Transcript

Hello, and welcome to our market alert video for the week ended April 30, 2021, and this is the ending of one of the best months, Aprils, that we’ve had in decades, and it’s reflective of the recovery that we have been chronicling and telling you that we felt would happen, and it is in fact now starting to show. Last Wednesday was my 36th wedding anniversary, so also a big week for me. I have to say I worked, Wednesdays are a day when the investment committee meets, when our senior council meets, we have a meeting on our policies and procedures meeting. So, it’s a long day for me.

I got home after a long day which starts at 6:30 for me on Wednesdays, and when I got home, my wife was all dressed up. She looked beautiful. She always looks beautiful, and I said are you going out, what’s going on. She goes no, we’re going out. And I said, oh, really, why, and she goes because it’s our 36th wedding anniversary. I’m like, oh that. Now, just so you understand. I did not forget it because we had planned it and all that, and I was all over that. It was just, on that day, I’d had a really long day. It was a great day. I enjoyed it, but I was tired mentally, and when I got home, it was like oops. So, anyway, a couple of glasses of champagne and she got over it. So, we had a nice time, but going back to the economy, we’re going to most likely see, going forward, a rise in inflation. In fact, I was talking to a client who, he’s actually a salesperson for a company that sells meat, and what he said was that he’s going to have the best year he’s ever had this year, and the reason why is because he’s not selling more meat, it’s just that the price of meat has gone way up, and so, therefore, if you’re buying meat to eat at home, guess what, your cost of food is going up in that regard.

People are driving more. They’re out in their cars. Traffic has already started picking up again. And so, gasoline prices are rising. So, demand is on the rise, and the supply is having a hard time keeping up with it because it’s rapidly expanding. And so, because of all of that, we’re going to see in our view prices of things going up, and that generally is perceived as inflationary. Now, having said that, we believe that it is transitory. The word, right? If you’ve been watching my videos, you know that that is the word. I actually heard a guy on Bloomberg on Friday morning, one guy say it five times in about a 5-minute interview. So, transitory is the word that the Federal Reserve has given us, and it is the word that, apparently, we’re going to all be using a lot over the next year, and that is, is this permanent inflation, or is it transitory.

Our wage, because there’s a shortage of workers to satisfy the demand, getting them back to work quickly is difficult for a lot of companies. So, therefore, there’s wage pressure. So, is that transitory? So, all eyes are going to be on the fed, and what they told us last week is everybody calm down. We’re not going to do anything. We believe it’s all transitory. So, given all of that, the fed is not going to get in the way of this recovery. We believe we’re going to see the fastest growth in the economy we’ve seen maybe in 50 years, and we also will see profits rise, we believe, and because of that, we think that the stock market will rise with it. So, this is a time of opportunity despite all the risks that we see that are there as well, not the least of which, of course, is the amount of debt that we’re taking on as a country which could prove to create a worse problem than this transitory inflation that we’re seeing given the recovery. It may be a more permanent kind of inflation which is brought on by government overborrowing, and we’ve seen Greece and England and Germany and other countries experience some terrible inflationary times due to their country borrowing too much. We don’t see that until next year.

So, but we do have our investment protect strategy ready, so if our crystal ball is wrong, and we do get a big bad drop in the market, we will take action to protect you from that to the extent that we can. So, we want you to have financial peace of mind. We want you to not worry about all of this stuff, and don’t worry, I haven’t been harmed by the boo-boo that I made on Wednesday. I have a very understanding wife and probably one that I would say has infinite patience and having put up with me for 36 years, I think, is quite a feat. So, Faye, I love you and thank you, and for all of you watching this, I love you too, and I thank you for watching this video, and we’ll talk soon.

MMWKM Advisors, LLC (d/b/a Retirement Planners of America ) (“Retirement Planners of America”) is an SEC registered investment adviser with a primary business location in Plano, Texas. Past performance may not be indicative of future results. All investment strategies have the potential for profit or loss. References to the “invest and protect strategy” (the “Strategy”) and recommendations made under the Strategy from 2007 through 2009 refer to strategies collectively employed and recommendations collectively made by Retirement Planners of America’s principals while employed at Eagle Strategies, LLC., and also at Cambridge Investment Research Advisors, Inc. Four of the five principals remain as principals today, including the Retirement Planners of America’s founder, Ken Moraif, and Chief Investment Officer, Eli Dragon. Retirement Planners of America has been employing the Strategy since its inception in 2011. Therefore, any references to Retirement Planners of America’s performance or its investment advisory recommendations predating 2011 generally refer to recommendations made by Retirement Planners of America’s principals at the respective other firms described above. Like all investment strategies, the Strategy is not guaranteed. It is possible that it can incorrectly predict a bear market (generally accepted as a 20% drop in a market index), which has, in-fact, happened before at Retirement Planners of America and affected its clients accordingly. When the sell / “protect” portion of the Strategy is implemented, affected investors will incur transaction costs and taxable accounts will incur tax consequences. However, when implementing that portion of the Strategy, Retirement Planners of America generally believes that the benefit of avoiding bear markets outweighs the burden of these transaction costs and tax consequences.