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Kerry Lutz's--Financial Survival Network

Jul 28, 2022

With inflation, the war in Ukraine, and supply chain disruptions, the most pressing problems in the nation right now are clear. To get some perspective on solutions, I talk to Eddy Gifford—whose job as a wealth advisor is to critically think through these problems and help others subsequently implement investing strategies. Interacting with the market during inflationary, uncertain times requires identifying what type of market we’re in and thinking through all of the possible outcomes. This is what Eddy refers to as being proactive with investing methodology, and you can learn more about it during this episode.

-Eddy Gifford is a wealth advisor who is also into alternative investments
-Cryptos have gotten slammed—Bitcoin is down two thirds and could go lower
-The one alternative investment holding on so far is real estate, but it has an inverse relationship with interest rates. Property costs have doubled
-When you’re dealing with something like cryptocurrency, it’s not a buy and hold situation
-Traditional diversification doesn’t work in bear markets—it’s more about diversification of strategy. We need to be proactive with our methodology—analyzing why one would buy or sell something
-It’s important to pinpoint what your mass loss is
-So how do you approach the market? First, you should identify whether the market is a bull market or bear market and the appropriate strategies based on which one you’re dealing with
-Once you own, have targets in place
-Buying everything for the sake of buying everything is not a recipe for success
-Just because we’re going to be positive over the next few months does not mean this is indicative of recovery
-We could end up in a situation where some of the big names have poor earnings\
-It’s okay to have some cash on the sideline right now—it’s not a bad thing to be sitting in cash when the market is down
-If you’re going to go all in, it’s good to have some sort of hedge in place
-Commodities are more volatile in general than the stock market as a whole
-The inflation we’re dealing with now is a three headed monster—some of these things can’t be fixed with interest rates
-A word of advice - focus on what you control. Focus on paying off credit cards to reduce debt, plan your day to be efficient with fuel/time,

Useful Links:
Financial Survival Network
Tactive - Eddy Gifford