Gary Allen on Business – Sunday, January 18, 2015 Broadcast – Podcast Now Available

Gamble InvestmentsThe Value of Good Advice

On this program, I cover several topics of interest to investors. Often it is so easy to lose your way due to the constant barrage of information about money and finance. All to often, others will feed off of our personal fears as well as our greed. The result of this dangerous mixture is often a poor investment experience. We try to make investing more approachable and less daunting. Ultimately, the money is yours and you should be in control. Too often, people blindly respond to a good sales pitch and fail to become an informed consumer.

The cartoon above is one of my favorites. Unfortunately, I think many people feel this way when they work with an advisor. It does not have to be that way. Common sense along with some basic information should help to overcome this problem. Investing is something very different from gambling or speculation. Hopefully, we can help you with that. This week we highlight the following for you:

Segment One – The Value of Good Advice

Segment Two – The Blue Chip Blues vs. Diversification Rules

Segment Three – Beware the Slick Salespeople Selling Despair And Fear

Segment Four – Living With Uncertainty

As always, I hope you enjoy the program and thank you for listening! – Gary

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Gary Allen on Business – Sunday, January 11, 2015 – Podcast Now Available

Tragic Events in France

Pen bullet cartoonIn the first segment of the program I spent a few minutes expressing my thoughts on the terrorist attacks in Paris. This past week, we saw tragic events unfold in France as terrorists held Paris under siege for several days. As a member of the media, I followed the events closely and could not come to grips with how anyone could resort to violence against people expressing their opinions and beliefs. In this case, satire from a group of cartoonists and magazine folks who have never threatened anyone with violence or mayhem.

The bedrock of a civilized human society is the freedom of expression or the freedom of speech. Whenever someone threatens this right, society suffers. No matter how offensive or even if you simply don’t agree with someone’s viewpoint, no one has the right to harm another individual. While saddened by the events in France, I was heartened by the outpouring of support from around the world. The gathering on Sunday, January 11, 2015 in Paris and other locations around France was a sight to be seen. World leaders (except for our own, big mistake), gathered arm in arm in a show of unity against terrorism with a sea of people from all walks of life behind them. Hopefully, this is the beginning of a new period of time, when the silent majority finally stands up to say enough is enough.

The pen will always be mightier than the sword. Even when it seems like the sword is winning, human society, freedom of expression and freedom of speech will eventually prevail.

 

blue skyThe Weather Vs. The Climate

In segments two and three of the program, I spend time chatting about trying to focus on the long-term versus worrying about the daily noise. So often, we make dumb mistakes with our finances because we dwell on short-term and temporary circumstances. I use the analogy of worrying about the day to day weather instead of focusing on the climate. Ultimately, it is much better to have a wardrobe based on the prevailing climate instead of today’s weather.

Investing is no different. One should build an all-weather portfolio so they can remain disciplined through good markets and bad. Too often, individuals will constantly tinker with their portfolio due to current circumstances. Ultimately, they end up fighting the last battle or hurdle, when a new one is just around the corner.

Diversity in Silicon Valley

Finally, in segment four, I talk briefly about diversity in Silicon Valley. Several large companies in Silicon Valley have been making some news recently as they speak about an obvious issue, diversity. The technology industry has long been known as a frat house dominated by men and lacking in diversity. Females, Hispanics and Blacks have long been underrepresented in Silicon Valley and Intel made a major commitment to help that problem this past week. The chip giant pledged $300 million at this year’s Consumer Electronics Show in Las Vegas. Let’s hope that Silicon Valley is able to find more talented people that better represent the American workforce.

Gary Allen on Business

Gary Allen on Business

 

 

 

 

 

 

Gary Allen on Business – Sunday, January 4, 2015 – Podcast Now Available

A Better Way

Better wayPeople are constantly looking for a better way to invest. There are countless books, magazine articles and many other forms of communications promising great returns, magical results and more. However, most if not all, of these get rich quick schemes fall far short of their promise. In this program, I spend the first segment providing my thoughts on what people should be doing to achieve a positive investment experience. This segment should give the average person a decent roadmap of what to do if you are tired of chasing the pot of gold at the end of the rainbow. This segment gives you a very good idea of the underlying philosophy behind how we manage money for our clients.

In the middle segments of the program, I review the list of money rules that financial writer Jonathan Clements of the Wall Street Journal created this year. It is for the most part an excellent list of things to consider to put your financial house in order. Finally, in the fourth segment with just a little time left, I give a brief review of the major themes that might dominate the Consumer Electronics Show (CES) in 2015. The world’s largest electronics and technology show is set to kick off on Tuesday of this week in Las Vegas.

I hope you enjoy this week’s show and thank you for listening. Hopefully each and every one of you will have a healthy and prosperous 2015!

Gary Allen on Business

Gary Allen on Business

Gary Allen on Business – Sunday, December 21, 2014 – Podcast Now Available

Tony Robbins Investment Advisor?
Cartoon advisorFor the past few months, Tony Robbins has been just about everywhere promoting his new book, “Money: Master the Game.” Robbins is a master promoter with a long history of moving mountains and yes having people walk on fire. The guy is a very successful businessman and he knows how to generate publicity like few others. It raised many eyebrows when Robbins wrote his first new book in twenty years on the subject of money and personal finance. It has been hard to ignore due to the massive PR campaign this book has generated. Critics have pounded the motivations of Robbins and also have spent a great deal of time skewering the advice in the book as well.

In this program, I review the book and some of the information within. In my opinion, the book is filled with a lot of contradictory information that undermines many of its themes. The biggest contradiction that sets the tone is the subtitle of the book, “Seven Simple Steps to Financial Freedom.” It takes more than 600 pages to explain his seven simple steps. The length of the book immediately calls into question just how simple this story is going to be. From there the book, in my opinion, reads like an infomercial more than objective financial information. But I will let you be the judge of that.

Ultimately, I find the best part of Robbins writing this book is the fact it might get more people to pay attention to their finances and to call into question some of the more dubious practices of Wall Street. By the way, Robbins has reportedly backed away from any plans to enter the financial services industry directly. However, there appears to be some significant conflicts of interest with some of his recommendations on who you should seek out for help or advice.

Gary Allen on Business

Gary Allen on Business

Gary Allen on Business – Sunday, December 14, 2014 – Podcast Now Available

Annuities and Lifetime Income Options in 401(k) Plans
Cheat In this program I spend time explaining some of my concerns with annuities in general and their application in 401(k) plans. There have been some recent regulatory changes that will make it easier for insurance companies to use so-called lifetime income options (annuities) inside of qualified retirement plans.

There are some significant potential problems with these new products that business owners and their employees should be aware of. As you would expect, they are going to be sold as a simple solution but they are anything but simple. I hope you enjoy the program.

Segment 1 – Basic annuity concerns
Segment 2 – My concerns for business owners with lifetime income options (fiduciary liability with a very long tail)
Segment 3 – My concerns for employees with lifetime income options
Segment 4 – A short segment introducing Tony Robbins and his new foray into the financial services world

Annuity

Gary Allen on Business

Gary Allen on Business

Gary Allen on Business – Sunday, November 30, 2014 – Podcast Now Available

How A Financial Fire Drill Can Save You

Financial Fire Drill In this program, I walk through the basics of a financial fire drill. The object of this exercise is to prepare you for bad financial markets before they happen. By doing this, you can protect yourself from making long-term investment mistakes based on emotion and short-term swings in financial markets.

Segment one is a journey down memory lane exploring the depth and length of the five bear markets that have occurred since 1970. By looking back into history we can begin to understand how financial markets behave during difficult times.

Segment two of the program continues our review of modern day bear markets and then near the end we make the transition to the emotional side of maintaining your investment discipline.

Segment three delves into the pressures and the anxiety one feels during these market downturns. Often there is pressure to do something as your emotions begin to chip away at your resolve. Finally, not helping matters at all is a constant bombardment of bad news mixed with a steady stream of folks selling you the story of doom and gloom. Also at the end of the segment you will find some bonus information about fixed income investing and how it fits into your portfolio.

Segment four is a short summary of what was covered along with a peek into our next show. You may be surprised about who is entering the financial self help industry!

It was the last day of the long holiday weekend with California enjoying a series of storms to open the holiday season. That is something to be very thankful for. I hope you enjoy the program.

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Gary Allen on Business – Sunday, November 23, 2014 – Podcast Now Available

Risk and Reward… but don’t forget about the RISK!

profit-lossEvery investor whether they know it or not, is taking some type of risk in order to generate a potential return. However, too often, people spend all of their time focusing on the potential reward, while ignoring or downplaying the risk. Unfortunately, all of us need to understand that investment results (returns) by definition are random. There is no way to predict with any certainty before it happens what the stock market will return over any given period of time. It is this uncertainty that every investor must live with and learn to embrace in order to be successful.

On this program, I focus on what you should spend most of your time focusing on. Focusing on what you can control as an investor makes more sense than searching for an answer to something that cannot be. Therefore, investors should focus on those items you can control, in order to put the odds in your favor.

The following, in my opinion, are three items that can provide investors with a solid path towards success. On the surface, it seems simple and straight-forward. While there are nuances, it is this simplicity and discipline that provides elegant sophistication and success.

Three controllable investment practices:
1) Manage risk
2) Control expenses
3) Pay attention to taxes

It does not sound like much, but it is the heart and soul of investment success. I hope you enjoy this program.

HOLIDAY GREETINGS FROM ME TO YOU
It is the holiday season and I want to take a moment to thank each of my listeners for supporting my program over the past seventeen years. Thanksgiving is a time for being thankful and there is no doubt that my relationship with KNBR and my listeners over the years has been a wonderful experience. I hope that every one of you has a blessed holiday season, much happiness and a very prosperous and healthy 2015.
Thanksgiving

Gary Allen on Business

Gary Allen on Business