The greatest wealth transfer ever is about to happen and you want to make sure that you're part of it because in this video, I'm going to show you how to be a part of the greatest wealth transfer because the reality is Millennials and Gen Z's are expected to see their net Worth's Skyrocket Much like we've seen in the last 34 years for other households and generations between 1989 and 2022 adjusted for inflation U.S Family wealth has tripled. That means adjusted for inflation, people's purchasing power and their wealth increased 3 X in the last 33 years. The problem is the majority of that wealth once, you guessed it, to the top 10. So once again, the rich are getting richer.

those in the bottom 50 of America. In other words, households with net worths of under 166 thousand dollars and predominantly renters only saw their wealth increase eight percent during that time. And so there are three massive issues. and a lot has to do with a financial education, but also a lot has to do with what we're actually spending our money on and what our priorities are.

So let's talk about those after we first talk about what the heck is going on with markets and well positioning. The three problems: Number one: bearish positioning. The more negative we feel about the economy and the stock market. Ironically, the better stocks tend to perform.

Remember back in the days of Covid, where we saw the meme images of the child on the switch? Well, the economy was in tatters, the stock market was Rising, and that is actually a pretty dang common occurrence. The unfortunate thing is, it's the rich who end up enjoying the swinging while everybody else is fearful and leaves markets at times when they tend to make the best returns. If we look back to post 2008 2009, we saw every reason Under the Sun for a double dip recession. Whether it was a double dip in 2009, a double dip during the 2011 debt Ceiling crisis which sounds eerily similar to today, which never ended up happening just like the 2009 double dip never ended up happening.

Or it was the 2013 Eurozone Sovereign Debt Crisis disaster. Or was the reduction of quantitative Easing around the 2014-2015 era, Or the rate hikes of around 2018, or the pause around the end of 18 and then the cuts in 2019? There was always a reason to be fearful. Another election cycle. Another dose of bad news to keep the Bears on their bearish.

High Well, as a result, today, fund managers have their lowest exposure to stocks relative to bonds that they've had since 2009. Retail investors individuals that is have followed fund managers and in total have yanked 330 3.9 billion dollars out of stocks in just the last 12 months. 41 of investors are bearish at the moment, below the 61 percent we saw in September, but above the usual long-term average of 31. And usually when we're at levels of bearishness above 31, stocks ironically tend to outperform, so that 31 level is actually pretty critical.

When we're above 31 percent, we tend to get an out performance just like we saw in our performance after that negative 61 percent reading. and then we had this massive out performance in January and February. Usually we're at these bearishness levels. it makes sense to invest in stocks.

It's a contrarian viewpoint, but part of the reason we don't like being contrarian is because of the lack of financial education. in America American Education should teach that long-term positioning in stocks tends to reward investors. Unfortunately, we don't get taught that in schools. Instead, we get taught to be good worker bees and follow the rules.

And that ends up leading us to follow Trends and overvalued plays and ultimately being fearful when the exact thing to do would be as Warren Buffett says, be greedy when people are fearful now of course then people say, but Kevin Inflation is so high and inflation expectations are starting to unanchor and this is going to be the end of the world. Yes, Well, that does lead to the second problem, which is a focus on short-term noise. The average person finds it difficult to distinguish between High pricing and Rising pricing. If you don't understand the difference in that line, don't worry.

I'll explain that, but it highlights how important it is to understand what's actually going on versus what the mainstream media and the television is telling us is going on. This is one of the most underrated Concepts to understand, but it could help a lot. Yes, if we look at the past three years after the covet boom, and during the covet boom, prices of a lot of things have gone up a lot, whether it's McDonald's insurance or otherwise. Prices in many areas have gone up 10, 20, 30, 40 and these prices will probably never come down again.

But the FED does not care about high prices. They care about prices rising at unsustainable levels. And as soon as you study what the Federal Reserve cares about and realize they don't care about high prices and they don't care about trying to make you rich, then you can recognize that. Okay, we need to analyze what the FED does care about, which is rising prices or the rate at which prices are going up.

And if you do like we do in our daily course member live streams. when the market is open and you read company earnings calls, you know that prices aren't Rising anymore the way they had in Prior years. If anything, they're barely Rising. Maybe two to three percent on average, but the average person focuses on the past inflation, not on forward inflation, and this is starting to have a pretty strong impact on consumer sentiment.

Consumer sentiment is deteriorating, especially with what the mainstream media peddles like. Bloomberg Bloomberg is supposed to be a well-positioned source for trust in financial news. Yet even they are blatantly lying, suggesting that Kimberly Clark raised prices nine percent in the first quarter. That sends signals to Consumers that oh my gosh, prices are still going up nine percent in the first quarter.

That's just bad for past inflation and current inflation. but it's just not true. see Kimberly Clark raised prices in early 22 and it's only a nine percent increase, which is a lot, but it only reflects as a nine percent increase when we look at a year-over-year measure. When we actually look at quarter over quarter measures, we'll and forward inflation expectations.

For Kimberly Clark we're much closer to two to three percent, and that's not even a market average. Market Average: We could be below two percent, even for many consumer goods. Unfortunately, that doesn't make for good and exciting mainstream Media clickbait news. So we know this about the consumer.

but how about S P 500 Earnings Are those going to hold up? Because ultimately, if we're investing in stocks, we want to see earnings hold up, right? Well, when we take a look at S P 500 earnings and the growth rate of that S P 500 companies have been experiencing, we can see that in the first quarter of 2023, we're sitting at about 1.83 percent growth, which is above zero. But it's definitely less than where we had been sitting closer to two to even three percent post pandemic. So is this just a new normal? Well I Think it's useful to consider a new normal to look at what normal used to be back in 2019. If we go back to 2019, you could see oh wow.

S P 500 Growth was below two percent and then towards the last three quarters of 2019, below one percent. Which means we're actually growing S P 500 earnings still today at twice the rate we were back then. Which means we actually still have room to normalize. Even further down, we could be half of where we are at S P growth now and still be at the level where we were in 2019.

So this new normalization could be leading to a big missed Opportunity by a lot of folks paying attention to the noise cycle. But Ultimately, when we combine this sort of inflationary news with a debt ceiling crisis War The banking crisis, guess what happens? sentiment turns bearish. Friday's University of Michigan survey indicators suggests that not only has a negative news cycle in March and April shrouded with uncertainty around the banking crisis and elevated inflation led to a deterioration inflation expectations, but also consumer sentiment fell because quite literally, quote a proliferation of negative news about the economy, including the debt ceiling crisis all contributing. But then again, for the last two years we've been taught that bad news is good news because we've been wanting the economy to slow down to slow Rising prices.

but the Bond market is telling us we've already done enough. If anything, maybe we've gone too far. Look for example, at the five-year Break Even rate. Not only are they at a one-year low, which is a market measure of inflation expectations, but they just dropped another five Basis points to just 2.12 suggesting inflation is well on its way back to two percent.

In fact, Paul Tudor Jones suggests that inflation has been declining for 12 months in a row. Something that has never happened in history. CPI it's been declining 12 straight months. That's never happened before in history that inflation is gone.

We're just dealing with the residual left over inflation readings. Unfortunately, those don't stop short-term pessimism by consumers, and unfortunately, that risks leaving them misposition. especially. I Hate to say it, but fact is consumers and Retail investors are often wrong.

They chase the latest Trend or news cycle, or chase the latest stocks that have done well, and they completely ignore fundamentals. In my opinion, that would lead investors to go into things like Consumer Staples that have done very well and outperformed over the last year or other security style defensive style stocks like healthcare utilities. but that could leave consumers substantially misposition. But again, maybe the Bond Market's wrong because if you look at history, the Federal Reserve has cut rates when the unemployment was less than four percent rarely.

In fact, out of the last 124 rate cuts from the Federal Reserve, only six have occurred with unemployment under four percent. Two of those were during Covid. three happened in 2019 when inflation was around 1.7 percent so below Trend and the other one was well January 3rd, 2001, which was right before the.com crash, which isn't a great comparison because we don't want to feel like we're walking into a.com crash because that's just gonna make us very bearish. And quite frankly, yeah, that could be a reality.

It is possible stocks go down more that all of this. Nike Swoosh recovery will all be for nothing, and stocks will go right back to hitting brand new lows. It seems unlikely based on investor positioning today, with how bearishly people and institutions are positioned with how much money is sitting on the sidelines in Money Market funds with money market funds seeing skyrocketing rate of deposits and institutions pulling money out of stocks at the highest levels since 2009. So yeah, it seems unlikely that the stock market is going to continue to go down.

But then again, you get people like Raphael Bostic over the FED saying well, we don't expect rates until 2024, which means we have to unprice some of the rate cuts that are priced in, which could mean that stocks could go down more, right? I Mean, after all, if inflation is even remotely sticky, which quite frankly, if CPI goes up at just 0.2 percent every month for the rest of the year, you're still at four percent inflation. given the inflation we've already had this year, which is twice the Fed's target. All of this just sort of contributes to pessimist arguments that allocating to stocks right now or just Assets in general is a bad idea, but you can't help but wonder if it is possible that somebody like Paul Tudor Jones Is Right that the FED could declare victory that we've had 12 months of 12 months of declines in inflation and stocks could end up 10 percent higher six months from now. Well as optimistic as that sounds, all the bad news that we've been talking about is driving people to cash and gold.

We've seen money market adoption, but we've also seen gold Skyrocket to some of its highest levels now above two thousand dollars per ounce, and some of the highest levels we've seen over the last year. Now, Part of this could be because of the news stories creating fear, the banking crisis debt default potentials. or it's because when the dollar Falls central banks diversify away from the dollar, which is exactly what central banks have done. They've added 228 metric tons of gold to their balance sheet in the first quarter alone, and China has contributed over four x that to gold in 2022 alone.

All of this is Reiter rating. Ah yeah, the best trend right now is buy gold and Parker cash and Money Market funds. But in my opinion, all of this isn't actually the real danger. The real danger isn't the debt ceiling, which will almost certainly be extended.

It'll either get kicked down the road to the July 4th session or the end of the fiscal year around September 30th or some sort of full passage on a deal. The real danger is also unlikely to be inflation because the reality is it's collapsing. The real danger is unlikely to be the collapse of the consumer because yeah, even though people have changed up their Trends and we're looking for that new normal and corporate earnings American Savings rates are not only increasing again, but their savings are higher than they were at the end of last year, suggesting that savings again a rising excess cash that people have is still well above by some accounts, over 60 percent higher than where we were in 2019. The real mistake is probably in what we do and how we personally position ourselves.

See, there are very important things in my opinion not to do and very important things to do. and we're going to spend more time on the things to do to make sure that you can be part of the greatest wealth transfer in history that is probably getting started Now in my opinion, the worst things to do right now are things like buy a new car, lease a new car, buy furniture, appliances, remodel a home, or extend yourself on home equity, lines of credit, personal loans, or credit card debt. One of the worst things I See people do who own homes is they'll take a home equity line of credit, pay off credit card debt, they'll pay off personal loans, and then they just go back out and spend again. It's all a big mistake.

It's often for nothing, and it leaves most people poorly positioned because they sync themselves in debt and then they don't focus on what they should be focusing on to make sure they can take advantage of this massive wealth transfer. It's probably just now getting started. We're the roots of this massive wealth transfer. So what should you focus on? Well, in my opinion, it's obvious.

Well, maybe it's not obvious. That's why I'm making a video about it. Number one: your income maximize your Top Line What can you do to make more money? That literally means not focusing on passive income, but actually focusing on active income. I'm not going to sit here and tell you that Oh, here are the five dividend stocks.

So you could do nothing and you know, deck around all day long. I'm actually going to say now is the time to work harder and focus on increasing your active income Somebody asked me the other day. hey, what do you think I should do. Myself and my spouse have a combined income of 100k.

What you should do is figure out how your average income is 50k and how you're going to get that up. Maybe that means enhancing your skill set by learning a white collar, professionally, becoming a CPA becoming a lender, Becoming a realtor. Or it means taking what you're doing now and making sure you're enhancing the value you provide to your business or to your own business. That is, whether you're an employee or you're self-employed you're being as productive as possible, making sure you're building out your teams with AI productivity, or you're doing whatever you can to make sure you can provide the best value possible by making sure you're not distracted in the workplace.

You're productive. and you're not the person who's going to get laid off. Instead, you're the person who's going to get a raise because nobody works harder than you. This is the time to focus on your income, But after you focus on your income, don't let yourself be sunk to the ways of having a high debt to income ratio.

Which means you can't qualify for Real Estate Instead, you should be focusing on getting into real estate. I'm a big fan of focusing on buying real estate in the third and fourth quarter of this year. We don't know exactly what's going to happen in the real estate market, but generally time in the real estate market beats timing the market and on top of that, positioning in stocks Now, when positioning is so bearish broadly could be one of the best opportunities of the next decade that is increasing your income now so you can buy more real estate at the end of the year and buy more stocks now could be a great way to be part of the next massive wealth transfer, as well as potentially starting your own business or a side hustle through maybe one of those professional designations. I talked about or finding a way to capitalize on this: AI explosion of new businesses that are coming.

Every business will be more productive because of artificial intelligence, and if you can help those people become more productive, you could find yourself a side Hustler business that can make you a lot of money and your goal is to make sure that no matter what it is you're doing, you're maximizing the tools you have available to make sure that you're not being left behind just like on the wealth transfer path you don't want to be left behind on. AI You don't want to be left behind on the massive wealth transfer. so positioning yourself bearishly now. focusing on a five percent money market fund and cash which is going to get eroded through inflation rather than focusing on building your asset.

exposure to the quantity owned of real estate or stocks or businesses in my opinion, is a big mistake. It's the same mistake spending money on a credit card and not focusing on increasing your income. Always remember, the average person finds it difficult to distinguish from long-term fundamentals and the short-term noise. And when you have neighbors walking around the neighborhood coming up to you saying hey, I'm worried man, we got an election cycle, We got a debts Putin all are falling and gold rising in Money Market funds up.

What about silver? Kevin There's probably a good time to seriously consider taking your higher income as you're working on increasing your income, maybe even taking on a second job in actually investing to be best positioned for the greatest wealth transfer coming through assets because the time will come in the future. The Federal Reserve whether it's in 23 or 24 or 25 when the Federal Reserve starts cutting rates again and asset values explode, guess who's going to win the most? People who went out of the way to acquire more assets will win the most. Owners of businesses through stocks or their own ownership and real estate will probably be the best position to reap the most of this massive wealth transfer. Now I Want you to know this when it comes to AI time is what's going to make you money, and if you can prove that value to an employer, you'll always be able to be employed.

So this is another way of making sure that you don't get replaced. Foreign.