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[Music]
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tool welcome to the best interest
00:01:18
podcast hosted by Jesse Kramer where we
00:01:20
discuss today's best ideas in personal
00:01:22
finance and investing the best interest
00:01:25
is a personal podcast meant for
00:01:27
entertainment purposes only it should
00:01:29
not be taken as Financial advice and is
00:01:31
not prescriptive of your financial
00:01:33
situation here's your host Jesse
00:01:37
Kramer hey guys what is up welcome to
00:01:41
episode 30 of the best interest podcast
00:01:44
I am Jesse Kramer now today's episode is
00:01:48
it's trash well what I mean is we
00:01:50
discussed the stock for Waste Management
00:01:52
you know the garbage company and a few
00:01:54
other stocks and of course one man's
00:01:57
waste management is another man's
00:01:58
treasure and this episode is pure gold
00:02:01
so if you're a stock picker or if you're
00:02:03
curious about dividend investing or
00:02:05
maybe you just want to hear about a
00:02:07
young gun who first started investing as
00:02:09
a teenager this episode is for you but
00:02:13
real quick before I introduce Our Guest
00:02:15
could you please pause the show and then
00:02:18
in your podcast app give a rating and
00:02:20
review to the best interest podcast why
00:02:23
because the best interest it's a growing
00:02:25
small business and I want to keep making
00:02:27
this content for people just like you
00:02:30
a rating and a review it lets all those
00:02:32
fancy algorithms know that you care
00:02:35
about this podcast and I know I'm asking
00:02:37
for your time I'm asking for your effort
00:02:40
and I know that you don't owe me
00:02:41
anything so I really appreciate those of
00:02:44
you who decide to sacrifice that time
00:02:46
and effort to leave that rating and
00:02:48
review thank you guys so with that let's
00:02:52
go meet our
00:02:58
guest
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[Music]
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my guest today is a young investor who
00:03:05
is spreading knowledge about stocks
00:03:06
through his social media channels and I
00:03:08
am particularly excited because he
00:03:11
specializes in information about
00:03:13
dividend stocks a Hot Topic that I am
00:03:16
particularly interested in and don't
00:03:18
worry everybody we'll talk about what
00:03:20
they are how they work and the pros and
00:03:22
cons of a dividend heavy portfolio so
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here he is the dividend hero welcome to
00:03:28
the best interest podcast my man how you
00:03:30
doing hey Jesse thanks for having me
00:03:33
doing pretty well it's great to meet you
00:03:35
great to talk to you and I figured we
00:03:38
could start because compared to most
00:03:40
people out here you're on the young side
00:03:42
I know compared to many of my listeners
00:03:44
you're on the young side so I was
00:03:45
helping you could tell us a little bit
00:03:47
about how you started investing and how
00:03:49
you started sharing your ideas with
00:03:51
others at such a young
00:03:53
age yeah man that's a great question so
00:03:56
um I first got into investing I took a
00:04:01
personal finance class in high school um
00:04:05
and we did a stock market game through
00:04:09
market watch I think it was or or one of
00:04:12
those one of those websites where you
00:04:13
get a a fake 100,000 and it was like a
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group project and um you know we picked
00:04:19
some stocks and um I just remember
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talking to my dad about it and um you
00:04:25
know he he kind of helped me through a
00:04:26
lot of it and and taught me a few things
00:04:28
along the way and um I think that was my
00:04:30
junior year of high school um and then
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round about senior year when I graduated
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from high school um I got money from my
00:04:38
high school graduation and decided to
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invest it and said hey let let me you
00:04:44
know how do I invest some of this or how
00:04:46
do I invest all of it and yeah that's
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what I did and I invested it and I
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forgot about it for a couple years not
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going to lie it just let it do its thing
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um which I always tell people is
00:04:59
probably the best best thing that ever
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happened to me I wish I could forget
00:05:02
about my Investment Portfolio nowadays
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but I am checking it way too frequently
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um so I wish I could go back to that
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innocent state of just letting my
00:05:11
investments work um but I you know I
00:05:15
invested it in a in a div the Vanguard
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High dividend yield um ETF and then an
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S&P 500 ETF um along with my dad's
00:05:25
guidance so um and so yeah that's kind
00:05:29
of that's kind of how I got started with
00:05:30
investing and it uh it I just did it and
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then I forgot about it and then I think
00:05:37
stock market and just as I got older and
00:05:39
I was a business major at Clemson um
00:05:42
stock market just just came up here and
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there and I was like oh I you know I
00:05:46
think I invested some money how do I how
00:05:47
do I check it like and I started looking
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into it and reading more and reading
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more and then once you start it's hard
00:05:54
to stop so um now I'm 23 um I started my
00:06:01
dividend hero Twitter account over a
00:06:04
year a little over a year ago back in
00:06:06
May of 20120 so as we all know may of
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2020 that was the uh that was a time
00:06:13
that was the Wild Wild West that was UN
00:06:16
you know unforeseen territory but we
00:06:19
made it through and
00:06:22
uh I don't remember what the actual
00:06:25
basis behind starting my account itself
00:06:28
was I think I followed a lot of guys
00:06:30
from my personal account and just
00:06:33
eventually decided just to make the
00:06:34
switch and and make my own account and I
00:06:38
just had to come up with a catchy name
00:06:39
and dividend hero just just he like you
00:06:43
know I like dividends I like dividend
00:06:45
investing
00:06:46
and the name just sounded good I was
00:06:49
like this is a name I can roll with so I
00:06:52
went with it and it's you know it's been
00:06:54
a little over a year and it's been a
00:06:56
great journey so far and uh I've met a
00:06:59
lot lot of great people along the way
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and it's been a super worthwhile
00:07:03
experience growing my account and
00:07:04
meeting people and and doing great
00:07:06
podcasts like this um just just learning
00:07:10
myself I don't Proclaim to be any kind
00:07:13
of expert on any subject I'm here to
00:07:15
learn and then pass any knowledge I've
00:07:17
learned on to others um and just be part
00:07:20
of the conversation and just be an
00:07:22
inspiration to anybody I can well the
00:07:26
motto of the best interest is invest in
00:07:29
knowledge and that's exactly what you're
00:07:31
doing I'm here to learn too I have a
00:07:34
question for you though what do you
00:07:36
remember what that first investment was
00:07:39
with that high school graduation money
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or or what stocks or or was it the
00:07:43
Vanguard you said the Vanguard High
00:07:45
Yield was it was it just the Vanguard
00:07:46
High Yield ETF and what what
00:07:49
drew it was just V VM and then vo okay
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the two tickers obviously not investment
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advice but um just what I invested in
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into and with my you know did it with my
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dad he helped me set up an account and
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he was like this is just just just just
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get your money into it and hold on to it
00:08:09
forever like ETFs are a great way to
00:08:12
invest long term um I'm not sure how
00:08:14
many people know about ETFs or or what
00:08:17
your comfort level of them are but it's
00:08:19
essentially a basket of
00:08:21
stocks um and so you're getting some
00:08:24
really good
00:08:25
diversification and you're not putting
00:08:27
any kind of single risk in one one stock
00:08:30
or one company you're getting a whole
00:08:31
basket of them and so just for the long
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term I mean they're just they're just
00:08:35
built to last and there and there's just
00:08:38
nothing you nothing you've really got to
00:08:41
worry about per se I mean the markets
00:08:42
will go up and up and down but you're
00:08:44
not worried about it an ETF isn't going
00:08:46
to go bankrupt or an ETF isn't just
00:08:48
gonna just gonna collapse I mean
00:08:50
especially when you're with like
00:08:51
Vanguard or a big institution I mean
00:08:53
right right so just a safe investment
00:08:57
really right so an ETF for for listeners
00:08:59
who don't know I I kind of describe them
00:09:02
as a maybe a fraternal twin of the
00:09:04
standard index mutual fund they're index
00:09:07
ETFs and index mutual funds that are
00:09:09
more or less identical except for the
00:09:12
the way they are traded throughout the
00:09:13
day right where an ETF cannot be traded
00:09:16
intraday and standard index mutual funds
00:09:19
they're only traded at the end of the
00:09:20
day right right exactly and and mutual
00:09:23
funds can be a little bit more actively
00:09:26
managed by um
00:09:29
different groups whether it be Vanguard
00:09:31
or Fidelity or Morning Star just just
00:09:34
different um different mut fund Brokers
00:09:38
or or managers and ETFs are more uh
00:09:42
passively managed and it's just the best
00:09:45
stocks us just rise to the top whether
00:09:47
it's market market cap weighted or a
00:09:49
price weighted index and so it trades
00:09:52
that way and so you're you're trading
00:09:54
off the expense ratio you're paying a
00:09:57
little bit of a higher fee to own the
00:09:58
mutual fund but with it being actively
00:10:01
managed the hope is that you can get a
00:10:03
little bit out performance whereas an
00:10:05
ETF is a lower expense ratio but you're
00:10:09
getting like a little bit more of an
00:10:10
average performance right right so you
00:10:13
started investing you were saying maybe
00:10:15
around 2016 2017 if my math is correct
00:10:19
maybe 2016
00:10:22
2016 so it's been a pretty good fiveyear
00:10:25
period from 2016 until now it's been a
00:10:28
good time to be in the stock market so
00:10:30
I'm curious do you have any thoughts or
00:10:33
have you been preparing for the
00:10:35
eventuality that things are going to go
00:10:37
down at some point and and and things
00:10:40
might not look as good as they do now
00:10:42
and whether it's providing content to
00:10:44
your to your readers about how to react
00:10:47
in that kind of scenario or whether it's
00:10:48
you looking at your own port portfolio
00:10:51
like you say you do what what are you
00:10:52
going to do if and when things kind of
00:10:54
go south yeah that's a great question um
00:10:59
I mean obviously in the time I've been
00:11:01
investing I've seen some
00:11:03
volatility um between when President
00:11:07
Trump was in office and it was talk of
00:11:09
terce um there's a lot of volatility
00:11:11
around that and then obviously with
00:11:13
Corona
00:11:14
virus um big sell off then um I will
00:11:18
admit that I was not as prepared I mean
00:11:22
I was not as prepared as I should have
00:11:24
been during the coronavirus selloff not
00:11:26
saying I could have known it was coming
00:11:29
but I at least could have um held on to
00:11:33
my cash and waited for the selloff a
00:11:36
little bit longer or just whatever I
00:11:38
mean obviously it all worked out in the
00:11:40
end um but I think
00:11:44
that the the honest answer is probably
00:11:47
no young people my age haven't haven't
00:11:49
seen a sideways Market or a down Market
00:11:52
or um I mean we've seen I've seen a big
00:11:56
sale off that's pretty that was pretty
00:11:57
scary not gonna lie
00:11:59
um but a sideways market for two or
00:12:03
three years I mean young people
00:12:08
um I don't know if uh young people my
00:12:11
age are are ready for anything like that
00:12:14
so in terms of content I mean definitely
00:12:18
just preaching the same message of
00:12:19
long-term investing and just zooming out
00:12:23
and looking at the the full picture and
00:12:26
realize that you're investing in
00:12:27
companies and pay attention to the
00:12:29
companies and that the stock prices and
00:12:31
the economy aren't always going to line
00:12:33
up with the company's performance and
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that a lot of short-term headwinds and
00:12:39
or even things that get stretched out a
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little longer think in 30 years where
00:12:43
things are going to be um which is hard
00:12:46
to think about which is another great
00:12:47
reason to invest in an ETF because you
00:12:49
don't know what a company's gonna be at
00:12:50
30 years but tracking a whole
00:12:54
index betting against it hasn't worked
00:12:56
so far and not saying it won't ever work
00:12:59
but in the long run over 30 years I'm 23
00:13:02
so that would be when I'm
00:13:04
53
00:13:06
um you know I'm I'm pretty comfortable
00:13:08
putting my money put putting my money
00:13:10
away for the long term right I think
00:13:12
that's all you can do is show people
00:13:15
historical performance show people how
00:13:18
long-term mindsets have benefited in the
00:13:20
past and show people how overreaction to
00:13:24
short-term downturns have damaged
00:13:27
portfolios in the past and say hey I
00:13:30
can't guarantee that the future is going
00:13:31
to be like the past but I'm willing to
00:13:34
bet on it and in that case I'm going to
00:13:36
stay the course and and hold things for
00:13:37
the long term I think that's all you can
00:13:39
do it's a great
00:13:41
answer I wanted to go back to the high
00:13:44
school investing story just one more
00:13:45
time just one more time because uh well
00:13:48
first I wanted to start with your dad
00:13:50
I'm just curious you you went to your
00:13:52
dad for investing advice it's something
00:13:54
I did right around that same age so I'm
00:13:56
just wondering what does your dad do for
00:13:58
for a living and just where did he get
00:14:00
his his investing Knowledge
00:14:03
from um so he he also graduated from
00:14:07
Clemson and then he moved to Charlotte
00:14:10
and was a stock
00:14:11
broker um through I think Bank of
00:14:15
America and then I don't remember where
00:14:18
else he worked um but he was a stock
00:14:20
broker in the early the late 90s and the
00:14:24
early
00:14:24
2000s and then he him and a business
00:14:29
partner bought a tractor dealership and
00:14:32
now he's the soulle owner but now he
00:14:33
owns a tractor dealership and sells
00:14:35
tractors and mon mowers and chainsaws
00:14:37
and covered trailers and um everything
00:14:40
people need when you stay at home during
00:14:42
lockdown and need to take care of your
00:14:44
house so it's uh it's been a great it's
00:14:46
been a great business for him but uh
00:14:49
he's taught me a ton about investing and
00:14:51
he he he started investing at a at a
00:14:54
pretty young age as well and um learned
00:14:56
a lot of that through his personal
00:14:58
career which is awesome um some
00:15:01
certainly something that a lot of people
00:15:03
don't get going in the professional
00:15:05
Workforce nobody unless you're in
00:15:07
investing nobody at your job knows about
00:15:10
investing so it's pretty awesome that he
00:15:12
was able to go into a field you know
00:15:14
where he was able to learn about
00:15:15
investing and um even just starting with
00:15:18
small amounts watching that compound
00:15:20
over time um
00:15:24
so yeah long story short he's he started
00:15:26
off being a stock broker but now he
00:15:29
he SS tractors and moners and B based on
00:15:33
stuff based on that timeline you just
00:15:35
said it sounds like maybe he got to see
00:15:37
firsthand the.com Bubble Burst
00:15:40
potentially he even got to see the 2008
00:15:42
great financial crisis and how that
00:15:44
affected the market which is amazing
00:15:46
experience to to pass on to you but even
00:15:49
if he didn't see those things now he's
00:15:51
on the other side where he's running a
00:15:53
business and kind of gets to see things
00:15:54
from behind the books which to me at
00:15:57
least sounds like it'd be great EXP
00:15:58
experience to then parlay with with the
00:16:01
investing experience where you're seeing
00:16:03
things from the Investor's side of of a
00:16:05
business's
00:16:06
books yeah absolutely um and and
00:16:10
honestly I haven't I haven't asked him
00:16:11
too much about 2000 in in the tech
00:16:14
bubble and and what he was doing at that
00:16:16
point in time I mean um but I remember I
00:16:20
remember
00:16:22
2008 I was
00:16:25
10 so just to just to put a time stamp
00:16:29
there but I was 10 and the only reason I
00:16:31
remember it is because I mean and I
00:16:34
don't remember what year my dad bought
00:16:35
the tractor dealership probably 2004
00:16:37
2003 2004 um so he's been doing it for
00:16:40
almost almost 20 years but um 2008 uh
00:16:45
everything was tough I don't I don't
00:16:48
remember what life was like but the only
00:16:51
thing I remember is he started catering
00:16:53
um he loves to cook I love to cook I get
00:16:55
a lot I get a lot from my dad I love my
00:16:57
dad um um but he started a catering
00:17:00
business U making barbecue and just all
00:17:03
kinds of stuff and that kind of um just
00:17:07
kind of kept us afloat during the time
00:17:09
and I was young at the time and I didn't
00:17:11
I didn't know any different I just knew
00:17:13
oh dad likes to cook he makes good food
00:17:15
now he's cooking for 500 people at Big
00:17:18
parties and stuff in my hometown like I
00:17:20
didn't know but looking back as I got
00:17:23
older I realized that the tractor
00:17:25
dealership was not doing great and he
00:17:28
need to make money I mean raising kids I
00:17:31
have a sister so raising two kids and I
00:17:34
mean I just at the time I didn't realize
00:17:37
it and I think that's something I always
00:17:38
hold on to and so I I Look to to Twitter
00:17:42
and building side hustles and things
00:17:43
like that I mean that's just kind of
00:17:45
what you have to do when things get
00:17:47
tough and so I mean you mentioned 2008
00:17:49
and him him being part of that and so
00:17:51
that's just kind of what I take away
00:17:52
from that is is starting any kind of
00:17:53
side hustle
00:17:55
and it's not a new thing right but
00:17:58
people have to but people have to do it
00:17:59
and so it's awesome to see people
00:18:01
getting ahead of the ahead of the curve
00:18:03
and going ahead and building up passive
00:18:05
income um whichever way they
00:18:08
choose uh but for when things get tough
00:18:11
right what a powerful lesson wow well
00:18:14
let's let's talk about some dividend
00:18:16
stocks because I know all right dividend
00:18:19
hero we gotta we gotta get talking about
00:18:21
the dividend stocks so in really simple
00:18:24
terms could you tell us what a dividend
00:18:27
stock is whether it's your definition or
00:18:29
whether it's kind of a more widely held
00:18:31
definition in in your community and
00:18:33
maybe then explain why why any investor
00:18:36
why any listener might consider holding
00:18:39
them in their portfolio not investment
00:18:41
advice but just a a general investor why
00:18:44
why would they consider holding dividend
00:18:47
stocks yeah absolutely uh so just to
00:18:50
start off a
00:18:51
dividend um so when a
00:18:54
company
00:18:57
um does does its quarterly earnings they
00:19:00
have hopefully they have some kind of
00:19:02
cash left over from their quarterly
00:19:04
profits and they have two options with
00:19:07
those profits they can either reinvest
00:19:10
them into the business and hope
00:19:13
to use those reinvested profits to
00:19:17
generate uh to grow the business and to
00:19:19
generate higher shareholder returns or
00:19:22
they can pay out um a percentage of
00:19:26
those profits in the form of divid
00:19:28
s um so a great example of a
00:19:32
non-dividend stock would be Amazon so
00:19:35
any kind of of profits um that they have
00:19:39
left over um they reinvest into the
00:19:42
business and you think of Amazon they're
00:19:43
always growing into something new and
00:19:46
always expanding and people wonder how
00:19:47
they do it well they're keeping all
00:19:49
their cash to themselves and they're
00:19:51
using that to funnel in and
00:19:53
grow now a lot of times you'll find
00:19:56
dividend stocks in companies that aren't
00:19:59
as focused on necessarily innovating and
00:20:03
growing for the future you'll find
00:20:05
dividends you'll find a lot of companies
00:20:07
that are paying um dividends in stocks
00:20:12
one that people love is Johnson and
00:20:14
Johnson um they sell products that
00:20:16
everybody needs every single day they're
00:20:19
not Reinventing the wheel per se um
00:20:23
they're selling medicine and all kinds
00:20:26
of things in the health field
00:20:28
um and there there's not huge amounts of
00:20:32
innovation there per se when you when
00:20:35
you when you start stacking it up
00:20:37
against some of these like tech
00:20:38
companies I mean there's and another one
00:20:40
is Proctor and Gamble selling shamp
00:20:42
soaks and shampoo and bodywash and dish
00:20:45
detergent and it's just stuff everybody
00:20:48
needs so they're generating tons and
00:20:50
tons of
00:20:51
cash and they're not solely focused on
00:20:55
breaking into new segments of markets
00:20:58
and expanding their business but they're
00:21:00
just focused on the longetivity um of
00:21:02
their business and uh maintaining a
00:21:05
healthy balance sheet and things like
00:21:07
that and so they're comfortable paying
00:21:09
out a certain percentage of their um
00:21:14
their quarterly profits to
00:21:17
shareholders um so personally I like to
00:21:21
buy stocks that increase their dividend
00:21:25
payout every year
00:21:28
so they have a history of doing that um
00:21:31
there's also people that like to buy
00:21:33
dividend stocks that pay a high a high
00:21:37
yield or a high dividend per their share
00:21:41
price okay um so there's some people
00:21:44
that are solely focused on income and
00:21:46
they'd rather buy a a a stock that's $30
00:21:50
and and paying out uh a good a good just
00:21:54
people rather buy bigger dividends and S
00:21:58
sacrifice that for lower growth um but
00:22:00
I'm kind of focused on companies that
00:22:03
are every year they're raising their
00:22:05
dividend which means the business is
00:22:07
healthy the business is is Raising cash
00:22:09
is growing
00:22:10
internally um and I think a great
00:22:13
advantage to that is that it's a sign of
00:22:17
of of long-term Investments that are
00:22:21
safe per se their their businesses are a
00:22:25
good business model and they're not at
00:22:28
risk of being
00:22:32
um they're not at risk of being like
00:22:34
overvalued and overstretched and um
00:22:38
normally these are called value stocks
00:22:41
right um and so and so you certainly are
00:22:43
sacrificing growth of your overall
00:22:46
portfolio but you're getting safety
00:22:47
you're getting good
00:22:50
cashr businesses and a lot of times
00:22:53
you're investing in products that people
00:22:55
use every single day and they really
00:22:57
help you sleep easy at night um you
00:22:59
don't really have to worry owning a
00:23:00
Proctor and Gamble or a waste management
00:23:03
or a 3M or Johnson and
00:23:06
Johnson you name a Pepsi I you name it
00:23:09
these are these are companies and
00:23:11
products that people are going to use
00:23:12
every single day
00:23:14
um and then on the on the dividend side
00:23:17
people um oftentimes reinvest their
00:23:20
dividends so you know say it's a $100
00:23:23
stock and it pays out a $5 dividend
00:23:25
every quarter you know and you one share
00:23:28
and so you get
00:23:29
$5 and so you reinvest it so then all of
00:23:32
a sudden you're at
00:23:33
$105 and then that next quarter your
00:23:36
dividend payout is higher because you've
00:23:39
reinvested it you own more shares and
00:23:41
then that grows and the dividend grows
00:23:43
and the share grows the share your sh
00:23:45
your share count grows and then
00:23:47
hopefully you you're still contributing
00:23:49
to your portfolio as well so you're
00:23:52
really scaling it and letting compound
00:23:55
interest um work in your favor um um and
00:23:58
I know a lot of people say that grow
00:23:59
stocks don't compound but they do but
00:24:02
they compound their earnings inside the
00:24:04
share price and so you're able to scale
00:24:06
the the growth stock even higher I mean
00:24:08
Amazon's up at
00:24:09
3,000 you know because they've kept all
00:24:11
their cash and they're scaling it that
00:24:13
way the other option is they pay out
00:24:15
their cash and you're kind of manually
00:24:17
almost scaling it and so you wonder how
00:24:19
like Warren Buffett or all these guys
00:24:22
have built crazy portfolios and they're
00:24:24
holding like Johnson and Johnson and
00:24:26
Coca-Cola and these boring stocks what
00:24:28
because these boring stocks pay out cash
00:24:31
and they're reinvesting that cash and
00:24:32
letting that compound um and so it's
00:24:36
just one strategy it's not one it's not
00:24:39
one siiz fits all it's not going to work
00:24:41
for everybody and it and it really
00:24:43
depends on your situation and your risk
00:24:45
tolerance and just kind of how you view
00:24:48
the markets in general um but it it's
00:24:50
part of my portfolio and I own plenty of
00:24:53
growth stocks I'm pretty transparent
00:24:55
about that um but it is it's certainly
00:25:00
part of my investing strategy and I
00:25:03
uh definitely helps me uh helps me
00:25:06
handle those uh when the market gets a
00:25:08
little shaky or things get uneasy uh it
00:25:11
helps me handle those rough times right
00:25:13
right so if I could go back into your
00:25:16
answer let's talk about say Tesla you
00:25:18
didn't bring up Tesla but Tesla in my
00:25:20
mind is the prototypical growth stock
00:25:25
yep which is kind of the opposite if you
00:25:27
will of a dividend stock and and Tesla
00:25:29
at this point of time they are growing
00:25:32
so fast that Elon Musk for lack of a
00:25:35
better person to highlight Elon Musk is
00:25:37
saying sorry investors we can't afford
00:25:40
to give you any cash right now we are
00:25:42
building new factories we are expanding
00:25:44
our supply chain we are really still
00:25:47
trying to build this company into what
00:25:49
we think it can become and that money is
00:25:51
better used in our hands in Tesla's
00:25:54
hands to to grow than it's you better
00:25:57
than it would be in your hands just as
00:25:59
cash so Tesla is not paying off any
00:26:01
dividends right now but now if I
00:26:04
contrast that to say Johnson and Johnson
00:26:05
or or any of the stocks in your
00:26:07
portfolio what is a typical dividend as
00:26:11
maybe as a percentage or as a yield that
00:26:13
you are receiving is it is it pennies
00:26:15
per dollar is it is it pennies per
00:26:18
hundred dollars what does that look
00:26:20
like so I try to Target stocks in the
00:26:25
two to three%
00:26:28
yield um Range I find that many
00:26:31
companies are comfortable paying out
00:26:33
that range while still growing their
00:26:34
dividend if you're looking at stocks
00:26:36
that are paying 7% 10% 12% some of these
00:26:41
high yield you really need to look at
00:26:43
the health of that dividend and if the
00:26:44
company is able to consistently generate
00:26:47
enough cash in order to still pay out
00:26:49
that dividend um because they might pay
00:26:51
a 12% dividend one quarter but then they
00:26:53
cut their dividend to eight and then
00:26:55
they cut it and then it jumps around and
00:26:57
they're not even growing their dividend
00:26:59
I'd rather stay at the two to three
00:27:00
percent range and keep that dividend
00:27:03
growing over time um and so
00:27:08
I
00:27:09
um I mean if you're at a if you're at a
00:27:12
3% yield and the stock is $100 is a $3
00:27:16
dividend every year um
00:27:20
so you know if you own 10 shares that's
00:27:23
30 bucks a year um which doesn't sound
00:27:25
like a lot um but I think any anybody
00:27:29
who loves dividends will gladly lay out
00:27:31
the math for you and show you how that
00:27:34
dividend will grow over time um which
00:27:38
the the the goal for a lot of people or
00:27:41
the ideal situation is build up a
00:27:44
portfolio and you're able
00:27:47
to get paid out cash and you're not
00:27:50
having to sell shares like that is the
00:27:53
retirement goal as you as you get older
00:27:57
that is the that is the end goal and I'm
00:28:00
23 I'm talk I'm sitting here talking
00:28:02
about dividends which whatever some
00:28:05
people agree with some people don't
00:28:06
that's fine but like when I'm 50 it'd be
00:28:09
pretty cool if some of my companies were
00:28:12
paying
00:28:13
me 5,000 just making up a number $5,000
00:28:16
a year just to hold their stock and I've
00:28:18
been holding it for 20 something years
00:28:19
and the dividend has grown over time the
00:28:21
business has grown over time the share
00:28:23
price has gr grown over time and I own
00:28:26
500 shares just m this this math might
00:28:29
might make no sense but say I 500 shares
00:28:32
well I don't have to sell a single share
00:28:33
I just keep holding on and they're just
00:28:35
going to keep pay me out cash and
00:28:37
instead of reinvesting those dividends
00:28:39
I'm just going to keep the cash and so I
00:28:42
think a lot of
00:28:44
retirees or you know you know people
00:28:47
getting towards retirement don't want to
00:28:49
have to start selling their
00:28:51
shares of companies that they own they'd
00:28:54
rather just hold their Investments and
00:28:56
let those investment pay them out in
00:28:57
cash and they're not as focused on the
00:29:00
growth of the overall portfolio as they
00:29:03
are having the recurring income and so
00:29:06
if I have time on my side I'd like to
00:29:08
build that
00:29:10
up because I can contribute less Capital
00:29:13
towards it now because I have ton to let
00:29:15
this Investments work over time whereas
00:29:17
if you're older you need to put in a lot
00:29:20
more money a lot quicker in order to get
00:29:23
those dividends where I've been building
00:29:25
them for 20 years right and one thing
00:29:28
you hit on earlier that I think was a
00:29:30
great point is how these dividend
00:29:32
companies for the most part and
00:29:34
especially the dividend companies that
00:29:36
you are targeting tend to be stable
00:29:39
companies with reliable dividends so as
00:29:42
you're approaching retirement or while
00:29:43
you're in retirement you don't have to
00:29:45
worry too much about that say you
00:29:47
mentioned $55,000 a year that's going to
00:29:50
be a fairly Dependable number for you if
00:29:52
anything it might slightly increase but
00:29:54
you probably don't have to worry about
00:29:56
that number getting cut in half
00:29:59
overnight because it's coming from a
00:30:01
Johnson and Johnson that's just this
00:30:02
stable Dependable company whereas if you
00:30:06
are a Tesla
00:30:08
investor let's say you're approaching
00:30:10
retirement right now today in 2021 and
00:30:12
you've got you own a ton of shares of
00:30:14
Tesla well the last few years have been
00:30:16
amazing for you that's what a growth
00:30:18
stock that's what can happen with growth
00:30:20
stocks not all but some but at the same
00:30:23
time if I was holding that much Tesla
00:30:25
right now I would be really worried that
00:30:27
it might be
00:30:28
overvalued and that the market might
00:30:30
react in the near future and say boy
00:30:33
Tesla really is overvalued and might cut
00:30:35
the stock price in half and all of a
00:30:37
sudden what I thought was a Dependable
00:30:39
retirement Nest Egg isn't that
00:30:41
dependable anymore
00:30:43
so if I were to ask you let's say I gave
00:30:46
you some money today let's say $
00:30:48
thousand which companies would you
00:30:50
invest in and again this isn't advice
00:30:52
for the listeners per se not investment
00:30:54
advice but if I gave you dividend hero
00:30:56
$1,000 to today which companies would
00:30:58
you choose and
00:31:01
why that's a great question um so ,000
00:31:06
I'm G to put some of it in Waste
00:31:07
Management that's my go-to interesting I
00:31:10
don't even I don't keep it on my stock
00:31:12
watch list I don't I don't even know
00:31:15
what the price is at right now probably
00:31:17
about 145 that's where it's been
00:31:18
recently I check it from time to time
00:31:21
but I would put some in Waste Management
00:31:24
um and I would put some in either foret
00:31:29
or Cloud
00:31:30
flare interesting okay well let's go one
00:31:33
by one through those through those three
00:31:34
companies FYI waste management is at uh
00:31:38
14669 right now you you know your prices
00:31:41
very well talk us I mean I know Waste
00:31:44
Management right the garbage company
00:31:45
they they have garbage trucks near me
00:31:47
why do you like them as a as a company
00:31:50
yeah absolutely
00:31:51
so just you know breaking away from the
00:31:56
from the uh the numbers talk per se
00:31:59
there's I'm not one just to Rattle their
00:32:02
their numbers off the top of my head
00:32:03
about the the financial health of the
00:32:05
company um but I can just tell you from
00:32:08
a broader investment perspective um the
00:32:11
trash truck is going to come every week
00:32:12
it came every week during covid you know
00:32:15
it's gonna come every week that the
00:32:17
trash going come they're they're gonna
00:32:18
come get you trash human beings are
00:32:20
going to create waste there is
00:32:22
no way around human beings generating
00:32:26
waste
00:32:28
and generating more waste and um that's
00:32:33
just a fact that there is no like debate
00:32:35
about that people are going to make
00:32:36
waste whether it needs to be recycled or
00:32:39
thrown in the trash and put in landfills
00:32:42
there's going to be some kind of waste
00:32:44
especially in the consumer society that
00:32:46
we live in people are encouraged to buy
00:32:48
more and buy more and buy more which
00:32:50
means there is more to throw away more
00:32:52
to throw away more to throw away more
00:32:54
factories uh more cardboard boxes more
00:32:57
everything so waste management is going
00:33:00
to come get people's trash they also own
00:33:03
landfills which they rent on long-term
00:33:07
contracts so they essentially own real
00:33:09
estate and there's no competition
00:33:12
there's there's um Republic Service
00:33:15
Group RSG they're the blue trucks um
00:33:19
they're they're another one and there's
00:33:21
there's a handful of smaller players in
00:33:23
the industry but Waste Management um is
00:33:25
definitely the biggest um waste
00:33:27
collection service in the country and
00:33:31
they uh they own like I said they own
00:33:33
landfills it's essentially real estate
00:33:35
and nobody's coming to to take it away
00:33:37
from them
00:33:39
um you're not just GNA lose a landfill
00:33:43
um any kind of landfills that they're
00:33:45
not currently using waste or any any
00:33:48
land that they own that they're not
00:33:49
currently using waste management is also
00:33:52
I'm not sure if a lot of people know
00:33:53
this um they are coming up with
00:33:56
technology to
00:33:58
capture um greenhouse gases from the
00:34:02
landfill and use that to power their
00:34:04
trash
00:34:05
trucks um and then they're also turning
00:34:09
their empty landfills into solar farms
00:34:12
and using solar power to power nearby
00:34:15
neighborhoods and things like that I
00:34:17
actually posted a thread about it on
00:34:19
Twitter um I'll I'll retweet it or post
00:34:22
it again soon if you guys want to be on
00:34:23
the lookout for that I was on a podcast
00:34:25
a couple months ago and somebody asked
00:34:27
me how I feel about Waste Management as
00:34:29
a solar power play with uh with
00:34:32
President Biden coming in office and I
00:34:33
was
00:34:34
like I don't know like let me I don't
00:34:37
know let me get an answer for you and I
00:34:38
I'll post a thread about it to Twitter
00:34:40
and not that I was called out but I just
00:34:43
didn't know the answer I was like I'll
00:34:44
get you an answer that's fine I'm not
00:34:46
I'm not ashamed of being wrong but um I
00:34:48
just didn't know about that so I'm sure
00:34:50
a lot of people don't know but they're
00:34:52
they're finding plenty of ways to St to
00:34:54
stay green and um there's there's a lot
00:34:57
more under the hood than them just
00:34:59
picking up your trash so I kind of like
00:35:02
the The Innovation that the business is
00:35:04
is is going through and The Innovation
00:35:06
that they're taking um but at the core
00:35:09
if you want to break it down people are
00:35:11
going to come get your trash every week
00:35:13
so I like that great company to invest
00:35:15
in uh pretty good pretty good long-term
00:35:18
performance and I'm super comfortable
00:35:21
buying at pretty much any level because
00:35:22
I know in 10 years PE people were still
00:35:26
making trash and someone's got to come
00:35:28
get it you know I always I always think
00:35:30
like what would you do if your trash
00:35:32
truck stopped coming every
00:35:35
week Ser think think about what are you
00:35:37
g do I mean I live in South Carolina I'm
00:35:40
kind of I don't live near the I kind of
00:35:41
live out near the country a little a
00:35:42
little bit I could find a landfill I'd
00:35:45
be all right but you think about people
00:35:47
in New York what what you know wherever
00:35:51
a big city like what what are you gonna
00:35:52
do right if wherever you take your trash
00:35:56
they stop if they just said not get it
00:36:00
yeah it's a key part of infrastructure
00:36:02
isn't it absolutely so they're essential
00:36:07
and I'm cool investing giving them my
00:36:08
money yeah the demand is never going to
00:36:11
go away the demand for their services is
00:36:13
never going to go away it's a part of
00:36:14
the human condition and if you want to
00:36:16
argue it's not a part of the human
00:36:18
condition like you just said dividend
00:36:19
hero it's certainly part of the American
00:36:21
condition we have a lot of stuff and we
00:36:24
throw a lot of stuff away and that stuff
00:36:26
goes lands and and even if even if we
00:36:29
maybe start throwing away less stuff in
00:36:31
the future which is a debatable argument
00:36:33
to make it sounds like waste management
00:36:35
is doing some Cutting Edge things where
00:36:38
at least you know they aren't letting
00:36:39
their business get old and stagnant they
00:36:41
are staying up on current events and
00:36:44
green energy like you mentioned so
00:36:45
they're it's interesting to know that
00:36:47
they're they're kind of being uh Forward
00:36:49
Thinking in that way yeah absolutely the
00:36:52
other two companies you mentioned there
00:36:54
I heard Cloud flare which is interesting
00:36:56
because I'm A Cloud flare user what what
00:36:59
was the other company you mentioned
00:37:01
foret foret okay what what does foret do
00:37:04
so they are a cyber
00:37:07
security um company gotcha okay more or
00:37:12
less yep yep so they they are they
00:37:15
contracted by other businesses is it
00:37:18
like a businessto business service and
00:37:20
they they protect businesses from
00:37:22
outside hacks that kind of stuff or what
00:37:24
kind of service they do they provide
00:37:27
right they do well nowadays they do all
00:37:29
kinds of stuff they mostly started off
00:37:31
with like physical firewalls that you
00:37:33
can install like on premise um and
00:37:36
they're kind of switching to to
00:37:37
cloud-based firewalls but they do
00:37:39
everything from like manage email
00:37:40
security manage
00:37:43
firewalls um doing all kinds of security
00:37:45
log monitoring of all the the devices in
00:37:48
your in your
00:37:50
ecosystem um there's honestly so much
00:37:53
they do so so the the company I work for
00:37:55
I work for a cloud service provider we
00:37:57
are a foret partner so we sell cyber
00:38:02
security services back by foret so I'm
00:38:05
in the process of becoming foret nse3
00:38:09
certified which is network security
00:38:11
expert level three um it's only
00:38:14
accessible to foret Partners so I'm
00:38:17
jumping all over the opportunity now
00:38:19
that I'm with my new company and I am
00:38:22
learning a ton about cyber security and
00:38:25
the field um um and I'm I'm learning
00:38:28
that it it it is a it is a technology
00:38:31
play there are no dividends but along
00:38:34
the same thesis you know I'm true to my
00:38:36
roots cyber security is not going away
00:38:40
anytime soon um and and Cloud flare is
00:38:44
another one that that's involved in
00:38:45
cyber security they do um they they do
00:38:49
some domain name um s some DNS and um
00:38:54
what what's called Edge Computing and
00:38:56
dos attack I don't need to get into all
00:38:58
the details but um mostly I can't
00:39:02
because I try but I know some of the L
00:39:04
got know a little bit about it but
00:39:07
that's the whole field I'm still
00:39:08
learning about but either way th those
00:39:10
are those are two great companies um
00:39:13
engaged in in the cyber security space
00:39:16
um and protecting the internet and along
00:39:19
the same theme of Waste Management there
00:39:22
is not a single company in the world
00:39:25
that is going to spend less on cyber
00:39:28
security this
00:39:29
year that's not that's not from a that's
00:39:32
not from an article Don't hold me to
00:39:34
that but just the investment thesis
00:39:38
is no especially after the number of
00:39:41
high-profile attacks that have happened
00:39:43
this year there isn't a company that is
00:39:45
just sitting around saying you know what
00:39:47
we need to cut our cyber security budget
00:39:51
we're good like let's just peel back on
00:39:53
that a little bit like right I see what
00:39:55
you're saying they are not they are
00:39:57
fully
00:39:58
equipping every single staff member
00:40:01
every single computer every single
00:40:02
endpoint every single network with the
00:40:05
best cyber security possible because
00:40:08
they understand and they've seen these
00:40:09
ransomware attacks we had a meat factory
00:40:12
we had an oil pipeline um we had the US
00:40:15
government hacked through M hacked
00:40:17
through
00:40:18
Microsoft
00:40:20
um there is no industry that is off
00:40:23
limits there is no you think about oil
00:40:26
and meat packing and the I mean
00:40:28
obviously the government but like you're
00:40:30
not just going to work in an industry
00:40:32
that is immune from any kind of Cyber
00:40:34
attack or ransomware attack and these
00:40:36
ransomware attacks are huge to
00:40:38
businesses and many of them have
00:40:40
Financial incentives so larger
00:40:42
corporations are attacked but you start
00:40:44
thinking about small and medium-sized
00:40:49
businesses what what what would they do
00:40:51
if they came in one day all the
00:40:52
computers and data were locked down and
00:40:54
Ransom people rant cyber criminals were
00:40:57
saying hey you know pay US 60 60 million
00:41:00
Bitcoin and we'll unlock your stuff or
00:41:02
else we're just gonna delete it and
00:41:03
we'll move on and you can't track us and
00:41:06
that was fun see you and that can
00:41:08
certainly happen and so um foret is a
00:41:12
leading provider to the small and
00:41:14
mediumsized business Market they have
00:41:17
plenty of Enterprise customers but they
00:41:18
do put a big emphasis on helping small
00:41:21
and you know providing affordable
00:41:23
solutions to small and medium-sized
00:41:25
businesses and getting the little guys
00:41:28
protected as well because cyber security
00:41:30
is not just a major corporation thing it
00:41:33
impacts a business of any
00:41:36
size I really enjoy those investment
00:41:40
thesis you laid out before us because
00:41:42
you're really you're zooming out to this
00:41:45
macroeconomic long-term Trend and saying
00:41:48
well Waste Management isn't going to go
00:41:50
away because humans are going to be
00:41:52
throwing stuff away uh Ford net and
00:41:54
Cloud flare aren't going away because
00:41:56
the internet is only growing from here
00:41:58
and we are seeing cyber attacks increase
00:42:01
in frequency over the past few years uh
00:42:03
one that I thought of when you were
00:42:04
listing off that that quick list is in
00:42:07
early 2020 I think it was before really
00:42:09
covid hit the states uh the Iranian
00:42:12
government was tied to attacks on the US
00:42:15
power grid trying to shut down certain
00:42:19
uh electrical grids around the country
00:42:21
well that would frustrate a lot of
00:42:22
people and and you know the American
00:42:24
government is doing their best I assume
00:42:26
to not let that happen and you know
00:42:29
private Industries are doing the same
00:42:30
thing but I really like how you pointed
00:42:32
out that uh some smaller and midsize
00:42:34
companies don't really have the the
00:42:37
knowhow the expertise or maybe even the
00:42:39
money to bring someone inhouse and
00:42:41
handle that and it sounds like that's
00:42:43
the niche that Ford net is looking to to
00:42:46
fit in they'll they'll do that kind of
00:42:48
cyber security for the small and midsize
00:42:52
companies yeah I mean absolutely so I
00:42:55
mean I think think if you if you really
00:42:57
pay attention to the news you could read
00:43:01
probably about a cyber security hack
00:43:03
every single day I don't know what the
00:43:04
statistic is on how many happen every
00:43:06
single day and there's tons of small
00:43:08
ones that happen to to people every
00:43:10
single day but at least to to companies
00:43:12
and things you've heard of and
00:43:13
industries you've heard of if you really
00:43:14
dug you can probably find one every
00:43:16
single day um but I mean a bare minimum
00:43:19
once a month keep keep up with it go on
00:43:23
um just different Tech websites and
00:43:26
start reading about that stuff and
00:43:27
you'll see how many companies are hit
00:43:30
with cyber attacks and what the
00:43:31
financial impacts of that are and you'll
00:43:34
be like all right the cyber security
00:43:36
stuff not a joke let me you know let me
00:43:39
at least look into it just a little bit
00:43:42
well what do you say we uh transition
00:43:44
into the rapid fire questions cool that
00:43:47
cool all right first we had a question
00:43:50
com in from Twitter and I really like
00:43:52
this one this is from uh from recent
00:43:55
guest f High squirrel who asked uh
00:43:57
dividend hero what do you envision your
00:44:00
dream life to be once your dividends
00:44:03
allow you to fully reach Financial
00:44:05
Independence what would a perfect day
00:44:07
look
00:44:08
like yeah it's it's kind of crazy I've
00:44:12
I've kind of
00:44:13
been not not that I've been living it
00:44:15
but Co kind of forced me into it a lot
00:44:18
the past year but I love to
00:44:20
fish I love to get outside I love to you
00:44:25
know I'll be I think my pin tweet right
00:44:27
now is just is get rich and get off the
00:44:29
grid and I think that is my life motto
00:44:35
and I've learned that this past year
00:44:36
during
00:44:37
Co um I'm fully on the grid now I'm
00:44:41
doing I'm doing podcasts I've got a you
00:44:44
know I've got a a Twitter account that's
00:44:46
growing every single day I'm pretty on
00:44:49
the grid right now um but the goal is
00:44:53
use the grid build some wealth and then
00:44:56
disappear not from my friends and family
00:44:59
and and people I care about but
00:45:01
disconnect from social media you know
00:45:03
keep up with close friends you know text
00:45:06
him myself that's fine or or have a
00:45:07
group whatever but like I don't need to
00:45:10
impress anybody in this world you know
00:45:13
I've got my friends and family and
00:45:14
people I'm close to and um and that's
00:45:17
all that matters and so I Love to Get
00:45:19
Off the Grid go fishing go go hiking
00:45:22
Outdoors go explore the Wilderness so
00:45:25
ideal day for me um seriously just go
00:45:27
fishing catch some fish uh bring them
00:45:30
home cook them up um maybe sit around a
00:45:33
campfire drink some beers
00:45:36
um I mean that's just the kind of guy I
00:45:38
am I mean I work in the I work in the
00:45:40
tech industry you know I'm building a
00:45:42
Twitter account I love to invest but you
00:45:45
know if if it weren't for that I'd be
00:45:47
fishing all the time I wear Crocs I
00:45:49
drive an F-150 I mean I think I've heard
00:45:52
you know I've heard this song before
00:45:56
there's definitely yeah yeah right right
00:45:58
right yeah exactly so I've uh definitely
00:46:01
got a little bit of a dichotomy there
00:46:03
between what the online presence might
00:46:05
seem and who the real me is but you know
00:46:08
in all in all honesty just just more so
00:46:10
SP spending time with family um and just
00:46:13
getting back to my roots and things that
00:46:15
really matter is is is the end goal and
00:46:17
so once Financial Independence is
00:46:19
reached um just taking taking care of
00:46:22
the people close to me and and I'm
00:46:25
pretty Le I don't need a lot of stuff to
00:46:27
be happy and I want to make sure the
00:46:29
people that that uh I'm closest to and
00:46:31
are you know are closest to me and um
00:46:34
are are taken care of I know that my
00:46:36
parents did a great job of raising me
00:46:38
and I never wanted for anything more and
00:46:42
uh I want to do the same for the people
00:46:44
that are close to me and so I like to
00:46:46
live a pretty simple life but um I want
00:46:49
to make sure my kids and my wife and
00:46:50
whoever else are all are all taken care
00:46:53
of and so that's kind of uh the end goal
00:46:56
for me excellent now got to ask this
00:46:59
follow-up question what is the primary
00:47:02
fish to catch in South Carolina what
00:47:05
what are you going for out there so I
00:47:07
like to fish for largemouth
00:47:10
bath so the na the neighborhood I grew
00:47:13
up in had like four pollins in it so
00:47:15
that's me that's what all me and my
00:47:17
buddies did Growing Up was just go just
00:47:19
meet up the lake and go fishing and uh I
00:47:23
quickly started to realize what I
00:47:25
thought Middle School was stressful or
00:47:28
when I thought high school was stressful
00:47:30
just going fishing not checking my phone
00:47:33
not even wor about a single thing in the
00:47:34
world is being out there was just about
00:47:37
the most peaceful thing I could think of
00:47:39
um and so I just kind of carry that you
00:47:42
know to this day but uh yeah large mouth
00:47:45
bass um pretty uh pretty popular
00:47:48
sportfish um grew up fishing in ponds
00:47:51
but have recently over the past year and
00:47:54
a half my dad and I have gone fishing a
00:47:57
lot on bigger lakes and tons of large
00:48:00
mouth bath but just a little bit of
00:48:02
different style of fishing I'll say um
00:48:06
just deeper water and different
00:48:07
techniques and things like that um but
00:48:10
yeah large mouth bath pretty uh pretty
00:48:13
popular fish but great great to
00:48:17
catch very cool well this next question
00:48:20
I I don't know it might go back to
00:48:21
fishing you'll have to tell us what's
00:48:23
the last material object or personal
00:48:25
luxury that you've spent $100 or more on
00:48:30
oh boy
00:48:31
$100 yeah what what fishing what do
00:48:33
fishing rods go for these
00:48:36
days uh yeah a rod itself 100 and then a
00:48:41
real
00:48:42
100 I also like to buy a little bit
00:48:45
higher quality because they last longer
00:48:47
not not even kidding I have a fishing
00:48:51
rod that I have fished with for probably
00:48:52
10 years and have used like crazy and I
00:48:55
just this past year replaced I still
00:48:57
have it I just don't use it a ton but I
00:48:59
bought a new one um this this past this
00:49:04
past weekend my there's an there's an
00:49:07
Adidas like
00:49:10
employee Factory Store thing in uh near
00:49:16
me and my company had a 50% off coupon
00:49:21
for all
00:49:22
employees uh from like July 15th to 30
00:49:25
as so you go and show them the coupon
00:49:27
your whole order is 50% off so I went
00:49:29
this past weekend and spent
00:49:31
$200 I was like oh I could have bought
00:49:33
one share
00:49:34
of whatever is $200 just I could have I
00:49:38
could have invested that $200 yeah but
00:49:40
instead I bought some shoes and some
00:49:42
workout gear and it'll it'll pay off but
00:49:46
that's a good investment too that's a
00:49:48
good investment yeah
00:49:50
so yeah man that's a good answer that is
00:49:53
a that is a tough question well maybe
00:49:55
this one maybe this one will be easier
00:49:57
what's one good habit you're trying to
00:49:59
form or potentially a bad habit that
00:50:01
you're trying to
00:50:03
break good one that I'm trying to form
00:50:06
and have been trying to form over the
00:50:10
past probably month or two work uh
00:50:13
working out every morning
00:50:16
so six o'clock in the morning usually
00:50:18
I'm at the gym um so
00:50:23
I was a college student when Co hit and
00:50:29
did not I quickly lost access to my
00:50:33
gym and for a little while made the best
00:50:36
of it like all right you know this is
00:50:38
time to do some cardio this is time to
00:50:40
just you know do what I
00:50:42
can um and was not as good of a workout
00:50:47
routine as I had had
00:50:50
during when I was at college and so the
00:50:54
past year has been kind of has been kind
00:50:56
of gymless per se moved into a new
00:50:59
apartment
00:51:00
complex and they have a gym and it's
00:51:02
actually really nice but for a while it
00:51:05
was only open during during office hours
00:51:08
which of course I was at
00:51:10
work that's annoying and so they had it
00:51:14
that way for a while and of course it
00:51:16
was you know corporate policy or
00:51:18
whatever it wasn't their decision I get
00:51:20
that but every time I K it I gave him a
00:51:23
little bit of push back was like hey
00:51:26
seems like pretty safe if I could just
00:51:27
go in there at 6:00 in the morning and
00:51:29
work out you'd never know I was there
00:51:31
but they had it locked and whatever it
00:51:33
was fine I respected the rules um but
00:51:35
now that it's fully open I I kind of
00:51:38
spent a year off from lifting like I
00:51:42
used to and things like that and so
00:51:44
really trying to get back into habit and
00:51:47
I am finding that man when I work out at
00:51:49
6:00 in the morning it sucks but I get
00:51:53
back and I shower and I eat breakfast
00:51:55
and I get to work and I feel like I have
00:51:58
accomplished like I H I feel like I'm
00:52:01
just halfway through my day like I'm up
00:52:03
like my brain is fully functioning I'm
00:52:05
ready to go I I'm ready for whatever and
00:52:08
other people are just dragging into work
00:52:09
you can tell they R out of bed like
00:52:11
exhausted like just it's just gonna take
00:52:14
them an hour to even get anything done
00:52:16
and like I'm good to go I'm ready like
00:52:18
what's happening like you know and I've
00:52:20
always been a morning person but like I
00:52:22
just feel so good after working out in
00:52:24
the morning and such a good habit and
00:52:26
there are some mornings where I'm in bed
00:52:28
and I'm like I'm not getting up I'm not
00:52:30
getting up and there's some mornings
00:52:32
where I force myself I'm like you're
00:52:33
getting up and I've never regretted it
00:52:36
and there's some mornings where I go
00:52:37
back to
00:52:38
sleep and I sometimes regret it because
00:52:41
I get to work and I feel sluggish and
00:52:43
I'm like I slept in why do I feel
00:52:45
sluggish what the heck man I'm like okay
00:52:48
that working out thing yeah that somehow
00:52:50
that gives me more energy like just
00:52:52
crazy so um
00:52:56
yeah and I mean I feel like I'm GNA talk
00:52:58
about my dad this whole podcast but the
00:53:01
last the last year he's lost 15 pounds
00:53:04
wow um pretty incredible stuff
00:53:07
absolutely
00:53:08
incredible um it's you know his good
00:53:11
habits have helped me lose some weight
00:53:13
I'm a little bit of a bigger guy
00:53:16
um but yeah he's his just seeing him
00:53:20
better his life um has definitely been a
00:53:23
big inspiration for me and
00:53:25
um he just kind of eats just real food
00:53:29
everyone wants some kind of answer and
00:53:31
he's just
00:53:32
like eat food like no don't I mean if
00:53:36
your food has like an ingredient label
00:53:38
it's probably not healthy or not not
00:53:41
unhealthy but right you know like how do
00:53:44
you lose weight just eat real food eat
00:53:47
meat and vegetables and nuts and
00:53:50
whatever else and it's got a m if it's
00:53:52
got a million ingredients in it chances
00:53:54
are not healthy for you if you if you've
00:53:56
got to check the ingredients
00:53:59
label right so I mean he kind of went
00:54:03
kind of went keto and then just kind of
00:54:06
Switched just to low carb and then you
00:54:09
know obviously it wasn't perfect and
00:54:11
obviously you know I got to hear about
00:54:13
it for for a long time but it really
00:54:15
paid off and he looks great and it's
00:54:17
been a big inspiration for me and um so
00:54:21
it's just kind of all right I've seen
00:54:24
him
00:54:25
you know fluctuate with his weight his
00:54:28
whole life and make excuses and things
00:54:29
like that and this past year I felt like
00:54:31
I've kind of made excuses of I mean I
00:54:33
probably could have been running or
00:54:34
something when I didn't have access to a
00:54:36
gym like I probably definitely not
00:54:38
probably I definitely could have worked
00:54:40
out more than I did so now I have access
00:54:43
to a gym excellent and there's and
00:54:45
there's no excuses yeah besides I'm TI
00:54:48
I've worked out six days this week and
00:54:49
I'm tired that is awesome sometimes
00:54:51
sometimes that'll get me but besides
00:54:53
that it's just a good habit I'm trying
00:54:54
to eat back in into working out um and I
00:54:57
guess the biggest takeaway from that is
00:54:59
the
00:55:00
mental uh the mental Edge and the mental
00:55:04
side of it that I'm getting back that I
00:55:08
think I forgot about working out gotta
00:55:12
get those endorphins they're huge
00:55:14
they're huge it's huge makes a
00:55:16
difference yeah uh next question I like
00:55:19
this one and I'm interested to hear as
00:55:21
an investor what your answer is what's
00:55:22
your favorite Financial tool or app or
00:55:26
service that you use and and why do you
00:55:28
like it so you know I'm not much of a of
00:55:31
a stock Trader and a lot of the
00:55:34
financial services out there are around
00:55:36
stock trading and making good profits in
00:55:39
a short period of time which I respect
00:55:41
the heck out of anybody that can do that
00:55:44
most people cannot do it consistently
00:55:46
but when you know if you know people
00:55:48
that people that do it and can control
00:55:50
themselves and make some nice little
00:55:52
short-term trades and then roll that
00:55:53
over into long-term Investments more
00:55:56
power to you that's awesome I've tried
00:55:58
to do
00:55:59
it it's worked sometimes it's not worked
00:56:03
sometimes I've probably broken even I'll
00:56:05
take that as a win um never I've never
00:56:09
day traded but just over a short period
00:56:11
of time like oh the stock is earnings
00:56:12
coming up let me buy it before earnings
00:56:15
right um so I don't do a ton of
00:56:19
short-term trading which a lot of those
00:56:21
Services provide so I don't want to
00:56:24
discount any kind of uh I know like
00:56:27
trading view or there there's there's
00:56:29
there's a bunch of really good ones out
00:56:31
there uh that that a lot of people that
00:56:33
I follow like a lot um so this this you
00:56:35
know not taken away from any of those
00:56:37
but this just doesn't really fit what I
00:56:39
do
00:56:40
um I
00:56:42
[Music]
00:56:44
read I read market watch a lot yeah
00:56:48
which some people read some people don't
00:56:51
um the biggest thing I get from that is
00:56:55
exposure to new companies so I really
00:56:59
like when there's articles about um you
00:57:02
know 10 cyber security stocks they're
00:57:04
gonna be hot this year I don't care what
00:57:07
their opinion on the stock is that
00:57:09
doesn't matter to me I stroll through
00:57:11
and I'm like oh are there companies I
00:57:13
haven't heard of before let me put them
00:57:16
on my watch list and then let me go back
00:57:18
and do my own research and then when I
00:57:20
do my own research you know articles
00:57:22
from Yahoo finance or Seeking Alpha
00:57:25
or you know Bloomberg or who whatever
00:57:28
come up and then I do my research that
00:57:30
way um
00:57:33
but I'll say yeah I'll say my favorite I
00:57:36
go to all the time is market watch um
00:57:39
they'll have the the markets in the top
00:57:41
and I have that open on my work computer
00:57:44
and then I can look up my favorite
00:57:45
stocks and sometimes I'll have a little
00:57:46
section of like stocks in the same
00:57:48
industry or you know recommended stocks
00:57:52
that are that are that are similar to it
00:57:54
um and so I I find that a good way to
00:57:58
learn about different stocks that I
00:58:01
might not know about or stocks in the
00:58:03
same industry that I hadn't paid too
00:58:06
much attention to um and then I also use
00:58:09
it to read articles about current
00:58:12
companies that I already own so like I
00:58:14
read art you know I don't think that
00:58:17
research stops once you buy a stock my
00:58:20
conviction on Waste Management isn't
00:58:22
going to change based on someone else's
00:58:24
opinion
00:58:25
but I still value their opinion or or a
00:58:29
factual article about Wast not
00:58:31
necessarily opinion pieces but whether I
00:58:33
read an article it's not just going to
00:58:34
all of a sudden change my investment
00:58:36
thesis but it's can at least open my
00:58:39
ears and eyes to new new things about
00:58:41
the company or different perspectives on
00:58:43
the company and I respect things that
00:58:45
people have to say and if they go out of
00:58:47
the way to write an article about it
00:58:49
I'll at least read it and I don't have
00:58:51
to agree with it but um I do like
00:58:53
reading articles with with an open mind
00:58:56
um and so I don't I don't go on there
00:58:59
just to find stocks and buy whatever
00:59:01
they say is going to going to go up next
00:59:03
but just kind of broadens my Horizon and
00:59:07
then I do further research from there um
00:59:10
and I'll say the best place for research
00:59:12
and a lot of people don't talk about
00:59:14
this but just just go to the company's
00:59:17
website most big companies have an
00:59:20
Investor's tab on the website a lot of
00:59:23
times you's got to scroll at the bottom
00:59:24
and they'll be like you know contact us
00:59:27
and our address and this that and the
00:59:30
other and there's usually a little link
00:59:31
that says investors or sometimes it'll
00:59:33
be at the top um it'll say investors
00:59:36
click on that they'll give you all kinds
00:59:38
of stuff they're going to tell you
00:59:39
historical performance they're going to
00:59:41
tell you about the dividend they're
00:59:42
going to tell you about their latest
00:59:43
earnings report there's going to be a
00:59:45
section about news articles you know
00:59:47
whenever that stock or that company was
00:59:49
in the news um so that if you want to
00:59:51
learn about one specific
00:59:53
company a lot of times there's no better
00:59:57
place to go unless you want opinions
00:59:59
than to just go to the company's website
01:00:01
and see the kind of information they're
01:00:02
putting out to investors because they
01:00:05
want you to buy stock in their company
01:00:07
right you know it it it's a sales not a
01:00:09
sales pitch but like they're they're
01:00:11
gonna put forth great information and
01:00:13
great content because they want you to
01:00:14
go be like oh this company looks great
01:00:16
you invested let me give them some of my
01:00:18
money so they're going to they're going
01:00:20
to do a good job for that section and I
01:00:22
I have found that to be true there's a
01:00:23
lot of companies I'll just check their
01:00:25
investment uh tab on the website and and
01:00:30
and it's a great resource interesting
01:00:32
interesting and I I really liked what
01:00:33
you said when you were talking about
01:00:34
market watch how sometimes you'll read
01:00:37
them knowing full well that the opinions
01:00:39
they put forward really aren't going to
01:00:41
change your mind too much but you are
01:00:45
open-minded enough to kind of consider
01:00:47
their ideas and and maybe it pushes you
01:00:48
a little bit one way or another just a
01:00:50
tiny bit and uh what you described there
01:00:54
is is something called basian analysis
01:00:56
not sure if if you're familiar with it
01:00:58
it's not really an investing or stock
01:00:59
term it's more of a math and puzzle
01:01:01
solving term that basically says you
01:01:03
come into a certain uh problem or if
01:01:06
you're trying to solve a puzzle you have
01:01:08
what's called a prior which is what you
01:01:10
think the result is but as you learn new
01:01:14
information you you absorb that
01:01:16
information in a certain way usually
01:01:17
there's math involved and that new
01:01:20
information percolates its way through
01:01:22
and slowly starts to shift your prior in
01:01:25
in a certain direction you know protot
01:01:27
typical example might be like playing
01:01:28
Battleship as funny as that is you think
01:01:31
you might know where the ships are on
01:01:32
the map and as your guesses come through
01:01:35
if you have a right guess whoa all of a
01:01:37
sudden you kind of know where the ship
01:01:38
is and if you have a wrong guess you say
01:01:40
okay maybe it's not in that segment
01:01:41
maybe I'll go somewhere over here
01:01:43
similarly with investing you have your
01:01:45
opinions on certain companies dividend
01:01:46
hero but a certain news story it might
01:01:50
make you think oh maybe I should search
01:01:52
that a little bit more and you keep
01:01:53
open-minded in it pushes you in that
01:01:55
direction yeah I I I didn't even know
01:01:58
there was a a theory behind that to be
01:02:00
honest that's just kind of my mindset
01:02:03
going into it and I'm sure it's uh you
01:02:06
know it just plays off of human emotions
01:02:09
and I think that really speaks to the
01:02:10
emotional side of investing and the
01:02:12
emotional side of doing research and
01:02:14
finding new stocks to buy in that you
01:02:16
can get caught up so much into what
01:02:18
other people say and just all the
01:02:21
emotions behind it that you kind of miss
01:02:23
a lot of a lot of details and and a lot
01:02:26
of uh perspectives and opinions you can
01:02:28
just get hung up on one thing or the
01:02:29
other and not uh keep an open mind right
01:02:33
right I got one more question for you
01:02:35
and this is a fun one cool if I gave you
01:02:39
a billboard to share any message with
01:02:41
the world what message would you put on
01:02:44
that billboard what would you
01:02:46
say I would say my message would be
01:02:50
three
01:02:52
words yeah three words it would be learn
01:02:55
from failure I think that is probably
01:03:00
one of the bigger things I learned at my
01:03:03
time in
01:03:03
college and and I'm 23 so I'm pretty
01:03:06
fresh out of college just graduated just
01:03:08
over a year ago um and my my four years
01:03:12
in college were met with plenty of
01:03:13
adversity and plenty of failure um but
01:03:16
also plenty of people to guide me
01:03:18
through um and help me navigate um
01:03:21
whether it be the social side of things
01:03:23
or the classwork side of things or or
01:03:25
managing anxiety or or test uh test
01:03:28
anxiety or just stress in general
01:03:32
um and so I had a lot of failures along
01:03:35
my way
01:03:37
and I
01:03:40
eventually what turned the corner for me
01:03:42
was was was the mindset of learning
01:03:44
through failure and that if you want to
01:03:47
learn and you want to learn efficiently
01:03:50
and you want to learn quickly un
01:03:54
fortunately you have to fail
01:03:58
and it's tough because there's no way
01:04:01
around it
01:04:04
and the quicker people realize it and
01:04:07
quit avoiding failure the more they'll
01:04:10
realize that the more that they fail the
01:04:12
more that they're going to learn and I
01:04:15
think that's one one thing I love about
01:04:17
working in sales is it's failure every
01:04:20
single day it's failure with every phone
01:04:23
call it's failure with prospects it's
01:04:25
failure with potential
01:04:27
deals and it's messing up and being like
01:04:29
all right what could I have learned from
01:04:31
this what can I do better next time what
01:04:33
can I take away from this conversation
01:04:35
that's going to help me in future
01:04:37
conversations and how can I learn and
01:04:40
grow from this failure and instead of
01:04:43
seeing failure
01:04:45
as a negative thing I mean it's really
01:04:48
only failure if you quit and you stop
01:04:50
learning and stop trying to grow that's
01:04:53
the only way it's failure but so many
01:04:55
people think that they've messed up and
01:04:57
they have
01:04:58
failed and
01:05:00
that it's just a really big deal and
01:05:03
things are just going to change forever
01:05:06
and the reality is that through failure
01:05:10
through failure you're going to learn
01:05:12
and grow from it and become better
01:05:14
because of it and so I think just
01:05:17
especially nowadays that so many more
01:05:19
people had that mindset of failure is
01:05:23
not something I need to be Afra afid of
01:05:25
and failure is something I need to
01:05:26
embrace um and and even and even just
01:05:29
just go at just almost seek out failure
01:05:34
because you're going to learn a lot
01:05:35
quicker that way uh my first job out of
01:05:38
college I worked for State Farm
01:05:40
Insurance I didn't know what I wanted to
01:05:43
do it was a job it didn't pay great I
01:05:46
didn't make any sales I didn't I did it
01:05:49
for eight months or I was an intern and
01:05:51
I started full-time so I did it for
01:05:53
about seven or eight months total um I
01:05:57
failed I wasn't happy it wasn't a good
01:06:00
fit for me and I I learned that over
01:06:02
time but I don't look at it as a failure
01:06:05
there's a ton of skills a ton of life
01:06:07
experience I learned from that um and
01:06:11
I've applied a lot of that into my new
01:06:13
role um the company I'm at now I've been
01:06:16
there about eight months um I recently
01:06:19
got salesman of the quarter um I got a
01:06:21
Bonus I got a trophy I got company
01:06:23
recognition is awesome I've not even
01:06:25
been there a year and I got still in
01:06:27
theid the quarter um certainly none of
01:06:30
that has gone to my head I'm still
01:06:31
humble as ever you'd never know it I
01:06:33
have a hard time bragging on myself but
01:06:36
that is just that's just the truth that
01:06:39
I won that award but is just the truth
01:06:41
that a lot of my failures I took with me
01:06:43
from my previous job and previous
01:06:45
experiences I pour in and apply that to
01:06:49
my new role and I've seen a ton of
01:06:51
growth there and so I think I think
01:06:54
people can make a lot of that message
01:06:56
and people can apply that message to so
01:06:58
many different aspects of their life and
01:07:00
people can apply that message to um you
01:07:03
know their jobs their home life things
01:07:07
they've been through in the past things
01:07:08
they're struggling with and things
01:07:09
they're working towards accomplishing
01:07:12
and they need to look at failure a
01:07:13
little bit differently um than they have
01:07:16
been learn from failure and eventually
01:07:19
the success will come dividend hero I
01:07:21
can't thank you enough for sharing your
01:07:23
ideas with us today on the best interest
01:07:26
podcast yeah man thanks for having me uh
01:07:29
this has been great it's been some
01:07:30
awesome conversation um and I can't wait
01:07:33
to see what what uh what all you have in
01:07:35
store uh for the future perfect all
01:07:38
right man thanks again we'll talk to you
01:07:40
soon yeah man thanks for having
01:07:42
[Music]
01:07:47
me another huge shout out to Dividend
01:07:50
hero thank you man for coming on to the
01:07:53
best interest podcast today and I'm
01:07:54
actually sorry dividend hero I forgot to
01:07:56
ask you live how people can reach out to
01:07:59
you but I think I know the answer it's
01:08:01
Twitter so go look up at hero dividend
01:08:05
yes his name is dividend hero but his
01:08:08
handle is hero dividend I hope you guys
01:08:12
give him a follow if you want to reach
01:08:14
out to me my email is Jesse best. blog
01:08:19
or you can follow me on Twitter where my
01:08:21
handle is
01:08:22
bestore JC if you find this content
01:08:26
valuable and you want to give back there
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01:08:39
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01:08:41
I love hearing back from you guys we can
01:08:44
continue to invest in one another
01:08:45
because as Ben Franklin said an
01:08:48
investment in knowledge pays the best
01:08:49
interest sharing with others is
01:08:51
investing in their knowledge thank you
01:08:54
guys I appreciate you thanks for
01:08:56
listening to episode 30 of the best
01:08:58
interest
01:08:59
[Music]
01:09:11
podcast