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IFB102: Risks, Individual Bonds, and Becoming a Financial Advisor

Announcer:                        00:00                     You’re tuned in to the Investing for Beginners podcast. Finally, step by step premium investment guidance for beginners led by Andrew Sather and Dave Ahern to decode industry jargon, silence crippling confusion and help you overcome emotions by looking at the numbers, your path to financial freedom starts now.

Dave:                                    00:36                     All right folks. We’ll welcome to Investing for Beginners podcast. This is episode 102 tonight. Andrew and I are going to answer a couple of listener questions we got recently. They were really, really good questions. They were really good questions and it had some great potential for us to talk about some things that we maybe don’t always get to talk about. So Andrew and I thought that there would be a lot of fun for us to talk about. You guys could take away some great stuff from those as well. So Andrew, why don’t you go ahead and read the first question to us.

Andrew:                              01:05                     Yeah, sounds good. So this is from Sam, Sam s he says, Hey Andrew and Dave, I listened to your guys’ podcasts in September, 2018 have been caught up for a while. Love the content that you put out every week. Also, I’ve been subscribed to the Eletter since December, 2018 and love the and say I get from that as well. Thank you. I can’t thank you enough for helping me take that leap into the wild, the unknowns or the stock market and help me see what a valuable tool it can be to reach financial security.

Andrew:                              01:33                     I love that. Just as a side note, okay, he’s got two questions. First one, let’s, let’s tackle that one first. He says this first one deals with thoroughly reading the 10 K I have a business background so I am lucky enough to be able to understand income statements, balance sheets and most of the 10 k but when it comes to the risks portion of the 10 k how do you decipher which risks really stand out or caused enough concern to not purchase that stock compared to other risks that may, that seem to be found in many other 10 k’s? I may not be as critical to the future of the company. So let me like kind of intro this and then I want to hear what they have has to say. So basically if you don’t know what the 10K is, this is the annual report that Istock has to file.

Andrew:                              02:18                     If you’re a public stock traded on the public exchange, you’re going to have to file a 10 K at least here in the United States. So what, it’s a very long document. It can go over a hundred pages. Um, we, we’ve talked at length in past episodes about some of the parts of the 10 k that you can really focus in on. But just like as a general overview, there’s usually the first sections like the business overview. So they kind of summarize, hey, we’re at lemonade stands and we sell premium lemonade. Okay. And then there’s the risks and that’s what he’s asking about here. So the company will have to be about, hey, you know, if there are, you know, if we have a political meltdown, that could be a risk to our business model. If there is any sort of recession that could have that could be a risk to our business model as well.

Andrew:                              03:14                     And then they, they usually kind of go into why that’s the case or how that’s the case. And as you go down further into the 10 k you have the financial data, which we like to talk about a lot and tried to teach and make simple. So that’s where you get the income statement, the balance sheet and things of that nature. So Dave, how when you read the risks portion, how do you decipher, cause I know personally I kind of can scan some of the risks and be like, oh I’ve seen that a lot. Whereas with other risks it’s like hmm maybe I should think about this one.

Dave:                                    03:51                     For me it has come down to just experience, just reading through them enough that you are able to decipher what is boiler plate. I have to put this in here kind of stuff. Because as you read more and more 10 k’s from different companies, you’re going to see similar language in each of those 10 k’s because there are risks that they’re going to have to disclose that just about every company is going to be exposed to whether it’s, you know, currency issues or whether it’s something to do with potential legal issues. Or it could be political issues. Some of those things that depending on what the nature of the businesses could have a huge impact or commodities for example, you know, if you’re talking about it a little company, they have a huge exposure to commodity prices because they’re dealing with oil, whether it’s upstream or downstream or any of those different factors of the oil production industry, they’re going to have risks and evolve with that.

Dave:                                    04:51                     So that’s obviously going to be a big portion of what their risks are. So I’ll give you a couple of examples of something that, some things that I have noticed or come across as I’ve been reading through 10 days, uh, with companies that I’ve, I’ve invested in. So quite a few years ago when I first had been invested in Trinity Industries, one of the things that I noticed reading through their 10 k, which gave me pause, is they were being sued by, uh, uh, some people that had formed together a class action suit because there were some accidents. Uh, Trinity was one of the companies that help produce guardrails. And there was, apparently there were some big accidents in the north and some people were hurt, hurt, and some people were killed. And so as part of retribution, I guess for what happened, I think they’re looking for somebody to blame.

Dave:                                    05:46                     And Trinity became the scapegoat for that issue. And because some of these guard rails, those apparently have failed, maybe didn’t fail, they were being sued, uh, for quite a bit of money. And so that was a risk that if the company lost the lawsuit, they could have to fork over, you know, a quarter of their profit every, you know, for that particular year, which would have a huge impact on their business. And so that was something that I had to kind of weigh the risks and I read about more about the case and kind of went back through more of the 10 ks to kind of get a flavor for what really had been going on and how long that had been going on. And it had been, it had been in the works for a number of years and they were going to be deciding the outcome of the case, the next 10 K.

Dave:                                    06:37                     So I invested in the company and because everything else lined up and it was really great, all the other risks were things that I felt like were things that could be, you know, not discounted. And Lo and behold, old that they won the court case. They ended up not having to fork out all the money. And so that risk went away. So now when you read the 10 k’s, that risk doesn’t even exist because the, the legal issue has been resolved. Let’s talk about Wells Fargo. Wells Fargo obviously went through a very, very bad crisis with the forgery and fraud that was happening with people opening accounts and credit cards and all that fun stuff. So the company was fined quite a bit of money for their participation in that and for them allowing that to happen. And that was something that they disclosed in the wrist.

Dave:                                    07:31                     So if you were living under a rock and you didn’t know that Wells Fargo is going through all this, then when you read the 10 k you would see that risk just shit sitting out there going, hey, this find is sitting out here. When this actually comes due and we have to fork over the money, it’s going to have a huge impact on our earnings and our ability to do the things that we want to do to grow the company. And it, it’s stated right there for you to decide how you want to deal with it. And so they will lay it out for you when it is a particular issue. And it could be other issues too. Another example is cornering a company that we’ve talked about numerous times. They have quite a bit of money overseas and they hedge against the currencies because they do overseas.

Dave:                                    08:17                     They hedged their currencies against the Korean currency as well as the Japanese currency. And if, if there’s wild fluctuations in that, that can affect their earnings and they to schools, all of that in their 10 k. But as I’ve gotten more comfortable with a company, I’ve paid more attention to that, whereas before, I didn’t really understand it to be honest with you, but as I worked through it, it started to become something that was much more uh, clear to me and I understood what it was going and how will it affect them. And then when I actually saw it in, in practice actually did affect them, then it, it, it all kind of sense. And so those are things that you can balance out, but a lot of times it’s just a matter of of dealing, dealing with the risks and reading through them and trying to decide which ones are, and that’s another reason why it’s a great idea to try to read through more than just one 10 k if you’re going to invest in a company.

Dave:                                    09:14                     So if you decide you want to buy Microsoft, it’s a really good idea to read through multiple years of the 10 K so you can get an idea of the different risk and you’re going to see a pattern with a lot of those and different things will pop up and you can decide how critical they’re going to be. A lot of times the better companies, the people that are more clear about their intentions and what is going on with a company like thinking about us as a shareholder, they’re going to be more thorough and disclosing how this will impact the business. Uh, other companies that are trying to maybe obvious skate or, or kind of hide things are going to be less clear about what’s really going on with some of those risks. So I hope that helps answer that question. I’m kind of curious, I’ve talked a lot what Andrew’s thoughts are on that.

Andrew:                              10:00                     Yeah, that was an excellent answer. I really like the idea of looking at multiple years of 10 K’s. Like you said, uh, you can, um, kind of see if it’s like a onetime risk or if it’s a like just that’s part of doing business. So I know with, with, uh, with the rest of the lawsuit, I remember seeing what Trinity, um, once, once that thing, I believe they, they eventually found out not to be at fault. There were several lawsuits when I was looking at them, so I’m not sure exactly which one you were referring to, but a lot of the times as these lawsuits get revolved resolved, uh, you’ll see a pop in the, in the share price. And that definitely happened with Qualcomm very recently with apple. And now I think apple and Samsung have, um, resolve some lawsuits and it always seems to help the share price just because investors generally hate uncertainty.

Andrew:                              10:57                     Kind of giving a counter example to what you said with the lawsuits. Uh, I pulled out the latest annual report for Apple, just as an example. It’s one of the biggest companies, right a lot of times is the biggest company by market cap, um, as it’s traded in the stock market. So they have a risk here and they say the company could be impacted by unfavorable results of legal proceedings such as being found to infringe on intellectual property rights. So that, I mean that’s very general. They’re not talking about specific lawsuit, they’re just saying at any time we could be sued. So I think that’s one of those where you can kind of check that in that box. Well, you know, maybe compared to a company that’s not as consumer driven, they do have more of that risk because, um, like let’s say the iPhone, um, they could be implementing technology that may be was intellectual property of like Samsung or something.

Andrew:                              11:56                     And then it could go either way, but at the same time you can just think, well, you can have lawsuits in any business really. Uh, and then they’ll just take different forms and maybe it’s not intellectual property rights, but maybe it’s a liability from people getting injured. Any of those sorts of things. Other ones that kind of jumped out to me as I just skim through Apple’s 10 k risks of international operations. Uh, you could argue maybe cause they, they haven’t been known to, to park more cash, that they’re more likely to be impacted by currency fluctuations. But I’ve seen like almost every 10 K it’s like if you are doing business internationally at all, then they’ll always put in the risks that hey, there’s risks with other countries that we can’t control. And that’s going to be, if you really think about it, that’s, that’s just part of doing business no matter what country you’re in.

Andrew:                              12:51                     They also talk about, you know, they could be impacted by it. Failure. Okay. That sounds pretty general to me. Um, that could be subject to a variety of laws regarding data protection. That sounds like if you’re looking at tech company that’s like Facebook, right? Obviously had had big risks on that. They could lose people. When you hear him talk about competition, every company is going to have competition. I would just try to narrow down and kind of focus in on, um, good. Uh, if there’s a major competitor, a good company will generally name that competitor in their 10 K or at least make some sort of reference to them. Um, so every company will have competition, but that, that section of the risks can kind of tell you if the competition is more fragmented or if there are other bigger players that can be a good source of information for that.

Andrew:                              13:53                     And then here’s some very obvious general ones right there. Quarterly revenue and operating results will fluctuate. Any business that can happen with the stock price subject to volatility, any business that can happen with. And so the, the thing that I would add is kind of a practical takeaway in addition to looking at different 10 k’s of, uh, different years. I would also say, look at their competitive, there’s staircase. So going back to that example, Dave said, if you’re looking at Microsoft’s 10 k maybe you also want to look at Apple’s 10 case as they compete on operating systems. Maybe you want to look at Sony’s 10 case since they compete in video game systems and maybe you want to look at Microsoft’s 10 k go to that compute the competitor section that I talked about. See if they name any companies. If they do go look at their 10 case and you know, if, if it’s just solely on, you want to figure out just how risky and what kind of risk factors are really are, then all you have to do is look at the risk factors for those 10 k’s. You don’t have to, you don’t have to go through all a hundred pages and we never tried to say that that’s something you need to do when you read these things. Um, but I would for sure look at risk factors, look at the business overview and look at the financial data. I think those are all good things to look at and hopefully that gives you a little bit more color and insight on how the interpret some of those,

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Andrew:                              15:40                     Let’s move on to the next one. So the next question that that Sam had for us was my second question deals with bonds. I am only 23 and it definitely in the growth stages of my portfolio. However, I would like to know what avenues do you use to potentially buy bonds in order to have a well diversified portfolio? Do you have bond ETFs in the stock market or Federal Treasury? Bonds are a little bit of both. I currently have a bond ETF, but I am wondering if that is enough. Andrew, what are your thoughts? So I guess first disclaimer, first and foremost, I do not buy bonds at all. I’m 100% stocks. Um, you can see my exact holdings if you’re a subscriber to the leather, I’m all stocks. And that’s for a lot of the reasons we’ve talked about before. I wanted to be a part owner of a business and I want to have that dual return possibility with the double compounding and I want to have a dividend that increases.

Andrew:                              16:37                     So my income should be increasing over time as the business grows and as they’re able to grow that pain dividends. To kind of play devil’s advocate on that, there are a lot of well respected investors who are way wealthier. I’ve been way more successful than me. Obviously that legends like Benjamin Graham for example, he advocates having some sort of the mix and bonds, you know, I think he, he’s the, what he said in the intelligent investor was focus your bond allocation based on how bullish or bearish you are about the future of the stock market. So, uh, and not like the future of the stock market as in like I’m in the try the time, the market, but if the stock market’s very overvalued in general, then maybe increase your exposure, the bonds. If, uh, if, if there’s a bunch of deals and stock markets on their value, decrease that exposure. So he talks about fluctuating between 25 to 75% either way one way or the other. And I think that could be a good policy if you are more conservative. And definitely I think if you’re in the more mature part of the growth of your portfolio in general. So I mentioned as a disclaimer, just so you know, I don’t personally buy bonds. I have looked into how you would do it.

Andrew:                              18:03                     So with the 401k I had a 401k in the past and you’re able to just pick a bond ETF or mutual fund. Um, that ETF that Sam talked about, the um, oh, I guess he didn’t talk about it. Uh, there’s a ticker B and d and that’s a very general kind of bond. I think it’s corporate bond ETF, don’t, don’t quote me on it, but there’s, there’s other very popular kind of big bond ETF ticker is that you can go for, when I had the 401k, I had just a typical bond. I don’t know if feels the ETF or feels like some sort of mutual funds. When I finally did a a roll over into a Roth and that’s when I took that money and put it into stocks. So you could, you can, you can go that route. And I think that’s a very low effort, very easy route. I think if you’re more aspiring and maybe you are okay.

Andrew:                              19:02                     You like kind of what we talked about last week. We talked about how you could still have a value investing strategy and implement that with bonds. In that case you can also maybe try the by individual corporate bonds. So you would evaluate a company based on their financial statements as if you were evaluating it to buy it as a stock. And then you look on how their bonds are trading and they should give you different time periods of how long the bond is. So it’s like, well I want the loan, this company money for 10 years, so I’m going to buy a 10 year bond and they’re going to give me, I know they’re going to give me 5% of my investment. And they’re going to give that to me every year no matter what. And I’m confident that that money’s going to be a, I’m going to get that money and I’m going to get my money back because I looked at the balance sheet and they have a very low debt.

Andrew:                              19:55                     You know, they’re very strong financially. They have a strong financial backing, they have good profitability, all those sorts of things. The problem with that is I’ve tried going through the process of looking into buying individual bonds and then is not easy at all. We talk about how we love the stock market and we love Roth Iras and individual brokerage accounts because it’s so easy. And you can do it with a couple of clicks. There’s just so many websites out there that can help you find data on, on these stocks. And it’s just not the same case with bonds. Morningstar has a pretty good tool on it and that’s maybe the first place I would kind of move towards. But even like for people having, uh, like a guide to help buy individual bonds, it’s just, there’s not much there.

Andrew:                              20:55                     There’s also most bonds you need to buy and lots of, I can’t, I can’t remember. I think par values a thousand or 10,000, something like that. Like you need to invest at least 10,000, I think generally it’s somewhere around there just to buy one, one kind of to make it, oh, an individual bond purchase. So again, don’t quote me on the exact numbers, but you do need to be investing a significant portion in order to kind of take advantage of that. And as somebody who’s 23 and then the gross stage of a portfolio that may or may not be an option. The final thing to Kinda keep in mind when you, when you look at individual bonds versus bond ETFs is if you’re going to buy a basket of bonds, you can expect, uh, a lower yield than if you were the by like an individual bond by itself.

Andrew:                              21:48                     And that kind of just makes sense because you have a, a group of different corporations that you’re essentially lending money to. And some of those are a lot less risky and some of them will be more risky. But as you kind of average that it tends to be a much lower yield. Um, so you know where you can use a value investing approach to kind of find good opportunities and good pockets where you still get a high yield and take pretty low risk. Uh, you won’t be able to do that with an ETF. And I guess there’s other things you can do with treasury bonds, but I think I’ve talked enough about that and I’ll let Dave have a swing.

Dave:                                    22:29                     Okay. Um, the, I guess my swing would be a pretty simple, it really comes down to what your risk tolerance is and what, how, how comfortable you feel with what it is you’re investing in. And I think at, at 23, I guess my suggestion would be that you focus way more on the stock portion of your portfolio because as you said, you’re definitely in a growth stages of your kind of stick to that. Uh, the, the bond part of it, I think I would work more as like, you know, five to 10% of your portfolio at most.

Dave:                                    23:10                     I think that would be the route that I would go. And for the ease of like Andrew was saying, you know, for the ease of working with what you’re doing, the bond ETFs or treasury bonds are going to be just fine. And the treasury bonds depending on, they’re very easy to buy. You just go to, you just go online and you can buy them online and they’re super easy to buy. A, I would probably honestly check out the, what the yield would be on the treasury bonds versus the bond ETF that you’re in because they might be pretty comparable and that might be an easier way for you to go there. Also easier to turnover. In other words, I, he sell and redeem and then you can get your money out and then you could invest it in something else if you want to do so.

Dave:                                    23:54                     I think that’s really about all I would say Andrew covered that pretty well.

Andrew:                              23:57                     So I’ll just add one last thing. If you are like wanting to jump into the bond, um, rabbit hole, the, he’s considered like the bond king, his name is Bill Gross. He’s got a couple of good books and I would, I would look into him if that’s something you’re interested in.

Andrew:                              24:15                     Yep. Fantastic. Fantastic resource. Okay. Uh, let’s tackle one more question in the time we have left. So this is from Gilbert. He says, Hi Andrew, big fan of the podcast and your ebook. Because of that, my purchase, the Vti and the leather, the information about value investing in dividend growth stocks. Leads me to an important question about the financial advisor position. He says with formation presented in all of your resources about mutual fund fees, ETFs, and empowering people to invest in individual stocks, would you suggest working, would you suggest against working as a financial advisor for a bank or credit union? He says, I asked because I recently received a job opportunity working as a financial advisor and after learning about value investing, I am conflicted. Thanks for your insight. Look forward to hearing from you. So kind of a serious, uh, big career altering type question.

Dave:                                    25:15                     How do you see at this? I’ll give you my experience and what I’ve learned and discovered because this is something that I explored as well before I got out of the banking world. Depending on the bank or the credit union, this is going to have a big bearing on, on your, on where, so if you do work for a bank for example, I’ll just give you my example. So when I worked for Wells Fargo, I had lots of conversations with the financial advisors in the branches that I worked in and they were great guys and very, very smart, really passionate about trying to help people. But they had zero interest in working with individual stocks. They are, the bank has, the banks have, they make money from these mutual funds and ETFs and the different packages that they put together.

Dave:                                    26:13                     And there were more concerned about creating portfolios based on people’s risk tolerance as opposed to trying to find them the best investment that they can that’s going to make the most money. So there are more concerned about the fees that they’re going to generate for the bank and for themselves than they are individual investment. That amount of times that you know, there was a customer, I’ll give you an example. There was a customer that came to me that he had $50,000 that he wanted to invest with wells Fargo and, but he was, his condition was that he would only buy two stocks and the financial advisers that I was working with was kind of adamant that he had to buy these. It was really working to try to get them to buy. These are the things, and this gentleman that I was working with was like, no, I’m going to buy a Berkshire Hathaway and Wells Fargo stock.

Dave:                                    27:09                     That’s all I want. And he said, if you aren’t going to help me, then I’ll go to an individual broker and we’ll just do it that way. And he ended up relenting after talking to his boss and they agreed to do it. But it was kind of an illustration to be of like, wow, I really don’t want to do this for wells Fargo because I’m, you know, I’m wording all this stuff about value investing in dividend growth stocks and all this great stuff that I think is going to be fantastic for helping people invest their money and that is zero where wells Fargo wants to go. And so for me that was like, okay, I don’t want to do this. So if you’re, if you’re going to have the opportunity to work as a financial advisor, I think that’s something you need to really look into and what are they going to, what are they asking you to do?

Dave:                                    27:53                     Are they asking you to take their basket of products and sell those to the individual does come in looking for investment guide injections and if that’s the case and that’s not something you want to do, then that’s obviously a pretty easy answer. If they’re going to allow you flexibility to do mix and match, like they have products they want you to use, but they allow you to do your own recommendations based on your interest in the stock market. Then obviously that could be something that you might want to do. So it really kind of comes down to what you’re looking for and what you’re looking at. And that doesn’t just apply to banks or credit unions, it also applies to people like Thrivent or Edward Jones or some of these not stand alone, but like franchise brokerage houses, they’re going to be a lot like that.

Dave:                                    28:40                     They’re going to have different products that they’re going to want you to, to recommend to the customers to help them with their financial position. But it’s also going to help the business as well. So it has a, it has a two, two edge sword. So I hope that helps answer your question. It really comes down to who you’re going to go work for and you really need to find that out before you take on the position.

Andrew:                              29:04                     I’m going to try to also shine some light on this and maybe play a little bit devil’s advocate. So obviously there’s no one size fits all answer to this and you have to understand every company’s going to be different. Every financial advisor kind of structuring is going to be different. Obviously from the consumer side, if you’re looking to talk to a financial advisor, you’re going to pay somewhere. So either it’s you pay, like they, they kind of market it as if you’re getting free advice, but like what Dave said, what they’re really, how they make their money as they’re going to make it off commissions getting you on, uh, moved, push towards these certain ETFs, these certain asset allocations, whatever that is.

Andrew:                              29:48                     And so that’s Kinda how the the customer pays for is, is through those maybe not necessarily most ideal investment choices or you have lots of financial advisors who take pride in the fact they don’t take any commissions at all and they just, they charge that flat rate because that’s what they want. You know, that’s how they’re gonna make their bread. And that’s how they’re going to insure you. That there are no conflicts of interest cause they’re going to manage your money as if they were managing their own money and they’re not. You don’t have to worry about that so much. Then you kind of get into the, this dilemma that you have as a marketing student. He pointed his signature, he’s a, a master’s, a marketing student, masters in marketing.

Andrew:                              30:38                     So you know what we’re, what we’re potentially talking about here is a great opportunity to get a foot in the door and get a career. Jumpstarted I’ll just say there’s, there’s a lot of value in financial advisors outside of just, you know, strictly buying stocks. So what we need to understand here, and I was talking to somebody at an event, um, several weeks ago and he said how the, his biggest value ad to the people he serves is not necessarily the investments he picks. But it’s the reassurance that when you know, when stuff hits the fan, uh, you have somebody to reassure you to remind you, this is why we stay longterm invested. Let’s remember we’re getting dividends. You know, this is the absolute worst time. I know you’re freaking out. I know you have colleagues who are losing jobs. I know you have two friends who just defaulted on their mortgage and it seems like we’re never going to get out of this recession, but if you were the cell now you’re going to lock in a huge loss.

Andrew:                              31:48                     It’s going to be very hard for you to recover from this loss and your longterm returns are going to be so bad. So there’s a lot of value in that. And I think in general, the people who listen to our podcast and stick around, I think we, a lot of us have this problem solving kind of a, you have an interest in investing in the stock market. Something about it has led you to continue to listen and, and be very engaged. Be maybe you have kind of a DIY personality or see, you know, you’re driven for one way or the other to really try to optimize your finances as best you can. What we have to realize is that not everybody in the world is like that. Um, and that’s, you know, how it works for you is how it works for you. You know, you do you kind of a thing.

Andrew:                              32:41                     And so for those type of people who literally just want a person they can trust and kind of delegate the, the decision making to somebody else, they could have a lot of value in that. And so as a financial advisor who’s trying to make a difference, maybe you’re trying to, uh, help people to get good returns. You could be somebody who maybe pushes them. Even the individual stocks aren’t an option cause I kind of doubt there would be, but maybe you push them towards a lot of value type funds and you can educate, use your knowledge based on what you learned on our podcasts about value and educate people on why that might be a good option. Why being a contrarian’s to give the option. You can educate people on dividends, right? A lot of the stuff we talk about with dividends and compound interest and uh, having investing in dividend growth type companies so you can maybe push people towards those type of things and get, you know, maybe not the most optimal type of thing.

Andrew:                              33:43                     Maybe it’s not how you would do it, but it might work for some people and maybe you just need to be vigilant on, there’s going to be some good firms and there’s going to be not so good firms. And so I don’t, I mean I don’t have experience in that personally, but I think it would be hard to kind of make that judgment call often interview. Maybe sometimes you can. And then it’s like, so obviously, uh, a terrible fit in that terrible place to work, but sometimes you just don’t know until you’re in. Um, and so a lot of things I think to consider a lot of kind of have to think like get your foot in the door is that, how has that, how has that fit on my priority list up at the point I’m at now? How do I see my longterm vision? What’s my career path kind of look like?

Andrew:                              34:37                     So a lot of things to consider and there’s not one simple answer, but hopefully a lot of the things that Dave and I brought up, we’ll give you things to think about. And it’s a huge thing, right? I mean you’re talking about starting their career from scratch and you found something that you’re obviously really passionate about with the value investing in the dividends.

Andrew:                              34:58                     It’s going to be up to you to decide how you use that knowledge and how you navigate yourself through the interesting world that’s finance and how that takes you. So I don’t think, you know, when I think about being somebody who’s fresh, like straight out of college, starting a career, you definitely don’t need to be, have everything figured out. You know, you don’t need to have your career path mapped out by the year, right. With, with um, they’ll be working at this type of place and then this type of place and you know, just keep an open mind, be very observant maybe, um, and keep your values top of mind. But uh, let time pass maybe and, and try to evaluate where you’re at and what type of things you’ve been doing. And maybe that can help too. So I dunno, I don’t have the answer and I don’t think we should give an answer, but hopefully those are, those are kinds of things to think about as you under this. Very tough. That’s very tough question.

Dave:                                    36:00                     All right folks, we’ll, that is going to wrap up our discussion for tonight. I like to think Gilbert and Sam for sending us great questions. That was a lot of fun to talk about those and we got to dive deep into those little aspects. So hope you guys found some value in what we shared with you and did you guys go out there and invest with a margin of safety? Emphasis on the safety. Have a great week and we’ll talk to y’all next week.

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