How investors make money with carry trades, how central banks encourage such trades, and what are the dangers to financial markets and the economy when carry trades get too big.Topics covered include:What are the attributes and examples of carry trades.Why do carry trades exist even though investors can suffer massive losses.What was Volmageddeon and Francogeddan.How central banks are the largest carry traders and their actions encourage even more carry trades.Why carry trades are deflationary and lead to systemic risk.What should individual investors do about carry trades and how to take advantage of carry crashes.Thanks to Robinhood and NetSuite for sponsoring the episodeFor show notes and more information on this episode click here.
What factors determine the well-being of an individual or nation and why gross domestic product is an inadequate measure of prosperity.Topics covered include:Evidence many Americans are poorer than before the Great Recession.Why life expectancy in the U.S. is falling.How satisifiedare U.S. citizens.What is GDP and why is the U.S. Bureau of Economics developing a new methodologyWhat are the flaws with GDP and why does it fall short in measuring well-being.Which countries around the world are the most and least happy and what are the factors that contribute to that happiness.Why were U.S. founding fathers worried about too many luxuries.How the U.S. in the 19th century followed the same manufacturing model that China does today.Thanks to Policygenius and LinkedIn for sponsoring the episode.For show notes and more information on this episode click here.
How climate change, money, trust and technology will interact to impact financial markets and the economy in the coming decade.Topics covered include:Why we change much more over a decade's time than we predict.What is the best approach for transitioning to a new career.What have stocks and bonds returned over the past decade and what are reasonable return expectations for the decade ahead.Examples of how the impact of climate change is being priced into financial transactions.Why Ray Dalio thinks the world has gone mad and the system is broken.Why uncertainties regarding the creation, use and borrowing of money will be reflected in interest rates.How trust and technology will impact global trade and productivity growth.Thanks to Cove and Sleep Number for sponsoring the episode.For show notes and more information on this episode click here.
How is it the global economy still functions even though most individuals do not trust brands, public institutions or each other.Topics covered in this episode include:The low level of interpersonal trust around the worldWhat is social capital and how it facilitates a trust economy.What are the incentives that encourage individuals and businesses to produce goods and services rather than steal from each other.How does trust impact economic growth.Does traveling harm or help local residents.Thanks to Masterworks and LinkedIn for sponsoring the episode.For show notes and more information on this episode click here.
How a safety-first retirement approach using income annuities is more predictable and takes less money than depending entirely on your investment portfolio to fund your retirement.Topics covered include:The difference between a safety-first and probability-based approached to retirement.How income annuities work.Why setting a sustainable retirement withdrawal rates requires planning for below average market returns and above average life expectancy.How using an income annuity and other guaranteed income to fund basic living expenses means not having to set a sustainable withdrawal rate.How long can retirees expect to live.Why most retirement portfolios are not as liquid as retirees think.Why are retirees hesitant to use income annuities and how to overcome the fear of doing so.Thanks to Policygenius and Vistaprint for sponsoring the episode. Use code David50 for Vistaprint.For show notes and more information on this episode click here.