Peter Dunn
Hello, everybody. It's petrol. Pete, the putter. Hello. Oh. Hi, Dame.
00:17
Damian Dunn
Hi, Pete.
00:19
Peter Dunn
I am forcing the energy out of the body today. Miguel is by my side along with you. Krav medie. Hello, everyone. Welcome to the Pete the Planner show. Dame and Pete are here to serve your funny and money needs.
00:35
Damian Dunn
How do we contact Kirkland and get some advertising money for that?
00:41
Peter Dunn
Miguel, you are telling me that Kirkland may be interested in our podcast, which has been downloaded over 2 million times.
00:49
Damian Dunn
Really?
00:50
Peter Dunn
Yeah, I've told you that.
00:51
Damian Dunn
It just sounds impressive every time you.
00:53
Peter Dunn
Say it out know, a lot of times no judgment zone here, no judgment zone. A lot of times people will be like, oh, I didn't put you on the screen yet. Speaking of no judgment, people will tweet or post about their podcast and they'll say, just crossed over the 100,000 download mark. And I'm glad. I think it's good marketing. I have no interest in that. I don't think I've ever publicly say we've been downloaded over 2 million times, but there I've just said it, and I will never say it again.
01:24
Damian Dunn
Look out, Joe Rogan.
01:26
Peter Dunn
I didn't think I'd talk about the Fear Factor host today world leader fear Factor host MMA. Krav medie expert. Dame, have you had a good week?
01:39
Damian Dunn
It's been a very busy week, very productive week. So, yes, it's been a good week.
01:44
Peter Dunn
Oh, Dame. All right. So, you know, I have to admit, I woke up yesterday morning, I believe it was, and read the news of Ukraine getting invaded by Russia, and to say it's a bummer sort of marginalized the situation. It was just so shocking and awful to see. And I think back to when you and I were watching war take place on TV and September 11 and that whole thing, and it's just like, here we are again. Here we are again. And, I mean, we're not directly involved yet. That just made me sad. Did you feel that way?
02:25
Damian Dunn
Yeah, it's like, okay, this new season of war is shaping up to be one of the biggest cliffhangers, and it just feels like it's if you don't want to use war one thing after another. As far as just trying to I remember distinctly where I was. You might were probably 6th grade when George Bush came on the TV late one evening to say that were invading Iraq or Kuwait, I think, at that time. And it just seems like it's been one announcement after another in that region of the world and now a little bit north. But it's interesting watching my kids go through announcement like this for the first time as well and getting their reactions and their perspectives, and it takes on a different meaning when you've got little ones in your house who are experiencing this for the first time.
03:23
Peter Dunn
I'm embarrassed to say I have not been home much this week. Kind of like last week, which is to say, I haven't even talked to my kids about it. And so now I instantly feel like the worst done father of the two of us.
03:34
Damian Dunn
Well, you had a 50 shot.
03:36
Peter Dunn
Dame I have a presentation in which I've been giving recently, talking about our executive team here at work, and there's a slide with your picture on it and my picture on it and our other colleagues on the executive team. And in parentheses under your name, it says, not related to Peter Dunn.
03:54
Damian Dunn
Good. I mean, that's probably smart.
03:57
Peter Dunn
And then I made the joke last night as I was covering this with a group. I said, you know, sort of weird that the first thing I tell you about someone is that, no, they're not related to me. And that shouldn't be a standoffish comment. It's just saying that there's no nepotism. That's all it's saying.
04:10
Damian Dunn
Yeah, it makes sense.
04:12
Peter Dunn
Dame on the show this week, we are going to talk about Ukraine and the war in but, and I'll disclaim this once we get on the air, too. But I just want to keep in the forefront of our minds that the real tragedy here is not the economic consequences that people will feel and the market consequences that we will feel. It's actually the people in danger. That's a tough thing. When the conflict started yesterday conflict? When the war started yesterday, you get on Twitter and of course, everyone's leveraging the war to make their own point about their own narrative, and immediately people are like, oh, great, there goes the price of oil. And it's just like, okay, yes, it's true. But if that's the first thing you tweet within minutes of seeing that this country is being attacked, what's wrong with you?
05:07
Damian Dunn
Yeah, I don't know. I saw a video this morning of full disclosure. I can't tell what's faked anymore and.
05:14
Peter Dunn
What'S that's a good point.
05:16
Damian Dunn
Some of it's crazy, but it looked like a woman standing in what was probably her apartment with a fighter jet blaring down at them and dropped a couple of missiles and landed in the building next to her and kids screaming and crying. And if you go to the discomfort you're going to have on this side of the planet for a little while other people are losing family members and having their way of life altered, possibly forever, I would encourage you to reevaluate.
05:47
Peter Dunn
Yeah. So we aren't going to be this memorose throughout the show, but it's just a horrible time. What a horrible situation. And to not acknowledge it is inhuman. So this is our acknowledgment of what's going on, and it'll sort of go throughout the show, we are going to talk about the economic impact and how that might slow down the world's recovery from the recession. But hearts and prayers and thoughts and anything else I can offer to the people of Ukraine. I think when you become a parent and you start just placing yourself in the shoes of parents over there. It's just so hard. We're trying to explain it to our kids. Well, you are, because you're a good father. Imagine trying to explain it to your kid when the planes are over your head. Yeah.
06:33
Damian Dunn
Tanks are rolling down the street and got people jumping out of planes above you. And it's something that we've thankfully never had to deal with on our soil in our lifetimes, but well, ever. But we have that luxury and they don't.
06:50
Peter Dunn
I feel like this level of culpability personally and how I've consumed cable news in the last 20 years and how I have viewed controversial things or really dynamic world moments as entertainment, and that's become the whole industry. Right. It is sort of always toeing the line of entertainment no matter which cable news you choose to consume. And I've definitely come off of that in the last couple of years because I started to sense that I can't act like I'm not part of the problem if I'm sitting having a glass of wine. And I used to joke, I'm going to just watch the world burn tonight and have a glass of wine, and I would say that. And so it's weird. I'm sort of toeing this line of like, well, how much do I want to know what's going on, Ukraine, out of being a good citizen and how much am I contributing to it becoming entertainment?
07:49
Damian Dunn
That is thought provoking?
07:51
Peter Dunn
Well, sometimes when people say that's thought provoking, what they might be saying is, what you just said is real dumb.
08:01
Damian Dunn
No, it should hopefully lead to some introspective thoughts and lead us all to for those who care to figure out how they consume media and where they stand in all this, let's do a radio show. Okay.
08:21
Peter Dunn
This week on The Pete the Planner Show, we answer your money questions. Here's how the show works. You email us, askpete@petetheplanner.com that's, askpete@petetheplanner.com, and here's what will happen. We might answer your question the air one of our numerous syndicated outlets. I don't even know what that means. Dame we have a lot of stations that carry our show, and of course, people listen to it on podcasts and they watch it live streamed, 10:00 a.m. On Friday mornings Eastern. Damian Dunn hello, how are you?
08:50
Damian Dunn
I am. Well, Pete. How are you?
08:52
Peter Dunn
I'm hanging in there a rough week for humanity as Russia attacks Ukraine, and so we're going to talk about some of the ramifications of that throughout the show. We are also going to talk about a shift in how retailers are distributing products and coming off the heels of a three day weekend in Chicago. I made some observations, and they tend to match up with what's going on with retailers and so much more. Dame before you and I talk about the economic impact of what's going on in Ukraine, you and I both want to express that we are going to talk about the economic impact of Ukraine on people outside of Ukraine. But really, the story here is the people of Ukraine. The story here isn't oil prices. The story here isn't your portfolio. The story here are the people of Ukraine. So as much as I think it's important for us to always analyze how world events impact us at home, I think it's equally important to empathize with the people that are really suffering.
09:59
Peter Dunn
And so I just want to get out in front of that less. Anyone think that, oh, no, oil prices are higher, what am I going to do? I think that's sort of a sad perspective, and I want people to know that is not our perspective.
10:13
Damian Dunn
Yeah, I agree. It's important to keep the real important things in mind. Yes, there will be some changes that we notice and feel in our part of the world, but it is by no means commensurate to what others are going through in a very real and tangible way.
10:30
Peter Dunn
Okay? So here's what we're going to do. So we don't keep getting stopped by our desire to express the real sorrow here. We're going to just call this a world event. And not to make it cold, but just like the Pandemic was a world event, just like September 11 ended up being a world event, just like Bear Stearns Folding became a world event, we're just going to call this a world event as it relates to the economy and the market. Okay? Is that fair? I think that's fair because otherwise I'm just going to trip over myself expressing my it. I mean, whether people feel like that's staged or not, I'm just going to get stuck in that space because the caffeine has not kicked in today.
11:16
Damian Dunn
Well, give Miguel another segment or two and we'll be rolling.
11:20
Peter Dunn
All right, so, Dame, naturally, when news of this world event happened on Thursday of this week, the markets reacted as they naturally would. You saw the VIX spike, which is a volatility index. Things calmed down a little bit. But, Damon, it's not surprising when there's a major world event for the market to get thrown into hissy fit. Is that a good one?
11:45
Damian Dunn
Yeah. We've seen this starting to be priced in over the last couple of weeks with the full anticipation that there was going to be some conflict in that part of the world. And the markets did what they typically do in those situations and retreat a little bit, then when it actually came to fruition yesterday, dumped down real quick, but then surprisingly recovered for whatever reason. So I think there's a lesson there as well, or a potential lesson, depending on where things go from here. We've talked many times about what your outlook and what your time horizon is and what are things to make you reconsider your investment allocation. And world events are something that definitely put a magnifying glass on where your investments lie and what you are actually willing tolerate as far as risk. And what we see now is that nobody knows what direction they're going to go.
12:44
Damian Dunn
I think that is one of the things that has become most clear to me over the last week, is that, yes, we would anticipate them to go down, but if you thought the markets were going to finish higher yesterday, I don't think you would have definitely been in the minority on that. It would have seemed very logical they would have gone down. So that being said, if you are at all uneasy with how your investments are performing, I would encourage you to talk to a professional about trying to figure out a good risk tolerance and make sure that you are positioned properly for where you're at.
13:17
Peter Dunn
Yeah, since were mentioning all world events that have occurred in our lifetime, we'll call it the last 30 years just to make ourselves seem younger. But you got September 11, you've got the housing collapse 2008, 2009, you've got the recession that followed, you've got the Pandemic, and then you've got Russia attacking Ukraine. Dame do you think people's fear around their own portfolio is impacted as to whether the crisis is domestic or otherwise? Because during the housing meltdown during September 11, I think people could tell themselves stories as to why this time is different and they must act. Do you think people are doing that this time? Do you think anyone domestically is going well, this time is different and I must derisk my portfolio?
14:09
Damian Dunn
I think there are some people that are trying to look way too far down the road on this. I don't know if you've spent much time on social media looking at stuff like this, but it is not uncommon to see people throw around the World War Three sort of that's where we're headed. No, it's not fun at all. And if that's where you think you're headed or this is all headed, then, yeah, it would make a lot of sense to me on why you would be very nervous about the future of your investments. If you think this is something that is going to have some ripple effect to this part of the country, then I think this is a question that needs to be answered, much like I just discussed a couple of minutes ago that you need to make sure that you are invested properly for your risk tolerance and your time horizon and risk capacity and all that good stuff.
14:59
Damian Dunn
But I don't know that I've heard too many people say pull everything out just yet, which is kind of surprising to me, to be honest.
15:09
Peter Dunn
Yeah, I mean, if the economy shutting down and being flipped off like a light switch in March of 2020 wasn't enough to spook you out of a portfolio, respectfully, I'm not sure Russia attacking Ukraine is going to be the thing that does it? It's also worth noting, and we've talked about this for two years, literally two years. Oh, by the way, timeout on this idea, we need to revisit the first time we talked about COVID on this show. Do you remember that clip?
15:39
Damian Dunn
I think I do.
15:41
Peter Dunn
I'm going to find that clip and we're going to play it one of the first shows of March, because it's basically you and I saying, so what's about to happen here? Okay, sorry. Anyway, it's worth noting that at the February 19 of 2020 to March 23, the market, the S and P 500 fell 34%. Okay? So this is 2020. This is COVID related, 34%. That means the market did enter a bear market. We are now in correction territory with the S and P 500. That's when the market falls somewhere between ten to 20%. That has happened dozens of times since World War II, and it usually only takes four months to recover from that. We did dip into bear market territory yesterday midday, with the S and P 500 yesterday being Thursday the 24th. And so, Dame, I'm not saying that the bear market is here, but the bear stuck its head around the corner yesterday midday, but I'm not so sure we're entering a bear market.
16:37
Damian Dunn
Yeah, I'm not either. I have no insider information to try and determine where this is headed because, like everybody else listening, 99% of everybody else listening, I'm along for the ride on this. I'm not sure what direction things are headed, and if things stay in bear territory or go back in bear territory, wouldn't surprise me. And if they turn around, it wouldn't be the biggest shock in my life either.
17:02
Peter Dunn
Yeah. Without sounding flippant, whether we enter bear market territory, as I look at my own personal finances or not, I can't say that I care, right. Because I'm not accessing any of my money for a long time anyway. So whether it takes 148 days to recover like it did in 2020 while entering a bear market, or whether it takes the 4.2 years that it typically takes to exit a bear market or to recover from a bear market, I don't know if I care. I mean, I don't, but now my interests aren't limited to my own front door. Coming up after the break, we're going to talk about what cryptocurrency did with all of this and oil and so much more. I'm Pete the planner. Caught there at the end, almost went over. That would have been a disaster.
17:50
Damian Dunn
I mean, for the station.
17:54
Peter Dunn
Hello, everybody. Rick Swink makes it in. Good morning, Rick. Hello, Brian. Mr. Pinkens. Jeremy says we are on the never ending doom and gloom ride. Once this Ukrainian attack gets resolved, then we will move on to the next housing market crash. Happy Friday. Too soon? You do have to de news yourself from time to time.
18:18
Damian Dunn
Absolutely.
18:20
Peter Dunn
But it's interesting because, yes, humanity will suffer if there's a housing market crash, obviously, but I feel a little more okay with investing time and reading about Ukraine than I do getting caught up in the doom and the gloom of the market. The housing market, right.
18:41
Damian Dunn
Yeah, I absolutely agree with that.
18:46
Peter Dunn
All right, Dame, let's come back, do some crypto. There's a few elements of this that are just fascinating, like our economic sanctions to Russia and how those could impact the economy. I don't understand that stuff.
19:04
Damian Dunn
Just so you know, it's really interesting.
19:07
Peter Dunn
So let's talk about it for nine minutes. All right, let's go. I got a lot of important things to do. Three, two back on the Pete the Planner show, dame talking about the impact on the world economy of Russia attacking Ukraine. Anytime a country attacks a sovereign nation tries to surround the capital. We are recording this event. We are recording this podcast radio show on Friday, February 25, at 10:19 a.m.. It is right now when world news happens, it happens so fast that I want to make sure that if people are listening to this after the fact that they know that this is recorded and we may miss what is yet to come. Dame obviously, as we mentioned to start the show, our main concern are for the people of Ukraine and our thoughts and prayers are with them. But we are going to take this opportunity to talk about this world event and how it impacts other people, other nations.
20:08
Peter Dunn
Dame oil prices naturally spiked. That makes a lot of sense based on where oil and gas comes from. As you look at the impact of that on people's personal economy, initially, directly and then indirectly, with the price of goods being moved and the impact of higher fuel prices, what do you think? Do you think that is a big problem or is it just something that people turn to because they're used to turning to high oil prices?
20:39
Damian Dunn
It's going to be an issue domestically for a lot of families, but for probably a greater number of families it'll be absorbed in one way or the other and it'll be an inconvenience and a temporary setback to achieving some of your financial goals. But oil is one of the easy things for us to highlight and key in on because it's so imperative to our economy, not only our individual family economies, but the country's economy and the global economy as well. So when we naturally turn to oil and what a worldwide event is doing to the price and the supply of oil, it makes perfect sense on why we would check there and try and judge what fallout that's going to have.
21:29
Peter Dunn
How about cryptocurrency? Because when the news of the invasion hit, crypto has already been struggling a little bit as of late, and you saw crypto prices plummet and they've recovered a little bit. But I go back to this idea that crypto is like this hedge or it's its own category that doesn't have a direct correlation to the equity markets. And I'm having a hard time proving that to be true.
21:59
Damian Dunn
Yeah, it's weird. You'll hear people try and say that crypto is the next gold and that it's a store of value, but yet at the same time, it can be used for purchasing things in a currency at the same time. And it's kind of hard to see how all of those things can line up in the best of times, it's hard to see how all of those things can line up, but then we see what happens on a worldwide scale when an event like this happens and the price drops precipitously very quickly. And then you have the praises starting to be sung of the setup of crypto by politicians around the world and how it could help us not only help people get around some of the pain that they're feeling, but leap them forward in their personal financial situations. And then you have another news story that says that crypto may help Russia get around some of the sanctions that have been placed on them by other countries.
23:03
Peter Dunn
I hadn't heard.
23:05
Damian Dunn
So it's super interesting to see how there are so many different perspectives that can be had one sector of I hesitate to say they're investments, but they're not currency. I don't even know how to classify them appropriately at this point.
23:23
Peter Dunn
Damn it's. Your favorite time. It's called Peter Reed's numbers on the radio. So it is 24 hours removed as we record this Friday morning from the market opening after Ukraine was invaded by Russia. And I just want to tell you what is happening investment markets across the globe as of right now. In real time, the US stock market is up today about 1%, just a little bit short of 1%. In Asia, specifically Japan, the market was up 2%. In Europe, the market is up anywhere from 2.75 to three and a half percent. Oil is down today. Brent oil is at $98 a barrel. And just oil, I don't know the difference. I honestly don't, is at $92 a barrel. Gold is down 2% today. Silver down 3%. Palladium, your favorite store of wealth is down 5.55%. Cryptocurrency is up two and a half percent today.
24:36
Peter Dunn
And so, Dame, as you look at, again, world events, horrific crisis, the markets at this point, 24 hours later and I don't mean to sound callous or marginalize what's going on, it's sort of shrugging this off.
24:52
Damian Dunn
Well, like I said, over the last couple of weeks, they've started to price all this in, and I think they were waiting for the other shoe to drop to see what the magnitude of the invasion was going to be and how it was going to go. And it's part of me wonders if the eventual duration of this event has any impact on what the markets end up doing. But like I said, I wouldn't be surprised if the markets ended up today versus going down more so I don't know.
25:26
Peter Dunn
Rick Swink, regular listener and viewer on our Facebook Live show right now, asked the question, when I refer to the market, am I looking at the Dow or the S P? That's a really good I have my answer is real dumb. Dame, do you have a good answer for that? Because my answer is dumb. That I will give in a moment. But let's have you give a better answer. When you talk about the market, are you referencing one or the other and or both?
25:49
Damian Dunn
Almost always the SP when I say the market, because it's a little bit broader for an index. The Dow is going to be comprised of 30 very well known large stocks. But I think the S and P 500 is marginally better benchmark for how the market is actually performing just because there are more individual companies inside of it.
26:10
Peter Dunn
So here's my dumb answer. My answer is very similar to yours, but yours is smart because here's where mine takes a weird turn. I really am referencing the S P, but when I go to get a look at what the markets are doing, I always look at the Dow first, even though I don't care at all about it. And then my eyes make their way to the S and P, which is really silly. Like, why even have the Dow on there on my screen? Because I don't care about it yet. It's so iconic. I always look and I know that the Dow is over 33,500 and just been a historic marker and I couldn't have told you until I just looked at the S and P is at 4300 and I had no idea.
26:46
Damian Dunn
Yeah, if you would have asked me what the S and P was at, I couldn't have told you. I just look for daily, weekly, monthly, whatever changes to see how that's going to get a pulse for how investments are going.
26:59
Peter Dunn
So I guess in conclusion, I was helping my son write a paper the other night and he was like, I have a conclusion paragraph. What do In conclusion? Which is never what you do in conclusion. Here's the thing. Most of our energy should really be dedicated towards empathizing with the people of Ukraine and doing whatever we potentially could do to help lessen the blow of what's happening as it relates to our financial lives. Yeah, there are going to be economic repercussions. Inflation is going to remain high. I mean, it is just no way around it, especially if you're a commuter. If you have a hybrid option or you're still working remotely, you're going to get less of a bite. Someone like you dame. My six mile commute to work isn't going to hurt me that bad. And I don't think the markets are going to be that impacted either, certainly in the long term.
27:54
Peter Dunn
I mean, if there's some volatility for the next couple months. I guess it all depends on the biggest factor in all of this. How does the rest of the world react if the sanctions put in place to Russia have absolutely no impact? If other boots get on the ground, if other planes get put in the air, then I think this takes another turn, and I think that's what we're keeping our eye on.
28:20
Damian Dunn
I agree.
28:22
Peter Dunn
And it's with that coming up after the break, we're going to lighten it up a little bit. We're going to talk about trends in retail. Are people going to start being very exclusive of who they let sell their products so they can sell Direct? That is next. I'm Pete the planner. This is our show. Everyone always wonders, what is he writing down? Of course, people in the podcast can't see that when a segment ends, I write down something. I write down the time of where the segment ends. So when I go back and edit the show and cut it up to send to the radio station, it makes my editing go a little bit faster. Because, as you know, I'm a very busy person with very important things I want to tell you about the structure of the rest of my day. Just so you know, but not too many details.
29:13
Peter Dunn
I am doing a live event for the city of Columbus, Ohio. We're doing a series for the municipality itself. So I'm doing that at noon today for an hour. That's been a fun series. Then I have a three hour meeting, three hour zoom call with a group of people. And then Oz and I are doing a demo of a software that we might buy around 430. Then I'm going to go home and pour whiskey into my face. That's my day.
29:39
Damian Dunn
I like the last part.
29:41
Peter Dunn
The other night, it was a Wednesday night. Occasionally, I have, like, 90 minutes by myself at my house on Wednesday nights. It's a very strange thing. So I took my daughter to gymnastics, got home, made myself my favorite current cocktail, which is a paper plane, and I sipped it and worked. And it was like the best, most productive 90 minutes. And I listened to A Tribe Called Quest. That's what I did. And it was wonderful.
30:10
Damian Dunn
Nice. Are you still using the giant ice balls?
30:14
Peter Dunn
I do occasionally use the ice balls. This was a shaken cocktail, so it was already cold and it was served up a paper plane. Is everyone ready to hear the recipe for my favorite drink, the paper plane? Dame, hold on. Write this down. Brian pinkens. Write this down. Okay, Dame, you're going to have 1oz of freshly squeezed lemon juice. Okay. 1oz of apparel, which is an Italian bitters.
30:44
Damian Dunn
Oh, I thought you were I was going to ask about Granny Smith or Honey Crisp.
30:48
Peter Dunn
No, apparel. A-P-E-R-O-L apparel. It's bright red, then an ounce. Of amaro. Nonino amaro is an Italian liqueur. Okay. You can already see that the price list ingredients are a little climbing, a little here.
31:08
Damian Dunn
I need spell check on that.
31:09
Peter Dunn
Okay. Then finally, 1oz of 100 proof bourbon. Choose it. I like old Granddad. Maybe you like Wild Turkey 101. I don't know. So you take four of these things, you put it in a shaker, and you shake the absolute bejesus out of it. Then you strain, of course, into I like a niconora glass or a coupe. And you drink it, and it is delightful. It is delightful. Very bitter, very sour boozy, and it's delicious.
31:48
Damian Dunn
Do they know, like, the paint mixers that you see at the big box stores that shake the cans? Really? Do you think they'd make one of those for drinks?
31:56
Peter Dunn
They absolutely do. There is a bar in New Orleans, which I'm going to in about two weeks, that has this hand crank that makes drinks, that sets them in, like, a shaker, and then they put them in this machine. It's like this old timey thing, and then they crank it like an organ grinder, and it just shakes all the different bottles, and they serve them because that bar makes so many of a certain oh, wait, hold on. Rick says rick always is bringing the big Rick energy. I learned recently via YouTube how to make my own clear ice. I make a few batches at a time, and I keep it stored in gallon freezer bags. It's awesome. Yeah, I've done it's. It is awesome. And Brian asked, do we serve the paper plane over ice? You do not serve the paper plane over ice. It is so cold by the time you shake it that's one of my favorite parts of making a cocktail is the shaking process.
32:53
Peter Dunn
It is cathartic. Which brings me to what I I'm so glad I remembered what I'm about to do. I don't know why I'm doing this, because I do have to go, but this is dumb. But this is amazing. Are you ready? Is everyone ready to have their life changed?
33:11
Damian Dunn
All right. Yeah. That's it. Take a big old drink of Miguel. Let's go.
33:14
Peter Dunn
Okay. Are you ready for this?
33:15
Damian Dunn
Yeah.
33:17
Peter Dunn
Carl icon. Right. Billionaire investor, like iconic investor. Carl Icon. He's 86, 87 years old. Was head of TWA, was involved with the Texaco deal and so many other things. Like iconic investor. It's worth $16.6 billion. There's a documentary on HBO, Max, about him that I convinced Mrs. Planer to watch. Holy moly. Dame.
33:48
Damian Dunn
Yeah.
33:49
Peter Dunn
You've got to watch it for two three reasons. The first is it's just really interesting, and it's well done, but the next two reasons are why you should watch it. So he's this charismatic, funny New Yorker, right? And so he has a New York accent, and he tells compelling stories, and he's telling this story about doing business with this Texas lawyer. So here's this guy in a very thick New York accent. An 86 year old man with a thick New York accent doing a Texas accent. The documentary makers had to put subtitles. I was crying. I had to pause it, and I fell off my chair. I was laughing so hard, I was screaming. My kids came downstairs like, what is wrong with you? I'd had a long day. It was can't the accent of New York and Texas together. You can do a Texas or a southern draw, right?
34:57
Peter Dunn
I mean, anybody can do it. He can't. They had to subtitle it. And I asked Mrs. Planner, I was like, do you think I could actually play that clip on the air? And she's like, I don't know. With copyright, I'm like, I don't want to mess with that. So that's reason number two. You should watch it. But reason number three, and this one seems a little strange because he's an 86 year old man, and it actually seems very judgmental. But how he shakes a cocktail because he was making himself a martini, and that's what made me think of it, because I'm about shaking cocktails. It was like a guy shaking dice, like, about to throw dice. But it's very casual, and, I mean, who knows where you can't shake his arm or something like that? So, again, I'm not making fun of him, but it was just like just watching him shake a cocktail where I'm in, I'm getting after it.
35:48
Peter Dunn
I've been to Zumba, and he's shaking cocktail. You got to see it. It's the best show I've seen.
35:56
Damian Dunn
I would love to watch it. I'm going to need your username and password. Why don't you leave that in the show notes, and I'll just pick it up there later.
36:03
Peter Dunn
Can we have a judgy conversation about sharing access to digital streaming platforms?
36:09
Damian Dunn
Sure.
36:10
Peter Dunn
Okay. Why am I doing this?
36:13
Damian Dunn
I was just going to see how long it took for you to realize that you don't have time for really?
36:16
Peter Dunn
I honestly don't. Okay. I got to do it, though. Let's just start here. In college, napster was a big part of my life.
36:25
Damian Dunn
Yes.
36:26
Peter Dunn
I mean, a big part of my life. Post graduation when BitTorrent became a technology, BitTorrents were a part of my life until I drew a line in the sand one day, not under the threat of prosecution, where I just said, I'm a content creator. I own various trademarks, I have intellectual property, and I feel dismay when those rights are violated. And so I drew a line in the sand and said, I am not going to do that because it would frustrate me as a creator. Sure, okay. But now the new version of this essentially is just sharing your passwords to streaming services amongst family and friends, and it's always done under the guise, of course, frugality, or it's just a smart thing to do, but there's always this thing of, like, sticking it to the man.
37:25
Damian Dunn
Sure.
37:27
Peter Dunn
I don't know. I'm being judgy today. I think I have a problem with that.
37:30
Damian Dunn
Well, I think you are well within your rights to have a problem with that. I don't know if I really see that as often as I used to. I think now you are allowed so many different accounts on certain memberships or certain subscriptions that maybe people have people chip in a couple bucks to defray the cost of a subscription, but they get one of those accounts that goes along with it. But no, I hadn't put two and two together. This was the new version of Napster to go that route. That's interesting.
38:06
Peter Dunn
By the way, Jeremy just looked up the recipe for the paper plane and says that all of the four ingredients show three quarters of an ounce as opposed to 1oz. He's right, but I make a four ounce version.
38:16
Damian Dunn
I don't know if he was trying to shame you or embarrassed, but no, there's no need for that.
38:21
Peter Dunn
Jeremy, one final story. We were in Chicago this weekend as a family, and I'm going to talk about that in the next segment a little bit. We went to Italy, which is like this giant Italian grocery store that's in the middle of Chicago and a lot of big cities, and were buying some things for home, and it's all self scan, like self checkout. And so I scan a bottle of wine, and then some store clerk has to come over and enter their ID because I'm buying alcohol. And then I scan a bottle of Amaro, and then I pack up my stuff and leave. So I'm at home. Earlier this week, after we arrived home from Chicago, and I happened to look at the receipt from Italy because we bought a bunch of pasta and coffee and other sorts of stuff, and I noticed that when I was doing the scanning, even though I heard a beep, it didn't charge me for the Amaro.
39:10
Peter Dunn
Damn, I'm a shoplifter and you're announcing.
39:13
Damian Dunn
It on a podcast?
39:14
Peter Dunn
No, I called easily, and I paid them. I called them and paid them. I cannot sleep. I have a weird set of ethics. I just couldn't do it. It's like a $50 bottle of Amaro or something like that. I could not justify now that I know that I accidentally shoplifted it, I couldn't sleep if I didn't call them and pay for it.
39:37
Damian Dunn
Was Mrs. Planner disgusted with you that you had shoplifted, or was she secretly looking, oh, I'm finally getting that bad guy that I always wanted?
39:46
Peter Dunn
That's right. No, she knows how Borish am. So all right, let's start the show. How much time did we just do there? Oh, this isn't good. Okay, I got to go. Three, two, one. Back on the Pete the Planner show. Dame, there is a new trend in retail that is curious, to say the least. This comes from CNBC Foot Locker shares sync after the retailer says its 2022 sales will fall as it expects to sell fewer Nike products. So stay with me for a second here please, sir. Foot Locker projects revenue to drop in 2022 as it anticipates it will no longer be able to sell as many products from its top vendor, Nike. There was a period in time, by the way, Dame, in which did you straddle this moment in time where you called Nike, both Nike and Nike?
40:46
Damian Dunn
I never called it.
40:48
Peter Dunn
Like I feel like I did like in fourth grade or something like that. But then obviously I don't know. Anyway, the adjustments reflect the accelerated shift by Nike to sell more of its sneakers and apparel directly to consumers. Full Locker also said this year it will be lapping, a period where consumers had extra stimulus dollars in their pockets to spend. Okay, you and I have been talking about that for two years. Of course that's what's going to happen. 2022 is going to be a weird year. March 10 odly, enough. We are doing a webinar for businesses to help them understand their employees are going to have less disposable income and that's going to impact the workplace significantly because of things like this and of course inflation and how that impacts people's stress. But Dame, the bigger issue here that you and I want to discuss is more businesses like Nike are saying now we're going to just go straight to consumer.
41:46
Peter Dunn
I was in Chicago this past weekend. I went to a number of high end sneaker stores because frankly, I'd never been in one. I've seen them on YouTube, but I went in them and they have a giant sneaker wall of one sneaker like designer custom Jordans and Air Force ones. And they're wrapped in Saran wrap. And then on the bottom there's a sticker that tells you the cost of them, which are all like $350 a pair and the sizes they have available. So there's usually like three sizes they have and then that shoe is gone and then they replace it. So it's a wild thing. But this is where I sound like an old man. It's like a new thing. It's like there's a whole new sneaker head industry where you go to a store and people just hand over fist buy $350 custom sneakers.
42:35
Peter Dunn
And so this is why Nike is trying to better control their product. And you were saying before the show today, they're not the only industry doing that.
42:43
Damian Dunn
No, I've seen an article that suggests that car manufacturers might start going this route as well. Whether they're going to just set up some of their own locations or maybe take over some of their lower performing franchisees and they're going to sell direct to the consumer much like the way Tesla does, or at least they're going to try to. And there may be some regulations that have to change for that to happen, but it would be a much different buying experience. There would be a handful of cars on the lot where you could go and test drive a car and then basically pick out the options that you want. And then the car would be delivered to the dealership within a day or two. They would be housed at some central location, drop the car off that you want in the exact color and spec that you ordered or that you chose, and you drive off with your new car.
43:31
Damian Dunn
And it will be a completely different buying experience than what most people get right now. I guess Tesla buyers are very close to that experience at the moment, but other car manufacturers are starting to see that the process could be a lot different after the last couple of years, and they could cut out the middleman and go direct to consumer.
43:54
Peter Dunn
Do you think that'll change the economics of the pricing of the car because there won't be the commission that goes to the salesperson?
44:02
Damian Dunn
You mean, do I think the car manufacturer is going to take less money just because they don't have to pay somebody else to do their selling for? No. No, I don't.
44:13
Peter Dunn
This reminds me of a couple things. Number one, the ordering kiosks at McDonald's or the automated teller machines, not classic ATMs, but like intense ones at Chase Bank, where by cutting out a part of the labor force in the process, by streamlining the customer experience, theoretically the customer wins and it's just an easier business to scale. But Dame, you and I got to talking about this, and there's a clothing store at a mall near my clothing. The mall is the fashion Mall, and the clothing store is Bonabos, which is a men's clothing brand owned by Walmart. Odly, enough, but it is a really nice clothing brand. I don't mean to have this shock in my voice that there's a really nice clothing brand owned by Walmart, but I do so deal with it. Dame, this store is a small store. They have beautiful clothes in there.
45:14
Peter Dunn
You cannot leave the store with any of the clothes. You go there like a Tesla dealership showroom. You try stuff on and then they ship it to you. You can't actually go to the store and walk out with anything. That is maddening to me. Absolutely maddening.
45:35
Damian Dunn
I would understand if this were a situation where they were making custom clothes for you, but that's not the case. We could come up with all sorts of reasons why this would, in theory, make sense for a business to cut down on manufacturing and a little bit of overhead and all that good stuff. But as a consumer, that is so far removed from what we are used to, especially with something like clothing, where you just walk into a store and comb through the racks and find what you want and you walk out with it if you like it. So it would be interesting to see. I wonder how long it takes to get those clothes shipped to you if they expedite them and they're on your doorstep in a couple of days, or if it's seven to ten days later, it shows up in a damaged box and you've forgotten you bought them by then.
46:23
Damian Dunn
But I don't know. I'm not sure how I feel about that.
46:25
Peter Dunn
I'm going to tell on myself. For Christmas this year, I purchased a pair of shoes for Mrs. Planner from a store at the Fashion Mall in which they did not have her size because she has the foot the size of a seven year old. And so they were like, oh, we'll just ship it right to your house. Of course. I thought oh, crap. Then she'll see sorry for the strong language, everybody. They'll see it's on the front porch. And so then I had to ship to our offices here. It arrived the next day, and so I was willing to do that for someone else. Like, I was willing to buy something and then have it shipped a day later. But for myself, I couldn't possibly be okay with shipping something and having it a day later, even if I wasn't going to wear it the next day, because that need of tangibility, of acquiring something and touching it on the same day is just too much for me to overcome.
47:22
Damian Dunn
I think you are going too far with this. If they knew that you were going to have it next day, you don't think you would how long do you think it would take you to get used to that?
47:30
Peter Dunn
I went in there after the holiday, and I saw a sweatshirt that I liked. It had, like, a big parrot or something on it. It was pretty wild. And I was like, I really like that. And then the guy comes over and he's like, first of all, they want you to have an appointment. They want you to have, like, a 30 minutes appointment with them. And I'm like, don't get me wrong, I've been down that road before, but I just want a parrot sweatshirt. Is that wrong? And then I just left the store. He's like, well, you do understand how it works here. And I'm like, yeah, that's why I'm leaving your store with nothing, and you're not leaving with my money.
48:06
Damian Dunn
You do understand how it works, don't you? Wow.
48:11
Peter Dunn
I know. The weird thing is why are we talking about that? The weird thing is, like, this store, it's great clothes across the just across the way, like a sand wedge for Ted at J. Crew and just to the left. Nordstrom so why would you not just go to those two places and buy something of equal quality and style and just be.
48:42
Damian Dunn
Don'T did they have parrot sweatshirts?
48:46
Peter Dunn
That's a good point. Their clothes are unique enough, but, like, J. Crew doesn't have a parrot collection. They don't have a parrot program.
48:55
Damian Dunn
McCaw.
49:01
Peter Dunn
Let'S acknowledge that I just laughed at you for the first time. Okay, Dame, here's what we're going to do. Coming up after the break, biggest waste of money of the week and we're going to do some news. That's what we're doing this week. So if you're just joining us, look for retailers to continuously cut out the middleman. Just in the way Peloton has. Just in the way that bomba socks have all bird shoes. That's what's coming and Nike is trying to do it next. And since they're the biggest name in Footwear, they will likely succeed at this and Foot Locker and Finish Line will suffer for it. And with that I send you a goodbye for just a few moments. We'll be back right after this.
49:44
Damian Dunn
Does Nike still offer the ability to customize your shoes from the factory?
49:49
Peter Dunn
Yeah, I think Phil Schumann always does that. Our friend from Indiana University executive his title, she's always evolving. He runs financial wellness at IU.
49:59
Damian Dunn
First guy I've seen with a business card that folds out to cover all of the title.
50:03
Peter Dunn
You know who has got really long job titles? No Eli Lilly or just Lily. Do people call it Eli Lilly anymore? It's just Lily.
50:12
Damian Dunn
It's Lily.
50:13
Peter Dunn
I'm not kidding. I was MC to some event. I don't know. Time's bad for me. Six years ago, a week ago, I don't know. And I read this woman's mean it was like a CVS receipt. It was unbelievable. It's terrible. It was as long as the Rocks pregame speech during the Super Bowl.
50:33
Damian Dunn
Did you have to pause and take a breath to finish the title?
50:36
Peter Dunn
Did you watch?
50:37
Damian Dunn
I know I saw a GIF of it and I didn't have the heart to turn on the audio.
50:45
Peter Dunn
It was a bit much.
50:46
Damian Dunn
I didn't seem like it was. I mean it seemed very Hollywood but not my cup of tea.
50:54
Peter Dunn
Okay. I loved his pants though. I'm just kidding.
50:58
Damian Dunn
I thought you'd go with his vest.
51:00
Peter Dunn
I don't know, it depends. They wouldn't fit me because we have different size pectoral muscles. Rick says, pete, your story reminds me of when my wife and I drove 3 hours to get to the closest love Sack store. Oh my gosh. We drove the truck 11 miles per gallon with the expectation that we would be taking home a couch. Well, they only had display models. No stock in the store. Ended up ordering online from an iPad at the store. Exactly. Rick, man, living in 2022 is hard. Man.
51:38
Damian Dunn
Didn'T see that coming.
51:40
Peter Dunn
Oh my gosh, that's amazing. That's really funny. That's when you know you're like a dopey Midwestern dad. That's totally something I would do, except I don't have a truck. Dame does though. And he pushes snow with it.
51:53
Damian Dunn
Yeah.
51:54
Peter Dunn
Have you pushed any snow this week?
51:55
Damian Dunn
No, it gets 11 miles per gallon just like Rick's though.
51:58
Peter Dunn
I have got to go. Okay. You ready?
52:00
Damian Dunn
Yeah.
52:01
Peter Dunn
This week's biggest waste of money of the week right here on the Pete the Planner Show. Damn. I'm going to tell you what it is. You ready to hear it?
52:12
Damian Dunn
Yeah.
52:13
Peter Dunn
Me too. Here it is, budy. It is this thing here, the erwork Ur 112 aggregate Odyssey watch. Erwork is known for its novel approach to timekeeping. Their latest limited edition offering, the Ur 112 aggregate Odyssey, is no exception. Jumping hours and trailing minutes are displayed on black aluminum prisms visible through large sapphire crystal windows. On the front of the timepiece, it's powered by a Ur 13.1 automatic movement with a 48 hours power reserve set within a central titanium body with two steel wing nuts and a grooved steel cover that opens vertically for viewing the secondary power reserve and digital seconds. Indications in total, the watch is 42 mm wide and 51 mm tall, with a mix of matte and glossy, polished and sandblasted surfaces, and is set on a black textile strap. Dame, we're looking at it right as Rick makes a comment. It looks like an alarm clock, the front of an alarm clock.
53:33
Peter Dunn
And if you look at your watch, if you haven't wearing a watch right now, see where the strap connects to the actual timepiece? That's where the numbers are, that's where the time is. It's not on top of the watch now, it's on that side. And Dame, I want you to guess how much the erwork Ur 112 aggregate Odyssey watch would cost a brother.
53:56
Damian Dunn
We've talked watches a few times on the show and we've mentioned some incredibly stupid prices. And this has the distinction of being not really all that practical and not everybody's cup of tea for design. So I'm going to go with $12,500.
54:14
Peter Dunn
Oh, other guesses. On Facebook live right now, my man, Mr. Brian pinkens. Dan's Listener of the Year from two years ago says $800. The answer is $273,000. That was just off $273,000. It does look like number five from Short Circuit as well.
54:37
Damian Dunn
That's an amazing reference. That's great, Dane.
54:40
Peter Dunn
What's in the news this week, Pete?
54:44
Damian Dunn
A wide ranging Internal Revenue Service proposal overhaul rules for required minimum distributions for retirement plans to align with landmark bill Congress passed no more than two years ago. The Hefty proposal provides long awaited I know, I've been anxiously awaiting this implementation details and also updates RMD policy to reflect other legislative changes. What's this about RMDs, you say? Well, the proposal brings RMD regulations into agreement with the Secure Act do you remember that thing?
55:13
Peter Dunn
No.
55:14
Damian Dunn
Which raised the RMD age from 70 and a half to 72, which is when retirees must start to withdraw money from individual Retirement Accounts and other plans. The measure also ended so called stretch IRAs, limiting them to ten years. The amount of time a non spouse beneficiary has to take distributions, that's not too terribly complicated, but buckle up. In general, a non spouse beneficiary who is more than ten years younger than the IRA holder can maintain the investment until the 10th year, no distributions being required in years one through nine. So that means somebody dies, uncle Harry leaves you the IRA. You don't have to take any distributions from year one to nine, but that account has to be empty year ten. So no annual RMDs unless you want to. But the account has to be empty year ten.
56:10
Peter Dunn
However, that seems complicated.
56:13
Damian Dunn
It is more complicated than it used to be. However, the proposed regulations somewhat unexpectedly, say that when RMDs have already begun to the participant after debt, distributions must continue to be made in years one to nine. In that situation, with the remaining account balance distributed no later than year ten.
56:33
Peter Dunn
That doesn't seem ideal. No.
56:35
Damian Dunn
So now you've got to figure out were they already taking RMDs, because that's going to determine whether or not you have to take annual RMDs. The proposal also sets a specific time for the stretch IRA ban clock to begin for children who inherit an IRA. Children can take lifetime distributions until they reach age 21. At that point, they must liquidate the IRA in ten years.
56:58
Peter Dunn
So you're saying the government wants tax revenue?
57:01
Damian Dunn
Yes, I am saying the government wants tax revenue. And they will play nice in certain situations and in others, they're just going to say, you've got ten years, and then it's, well, we'll get ours.
57:10
Peter Dunn
Dame, we're going to play a little game here called name the Top ten countries that we have listeners in of our podcast. Top ten countries that we have listeners in the podcast. Okay. I have the statistics right here.
57:28
Damian Dunn
So, you know, number one, good old US. Of A.
57:32
Peter Dunn
Okay. Number two canada. Correct. Number three england. Correct. Number four.
57:45
Damian Dunn
Australia.
57:46
Peter Dunn
Holy are you am I sharing my screen? You're on fire. Oh, my gosh.
57:53
Damian Dunn
It's going to get really sketchy at this point.
57:56
Peter Dunn
By the way, we have listeners in a lot of countries, like, over 50. Next.
58:10
Damian Dunn
France.
58:11
Peter Dunn
Oh, I'm jumping in now. Germany, then Brazil, then Japan, then Mexico, Puerto Rico. Thailand, Ireland, Switzerland, France, Taiwan, Netherlands, hong Kong singapore united Arab Emirates, belgium, Italy, new Zealand new Zealand guatemala, india, spain, south Africa turkey, chile, malaysia, norway, denmark russian Federation, korea, sweden, panama, cyprus, Poland, dominican Republic, finland, jamaica, philippines, bahrain, Egypt, costa Rica, azerbaijan, vietnam, ghana, Croatia, Qatar or qatar, israel, Indonesia zakistan. Respect. I may have mispronounced that. Turks and Caicos. Hungary, Iran, St. Lucia, Bahamas, Argentina, Belize, Zambia and the list goes on. And that's people that listen to our show.
59:06
Damian Dunn
There's, like, three people in most of those countries that listen to our show.
59:09
Peter Dunn
Okay, I will say this. There is one download from Bangladesh.
59:14
Damian Dunn
It was an accident. They thought they were getting Pete the Cat.
59:17
Peter Dunn
I will say there's also one listener from Equatorial Guinea.
59:21
Damian Dunn
Really?
59:21
Peter Dunn
Yeah. Wow. Oh. One listener from Isle of man.
59:27
Damian Dunn
Nice. They have a fantastic race.
59:30
Peter Dunn
All right, so, Dame, we're going to play another game here. I don't know why we're doing this, but it's interesting. Dame, how many listeners do we have in Bailey's? Nine. Okay, what else is in the news?
59:48
Damian Dunn
The SEC is reportedly investigating whether Tesla stock sales by its BFF Elon Musk and his brother Kimball violate insider trading rules. Kimball serves on Tesla's board of directors and sold 88,500 shares one day before Alon tweeted a poll asking followers if he should sell 10% of his Tesla stock. Pete, are they going to get slapped on the wrist?
01:00:12
Peter Dunn
They are going to get tickled in the midsection. As what they're going to nothing's going to happen, because, first of all, of course, this is what happened. And of course, that's exactly what happened. And the SEC does nothing about all of Elon Musk's alleged manipulation of the stock market, which occurs almost on a daily basis. Allegedly.
01:00:37
Damian Dunn
What would have been more egregious, to sell it or to short it.
01:00:45
Peter Dunn
By the way? That's a great question. It's a great question. Egregious, definitely to short it.
01:00:51
Damian Dunn
Yeah, I think so.
01:00:53
Peter Dunn
No, nothing will happen. What do you think?
01:00:56
Damian Dunn
No, it'll be a non story. It's just fun to always hear the updates on the relationship between SEC and Elon Musk.
01:01:03
Peter Dunn
By the way, and we referenced this a couple of weeks ago by not actually referencing it. When Martha Stewart was put in prison for insider trading, what she did was so much less significant than what we've just discussed with Elon Musk and his brother Kendall.
01:01:19
Damian Dunn
Yeah, but think of all the delicious pastries she probably got to make while she was there.
01:01:23
Peter Dunn
I don't know. She served her time. That's why I don't like making example. I mean, she served her time. That's how we do know. You mess up, serve your time, and then you're back in society. That's how it has to be. Damas with that message that we're done sending good vibes, because good vibes are all that's in the budget. I'm Pete the planner. Thank you for listening. This is the show. That's all I got. Man, I do have to go. Hey, Dame, I hope you have a good rest of your day.
01:01:50
Damian Dunn
Enjoy your three hour zoom.
01:01:51
Peter Dunn
Oh, my God. Everybody else, I hope you have a good week, and our thoughts are with the people of Ukraine, and I hope that takes a turn the other direction, because it's not looking good right now, so but anyway, stay getting money. All bye.
