Newsletters - Past Issues

Costco as seen thru a flies eye- More money stuff. Update May 28, 2016.

 

Greetings and Jambo!

 

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Do your eyes pop out when watching 47 large screen TV's? A visit to Costco

 

 

Big box stores or superstores the likes of Walmart and Costco make their profits in a sector where profit margins are less than stellar.  Food stuffs are traditionally a low markup item and although these super stores sell more than just food, the methodology of just how these giant retailers stay in business is by selling in bulk. This is also known by the famous quip as   “making it up in volume”.

 

This generally means if you sell a lot of a low markup item, you still make a profit. Make a few cents profit selling an egg may not sound like much, but sell a zillion eggs and you’re talking real money here.

 

I love going to superstores as I am sure most of you do. The rest of you might find it a necessary evil in order to save money. I hate the crowds of course and the long walk you will likely take from the parking space you managed to find a block away due to all the customers, but the experience is obviously enjoyable for many.

 

My 91 year old dad loves it. He loves all the sample food they give out and if you go on a weekend, you can literally have a full meal there by the time you traversed all the aisles. I know he loves it because he is the only one I know who will travel 50 miles to get there and walk out with a bag of peanuts and a steak, the total worth about 15 bucks.

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My last trip was the usual trip, meaning I have never gone there without dropping a few hundred dollars and more often than not, up to $750.  I imagine many have had similar experiences.

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My last trip was the usual trip, meaning I have never gone there without dropping a few hundred dollars and more often than not, up to $750.  I imagine many have had similar experiences.

 

Anyway I entered the Costco in Roseville and was greeted by 47 TV screens all airing the same program, “The Price is Right”, an old game show where contestants pick between door #1, #2 and #3 for crazy prizes.

 

Talk about viewing the world through a fly’s eye. (Flies have like a zillion eyes and so it is thought they see multiple images of everything which is why it is so hard to swat them. How do you sneak up on a fly waving a zillion fly swatters?) 

 

Anyway I’m zoning out at seeing door #3, actually 47 door #3’s opening up revealing….. “A BRAND NEW CAR”!  Well actually 47 brand new cars.

 

My eyes are bugging out watching 47 of everything so I blow past the TV section with my corneas still intact only to see the plant section. For a second I thought I saw 47 plant sections but that was only a temporary after effect of the TV department.


So I find myself looking up at a 16 foot tall bottle palm thinking “Who has that big of car to fit this thing in anyhow”.

 

Keep in mind the plant is an “impulse buy” for most of us. I myself have never bought a plant at Costco basically because I go there to buy toilet paper and staples like everyone else does and don’t even think about buying a plant there. But Costco being Costco does everything big so I see the size of plant and say “uh no”. 

 

The booze section is usually next and although I like Vodka I just can’t bring myself to buy a 3 foot tall, 5 gallon bottle of it. The image that would give to me AND everyone in line would be that I live on the stuff and am a raging alcoholic, of which neither is true. I would rather pay more at my local grocery store then buy that HUGE of a bottle of booze and carry it out front of everyone!

 

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As mentioned, super stores make profit by selling MORE stuff but at a lower profit than smaller stores. They succeed by FORCING you to buy more by only selling huge quantities of everything.

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As mentioned, super stores make profit by selling MORE stuff but at a lower profit than smaller stores. They succeed by FORCING you to buy more by only selling huge quantities of everything. 

 

I needed Cumin spice that day and in a not so rare moment of insanity, bit on their Cumin container and bought their smallest size, a one quart size of Cumin.

 

It’s so big I likely have to leave it in my will, unless I discover a zillion ways to use Cumin which I highly doubt.

 

I imagine other oddities like hearing aids in three packs (think about it), two shrink wrapped one gallon bottles of Listerine (makes the checker pull back a bit), a bottle of 10,000 One a Day Vitamins pills (about 27 years’ worth),  a box of 50 onions (why you need so much Listerine), half a cow, an 8 LB cheesecake  (ugh), 400 hot dogs or a 20 lb. pack of frozen pot stickers. I mean really! Do people actually eat that much stuff?

I guess~

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But Costco convinces people we need a quartz size bottle of Cumin which is one reason they are so successful. They play on people eyes being bigger than their stomach

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But Costco convinces people we need a quartz size bottle of Cumin which is one reason they are so successful. They play on people eyes being bigger than their stomach.

So now instead of ever shopping for Cumin again, we now need a longer last will and testament in order to cover the left overs when we die from Cumin poisoning.

 

They do have quite a system there, no grocery bags, just boxes, pull carts for over shoppers and fork lifts for those that really go overboard.

 

Ah, the super box stores, you gotta love em.

 

Now if I can only find the exit door out of the 47 of them I blurringly see……

 

Jambo!

 

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As you vote for your candidate, here are some words written a long time ago on how to control a society in the writing entitled "How to create a social state" by Saul Alinsky author of the book, "Rules for Radicals"

 

(This is some scary stuff)


There are 8 levels of control that must be obtained before you are able to create a social state.

1) Healthcare — Control healthcare and you control the people       (DONE)

2) Poverty — Increase the Poverty level as high as possible, poor people are easier to control and will not fight back if you are providing everything for them to live.   (HAPPENING FOR DECADES)

3) Debt — Increase the debt to an unsustainable level. That way you are able to increase taxes, and this will produce more poverty.  (DONE)

4) Gun Control — Remove the ability to defend themselves from the Government. That way you are able to create a police state.   (SLOWLY WORKING ON IT)

5) Welfare — Take control of every aspect of their lives (Food, Housing, and Income).  (WORKING ON IT STEADILY)

6) Education — Take control of what people read and listen to — take control of what children learn in school.   (DEPT OF EDUCATION- PRETTY MUCH DONE)

7) Religion — Remove the belief in the God from the Government and schools.  (ALMOST DONE ENTIRELY)

8) Class Warfare — Divide the people into the wealthy and the poor. This will cause more discontent and it will be easier to take (Tax) the wealthy with the support of the poor. (YEP) 

Now, think ...  it does not a take a rocket scientist to see the US today has followed these points to a "T". Wake up America, is your candidate walking in line with this mantra or against the progression of it?

 

 

 

 


 

What is it worth? Money Update May 18, 2016 Please Read!

    

 

 

Jambo!

Last week we told you about our VIP dinner with a Congressmen and a Senator and the many other VIPS and dignitaries, an event I was invited to with my son Kyle.

It seemed like the only one that was not there was a Caesar of Rome and Obama himself! I kid you not, there were that many VIPS. (See last newsletter).


 

Money Matters update- April 29, 2016

Jambo!

That is Swahili for hello!  I once read an article from an owner of a cigar company and as he hiked up Mt. Kilimanjaro (a torturous forced march initiated by his wife), he passed hiker after hiker who acknowledged little in exchange except this brief word. Each passerby uttered it without hesitation and since Kilimanjaro is a popular (as in very) hike, this gentlemen literally heard hundreds of “Jambos” as he huffed and puffed his way up the mountain. Remember this gentlemen owns a cigar company. Twice the tar and twice the nicotine as a pack of smokes (one cigar). So up he trots (well actually lumbering) huffing and puffing and thinking “man, how good would a cigar taste at the top” but then figures “not very”. Suffering in his reduced lung capacity as he goes higher and higher he eventually thinks about saying “the hell with this”.

Meanwhile “Jambo, Jambo, Jambo, Jambo” he hears from everyone and everybody.

It’s customary for each person to say hello in Africa and I guess it’s regarded as rude if you don’t so everyone that passed this poor puffing wretch said Jambo!  Poor guy, out of breath and driven crazy to boot.

So after hearing the word Jambo roll around in his oxygen starved brain for hours and never expecting to complete the many days it takes to reach the top (only 45% make it) he finally decided enough is enough and sits down. That stops the pain somewhat but the “Jambos” keep coming from the hundreds going down the mountain.

He doesn’t know what’s worse, being exhausted, hypoxic and out of breath or hearing Jambo so many times it starts to sound like a foreign word. Whoa, wait a minute, it IS a foreign word. Well anyway, it starts to sound like all garbled and nonsensical as any word does if you say it enough times (try saying the word “usual” 100 times).

He coughs and spits up a UBG (unidentifiable body goo) which is actually a UBGCBS (unidentifiable body goo caused by smoking) and decides this whole Kilimanjaro thing is not his cup of tea. (Yea that was pretty gross, my apologies to those eating).

So the hilarious story goes on but I will spare you more lurid details and just say Jambo to all you Money Matters fans!

Jambo!
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This radio thing gets me into a lot of cool stuff. First my southern states trip I told you about last week (and posted a few photos) due to an LA radio gig with some radio heavies and then into a Giants spring training game.

The real credit of course goes to God which always puzzles me. Me, being an imperfect Christian (aren’t we all) and thinking I am actually more imperfect then most others, I continually am blessed with amazing things and opportunities, of which have included everything from riding in the back seat doing flips and rolls and high G turns with Thunderbird pilot. Lt. Col. Dean Wright to being on ABC Television America’s Funniest Home Videos and winning the grand prize to a life of sports, music and radio, all of which has brought me both elation, success, some pain at times and a whole bunch of cool acquaintances.

So the hits keep on coming lately. Last week I was invited to a VIP dinner with an obvious “not so poor” group.

The organizer of this event apparently is a big fan of show and invited me to this dinner. I didn’t know what to expect but took my son Kyle with me for company. Turns out a whole bunch of elected officials were there including a Congressman and a Senator. Kyle and I were introduced to all of them.

Here is Kyle chatting with Congressman LaMalfa.

We both got to chat and swap stories with the Congressman. Kyle asked for a letter of recommendation because he is aiming for an Ivy League school or the Naval Academy which requires such things. The Congressman gave Kyle instructions of what he needs to do. Then wouldn’t you know it we then met an admission officer to the Naval Academy at the bar! Talk about a coincidence!

When it came time to sit down, the organizer had me at his table which was table #4 out of about 30 tables. The Congressman was right behind me at table #5 so go figure! The only people at my table were myself, Kyle, the organizer Mr. Rich Ulery and his lovely wife, their friend and Senator Gains with his aide. So I had a Congressman behind me and a Senator across the table.

Here is a photo of the table, the Senator is sitting directly across from me. The slightly portly fellow to his left is his aide.

It’s a bit blurry so sorry! It was a good day. Here is Kyle with the Senator!

After the photo the Senator continued chatting with Kyle and when Kyle returned to the table he gave me the aide’s card and said the Senator offered Kyle a Senate internship in his Junior year! Kyle and his proud father were thrilled of course. What an opportunity and all because of the blessings I have been gifted with. Thanks to all of you for your support!

In the next update I will show you what the next day held for us and it was a doosey! Kyle and Dominic get an hour long one on one lesson on shooting the basketball from a former NBA head coach!  I am dead serious. It happened this weekend and I have photos and the story for you next week. How many kids get one on one lessons from the coach of the Denver Nuggets and the Washington Wizards!  Not many but it happened last weekend. Here is a sample picture with the former head coach!

 

Stay tuned for the incredible story and more photos!

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Market risk is a name used in investment planning to describe the possibility of stocks going down not from individual company news but because the overall market goes down. Since most stocks move in concert with each other at times of extreme volatility, both up and down, market risk is thought to be an unavoidable risk if one own stocks. These inherent risks in markets run the gamut from political risks (government or political events affecting markets) to black swan events (unforeseen occurrences such as 9/11) and many more. The main point with inherent or unavoidable risks is there is little one can do to prepare for one. Not all stocks however move in the exact direction of the overall market and some have a tendency to move in the opposite direction. To illustrate this, one only has to look at certain sectors of stocks during market routs and see if they indeed moved in the same direction, moved in the opposite direction or didn’t move at all.

When a “risk-on” environment is upon us investors perceive the investing waters are safe and buy stocks. This is typically when the economic environment is perceived as normal and healthy and investor concerns about the world around them are placid and calm. A “risk-off” environment is when investors are nervous about what it happening around them. During risk-off periods, investors tend to flee most stock sectors and buy assets considered “defensive” or perceived as safer than the general stock market. These areas might include bonds or preferred stocks (typically called fixed income investments) utility sectors, foodstuff and staple sectors, government investments such as T-Bills, Treasuries or other government issued debt, Ginnie Mae funds (government mortgage backed securities) and other particular investments thought to be more stable in times of market duress. Ture to form many of these sectors rose during the January 2016 sell off.

Although there are other investments that actually are designed to rise in market sell offs, these types of investments (known as short or bear funds) can be a risk type of investment as they may also fall in value if markets rise. A diversified portfolio may hold both risk-on and risk-off types of investments in order to participate in rising markets yet offer some degree of safety in falling markets. A dynamic strategy which attempts to move in and out of assets depending on market conditions is also possible but timing is the key here. Many an investor has tried to time market movements only to be burned when markets moved in the opposite direction expected. To insure your portfolio is diversified, you might research what sectors and assets tended to rise during market upsets and which sectors just mirrored the markets. Although past performance is never a guarantee as to future movements, certain actions and reactions in markets tend to repeat themselves when observed over a larger time period and history can at least be a guide as to where to look for risk-on/risk-off areas to park your money.

Of course, always consult with a qualified investment professional when considering any investment and do your own research before investing. Since there are always degrees of good, better and best in all areas of human expertise, realize there are always strategies which may help smooth out market movements if one knows where to look.

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Money Matters airs next week, May 5th at noon PST on KVMR. Tune in while we cover the markets and our economy. Who knows what stories I will have to tell by then!

Watching the markets so you don’t have to,

Marc

PS: Our website had some technical issues so we apologize. We are working on the issues.

PSS: Jambo, but leave early and allow 30 minutes. 

 

Have old decking? Need a refinish? How about having my son do it! Read the ad below and thank you! A Money Matters T Shirt comes with all inquiries!


 

Money Matters Update- April 20, 2016

 

 

 

                                                                                               Grand Canyon by plane                           Giants Preseason Baseball

 

 

Marc's Notes:

I stayed in Phoenix, Arizona a few weeks back, guest of a San Francisco Giants spring training game and being my first time in Phoenix, I found the city to not be lacking in space. Everything there is spread out as if there was any hankering to make a street longer just to make it longer, Phoenix might be the place that did it.

I mean, some destinations just seemed to be farther out just to be farther out. Often the street and byways were wider than necessary and empty lots filled the spaces between destinations. It was as if city planners said “we are in the middle of the desert with more land than God so let’s double the distance between places just in case we want to fill it in later”. Either that or “lets flaunt our plethora of wasted space to make big city visitors jealous”.

Whatever the reason, I found myself going “holy cow, look at all this wasted space” or “Man o’man, I can’t believe it’s taking me 30 minutes to find an Outback Steakhouse”.

You would think a place like Phoenix would have a ton of Outback’s and they actually have 3 (all 30 minutes from each other) and many more chain restaurants just like it. It was just that everything was so spread out no matter where you were, everything seemed to be 30 minutes away.

The stadium was 30 minutes, the airport was 30 minutes, finding a steak was 30 minutes, the hotel was 30 minutes. Heck it even seemed making my way to the bathroom took 30 minutes (well that’s an exaggeration of course). So traversing Phoenix was making sure you had plenty of gas and plenty of time and you had to leave early for everything.

The streets were way wide so driving by brail was super fun, waiting with eyes shut to hear the proverbial “bumpity, bump, bump” of the highway buttons to know you were straying into dangerous territory. What fun I had. (Don’t try this in Los Angeles).

The rental car company gave me what I call the “Rubik’s cube” of Ford.  A sort of delivery vehicle with 6 seats, square as a Texas dance and with TONS of head room. It was the kind of car that looked like the Nissan Cube but it was a Ford. It was originally sold as a custom delivery vehicle but was cheap (hey, it’s a Ford) so the rental agency bought a ton of these and rented them as “minivans”.  HAHAHA, it was quite a shocker seeing this block of square metal upon arriving at my rent a car slot and when I got in, I noted the roof was literally 2 feet above my head, I kid you not. It had a weird sort of shelf above me that was so odd shaped the only thing I could fit in there was my crumpled up sweater.

The “cube” drove ok although it lacked power and was noisy but the view from inside reminded me of “Wayne’s World” Chevy Pacer which they made with huge windows. The cube kind of grew on me and eventually I thought if I ever have a second house somewhere this would be the perfect car to park for 9 months than run around town in during my stay. It got ok gas mileage but not great for the unpowered motor it had

(hey it’s a Ford) and was cheaper to buy then a Mini-Cooper ( I think) with way more space. That’s IF you don’t mind the weird looks that you get from other drivers thinking you are the Adams family or Clampetts with no clue as to what one SHOULD NOT BUY.

 

But I don’t care, I laughed the whole way and continued to marvel at the ridiculous nature of this car every time I came upon it in the parking lots, having forgotten about it every time I left it somewhere to go do something. So goes the cube. Anyway the trip was event packed and in the last newsletter I showed you a few pictures from my hike so I hope you enjoyed that and today’s travel edition of the world as seen through “thine own eyes”, (Star Wars line from Return of the Jedi”).

Peace and tranquility to you, but leave early and allow 30 minutes. :)

 

Markets:

Meandering I guess is the best way to say it. Continued strength in many sectors including gold, commodities, healthcare and others. The Dow appears to have no fear as it attempts to assault the 18,000 level. A far bit more enjoyable then the bloodbath we witnessed in January. Nobody knows where it goes of course until after it has arrived so past movements are no indication of future glide paths but we added a few small positions to take advantage of what appeared to me to be nice trends in certain areas.

Existing clients can view their statements and trade confirmations to see our thinking and what we added.

Any dividends or payments can also be viewed on your statements or on your brokerage account website.

Non-clients wishing to discuss options, get a no-cost review or just hear our way of investing can email me at mcuniberti@cambridgesecure.com or call my office to set up an appointment. (530) 823-2792.

Watching the markets so you don’t have to,

Marc

No Money Matters this Thursday or next due to the membership drive. Next show is first Thursday in May. 

 

Want me to speak at your event? Just send me an email.

Want to me to discuss your holdings? Again just email me.

 


 

Seminar completed! Available for talks at your group! Update April 11, 2016

Hello Money Matters fans and investor enthusiasts. We had a great seminar at the NC Winery last week with a great turn out!

If you couldn’t make it, don’t worry, we are scheduling another one so stay tuned to Money Matters newsletters and get on our mailing list by subscribing to our website Moneymanagementradio.com. If you would like me to speak at your meeting or organization or know of an organization that might like me to give a talk, let me know! There is no cost or obligation to have me do so and talks range from half an hour for up to 3 hours if need be.

Looking forward to seeing all of you soon!

Marc

PS: I set aside the next 3 weeks to meet with you or anyone who might want a no cost evaluation of their portfolio. Email me at mcuniberti@cambridgesecure.com to make a appointment!

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Travel log:
I once went to Hawaii with another couple and the woman of this other couple was a loon (to put it mildly). I made the mistake of letting her drive. With me trying to talk some sense into her as she drove 100 mph with me in the back seat of a convertible mustang, she said "you have to face your fears". I thought... humm.... I fear getting hit by a train but that does not mean I plan to stand on an active train track at some point.

Anyway I survived and she drove me to drink heavily that evening (although I never called her to thank her) but that statement stuck with me. So here I am on my Southern States US trip for business and pleasure after hiking up a few thousand feet on what was deemed a "strenuous" hike to the "vortex" by Sedona Arizona (the Carmel of Arizona). Keep in mind I am scared of heights. In back of me is a steep drop and the winds in there swirl and howl and its supposed to be some sort of magical experience. If you call me s******g a brick magical, well ok then, but I gathered my wits and "faced my fears"  (thank you crazy woman) and although I look calm and sedated, I was anything but. (Son in background left but do not let the picture fool you, it was mega hairy). So I scrambled up the steep cliffs (having lossed 22 pounds by way of the adultery diet and no its not what it sounds) and when I arrived here I nailed my foot to the rock by way of an aluminum peton and yelled to my oldest boy to "Take the f....g picture before I pass out!"   He said "look happy dad" and I retorted "Take the picture or you will never walk again!".

So here it is. Note my feet are not in the picture on purpose so you cannot see the head of the peton sticking out of my right boot.

 

After several wraps of bandages and three yanks to remove said peton from my expensive Ridgeline boots, I then went to go down and drink heavily when my two boys said "how about a picture of the 3 of us Dad?" Having extricated the aluminum spike I now had no way of securing myself to the rock ledge and now had to once again traverse the cliffs to arrive again at the "vortex" but now had to wait for my 2 boys to arrive and then convince someone to snap another photo. You will note how Dad is holding onto the middle boy with both hands to insure if I goes, he goes. Sort of like "kill the tortise when I die because I can't stand to have that thing live longer then me".

Anyway it reminded me of a hotel I stayed in Mexico on the 26th floor and saw a Mexican guy on a board suspended by manila rope washing the outside of my window hundreds of feet up. He had no harness but a large piece of rope around his waist. Never mind the fact if he fell he would snap in 2 as he had no harness, just this rope, but as I leaned a bit more over to see more I noticed he was not tied to the board nor the suspending rope but to another guy. I kid you not. Talk about bonding!

I never did see either of them the next day but the board was still there so I have no idea what happened.  Well anyway, as you can see I am holding on for dear life but we got the photo and I survived the trip down (going DOWN a mountain is WAY WORSE then going up) despite a peton sized hole in my foot and boot and those damn bandages dragging the whole way as to make me look like some kind of mummy had crawled out of some ancient cave somewhere farther up the mountain and was looking for a meal. Notice again toe of right boot is not in photo. I photo-shopped the blood, sinew, bandages and the like out of the photo for deceny. Its not a smile, its a grimace~

Markets:

Solid recovery in indices in the last few weeks for sure. Markets appear to be under little stress at this time but that can change as we all know! With the elections in plain sight, most of America is focused on the candidates. A Federal Reserve meeting yield a “Stand pat” stance on interest rates citing concerns about markets in general and employment data. (Federal Reserve Minutes). Oil prices saw their biggest increase in 2 months and a lack of any negative market moving news seems to have placated investors at this particular time.

The Dow remains in the 17,000 range, off their recent lows and volatility has ebbed. We carefully watch the markets for any signs of imminent moves and continue to diversify portfolios with both “risk on” and “risk off” type holdings and strategies as well as implementing stop loss points and trailing stops to adhere to proper risk management and retain positive attributes in all portfolios. With summer coming and the fall elections, there are indeed possible catalysts which must be considered as we transverse along 2016. Stay tuned to Money Matters, our show and our newsletter to keep abreast of take on the markets and our portfolios.

Watching the markets so you don’t have to,

Marc


 
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