Wealth Formula Podcast

With the rocky stock market and concern for recession in the air, it is always interesting to go back and reflect on investing behaviors over time. These days, when people are frightened, they don't invest. Instead, they keep all of their money in the bank. Why? Well, you've probably never witnessed a bank failure and lost your money. In fact, unless you've lived through the Great Depression, you'...

A while back, I had a guy on the show who had created an entire business focused on the creation of new Udemy content. Udemy is an app that allows anyone to make a course and publish it for others to buy. Courses are peer reviewed so you get a pretty good idea of what might be worth your time. It's actually a really good deal. You can cherry pick only highly reviewed courses and buy them for just...

Everything was fine until I got up from that recliner and walked down the stairs of my parents home to call it a night. Suddenly something seemed very wrong. It was like I was in a dream. I could not keep a thought and my whole body started to feel very heavy. I made it down stairs and saw my wife getting ready for bed. As I lie down, I felt like I was losing consciousness. "Olivia, call 911. Some...

Is this market hot? Are real estate and equity prices too high? Invariably you are hearing this left and right these days. In fact, I can honestly say that I have been hearing that for at least the last three or four years. My initial response to the impending zombie apocalypse was to stop deploying capital. That was a mistake. While those of us listening to Chicken Little sat on cash a few years...

At a recent investor conference in Tenafly, NJ, I spoke on the topic of what I call Wealth 2.0. This is my preferred paradigm for investing that can be simplified into the the following equation: Wealth=Leverage(Mass X Velocity) Mass is simply the amount of money that is actually deployed into investments. After all, it doesn't matter what kind of return you get if you aren't investing any money i...

Learning is an electrical function of the brain. When we first start learning something, our brains start developing connections to integrate that information. Over a period of time, those electrical connections become stronger and stronger giving the perception of something becoming second nature. It isn't until a basic function becomes second nature that you can then start adding layers. For exa...

If you can't explain it, you don't understand it. Remember that the next time you look across the table at a financial advisor type and feel confused. Ask yourself if you could explain what you were just told to someone else with some level of confidence. If not, start asking questions because the advisor will not expect you to! You see, this is a set-up—a financial ambush so to speak that high pa...

Let me tell you about another one of my failures. A few years ago, I was listening to a well known podcast and I heard about this concept of turning single family houses into elderly care facilities. The idea sounded pretty compelling so I decided to go to the "course" in Phoenix. In fact, I went out there with another entrepreneur buddy of mine. In short, we both got sold on the concept (and I me...

We recently had a Wealth Formula Network call in which we talked about an offering some members were participating in that I didn't care for as much. One thing to remember is that smart people can disagree about things without anyone necessarily being wrong. I pointed out some things I avoid when I invest and the topic seemed to garner a lot of interest. So, I decided to share some of the lessons...

Last week, I got a few emails wondering why I was sending out "scammy" emails from my friend Teeka Tiwari about investing in pot. Actually, I totally understand. If you don't know Teeka, those emails might sound a little bit like snake oil advertisements. As you know, I pride myself on not being a platform for internet marketers or for people raising capital that have no clue what they are doing....

Debt is like a lethal weapon. It can be used for good and it can be used for greed. It can be used to create wealth and it can be used to destroy it. In short, debt is nothing more than a tool. The problem is that a fool with a tool is still a fool. Debt gets a bad name because of this. But the reality is that, in skilled hands, debt can be used to create unlimited wealth. In Investor Club, we use...

These days you hear a lot of people use the word "sustainable". It's actually one of those words that I don't really understand very well. I guess by definition, it means something that you can keep on doing in perpetuity—something you can recycle and use over and over again. In that regard, the kind of investing I advocate for is "sustainable investing". Those of you in investor club know that on...

We've had a number of webinars and podcasts related to tax mitigation over the last several weeks. Unless you are new to the Wealth Formula ecosystem, you know that when we think about investing, we think not only about how much we are going to make, but also what we are going to keep. For those of you in the accredited investor club, we've talked about the power of utilizing bonus depreciation fo...

I am a lousy trader. I've said it before and I fully recognize this fact. That's why, I try very hard to stay focussed on investing rather than trading. Nevertheless, I still get trapped in behaviors that I invariably regret. For example, you may know that I am a believer in bitcoin. I truly believe this will be one of the best investments of my lifetime over the course of the next few years. That...

You might remember me talking about a part of the brain called the prefrontal cortex (remember I spent some time in the brain surgery business). The prefrontal cortex is the CEO of the brain. It's the part that's really good about making good decisions. For example, if you see a teenager doing something very dangerous and potentially lethal, it may be due to a poorly developed prefrontal cortex. A...

In recent weeks, I have had a series of webinars for Investor Club called the Tax Day Postmortem Series. Investor Club is the Wealth Formula accredited investor email list. The webinars so far have been for strategies limited to accredited investors such as oil and gas and conservation easements. However, we will have some coming up that will be available for everyone to watch. That said, there is...

Back in 2014, two of my medical businesses were KILLING it. I was making money hand over fist. Unfortunately, however, I made a mistake that many entrepreneurs make. Instead of taking money off the table and putting most of it into stable assets, I decided to dump the majority of it back into the business to grow even bigger. In fact, I went on a national campaign opening offices across the countr...

Lately, I've been getting a lot of questions from investors on how to choose investments—particularly private placements that are readily available to accredited investors. First, let me be clear that there is no magic solution to getting all of your investment picks right. In fact, if you invest long enough, something will go wrong. Next, nothing I say should be construed as investment advice. Al...

When I first described by "work" to my CPA, Tom Wheelwright, he said, "So you are an entrepreneur who just happens to be a surgeon". I hadn't thought about it that way, but I guess that's what I am. Now listen, I don't take the label "entrepreneur" necessarily as a complement. It's more of an affliction than anything else. If you are an entrepreneur, you know what I am talking about. We can be a r...

It's funny how long lasting paradigms perpetuate without question for centuries without being questioned. It used to be in most places, specific religions were mandated by the government to its people and heretics were persecuted. Of course that still exists in many parts of the world but the point is that a large part of the world does not see that as simply status quo anymore. If you live in the...

Sometimes in this "alternative investment" podcast world in which we live, I hear about great "investments" that are yielding 20 percent or more. On the surface, they sound great. In fact, the yield part might actually be real. However, because we are so ingrained in the "investment" world, we often fail to see an obvious distinction that may not be so obviously disclosed. You see, there is a diff...

I was just interviewed on a podcast earlier today and we got on the topic of gold. You know that I'm not a huge advocate for precious metals right now. Anyway, the argument became a little familiar. Ie. The global economy is going to melt down, there will be a zombie apocalypse and the only thing that zombies accept is gold and silver. A few years ago I would have gotten sucked into all of this an...

You may know that by the end of last tax year, I sold most of the real estate that I held by myself—as owner and operator? Why? Well, first of all, I realized that to do real estate right, it really is not ever TRULY passive unless you have a full time operator doing all the work. The other thing that I realized is that for a busy person, finding the right operator with whom to invest passively is...

Remember when you were a kid and you would go to the doctor? Your parents revered your doctor. The held him in high esteem. They trusted him. They would never say things like, "He's just doing that test so he can make some extra money" or "He's getting kickbacks from the drug company". These are the types of things I regularly hear when I'm in the Sauna at the local YMCA. Doctors and science are b...

To all those who made it out to Scottsdale last weekend, it was great to see you! Of course I'm biased, but I have NEVER seen such a high quality group of people at an investors event before ours. You guys are by far the most interesting podcast listeners in the entire podcast ecosystem—guaranteed. Of course the speakers were fantastic as well. Ken McElroy, Tom Wheelwright and David Steele from We...