THE 4 PILLARS OF INVESTING Cash Flow: Module 5 TRANSCRIPTION

Transcription

1 THE 4 PILLARS OF INVESTING Cash Flow: Module 5 TRANSCRIPTION

2 2 The 4 Pillars of Investing A transcription of CASH FLOW MODULE What s really cool is there s a lot of different ways that we can do this that are even more efficient than this example. I did this example, again, just to have an example when market went down and a fairly consistent level of cash flow that would fill someone s account with a significant amount of money even if the underlying value of their asset was going down. Of course, the asset can always recover and you can have cash flow. But what I think is interesting is there s so many different ways to do this. Remember, what our key was, is selling an option properly. I used to sell some options covered, and I either sell my options covered: A. With stock, meaning that if I make a promise to someone that they can buy stock from me, I sell them an option. One guy has a choice; the other guy makes some promise. If I decided to be the guy that is making the promise, I either have it covered by cash or I have it covered and goes all of the stock. Meaning, I can deliver. If someone wants to buy something from me, I have the stock to sell. If someone wants to sell something to me, I have the cash to buy it, in case of put. There s other things I will do though in hedge is, well, maybe use another option to cover myself or protect myself. But generally, I get nervous because people think, well, they re going to go out and sell calls. Certainly, one wouldn t want to sell these naked, especially to beginners. That s very aggressive. Have I done it before? Yes. Have I learned? Yes. I still do some naked but not as a foundation strategy. It should be very small, very controlled, and only for the most advanced of traders should you sell naked options. So, with that said, I m going to show you some fun things. Just to reiterate, these are not recommendations. I don t recommend that you go buy this, buy that or make calls on it. In fact, that s a very low-level trade. It s not one that I do. I did it to illustrate the concept. Normally, I would have exit, I would have contingency, and all that kinds of stuff.

3 3 So, let me show you one that s more recent and something I would do actively that s not just for an example. It s actually a way that I actually like to make a little income. I m going to keep these trades to around six or seven hundred dollars a month in cash flow, above what you d receive in a good rental property. Then, you do this on four or five instruments, then the next thing you know you got yourself a nice little income. So, let s talk about Warren Buffett here. One of the things that Warren Buffet will do is he will sell a lot of options. Some people think, Well, he s supposed to be this conservative guy. Absolutely not. He s the insurance salesman. I mean, his whole life he s managing risks. That s what GEICO is; getting paid to take risks that other people don t want to take. But I like to show you how this works here. Buffett tells a story I found I don t know if it s apocryphal because it s very hard to find stories on Buffett that are accurate. So, I am quoting the guy here and I tend to believe him simply because: A. Richard Hathaway is one of the largest owners of Coca-Cola in the world; and then B. I do know for a fact that this is something that Warren Buffett makes billions of dollars doing. So, this makes a lot of sense to use this as an example, and I think the guy is probably got it pretty close to right. So, let s use this as an example. Remember that a put option is also made up of time and it has an expiration date. In a put option, the person that buys the put has the choice to sell something, if you remember that. Now, please, please understand that when I teach these sometimes, I do a three-day workshop and all have people just be hammering on them over and over and over. So what I want to do is give you a value. So, I ve covered a huge of scheme of going along, going short, going entry, exit, target, risk, reward, are you kidding me, strike price, premium, expiration date. We covered so much stuff in this short, short time that what I thought would be best is give you access to it so that you go over and over and over and over again. The risk I took was I was worried about giving people too much at once. So, understand this is designed for you to go over and over and over again. So put option, if you remember, is when a person has a choice to sell something which means that this guy has made a promise to buy something. So, if he wants the choice to sell his stock, this guy has made a promise to buy his stock. Notice that the premium is the expense. If this guy owns a stock is at $100 and he wants to be able to sell it at $100 in case it drops, that s like insurance, isn t it? So it drops to zero. This guy has promised to buy it from you. So, Bufett s an insurance guy. He s used to getting premium for an insurance. So, he s got the choice to sell it at a certain price and he s going to spend money for that choice to sell. He s scared

4 4 his stock will go down. He s scared it will go down before he can sell it, and he s scared that he bought it at hundred and it s going to drop to zero, and insurance policies say, Hey, even if my stock is worthless, I still want to be able to sell it to you. The insurance salesman over here made a promise to buy it. But there s one cool thing about this. Often we make these promises on things we want to buy anyway, which is the case you re going to see here with the renowned investor Warren Bufett. I d read this article by Travis and it s like it s Maureen. Again, I tend to believe this is accurate on his article. In April 1993, Coca-cola stock is hovering around 39% of shares. Let s draw that. Let s go and draw that. It s $39 a share. Theirs worth is hovering, and it says Buffett values the company. What is that? What is that? Fundamental analysis. He s looking at its, what? Its PE. He says, Well, 39 is a little steep. But he says, I would be interested if it got down to 35. So remember I said you buy things based on criteria. So whatever price earnings he s paying, he says, I m paying too much for the earnings at 39, but I d be happy to pay for the earnings at 35. So, he writes now, he s going to do this baby. He wrote five million put options. Now, what is this? He s writing them, which means he s making a promise to buy something and someone else has a choice to sell. So, he wrote at a $35 strike price. Notice the vocabulary in the articles that a lot of people, if don t know what the strike price is, if you don t know what a put option is, if you don t know what premium is, and if you don t know what value it is, or what a split it, you re lost in this article, so you re going to find it. Through training like this, articles come to life. So, he adds five million put options, okay, with a strike of $35. What does that mean? There s somebody out there has the choice to sell Coke at $35 to Warren Bufett. Why do they want to do that? Well, maybe they bought it at $39 and they don t want to lose more than 4 bucks. So, they said, Look, I ll pay some money in case this really goes down here, all right? In case it really goes down. So that s very cool stuff. So again, it s set in here at $39 a share, okay? Now if the Coke falls below $35, then the people who buy the option are going to put or, what, sell their shares to Bufett, and Bufett would be forced because he made a what? A promise to buy it at $35 but this was perfectly fine for Buffett because he already felt it was worth buying for this price a little. In other words, he doesn t care. If he could buy it at 35 today, he would and if it goes down he doesn t care. It s the other people who care if it goes down. He says, Look, I m going to hold this for the long term. If I get it at 35, I ll deal with it going down and let it go back up in 20 years, right?

5 5 So, that s the first thing that we have to realize is he doesn t really care if it goes down. He wanted it at $35 anyway. Okay. Now, look at this. If it rose, well, he doesn t want to pay for $39. But look at this; he d be happy enough because he collected $1.50 in cash flow. Well, $1.50 times 5 million puts remember he said he did 5 million. What s $1.50 times 5 million? That s $7.5 million he gets to watch it go higher than he wants to spend. Very cool. Even if the stock never falls to his target so in other words, if it goes up, he gets paid $7.5 million. If it goes sideways, he gets paid $7.5 million. If it goes down to 35, he is paid $7.5 million, plus he gets to but it at a price he wanted anyway. So it s just being a strict money investor, he would not been interested in buying Coke at more than $ 35. So, therefore, the fact that it went up without him buying, it was perceptually defined by him. So that s a great way to acquire stock, isn t it? Great way to acquire stock. So let s see how it looks on a balance sheet. The Coke was at $39. The strike price was at $35 and the premium was $1.50. He sells 5 million puts, so he makes a promise to buy at $35 and he makes $7.5 million to do it. Again, these people are spending money with him and his insurance because they re scared the stock will go down, and we re talking about a lot of stock here. Five million times $39, that s a lot of money. So, they re going to pay him $7.5 million and it doesn t matter if it goes up or sideways. He gets stock money upfront. So, again, review the three scenarios with me. If the stock goes up to $40, certainly they re not going to want to sell it to him at $35. So, the options expire worthless and he keeps the $7.5 million and it will only just expire. The second thing that could happen is maybe Buffett, it stays the same at $39. Same thing. They re not going to want to him to sell him the stock. Remember, put means sell. They don t want to exercise their choice to sell at $35 if it s worth $39. So, again the option simply expired and he keeps the money that they pay for him. The third scenario is that it goes down to $35. If it does, he gets to buy the stock at the price he wanted anyway and he keeps the money for the time. So, just the like the house, this is independent of the stock price right here. This just gets paid no matter what. It s made up of time. It s so important for what we re going to do next. So, we have three scenarios: stock goes up, option expires, Buffett keeps the $7.5 million, stock stays the same, options expires, Buffett keeps the $7.5 million, stock goes down, the option gets exercised, Buffett keeps the $7.5 million and gets to buy the Coke at $35 like he wanted.

6 6 Let s say the Coke is cleared down to, let s just say, to $32 when he buys it. Who cares? If he could have bought it that day at $35, he would have,and if it goes down to $32, why does he care? He would have brought it anyways. This one is what s amazing. Notice these options are risky. There is no more risk to Warren Buffet selling a put option to buy this at $35. Then if it had gone up, he d bought it at $35 anyway. In fact, there s less risk because he s getting paid upfront some money to do it. Pretty amazing stuff right here, I think. So, he wanted to buy it anyway. Three scenarios. Now, he does this all the time. The reason I m inclined to give this guy some credit for the article which is hard to find stuff that Buffett does is, he does this with indexes. You ll notice that I will do this, too, and I m going to show you examples of this in the next class in risk management on a more elaborate level. This is from the Wall Street Journal, and this is a Washington Journal. Pretty credible. Billionaire insurance salesman Warren Buffett has been selling more derivatives lately. A derivative is another word for an option contract. Again, the vocabulary is huge here. This year, Berkshire Hathaway Incorporated and the Omaha Nebraska Holding and Company headed by Mr. Buffet has collected premium. See, you have to know what the language is. This is a premium; premium of about $25 billion from selling insurance. So, if a person doesn t know, you ll notice that awhile back here, I refer to it as insurance, didn t I, that a put option insures that someone can sell something. So it s another popular word for it. It s been selling insurance on stock indexes and bonds in the form of derivative contracts or an agreement which guarantee, what s another word for guarantee? Promise. Guarantee payment of the buyer, which is this guy who paid him money, he s the buyer of the contract, in the event of a specific loss in the underlining entity, meaning the stock or the metal, or the currency, or the index, whatever the contract is for. So, here you got Warren Buffett showing that his received income or revenues of $2.5 billion for doing nothing more than promise to buy stuff he wants anyway at a cheaper price. Now, people who read an article like that (inaudible) fancy vocabulary. Your premium, derivative contracts, indexes, guaranteed payment and other underlying entities and all that stuff, and everyone misses how simple this can be. The truth of the matter is you and I can do the same thing. So, I m going to show you a case study. I hesitate to show any personal stuff, so I keep it pretty small. I m going keep it pretty basic. Again, let me reiterate it. This is not a recommendation for you to go out and try this. This is simply an example. I ve actually been doing this for almost a year now on this same thing, but I don t have a put up a year s worth of trade. With a box that large, I give about five months for it.

7 7 So I ll show you it s that last year. I ll show you what I ve been doing out in the five months now. I think you d be impressed. So, I have other business other than just selling stock and all. I will give speeches and do a little hard money through lending from now, but not a lot; a little bit. Well, I have other businesses. So anyway, I got someone that paid me about 40 grand. So, here I have this cash, okay? Forty grand and it s in a bank account, or in a safe, or wherever it is you want to put it. The problem with having money in a bank right now is let s treat this like an investor. I mean, let s do a little reading. First of all, here s $41,000 in cash that I received. Do I want to keep that money in cash or do I want to send it somewhere else? So, watch this. This is from the Wall Street Journal on August 28, 2011; just very, very recent, a couple of days ago, and it says this. Low rates are bad. Borrows breathe a collective sigh of relief from the Federal Reserve set earlier this month that would hold interest rates that rock bottom for the next two years, but the savers are far from happy. So, in other words, in fundamentals, we learned that they could screw around with the interest rates or do QE. A couple of weeks ago, they said, Look, the economy is still bad. We re going to keep the interest rates low. We re going to send and borrow to (inaudible) borrowers. The problem is, well, that s good for borrowers. It s kind of tough for those who are savers because interest rates are low. Banks, if they are borrowing money, it s just tough for them to pay out and have to have other people borrowing. So, it says, The news was a little depressing for savers. From American Bankers Association, It means low savings rates will be par for the course of the next two years. In other words, having cash right now is kind of rough because there s really no interest being paid. Another thing in history, the divided Federal Reserve Board, the committee, the FMOC, Federal Market Committee is divided on this decision. They say, Hey on August 9, a couple of weeks ago, the economy is weak, the downside risk on the rise. They had decided to extend near the zero short term interest rates for the next two years. So, we re locked in until 2013 pretty much according to their word. That s a real sting for savers because it stings if you re not to fix the income and you re older, let s say. You re facing rising cost for gas, energy, food, sugar, and if you re so worried that your money disappears to the stock market, what are you going to do? You re going to sit in a bank account. That s what I was saying in fundamentals. People stick it in the bank but they don t realize that there s systemic risk here and there s inflationary risk here. So let s says you re sitting on a bank account full of cash, most savings, bank savings rates are below 1% now. Low interest rates hurt if your retirements just depend on CDs I can t imagine a CD, and they re plunge down to 0.42%. So, you ve gone from 2% a year, which is nothing, down to

8 8 less than a half percent a year, according to bankrate.com, and most market money yields get this are one hundredth of 1% I mean, that s unbelievably low, and those you got inflation at 3.6. So the question is, do I want to leave money in cash? Here I ve done some work in a business. They pay me $41,000 for this work and the business and here s sitting in cash. I don t want to sit back there earning when inflation is at 3%. I ve got to make more than 3.6% just to keep up with the inflation. So, what are some other things I can do? Well, I also have concerns with the fundamental picture. We talked about the quantitative easing, we talked about the sub-fundamentals, and remember from the technicals, I got that head-and-shoulders on the dollar that we saw, okay? There s my head-and-shoulders on the dollar. I have this line here where I got to kiss goodbye, I got a double top here and we re just going down, and now currently, as of August, I got a descending triangle on the dollar. So, am I really confident? Could the dollar go up? Maybe, but I don t think there s going to be a huge demand for dollars with these low interest rates. Who wants a lot of dollars with interest that low? That s not going to create a demand for the dollar. I wouldn t think unless the stock market just scares everyone to death. So what can I do? Well, maybe where would a guy put some money if the dollar is losing value? Gold and silver had been on the rise because they can retain value. So this is one of the reasons gold is always on the rise. So maybe I ll ask myself this question. Right now, silver is at $41 an ounce. Would I be happier to have a thousand ounces of silver instead of cash? Cash isn t earning any money. There s inflation and these other things we talked about. Would I be willing to convert this to cash? That s the question I would answer and say, For me, the answer is yes. For you, the answer maybe yes, maybe no. Would really want to convert your cash to silver? In other words, if you have $41,000 in cash this month and next month you open up a safe and there was $41,000 in silver because right now it s $41 an ounce, 40 bucks. I think it s close to $40, just under $41. We could see what it is. We ve got it right here and let s see what it was. This is called the SLV, and the SLV right here, it s close to $41.41 it looked like today, and let s get a day (inaudible) up. Let s bring this up. The SLV has an ETF called an Exchange Traded Fund and it tracks ETF. I can hardly talk at the seventh time. That s hilarious. So, it tracks silver. It s pretty much equivalent to once of silver, give or take a few cents. So here, we see a close today on August 30th, last day of August here, close today at $ So, you re only about almost $41. If you stress this out, there s your $41s. So it s basically right there on the money.

9 9 So I asked myself at $41,000, they ll give me a thousand bucks of silver and maybe I want to pay $42 for it if it got up that high; maybe would. So I basically say I m the one that make this trade. Well, if I am I can do that Warren Buffett trade pricelist. I actually started doing this back on October, but I don t have room on the screen to show you a whole year s worth. I mean, it s going to be September, so it s almost a year I ve been doing this. I started doing it once I saw, what? What did I see? When you I start seeing this activity running around in here dollar going down, you re going to react to that. So, here we go. So what I did is I said, Look, I ve got this cash here, okay? So the cash is in my account. I said, Look, I m willing to buy some silver, just like Warren Buffett was willing to buy some Coke. Well, if someone wants to sell me something, they re going to get puts. Remember, put means sell. So whoever buys the put can sell me their silver at $41. So as I said I got $41,000 of cash lying around. I ll convert that portion of my savings in, say, to silver, okay? So there you go. Actually, I don t put it at savings. I keep it in the money market. When I get a big check or a medium-size check, I m going to put it in the stock market which means I m going to put it in money market to hold it until I do something with it. So I stick this in cash in the market and they re going to pay me $9.95 or excuse me, $990 to convert $41,000. Now think about that for a minute. Let s do some math on this. So basically, this is in the savings account, and the only thing I ve done there for the most saving account is I said, Look, I m willing to convert it to silver. That s it. I ve got the money in a debt blasted savings account and I m willing to convert it to silver. Watch this: $990, okay, divided by $41,000. Let s just see. This is for the month of May only. This expires. Remember that time to get graph, you got three months, two months, one month. I m working on this month right here. So $990, let me get my calculator out, divided by 41,000 equals 2.4%. So these guys are getting less than one percent on a year and I m getting 2.4 percent in a month on money sitting in a savings account just like theirs are sitting in the savings account. The only difference here is, is I m willing to let someone sell me their silver at $41 in the month of May. To me, that s one of the coolest things that Warren Buffett has ever showed someone how to do it. How to get paid a 2% a month for a willingness to buy something that you wanted to buy anyway? I mean, that s the greatest secret, I think. So, that s for me. Well, sure enough if we look back in May, the stock let s in fact shoot. Let s just go and look at it. Why not? If we look back in May, we saw the stock shot up in April to, what? To $ In May it backed down here around May-ish to $41. It went down a little bit below that.

10 10 So obviously, it s down here at $37, $38, they definitely would want to sell me that for $41, wouldn t they, which I m fine with and you ll see why. So I get the stock or the silver put to me at $41. Now watch this. So now, I got 1,000 shares of silver that I paid $41,000 for and it s sitting in my account, okay? Sitting in my account right here. Okay now, watch this. I asked myself, Now, am I willing to sell this silver for cash? Let s say it fell so far. They did some technical analysis and they said, Let s sell it at $38, okay? I got paid $530 believing that it would never hit $38. That s where our technical analysis comes in. That s where it s pretty important. Those expired stock never made it to 38, so I just kept the money. Next, I did it again, okay, and I actually sold it for like $600 and something and bought them back for $100 after it decayed, but needed up because it was getting close to 38 and I want to get called out. So, I made it $495; very cool, okay? Over here, the next one, I sold in the August. Now, the silver that I held was getting back. Why did I not care about paying $41 when it fell? Because I believe I wanted it long term, just like Warren Buffett did. I said, Look, I think it s going to be back up to $41. I don t care if I m buying it because I think it s going to be back up there. Sure enough, it got really close. I sold it at $41. It s got $1400 on those, okay? Then in August, and it was the third Friday of August, check this out, on the third Friday of August which is right here, it barely made it up. I mean, I think what was what wasthursday? Do I have that here? They gave me the date but not on Thursday. I believe it closed right here and $41.55 so I got called. It was a beautiful trade. I got called out right there, so I m pinned I m going to buy it again which is beautiful or excuse me, sell it again. So, look at this. I m going to sell my silver at 41 which is the same, what? Same thing I bought it for. So I bought it for $41, I sell it for $41, but I m getting paid a thousand, a thousand, a thousand. All these money for simply willingness just to convert back and forth, so check this out So have I done for a week? I sold the weekly Septembers or the weeklies which put me back into cash now and I checked that out. I was willing to sell it for $42 first week of September and never hit it, so I just keep the 800 bucks and I keep my cash. But if you analyze it together now, this is has gone from 41,000. If you add this money, this money, this money, this money, this money, well, before I add the $800, this money, you got $45. You add that $800 here, you got 46 grand. So that s in five months. Now, look at this. That s an average of $855 a month. What kind of car could you go out and drive right now? You go up and buy a new Camaro for that. They re about 40 grand for the convertible SS for the good one; for the fast one. They re about 42 grand. There s your Camaro payment. So instead of dropping the cash, keep your cash and let your cash pay off the car, and then in five

11 11 years you re not left with just a car. You got a car that is paid off and you still got your cash and you still get your cash flow, okay? If you take that over five months and you annualize it. I mean, look at this. Let s do this; $855 a month. Let s do the math on this. I ll get my little thing out here. So, $855 a month divided by this original 41 grand, let s see what that is. So, $855 divided by $41,000 originally. Oops, $855 divided by $4,000 originally, that s 2% a month times, that s ridiculous, times 12 months if we analyze it, guys, that s 25%; 24-ish, 25-ish percent on a savings account simply because I have the willingness to convert it to silver. Silver has never gone bankrupt. Silver has really no corporate fundamentals, only sovereign. The dollar is weakening. The precious metals seemed to be rising. I asked myself, Am I willing to convert my cash? In the next two years, you get no interest on having cash, really. So am I willing to get paid these types of premiums for willingness to convert my cash to silver? For me, the answer is yes, and that s a 24% annual charge. It s not like I m going out and buying some crazy gross stock company. Precious metals have risk, no question about it, but silvers never got bankrupt. So, that s an example, though, of how a small investor can go out, and I have trades that I could show with more elaborateness and will save those for the next time. But my thinking is if someone could make an extra 800 bucks a month, okay, and you do that and that s with one instrument. Okay, do this with five instruments; five different stocks, five different metals, whatever, things get kind of interesting for you. So, there s kind of a great example of this, what, let s go back here, this Warren Buffett type of strategy where we find something and we want to buy anyway and we get paid a pretty decent premium for willingness to do that. So, very, very cool stuff; very cool stuff. That s decent, I think, and that s pretty close on that, too. That s an average of five months of $855 a month. Very cool. One of the things I mentioned is, I take a lot of this money and I put it in my education. In personal investment course like this, you can see how one solid trade can get a guy a pretty good return-on-investment if he learns how to do it. I think having an education budget is great idea because it just seems to be worth the return-on-investment for many of us. So, that s a lot of fun. Summary. So, if we want to make money in a stock that s going up, we can buy a stock, we can buy a call options, we want going to make money when the market is down, and we can sell our stock and we can buy put options so we can assure the stock could go along to puts. Then, my favourite of all is just, oh, man, cash flow investing, man.

12 12 It s learning how to sell call options preferably covered. I write CC for Covered Call. They are selling put options, cash covered puts. That s one of my favourite ways to do this. In fact, they call this sometimes the Wheel of Fortune. They call this off in the Wheel of Fortune because I m simply going from cash, to an asset, to cash. Then, of course, if in September this price goes, hits $42, I ll buy it at $42. Or if it stays under $42 and it never bounced, I can buy it at $42, and off we go. They call it Wheel of Fortune because it just goes back back-and-forth, back-and-forth, backand-forth. So, very fun stuff, very cool stuff, and off we go. We are really getting close to moving from awareness to getting into Phase II. I hope you re excited. I hope you would like to learn how to do these things on more detailed level and more advanced level. That s really what Phase II is about. But we have one more class here in Phase I which is going to be risk management, and then we can begin and move on to Phase II and I can show you how it can be done. What s cool about these? These are very short, very easy. A person can get through Phase I in a week and just watch these classes with me and we do this together. With these, we ll take a little more time because we re going to use very specific rules. Generally, a class like this one, two hours per class. A class like this one is six weeks. So this is more like going to college. This is getting advanced stuff. This is really getting it down to be not just aware. I can introduce this concept very quickly, but to teach someone how to do it takes a lot more time. So these are almost five, six classes; really, really fun. Generally, we do it by an hour and then we take away from practice, then we come back in another hour well, more than an hour; a couple of hours like this, a couple weeks in practice. We re just six weeks on several different topics, whether it d be technical analysis. We do six weeks on that and we can do cash flow and stuff like that. Then eventually, we can move into proficiency and get matters going and stuff like that. Anyway, just stick to this basic stuff. We got one more class to go before we get to move on and we ll do the basic strategies vocabulary and keep improving our context. Next time, risk management, baby. I hope you can see how these pillars will start to work together now that we re three quarters our way through. We have the fundamentals, the technicals, and the cash flow strategies have come together. A really good example, that is actually the one we just did because this is if we go back let s see if I can find this. This is solid fundamentals that affect metals and the quantitative easing that goes in this. We have the technical analysis on the loss on a dollar. So how did I decide to harvest information? I m not quite sure of the dollar. I could have just bought silver and gold along.

13 13 But buying silver and gold along, one of the problems of that is it can be kind of up and down on you. I mean, if you look at silver in weekly chart here, you know, here, here, here, here, a guy makes it and he loses it. He makes it and he loses it. The thing about rent is you never lose it. I mean, a guy buys here and then he s right back where he started. He goes back here, right where he started; up here, then goes a little more and right back where he started. That s why I love cash flow is here, the cash flow is based on the movement of time and not the movement of stock. I m buying and selling the stock pretty much in the same areas. So that s an example of using fundamental analysis on a sovereign level, technical analysis, and then the cash flow strategy to see where the harvest is as where I saw it fit. Of course, things change. So next time, we re going to talk about risk and the different types of risk, how to manage the risk. It s going to be awesome. I hope you re enjoying this series. I m always working to improve it. I m always working to get better because it s so important right now. People need opportunity. Right now in this country, there s not a lot of opportunity, I m afraid. We got unemployment for new college students in the double digits. We got unemployment really close to double digits for everyone. So while there s no opportunity maybe in the job market or maybe a person doesn t have the opportunity to retire like he d like to, but then there is always opportunity in stock market and no one can stop you from making that type of money. No one can because if you re going to press those buttons, there s no asking and say so. It s always available. You control it. So, really fun stuff here. Hey, congratulations. You just completed Basic Cash Flow. That was awesome. We ll see you for risk management. END OF CASH FLOW MODULE 5