About this transcript: This is a full AI-generated transcript of THE BIGGEST THREATS TO YOUR PORTFOLIO RIGHT NOW 🚨 from Earn Your Leisure, published July 28, 2026. The transcript contains 21,950 words with timestamps and was generated using Whisper AI.
"For me, entrepreneurship has always been the way. Investing is important because it's the only way you are going to be able to be rich and wealthy for your family. We can close the wealth gap by working together. Market Monday is the biggest investment show ever. My life has literally changed since"
[00:00:00] Speaker 1: For me, entrepreneurship has always been the way. Investing is important because it's the only way you are going to be able to be rich and wealthy for your family. We can close the wealth gap by working together.
[00:00:16] Speaker 2: Market Monday is the biggest investment show ever.
[00:00:18] Speaker 1: My life has literally changed since Washington, EYL.
[00:00:23] Speaker 3: When you can make people money and you can add value, they're going to be forever indebted to you.
[00:00:26] Speaker 1: I promise you this year, I'm going to make y'all even more money.
[00:00:30] Speaker 3: Disclaimer, do your own research. Our content is intended to be used and must be used for informational purposes only. It's very important to do your own analysis before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with or independently research and verify any information that you find on our show and wish to rely upon, whether for the purpose of making an investment decision or otherwise. Let's build our knowledge, our community, and our brokerage accounts. Love is love. Love is love. That's always the message. Still is the message. Love is love. Welcome back, y'all. It's Monday. A glorious day. A glorious day. It's been a beautiful, beautiful weather weekend here in New York City. Shout out to everybody in the city that enjoyed it. Got a little rain on the way, but that's okay. Iain, my brother, how are you feeling? It's been an eventful week, huh?
[00:01:25] Speaker 1: Blessed and highly favored, my brother. How are you? Back to you, Drummer Shot.
[00:01:30] Speaker 3: I'm good. I'm good. It has been an eventful week. Shadi, how are you feeling?
[00:01:34] Speaker 2: I'm good. I'm good. Just happy to be here, you know? For sure. We got a lot to talk about. Welcome back. This is live. Shout out to the Market Mondays Army. Happy belated birthday to my niece. Her birthday was on Friday. Happy belated. Happy advanced birthday to my mother. Her birthday is on Wednesday.
[00:02:00] Speaker 3: Happy birthday. Happy birthday. When we said shine a light on the world. The Leo. Yeah, yeah, yeah. I got mom. Hey, we got another birthday here on the broadcasting show. Ian, how are you feeling? Birthday on the way. Blessed to see another one.
[00:02:19] Speaker 1: Blessed and highly favored. Thankful, yo. I can't lie. I'm happy, full of joy. Somebody in the comments said, why are you wearing black? Because we keep y'all in profit. That's why. No red. When you look at that net loss, that P&L, P&L be black. If you join Red Panda. But I feel great. I feel great. No 45-minute show today. For those of you who are worried, no 45-minute show today. Extended. And to my Stock Club family, we was having tech issues. We're going to make up and do the Stock Club call tomorrow. So I love y'all.
[00:02:52] Speaker 3: Stock Club call on the way. Shout out to everybody in EYL University. All the earners that pulled up to our class Thursday. It was an eventful one. Actually, a pretty well-timed one. We talked about a lot of things. We'll cover a little bit of that tonight. But if you was there, we appreciate the love and the support. Shout out to the Red Panda family. There's a lot of commonalities, man. That's one of them. People are investing at an all-time high and making money at an all-time high. So shout out to everybody that's listening. But most importantly, those who are executing. Shout out to y'all.
[00:03:19] Speaker 2: Okay. We will talk about Arm, but please don't spam the chat. We definitely will talk about Arm. But please don't spam the chat. That's your warning.
[00:03:28] Speaker 4: You've been warned.
[00:03:31] Speaker 2: Wednesday.
[00:03:31] Speaker 4: Wednesday blackout.
[00:03:34] Speaker 2: We got special guests. We have Teslin Figaro. I'm trying to tap in with her for a minute. So we got a lot to talk about the Nolan Wells situation. And man, so many different things. Carmelo Anthony. She got to tap us in and let us know what's actually going on out here. Voted rights and all that stuff. So tap in. Political episode on Wednesday, 9 o'clock live. That will be live. And then Thursday, we're back. We got Ellis and Jasmine Swazzo. And they are a couple. And they specialize in life insurance. And they also have a life insurance agency. Yeah. Dope couple. So we're going to be talking about life insurance. We're going to be talking about life insurance as a career path. And, you know, just general financial planning. So that's a good one.
[00:04:29] Speaker 3: Yeah. You always love to see couples build together. Bring their own strengths to their union and create business around that, man. So it's definitely a dope one. I'm always happy to sit down with couples and learn from them. And everybody's going to get a treat. And shout out to everybody that tapped into last week's episode, too. John Morgan. Dan Morgan. It was an incredible episode. That was a great episode. That was a great episode, yo. Yeah, yeah, man. Shout out to everybody that tapped into that. That was pretty dope. And shout out to 19 Keys, man. Shout out to 19 Keys. He dropped his album over the weekend, man. I actually downloaded it and tapped in a little bit. I ain't finished it yet. Shout out to Stevie. I see he's featured on a bunch of songs on there. Shout out to Keys, man. We are the gods, man. Shout out to him.
[00:05:15] Speaker 1: And he had a dope interview with Shaka Drop yesterday, too.
[00:05:18] Speaker 2: Shout out to Keys. Salute to Shaka Boys. Salute to Shaka Boys. All right, we ain't going to hold you up. Just real quick. The Locks. Greatest rap group of all time. We can have a conversation about it if you would like. But the Locks are opening up InvestFest. We're doing something that we never did before. They actually have a documentary, which they debuted at Tribeca Film Festival. So we are having an exclusive movie premiere of their documentary. They will be there. Then we're going to do a fireside chat with them after Q&A, and it's going to be a whole vibe. Intimate. This is Thursday night before InvestFest starts. This is Thursday night before InvestFest starts. It's an intimate vibe. If you want to go, tickets are $35, the price of a movie. You can go to InvestFest.com and hit the Locks tab. First come, first serve. There's a few tickets left. But that's going to be a really dope way to kick off InvestFest. Shout out to Jadakiss, Sheik Looch, NSP. Yeah. The holy trinity of rap. Yeah, trinity.
[00:06:26] Speaker 3: That's actually the name of the documentary. The documentary is actually named Trinity. It's dope, man. You talk about guys that we've watched since I was 12, 13 years old, and to now be sitting down with them, met them all individually, but to have them all sit down, to talk about loyalty, to talk about the career path, to talk about consistency. It's a moment. It's definitely one of them things I'm going to check off like, yo, I actually did that, man. So I'm excited. I'm excited. It's going to be a dope combo.
[00:06:50] Speaker 2: I was just about to say, you got to like each other to be in a group still, ain't it?
[00:06:57] Speaker 3: I think they do. And it's a, no, it's, you can argue that. I'm not going to disagree with that. I was actually just listening to Quimini before we started this. So I'm not mad at that take. It's just, there's people.
[00:07:09] Speaker 1: Outkast are amazing.
[00:07:10] Speaker 3: Yeah. There's a few groups in the conversation.
[00:07:13] Speaker 2: Yeah. You got Outkast. You got the locks. You got Mobb Deep.
[00:07:16] Speaker 3: For sure. For sure. We always have to put the caveat. I don't know how we count Wu-Tang as a group, but I mean.
[00:07:22] Speaker 1: Wu is definitely in there. But Outkast is one of the greatest all the time. Even though y'all be slight to Andre because he don't have a quote unquote solo.
[00:07:31] Speaker 3: What he did on ATL ENS, what he did on a criminal. Out of body. Yes. In 94. Yeah.
[00:07:39] Speaker 2: They said, I get on here and say anything.
[00:07:44] Speaker 1: That's a great part of having Rashad. Floppy. I got you. Not yet. Let me run out of your stuff real quick.
[00:07:52] Speaker 3: Let me check with it.
[00:07:54] Speaker 2: All right. The last thing I'll say too before we start the show is nightlife. If you are interested in nightlife, we have the parties open. Saturday is official. I believe it's an avenue. Official Invest Fest after party on Saturday. And then Sunday we having a mansion party. Very, very, very, very exclusive. 50 people only. And that's going to be at a mansion in Atlanta. And that's going to be beverages. It's going to be provided and food. And you're going to be what, you know, it's going to be an elite crowd. It's going to be the vibe. The who's who's. Yeah, the who's who's for sure on Sunday. So if you're interested in one of those. Huh? What time? Huh? I got you.
[00:08:35] Speaker 1: Go see John Hope, Brian, everybody. Yo, John Morgan, Steve Harvey, everybody.
[00:08:40] Speaker 2: That is a fact. So you can go to InvestFest.
[00:08:43] Speaker 1: This event I want to go to.
[00:08:45] Speaker 2: You can go to InvestFest.com and hit the after parties tab if you're interested in that. Ian, any announcements?
[00:08:53] Speaker 1: I got a special announcement later. Stock Club prices are out. If you are on Red Panda, if I made your money, please put you guys in chat. I will be adding some this weekend as well. As I said earlier, Stock Club call will be redone tomorrow because we was having a technical issue. And if I made you money, please put yes in chat. Let's have an amazing show. And shout out to Mike for the new layout, for upgrading the idea and the visual experience. Thank you so much. Shout out to my fam here in studio helping me and guiding me through the visual experience and audio experience. I love y'all. Let's have a great show.
[00:09:26] Speaker 2: Let's get it. Okay, let's investment fact of the week. What is the investment fact of the week?
[00:09:31] Speaker 1: Oh, man. Semiconductor volatility spiked to 61. So for those of you who don't know, in my InvestFest presentation on Sunday, if you want the highest level of investment education at InvestFest, I will be covering how to research sector-based volatility to know when you should be looking to buy the companies and the underlying assets. But the semiconductor volatility spiked to 61 today. SanDisk is down 11. AMD down 11. Micron down 13. So this is a great way to gauge if you have volatility or there's a lot of erosion in terms of pricing for a particular stock. So VIX is not that high, but a great tip is to look at individual sector volatility to know if it's a great time to buy or if there's a great decay in the market. New fun fact of the week. Back to you. Sponsor Buy InvestFest. Get your tickets together.
[00:10:27] Speaker 3: You know, I had this thought last week and my investment fact of the week kind of comes off the back end of watching Google Report and have an amazing quarter. According to their CEO, Sundar Pichai, and across the board, right, on every metric, you would look at this and say amazing quarter. But it inspired my investment fact of the week, which is either spend the money expecting future growth or don't spend the money and lose access to the future of growth. And it's important that you know the difference here because what we're seeing now are there's capex spends that continue to increase quarter after quarter. And what we're seeing is companies being punished quarter after quarter because of that increased capex spend. We can talk about the hyperscalers for sure, the Metas, the Googles, the Microsofts, the Amazons. But we can also talk about Micron, who also increased their capex spend. And so what does that mean? Either you're going to spend money to scale and grow with the expectation of that being returned at some point in the near or short-term future, or you're going to not spend, which has kind of been the Zuckerberg approach where we're going to spend because we can't afford not to, right? Because of the potential of what AI is going to bring to the entire economy. And so we're in a tough spot here, especially for hyperscalers. And we'll see this week with a lot of big earnings. We got Microsoft tomorrow. We got Meta tomorrow. We got Amazon and Apple coming up later in the week. MasterCard. We saw Cadence report today and had a really decent quarter. So it's a huge week for that. And companies are going to have to figure out at what point do they say, hey, we might have to cut back spend so we can save our stock price. Or they're just going to keep doubling down quarter after quarter and obviously be punished with a pretty hefty pullback. If you look at companies like Microsoft, if you look at Tesla, which is down like 30%, there's something happening here. And I don't know how they fix it or if they want to, because they're looking out. They're not looking, what is this going to look, potentially look like for us in the year of 2026? They're looking 2027, 28, 29. And so there is some short-term volatility, which unfortunately we are experiencing, but it's part of it. We can't skip this part.
[00:12:41] Speaker 1: Really quick. Google has negative free cash flow first time since quarter two of 2006. I don't want you guys to confuse Google and Microsoft CapEx spend with that of Intel Oracle and those who are not hyperscalers or A-tier. The real issue that we're having here is that no one wants to say it. But part of that private credit bubble collapse that could happen, a lot of it is being poured over from the AI spend. I know Google got punished unfavorably, but it's a bigger contagion issue of everyone spending on AI and no one has told you how they're going to make a return. No business owner wants to say it, but there isn't an LLM that you can just fully automate your business to. I wish there was. But don't get rid of Google. And I've actually in Stock Club moved up Google's ranking in Stock Club over Amazon as a result. But don't confuse Google and Microsoft's capspin with B and C players as a result.
[00:13:43] Speaker 3: I think you made a, that's a very important distinction. And I talked about this overnight. So it's important. I'll bring it here to the Market Mondays audience that cash burn has two different phases. There's a cash burn for companies who can't make the money, right? You have to figure out ways to try to get income into their companies. And then there's the other type of cash burn where you're making money, right? But you're actually investing more than you're making. And so Google was the latter, right? So if we look at their metrics, they beat on revenue, they beat it on adjusted earnings per share. They beat on the cloud revenue, right? They beat on operating income, but the CapEx spend was negative, almost 6 billion. So they're bringing in money from all the avenues, right? The YouTube, the cloud, from search. But they said this is the first quarter in the history, in the history of the company, that they had a negative cash burn. And so this goes back to that CapEx story. We saw them have a positive day today, but they got hit pretty hard as they reported it. But I'm with you. It's still my favorite company of the year. I think we said that at the top of the year that I said Google was my favorite company of the year. And all the metrics still show that.
[00:14:49] Speaker 1: Listen, Google generated 60 billion from YouTube, which is more than Netflix, and 20 billion from subscriptions. If there's one company management-wise you don't have to really worry about and has shown they could have adjusted. And we'll talk about Apple later, but Google has still operated in the way that I wish Apple would have. Google's going to be fine. I think we're going to have a recalibration in the days of just everything going up 500, 700 percent because they were spending on AI. That story is going the way the new story is, which I've been asking for a year, how are you going to get return?
[00:15:24] Speaker 3: Yeah. Yeah. So. Yeah. It's just quarter after quarter now. How are we going to get return?
[00:15:31] Speaker 2: Okay. Mike, the thing keeps flashing on the bottom. I'm not sure.
[00:15:37] Speaker 1: Flashing.
[00:15:39] Speaker 2: It's flashing a little bit.
[00:15:45] Speaker 1: That's because the future is bright, my brother.
[00:15:47] Speaker 2: That's a fact, let's talk about the trading tip of the week. What's the trading tip of the week?
[00:15:55] Speaker 1: You're only going to get better if you trade in front of an audience or a group of people. My assignment for you in August and September, especially for my future traders, especially if you're a red panda, you've been trying to like duck showing your portfolio and your performance. I want you to get on StreamYard or YouTube Live and I want you for 30 days to show your practice and your live trade set up. It's exhausting. It is frustrating. But sometimes the only way you get better, we need to bring back shame to a certain degree, right? In society. But even though some have tried to do it with us in a positive format, if you have to be accountable in front of a group shot to Suresh and Monique, Daniel Leslie, like in 2016, every week, I had to trade in front of them, right? So that made my results be better as a result. Ty and Edwin had put up a post earlier today, too. And the genesis of me getting really good at it is having to do it in front of someone. So if you have not gotten the edge that you want to get together with eight people, you guys collectively trade together, agree on entry, agree on exit, only take that price. And then I think if you start to do that for a 60 day or 30 day period, you'll get a lot higher return in the market as a result.
[00:17:17] Speaker 3: Valid, valid. I would think mine is follow your trend lines and downsize your allocations, right? So we're watching.
[00:17:28] Speaker 1: Like the number of shares and options.
[00:17:30] Speaker ?: Yeah.
[00:17:31] Speaker 3: Yeah. It's important. That's a great one. Because when we're looking at, especially the memory sector right now, we're watching 40% pullbacks, 50% pullbacks. I know human nature says, hey, I need to buy low, right? I have to buy low. And that's true. But that doesn't mean that I'm pouring like the largest allocation into these numbers because the trend line is showing us that there could be more downturn, right? And so we want to watch those trend lines. If you're buying shares, you might want to ease into the positions here, right? Because you might be able to get better prices. If you're buying optional contracts, we're not buying 10. We might be buying two, right? And in the event that we start to see that trend line go back up, then we can allocate more. But I want people to really understand the technical sides, watch those trade lines, follow where those EMAs are going, and then make appropriate decisions, right? If you don't, then that's like, hey, you hear that analogy, hey, who wants to catch the fallen knife? Nobody wants to do that. People want to get it at low prices, but we don't have to commit all the way, all of our allocation. Yes, you can add some positions. You can add some shares, maybe buy one or two contracts. Just don't pour everything into it when you see downward trends like this. You've been reading my notes for investments. I swear to God.
[00:18:44] Speaker 1: Cut it in the third. One of the great lessons, too, to prevent that, like you said, and this is one of the reasons why people get out too early. Let's say if you can afford 100 shares, you buy 100. If you would have just did a third of that, let's say 30, just to round it out, it doesn't hurt as bad as you go on full port, and now you're down 22%. Opposed to if you cut your portion size down, and especially on the trading side. We can talk about the market manipulation and single stock futures here later. But you have to be more cautious, especially when, like, when this China story keeps popping up. Because even with the Kimmy and Deep Seek, they're telling you the future of what's going to happen. At some point, something open source is going to flip in China's favor, and it's going to erode our market. But what will save you a lot of time is if you don't trade full port and knock it down to third. But I'll talk about that more Sunday after we're coming off stage in the Best Fest.
[00:19:42] Speaker 3: Yeah, it's interesting because we talked about it last week where history doesn't repeat itself, but it does rhyme. So it feels like Semi, specifically Memory, are having their Deep Seek moment. Right, like, y'all can remember January of 2025, because it felt crazy, right? Deep Seek, here it is. They're going to create better GPUs at a cheaper price. And then you watch the entire semiconductor space fall until you realize that they really are not going to be able to do that. They're still going to have to spend with certain companies and use certain things to actually be able to put out that level of compute. And obviously you see a rebound. And now it feels, especially with the open models now and China today, having CMX debut or IPO, it feels like, oh, here's the memory sector. So it doesn't repeat itself, but it sure does rhyme. And if you saw the outcome of that, then you should feel, okay, we've seen this before. Let's just stay disciplined.
[00:20:46] Speaker 2: Let's talk about ARM, since that was a question. So what is the deal with ARM?
[00:20:52] Speaker 3: I mean, this is, again, in that semi-space. I think we've had a hell of a run-up, right? We were in this call probably in the early 200s. I know it ran up to 350, now pulled back. That story hasn't changed. When we're talking about manufacturing, we're talking about encasing, ARM is going to play a major role. If you look at every semiconductor, it probably has its tie to it in terms of how it's being encased. So when you look at, I used to call them motherboards, and that's the best way I could probably tell people now. But if you look at it, there's certain components, there's connectivity, right? There's memory, there's the GPU, and there's transistors. And all those, ARM is pretty much playing a role in putting these pieces together. So it's a company, again, that I'm long-term on for sure. It's pulled back here. It still hasn't gotten to the lows of where we bought it at. So just be patient with this story. We'll talk about even more when we talk about the China piece and how it's affecting the market. But just be patient, especially with these American companies. Just be patient.
[00:21:50] Speaker 1: And ARM didn't even pull back the most. If you look at SanDisk, Micron, ASM, we have some deeper concerns. I get it. If you're trading it, I get the concern. But as a result, if you're holding it long-term, if you loved it at 410, I don't know how you don't love it at 266. If it goes to 225.15, I absolutely love it. But this is my other point. Hold for long-term. I'm begging you. All the weekly rotation things that y'all be trying to do, stop it. We really go to 45, Michelle. There is no weekly or monthly rotation. This sector will be okay. But two things have to be addressed. What is the return on investment that they're going to get from AI? And if the compression and spending slows down, will the chip makers be affected? Yes. But they'll find another industry to attack and they'll be okay. Because the chips are too vital to business infrastructure. And then second, what are we going to do about the open source modeling that China? And also, where are they getting some of the data to build an open source? But I'll tackle that after.
[00:22:55] Speaker 3: The open source piece is important because the same day that they announced open source, NVIDIA says, great. Where are you building that software on? That's what they're going to have to call.
[00:23:06] Speaker 1: They got to come back home.
[00:23:08] Speaker 3: You got to come back home because they are the platform that is platforming all the software. And so, they gave you a list. Maybe I'll put it up in my stories tonight. They gave you a list of the companies. And some of them should look very familiar, right? You saw Dell. You saw Cadence. You saw Synopsys. You saw Palantir. You saw Palo Alto. You saw CrowdStrike. All these companies, they're saying like, hey, open source? Fine. That doesn't hurt us. Bring it on. And so, that's why it's interesting when you watch these pullbacks and you understand it. Number one, efficiency is going to always be paramount. But number two is scalability, right? Like, if you're going to build cheaper models, and I've always said this, right? Faster does not always mean better, right? When you do things with speed, you lack efficiency.
[00:23:50] Speaker 1: Yeah, because of hallucination. Yeah, yeah, yeah. Yeah. So, just remember that.
[00:23:56] Speaker 2: You got to make sure to something.
[00:23:57] Speaker 1: Really quick, Rashad, before you go to the next topic, I got to ask. I'd be remiss if I didn't. InvestFest is right around the corner. Can you give people, you and Troy both, maybe two examples of great networking at InvestFest in order to be able to build their business for 26 and 27?
[00:24:16] Speaker 2: Yes, for sure. Be mindful of who you want to network with. I had this call at EY University last week, and it could be overwhelming, especially if you're an introvert, but that's why you have to be strategic. It's like, okay, if you know that you specifically want to network with real estate people, you should be going, MG's doing a real estate workshop, you should be going to that, you should be going to a real estate panel, you should identify, like when you talk to people and it's like, you know, okay, you do plumbing, okay, maybe I can help, or you do something that's not totally related, you don't just brush them off, but you put more of an emphasis on who you're actually looking for. So, that's important. People want to network, what does that even mean, network? Like, that's just, you're just open to meeting anybody. Like, if you want to meet a specific group of people, you got to put yourself in that specific group, an area. That's the good thing, there's panels on everything. So, people, most of the time, if they're in that panel, they're either in the industry or they're interested in the industry. That would be my take. And then the next thing you said too, add value. I always say it, don't leave with, you know, hey, can I call you on Thursday? And it's like, look, what do you need help with? How can I help if I can help? And, you know, leave with adding value first. That's a great way to build a relationship.
[00:25:32] Speaker 3: Yeah, I would say build across. I think being intentional about building across is something that, you know, especially with the younger audience, we've watched them do it, right? They come to invest with us with intentionality. And now, I mean, we're seeing people do it more and more, right? The people on stage are great. The information is, bar none, the best. But there's somebody who's receiving information at the same time you are that might spark something in them. And so, building across the table is important. Moving with intentionality and being prepared. You know, and you've probably experienced it too, I'm sure. You run into somebody and they say, oh my gosh, I didn't think I would see you. I don't even know what to say. So, be prepared. Be intentional. Leave with value and network across the board. And you never know who you're going to meet, man. That's the view of it. Like, there's so many stories that we don't know that have actually happened. Businesses that have started, relationships that have started, investing pitches and investment inside of companies that are happening because of people who are like-minded saying, hey, let's work together. How can we do it? Let's start this now.
[00:26:35] Speaker 2: And my goal is to bring a billionaire to the vendor marketplace. I think we have a very good chance of that happening. There's two billionaires that will be there, John Morgan and Mike Novogratz. One on Saturday, one on Sunday. I think we have a very good chance of bringing at least one, potentially two. I think they're about to do it. They're about to do it. I think we got a good chance of bringing two billionaires instead of in the marketplace. Man, that's a great opportunity because they're going to be meeting people. They're going to be talking to people.
[00:27:04] Speaker 3: Yeah. And obviously, they're there. But you know who else is there? Their team. Right? Their team. And so, when they're on stage or when you see them walk in, figure out who their entourage is. Right? It could be their son or it could be their daughter that they're walking in with. And that person might just be, you know, patroning at the end of the marketplace. That might be an opportunity, right? When nobody, hey, I saw you walk in with so-and-so. Hey, hi, my name is. Right? Like, meet the team, attack the perimeter, and you never know where it can go.
[00:27:34] Speaker 2: Shout out to Kay. She said, I made all my money back just from networking. That's fire.
[00:27:41] Speaker 1: Salute. And to that, if you run into anyone that you want to meet, treat the people who are around them like stars as well. Don't skip past the assistant. Don't skip past the family. Greet everyone. Because to them, they are the star. So, if you mishandle them, you're not going to get in great favor with the person that you want access to. Some of you have had to learn this the hard way. Treat everyone that you meet in that inner circle like they are the star. Because they are, ultimately, when we get in a sprinter or they get back on a plane, they're going to, what do you think of this person? Should we do this or not? It's often going to go to their decision making.
[00:28:23] Speaker 3: You never, and this is, I'm glad you said that. You don't know how many times Ab has sat down with us and said, look, you see this young lady over here? She's been waiting for y'all. She's such a sweet lady. She has this great idea. Is it all right if we call over? All right. If he feels great about it, and they've treated him with that level of respect, it's a no-brainer. Because we trust him with that type of information. And so a lot of times, if Ab is like, I'm not sure. No, no, no. They was kind of rude to this person or that person. All right. All right. Let's not do it right now. It's important, man.
[00:28:54] Speaker 2: That's a fact. All right. We'll talk more about InvestFest later, but ASML faces a stiff competition when it comes to China. So what does it deal with that? Mike, can we update the topics to ASML? Thank you.
[00:29:10] Speaker 3: All right. So there's a couple of things here. Competition, I think yes. I think yes. Long-term, that is competition. What has happened? So the Chinese state backed the company. They've decided that they're going to produce their own DUV. Now, this is important to distinguish the two, right? They are making their own DUV machine, this lithography machine. Why is that important? Well, ASML is predominantly the largest world maker in the DUV machine, but they're the only maker of the EUV machine, which is very important to understand. Why is that important? Well, the distinction is in terms of what they can produce. And so think of the DUV machine when we talk about nanometers, like how much this wafer can hold or how the size of it, you're talking about between 148 nanometers to about 193, okay? An EUV machine, which is what TSM is using, which is what NVIDIA is using, they can go down to a 13 nanometer, right? So when you're talking about compact size and efficiency, the EUV machine is the one. Now, why is that important? Because that machine costs between 150 to $400 million per machine, per machine. Think about that, right? So now, how many machines is China being built? And we talked about this the other day. Remember, maybe a year ago, we said there was some Chinese, quote-unquote, allegedly, shout out to Kobe for sure. Allegedly, guys that were in the Netherlands trying to figure out the trade seekers of how to build this machine. Well, maybe they have, but they didn't get the EUV. They got the DUV. That's important because China has about five of those, five of those DUV machines that'll be online by the end of this year. By the end of 2027, they're saying that they should have 20, right? So from a technological standpoint, that's an older model to where we're going with advanced chips, specifically GPUs and now the CPUs. The EUV machines, ASML has 250 of those systems that are running right now in the world. TSM owns over 100 plus of them. So when we're talking about manufacturing, large-scale, high-bandwidth memory put onto a GPU, TSM is going to be the manufacturing partner as of now, and we'll talk about maybe a little bit more with some of the competition aside there. Samsung is number two, but there's a distinction. So from a short-term standpoint, it feels like, oh my gosh, here comes a competitor. But again, technologically, it's not in the same realm just yet. Long-term now, if they can figure out to, hey, we're going to build our capacity for the DUV machines, that's great. They'll be able to build some compute, that's great. They won't need TSM as much, great. Guess what the world is using, right? They're using the highest form of semiconductor, which is still being produced by TSM, being manufactured by TSM, and being created by NVIDIA and all the other semiconductors in the world, AMD. So that's important. Now, does it hurt ASML? Yeah, because on top of it, like the DUV machines, because they weren't able to sell the EUV to China, they started selling those, they started selling the DUVs. And so if they make their own, will you lose some of the profit from China? Yeah, absolutely. But long-term, they're looking at it, hey, our biggest moneymaker and where the future is going is going to be in the EUV machine, the lithography machine. So when that, if that starts to get cannibalized and we start to see companies make that, because right now, literally, this is a monopoly. They're the only company in the world that makes that machine, then we have a bigger story.
[00:32:46] Speaker 1: Yeah, I think it's one thing we have to remember, because China is a better manufacturer and they have better tech than us. This is the attempted gathering of the final infinity stone. China want to make sure that it's independent and not reliant upon us. So this is a big geopolitical issue. I know everyone says Micron now has a rival. CXMT went up 400% in one day, yada, yada. Those are all headlines that sound great. But the underlying story is the spend and the first company in America that tells you what the spend is, because now NVIDIA isn't the sexy story anymore. I think there's going to be a stable option. And we're even seeing a rotation heavily into Apple for underspend, because now it's almost like an index plus or ETF plus as a safety yield play. I do think at some point, China is going to nail one of these issues, but I don't think it's been done yet. A lot of the market being drugged down is because of the reckless spending, even though it's good debt for all my good debt pioneers who nail that into the floor every time you can. It's going to bring the market down. I think August and September may be a little bit rough, but this is not the time to rotate out of the companies that are going to change your life. It'd be a massive mistake if you're doing it. Earlier, somebody asked a question. You discourage people from weekly and monthly sector rotation, but how do you reconcile that with the idea that there are companies that are going generational runs? I'm going to say it again. If you can't hold a great company for a generation, you don't deserve generational wealth. A lot of these companies that went on generational runs are now down 40 and 50 percent, and most people did not get in at the bottom. They start getting in towards the top, and now they're bleeding down. It is very difficult, even with AI, even with being a good technical trader, to catch a lot of these bottoms. So if you're rotating out of one thing into another, and that's why a lot of times when I say something, I'll be like, hey, fire Tim Cook. This was two years ago, Apple, not now. But hold the stock. Some people will be like, no, well, you said Apple's going to fall. That's because you weren't holding it for a long time, and you won't listen. So you can't rotate on a weekly or monthly basis because you don't have the skill set or the technology to do it for you fast enough. Because even if you try to automate it, there's a lot of slippage regardless of what broken you. So hold for the long time.
[00:35:15] Speaker 3: I called him earlier today. We got, I got some words for Tim Cook and the team at Apple. I got, I got, I got a few words. We'll, we'll, and when we get to that China chip market surge, I got some words for them, but good, good point.
[00:35:28] Speaker 1: You won't go through that, so you won't have to go through that.
[00:35:30] Speaker 3: No, no, no, not that type of smoke. Not that type of smoke. No, no, no, no, of course not that type of smoke. Okay. From intellectual smoke. Gotcha. But the, the, somebody brought a point in the chat that said that TSM has said, you know, we're going to try to shy away from the ASML machines because they do cost a lot. And so you start to think who becomes your customer base if the largest manufacturing packaging company decides to shy away. That is potentially potentially be a problem for ASML, which is not an American company. So we'll see. We got to watch that carefully. The, the China news is news. The TSM news would be more important to me because that's the customer that's buying in bulk, right? You're talking about 150 million per machine and they have over a hundred plus Samsung is number two, but not even in the realm of where TSM is at. That is concerning. If you lose that customer, all right, we got to make a call to the Netherlands.
[00:36:25] Speaker 2: Yeah. Right. All right. Okay. The moment has come.
[00:36:29] Speaker 1: Wait, really quick. Before we, really quick, let me squeeze this one in there. You can go, my brother. My apologies floppy. Uh, to the person who asks what percentage of bonds should you have in your portfolio if you're under 35? None. None.
[00:36:44] Speaker 2: Zero play.
[00:36:45] Speaker 1: I've been telling y'all for, since 2020, the bond market has been eroding. The institutional investors don't even want bonds anymore. If you trade UBS, ZB is shot to y'all in red Panda. The bond market has been in perpetual free fall for five years and shot to Ben Carlson, shot to Josh, shot to Atlas Berry, uh, shot to Michael Burry. Everyone I'll talk to give me pieces of the real answer. I have not gotten a real answer to why the bond market has been free falling for five. I always like to go back to this. Rashad, if I met you in 2010, I told you, for five years, the bond market is going to fall flat. You'll go, you're like, you're a fucking scam artist. And here we are. If tech was in free fall, if QQQ was in a negative drawdown for five years, y'all would be trying to find me in Houston. I don't know what the contagion event is, but no, you don't want to expose your, maybe when you're older. And if you can get a select product from UBS that guarantees a return on investment, if you're a high net worth investor, go for it. But no, zero. Back to you, Rashad. My apologies.
[00:37:54] Speaker 3: 2010. That's the Colorado era. For sure. For sure. Hey, what's up, man?
[00:38:02] Speaker 2: Okay.
[00:38:03] Speaker 3: How you feeling?
[00:38:04] Speaker 2: Public service announcement. Let's get in. Yeah. Let's get into this.
[00:38:10] Speaker 1: Are we almost at 45 minutes anyway? Go ahead. My time.
[00:38:14] Speaker 2: Let's get into this. First and foremost, man, shout out to the Breakfast Club. Always a pleasure whenever we have an opportunity to go up there. So, you know, we went to the Breakfast Club and there was a lot of controversy, per se.
[00:38:29] Speaker 3: Yeah, I think it sparked a lot of conversations, both negative, positive, and indifferent.
[00:38:36] Speaker 2: You got anything you want to say?
[00:38:38] Speaker 3: Yeah, you know what? The only thing I would say is that I'm always open to conversation. I also would say that I think listening back to it, right? If you listen to the full conversation and you understand what we were talking about in context, the conversation makes sense. I think when people heard City of Atlanta come out of my mouth, I think they internalized it as I meant the people of Atlanta. And by no means did I mean the people of Atlanta. For sure, we love Atlanta. We visit there. Over 60% of our company lives there. So, it's nothing against the city of Atlanta in terms of the people. We have great people there. And there are great people there. My concern and the puzzling thing was the city officials. And we've had conversations with them since this Breakfast Club. So, I want to clear that part up because I'm like, I'm not sure how they're confusing that. But if you are, let's just make this clear. By no means was I saying, and I can speak for Shadi as well in terms of that. By no means were we saying the people of Atlanta. I think it was very clear of the people we were talking to from our standpoint, the city officials and the corporations that exist inside the city. So, like I said, we've had conversations. So, hopefully that clears things up in terms of that. Rashad? Rashad?
[00:39:55] Speaker 2: Okay. So, you know, I was going to take a different approach on this. But, you know, there's a few people that I actually do listen to and I respect their opinion. And, you know, a few of the OGs that I actually, they actually asked.
[00:40:11] Speaker 1: What they're calling.
[00:40:13] Speaker 2: They asked if it could be communicated in a very diplomatic way. And out of respect for my OGs, I said, okay. I said, okay. I love it.
[00:40:35] Speaker 1: Don't regress. I know you.
[00:40:41] Speaker 2: Nope. No, no, no, I'm not. I'm not. I'm not. I'm not. But what I'm, what I am going to say is this though, right? We, all we did was just answer a question on somebody else's platform. We have our own platform that we can weaponize if we want to. But we haven't. So I don't want anybody to think that we're a victim because we haven't said anything. Like we've, we only just said one thing and that just went viral on somebody else's platform. So I'm against black on black crime. One hundred percent, but I just don't want people to think that we can just get picked apart. Because we can speak as well. One thing. But. One thing. The second thing is anybody with a brain, having a brain is very uncommon these days. They asked us a question. We gave them an answer. And to the crowd who's like, well, you were dead wrong because the Georgia World Congress Center is not owned by the city. And you, you didn't, you just rushed to the city. You never even spoke to the city ever. All it takes is a quick Google search to know that we had a press conference with the mayor three, three years ago. Obviously we spoke to the city. We've been speaking to the city for six years. Out of respect for the city. And out of respect for my OGs. City officials. The city officials and respect for my OGs. I will leave it at that when it comes to city hall. But the idea that we just jumped out the window and had no idea what we were talking about and never spoke to anybody at city government. Like I said, I mean, a quick Google search would have seen that we actually did a press conference with the mayor. So how do you think that we never spoke to anybody? Common sense. But sense is not common. Now. That's, that's all I have to say about the city hall thing. I could say more. But in good faith, I'm not. Now.
[00:42:56] Speaker ?: Now.
[00:42:56] Speaker 2: To the Clippers community. Because this, this really started to go viral. And somebody clipped a small portion of actually what I said and made it seem like I was talking about the city of Atlanta. And the crazy thing about it, it was very misleading. So I ended up speaking to the guy that did it. And this, so for you guys to have information, right? Because you need to understand how this world works. So it was a very misleading and a very dangerous way that this was presented and got a lot of negative backlash. So I'm like, yeah, what's up with you, bro? He's like, first and foremost, I've been to every InvestFest. I got my book signed. I'm in a picture with you. You know, I've loved you since day one. I said, yo, you doing all of this? Then why would you purposely misrepresent what I said? That's actually dangerous. All it takes is one crazy person to say, you dissing my city. You down on their luck. Like, you actually put me in harm's way. He's like, yo, I'm just a clipper. I just did it for content.
[00:43:59] Speaker 1: View, baby. We talked about our chance.
[00:44:01] Speaker 2: It says a lot about the times that we, and that's why I'm not even explaining anything anymore. Because it's like, you see, yo, you know how many people had no idea, no context at all. So it's a 10-second clip. And this is from somebody who's actually a fan and who told me to my face over the phone, bro, I just did it for content. I'm sorry. But it's just, I just needed to give views. So it says a lot about the times that we in. And for you fake professionals out there that took the opportunity, I hate you guys so much. Man, I hate you guys so much. And the time will come. Because I watch everything. I saw your post. I saw your comments. The time will come. And just know, you've been hating on us for a long time. Because you have no influence. You have no audience. Doesn't matter what college you went to. You're broke. You're corny. And I really do hate you from the bottom of my heart. I hate you guys so much.
[00:45:11] Speaker 1: That's a strong word. I hate you guys so much. You said you don't believe in black on black crime. You can't do it. You can't handle it, man. Brother, my brother. Over missing, lying to my brother.
[00:45:21] Speaker 2: Because it comes from hate. That's why I got to hate them. Because it comes from hate. And it's a variety of different people. It's not one person. I've watched everything. I've seen people that have 100. They put a post up and they got 100 views. But I'm one of the 100 people that saw it. I saw it. I'm taking notes. I've been doing it.
[00:45:41] Speaker 1: I saw a bunch of years.
[00:45:43] Speaker 2: I've been taking notes for years. And it always comes back. And they're like, can I speak at InvestFest? And I'm like.
[00:45:51] Speaker 1: Screenshot time. Remember this?
[00:45:53] Speaker 2: November 18th, 2024. Kick rocks.
[00:45:56] Speaker 3: Nah, man. I love y'all motherfuckers, man. Friend or foe. You're all mama.
[00:46:02] Speaker 2: So with that being said.
[00:46:03] Speaker 3: They got a job to do.
[00:46:05] Speaker 2: How I'll end this is that if you really listen to the clip, we actually advocating for entrepreneurs. That's why it's really hard to help black people, if you really want to be honest. Because the whole clip is like, if we having a hard time with city governments and with Fortune 500 companies, and we are who we are, and we own The Breakfast Club, y'all don't stand a chance. That's the whole point. That's what you should have got out of it. You want to turn into a, or New York versus Atlanta, or he's dissing Atlanta. That's the, that's honestly the dumbest that I've ever heard in my life. Like, you talk about it. What have we done for Atlanta? What else can we do? We have 37 food trucks that come every single year from Atlanta that make their month. We got 215 vendors that come commission-free that sell their products and their services. We done donated to Howard, to Morehouse University, to Spelman University. We give, we're giving 20,000, courtesy of Ian, $20,000 away to a high school student from Atlanta, Georgia, for the pitch competition.
[00:47:05] Speaker 1: And for every child who's in attendance on Thursday, I'll be giving $250 away in partnership with Square to fund a kid's account so they can invest. This was done before this blow-up too, by the way.
[00:47:16] Speaker 2: We done did, we done did the turkey drive-away, shout out to EYO University. You know what? It's really, it's, and I see people like, yo, these guys should be put in jail. Screw them. They should never be allowed back in Atlanta. Okay. It's disheartening when you hear-
[00:47:35] Speaker 1: It's heartbreaking, yeah.
[00:47:37] Speaker 2: What have we done? What have we done but help? Oh, you guys are platforming grifters. We had three people out of 5,000. Bernie Madoff was the president of NASDAQ. Are you, like, that's what I'm saying. Like, I hate y'all so much. I hate y'all from the bottom of my heart. I really hate y'all so, so much.
[00:47:56] Speaker 1: Not the public. He's not talking about the public. No,
[00:48:00] Speaker 2: Market Mondays is family. I love you guys. But I'm just saying, like, yo, we done did everything that we possibly can to bring people out the dark ages and introduce you to billionaires and taught you how to trade options and taught you about real estate and taught you about a 203k loan. And y'all want to look at the, the, any little blemish to try to misrepresent, misrepresent a person and destroy their character on a public stage. and it's, it's actually embarrassing and it's disgusting. But, when we go low, they go high. And to the last thing, my last thing. Do the more. To the people that says, well, InvestFest is the biggest party. Once again, I hate you guys so much too because there's never been an event like InvestFest. You can make all the lists that you want that's out of context. You've got sports events on there that nobody even heard of. We never even heard of these events. You're a bozo for making that list, by the way. But, no, we're the ones that brought the millionaires. We're the ones that have a pitch competition for 125,000. It could be 250,000. We're the ones that got the food trucks and the vendors. We're the ones that got the presentations from Ian Dunlap and 19 Keys. And we're the ones that brought you John Morgan. Y'all didn't even heard of John. You didn't even know who he actually looked like. You just heard his name before. Mike Novogratz. And, bro, we brought Square and they're giving away $100,000 of Bitcoin for free inside the vendor marketplace to use with vendors.
[00:49:36] Speaker 3: Shout out to our Square brother.
[00:49:37] Speaker 2: Invest with Invesco. QQQ. Invesco will be at InvestFest hiring people when nobody's getting hired right now. They got a lot of nerve, man. They got a lot of nerve and a lot of audacity. But, Friday is all day education at InvestFest. all day education, seminars, workshop, black shop, black rock, real estate, stocks, all of that. Saturday is all day. We got Steve Harvey. We got, look, just Google it, man. Sunday, we got Ian Dunlap. We got Mike Novogratz. We got Serena Williams. We got, we got John Morgan. We got Tashauna Duckett, the only black woman who's a CEO of a Fortune 100 company. And the last thing that I'm saying, if you want to know what we're going to do for Atlanta or for any place, shout out to our partners at Block.
[00:50:30] Speaker 3: Yes.
[00:50:30] Speaker 2: When somebody comes with hate, you just leave with love. Yeah. Block is sponsoring 200 free tickets to InvestFest. So, for the crowd that says, oh, it's a money grab, what have you done? Now we're just going to give it, now we're just going to give it away. 200 people first come, first serve into CodeBlock at checkout. The price is zero dollars. Make sure that you can come. Please don't take it from somebody that can actually come. It would be helpful if you lived in Atlanta or the greater Atlanta region because then we know that you can actually come. If you don't have plans on coming, just don't get the ticket. But, the last thing I'll say is, man, it's been seven years. We're giving away free tickets to InvestFest. 200 free tickets. Thank you to our partners at Block and it's perfect timing. You can go to InvestFest.com and you can enter code Block if you want to change your life. You got the singles room. Brother met his wife last year. What more can you do? VIP night, please wear a black tie. It is a black tie affair. That is a tuxedo with shoes and a black tie.
[00:51:34] Speaker 3: With shoes. With shoes. Oh, is that your last thing? Code Block. Shout out you have four last things. Yo, man, seriously, shout out to Block, though. That's an amazing opportunity for a bunch of people who just want to come to InvestFest. And if you're watching this right now on YouTube Live, you can scan that QR code. Use the code Block at checkout, man. Again, shout out to them. Obviously, they're part of our competition for our youth, but they also, and I don't want to misrepresent this, but they are actually not only giving away money in the vendor marketplace, but they are helping sponsor account for our young adults who will be attending the Teen InvestFest. So we got over 400 students. 315 are coming from the Atlanta metro area. And so every kid is getting an account, which is important, right? When we talk about financial education, you actually are practicing it in real time. And so who knows what that does for those young teens outside of them being able to meet teens from other areas of the world because we are bringing down over 150 teens from New York. Shout out to Councilman Riley. Shout out to G for facilitating all the events that are surrounding the Kids InvestFest, our local community. We're bringing down 60 people. Everybody is starting with an account, man, which is incredible. I wish I would have had it at 16, 17, but these kids will have it. So that's what we're about, man. Shout out to Block for helping us out with that. And Ian, shout out to you. I know you said you're going to match that, so we appreciate you, my brother.
[00:53:04] Speaker 1: Yeah, $250 for every kid who comes so they can get their investing journey pushed. And then I'm going to find a way as well to be able to guide them through investing as well. them and their parents so they'll be okay. For those of you who may say Rashad was a bit emotional in Durant, the other part of the entrepreneurs never get to say it's a heartbreak that you face by trying to help your own people. Number two, for all my entrepreneurs listening tonight, the real sector rotation that matters is this. Understand how long you should stay in one market for a certain period of time. You have to research viability of a market and how long the total addressable market is there if you go to it in the LLM. You can research. Like for all my wrestling fans, it seems like Hulk Hogan and Steve Austin was on top forever. Steve Austin had a four-year run. Most media companies have a four- to six-year run until a move or decision has to be made. so 45-minute show, bulk record.
[00:54:12] Speaker 3: Mike, let's go to the next joint, Ian.
[00:54:15] Speaker 1: No, we have 54 minutes. Come on. No, I'm joking.
[00:54:18] Speaker 3: I want to get this kind of piece because I know we got a special visitor coming on with us or guests with us. But let's do this S&P pullback outlook because we are hearing a lot of noise. It keeps trading between 7,400 to 7,500. I've seen a lot of analysts, which is interesting. They haven't lowered the outlook for the year guidance. It's still sitting at 8,200 to 8,300. What's your thoughts on the S&P pullback outlook?
[00:54:49] Speaker 1: I think people are too worried about an 8-day pullback on the meta had their longest consecutive day drawdown of 8 days in a row. But if you're focused on the long term, you don't care about 8 days. Now, I'm not saying this as a person that is dismissive of a pattern as an elite technician. If you go back to June 9th, we got to 72,50 and some change. Could we breach those levels? Potentially, but I think July to August is usually a rough month. If we had this spat in October or November, I may have a different concern. Once again, it is a midterm year. There's a politician who may have passed that they have not announced yet. We haven't a route in China. AI spend is incredibly high. Truth be told, for the market that we're in, if it was not for the AI CapEx spend, we would be in recession, which they won't say. So, it's not as bad as it could be. Yeah. I do see a world we can fall to 73, 56 down to 73, 30. Great bond opportunity, but my biggest concern about us doing the show every week and me putting three hours a day into prepping and writing the show is you're not hearing the message of long-term, and I truly believe most people don't want to be financially free. they just want to be able to spend money recklessly and fuck it off on demand. I'm not here for you, respectfully. Yeah. So, for those of you who are looking to invest long-term, could it go to those levels? Yes, but do I think by September and October we'll be up? Absolutely. Hold for the long-term. You can't have generational wealth if you want to hold for generational wealth. You brought up
[00:56:36] Speaker 3: a great stat that Metta's had its longest lures and streak of eight days here. It's interesting because I remember earlier, or maybe it was late last year, where it had its longest streak of wins, which was like 23 days in a row.
[00:56:47] Speaker 1: Yes.
[00:56:48] Speaker 3: And everybody, so in order to be part of the investment for that, you got to, this comes with it as well. And July, historically, historically, even in midterm years has been, I think, the number four best month to invest in. That hasn't happened this year. And so, yeah, things are changing. CapEx is a real story. AI is a real story. I think the geopolitical climate has played a major part and it's just not U.S., Iran, right? Israel, obviously, as well, with Netanyahu being in America today. But we just saw Ukraine, allegedly, again, allegedly, Saudi Arabia said they struck a ship. So there's just so much geopolitical tension, crude, and this is interesting, right? When we talk about crude, right? The U.S. and the president was, you know, every night, 11 nights, they were bombing, they were bombing, they were bombing. Saturday, they stopped. Sunday, they stopped. The timing of it makes it very interesting. Why? Well, this is a big week, right? Like, if I, if the oil prices stay at 100 or stay elevated, what does that say for inflation when you have the Fed chair that's about to speak on Wednesday, right? If we have prices going up to 105, does he raise rates, right? Does that meeting now change when we raise rates and we're going to talk about a different story next Monday if he says that. They cut, they pause to have peace talks. I ran and said there is no peace talks. I don't know what you're talking about. Allegedly, there's peace talks and the bombing has stopped for two days. Here comes the Fed chair on Wednesday. It looks like oil prices got back down to 83. And so, now, the inflation talk kind of eases, which is, when you talk about, I don't want to say manipulation, but the strategic timing. How's that? Strategic timing is very interesting in all this. Very interesting.
[00:58:31] Speaker 2: Let me, let me make an announcement too I forgot to mention. It's for general emission tickets. Okay. So, if you try to use it for VIP, it won't work. It won't work, yeah. block is for general. We're generous, but not that generous. General emission tickets only, please. And I will say this because I did say that I hate y'all so much as far as those, those that community. That feels so unlike you, I'm going to be honest. But this, this community. It's heartbreaking. No, this community, Market Mondays community, I love you so much. I love you so much. There we go. I love you guys so, so much. But it's the other people that I hate so much. You hate? No, I hate them so much.
[00:59:11] Speaker 4: That's nice. I shouldn't hate.
[00:59:12] Speaker 2: You got to hate. No, no, no, no, no, no,
[00:59:16] Speaker ?: no,
[00:59:16] Speaker 2: no. You got to hate when somebody tries to sink a ship of people that are only here to help.
[00:59:23] Speaker 3: I feel you.
[00:59:24] Speaker 2: That's what I told you before. They're actually Judas. We had this conversation. Oh, okay. Because we had
[00:59:32] Speaker 3: this conversation. They actually are Judas. And my response to him was like, I never let negativity into my inner matrix. And so I see it. I don't pay attention to it because I know the focus is the people that are watching here. I know the people in EYLU, the Red Panda family, the InvestFast community because we already see the amount of people that are going to be in attendance. So my focus is like, how do we make that experience even better for those people? How do we make what they're about to see, what they're about to witness, what they're about to feel even that more of an elevated experience? So my focus is always on that. I know, but that's what makes yin and yang, right? A lot of people will say like, yo, Rashad said it. I'm like, yo, if he said it, then we said it. I can't run from him saying something. Like, if he said it, then we said it. But that's how a yin and yang, I guess, works. Like, he gets to be that so I could be this.
[01:00:20] Speaker 1: Unfortunately, it is a trauma response. That's something that we definitely share. You got to use the hate to fuel you because I got some of the hate last year. And you can argue last year was my best performance on stage. So sometimes, because the energy never dies or dissipates, right, for all my chemistry, biology people, you have to use that in order to make it better, make people more money. And that's, if I'm going to be very honest, part of the reason why I started doing the Red Panda Millionaire campaign. so don't hate anyone, my brother. I know, it's heartbreaking. Trust me, I get it. But the other thing is to level up. Oh, after this, I'm letting you know, I'm going on a personal war tour. If it ain't Red Panda at this show, nope. Nope. I done gave all my information, my IP. Nope. Sorry. Got to learn when to pull back. Got to learn when to pull back. And if you think it's tough now, ooh, wait till next year, 42% chance of recession.
[01:01:21] Speaker 2: Well, let's talk about the chip.
[01:01:22] Speaker 3: Let's talk about the chip market. Shout out to Norway in the check-in.
[01:01:25] Speaker 2: Because, yeah, the China chip market surge, we've been talking about chips for a long time and we've seen a pullback.
[01:01:31] Speaker ?: So,
[01:01:32] Speaker 2: A, what's the deal with the China chip market surge? And is this something to really be concerned about if your portfolio has SMH heavy or you're in the chip sector heavy? Is it time to start being concerned?
[01:01:44] Speaker 3: It's time. I mean, you always, I wouldn't say concerned, but you should definitely be aware of what's happening. I think a few things happened over the past couple days and you might have missed them. So, we'll go over them strategically. SK Hynix signed a $500 billion deal with NVIDIA. Why is that important? SK Hynix is the leader in high bandwidth memory. They control 60% of that market. NVIDIA, obviously the leader when it comes to GPUs and obviously one of the top customers. What does that do from a strategic standpoint? It makes them say, hey, we're not just a customer anymore. We're going to have to partner on infrastructure going forward. What does that do for the bottom line for NVIDIA? It brings down that cost and it now has a strategic partner that they can build out into the future. I think it's a brilliant idea. Second piece, and this is important, Micron, not Micron, Samsung signed a deal, a $200 billion deal with Broadcom. And why is that important? Well, again, number two in the high bend with the memory sector is Samsung. But part of this deal is not just the memory piece. They've signed it for packaging and manufacturing. So we talked about TSM earlier with packaging and manufacturing. That is what they do. They're the world leader. It's not even a close second. The fact that Samsung is saying, hey, we want to do our own, number one, loosens the reliance on TSM, but allows Broadcom to have a strategic partner because they are making the custom ASIC silicone for Google when we're talking about TPUs, right? Companies are now saying, hey, NVIDIA, the GPU is great. We can't afford it. We want to do this internally and have our AI stack right here within our company. Broadcom sits right in that market. So if you're trying to do custom, they can help with the custom pieces. That's a strategic partnership. I love it. What does it say for Micron? Micron has to have a very, very calculated next move and I'll be interested to see what that partnership is. Does it mean the end for them? Absolutely not. They are still one of NVIDIA's biggest customers because the bandwidth memory demand is very high. So I think overall, has the demand changed? No. Has the story changed? No. There are strategic moves that are happening inside of the book though. Now this is why I got a little bit of intellectual smoke for Apple because they did something. There's a report allegedly. It was in the journal yesterday. It was saying that there's a fight between Micron and Apple and the reason was Apple was saying, hey, we have to raise our prices on our next age of devices because the memory shortage and the fact that they've scaled pricing is going to affect our bottom line. And I said, okay, that's interesting, right? The company that used to dictate to people, hey, whoever has the lowest price, that's who we're going with. And so you were the bully for 10 years. You chose, I'm going to use SK Hine, so I'm going to use Samsung or I'm going to use Micron and whoever gives me the best deal I'm going with. The tables have now flipped. Now they create the price and now they're saying, hey, well, how come you're charging that much? In fact, you're charging so much now we have to charge our customers more. That was the first piece. The next piece was that, again, allegedly, Tim Cook and the Apple officials have gone to the White House to say, look, we either need to figure out what they're spending this money on because their profit margins are so high, either they're keeping it or they're price gouging. This is what their claim is on Micron. Because of that, they've asked now the president's team to allow American companies to buy Chinese memory chips. Why is that important? Well, if the Americans are allowed, companies are allowed to buy a cheaper chip, right, which now becomes a quote-unquote national security issue is the reason why NVIDIA couldn't sell there, right, and now China said, we're not allowing you to sell and we're not even going to buy. That changes the dynamics. So either the White House is going to have to decide allow Apple to buy and allow other American companies to buy at the cost of an American company like Micron.
[01:05:50] Speaker 2: So, but for Micron, you had talked about before as far as some people were saying $1,600.
[01:05:56] Speaker 3: Yep.
[01:05:56] Speaker 2: Is that, how do you feel about that right now?
[01:05:58] Speaker 3: I'm still at that number. I think $1,600 is still the number by the end of the year.
[01:06:02] Speaker 2: Still feel comfortable with $1,600?
[01:06:03] Speaker 3: A hundred percent. A couple of reasons why. All those things I just said to you tells me that the demand hasn't gone anywhere, right? If the demand hasn't gone anywhere and they're sold out to 2026 and potentially sold out to 2027, that story doesn't change. Do I think an administration will allow a company like Apple to buy from a Chinese manufacturer when it comes to money?
[01:06:21] Speaker 1: It would be financial fucking treason.
[01:06:24] Speaker 3: Exactly. Now, if they don't allow it, now what happens to Micron, right? Once they say that you can't do it, well, back to the price that you're going to pay until we figure out this bottleneck situation. Now, CXMT IPO today, it ran up 450%. Why is that important? Well, the Chinese are saying we're not going to use your memory, Samsung. We're not going to use your memory, SK Hynix. Micron, we're not using yours. We'll build our own. And we just went over this. When you're talking about building at scale, that takes time. When you're talking about building with efficiency, that takes time. Right now, these chips will only be used by government officials. They're not selling these to companies. It takes money to build an infrastructure. When you talk about capitals that's being raised, think about how much money Micron is now worth. A year ago, it was a $200 billion company. This year, it touched a trillion. This company IPO today, it hit $8 billion. It was the largest land company in the country for the semiconductor space. At $8 billion, do you think they have the scale to build out infrastructure to now compete with trillion-dollar companies? Not yet. So we just got to be mindful of that.
[01:07:31] Speaker 1: The only people who are worried about the destruction of SMH and Micron are the people who are trading it and not holding it. the value of the chips. I love the clip. Before we even did Market Monday's AMD NVIDIA was talked about in 2020. You can calculate the returns from there. That's the power of long-term holding. Do I think Micron will come down some more? Yes. Do I think that the company is incredibly valuable? Yes. But the only people who are worried about it are in the trade of it and not holding the stock. This is not trading fucking Thursdays. So let's change from Market Monday's to hold the equities forever. Hold the shit.
[01:08:13] Speaker 3: Yeah, both. Forever. But again, the vision for them is not can we win July, November, December? China's vision is can we win in the next decade 20 years from now? Right? Can we build our own stack and be self-reliant? We don't need South Korea. We don't need Taiwan. We don't need America. Can we do that? And that they're looking at 20 years from now, not today.
[01:08:40] Speaker 1: But if you want to know what a market is going to fall to in advance, the months in advance, go to ininvest.com and join Stock Club. Prices are, I think I put out 120 prices and more to come. If you want to know
[01:08:50] Speaker 2: Red Panda Stock Club. Red Panda Stock Club.
[01:08:53] Speaker 1: If you want to know what to get in, get out, any contagion event that's going to, and the other thing, y'all listen to too many people. I'm not going to fix any mistakes from anybody who didn't make their millions from this. Sorry. So whoever fucked up your portfolio, this is me talking. Whoever fucked up your portfolio, don't come to me and say, well, fix this. Which are weekly rotation bullshit. Now, he's got to be diplomat. I'm Rockefeller. I don't have time for it. If you fucked up your portfolio elsewhere, then go to the person who fucked them up and tell them to fix it. I've been telling you no stock or no sector goes up 1,900% in perpetuity. Y'all, y'all. Are you gambling? And even with the person who says somebody stole your money, y'all thought it was, because I made it look easy, y'all thought it was a bunch of me's. It's not. It's not. I'll bulk record my shit. I was free when y'all met me. I'm the only one who say it. I'm still staying on it. You go back to the early episodes, what I loved, then I love now. You have to hold for long periods of time. But some of y'all don't want to hear it. And if you don't want to hear it, that's fine. One day, I'm going to carve a shot. Buy it off. Let's wrap the shit up, y'all.
[01:10:08] Speaker 4: Wrap it up.
[01:10:10] Speaker 1: Sometimes, like, okay, even David Starr and MJ had a tumultuous little relationship, right? They made Mike sit down. Okay. But then when Mike came back, he said, well, you saw my values when we left. Allegedly. The Pippin Bulls, shot the pip. Love you. I know you dang with Satoshi. It's different when Jordan in the league and different when he leading the team versus Scotty is doing it. I am begging you. Also, to the other part on the hater part, in light of DEI going away, there are a lot of African-American people who are paid agents of the state to tear down certain movements. I proved that before.
[01:10:47] Speaker 4: Oh, yeah.
[01:10:47] Speaker 1: The state, the state and the city. It's wilder than ever. I didn't say that. I said the state. Anyway, the state. So, we'll do what y'all want. After InvestFest, I'm going to be gone. So.
[01:11:01] Speaker 3: Oh, man.
[01:11:02] Speaker 1: Red Panda sale. No. Get your tickets to InvestFest. No. No.
[01:11:10] Speaker 3: Don't. Mom, I'm going to be okay. I'm going to be okay, Mom. I see where this is going. Mom, Dad, I'll be okay. Oil market.
[01:11:19] Speaker 2: Oil markets.
[01:11:21] Speaker 1: Everyone's talking about oil going to, back to 100 a barrel. The number I said at the top of the year, clip my team, clip this up for you to get clipped. 93.50. Allegedly. They know allegedly I'm going to clip you if you don't clip this up. I said earlier this year, 93.50 was the key economic indicator. If I pay a premium, you got to deliver at a premium, right? 93.50 is the key level. We're at 81.67. So while he's manipulating the market and choosing when to have a ceasefire and when we're going to engage in war, he's keeping that number under 93.50. There is no oil issue to worry about. We do have a tariff issue to worry about. The cost of that war, we talked about it on Blackout, being 100 billion. If it wasn't for CapEx spend, we would be in a soft recession or stagflation, which is another word for the economy is really fucked up right now. So. Yeah. There's two parts of that. Yeah.
[01:12:19] Speaker 3: No, I got to finish that. I was saying, you go. No, you go.
[01:12:24] Speaker 1: No, you go.
[01:12:25] Speaker 3: I was saying there's two sides to that coin, right? Because of the CapEx spend, it is being, there's like a broadening out of the market. Like you'll hear that term a lot, especially among analysts and pundits. And you can kind of see it, right? Because even with the pullbacks that we've seen in like these subsectors, obviously semiconductors being one of them, the S&P is still what a few percentage from being at an all-time high, right? So it's not like the Mac seven used to carry the S&P, right? It's 40% equally weighted of the S&P. The fact that pretty much, I mean, they're about trading even Tesla, Microsoft are obviously down. The fact Apple is up 25%, which is, which has been pretty good. They've been kind of trading solid way throughout the year and the S&P is still hit all-time highs through it all. So there is a broadening story. I think that CapEx spend, if it wasn't being spent on AI, then this would just be revenue. Then we'd have a different story. You think recession, even with it, let's take the AI spend out. You're talking about companies like Amazon, which will probably report another $100 billion quarter. Apple's doing $100 billion quarters. You're seeing cloud being increased. that has some of its attributes inside of AI, but it would be an interesting time if the CapEx spend, and I'll be, what will be the penalty when they say, we're not going to spend that much? We're not spending, we're going to start cut spending. Do we see the broadening story get crumbled and now it's back into max sevens? Like, what do you think the idea is around that?
[01:13:56] Speaker 1: They're going to have to reinvest, and I get your point, but that's because of the way the S&P is structured. Like, when I say the market is rigged to stay up, I mean in terms of direction and the way that they do the weighting of the S&P. So even though the max seven and the AI components may be dragging down, it's calibrated to make sure that the entire ecosystem doesn't collapse post-1929, post-2008. That's why it's not dragging down as far, but it's a tailer to economies. Also, at the same time, the debt that we're spending is exceeding the gross that we're netting in the country. That's scary. Like, even the percentage of cap spend, and I love AI, Alan Bubba Chuck and OpenAI, even though you have to run to NVIDIA for $250 to get the data center. If I have a machine that can replicate God and tell you everything on earth, why do I need to go get financing from NVIDIA? Flaw number one. And you're rushing to go public and Anthropics eating your lunch, but all y'all are rushing to go public, like how SpaceX did, if the company is so valuable, the real companies are keeping their shit private, if it's of any value. Secondly, there's a lot of mismanaging, there's a lot of espionage, and I keep bringing this point up for a reason, and to your shirt, allegedly, there's a lot of Olivia Pope shit going on right now, internationally, that no one can speak on out of fear. a lot of our tech secrets, even in the case that got settled for all the IP that has ever been uploaded by humans in history have been put into the LLMs, and the authors and creators of it have not been paid. So I think it's a tale of two economies. I think that, yes, the stock market can be at an all-time high while the economy is not doing incredibly well.
[01:15:48] Speaker 3: Damn. Sam Altman said that we have reached the moment of singularity, meaning that AI is efficiently smarter than any human being living.
[01:16:00] Speaker 1: Well, make us smart enough so you don't have to go get funding elsewhere.
[01:16:04] Speaker 3: Well, you know, he's in D.C. this week.
[01:16:08] Speaker 1: He's campaigning to get more funds.
[01:16:10] Speaker 3: I think, I think bigger, and I said this a few weeks ago, it's bigger than funding. I think he's going to give percentage away to the United States government. So that will be guaranteed revenue and guaranteed funding. If you're doing that. We'll see. We'll see.
[01:16:26] Speaker 2: Yeah. Let's do lightning round if we can before we bring the young man up. So let's do big tech, AI spending.
[01:16:33] Speaker 3: All right. I thought about this and this is important. When we were talking about building homes and it dawned upon me that this is what this feels like.
[01:16:40] Speaker 2: Do you have a pool?
[01:16:43] Speaker 3: Why are you doing that?
[01:16:47] Speaker 4: It was kind of, you know, what's wrong with this guy? Shout out to Bleak. This guy's crazy.
[01:16:56] Speaker 3: When you're building a home and the process is tedious, but the most important lesson that I learned and you can attest to this as well is that the amount of CapEx that you spend on building your home is tough to estimate for and so you keep spending and you keep spending with the end product being in mind but it hasn't come to reality until it does and so you're spending, you're spending, you're spending and I'm thinking to myself this sounds like the AI story, right? If we thought about this and I talked about this Thursday night, these companies, this CapEx spend is like a construction site and Meta is saying, look, we're going to have to spend more. Microsoft says we're going to have to spend more. Google said, we're going to spend 140. Now we moved it up to 205 billion. They're building, they're putting out the money, they're putting out the money with the end result that hasn't come to fruition. Investors are saying, look, we need to see the end result. They're looking at it like, we can see it, it's going to take us more money to get to that point to build it and then the value can be extracted from what we put together. And so if you think of it in terms of construction, I feel like, well, that part, we can get to that part. But that's what this AI spend looks like and I don't know when it slows down. I think this week won't be anything different from what we saw. Microsoft's going to say, hey, CapEx spend is going up. Amazon's going to say it. Meta's going to say it and Apple's going to say, look, we're still at 2.5 billion. That's our CapEx because them in terms of hyperscalers and AI spending is a very different scenario. When you think about where Apple sits, they're the toll booth. Why is that? Well, if you have open AI, if you have chat, GBT, Anthropic, if you have perplexity, where are you using that on? You're probably using it on one of their devices. And so they're like, okay, why would we invest in it? I know they're coming to us to use it on their device, which is why open AI said we have to build our own hardware in order for them to really take off and have some real revenue gains. They have to have their own device because if not, you're going to be living on Apple the same way that all of us do when we go to the app store and they're going to get a piece of that and then they're going to get a piece of the subscription that y'all pay as well. And so if it's a million people a month or it's a billion, which is what OpenAI got up to, look, that's revenue that's coming in, man.
[01:19:23] Speaker 1: So it's an interesting story. If it's worth anything, the banks, JP Morgan, would have bought or built it going back to government. Certain governments internationally would have bought into it, built it, and they will come as a bad business strategy. You still can't find one person yet who can tell. And I keep bringing up this OpenAI running to go public point because I saw the comment. They're rushing because they need to raise the capital because they are net negative as a result and they don't want to miss their window because if a crash comes then they won't be able to go public or the valuation is going to be cut in half kind of like what happened to Stripe in 2022. You don't want to miss that window. But you would have seen a bunch of banks buy it. The companies that have the cash on hand they would have put all the money into it if the return was there. It's not at this point. I'm going to ask the question again. Can anybody in chat run their business off of one LLM and you just go to the beach and catch vibes all day? That's what we were promised. We're not there. From who? From any LLM.
[01:20:35] Speaker 3: Claude Code is pretty and that's the part. So Claude Code and this is what they're accusing China of. They took Claude Code they took Fable 5 and they said all right build us a system. They built the system and now you're seeing the ramifications of it. Now you get a Kimmy 3. They're taking Claude Code and building businesses from it. So the US is like wait hey you can't just take our technology build something from it a spawn of it and say like that's your new company but that's kind of what's the purpose of it. I saw something interesting today. Well that's all alleged. But I saw something today that was interested and they said there's no regulation on that component of AI yet but eventually they're going to treat it like pharmaceuticals where you can't just take take this drug and hey we're going to put your mark on it and we're going to sell there's going to be regulations that can come after you in lawsuits. That hasn't happened yet. I think that's where the future of this is headed because I mean when you think about it Claude Code can do a lot of stuff bro.
[01:21:40] Speaker 2: Tech let's let's we got to bring our guest up big big tech AI we just did that Tesla Tesla
[01:21:48] Speaker 1: it was a good question I think that's fascinating a person asked me over the weekend if I'm investing in Tesla do I need SpaceX or vice versa respectfully with all the love of my heart as I finish preparing for my presentation in Atlanta don't ask me about SpaceX until March of next year it's millions of shares that are about to be offloaded it is not time I told you what my son said the price is going to fall to we almost said that price wait until you have institutional buy-in for a company that is worth trillions but only does 18 billion in revenue no and please stop regurgitating my talking points and yo they're going to merge I was said that three years ago I know no SpaceX it's in March
[01:22:38] Speaker 3: they lost 1.2 trillion in value since IPO Tesla Tesla is worth 1.2 trillion they lost a Tesla Tesla they lost Tesla like an entire company's market cap is what SpaceX lost
[01:22:55] Speaker 1: which is sometimes in InvestFest 1 I said you got to look at the character of the founder can I go through some things Elon promised in their income 20 million in annual car sales coast to coast autonomous driving energy business would be as big as automotive legacy auto will go out of business Tesla Tesla semi will take over freight robo taxis by next year that's four years he missed that $25,000 model by 2023 FSD robo taxi I'm tired yo let's call a spade a spade most of the things that he's promised that he hasn't delivered on Starlink is the real gem of that now the fact that he became a trillionaire by not delivering on provinces and getting all those government contracts is an amazing feat in the business case study to believe in yes Tesla still a component in stock club but if you are expecting SpaceX to deliver 5x return in the next year you are smoking moon rocks yo
[01:23:54] Speaker 3: bro I watched somebody say it's going to be a 20 trillion dollar company in 10 years 20 trillion the largest company in human history that sounds good no it sounds ridiculous but I mean
[01:24:06] Speaker 1: do I believe listen in the perspectives they had that he's going to put data centers and make a lunar economy bigger than earth if I said that I would have got clipped up come on
[01:24:19] Speaker 3: would people 10 years ago believe that there would be 13 trillion dollar companies probably not so I mean but I'm with you there's a there's a great Yahoo finance article about the Cybertruck being the biggest flop in the industrial car ecosystem of all time
[01:24:44] Speaker 2: Amazon's satellite phone network
[01:24:47] Speaker 3: I just thought it was interesting this is part of it man this is the repercussion of what Elon has done in terms of the quote unquote terrestrial they call it not lunar economy terrestrial economy
[01:25:00] Speaker 1: I think this is a fascinating adventure I would just say keep my eyes on it I'm still doing more research on it Starlink is definitely going to be the leader in that connectivity satellite lower firmament space but I do think it's fascinating for Amazon to start to venture out here so just keep your eyes on it I'm not the happiest with how the stock has performed but I do like when CEOs try to invest in other areas that others are not looking at like kind of like the blue ocean strategy I love in the midst of AI they've done their AI and capex spin but they're looking to another revenue source for the future
[01:25:40] Speaker 3: I mean I think there's a hardware component that has to come along with this news because the filing is for them to have these satellites in orbit by 2028 and they're supposed to provide direct phone to phone voice calls text messaging mobile data emergency services and coverages in areas without cell towers so there must be some hardware that's coming along with this Amazon we're going into space with satellites
[01:26:05] Speaker 1: South Korea stock market fell 8% as well because of the chip rally so how you feel Rashad
[01:26:14] Speaker 2: I feel good I feel good man 6,000 people want to check in
[01:26:19] Speaker 1: love y'all
[01:26:19] Speaker 2: God is good God is good God is great let's bring our guest up shall we there you go is he there hello
[01:26:40] Speaker 4: can't see me
[01:26:43] Speaker 5: camera's not on let me see let's see now sorry guys
[01:26:52] Speaker 3: this is odd Mike you want to bring him down to his camera comes up
[01:27:00] Speaker 2: bring him down we'll do the tech while he's figuring it out
[01:27:03] Speaker 1: yeah yeah I was having tech issues earlier well T-Mobile had an outage earlier today as well so that affected a few million people so
[01:27:12] Speaker 2: yo it was crazy y'all I was I was here my phone how's it going
[01:27:19] Speaker 6: how's it going my brother
[01:27:22] Speaker 2: now we back Xavier Clemente how you doing man
[01:27:26] Speaker 6: I'm doing good how y'all doing Rashad, Troy, Ian thank y'all for having me 6,000 people in the chat this is crazy
[01:27:32] Speaker 3: W's in the chat that's what they say right W's in the chat
[01:27:36] Speaker 6: W's in the chat yeah
[01:27:38] Speaker 2: so you know we you spoke at a school that we was at in the Bronx a few months ago and it was it was such an impressive story from an entrepreneurial standpoint and and just going to InvestFest and how that's actually altered the trajectory of your life that we was like man it's just A we want to you know highlight young entrepreneurs some people that are doing well in the community our form of give back but I also just want you to just kind of tell your story if you can as far as how you got to Market Mondays
[01:28:13] Speaker 6: yeah so this is completely crazy because I envisioned this literally the first time I went to InvestFest because I was watching you guys before even going to InvestFest but first year at InvestFest I want to thank Kevin Reilly for you know sponsoring our Atlanta trip council member from the Bronx he invited us and about like I think it was 70 other students completely free five-star hotel and I was able to actually go I was invited and that first year I had nothing to show for I had no business I was 17 years old fresh out of high school class of 2024 and I just wanted to go and just be around the environment of entrepreneurs high-level individuals and actually learn so being there I was just shaking hands with everybody like I was you know I was telling you guys earlier I was trying to schedule calls with people I was trying to get on Zoom calls schedule this try to see how could I learn from somebody or get a mentor etc and that alone just led me to create connections and actually interact with certain people but at InvestFest like I said I wanted to give a thanks to Sherman Brown because he has a larger network as well and being there I actually met somebody who was involved in a business I was interested in which I now run Jexotic Rentals and ever since then we just stood well connected his name is PJ he's a mentor of mine and ever since then it's just been on since there came into InvestFest the next year this is InvestFest 2025 and I was actually able to pitch my business to you guys you know I was able to pitch to Troy MG and I was actually a winner of the youth scholarship pitching Jexotic Rentals showing my vision with it what is it I actually want to do what's my plan how I actually want to scale and ever since then I've just been well connected with the people around me like I said I want to give thanks to Kevin Reilly thanks to Sherman Brown and as well as my high school principal Ms. Bray from Bronxville Preparatory Academy for bringing on Sherman Brown to lead me to meet Kevin Reilly so it was just all a bunch of steps and just time time in the way and now we're here going into InvestFest 2026 and I'm on Market Mondays with you guys somehow you know so it kind of mind boggles me like I don't even understand it you know
[01:30:35] Speaker 2: so just to just to so just to put it in perspective before Troy goes so you how are you 19
[01:30:41] Speaker 5: yeah I'm 19
[01:30:43] Speaker 2: so you're 19 years old you're coming out the Bronx you come to InvestFest you meet a mentor essentially you start an exotic car rental business and then you get how much money did you get $5,000
[01:30:57] Speaker 6: it was $1,000
[01:30:58] Speaker 2: $1,000 okay yeah good enough but you got the $1,000 and then you you parlayed that but now you actually have a successful exotic car rental business yeah and we actually used you because somebody I'm sure Troy will tell the story but somebody needed a car so straight out you pretty much straight out of high school and you're up and running and you're you're like a a real entrepreneur that's out here moving
[01:31:28] Speaker 6: thank you so much I appreciate it so yeah it's like we're actually serving real clientele we're actually providing these vehicles chauffeur services daily rentals weekly rentals on exotic cars Lamborghinis Ferraris Rolls Royces any vehicle you can name we have access to and we can put you in whether it's a daily rental or a chauffeur you know you got a date night you want vacation airport drop off you want to live that luxury lifestyle sometimes people just want it for the moment you know so we're here to provide that service and it happened like this man
[01:32:05] Speaker 3: it's an incredible story and again this isn't just like some theoretical like story we're telling this year we have some kids that were in our neighborhood going to the prom they called us day of no joke day of hey guys can y'all help I need a car Ab was like I know the person to call we called Xavier he gets a car this is probably how many hours maybe three hours four hours yeah
[01:32:30] Speaker 6: probably five hours max four hours yeah five hours
[01:32:34] Speaker 3: you get the job done this is the idea of networking across prom season is a big season for you you just came out of prom season first question is most people thinking like wait this is an 18 year old kid 19 year old kid how was he able to get these cars so talk about the process of having your mentor explaining to you the game and how this was on your vision board this wasn't something that came out of nowhere you were on your vision board and saying I'm gonna get there when I'm 30 you didn't know you'd be here at 17
[01:33:02] Speaker 6: not at all so yeah like I said when I actually met my mentor once again his name's PJ at InvestFest me and I'm connected and I was telling him yo look at my notes I literally have in my notes from about maybe 2023 or 2022 saying I will own an exotic rental business or it was under it was labeled as future businesses and under it was exotic rentals and this is something I thought I would have to scale into like later on in the future and he was just like wow there's no way etc and then as me and him continued talking I was like wait I think I know your business and me and him actually had a convo because what's crazy is this is such a full circle moment I tried to book with him for my prom so I actually tried to get a rental vehicle for my prom I was trying to get a Lamborghini Huracan but I was 17 years old so you know I didn't meet the requirements I had no full coverage insurance no 21 plus license and then you know he didn't let it happen you know I was a little tight but I had to go in my mom's car but that was cool feel me but so yeah me to I mean the mentor like I said he was actually able to show me the game and tell me you don't even really need to own these vehicles there's people out here that have Lamborghini Huracan that they don't even drive them and they're just paying that monthly car note and it's just sitting there it's a depreciating asset but a lot of people do say vehicles are depreciating assets but when it comes into the rental game we can actually make them appreciating assets as in dealing with the expenses and then everything profit from there so just to sum it up investors having a broad network and you can also own the vehicles yourself as well but there's a lot of like you know using investors etc where it's like there's no risk on the table source the client you manage the vehicle you're able to get the job done
[01:34:58] Speaker 1: quick question for you for the parents who may be watching with the kids tonight can you talk to us about the power of youth mapping out a vision plan and telling parents not to limit the beliefs on their children because you started incredibly young and most people think you have to wait till you're 30 but talk to the importance about getting started early as an entrepreneur and what advantages the youth have over people that are older
[01:35:24] Speaker 6: yes most definitely so I always said I always felt like I was behind even now I'd be like I wish I started when I was 13 14 instead of playing Fortnite like I wish I was it's a crypto I could have been one of these crypto kids you know but I mean it's all guys time you know but yeah you really have to do emphasize youth financial literacy in general because simply just planting the seed in a young individual could just blossom the whole entire generation so like my whole mojo and I get this from Sherman Brown is I want to break generational curses and create generational wealth you know because I'm from the Bronx I was born and raised in the projects but the ambition and the vision that I have for myself being that people that had more or people that learned more or was experienced poured into me at a young age I've not opened my mind to something completely different from let's say the average 19 year old whereas I can envision my life being completely different from let's say the average the average Joe like you know let's say a nine to five or corporate you know I actually see life from a different different perspective now that I zoomed out when people were able to pour into me from a young individual I mean from a young age and that just goes to show how much literally just a conversation a conversation where a person could completely change their life and that's pretty much all it took for me going to these events being partnered with aim high and just shaking hands meeting all these high level individuals show you there's so much more to life if you just put your head down and work for something greater than what is normal to everybody
[01:36:58] Speaker 1: can I follow up real quick how I asked earlier what's the best way to network at InvestFest but walk us through your blueprint for how you networked at InvestFest and what was your follow up process after you guys take notes on this
[01:37:14] Speaker 6: yeah so the first year like I said I had nothing to show for I was a high school student fresh out of high school actually 17 years old no business nothing really much going on for myself besides I was on 2k the last weekend before InvestFest weekend you know and that being said I went to InvestFest with the idea of I need to meet as many people as possible just so I can actually maybe just from a conversation I could send myself into a business or gain an idea so with that being said I was just shaking hands with literally everybody there was not a person I was walking by that didn't interest me no matter if they were wearing chains no matter if they were in a suit if they were in a sweatsuit if they were just casually I was shaking hands with everybody because you never know you'd probably be standing next to a non-figure entrepreneur that's just chilling in the lobby so I didn't neglect none of that I was just shaking hands with as many people as possible and getting the numbers getting the details showing my willingness to learn and just pretty much telling them like okay this is what you do how can I possibly help you you know rather than trying to be a leech and just learn for free or yo can you just spill knowledge onto me no it's alright let's make a transition here maybe I could possibly maybe I know something that you don't know in your endeavor and it might not be major but it could be something just significant enough for you to want to help me because you see the willingness to learn in a 17 year old so since then just stood connected through text messages and following up immediately I didn't wait to next weekend as soon as I got back to the Bronx as I was on the bus because we took a bus that was a 16 hour ride you know that was a 16 hour ride a lot of people wouldn't be willing to do that but it was a 16 hour bus ride as I'm on the bus back hey can we do a zoom call Friday 8pm like I was on it you know and I feel like that's what you gotta be because a lot of people they'll make the connection but once again I get a lot of quotes from Sherman Brown the connection is in the follow up you know if you don't follow up it's just as equal as you never talking to them in the first place so I was just keeping that going keeping that flowing the same thing with InvestFest the second time I went 2025 I actually have something to show for it yes it wasn't flowing but it was showing that okay I actually have something working in progress let me show you my ideas let me show you my ambition and how I actually want to scale this maybe we could work together and then same thing the connections and the follow up connect follow up life could change just off meeting somebody who's shaking a hand
[01:39:43] Speaker 2: I mean what you said that's what I always say I'm glad you said that because I didn't talk to him beforehand he said how can I add value to you how can I help you what do you need help with and that's what I always say like that's the right way to network like you gotta add value and this is somebody that was at that time 17 18 years old and had enough wisdom to lead with that so when I'm telling you guys this and this is a success story it worked for found a mentor he's running a successful business he's 19 years old like he said he took a bus from the Bronx 16 hours on a bus you gotta you gotta be you gotta hustle you gotta be a wolf out here to get this money man that's what I always say
[01:40:30] Speaker 5: it's not
[01:40:33] Speaker 2: just gonna come to you just because you go to investors it's not like a magical oh somebody's gonna walk up to you with a check for a million dollars like no you made half the battle of getting there the other half of the battle is getting out there getting out of your comfort zone meeting people talking to people following up like you gotta be you gotta go hard man like you gotta go hard like this is a perfect example of somebody that said I'm not coming all the way out here for no waste time
[01:41:00] Speaker 3: yep that's a fact man I'm looking at the chat man shout out to aim high you got you got some family in the chat man they putting your business up there they showing mad love in the chat before we I mean we spoke to you in the Bronx at the end of the school year we spoke to you before you came on here a little bit we talked about the seasonality of your business I know like it right now might be wedding season you know when we go back to school it might be homecoming you just came out of prom all these seasons are bringing different opportunities in terms of revenue how are you managing that side of it right because you still are very young but you already have the entrepreneurial spirit you already have the wisdom you have the mentorship how are you dealing with hey I have a profit and loss statement now how's the business side going for you
[01:41:44] Speaker 6: right most definitely so that's something I'm really trying to emphasize moving forward and as of now I'm definitely trying to keep track of that because there is some there is some losses you know there is some big wins and that's going to be with any industry you know I notice a lot even a lot of people might be just a little bit off topic but we all want we want to view from the top of the mountain but we don't want to climb so with that what I mean is we don't want to deal with the losses we don't want to deal with the errors we don't want to deal with the losing money but that just comes with it and when it comes to the finances I'm just looking to really build as much capital to the point where I'm actually to able to buy my own vehicles to where everything is profit from then for like let's say for a simple example I love the example of a Mercedes-Benz S580 very luxurious car etc goes for about let's say $65,000 you get the car the car notes about let's say a thousand dollars a month insurance five hundred dollars that car right there is costing you fifteen hundred dollars a month aside from the down payment but you could rent that car out four hundred dollars a day so four eight twelve sixteen you're above break even you're a hundred dollars in the green and that's four days up the month imagine if you rent that car out twenty twenty times on average for the month now that's twenty times four hundred you're at eight thousand dollars you know in total and once again your expense is only fifteen hundred and yes it sounds very you know beautiful and okay cherries and blossoms but you know there's downs um there's downsides where let's say potential accidents in the client or you got to deal with a curb rash or somebody tries to something extravagant or something happens with the vehicle transmission oil change this down the third but that's pretty much the blueprint i'm trying to follow so my whole idea right now is how can i save enough capital to the point where i'm able to get my own mercedes-benz s580 so that i can actually instead of being on the sidelines and working with my investors but actually
[01:43:42] Speaker 2: not really be in the game can i just ask a follow-up question here so let me just of course the business model standpoint so explain to me how did so okay i have a let's say i have a um a porsche right and my car note is 2500 a month but like you said i mean the theory is that if i could rent it out for a couple days then i don't really have a car no because it's paying me so i know okay i know that i want to do that that makes sense how do how do i connect with you like do you recruit people or is it like how do you connect with those people that's looking to rent their cars out and then the next question is you're like the middle man in this situation so you pay them and then you take a percentage of like if i pay if somebody pays 3000 then you would take like a percentage of that and
[01:44:30] Speaker 6: then give them the rest that's how that works right yeah so it could work like that so for example let's say let's say you're an investor it would work in a scenario where it's like okay i give you a percentage i'll pay you i'm managing the vehicle you're giving it to us we're going to rent it out we're going to deal with the clients we're going to deal with the the oil changes etc but that's that's negotiable like that's not mandatory there's options where okay we manage the vehicle but you deal with all the maintenance or you deal with the expenses etc depending on the profit split that we do whether it's a 70 30 or let's say a 60 40 you know all of that changes the the inside of the game whether or not okay we're going to deal with the expenses or we're going to deal with the mechanical work of the vehicle or do you even want us to manage the car in the first place do you just want us to send you clients your way but there's different like lufos through it all and to go back to your question yeah so it would work in a way where it's like okay i pay you or depending which way we agree upon because there's actually a lot of ways to you know maneuver it depending on what you're comfortable with because that's really what matters most and then how do you get the people how do you how do how do you get the car owners right so believe it or not somebody actually about two days ago reached out to me first saying hey i already have vehicles in miami that i rent out but i live in new jersey i wanted to know if possibly i wanted to grow my fleet in new york would you be able to assist me etc i really don't want to manage the car i don't want to deal with none of it um i just want to make the purchase get the car and then pass it on to you guys you guys manage it rent it out source the clients and then pay me could we come up with a profit split etc so that's one scenario we talked on the phone we'll move forward that's one scenario like i said and um another one would be referrals so investors with let's say have friends for example if rashad you came to me first and you've seen success with us having a vehicle us managing your vehicle you have troy you'll be like yo troy i have this um this guy jacks out of rentals and they rent out my vehicle for me they manage me and i'm just cash flowing every month you know it's just like recurring revenue to you and you know you're not dealing with none of the headache aside from the fact okay maybe if the car was to get in the accident now troy troy's like wow this looks beautiful i want to get a vehicle as well and then it's just a a pattern like that or if you can even cold call you can see somebody in the street and just simply be like hey do you do do you rent this vehicle out or how how often do you drive this car does this car really sit under your garage and just collect dust or do you actually put it to use and then from there just you propose them with the idea wait whoa i come out of pocket four thousand dollars a month for my lamborghini and you're telling me if i rent it out for four days i pretty much drive the car for free sounds like a pretty good deal to me yeah that's good it's good
[01:47:36] Speaker 1: i gotta follow with you about investors what do you say to the person who may be shy or they don't want to go talk to everyone in the lobby or in the venue what do you say to them and how limited that can be if they're not an extrovert or put themselves out there like you did yeah so
[01:47:55] Speaker 6: let me just keep going back to trimmer brown he says be the thermostat not the thermometer so with that being said is you set the tone you don't adjust to it you walk in the room believe it or not be the energy believe it or not i'm sitting here waiting for you guys to pull me in and i'm just like wow 6 000 people i was just texting one of my friends i'm like whoa this is this is different this is you know something i actually dreamed of i'm actually living in the dreams i once you know slept on which is kind of crazy how fast time moves and i was just in here talking to myself like this is my space this is my space i do this this is normal to me this is going to be normal this is the life i asked for and just putting that in your head it leaves an imprint where it's like it's real you don't have to be shy you don't the space is yours you're just as equal as everybody else maybe somebody learns more i mean maybe somebody knows more or they have more money or they have more access to capital or they know a person that completely uplift them and you don't it doesn't matter we're all equal to one another we're all here to help you know so just be the thermostat not thermometer you know set the tone don't adjust to it the space is yours make the most
[01:49:02] Speaker 2: out of it there you have it oh my god please please tell the people your business way to follow you how they can contact you how they can get a car from you how they can give you their cars like give the whole business give your business yeah so right now jack side of rentals you could dm us on instagram
[01:49:24] Speaker 6: there's the business card right here at jack side of rentals it's j and literally exotic rentals right there you could dm us we could source your vehicle we could get you a vehicle whether like i said a date night vacation wedding prom graduation chauffeur etc we could service you it as well as email is jack sodic rentals one gmail.com we here we have all types of vehicles what areas what areas tri-state yeah so let me mention that as well thank you for bringing that up we have we really focus on vehicles in new york but we have vehicles in miami houston la so if you're from new york you're going to miami for a weekend we could get you the car in new york and we get you the car in miami so we could get you dropped off and let's say a lambo to the airport right now take you to jfk and it gets you picked up from miami and another lambo you get what i'm trying to say so it works for a circle we could
[01:50:21] Speaker 3: make we could make this happen however my boy xavier love his lambos to the airport is crazy
[01:50:28] Speaker 2: it's been a pleasure shout out to aim high too shout out to them it's your organization shout out to kevin i don't want to forget can you tell them who runs aim aim high yeah so sherman brown the ceo aim high shout out to him he deserves it shout out to sherman brown deserves it shout out to kevin councilman kevin riley yes they bring i think like 70 kids they got 100 coming they 100 coming this
[01:50:53] Speaker 3: year uh which is incredible and and we will talk about that but you're going to be at investfest this year as well so when people see you right they should approach you and really give them pointers like how you should take in this moment i think that's important i just want to say i'm proud of you because we've watched this happen over three years the bronx is proud of you for sure all right and we're going to make sure that this thing really scales and it becomes the business that you thought it was when you wrote it down on your your your memo pad saying like this is going to be my business
[01:51:24] Speaker 6: of the future man yeah i'm interested in you know any additional info whatever i'm in this and i'm i'm welcoming at all if you get i'm trying to say like any conversation any help any assistance or any way i can help one another or bring somebody on i'm willing i'm willing to do it all you know i'm always willing to learn i'm always willing to help another and i feel like that's the only way we
[01:51:46] Speaker 3: grow so it's the only option i'm proud of you man amen amen thank you thank you i'm proud of y'all
[01:51:56] Speaker 2: thank you everybody we'll see you next week all right okay man crazy amazing energy clap it up for
[01:52:05] Speaker 1: him yo for the hudspud go for it man like you can't go to a conference and sit against the wall and not talk like everyone in chat based off that you got to talk to 500 people while you're there
[01:52:18] Speaker 3: let me tell you how can i help you he's been consistent since the day i met him from the first invest three years ago he's been the same energetic goal-driven focus super disciplined young man since the day we met him he actually was at the high school uh where our curriculum was at at you were having curriculum day and they were talking about their business plans he came in and spoke and then he started giving advice to the young adults that were there he'll be there again giving advice to the young adults this this is what it looks like when community builds together man i'm super proud of him and again shout out to aim high and sherman for all they do because when you watch the group of young adults that they bring and when they present i sat here like oh we got some work to do up here in greenberg yeah we gotta we gotta get to that level which is great i love it shout out to the
[01:53:08] Speaker 2: bronx man shout out to aim high um that's what it's about and that's what invest fest is about
[01:53:15] Speaker 4: that's what invest fest is about we end on a peaceful note for sure a story of love
[01:53:21] Speaker 2: a story i love man yeah man it's been real shout out to atlanta you know we love you guys so much atlanta you know could never turn atlanta against us man like atlanta please too many too many memorable moments um and more to go to time yeah and more to come please wear black tie for vip night please
[01:53:43] Speaker 1: that include black shoes i'ma say it that include black shoes no air force ones no air force jordan ones rada world cups no black forces american cup america america i'm i'm tired completely no america cups okay dress shoes yeah yeah yeah i got them yeah i got
[01:54:07] Speaker 3: them but don't tell us you don't got you got them that's a fact man every every man should have a
[01:54:12] Speaker 2: suit if you don't have a soup this is your opportunity to buy a suit every man should own at least one suit every woman should women kind of have it easy because you could wear a lot of different things as a woman i don't know if they got it easy or the dress code the dress code is you can wear a skirt you you don't got to wear a gown as a woman you don't have to wear a gown you can wear a nice skirt you can like women they're dressed for a black tie man a skirt if you look
[01:54:38] Speaker 3: women dress a dress a dress a dress okay that's what i'm saying it's different no we can't say because if they show up in a sundress that's going nobody's going to wear a sundress we got to be
[01:54:48] Speaker 1: they may be outside the vip looking for an investor they thought it was a singles lounge yeah shout out to y'all who gonna be spacex at invest vest you're gonna fall for some of them lives in the lounge my boy be careful you need to prospectus
[01:55:10] Speaker 2: blackout very important episode of blackout we got we go short man we got to talk about the nolan nolan um um wells wells case for sure that is extremely disturbing um but we got uh teslan figaro if you don't know her she's a political um analyst that's um very edgy educated when it comes to politics so i got a lot of questions for her about that the voter rights thing they trying to make people have passports now now now they're trying to do the passport thing half the country don't even have
[01:55:42] Speaker 1: that passport yep yep the real id was the first inkling that i knew that was going to go this way did the autopsy we got to talk about it yeah yeah yeah yeah so once again thank you to block they're
[01:55:56] Speaker 2: sponsoring 200 tickets you can go to investfest.com and get your ticket into code block for general admission ticket the locks event is next thursday uh 35 get your tickets the limited seating for that uh preview of the documentary and then a fireside chat with the guys nightlife go to investfest.com to click the link for the nightlife bob if you want to party on saturday and sunday sunday is a mansion
[01:56:21] Speaker 1: party for 50 people 50 people lonely um where we get tickets for that i gotta put my bid in hey if you are my uh guest list let me know now tonight otherwise you won't be there i'm gonna turn my phone off sunday
[01:56:38] Speaker 2: and and and and hopefully this weather holds up so we can we got some dope that we doing tomorrow market mondays hopefully yeah we'll be able to have some fun talk about it wednesday for sure or not traveling mercies
[01:56:59] Speaker 3: traveling mercies man y'all be good happy birthday it's been a happy birthday in advance um it's great she uh every year i get a father's day card from her and they always hair every time your mom sends a card is handwritten which is that's a lot she still writes handwritten notes and texts me like these most incredible text messages so i thank her wholeheartedly uh happy birthday in advance ian your birthday is saturday my brother i want to wish you a happy birthday uh right here for all the 82 babies we appreciate and we love you my brother a little season is full effect mom i know you're watching so we're going to wait your birthday shout out to you next week mom just just all right
[01:57:39] Speaker 2: once again happy belated birthday to my niece happy birthday to my mom happy birthday to ian and happy birthday to all the leos out there for sure that's out there that's moving and grooving
[01:57:50] Speaker 1: shout out to ivy ivy birthday on august first too oh also two two more people i will be uh promoting your booth if you're in red panda then bishop have his privileges simula your booth number i will be there on saturday try and i'm gonna try and bring some lights and equipment with me when i'm out the country for monday i'm gonna try i'm gonna try phone in from the yachts please don't upset nobody this week because otherwise i'm gonna call off so keep y'all think pieces yeah yeah yeah shout out go go uh check
[01:58:26] Speaker 3: out our episode with big bank that drop go check out our episode with decisions decisions that drop keep it part of sweetie with crystal renee that was a dope conversation go check it out man there's a lot of content out there uh and be mindful of when you clip those those uh episodes up please and when i see you okay thank y'all for coming out god bless good night amazing god we'll see y'all
[01:58:52] Speaker 1: one day invest in the indexes mike fade to black right here mike