take the opposite trade are criticizing the world away Buffett does in the way Buffett would use it is he's got a product it's still gonna sell more than any product in the history of the planet but it's slightly below expectations and still growth. If this is an opportunity to buy a great business. At billions of dollars cheaper. That's opportune what percentage of the company does 5% which is a master of puppets and 900 billion dollar company ordered disease aboard T. You're trying to do ports that'll but it puts wanted to be that they they don't actually sit on the sports themselves they he would say OK and happily fund managers and he could have won you know. But again I and I don't think it's because and this is a growth story and these seasons as a massive cash machine. That's the state of massive cash machine for a long time and he thinks the moat protecting it. Is he thinks there's a special connection between this brand and its users that's apple. There at the way I think I'm I'm actually thinking we we owned it I don't personally deal for our customers. I'm odd thing about selling it. Again if if you're playing the near term game that's probably good move but I think ten years from now. You still think there's long term guys put this way knowing Warren Buffett. Ten years and now this might be the safest stock. On the planet to and one into a meeting later today with IDC a native talked about it so we'll see here's your surely talk yet she loves the office she's like all Warren Buffett. She Merriam if you can you know what if you could sell it now buyback twenty dollars cheaper. Champion Annika poll question of the day do you own shares of apple. Our poll can be participated on by going to financial exchange showed dot com I just voted in. I voted yes I do own shares in right now 60% of our listeners who own shares of apple ironically. A lot of people own shares of apple they don't know they owned shares of apple how many light floods the ankle shares about what. Almost everyone and think about this if you want an index fund. The suit like I'd. But like a ton of Amazon I guess my well because I don't a lot of index funds period and it's like the third or fourth company and the index though. Yeah you probably own more apple and you think if you have an index funded your for a OneCare or whatever. Or mutual fund you know financial exchange showed icon again to part Stater poll when we come back and talk about why retirees. Are leaving America that's right your peers are leaving the United States in retirement that's next. Have a question for Berrian junk now you can text us at 63566. And take part in the show at any time. Start your text through keyword Barry can join our exclusive club days as the financial exchange radio network. Are you thinking about transferring your home to your children or protect it from the nursing home did you know that if you do you put at risk for your children's creditors including future divorces you really wanna write a check to your former son or daughter in law just to buyback your own home -- this is Todd -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's in addition to your state income tax -- better ways to own your realistic that can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of realistic call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at risk 8668485699. Or log onto legal exchange showed dot com. Hi this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in an IRA or Roth fiery third differences between these two both types of accounts are popular but there's an important change to the raw fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional higher rate to a Roth a higher rate after January 1 of 2018 that change cannot be gunned down if you have a Roth irate or worth thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com. Securities offered to securities America incorporated members in SIPC and advisory services are for the securities America advisors incorporated Barry Armstrong represented if Armstrong advisory group in the securities America companies are. Unaffiliated hi everybody it's very Armstrong and Jake two Lian we're talking about a program called Z rent. Now this is specifically. Designed. For those of you who are landlords and used to collector checks with paper checks are gosh maybe still do. Will zero rent a allows you to collect checks electronically. Jail is hoping he could spend a little bit of time explaining how Z rat works and why it's a big advantage for landlords. Absolutely vary so we we develops he rained two out of me or else because right now. You know with the landlord when you're getting rain checks. It's low it's unpredictable. Missing envelope the great. Mostly waiting human neck get all the rent until the tenth or fifteenth of the month furthermore if your landlord on vacation in your red thing you know boxed up to what he does is it really digitize old. It makes the rent electronic payments and allows for roomy cheering for multiple roommates and apartments that's great if you're renting out to college student salute. It's predictable it comes at the same time every month and it's all on me. So the landlords who have been using assisting huge time savings and ointment you are you still giving the first six months free from landlords the first six months or free and then in addition to that. If you bank at one of the participating banks he ran is always pre. Those participating banks are meter being installed in messed me up at that any bank could sign up breakneck if you at a bank in Vermont after Connecticut. They could sign up and become part zebra yup you your if you have a community bank that wants to be a member happened Collison will have to sign up and the service will then be free free. All right if you wanna learn more about easy rent. Go to as he rent dot net you give my call if you wanted to 8776917900. If you're bank doesn't offer it they can sign up for zero it. Go to zero rent dot net or call them told free. 8776917900. Security suffered through securities America Inca member Sandra SIPC and advisory services arbiters securities America advisors think Barry Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated. The financial exchange for Barry and chuck is alive on FaceBook and YouTube every morning beginning at ten and this is the financial exchange radio network. When. And change and don't. You know that there are 87. Million. Americans better living overseas through led maybe not even overseas some might be in Canada. Some might be in Mexico. I had no idea that. Larger percent to 3% population. You know this is the arbitrage going on if you live in a place that is relatively peaceful with a like climb button. Not the candidate would be you know I thought I would love and respect as their native Canadian. It's not time I was there were a one you know take off tomorrow night retiring either but. I mean -- this is the arbitrage happens when you live in place it's very expensive lesson. And you've got pretty decent Social Security checks and you don't level in the bank. There's actually a great option if if if that you know picture criteria and what's really exploded Berry I've noticed. Is interest in like Central America you know Panama Belize also go into your way in audio in Asia Malaysia. These are places that. You can live very well on 2000 dollars a month so you're you're you can rent a place for like two and 300 bucks. And food is expensive like a restaurant duties is inexpensive we were in. Europe. And his couldn't believe it incidents. And and another factor which I think is under reported in it was a big big factor. All of these countries have very good and very affordable health care. Some of them have actually hospitals and it's very unit that was that would be concerned when it would be very big concern Jeremy yeah IIBCA. Okay. I wanna be in Panama when I have my stroke and and you know when is the next direct flight to Mass. General and is gonna get me there within the next three days and if that would be and we'll Mike Hart holed out to like get there yet that that's that would always be my cancer but there are 500000. Social Security payments. That are in fact sent overseas. You know if you think usual security payments not high enough. This is a way to leverages the wave it's amazing I mean this can literally tripled the value of your Social Security check. And again a it's it's probably not something I wanted to do bonds. If I was a lot of people or don't if I was low on cash and in a place like Panama. Within your attracting the Americans like crazy right now and they want to put them in the making a lot more attractive for Americans you know with American communities but spark need bring them down rate they they only do. About retirees retirees are great for your community yeah tend to give back and and intend to. I'd donate their time rate. All they do is consume or hire people. They don't have kids in your school which is it really is cost going for a town that's why council went the 55 and over housing yup there's a lot we can get tax revenues and not have to pay for schools which like massive cost. That's the tapes got it figured if I get all collapse there went your way out of school aged anything but like a town like Chatham right. They the eight year bull five million dollar hole straight with the what's the Holman chat board that's on the water use has abused the water several separate the 20000034. I don't know. And they're paying taxes or paying 1020000 bucks a year taxes they use two year. And it in the few kids who go to school many times you go to regional schools that paid for by like five or six towns like you know not support him. Pretty pretty economical but in this case you know what your over 65. And you're going in you know using a Social Security checks like is that you're not consuming a whole lot of things in that in that country. Nose jobs are on the decline I gagged a doctoral widest cut my tent I in the crease but he did it views as. Perusing money uses on marketwatch.com. And you know people are are still doing lots of cosmetic procedures as a matter of fact and sixteen million people. Had no on surgical procedures you know what that is yeah vote in fact. Botox the botulism toxin. It's what it stands for the boy she wasn't toxin. That's what Botox amazes me. Because it actually is a toxin. But it may that debt basically attacks the move in and you use your nerves. That make you get like. Wrinkles. To it paralyzes. What causes wrinkles and it's it's it's. A derivative of the botulism toxin which is why the public Botox. What would I get credit for that that they did that because it's it's pretty. Or abuse they can't figure out why me but nose jobs rhino last eases technical term work. They're down 43%. The year 2000. There's been a historic aversion to ethnic noses according to the research I read that in MarketWatch. According to a story it's standard Gilman. Cosmetic surgery was first used to help Irish and Jewish men looked less Irish and less Jewish well. So that's the reason for it maybe we feel we need to. Not have to conform the way we did to hear what generic look have you ever been curious about wooden nose job costs. I never 5000 dollar this up I'd just mentioned there that's you view the old days but he did with a hammer and chisel really. That's that's how they did knows I'll pass David and that's only 2500 per nostril. The aren't trying to give us the picture and I think it's a bargain I don't. Get to participate in our poll which is do you own any shares of apple financial exchange showed dot com stock stock is up next. Michael Armstrong Simon. Like this on FaceBook and follow us on Twitter. Show breaking business news is always first right here on the financial exchange radio network. This is a special announcement for all landlords chasing down only rent payments and making trips to the bank to deposit checks take a hassle out of rent today we're zero and leader banks all mine rent collection tool zero automatically deducts tenant's rent and deposited into your account visit WWW duds he ran dot net to learn more would you rent your payments for each unit to receive regularly on the same day every month tenants pay nothing in the first six months or free throw landlords visit WWW dug see rent dot net to learn more or call 7816418691. If you have a Roth IRA for personal investments here's something you need to know under the new tax reform bill Roth conversions are now permanent Colby Armstrong advisory group right now and get their free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com securities are for your securities America incorporated member Finneran said PC and advisory services are produced series American advisors incorporated Barry Armstrong were presented at Armstrong advisory group in the securities America companies are unaffiliated. If you're landlords looking to find an easier way to collect rent payments than you need to hear about leader bank's -- line rent collection product called zero and it's a great service for landlords allowing them to collect tenant's rent payments electronically and he rent dot net without the need to collect checks mostly in the -- local neighborhood banks to do their business and now a collection of local banks are offering this unique program including leader bank and stolen bank member FDIC if you're a landlord and are interested in having your bank required does he ran technology Tillman McCall does he ran team at 781 at 6418691. That 7816418691. Or visit Z Rand dot net stop chasing down late payments and running to the bank to make your deposits at your bank to add zero to its list of offerings. Visit C Rand dot net or call 7816418691. For more information that 78164186917816418691. Or zero rent dot net. Are you thinking about transferring your home to your children or protect it from the nursing home did you know that if you do you put it at risk for your children's creditors including future divorces do you really want to write a check to your former son or daughter in law just to buyback your own home -- this is Todd looks -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's an addition to your state income tax -- better ways to own your real estate can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of realistic call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at risk 8668485699. Or log onto legal exchange showed dot. Whether you're celebrating a milestone or diversifying your portfolio precious metals are Smart meaningful investment one ounce and 110 ounce silver and gold bullion coins are now available at all leader bank locations bank locally and -- your gold locally could just make sense of leader -- -- and learn more call 8776917900. Or visit leader bank dot com not a deposit not FDIC insured uninsured by any federal government agency not guaranteed by the bank and may go down in value leader back a step ahead this is a special announcement for all landlords chasing down only rent payments and making trips to the bank to deposit checks take a hassle out of -- de cuisine brand leader banks all mine rent collection tool he went automatically -- tenant's rent and deposited into your account visit WWW -- he -- dot net to learn more we see rent your payments for each unit received regularly on the same day every moment tenants pay nothing in the first six months or free throw landlords visit WWW -- see rent dot meant to learn more or call 7816418691. Time now for Wall Street watch a look at the market's performance so far today but I do Berrian jug right here on the financial exchange radio network. Time for Wall Street watch we have Mike Armstrong Mike joins us right now Mike and even health is one of things you can look at some mud takeover interest there and something we talked about earlier the oil companies. Wondering it coming on the earnings right now wondering if the higher fuel pump prices are filtering down the bottom line. Starting Q so I have addressed within health. Pulsing and Elliott management has made all cash offer for at a 160 bucks a share. The company already own to almost 10% of Latina health and there have been a little bit you know argument in terms of the way the company had been run. And obviously sink and make them more press pictures taken over the stock. Closed on Friday at 126. It's now a traitor to about a 150 dollars per share up about point 2% to there's. You mentioned the oil companies. Oil currently. Trading at. Just over seventy dollars a barrel and these oil companies are coming out with. Really pretty solid earnings or so. They have on energy. Range resources. Marathon a loyal and Apache all out today. Between three and a half and 6% just on the increased oil prices and past mentored him. Yeah and a lot of these are reports are for the first quarter. In my we should point out that things have gotten a lot rosier for these companies right since then. Yeah I had a lot of this game is has little to do with what they actually earned the first bit more there guidance going forward sank at about the Barrow can be rated pretty bad. And today right on the mark in the room. Overall we are right now the that was up about a 190 point two records 1% recipes that about half percent and the NASDAQ up. It went out. 85 basis. You know Mike artist Robert I think every day I've introduced to the market has been higher. So I. You know we may have hat we have yet we may have hedge funds contacting us to kinda like when I'll be actually tossing to you. Okay in my car struck the but Wall Street what's that Lieberman and you know first Monday where we haven't had. An announcement of huge numbers you know in the EU. Like Sunday night I use the younger you start even Sunday morning and he starts seen the rumor mill. Certainly didn't get any in this little month at least he'll mean it ought to eat so I'll yes and we and also with Fina health I think I might kind of put under that but it's not it's not a oh yeah you'd like they did the the banks come -- on Sunday night and say yeah we have the Bank of America you know whatever it is Goldman Sachs peel but it worked harder this week for American men are especially if we knew that we miniature material they're used to work until 2 o'clock in the morning and somebody into these deals that but I samarra police gobbled up hates bake shop divert Asbury. You know I I I don't think I have I don't want to look at what is it you might recognize it if your in the storage Aaliyah but their cookies before. Chocolate chip cookies with a green and white label on the back. Doesn't ring a bell doesn't. Public Orioles. Yeah yeah that dictates and don't know Doug morrow police margulies has Orioles and they got rich crackers so they could be adding this the portfolio. It's a small company it's a 500 billion dollar deal which in in Wall Street terms pretty small deal. And they make gift baskets for items like brownies short bread and things like that so. Which is why these companies are in these these businesses like if you make an Orioles are selling Ritz Crackers. You try to expand in get more clout to deal with the ultimate you know the supermarkets and all the other chains he gives you more power. And this little company probably had a tough time shelf space yet now all the sudden they got shelf space so that's a big issue. Barry are sure of here with a message for landlords or property managers I'm sure you've heard me talk about zebra that's leader banks tremendous on line rent collection program. I'm excited to also tell you now about their brand new product called Z deposit. This is another free program which streamline the openings of tenant security deposit accounts three totally digital experience with Z deposit landlords can open an account on line. Invite tenants to enter their information and manage all their security deposits. Z deposit. Also automate many of the complaints headaches for landlords such as generating count disclosure forms. In the lead and send out the annual interest payments directly to the tenets. Just called disease deposit team to get started at 7816418691. That's 7818641. 8691. Or visit them on line and Z deposit dot net member FDIC leader bank a step ahead. Talk about the nicely deal. IE. I I'm not huge Starbucks consumer. But does this deal that Nestle's making with Starbucks. And up. Let's tell everybody what it is is with the dealers and then I'll Alaska micro. And as a relates to the futures Starbucks yet they're basically taking over Starbucks retail marketing and sales business and and very I think this flows perfectly out of this last story that we did in explains why they would do it for nicely. This is a way to help offset sales in what is really a weakening packaged foods business. For Starbucks it gives them that retail clout. That you know they didn't have as a standalone company now Starbucks obviously has. Learn about them that that cookie company but. Against matter suing Starbucks and Starbucks it's a matter selling Starbucks and at star market. And the whole foods or whatever might be until they now. They'd like to walk in Hoover for storm by Starbucks now absolutely but again winners were placed in on in the in the store product placement in also distribution. What you do leisure hooking up now with the global powerhouse. They examined billion. Yeah it's a front that's seven billion in cash plus the trail. Nice move for them and they don't have to worry now about getting their product. At places other than Starbucks stores military like okay. For from groups should just from an investor elected by the latest stocks that Starbucks stock is down okay not a lot. But he if you would think they'll be just raked in seven Bellini. You know buyback shares of the stock and I think it degrades the that is this 64000. Dollar issue for Starbucks. You know is this used to be. Up until today it was the unit to go to the store. Right in order to your car right and my dad is me Starbucks consumer yeah rate he with huge goal there. You'd be of the buying it you get the models he would do it again did Wal-Mart you'd like it's going to be ever. Look if every one. Does something it's not exclusive to you can you can call it exclusive you won't but if everybody does look if everybody had a BMW it would it would ceased to have value what is it due to the franchise. In this is you know they step website yet east of the website eagle by their copy that they shut down the web's. In this sea of vintage I think Duncan Harris Duncan was never a premium exclusive special that was like a good cup of coffee at a reasonable price. They can do that forever star looks was exclusive Starbucks was cool. This problem like Sam Adams fast and did you hear ye EU NIC we added financial via I could and Wall Street which. You know what. It would you like investors or not it's a pretty good prediction market right because people are saying. Then a lot of people are selling their shares is a fact let's take a look at the volume I mean you're falling today John. They've already traded four point six million shares in their average volume is nine point three nice that they're gonna do. 34 times averaged only. I think you raise a fascinating point a couple of examples we talk about Sam Adams via members exclusive right. We people drink Sam Adams for to be exclusive anymore. It's still does very well but the exclusive thing there they have their now very vulnerable to for years because craft Beers exclusive. Coach another brand it was cool. But too many people got coach Bennett and bill and to your point they went to the stores they went to Macy's and all the other places like OK here Macy's you're not Gucci. UA. But they went there to leverage their sales in that may be the trap that Starbucks as well when I wonder right right. I wish I was at Starbucks consumer I'm not like I don't biter K cups. I you know I you know the problems. From pricing perspective. It's just really expensive like those cake the prices have come down. Not the case not pick a guy I'd buy a I found a brand of copy that make I like a French roast. I've found a brand that is less than half the price of Starbucks on take. It in my opinion it's just is it from the right I'm sure and so. Line night in lines are especially now that it degrading the break. I think they're gonna have pricing in March and problem I agree and I think they're transitioning from being exclusive. To being a progressive program what and then just so we're gonna save the world. We're gonna have witnessed that around discuss about why we should know better race relations and I feel they're going down the political plate now and saying you know what this country's have to violent week if we get half those people on the left. To all wanna go to Starbucks. Then we don't need to be exclusive. I don't know they expect uniter get in the way above my pay grade I just look at it and I said. I I look at this deal Kazuo. I think it was last later this morning I think does this morning when I went and got stuck in the in the Wall Street Journal this morning so. I mean theoretically. Is it's it's a great deal seven point two billion in cash I not today. And trail and you're gonna increased distribution you would think to yourself that's a great deal but the stock is down to panic and continuing royalties on all sales as a part of a perpetual global license you're this doesn't make sense that they be making all this money. And the stock will be sold off I I think you raise some very interesting point this is Tucker going to be will undergo outspent five bucks for so that he can give him now you know like it just beat its mass produce I I just don't know me maintained. I would like to imagine if your running stores. Same thing. Is accompanied them to. I can tell you this I just took a trip to the midwest and Starbucks is the Duncan public misery is eat eat eat eat it I don't think it's any special yes but they all are like. All over the place yeah. And so in a lot of markets it is the default coffee place but then again that by itself tells you there's no other chains. They do the EEE they don't have the Duncan's so you know here it's like if you got Starbucks and Duncan and both have their their their group of their fans you know who this might actually help. I wonder what this does to me. You know the lake all the sudden. It does McDonald's get a boost that says its embassies do union tootsie with air I. They. McDonald's is mark you know for McDonald's this is sort of a box it's a loss leader but that dollar copy gets people in the by no mistake they're trying McDonald's is trying to transform their stores. So people hang out but the one thing about Starbucks we have a Starbucks and places always pack your votes on the patio and it just it's a very big is it to. It's become a meeting but McDonald's is trying to replicate that. McDonald's wants to be kind of that place where Yugo and you have beat somebody for a business like yup it wears. You know Starbucks people do it and they and they wouldn't look down their nose at it. He stated the client will meet me at mcdonalds I'm now. Yet it's still gonna have that does. That seems to and I I think it's to be difficult to that but it's become a place increasingly people are comfortable sitting in having a meal. And having a quick you know bite to eat so in that sense they they do compete. But McDonald's has done extremely well by using that inexpensive high quality I think relatively speaking coffee to get people into the building. And especially through their drive through and it's leading to a lot higher sales of other items it is yeah it is. Up next we will be joined by Jesse dash a ski. From Morningstar for conversation about a mutual grab a pencil and paper mutual fund talk is next on the financial extra. Yeah vote on our daily poll question had financial exchange showed John come while you're there fire of the media player and watch the show while you work. This is the financial exchange radio network. Hi this is very Armstrong and if you're a landlord or property manager I'm sure you've heard me talk about Z rent leader banks tremendous on line rent collection program I'm excited to tell you now about their brand new product called Z deposit this is another free program which streamlined the opening of tenant security deposit accounts three totally digital experience with C deposit landlords can open an account online invite tenants to entered their information and manage all their security deposits Z deposit also automate many of the compliance headaches for landlords such as generating account disclosure forms and even send out annual interest payments directly to attendants just call the easy deposit team to get started at 7816418691. That's 7816418691. Or visit them online at C deposit dot net member FDIC leader bank step ahead. I this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in and higher rate or raw fiery third differences between two both types of accounts are popular but there's an important change to the raw fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional higher rate to a Roth a higher rate after January 1 of 2018 that change cannot be gunned down if you have a Roth irate or worth thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934. Zeros or one or you can download it right now at Armstrong advisory dot com. Securities offered to securities America incorporated members in SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated are are strong here and I'm. Joined by Todd what's key from the law firm of Cushing in dole and we're talking about something that sounds pretty basic but how should you all your real estate. Todd if you're real estate is in a nominee realty trust. Is that going to be protected from the nursing home and also will it avoid probate when you die out most miss understood. Trust I think in the trust world it's not even a trust it and nom and the relationship nominee realizes trust I know but it's not. What I mean by that is. When you put your property into a nominee realty trust folks please go look at who the schedule beneficiaries are that you listed to separate piece of paper attached it fits the children and you gave way to the children you don't even know anymore you'd realize you gave it away because it takes effect immediately not your death which is the difference. Many people think that that doesn't take effect till your death. More importantly if it's. If it was like my wife and I and the schedule beneficiaries as my wife and yeah well that we didn't wondering what's right back in my name and my wife's name so to your light and point it would even avoid probing so why is it being done so. Because lots of times people might go to maybe real estate attorney and they think can help the trust and throat in a realty trust. We used realty trust it's just important. That the schedule of beneficiaries. Is another state planning trust revolt cobol or read earlier remarkable correct or not a person not your kids not yourself. Please look that up if you got one of these. You know it sounds pretty basic how ocean you'll your real estate but he gets complex as you get older call Cushing handle and and receive their brand new guide. For the different types of real estate ownership the phone number is 866. 8485699. That's 8668485699. You can download the guide right now by going to legal exchange showed dot com that's legal exchange showed dot com or call toll free 8668485699. We have part of the financial exchange in an instant. By texting us and 63566. Starter tell extra keyword Barry and become a member of our brand new textbooks tell us what you think 24 sevenths right here on the financial exchange radio network. This is John Tony it's time for stock talk. Energy costs are of course rising big time as we talked about bad news at the pump but maybe. Just may be good news for investors Jesse districts be used to without Morningstar and joins us now Jessie thanks for joining us. Jesse you're fresh new analysis. On fidelity select energy what you take Emma. Well we've. As. Mentioned with oil prices rising energy has been on the minds of investors and this under the good option for folks where it that. Specter a couple things like about the the first visit sensible approach it invest in a row offer growing cash flow per share. The man is also very experienced and that the price is quite competitive so lot of points in the. Now with fidelity I think there's some areas where they're really good that in some. Not particularly good what is their track record with energy stock picking is at the end of the day. That's really important factor. Well I would just on the track record. It. I look at a well yours if you go back ten to twelve years. It was some real. It Burnett here. 2008 the fund. Lost about 54%. Quite the law. Since then. Track record improve. Quite a law. They're funded better than about 75% of competing. Competing energy front over the last. Read a five year. And so far this year it's returned about five the and that too and after that point past the effort after so. Near and medium term tracker track record. Jesse for people who are wondering you know if they get this fund you know what will it be like is. Is this M there's an emphasis more on domestic or international companies is that you know more drillers or refiners. I wish he just little bit of a color on that. So this fund is largely focus. The best beginner US and company. And with this you're gonna see comparatively less exposure to oil and gas giant. Chevron and you're going to see a lot more weight given to what a coal exploration and production. Those are energy company that actually get one of gap that. So names like are we energy in our Internet resources. Both of which enjoys. Active chew chief US crude report. Jesse this is very you why would IA as an investor why would I buy this mutual fund at seventy basis points. As opposed to buying an exchange traded fund that. I don't know 20/20 five basis points. Well this is an actively managed button. And exchange traded fund it past the so if and it accurate this on. Do you can. Offer a little more downside protection during the market yet it can also capture bit more the upside and when energy market. So you're you're impression is that it's worth the extra. Half a percent perhaps or of cost be huge for the professional management. Well that decision between investors and that's what I write but I would say that. I have confidence in the fund's ability helped form the average competitor. A little Walt. Jesse to Chatzky from a Morningstar thank you Steffi back again. This fund is simple FS EN acts Fidelity's select energy that is the battle. That every mutual fund manager faces today. There are some jerk like me. Now in every meeting. That says why should I buy that mutual fund as opposed to the ETS but again you're paying three quarters of a percent every year to manage it you gotta consider is that worth with a well and that's that's a big hurdle in you know I got to tell you. Oftentimes it is yup yup worth paying it just be the what's happened is so much money has flowed into these exchange traded fund. That what you're going to see is that the managed funds are gonna start to outperform. The exchange traded funds does he remember. The index funds have to buy everything right good the bad and the ugly right beat they just by these additional personal bought it goes into it. And I wonder I agree I wonder when we reach that tipping point I think we're pretty close I think and I were the point right now Barry were actually seeing managed funds are performing and we haven't been there a long time. I think that we can increase its it's really been damaging to the mutual fund no doubt. Big story today of course is loyal if you've been asleep but just wake it up oil trading at seventy dollars and 35 cents a barrel. Markets up though the Dow is up a 164 points and the S and he's a four point. When we come back where he talked about for a one paid the states I hope you're not making them. It's not too late to get a great grade and whole mortgage leader bank specializes in a wide variety of purchase and refinance loans at some of the most competitive rates in New England a dedicated loan officer will work with you every step of the way and their local decision making means of faster closing calling 8776917. B 900 that's 8776917900. Or visit leader banks dot com member FDIC's equal housing lender and MLS number 449250. Subject to credit approval. Leader bank a step ahead if you have a Roth IRA for personal investments here's something you need to know under the new tax reform bill Roth conversions are now permanent Colby Armstrong advisory group right now and get their free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com securities are registered as American corporate member finreg SN BC and advisory services over the mysterious American advisors incorporated Barry Armstrong represented Armstrong advisory group in the securities America companies are unaffiliated. Are you thinking about transferring your home to your children or protect it from the nursing home did you know that if you do you put at risk for your children's creditors including future divorces you really wanna write a check to your former son or daughter in law just to buyback your own home hi this is Todd -- -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's an addition to your state income tax -- better ways to own your real estate -- can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of real -- call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at risk 8668485699. Or log onto legal exchange showed dot. Com if you're landlord looking to find an easier way to collect rent payments than you need to hear about leader bank's own line rent collection product called zero and it's a great service for landlords allowing them to collect tenant's rent payments electronically and see rent dot net without the need to collect checks most landlords used local neighborhood banks to do their business and now a collection of local banks are offering this unique program including leader bank and stolen bank member FDIC. If you're a landlord and are interested in having your bank acquired does he ran technology Tillman McCall does he ran team at 781 at 6418691. That's 7816418691. Or visit Z Rand dot net stop chasing down late payments and running to the bank to make your deposits at your bank to add zero to its list of offerings. Visit C Rand dot net or call 7816418691. For more information that 7816418691781641. People set up Roth IRAs win they are working there often contributing to them on an annual basis. But the Roth conversions a little bit of a mystery for some folks are Mike what are we talking about when we talk about. Roth IRA conversion yes so unlike the traditional 401K or IRA where you receive a tax deduction for putting money into an IRA. The Roth IRA you put regular dollars in you don't receive induction but any of the growth is completely tax free number of advantages there there's no required and distribution and can be uses are really good source of tax free income later in retirement. When you convert in higher to a Roth IRA which are doing is you're taking money out of that traditional account. Putting it into the rock paying the taxes upfront. In order should never pay the taxes on the growth down. So this is a case where you actually voluntarily decide to pay the tax usually with the idea that you're going to be in a lower tax rate rather rather a higher tax rate later on. And so this gives the ability to not pay taxes higher rate later. Absolutely correct so oftentimes people do it in a year which there and lower tax bracket intentionally. But I'd be very careful about when you do it. Folks Roth conversions they can be a little bit Dicey just trying to navigate the different tax brackets and so forth. And so are strong advisory group has put together. A great free guide to give you all the info you need on Roth a higher rate conversions. It's available right now at our strong advisory dot com. In it doesn't cost anything to get it once again the only way that you can get this guy is by don't Armstrong advisory dot com. And you can get the guide titled an important update on Roth conversions for free. At that address Armstrong advisory dot com. Securities offered to securities America incorporated members Jenrette SIPC and advisory services are printer securities America advisors incorporated Barry Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated. Precious metals are Smart meaningful investment one ounce and 110 down silver and gold bullion coins are now available at all leader bank locations bank locally and buy your gold locally it just makes sense of leader bank a call and learn more call 8776917900. Or visit leader bank does come not a deposit not FDIC insured uninsured by any federal government agency on guaranteed by the bank and may go down in value leader back a step ahead. -- this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in an IRA or Roth fiery third differences between two both types of accounts are popular but there's an important change to the raw fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional diary to a Roth a higher rate after January 1 of 2018 that change cannot be gunned down if you have a Roth diary or worth thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934. Zeros or one or you can download it right now at Armstrong advisory dot com. Securities offered to securities America incorporated members and SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong represented if Armstrong advisory group and the securities America companies are unaffiliated time for bank the pays you with liter maximum reward accounts can 1% cash back with debit purchases and an extra 10% back when you user carted featured businesses to qualify for these and other awards using statements direct deposit 1000 dollars and make a debit transactions each month to learn more call 8776917900. Or visit leader bank dot com minimum to open and -- annual percentage yield ten dollars mass residents only -- may reduce earnings rate subject to change without notice member FTSE. Leader bank a step ahead hi this is very Armstrong and if your landlord or property manager I'm sure you've heard me talk about Z rent leader banks tremendous on line rent collection program I'm excited to tell you now about their brand new product called Z deposit this is another free program which streamline the opening of tenant security deposit accounts three totally digital experience with C deposit landlords can open an account online invite tenants to entered there information and manage all their security deposits Z deposit also automate many of the compliance headaches for landlords such as generating account disclosure forms and even send out annual interest payments directly to attendance this call the Z deposit -- to get started at 7816418691. That's 7816418691. Or visit them online and see deposit dot net member FDIC leader bank a step ahead. This is the financial exchange with the very Armstrong and chunks of you're exclusive look at business and financial news affecting your day your city your world. Stay informed and up today. About economic and market trends plus get breaking business news every day. And now the financial exchange with the very Armstrong and chuck Exxon. Your portfolios probably having a pretty good today especially for those of you who happen to own shares of. Apple we're gonna talk about it. We're also going to be talking about how you can stop those and fueling global calls for getting through and then finally. Are you making mistakes with your 401K plan I everybody it's Berry and John Mooney with you here on a Monday morning where. The story of the day story Friday and the story today is Apple's under the gun if their stock is an open three dollars and forty cents to. We talk of this earlier that anybody who's following Warren Buffett then just got the biggest Q they've gotten in thirty years. That is that apple is now 42 billion dollar holding at Berkshire Hathaway which is roughly 14. Of its entire stock portfolio. Last time I said Buffett did this was 1988 with what happens money and Coke turned out to be brilliant move. I would say this I'd recommend people not fall will Buffett's individual excuses he's warned wants to wait. There's mistakes I make yellow it's also too late right ME if you bought it lets you caught it early on Friday. Rate in the announcement came out like right when it came out you know you've made some money on it. You've made money today may three bucks this year just by buying it on Friday unity got to the highest price on Friday you're you're you're still up three bucks today. But uptight when Warren Buffett plows into stock like what percentage of the company to steal almost 5% which again we're talking about the big that's not the largest stock by far yeah I mean by far nowhere even close. F 42 billion dollars up area I'm gonna take a little bit of issue with you on this I I agree that near term then it's probably too late which of your you're looking for trade this thing Michael back the 170. Or lighter note do you think or how does that when you've got one guy that owns 5% of that is something weird happens in Iran. You know the Fed decides he's doing emergency we're all kinds of negative things could happen in the near term to bump any stock down Tampa for the long term. I think that. But that didn't do this for ten bucks he did this for the next 400 dollars and the stock and he is in this generational. As I was gonna say he buys it will we need to point out not all stocks are in that category this at 42 billion is in that Coke category. Of till death do us part it imagine him trying to unload his position he couldn't. Well. But not luckily that the market cap so higher in the trading ones who are you awfully can take a long that it's funny someone asked someone. When asked about the questions we can say. This do you recommend everybody put the money in mutual funds or an innocent. U of a hundred billion dollars in cash what you buy an index fund he said we couldn't. Because if we want to be on guard they wouldn't take our money because we couldn't take 670 billion dollars out. So he does he does a lot thinks he can do because the size of his investment portfolio but this is absolutely generational move people gonna follow it. And it's going to be as we talked about earlier port under the stock. These guys ever get terrible calls that on yourself on the area every now and then one of those automated ones from errors during that number two eight and no doubt I get all the time I'd get up I get to today. To a day to robo calls a day do you glanced around the block them well. Sometimes they do and sometimes a bill you know I found it actually helps does it and I know it's a page and how you do because it's it's if it's not. It's easy but it's not in two okay on now I have a Samsung here to talk about how. Just military in the Samsung now they doubt he's got the impetus to trade offer I have credibility of that apple because I only have like one apple product messed up iPad that's sitting right here. I'm a Samsung guy and on the iPhone I look at that phone call on the blog. And I hit details yeah. In minutes as do you wanna block I get blocked an on time on almost every other day basis I blocked three numbers. I must have like 200 number of days a year is actually saying here I'm still getting the cost but the reduced. And what happens is built look at what's your number is 781500. Down 99999. They would do you get phone calls it's a 71500. And the the yes yeah all the I just got one yet it and they they won't Barry's gonna think this is like his every vehicles yeah expect it. Lock that number because eventually yeah you'll hit it you'll have a whole bunch of ones that area code that they can't get through in because they don't they don't leave messages. Maybe it's just just. There but now on the and you pick it up I guess that's the worst thing you do often they know who's a real person. Because these are just again these are just sent randomly to phone cookies you know do not call list this fight I've registered for the still at the polls well they suggest you do sign up for the FTC's no call registry I think it works a little bit better on hole numbers. Than cell phone numbers that's just my anecdotal experience and have a home. Yeah Jim we have one and I've been picked it up in years. I can I couldn't tell you it rings well but I never pick it up. Well I actually like it for a longer conversations. Via the connection to wouldn't matter. And I could hear the person the other room you know better now you're so for family calls that are will be lengthy. I prefer that but you know I was doing that yeah there's no purpose for this there's an app you can put on your full call. Mr. number and that's supposed to. Help automatically block known schemes it's been suspected structures and again it's important point out EU can download the mr. number or some of the other announced that route their. There's not a one size fits all answer to everything but at the margin you can reduce like us and I go to my way to block the numbers come in. I found I still get calls but only get maybe half as many as had to be a try so it's it's in the game get on the registry sort of stop everything right this the stop law. I'll try to attack what have I got to lose very we're not enough that these calls drive me nuts they. Are you making these four major 401K. Mistakes you know. We have to be more judicious. Of our forward K counts why. It's awfully tough to buy add just on your social security and first of all you don't have a 41 K. If you are participating four K. Job one make sure you war and make sure that you're contributing enough to match it to get the maximum match out of your employer. This is your self funded gold watch because they don't give mom anymore. And that's free money from your boss yet you actually should put in whatever it takes to at least get the match that's that's a no brainer. But the issues are not contributing enough to snag your employees employers match there's no excuse. You know. If you're like order a cup of coffee and you're not getting enough to get your employer's match you'd you'd be you need to stop drinking coffee I mean it's that important. Not increasing your contributions year after year this is a tough one but I gave you talked to you know your son my daughter yeah. I know you try to explain to a 28 year old woman. Who likes to go shopping you know why she should have more money taken out of her paycheck this is I go round and round this and you he answered and you don't they tell you Amare getting enough a market in the match bury in and right and a cynic that's enough in and dad got 25004. K you know I'm only 28. It drives me. It is he is really tough to convey in Ortiz at 28 you can't possibly. Envision yourself retired. Right no you can't I I couldn't envision myself retired until probably hit maybe fifty at 28 it's a million years away. EEE gears it's difficult to project more than 50% ahead of where you wore today or your forty. You can envision would be elected when you're sixty PO. But you when your fifty you're saying oh boy I can envision what it's like to be 75 and I don't want to go to work sixty hours a week anymore. And if this'll help Buffett made a comment because this came up at the annual meeting this weekend all you do lose. I know I don't think. It was not even less about our our product and it's like it would be that he said. If you're thinking about saving money. If every dollar you save before you settled down into a marriage or just settling down. Every dollar is ten dollars. House. It's been a compound that much. When you by the time you save it in Indiana university of half of that cut after just I have it under. You're ahead. That's a no immediate donut don't underestimate the importance of the value of those dollars before you settle down and it's hard to say what about the were all these default investment plans I never liked the because what I noticed about it twenty years ago. What I noticed was a lot of mutual fund companies that you've got this like strategy for islanders this retirement 2035. Months. In and it looked at the funds sold their garbage. If it was just like perfectly balanced. Permanent contact then did the performance of the was atrocious and the fees were off your charts right. There's another problem besides that obvious huge problem the other problem I've noticed a target funds and tell me if you notice this. Is people still feel the need to have to have a diversified portfolio so they have 40% the target line up. 10% it's not meant for a few of 10% growth fund and 10% a bond but it's meant if every penny you have is invested. In this testing in this fund. So you're balancing balanced funds that's it I I it and I don't reckon I've never cared for those target funds now. There's a lot of people vote day it is very calm. That policy people come in at one hires in the sixties to tiger's old. And all that money sitting in there can be worse that. We generally don't leave it is it and I doubt don't have. Money in there. And if you have a lot of money or have what they hacked your money in the target date in mind. Then you also own bonds and CD's to an addition that the new and to be under invested in stocks because they're doing the diversifying four U. But you're diversified even more after that the other thing to watch out for and we talk about this before. Always paying attention to investment fees. They add up if you're getting something that 75 basis points we talked about earlier Barry brought a great point. European five to six times what. Even not expensive. Index poverty so be real careful with speech you don't have to pay him need to obvious trivia is coming up next bone up on your knowledge of George Clooney for some reason George Clooney. Is a topic of our trivia today. The financial exchanges alive on FaceBook so make sure like your page and watch the guys break down the latest on the markets every day beginning at ten on the financial exchange radio network. Hi this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in and higher rate were Roth fiery third differences between two both types of accounts are popular but there's an important change to the raw fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional diary to a Roth a higher rate after January 1 of 2018 that change cannot be and done if you have a Roth irate or worth thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934. Zeros or one or you can download it right now at Armstrong advisory dot com. Securities are for to securities America incorporated members in SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong representative Armstrong advisory group in the securities America companies are unaffiliated. Are you thinking about transferring your home to your children or protect it from the nursing home did you know that if you do you put it at risk for your children's creditors including future divorces do you really want to write a check to your former son or daughter in law just to buy back your own home -- this is Todd -- -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's an addition to your state income tax there a better ways to own your real estate can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of realistic call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at -- 8668485699. Or log onto legal exchange showed dot com. Hi this is very are strong and if you're a landlord or property manager I'm sure you've heard me talk about Z rent leader banks tremendous on line rent collection program I'm excited to tell you now about their brand new product called Z deposit this is another free program which streamline the opening of tenant security deposit accounts three totally digital experience with C deposit landlords can open an account online invite tenants to entered their information and manage all their security deposits Z deposit also automate many of the compliance headaches for landlords such as generating account disclosure forms and will even send out annual interest payments directly to attendance disk called the Z deposit teen to get started at 78164186. And 91 that's 7816418691. Or visit them online at C deposit. Dot net member FDIC leader bank step ahead hi this is Barry Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in an IRA or Roth fiery third differences between two both types of accounts are popular but there's an important change to the raw fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional IRA to Roth a higher rate after January 1 of 2018 that change cannot be and done if you have a Roth diary or were thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934. Zeros or one or you can download it right now at Armstrong advisory dot com. Terry suffered a securities America incorporated members in SIPC and advisory services are with the securities America advisors incorporated Barry Armstrong representative Armstrong advisory group the securities America companies are unaffiliated. Join our brand new tax club by texting the word. Barry is 63566. To send your first and last name and get involved today you're listening to the financial exchange radio network. So George Clooney turns 57 yesterday. Why don't I looked like George food who have been on the list say they've let alone and you look like -- food I had a good question I mean hey my my name rhymes and minimize the volume and common anyway turn 57 years old yesterday were doing trivia today. Based on George Clooney true or false beaten George Clooney is a distant relative. A president George W. Bush true or false now. You text us at 63566. If you're new to the show warrior nude at the contest yet mining Barry. In the beginning of your text message what you've joined a club like hundreds of you have. And you can just text essence a barrier wrong. Beat the first listener to text that's at 63566. With a cracked entering to win a fifty dollar gift card did obvious obvious owner Steve people poke. Is teaming up with the best buddies challenge in hyannisport. To raffle off. A chance to play football with NFL legend Tom Brady proceeds will benefit best buddies international. For a ten dollar donation the 100 entries and the tickets are available through May fifteenth that's next week. By visiting prize old dot com forward slash obvious enter new. For you were injured now for your chance to win the grand prize package that's. Prize owed dot com forward slash W prize owed dot com forward slash the obvious question one more time. George Clooney is a distant relative of Abraham Lincoln. Or it excuse me is is George Clooney a distant relative of George W. Bush eventually sure they'll. The wayward until you butchers of pretty good hint if true mystery. A big city. It's a text number 6356. If you didn't see avengers infinity war no but I was utilized wondering about your Monday night diet routine we use you know go with Susan yes watch a movie to lose weight obviously this is that a new concept yes yes and it's worked. Very strong in this pack this is the next great diet yeah it's called go out. Have a great time watch a movie spend quality family time with your significant other and lose lots of weight. Is that is that the you know putting us. Just enjoy movies yes but not eat. Buttered popcorn tempting though it sometimes it is a New York had a concession stands at the time explain it I really don't know you could be onto something really big here it's do you know news with the geyser. Ask me about as fast. I I fast run day or week. And I read it but I I read a book about fasting that health benefits associated with a marketing. It on my first and I'm just gonna get an election Stan this is a great story read the book and about fasting one day a week and it may or may not Tucker tried knee he couldn't. He was shocked he didn't he didn't like he might have had less weight to lose in the first of all there's astronaut because he he had his wedding diet so he yet has starred you know pays like quite a bit younger than you two yes it is so anyway I asked on Monday but I'm not planning to Lucy vendors but they did. Raked in big they brought a billion dollars in faster than anybody else and believe eleven days and not even in China. The opening China to the job and you know this has been the answer to prayers for Disney stockholders because the stock has been a total dog. And it's used in it which is a drag and they've that this whole there's a lot of problems and that that that Disney's dealing with. But this has been a perfectly timed thing is it's it's actually help their stock quite a bit. It's very rare it's unusual that these type of things affect us a company like that extends business. Well people crave entertainment. And you know the you when you thought the movie theater business was dead and you read numbers weakness. And you read like I want to see what happens in the opening China is. Chinese. Law like I yeah I have no interest to go and see a movie like this they. He goes. Quite a bit. Well in India and and you know even with the indictment reads it it's got the ABA like I'm trying to think how much charge. And suggestion I think they could afford anything you wanna charge them with these opening numbers out there that's actually billion dollars. Yet it's it's amazing in eleven days so just do you think the box office is dead. When you come out with a blockbuster every estimate C they will go see it that's that's the messaging and all the numbers that Europe and North America so far. And I wanted I just wanna see. The Chinese numbers that's what I'm really curious if Tony gets me eleven. It's a huge growing market China is really get an appetite for a lot of our products they love American movies everybody available but at least we still make the best entertainment American entertainment is good enough to make the best cars and best of it would make the best entertainer of people of the CR shows. State budgets are getting a lift from the economy and the tax those in this era. Yet this is rather ironic they're obviously getting the boost you'd expect from a stronger economy people buying more things that means more tax revenues no question about that sales taxes. Are applied to a broader base and there were some interesting one time factors then. Maybe make this not to analytically significant for looking to talk about Connecticut yes Connecticut exactly. Connecticut has a major windfall coming. With a major caveat. Half of the windfall is coming from one time payments from hedge fund managers who were racing to beat a tax deadline. On some past offshore or earnings. Again as a one time huge benefit. Probably from the Greenwich area's most wells and Redick in Westport and west what you the you know bridge waters in less work. Right there headquartered there and I just wonder. You know Connecticut at one point was on this kick to start taxing heck at a hedge funds yup. And I wonder if they're starting to recognize that these hedge funds are portable and like it's not real tough. To move the headquarters of hedge fund. And you know if you're a factory like I'll give you an example electric boat. Be real tough to move the headquarters electric correct but it would be real tough to move the headquarters of Bridgewater associates you know what in the world of high speed Internet it doesn't matter where you war. And as a company last week reported Alliance Bernstein. Moving out of New York City to Nashville Tennessee. Yeah and there's no reason why not to in the senate foreign more than. And Connecticut as we know has been repeatedly burned by overly optimistic revenue projections. That few will be prolonged budget fights. I don't usually see how this plays out I think everybody realizes. This is not money that you can like take to the bank repeatedly year after year is it is a one time windfall but it add to your point. It shows how much of an impact a relatively small number of taxpayers have on Connecticut's economic financial will be. You know oil prices are on the rise there are 63 cents today seventy dollars and 35 cents I hope you're ready for three dollar a gallon gasoline because I think that's what we're gonna have. Come Memorial Day weekend which is a few weeks away. The S&P 500 is up fifteen points the Dallas up 164. Points the NASDAQ is up 68 points. And what we come back to talk about Social Security taxes how much are you going to pay. First Social Security taxes. And it depends on whether you're the employer or the employees talk about that and a lot more when we return the financial exchange. The financial exchanges alive on FaceBook so make sure to like your page and watched the guys break down the latest on the markets every day beginning at ten on the financial exchange radio network. Are you thinking about transferring your home to your children or protect it from the nursing home did you know that if you do you put it at risk for your children's creditors including future divorces you really wanna write a check to your former son or daughter in law just to -- -- -- your own home -- this is Todd -- -- I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's an addition to your state income tax -- better ways to own your real estate can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of realistic call now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at -- 8668485699. Or log onto legal exchange showed dot com. Hi this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in an IRA or Roth fiery third differences between two both types of accounts are popular but there's an important change to the rock fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional higher rate to a Roth a higher rate after January 1 of 2018 that change cannot be done done if you have a Roth fiery or were thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com. Security's -- -- securities America incorporated members in SIPC and advisory services -- with the securities America advisors incorporated Barry Armstrong representative Armstrong advisory -- in the securities America companies are unaffiliated whether you're celebrating a milestone or diversifying your portfolio precious metals are Smart meaningful investment one ounce and 110 ounce silver and gold bullion coins are now available at all -- bank locations bank locally and -- -- gold -- it just makes sense -- -- bank a call and learn more call 8776917900. Or -- leader bank dot com not a deposit not FDIC insured uninsured by any federal government agency not guaranteed by the bank and may go down in value -- -- a step -- time for -- the -- you -- liter maximum -- accounts -- 1% cash back with -- debit purchases and an extra 10% back when -- user -- -- businesses to qualify for these and other awards using statements direct deposit 1000 dollars and make a debit transactions each month to learn -- call 8776917900. Or -- -- bank dot com -- to open and -- annual percentage -- ten dollars mass residents only -- may reduce -- -- subject to change without -- member of the -- -- -- a step ahead. Bury our strong here and I'm joined by Todd let's keep from the law firm of Cushing in dole and we're talking about something that sounds pretty basic. But how do you how should you all your real estate tadic your real state is in a nominee realty trust. Is that going to be protected from the nursing home and also will it avoid probate when you die. GAAP most miss understood. Trust I think in the trust world it's not even a trust it and non in the relationship nominee realized distrust I know but it's not. What I mean by that is. When you put your property into a nominee realty trust folks please go look at who the schedule beneficiaries are that you listed to separate piece of paper attached it fits the children and you gave way to the children you don't even know anymore you don't realize you gave it away because it takes effect immediately not your death which is the difference. And many people think that that doesn't take effect until your death. More importantly if it's. If it was like my wife and I and then the schedule beneficiaries as my wife and yeah well that we didn't do anything right back in mind game and my wife's name so to your lighting and point it would even aboard probing so why is it being done so because lots of times people might go to maybe real estate attorney and they think can help the trust and throat in a realty trust. We used realty trust it's just important that the schedule beneficiaries. Is another state planning trust revolt cobol or reap or you're correct there not a person not your kids not yourself. Please look that up if you've got one of these. You know it sounds pretty basic how ocean you'll your real state but he gets complex as you get older call Cushing handle and and receive their brand new guide for the different types of real estate ownership the phone number is 866. 8485699. That's 8668485699. You can download the guide right now by going to legal exchange showed dot com that's legal exchange showed dot com or call toll free 8668485699. The financial exchanges all over New England to go to financial exchange showed dotcom and search for the station closest to you this is the financial exchange radio network. So I guess is back in the nineties when George Clooney got his big. Break out role is. Doug Ross and if you are and what George Clooney is a distant relative of Abraham Lincoln. Not George W. Bush now help me X understands. Them Clooney is Lincoln's. First half cousin. Five times removed I think everybody in the population has that revenue and higher across on the body has gals are where we're probably closer than that yeah. As they just expect that that's. That's the answer and I apologize for scoring a trivia I do that periodically but he's even less over a relative of George Bush. There let's let's look at it out there it. And the winner. Is that Alex from Braintree who's won a fifty dollar gift card to down below us. The obvious has five locations in the Boston area including their newest location. Braintree which are worked out great for Alex. Hosted a special event at the obvious visit www. W dot com. For menu information and reservations and let's talk about Social Security tax point would you like to have all that money back. That you paid into Social Security or just stop putting them one of what we're doing now. It just keeps coming out your paycheck rate in Amherst repeats what seven point 65% of Arctic. That includes everything the Social Security only component of the six point 25%. I think you would know Medicare bright and that's Medicare's woods won in one point 45 yeah Aaliyah and so. The Social Security alone its sixteenth quarter. On both you and the employer Sony really twelve and a half that's where self employed people I've always been so completely like you look at what you pay. At the end of the year. In and that's why so many people gripe about it's easy to self employed are saying I wanna opt out I don't wanna like all create my own pension plan because. Even as an important this year if you Max out your Social Security contributions you'd pay 7960. Dollars like 7960. Is what you pay and I think this this is really hits the lower incomes the worst because it's not progressive tax and nobody at the benefits are pretty good for the lower income. Much better yet like if you're making. It if you're making 30000 bucks a year names Social Security on the right you're getting a decent return on your Social Security tax if you're making a 130000. Dollars a year. Your return on Social Security terror in terms of what you get for benefit per month while that's that's that's consolation is no question about young yet it's. The Social Security. Is a much better deal for somebody making 3040 radius there it is for somebody making 130. And the cap is a 128400. Right now celebrities to patent Medicare. And if you're married back in the nineties. Then they said it. We we're we're not gonna happen Medicare anymore we're attacks that says if you make two million bucks a year. Your pain at 145 and two is that I. There's account for higher incomes up for Medicare. Not a popular it goes it is he Tom Brady who makes what twenty million a year. He's going along with the he pays that 145. On all of it in sodas Bob Kraft on on the employer match and I don't know you get that thing usually you pay that. For ever and I think you're gonna see these tax numbers go up so right now do you resent the 765. And I'll tell you what. That your your your pain it. I will predict. Than. Gosh. I don't know how long it take UB panel Mort you'll be pain in the Yates. You'll be paying an 88 perceived I think what's gonna happen is and thank you for batting average with John be retired in in your heart I'm I'm happy to help I night we aren't a good god I will buy you expensive coffee. As if that if they thank you are quite Starbucks if I can afford it that's like Starbucks go and build it that's kind of higher rent but yet. Will will do that. But I think this could be political pressure to not do that but to eliminate all caps. All caps so that your capped on every week so you're taxed on every dollar you make that actually solves it trucks ought to lose some of them major. You would solve that you know he'd eat it does if you make Tom Brady paid like attacks on his whole twenty million boom. Fixed yeah and make hedge fund manager can come and he'd be all about that. Concealed never even be able dream of getting a fraction of that back but I just think the politically there's going to be a lot of pressure to go that way you have also ignores those are all guys that. Control the world and but will another six and a half percent hurt him and I I think that's was condemned to his unique yet you think it'll actually happen. Right I think politically removing in many ways is economically to left coming up and I think that's one of the risks that is. One of the outside risks we need to keep non. I think is an a lot of political pressure to. To kind of soak the rich a little bit more bury our strength here on behalf of. Cushing in door as we age estate planning and asset protection plan and becomes a Paramount importance to maintaining a happy and successful lifestyle. Many families that go through this process I think about transferring their home to their children to protect it from the nursing home. If you're not careful in nursing home stay can get your financial well being in transferring property isn't always the best solution. Because you're looking at a huge capital gains tax when the home sold. If you find yourself in a similar position you need Todd lots e.'s brand new guide it's called. The risks and rewards of real state ownership east senior partner with pershing handled. And the host of the legal exchange radio show Todd will break it down. For you piece by piece and in turn will help you avoid probate and unnecessary taxes. There are better waste a real state and this guy can help you understand how to protect what is arguably. Your most valuable asset. Called today for your free guys here's the phone number. 866848569928668485699. Don't put your home at risk. Keep it a week from your children's creditors and keep it safe from the nursing home. Call 8668485699. Or logon to legal exchange showed dot com. The US economy just hit a new milestone sect. And longest economic recovery in American history a 106. Months long. Is the economic recovery. Markets we should though point out do not die of old age alone they die of other factors often caused by the Fed and the bad loses. The Fed's heading in the wrong direction so that's kind of negative but yet but we give it up deposits of Barry. It took it I guess this is negative that is a positive. It took a lot longer than many of us hope for for unemployment to get back to healthy levels so we with a camera to a lot of work just kind of get back. Back to even here and then wages which are big big factor. Have only recently begun to accelerate and that acceleration has been modest a lot of the concern here is about what's in the pipeline for the future. We're kind of weed behind the eight ball. In terms of access as the economy of league employment gains and big wage increases so. This might be a historically long recovery and also it's been less robust military record was way Kennedy's. It's in the sixties and a year and a half would put us as the very longest in history but it's not one of the better ones in fact while because of the earth for seven years worked there. Very mediocre below trend. The good news but having to below trend recovery though is less access is built up in the economy and the recovery can last longer and see any bubbles. We see bubbles and things like you know anecdotally things like that going and there's a little bit of a fang bubble but it's that's not that I and usually you're gonna get a lot of people attracted to five or six companies that do really well you hear what Charlie Munger said about the cooling. Rat poisons squared. There rat poison as you about worn out but I think Charlie Munger critical I met Charlie Munger he's the smartest person I government is he now if Warren Buffett thinks he's a lot smaller than him. And he is consult the future early on many items they Charlize are right now. Charlie's Brodie he's a lawyer who picked up the investing thing to just older than warm and yet 94. It's in 1984 if I could look that good nine before be pretty happy and be that quick and they're still working full time they're very active in rat poison squared. Thank you. Or not they think a natural feel any differently that Charlie Munger. And you're not a big fan of rat poison right so I know what you mean. America's confidence in the stock market is crumbling let us explain to you why that is a good. That's some of the best news I've heard all day just 33% of people polled by the conference board this month. Expected stock prices to rise over the next year. Yet this is actually great news it is because. When you wanna worry about the market is when everybody's talking about it the cocktail parties to end and all the money they're making very. I gotta give in because we're gonna make 20%. Next year I heard the stock in the nineties. We know when you're right now just 33%. Of people surveyed. Expect stocks to even be higher on mixed year ever the market our increases on average eight to 10% a year. Two thirds of the people think it's not even do better than zero. You don't have bubbles and environment tonight I mean I mean there's a lot of cash ran in we've gone back and forth about the big corrections that we've had. Lot of gyrations I feel a lot better about where we are now that we were in January. When I felt like everybody thought you know stocks and go down well we did pull back when we got 15100 points and we went down Transocean next house at the bottom. I was actually textbook correction you know. And you know now word we're back were recovered some of we're still kind of muddling along but I I don't change from here with no change to don't be surprised though. If we're sitting here in six months and stocks more in here you're heading into mid term election rate first term president. It's a historically it has not been at a robust period but the time he you know we like your sale in yeah trying to be a bad time. To pick off some bargains. Yeah between now and middle of November and I mention you by workers an investor I'm getting more alerts that I set on companies like that are prices that are very very cheap in this is not. If you look at the market to market stocks yes there are handful of very expensive stocks there's a whole bunch of very cheap stocks. And that's because there's a lot of give and take and I between higher earnings. Against higher interest rates so. Headwinds tail winds in and you can have a lot of volatility. Did you know that Toyota coral makes hatch back I didn't know that that coming up we're going to be joined by Tim Stevens. From CNET to talk about the 2019. To Lyoto coral hacked back. Barry Armstrong. Chunks not a breaking business news every day right here on the financial exchange radio network. Are you thinking about transferring your home to your children or protect it from the nursing home did you know that if you do you put at risk for your children's creditors including future divorces you really wanna write a check to your former son or daughter in law just to buy back your own home hi this is -- not ski and I want you to know that not only does transferring the property put your home at risk but it can also create a huge capital gains tax when they sell it right now the federal capital gains tax can be as high as 23 point 8% and that's an addition to your state income tax -- better ways to own your real estate can protected from the nursing home keep it away from your children's creditors avoid probate and not cause unnecessary taxes a got a brand new guide to real estate ownership out this month this free guide we'll show you the best way to own different types of realistic -- now for your free copy at 8668485699. Or download your -- immediately by visiting legally exchange showed dot com don't put your home at -- 8668485699. Or log onto legal exchange showed dot com. If you're landlord looking to find an easier way to collect rent payments than you need to hear about leader bank's online rent collection product called zero and it's a great service for landlords allowing them to collect tenant's rent payments electronically and he rent dot net without the need to collect checks mostly in the produce local neighborhood banks to do their business and now a collection of local banks are offering this unique program including leader bank and stolen bank member FDIC. If you're a landlord and are interested in having your bank required does he ran technology Tillman McCall does he ran team at 7816418691. That 7816418691. Or visit Z Rand dot net stopped chasing down late payments and running to the bank to make your deposits at your bank to add zero to its list of offerings. Visit C Rand dot net or call 7816418691. For more information that 78164186917816418691. Or zero rent dot net. Hi this is very Armstrong and if you're getting ready for retirement you probably have at least some of your portfolio invested in an IRA or Roth fiery third differences between two both types of accounts are popular but there's an important change to the rock fiery now that president Trump's tax reform bill has passed Roth conversions are now permanent so if you attempt to convert a traditional diary to a Roth a higher rate after January 1 of 2018 that change cannot be and done if you have a Roth irate or worth thinking about converting to one find out how the elimination of this tax friendly provision can affect you call now for my free guide about Roth conversions the number is 803934001. That's 803934001. Or you can download it right now at Armstrong advisory dot com. -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Security suffered through securities America and members finreg SIPC and advisory services arbiters securities America advisors think Gary Armstrong representatives Armstrong advisory group in the securities America companies are unaffiliated. We wanna hear from you. Thanks Stuart Barry's 263566. And let us know what you think about the stories we discuss your team to the financial exchange radio network. This segment of the finance. Chase brought you in part by your bank it's not too late to get a great grades and homework. Leader bank as some of the most competitive rates around. Call 8776917. B 900 or visit leader bank dot com for more information Peter bank is an equal housing lender member F. DI CN MLS number 449256. Not everyone's buying an SUV oral light truck no one's more committed to the good -- sedan coupe. Then Toyota Tim Stevenson CNET roadshow joins us Tim thanks for joining us. Tin Toyota Corolla certainly one of the most popular cars of all time it now has a hatchback you took it for drive what do you think. I was quite impressed of this is a new generation of a critical role which actually is coming back over to Toyota from the Scion brand you may remember the times has been out of Toyota. Of course it would wake up all the years ago but the new corolla and hatchback is still a bit lighter a little bit wider hole this order to drive and Oprah also really nice package. Yeah it's amazing they've taken some cues from the old sign on brand to kind of spice up the look some of their product. What about hatch backs though vs crossovers are small issue these are compared a couple of models and I wanna light the hatchback. And I look at it and I think I almost like the civilians better. That's a claim the trend in the US more more focused and Dubai yesterday and in the US has been patched back ultimately when it comes to practicality in and cargo volume. Has access to the point the way to go especially if you have a lot of kids are a lot of dog in you ought to be able to transport a lot of step in a small space. The duplicate the greatest car look at the impact back the certainly in the US at least more people and approved the sedans styling. The traditional track I was sort of Kurt you. A Q what about performance tonight I don't always associate powerful engines and corolla but I. How does this shape up above expecting a muzzle Roddy here but it is going to be fast enough for me. It it'll be equipment after the outgoing corolla is that the new motor is a 160 horsepower to achieve more than thirty horsepower more than the outgoing corolla saluted the significant step forward but still though it's hard hat. Hatch were not talking. The Volkswagen AG doubles performance second I think. But with the new sixty you know transmission as well the cold actually a lot of fun to drive you can easily get heard about forgot from the arts. Not bad now Toyota giving notices when I watch the commercials they're really pushing their kind of basic no extra cost technology. In their battle with Honda and of course it's a it's a fierce battle between two of them. What is your take about this in terms of technology in the value for the dollar. Technologies to create huge part of cartridges and more and more companies are building more and more Smart state technology into their base car is it would no option and no extra charge. And at that indicates who the corolla two it has to Witasick he says 2.0 standard. Mean I think the automatic emergency braking which can bring the card to a complete stop even after going pretty Amal now oral stop the car automatically for you. It written pedestrians or even the cyclist now as well. They'll include adaptive cruise control that will also bring the car complete stop and get stuck in traffic. Carl stop so the resume and so without having to do anything a lot of like safety features like that built in the car and again no extra charge for it. Tim one of our techsters is asking if this is really the Toyota Matrix is it a different view both from the matrix. It is certainly an evolution of what Toyota Matrix used to be Abbott but this one's actually directly coming from the old sign on I am that was that the more that that car used to have that car with just continued increased sixteen win and cyan let the US market. In a nickel back to Toyota so this would be to continuation of the old style I. Look at some of the things should be comparing with this I'd get like 21 to 23000. Dollars that range I see a lot of stuff I find different I'm kind of looking myself right now. Where does this slide in the terms of cost. There hasn't given up the formal pricing of the new garden in the market for about another two months bode outgoing Korolev started at about 181500. Expecting and what should be right in that same ballpark so you wanna get a really will acquit one would be. Do CDT transmission should get better fuel economy. And all the dealt with it probably looking at low to mid 20000 ought to redouble our. Such right and that's sweet spot and I guess who the sales pitch they would make his you're gonna get a little bit better safety package standard map right. Actually a lot of great in. Back comfort technology as well an engine system will have apple cart play built in cord GOP wireless spoke in your car as most durable management I think that that Cuba enforcement could it still does not have. Android auto populate the war more people wanna I want endured so yeah now more. Apple play in united under. Yeah I've ever have currently that. It is kind of alignment sanatorium on we're not sure why they only added apple corps played this year so maybe next year though finally had to and without them. Warren Buffett is behind this. I heard a tremendous help on apple and and hurt Samsung okay. Any other questions are that's it thanks Tim for your appreciate your time. Pilgrims appreciates didn't say do you buying new or do you buy used. Go back and forth but I am kind of look at new impanel look at and that sweet spot there him looking at some of those crossovers small issue via the hatchback to hatchback she can store Lotta crap if you go to the gardener in Chicago by plants. A lot better off but you know what I looked at Pacific. And I looked at their hatchback which look bank's most vehicle and it looked at the the two space. In our capacity and had trucks trunk space than. They've there may usually you don't make best backs and yet they all these cars are making the base of being in a lot bigger than it used to. It's not would you expect it's now midsized vehicle. So but there's a lot of cars that are kind of competing with each other has seen a lot of money going to use I know you do I know I I probably should do that needs its my son does it and you know TUP. And now. Maybe two thirds of the sticker you know for a car that's got 2030000 miles on his I guess a lot of. The depreciation of the becomes the first two years tons up. Dow is up a 164. Points the S&P 500 is up fourteen points. And the NASDAQ is up sixty points to a thing I don't like folks the price of oil it's over seventy. Dollars a barrel what yelled baby can be expensive when you go to fuel truck. We'll see tomorrow right here on the financial expect.