Playing to Win - 088 - George Gammon

00:00:00.000 all right hey guys welcome uh playing to win episode number 88 uh my friend george gammon

00:00:07.380 returns how you doing george doing well rich thanks for having me back on yeah it's cool to

00:00:12.680 catch up every uh you know i said last time i'd love to have you on like every six or seven months

00:00:17.260 just to sort of you know see what's going on with the markets because you know they're always changing

00:00:20.780 and um you know it's always it's always neat to sort of dive down those conversations and we always

00:00:25.560 i mean we we talk about more than just markets and economics anyway because i know that you're

00:00:30.360 you're pretty red-pilled with the way that you live your life and everything so

00:00:33.000 it's fun to have you on um before we actually get started i i had a challenge for one of my friends

00:00:40.660 because he because he saw the post that i put up with the event and he wanted me to table this for

00:00:46.560 you okay um and he said will you ask george how much longer he's going to be completely wrong about

00:00:53.400 the market uh so i said to him all right well you know which market yeah yeah well you know i said

00:01:00.500 him so anything in detail that you want me to raise him he said okay so there's so many things but

00:01:04.200 i'll simplify so for those of you that are sort of like newer to my channel like george gammon you

00:01:08.840 know he runs a rebel capitalist conference he's got a couple youtube channels he talks a lot about

00:01:12.660 economics he's a real estate investor he's friends with guys like robert kiyosaki he's a pretty cool

00:01:17.240 dude right so um he you know he puts out a lot of this uh content around money and what's going on

00:01:23.320 and sort of like like from the from the perspective of an unplugged male sort of looking at the code in

00:01:29.780 the matrix you know sort of thing i think is probably the best way to describe it would you say

00:01:32.880 yeah absolutely i mean what you do with uh the the dynamics between men and women uh you know looking

00:01:40.260 at the code in the matrix i try to do the exact same thing with macroeconomics yeah and with marcus

00:01:44.240 so he okay so he said uh so many but i'll simplify it's down to two he goes uh that would probably be

00:01:49.540 best to ask off the live feed he goes one does he really believe the u.s economy the dollar and the

00:01:55.300 housing market etc are going to collapse or does he just promote conspiracy theories for to get clicks

00:02:00.300 if he actually does believe it what is the timeline

00:02:03.120 where do we begin rich sorry sorry to corny your brother but you know like i love you guys both

00:02:11.760 and i think oh no where do we get conversation first of all what i would suggest this guy do

00:02:17.420 before asking questions is just try watching a few of my videos i think he has i mean he's actually a

00:02:23.100 no he hasn't he's a he has a money manager guy no he actually hasn't the reason i can tell you he

00:02:28.500 hasn't is because i'm not talking about the dollar crashing okay in fact for the last geez for the last

00:02:34.960 year on my channel i've been talking about how the dollar will not crash okay and i've been talking

00:02:41.960 about how most likely go up especially if we get a global economic recession and i talked about the

00:02:47.980 dynamics and the mechanics behind the global monetary system which would prevent the dollar

00:02:54.060 from outright collapsing now in fact in a video the other day i argued that even if the dollar lost

00:02:59.900 reserve currency status it may not collapse because so many dollars outside of the united

00:03:05.800 states are created in a way where the supply creates its own demand so i hate to get too far

00:03:12.180 into the weeds but to answer your buddy's question uh when a there's a couple different ways that

00:03:17.480 currency or a dollar can be created uh it can be printed by the government where they actually

00:03:22.620 literally print a green piece of paper and that would be what i consider a supply dollar so that

00:03:27.660 dollar is just supply it's just an asset on someone's balance sheet it's not simultaneously

00:03:32.740 a liability but the majority of the currency units especially the dollars because the dollar is the

00:03:38.320 world reserve currency and we have something called the euro dollar system so the the dollar is uh

00:03:44.200 you know represents 67 to 70 percent of global transactions the way they're settled so the majority of

00:03:51.140 the dollars are outside of the united states and they're created by banks lending them into existence

00:03:56.860 so if you need a home loan rich you go to the bank you go to i don't know whatever the local bank is

00:04:02.020 there let's just say it's wells fargo that's a popular one in the united states and you take out

00:04:06.540 a loan for five hundred thousand dollars those dollars didn't exist prior they just they put those

00:04:12.660 dollars bam it's in your account it's now a liability of the bank and you can take those dollars and

00:04:18.640 spend them how you please buy the house and then the offsetting asset on the bank's balance sheet

00:04:23.920 is a loan that has to be paid back so are you saying that that that any financial institution

00:04:29.600 in the world that's tied into the u.s or the u.s reserve currency can manufacture dollars like can

00:04:35.260 can a canadian bank like cibc for example if they wanted to issue me a half million dollar or sorry

00:04:41.800 half million u.s dollar loan generate that in u.s dollars out of thin air not all banks but a lot of

00:04:48.820 the banks outside the united states can and that's what we call the network of the euro dollar system

00:04:54.120 so these are banks and this system started back in the 1950s and it was a result of breton woods

00:04:59.640 because back then you know the dollar officially became the global reserve currency so in order to

00:05:06.160 grow your economy at full capacity you needed enough dollars but there weren't enough dollars

00:05:11.180 getting outside of the united states because we weren't running a trade deficit we were running a trade

00:05:15.200 surplus so these banks and these corporations outside the u.s had a big problem you know how do

00:05:21.240 we settle in dollars if if if we can't get any outside the united states they started creating their

00:05:27.220 own quite literally and so this is a system that has been in place since the 1950s that operates with

00:05:35.240 no bank reserves and for those of your audience those uh members of your audience who are a little more

00:05:40.540 sophisticated you'll know that that's just base money that's the federal reserve when they quote

00:05:44.380 unquote print money that would be base money that would be bank reserves so nor there's no bank

00:05:50.020 reserves and there's no green pieces of paper there's no dollars in the system at all but yet

00:05:55.780 they create dollars in the form of commercial bank liabilities so but they but they lend them into

00:06:03.180 existence so the the key there rich is the fact that the bank has to lend it into existence means that

00:06:09.760 those currency units have been created but a liability a future liability for those same

00:06:15.440 currency units plus interest has also been created because at some time you've got to pay you've got

00:06:20.620 to get those dollars back to pay off the loan you see where if you just have a green pieces of paper

00:06:25.660 that's just an asset on a balance sheet that is not a simultaneous liability so when you think about

00:06:31.480 the fact that they're 50 60 maybe even more i would argue there's probably 100 trillion dollars

00:06:37.300 off balance sheet and on balance sheet globally is that and is that number tracked anywhere like is

00:06:43.100 that public information as far as very very difficult to track because so many of these euro dollar banks

00:06:48.340 operate in the shadows so you really don't know what's on their balance sheet you definitely don't

00:06:53.420 know what they have off balance sheet just interbank that's dollars between one another so when you think

00:06:59.780 about this you what i like to do on my videos is think about a global aggregate balance sheet so an

00:07:05.540 aggregate balance sheet for the entire world right you think about okay you got assets on the left you

00:07:11.420 got liabilities on the right let's just assume that there's a hundred trillion dollars cash that's an

00:07:17.900 asset on the balance sheet but you also since the majority that was lent into existence you've got a

00:07:23.240 hundred trillion dollars of liabilities meaning future demand for those dollars so even if you have

00:07:29.760 the dollar let's say go from saudi arabia because they're using a new currency you know the bricks

00:07:34.280 currency everyone's talked about that they're de-dollarizing okay great so that bricks currency

00:07:38.820 well everyone's talking about how the brick countries are going to create their own currency

00:07:43.980 they might back it by gold so they can de-dollarize this is russian russia iran saudi arabia china

00:07:49.520 exactly okay exactly exactly and it's a very good argument they're definitely de-dollarizing but that

00:07:55.240 doesn't necessarily mean that the dollar crashes because even if those dollars leave the balance

00:07:59.480 sheet of saudi arabia they go somewhere else and the aggregate balance sheet doesn't change and the

00:08:04.300 only way that the liability side goes down is if you pay off those loans which reduces the amount

00:08:09.200 of currency units that are circulating chasing goods and services you see so i i guess that's kind

00:08:15.540 of a long-winded answer that explains the euro dollar system to a certain degree and the global

00:08:20.460 monetary system but that's why your viewers if you're they're expecting the dollar to crash

00:08:25.400 it might go down as an example if you have an interest rate differential like let's assume for a

00:08:30.800 moment that the bank of japan and the the ecb increase interest rates or continue to increase rates

00:08:38.700 where here in the united states for some reason the fed takes rates from five percent overnight down to

00:08:45.560 you know one percent or something so there's an extreme interest rate differential yeah you'll

00:08:50.140 likely see the dollar go down you know right now it's trading about 103 on the dxy which is just the

00:08:55.880 dollar against a basket of other currencies in that scenario you might see the dollar trade down

00:09:01.620 you know maybe 90 80 but let's remember that back in 2011 2012 the dollar was trading at 70 70 on the dxy

00:09:10.860 and was anybody was everyone talking about the dollar losing the reserve currency status back no

00:09:16.160 of course not and it didn't lose the reserve status even though it went down to 70 so i think the

00:09:20.940 probability rich is actually higher that right now let's say we're at 100 you know right around 103

00:09:25.660 i think the probability is higher especially over the next year that we're definitely facing a global

00:09:31.540 uh a global economic slowdown i would say maybe even a global economic recession or depression

00:09:37.520 i'd say there's a higher probability that the dollar goes to 130 on the dxy than going down to

00:09:44.340 70 and and and by the way since we've heard all of this talk about de-dollarization and the bricks

00:09:50.540 currencies and everything that we've been hearing about in the news what has the dollar done it's

00:09:55.480 actually gone up you know we started around 101 now it's at 103 i mean it you think that the fx markets

00:10:02.040 the guys who trade they don't understand about this bricks currency they don't understand about

00:10:06.460 de-dollarization of course they do but you got to look at how people are placing their money not

00:10:10.800 just what they're talking about i mean you say this all the time on your channel in regards to women

00:10:14.860 but it's the exact same thing with the marketplace don't listen to what they say listen to what they do

00:10:19.200 and if we're looking at how people are actually trading dollars they're bullish on the dollar they're

00:10:23.360 not bearish is it is it the same with other currencies like the euro for example can the u.s

00:10:29.120 manufacturers euros out of thin air and generate loans um for the european currency

00:10:35.600 yeah that's a great question and it is true so when i say euro dollars a lot of people think that

00:10:41.960 that's like has to do with the euro currency but it actually doesn't uh it just implies that it's

00:10:47.860 within this network of banks that aren't under really a purview of any central bank and that they

00:10:54.180 operate kind of i'd say in the shadows because it sounds like something nefarious but it's really not

00:10:59.120 but it is true to your point they can create euro dollars they can create euro euros they can create

00:11:04.320 euro yen for that matter interesting okay um sorry let me go back to the original thing so you

00:11:11.100 mentioned economy dollar and housing market um do you oh the housing market let's go over the housing

00:11:16.340 market so what so my my my prediction there has been that we will excuse me that the prices in the

00:11:27.460 united states will have to revert back down to where they were in 2012 but that's in real terms

00:11:32.980 so your audience might know this might not know this rich i know uh you understand this but in real

00:11:39.540 terms you have to adjust for inflation that's what it means so i'm not saying in nominal terms

00:11:44.340 that prices will go back down to where they were in 2012 but in real terms i think they will

00:11:50.180 and these cycles take a long time to shift you know you look at when we peaked out in 2006

00:11:55.520 we bottomed out in 2012 so it took six years to go from peak all the way back down to where it

00:12:03.060 bottomed out and it bottomed out in the summer of 2012 i'm talking about the u.s real estate market

00:12:07.960 so this time around i think that you'll go back down to those why do i say that because at the end of

00:12:13.380 the day uh housing prices are mostly due to wages and interest rates so we know interest rates are going

00:12:22.720 back up they're normalizing so unless you have real wages go up the people can't afford the homes and

00:12:28.980 at some point in time those homes have to start coming down in value so we and we see this happening

00:12:35.280 right now in the united states i did a video the other day on how the they listed the top 100 markets

00:12:41.000 in the united states as far as nominal prices and uh from 75 to 100 they're all down year over year

00:12:48.040 and a lot of them are are down uh quarter over quarter but that's in nominal terms once you adjust

00:12:55.240 for real terms pretty much uh other than the top 20 markets in the top 100 so there's 80 markets that

00:13:02.920 are actually underwater over the last year when you adjust for the rate of inflation so that was a

00:13:07.840 prediction that i made that i would argue uh is coming true the dollar prediction i think is coming

00:13:12.840 true now if you want to look at the stock market uh what i've been saying there is that we will have

00:13:19.880 a stock market crash now why do i say that because it goes back to something called the yield curve

00:13:25.440 so the yield curve uh you can look at this and and actually let me explain it first you've got the

00:13:30.860 the 10-year treasury and the two-year treasury so that's the most common uh two uh maturities used

00:13:38.840 to determine this curve although you can use a three-month 10-year a one-year 10-year etc but uh

00:13:45.660 the most common is the two-year 10-year and if we take that all the way back to 1950 rich every single

00:13:51.880 time the here the curve inverts meaning that the interest rate the yield on the two-year is higher

00:13:58.940 than the 10-year you get a recession it happened every single time with the exception of 1964

00:14:05.160 1965 and gdp still went down significantly during that time frame so you're talking about 10 out of

00:14:13.500 11 times it's one of the most powerful macro predictors that we have so but what's tough is

00:14:19.600 kind of the timing involved there yeah so usually it's about uh i would say especially with the three

00:14:28.100 three month and the 10 years a little bit better timing and so when that inverts usually you get a

00:14:33.440 recession the stuff hits the fan between six months and 18 months so let's just call it an average

00:14:41.400 of about a year and that three month and 10 year inverted about eight months ago uh so we're getting

00:14:49.140 close to if we look at a historic average when we should start seeing that stuff hit the fan which you

00:14:55.760 would notice by the unemployment rate uh starting to spike so usually uh when you get this inversion

00:15:04.500 the stock market doesn't go straight down usually it actually goes up especially when you look at the

00:15:10.460 last 30 years but what happens is when the curve is no longer inverted when it steepens out meaning

00:15:16.220 that the two-year yield goes back down below the 10 year and usually that happens as a result of the

00:15:21.700 fed dropping rates that's when the majority of the stock market crash actually happens so i've been

00:15:28.260 saying this on my channel non-stop for the last eight months i'm not saying that there's going to

00:15:32.500 be a stock market crash tomorrow but what i'm saying is that we have to pay attention to that curve is

00:15:37.580 inverted we've got to be risk off maybe a little bit more in cash maybe build up that dry powder

00:15:43.440 because when the curve is no longer inverted then that's usually when the stock market goes down

00:15:49.900 and that's when you take that dry powder and buy things on the cheap the the um i want to go back

00:15:55.980 to the to the to the real estate market because i've been seeing a lot of these um guys on social

00:16:01.960 media and i hate to say it on tiktok of all places but they'll go and take like oh florida real

00:16:07.740 estate you can have this five-bedroom house with three bath and granite countertops and 10-foot

00:16:13.200 ceilings and a pool and two acres and all this stuff for like 1.7 million right and it looks bomb

00:16:19.140 and then they go and compare it to a toronto piece of real estate which is a shoebox in the

00:16:23.940 middle of the city for like 2.5 million like a literal shoebox like a piece of shit and the the

00:16:31.680 the real estate market in the u.s is still compared to the canadian market like your dollar goes way

00:16:39.260 far even though the exchange rate's not in our favor it still goes farther down in the states and

00:16:43.820 what it does over here like they've been saying that the markets here should be correcting or you

00:16:49.080 would have thought they would have done so by now because they've been saying it for five six seven

00:16:52.140 years now like you know we gotta cool this off and they do whatever they can and they you know they

00:16:55.960 change for for an investment so the asian investors can't be buying property and sitting on the vacant

00:17:00.360 stuff like this it never seems to correct though right what do you say to those guys that just keep

00:17:07.200 seeing the trend go up and up and up and up like it like it sort of stabilizes for a bit skips around

00:17:11.780 and then it kind of goes up and it stabilizes and it kind of goes up sort of thing it's like

00:17:15.000 you know with the markets being so much cheaper in the states still comparatively speaking to a lot

00:17:20.080 of markets how does that play out well i think what you play out yeah so first and foremost i think

00:17:27.380 just because the canadian real estate market is in a massive bubble it doesn't mean that the united

00:17:33.800 states market isn't in a bubble it's just you know you're you're kind of sifting through your dirty

00:17:39.500 laundry and trying to find the cleanest shirt doesn't mean the shirt's clean uh but but i would

00:17:45.300 also kind of suggest the person take a step back and ask what is my investment strategy right i think

00:17:56.800 this is crucial so my personal investment strategy is to completely ignore price direction and this is

00:18:07.240 the opposite i think this is one of the biggest mistakes that retail investors make so they sit

00:18:12.100 there and they base all their decisions on what they think the price is going to do so as an example

00:18:19.220 if i think that prices of uh florida real estate if i think they're going to go up then i'm going to buy

00:18:29.120 if i think they're going to go down then i'm going to sell in my opinion my favorite investor of all

00:18:34.820 time is jim rogers so that's why i quote him all the time is his quote he always used to say that's

00:18:39.040 a quick way to the poor house and uh why is it because you no one can ever predict these things

00:18:46.100 you can sit there and say that the price of tesla stock is going up or down or bitcoin or blah blah

00:18:51.220 blah blah and you really don't know the only thing that's knowable is whether or not something is cheap

00:18:58.240 or expensive based on its historical price adjusted for inflation or in the case of real

00:19:05.300 estate based on the cash flow right so i so i never ever ever start by asking myself the question

00:19:12.960 do i think the price of xyz asset will go up or down i always start by asking myself is the price

00:19:20.000 cheap and if the price isn't cheap i just say next i'm not interested i'm not interested i could have

00:19:29.120 the greatest argument on the planet as to why the price will continue to go up but if it's not cheap

00:19:35.400 i'm not going to buy and i think if people could just step back and forget about price direction

00:19:41.120 and and base their investment decisions solely based on buying things when they're cheap

00:19:46.820 and selling them when they're expensive they're going to do a heck of a lot better and they're

00:19:52.660 going to they're going to increase the probability that they adhere to the number one rule in investing

00:19:59.760 and that's don't lose money that's interesting because i because i've watched a few um crypto videos in

00:20:07.740 the last week and it seems like they're going into this new trend of oh we're ramping up for another

00:20:13.200 bull market oh the black rock etf is coming for bitcoin uh oh the having is coming you're going

00:20:18.680 to see this thing blow up in the net you know they start talking about the next coins that are going

00:20:22.460 to blow up in the next bull market sort of thing and they start creating a lot of anxiety and fomo in

00:20:27.260 it and uh what do you think about stuff like that like all that hype it's nonsense it's just it's

00:20:34.320 nonsense i mean i think that everyone should own bitcoin is that because i think the price is going to go to

00:20:40.420 a million or you know it's going to be the global currency no absolutely not i think those

00:20:46.680 probabilities are completely separate questions i just think that you should own bitcoin to have some

00:20:50.860 purchasing power outside of the system you know if we're going into a world of central bank digital

00:20:56.000 currencies as an example which we could talk about if you like uh it is very wise to have purchasing

00:21:02.040 power outside of the system even if the price doesn't go up so i don't really look at uh bitcoin as an

00:21:09.340 investment or a way to get rich or something like that like most people do i look at it as an insurance

00:21:15.200 policy i look at it as an insurance policy to maintain my freedom and to be able to take some

00:21:20.840 of my purchasing power wherever i want to go on earth you know and if you look back at 2020 i think

00:21:28.640 people need to start asking themselves that question because you know i was in columbia i mean both that

00:21:35.760 you and i rich have access to quite a few resources uh whether it's financial resources or a community

00:21:42.480 of guys and gals that we know that are uh you know have let's say are powerful that could pull strings

00:21:49.120 right but i'd like to suggest all of your uh viewers ask yourself the question you know regardless

00:21:56.300 of how much money you had how much freedom did you have in 2020 yeah that's a great point right and if

00:22:03.620 you don't have any freedom are you rich or are you poor yeah right you could have a 10 billion dollars

00:22:10.020 but if you're on a deserted island or if you're in jail you're poor man you're poor you've you've

00:22:17.460 warmed up a little bit more to bitcoin from when i originally met you like you're you're more or less

00:22:22.000 indifferent you know it seemed and i think like did that have something to do with the talk and the

00:22:26.480 introduction of the uh governments bringing in cbdcs no i've always had permit maybe i didn't uh

00:22:33.600 articulate it well last time we spoke but i've always pretty much had the same position on on

00:22:39.200 bitcoin i've owned it for a long long time uh if if i bought it as a speculative asset uh i would wait

00:22:48.980 until i saw uh panic in the market that's another thing jim rogers always used to say that i've tried

00:22:56.020 to take to heart is you you buy panic and sell hysteria so when you're talking you know when you just

00:23:02.680 or when you just uh discussed how or when you just um described how all these crypto guys are

00:23:12.820 saying this is the next best thing and this is going to be this and oh my gosh black rock and

00:23:16.740 blah blah blah blah blah blah that's an example of hysteria that is not an example of panic so another

00:23:22.760 example i use is like the bitcoin conference down in miami so last year or in 2021 maybe they had like

00:23:30.460 30 000 people there okay uh this year 15 000 so i would way rather buy bitcoin when there's 15 000

00:23:41.200 at the bitcoin conference than 30 in fact i would way way way way way rather buy when there was 1 000

00:23:48.220 people at the bitcoin conference that's that's panic you buy panic you sell hysteria so but again we want

00:23:56.220 to compartmentalize there rich because i'm talking about the same asset but i'm talking about buying

00:24:00.420 it for two completely completely separate reasons and one of the main things that people need to

00:24:05.720 understand how to do one of the best ways to have an edge as an investor is to be really really good

00:24:10.660 at portfolio construction speaking of portfolio construction the the second question that my

00:24:16.460 friend had uh that he wanted me to pose to you is what stocks or investments have you personally

00:24:19.920 bought over the last 12 months i know that last time we talked i think you were interested in

00:24:27.780 the only thing i've purchased in the last i'm trying to think here the last 12 months the only thing

00:24:33.540 i've purchased is gold and t-bills that's it are you still um because i think you're hot on on things

00:24:40.640 like coal and some other commodities uh uranium i think was the other one too yeah absolutely but but

00:24:46.740 to be clear i would not buy right now rich because again you got to think about this right you've got

00:24:51.420 an industrial metal let's say like silver silver is one that's it's very very popular you know within

00:24:55.860 the space okay if if we're if we've got an inverted yield curve it's a hundred basis point inversion

00:25:02.840 right now it would that suggest that we're not just going to have a soft landing we're going to have a

00:25:07.960 hard landing type of recession something that could be very similar to the gfc okay is that when that

00:25:15.300 plays out is that good for commodities the global financial crisis that we had in 2008 2009 okay so

00:25:21.840 if we see something like that play out which is what the yield curve is predicting you know does

00:25:27.100 silver go up or down in that environment it goes straight down does oil go down uranium coal all of

00:25:32.360 these commodities will go down so now that doesn't mean that i don't like them long term long term i love

00:25:38.640 them because i think that we are in a huge commodity super cycle but things never go up in a straight

00:25:44.120 line so i'm sitting back looking at the yield curve and i'm just building up my cash position

00:25:49.020 that's why i buy all the t-bills because you're getting paid five five and a half percent just to

00:25:53.180 sit there in a one month or a three month t-bill and just roll it over and just collect the interest

00:25:58.300 while you're just waiting you got that liquid ash asset basically a cash equivalent so i want to sit

00:26:03.720 back and just be patient in fact i did a video the other day where i talked about the top

00:26:07.980 uh i think the top three assets to have going into a recession and the number one asset that i went

00:26:17.580 over in that video was patience patience you got to sit and just do nothing and that's so hard for

00:26:24.600 people to do because they always want to be out you know chasing shiny objects and everything but no

00:26:29.060 you have a long-term view my long-term view is that we're in a commodity super cycle so you sit back

00:26:34.440 you wait you do nothing you build your cash position while you're making five percent and then

00:26:40.420 when things get cheap because of a recession as an example when coal gets cheap when uranium gets cheap

00:26:47.420 and yeah i'm basing cheap based on its historic price adjusted for inflation then you go in and take

00:26:53.440 action then you buy but you got to build up that cash position to have that dry powder to be able to

00:26:59.060 pull the trigger and take advantage of that opportunity so you're more of a um timing the

00:27:04.680 market rather than time in the market guy i'm more of just buy things when they're cheap so uh but i so

00:27:10.740 that means i rarely buy so the last time i bought stocks you know maybe this is what your buddy was

00:27:15.780 asking uh the last time i bought a lot of equities was march of 2020 why because stuff was dirt cheap

00:27:25.580 back then in fact in april of 2020 let's all remember that the price of oil was negative

00:27:31.520 negative 38 a barrel so how do you know when something's cheap when it's negative price

00:27:39.840 when it's a commodity that the whole world has to have and it's negative 38 that's when you want to go

00:27:47.820 and buy and if you just for the rest of your investing life if you buy things when they're that cheap

00:27:55.520 and just sit and wait and then when they get expensive and sell them don't worry about the

00:27:59.300 price you're going to make a lot of money you know another good example rich would be uh real estate

00:28:04.480 so when i retired in 2012 i started investing in real estate in the united states and like we said

00:28:11.080 earlier and i just got lucky you know i was looking at charts and i knew that it was cheap and it was

00:28:15.560 cheap relative to its historic price and it was cheap relative to cash flow uh so i did do that right

00:28:21.240 but i i the timing you know i got completely lucky so i pretty much went all in with real estate but i

00:28:28.040 started selling those properties that i bought 2012 and 2013 i started selling them rich in 2018

00:28:33.640 and i gradually sold them one at a time one at a time one at a time and i ended up selling the very last

00:28:38.980 one in 2022 now did i start selling them in 2018 because i thought the prices were going to go down

00:28:46.640 i didn't know i who knows they can keep going up i have no idea did i sell the last one in 2022

00:28:53.000 because i thought oh my gosh there's going to be a stock a real estate crash no that was not part now

00:28:58.660 i can talk about that on a whiteboard video but that does not impact my decision making as far as my

00:29:03.400 portfolio the reason i sold those properties is not because i thought there was going to crash

00:29:08.500 but because they got to a point where historically speaking they were expensive i completely ignored the price

00:29:15.400 cbdcs you've talked a lot about central bank digital currencies for those of you that are maybe newer to

00:29:23.000 the concept or my channel like the government is going to tokenize um dollars on the blockchain

00:29:30.300 and it's programmable money they can program its value the duration of its value where you can and

00:29:37.440 can't spend it they can track where you do spend it or don't spend it they could um if they want to

00:29:43.580 implement climate lockdowns for example and you're consuming too much meat or buying things that

00:29:49.340 might contribute to what they might believe uh harms the environment they might restrict your access to

00:29:54.680 buying those those certain things so cbdcs are are are very interesting can you talk a little bit more

00:30:00.420 about cbdcs when do you think they're going to be mainstream like when will we lose paper money

00:30:06.760 and have to switch over to some sort of digital wallet that that that forces us to transact in

00:30:13.560 their blockchain so this is a very very uh extensive topic i mean this this is like a two-hour topic but

00:30:26.000 if i were to summarize i would say

00:30:30.180 as far as the mechanics i think it's very important for people to understand the mechanics of a cbdc because

00:30:38.140 when you hear this in the mainstream media or on financial twitter on youtube a lot of youtube gurus

00:30:44.060 you know talk about this and they talk about how we're going to come out with this fed coin as though

00:30:48.960 it's going to be a different you know we already talked about cbdcs uh that sounds different than a

00:30:54.860 dollar so somehow we're going to get these uh you know dollars that we used to use and now they're

00:31:00.840 going to be replaced by let's say fed coin you've got to eliminate that thinking because that takes

00:31:07.660 you down a path that leads you to very inaccurate conclusions okay what you have to understand

00:31:15.920 is that money itself the way we think of money outside of green pieces of paper is nothing but a

00:31:22.520 ledger that's it so rich i i'm sure you have a few bank accounts what that bank account that is not

00:31:31.620 money there's no money being stored for you in their safe that is just that that whole bank all

00:31:38.620 they're doing is keeping track of a ledger of who owes who what and all these arguably you know

00:31:45.020 you could say that it exists today sorry arguably you could say that central bank digital currencies

00:31:50.980 exists today well there you go so a thought experiment that i like to do is i ask people

00:31:57.160 how do you know that you're not spending a cbdc right now like you think they're going to come out

00:32:03.300 and tell you absolutely not so the point is a cbdc by definition is when all of these ledgers are

00:32:12.400 consolidated onto one if they're on just one ledger then they can do all of these things all these

00:32:20.980 draconian or orwellian big brother type of things that you described just a couple minutes ago they

00:32:28.060 can't do that unless you've got everything on one ledger or the ledgers are at least talking with one

00:32:34.960 another so you've got the bis coming out the other day talking about this unified a global unified

00:32:42.320 ledger in terms of a cbdc is what i've been talking about on my channel for the last two years now right

00:32:48.900 and what they're doing is you'll notice in this report they don't talk necessarily about a different

00:32:54.500 type of money or different type of currency it's all about unifying ledgers so and the reason i say

00:33:00.920 this is because there's so many people that i see out there that are adamantly opposed to a cbdc

00:33:06.920 but they'll sit there and if the fed says okay well now instead of your deposits being a liability

00:33:13.880 of wells fargo you know we don't have to worry about them going bust you can just move them onto

00:33:18.320 the fed's balance sheet those same people would say oh yeah sure that doesn't sound like a big

00:33:22.580 problem that you know they'd pay me a higher interest rate why not but they don't understand that

00:33:26.620 that is a cbdc and they don't understand that the central planners aren't going to come out and tell

00:33:32.420 you they're not going to say you know today we're using this new cbdc why would they do that when they

00:33:38.160 know that there's so much negative press there's so much negative pr on social media around the topic

00:33:44.580 people know that it's big brother so what they're going to do how they're going to roll this out rich

00:33:48.560 in my opinion because this is exactly what i would do you know if you just put on the evil genius hat

00:33:53.720 for a moment if you put on your klaus schwab hat uh you come to the conclusion that you only start

00:34:00.300 rolling out the features of a cbc so the feature one of the features of everything beyond one ledger

00:34:07.180 is you'll be able to settle transactions 24 7 365 instantly all over the world so i know you're a

00:34:16.060 canadian you probably most of your currency units in canadian dollars so let's say that you take a trip

00:34:21.460 down to mexico you know we talked about that trip here uh you talk about that trip you do annually

00:34:26.580 so you go down to mexico and let's just say that you're down there and you wanted to buy a property

00:34:31.360 like oh man i love it down here great you know beachfront and but it's going to be a pain in the ass

00:34:36.960 because you're going to have to wire that money from your account in canada it's going to have to

00:34:40.600 come down to mexico you're going to set up an account you're going to trade it from canadian dollars

00:34:45.040 into pesos it's going to take all this paperwork all this time you have to pay transaction fees

00:34:50.100 then you've got to get it in the account of the seller how do you do escrow how do it's this big

00:34:54.080 pain in the ass right well with a unified ledger the cbdc world if you will if you were down there

00:35:01.540 you would instantly be able to transfer those currency units from canada down to pesos you'd

00:35:07.100 instantly be able to transfer them from canadian dollars to mexican pesos and you'd be able to

00:35:12.320 direct them right into the account of the seller all free 24 7 365 so this is one of the reasons why

00:35:21.540 i don't think a cbdc will be thrust upon people i think they'll actually demand it i think that

00:35:27.000 they'll they'll love it because the the average joe just doesn't understand what's happening here

00:35:31.940 right so if i'm klaus schwab i'm going to roll out those features just gradually i'm not going to say

00:35:36.920 that it's the cbdc i'm going to say look now look what you can do with this new banking system we'll

00:35:41.240 call it fed now we've we've set it up and oh it's so amazing you can do this and you can do that if

00:35:46.740 we're going to say yeah yeah yeah very very cool and then three four five years down the line once they

00:35:52.240 get everyone uh on this network and once they integrate it into their life then they're going to

00:35:59.060 start rolling out the social score another uh thought experiment that i use with my audience

00:36:05.400 is all of us everyone on the live stream right now has a cell phone and i would argue 99 of the

00:36:12.840 people are probably addicted to it even on this live stream right now no matter what you say

00:36:16.520 so if i told you that tomorrow the government the canadian government or the u.s government would start

00:36:23.420 giving you a social score or a climate score based on your cell phone usage how many of you would

00:36:31.560 continue to use your cell phone every single person why because it's completely integrated

00:36:37.740 into their life they can't even leave home for five minutes without their cell phone they're just

00:36:42.600 and maybe your audience is a little bit different rich but i mean for heaven's sakes go through an

00:36:47.040 airport in canada or in the united states i mean 99 of the people what are they doing they're literally

00:36:52.560 running into each other because they've just got their head buried and their stupid phone for heaven's

00:36:57.600 so you're not and what they're going to do is they're just going to rationalize it oh yo man i

00:37:01.900 don't want that social score no i know that's bad but i you know rich is overplaying it on his channel

00:37:07.380 and george he's just a fear monger and he's just doing clickbait and he's just trying to he's got the

00:37:13.240 tinfoil hat on so i don't know it means it really that bad they're going to sit there and rationalize

00:37:18.280 it right just like people rationalize uh the blue pill guys sit there and rationalize why they should do

00:37:25.800 this for a girl or why they should get her roses or why they should do that or why they shouldn't

00:37:30.040 go to the gym you know they know they should but then they rationalize it away to where they don't

00:37:34.860 have to do it and i think people are going to do the exact same thing with the cbdc so that's what

00:37:39.020 i would say first and foremost understand that it's a ledger understand that you're not going to know

00:37:44.460 when they roll it out unless you're really really really paying attention and then once you start

00:37:50.120 paying attention then you know that you want to try to transact in cash uh as much as you can

00:37:56.240 and unfortunately with bitcoin and gold it's it's very tough to transact you know try going a week in

00:38:01.940 your life and only spending bitcoin uh that that's that's that's going to be difficult you know to pay

00:38:06.940 your rent to pay your uh insurance etc but the the way that you've got to start thinking about is how

00:38:13.320 could i operate or how could i live outside of that ledger as much as possible now the people are

00:38:19.520 that have nine to fives and jobs and even for you and i rich we're going to have to have some of our

00:38:25.160 uh net worth on that ledger because we've got to transact unless we want our uh quality of life

00:38:31.180 or standard of living to go down to like an amish community right if you don't want that then some

00:38:36.820 portion is going to have to operate within that ledger but you want to try to get as much

00:38:41.760 out of that ledger as you can and that's where bitcoin comes in that's where gold comes in

00:38:46.800 and you take those uh you know what you don't need as a store of value then you take that turn it into

00:38:53.800 currency cash and that's what you use to transact with as much as possible so this really puts a

00:38:59.600 premium for people who really value privacy and freedom and liberty and all these things it really

00:39:05.520 puts a premium on finding and setting up a plan b or c in countries where the majority of transactions

00:39:14.160 are still settled in cash you know i did a video on this the other day rich do you know that 78 percent

00:39:19.720 of the transactions in places like romania in morocco are still settled in cash so i'm not saying they'll

00:39:28.400 never have a cbc there but what i am saying is that you got a lot more runway and uh for me that that's

00:39:36.080 that's very important so i think you know i could go talk about it for two hours but i guess i'll stop

00:39:41.080 there they they rolled out a central bank digital currency in some cities in china did you did you

00:39:47.860 hear about how they did that oh sure they just give people free money i mean that's another way you

00:39:52.220 know they basically gave them a wallet they said here's here's fifty dollars worth of whatever our

00:39:56.720 you know free free currency is and apparently nobody pushed back on it they were all happy to get

00:40:01.440 that free money and and start using it to move them in that direction how do you see that look if so

00:40:09.440 the other day i went on twitter and i said that

00:40:15.280 you have to acknowledge the features of a cbdc or a unified ledger in the eyes of joe public

00:40:26.720 and i said i think that the free market may even gravitate towards a cbdc and of course i have all

00:40:35.760 the bitcoiners and gold people i mean they're just literally losing their mind right their heads are

00:40:40.480 exploding and i said no you've got and of course they don't understand what i'm saying what i'm really

00:40:45.680 saying is if you're fighting john jones maybe the best ufc fighter at all times let's say that you're

00:40:54.800 going into the octagon with him in six weeks are you going to focus strictly on his weaknesses

00:41:02.400 of course not you're going to look at his weaknesses but you're also going to look at his strengths

00:41:07.680 because how the hell are you going to defeat him if you don't look at everything and it's in its uh

00:41:13.280 entirety and then you know how and what strategy you can use to actually having a chance of beating this

00:41:19.840 guy so we have to look at you know how this cbdc thing rolls out and why the public will gravitate

00:41:25.680 to it we talked about the ease of use but then you bring up a great point they're of course going to

00:41:31.760 roll out uh universal basic income especially when we have the next recession if it turns into an

00:41:36.960 economic depression you know we're going to see the same stimmy nonsense that we saw in 2020

00:41:42.480 and in 2021 and the easiest way to send out stimmies is to do what to have everyone have an

00:41:50.160 account at the federal reserve instead of their local bank and then the fed can take those bank

00:41:55.920 reserves call it base money and they can inject that straight into the economy to try to give it

00:42:02.560 an economic boost you know it's that keynesian type of mentality also you know i saw in fact do you

00:42:09.360 you know what the mises institute is no the mises institute is one of of the big libertarian uh

00:42:16.960 think tanks in the united states i mean they're they're in fact they're amazing they're really

00:42:22.560 really good but i saw someone with the mises institute retweet uh this this um article where

00:42:32.080 they were arguing how wrong it is that jamie diamond you know he's in charge of jp morgan

00:42:39.360 how he in other words jp morgan their reserves or their cash balance their checking account that

00:42:46.080 they have with the fed they get paid like five percent on that it's actually a little bit more

00:42:50.960 but let's just say five percent where if you actually bank with jp morgan they're only paying

00:42:56.880 you like 50 basis points right so the article was like why is how is this fair on what planet

00:43:03.840 is this right no no no no we should all be paid the exact same amount as jp morgan or jamie diamond

00:43:11.760 why why should he get more on his cash reserves than we do the average joe and jane but so the

00:43:17.040 solution there is what well you just move your account from jp morgan over to the fed and the

00:43:21.920 fed will pay you the exact same interest rate but what does that do now all of a sudden you've got the

00:43:25.600 cbdc so they whoops sorry about that they can pay you whatever interest rate they want they can issue

00:43:31.440 universal basic income you have all these efficiencies of the transactions they can also

00:43:37.120 issue uh credit based on narrative not based on merit because see if there's only one balance

00:43:44.800 sheet the can't the bank can't go bust right so the federal reserve they cannot go bust so if the

00:43:51.520 lending is going through the federal reserve and those assets those loans end up on their balance

00:43:56.400 sheet they don't care about them getting paid back where a normal bank they have to take into

00:44:01.040 consideration your credit score obviously because they have a pnl and they they want to get paid

00:44:06.400 back on that loan but the fed doesn't fall into that category they cannot go bust so if you in the way i

00:44:12.560 always describe it is in the future when we go into this cbdc world dylan mulvaney will get a loan

00:44:20.880 with zero percent interest i assure you regardless of what his credit score is where rich cooper it'll be

00:44:28.880 almost impossible for him to get a loan for anything under a 10 interest rate you see where i'm going

00:44:36.640 with that because they're although you from a merit standpoint a bank would far prefer to loan to you

00:44:43.360 but that's not the way the fed's thinking see they're thinking in terms of of politics and whoever

00:44:49.040 whatever disadvantaged group let's say has political favor they're the ones that are going to be getting

00:44:55.360 the loans it's not going to be the the straight white guys i can assure you of that especially

00:45:01.120 the straight cars to get five miles to the gallon yeah so they're definitely going to be weaponizing

00:45:07.040 that agenda so you're so to your point of of being able to opt out of it somehow with something like

00:45:11.920 bitcoin is definitely useful um i made a note here to ask you about fed pay fed now fed now yeah i think

00:45:20.720 it's fed now is what you're referring to no i was i'm not sure if we're talking about the same thing

00:45:24.640 now because i was talking a few of my guys uh a week or so ago and the topic of fed fed pay has come

00:45:30.240 up which is supposed to uh compete with things like paypal and visa and stuff like that um it's it's loosely

00:45:38.400 tied into what i would understand as a cbdc because it's a way to move money around at a very very low rate

00:45:44.320 uh to get you on their um sheets rather than using things like paypal yeah does that sound

00:45:53.280 is that is that fed now maybe i misunderstood the name of it it might be fed now but regardless so

00:45:59.600 that in and of itself really isn't a cbdc because again your canadian dollars or my dollars are a

00:46:06.720 liability of a commercial bank so that's just a way to transact between bank now uh from bank to bank

00:46:12.720 bank or from individual to individual business to business but i will say that although that's not

00:46:19.120 a cbdc that is the back-end plumbing so that makes the transition far easier so if our dollars become

00:46:28.480 a liability of the federal reserve if they're tokenized like you were saying earlier and we

00:46:32.960 have this unified ledger maybe it's even a global unified ledger managed by the bis the fed now system

00:46:40.080 that they just came out with i think they come out with that it might actually be in july it's either

00:46:45.520 juniors live this year so pretty much as we speak um that that it that makes the mechanics the back-end

00:46:52.960 plumbing a lot easier okay um so i'm just going to catch up on some of these super chats because some

00:46:58.960 of them sort of piled back uh brett johnson milkshake brent johnson milkshake theory seems to be playing out

00:47:05.840 rf now i'm guessing that's right f and now even a taggart seems to be describing george gammon's

00:47:12.000 crack up boom phenomenon it's playing out uh you follow that up it seems yeah i don't know if it's

00:47:17.520 a crack up i i wouldn't um yeah i wouldn't describe it as a crack up boom he's talking about my good

00:47:22.000 buddy adam taggart and brent johnson um i would just say that you know i just did a video rich where i i

00:47:31.040 pulled up a chart that was uh really fascinating in fact i could probably do a screen share and

00:47:36.400 bring it if you want me to bring it up i can but what i did throw it up okay let me see if i can do

00:47:41.120 i think your audience would really like this yeah it'll pop up in a second so i'll put it up on the

00:47:46.720 screen okay i'm gonna do this it's good i use light i use um streamer all the time so let me go over to

00:47:55.680 my email and pull this up my my research assistant josh by the way you're a fan of yours cool let me

00:48:02.640 know when you're clear for me to put it up on the screen yeah so we're good to go all right here you

00:48:07.520 go can you see this rich yeah it's up on the screen now here let me go more full screen see we can get

00:48:13.120 that a little bit bigger for everybody okay yeah so this pertains to kind of what i was saying earlier

00:48:20.960 but we've got uh the past inversions of the 10 year and the three month so again when that three

00:48:29.520 month yield is higher than the 10 year that would be an inversion of the curve and you can see that it

00:48:35.680 goes back to 1969 so we had it in 69 73 80 89 2000 2006 2019 and currently so it says it's basically how

00:48:45.760 many months we've gone since that inversion and then what the stock market usually does and how

00:48:51.760 long it takes for it to hit its absolute bottom and you can see where we are right now you see that's

00:48:57.920 the black line so usually uh the the stocks don't hit their bottom like i was saying earlier for let's

00:49:06.080 call it 16 months 18 months until after the curve is inverted so we're only eight months in that gives us

00:49:12.080 another 10 months but even though the stock market is going up here i really wouldn't call that a crack

00:49:18.080 up boom because the the proper definition of a crack up boom is uh the stock market going up as a

00:49:24.240 result of consumer price inflation and the dollar just rapidly rapidly rapidly losing value it's

00:49:30.640 something you usually see in a hyperinflation type of scenario but right now the headline cpi in the united

00:49:36.320 states has gone from nine percent all the way down to four percent and i think this month july you're

00:49:41.200 going to see it go all the way down to probably three percent um so again i wouldn't call this a

00:49:46.800 crack up boom but i would say that this is a uh a bull market um but it's picking up pennies in front

00:49:54.640 of a steamroller as you can see by this chart that's a real good way to distill it i guess pennies in

00:50:00.160 front of a steamroller nobody wants to do that it's about the dumbest thing you could do

00:50:05.520 got one here from eric he says hey george i'm 30 and it seems like the game nowadays is rigged

00:50:11.280 real estate is out of hand losing money to rent cash eroding to inflation how to move forward in

00:50:17.280 life in this environment so this is like kind of like the average show guy like how would you

00:50:21.280 what's your advice for that for that guy well uh number one patience because i think within the next

00:50:29.200 six months within the next year you're gonna have a lot of opportunity a lot of those assets that

00:50:34.000 you've wanted to buy that may seem quote unquote out of reach are going to be well within reach and uh and

00:50:39.840 another great thing eric yes i i agree that the system is rigged against you but right now you can

00:50:45.840 get five and a half percent for heaven's sakes on a short-term t-bill that's not bad and i know that

00:50:53.360 the headline cpi understates inflation but to get five and a half percent um you know especially

00:51:01.200 compared to the pretty much zero percent that you could get on your checking account or savings account

00:51:07.920 for the last 12 years um that's not too bad in fact the other day and my model portfolio i have a

00:51:14.560 investment group like you've got your men's group rich and i have a model portfolio in there where i put

00:51:19.440 a hundred thousand dollars and it's pretty much all in gold about ten percent gold and ninety percent

00:51:25.280 in t-bills but all the the money i've made just on the interest in t-bills i was able to go out the

00:51:30.880 other day and buy puts on the s p 500 so that's just a bet that it goes down but i did that with the

00:51:37.360 house's money the house's money is just from the interest that i'd made from these t-bills so that's uh

00:51:45.120 you know an opportunity that you have now eric that you just didn't have over the last 12 years

00:51:49.760 to actually make money in your dry powder while you wait for things to get cheap um i did this

00:51:55.520 tweet the other week i want to i want to read it off um to you guys um rather than putting up on the

00:52:01.840 screen but it but it got a lot of engagement there was like 21 000 likes two and a half million views on

00:52:08.000 it it's not too long so i'll just read it out it says western culture is a scam for men you get up

00:52:12.800 early to pay for a house you hardly live in you don't own the land it sits on to pay a mortgage

00:52:16.960 to a bank that lent you pretend money made out of thin air you pay interest on they don't even have

00:52:21.600 on deposit in a vault to drive a car that's primarily used to get to and from work usually

00:52:26.000 on congested and broken roads your tax money never seems to fix you then pay 30 to 50 percent income

00:52:31.680 tax to the government for a job capital j capital o capital b designed to keep you just over broke

00:52:37.440 uh job to me is an acronym just over broke while the government spends your money on programs you

00:52:43.360 generally don't agree with to buy stuff with sales tax with money we have already paid income taxes on

00:52:48.800 to impress people we don't even like with things we generally don't even care about and if you do

00:52:53.200 well with your investments with income you've already been taxed on you pay more tax on tax in

00:52:57.360 the form of capital gains tax to the government on money you took the risk on investing all this usually

00:53:03.280 to impress a woman enough to commit to you that has already shared her body with dozens of other men

00:53:07.680 that brings baggage to the table that if you live with or marry can take after your

00:53:11.840 your kids if she changes her mind about you and i said what did i miss and you know people sort of

00:53:15.840 chimed in with a few other things but that kind of leads me to i mean it's kind of what eric was

00:53:20.080 talking about there but it but it also leads me to the notion of the passport bros you know what passport

00:53:25.040 bros are no so you're you're kind of a passport bro but you're the kind of guy i think is a

00:53:32.720 better example because what you've done is you've is you've geo located yourself where

00:53:37.840 you're not exposed just to one country or one market with one passport you're in uh columbia

00:53:44.000 right now you've got access to different places in the world um you're that guy that i think should

00:53:51.120 should be modeled after right see whenever i say passport bros george um i always get emails and dms

00:53:58.240 from guys that are like your typical pickup artists with like you know the painted nails and

00:54:02.080 the funny hats and all that shit and the high heel boots and they're like hey i'm a passport bro

00:54:06.240 can i come on your podcast and tell everybody about my program and my course and all that

00:54:09.760 bullshit you're not that guy you're actually doing it can you can you talk a little bit more about how

00:54:15.280 you structured your life and why you've structured it this way and why you have multiple passports and

00:54:19.520 you move back and forth from different countries and what that looks like for you and why you chose that

00:54:24.080 well i'm 50 years old i've never been married uh i don't plan on being married it's interesting because

00:54:38.000 i stumbled across your content and rollo's content maybe

00:54:45.680 i don't know maybe three or four years ago something like that

00:54:49.280 that and i didn't i didn't know the red pill community i didn't understand i didn't even

00:54:55.760 know these concepts were a thing but oddly enough it was just the way that i had already chosen to live

00:55:02.000 my life as you know spinning plates as an example uh that just goes just kind of seemed like a no-brainer

00:55:09.520 uh to me from the time i was about 13 years old like why would i not do that you know

00:55:17.040 uh but i've always kind of uh lived that that type of lifestyle i guess and also i like to be in places

00:55:28.320 that uh where i enjoy spending time right so if you're the average type of guy you you like being

00:55:36.080 surrounded by uh you know good looking women you like good weather you like making money and uh for

00:55:43.440 me there's a lot of places that you can do that maybe even better uh than the united states or in the

00:55:51.840 west and prior to retiring i actually made most of my money outside the us so i was very comfortable

00:56:01.520 in uh you know coming down to ecuador coming down to south america coming down to

00:56:05.760 colombia now originally i came down here as an investment opportunity that was back when uh

00:56:11.440 oil was cheap in 2014 15 it got under 30 a barrel so i wanted to play oil but i didn't know anything

00:56:16.880 about it so i started investing in real estate here because it was denominated in pesos which is

00:56:20.800 loosely tied to oil but once i started coming here more and more i'm like man the weather is fantastic

00:56:26.320 the women are beautiful the people in general are just exceptional they're very just very welcoming

00:56:32.720 very nice they're always enjoying themselves having fun in fact you know what was funny is i went to

00:56:37.840 a boxing class this morning and i've been doing that to try to you know rehabilitate my shoulder and

00:56:43.840 whatnot and there were a few gals in this boxing class and you know usually it's at a hardcore boxing gym

00:56:51.040 where they're usually playing like acdc and uh you know metallica and pantera and and bands like that

00:56:59.440 but every once in a while they'll play yeah that's right but every once in a while i noticed that they

00:57:03.600 play like a salsa song okay all the gals even the gals that were there like you know with the gloves on

00:57:08.960 as soon as that salsa music hit rich they they just couldn't control themselves they just hips are moving

00:57:14.480 they have to start dancing salsa and it's the same thing whether you go to a club or you go to a

00:57:21.280 restaurant it's just the people here really know how to enjoy life um and then the standard of living

00:57:28.560 is incredibly high in fact you know i've got my a maid that does all my cooking she i've got special

00:57:35.120 meal preparation i've got a driver that drives me around on the weekends um the food is incredible it's

00:57:43.120 all grown uh not all but a lot of it is grown locally they've got lakes around here where i

00:57:49.040 always go wakeboarding and renting boats and i know you're a big boat guy uh in fact that's how i i

00:57:55.280 messed up my shoulder is wakeboarding the other day i dislocated it pretty bad

00:57:59.440 but um and then you've got access to a lot more i think the percentage of women down here that would

00:58:08.160 fall into a category of what most guys would consider good looking is way higher i mean

00:58:15.040 pretty much higher than i've ever seen anywhere on the planet i've been over 45 countries but it's going

00:58:19.840 to be uh you know night and day difference between like the united states or canada or some place in

00:58:27.360 the west now that said a lot of guys come down here that i'll just try to put it in uh you know kind

00:58:34.320 of red pill lingo a lot of guys that are like two and threes back in the united states and in canada

00:58:40.960 come down here and they think they're going to be a 10 and all these you know just smoking hot

00:58:45.760 columbian gals are going to just gravitate towards them just because they exist when they're you know

00:58:51.360 300 pounds they're making two grand a month and they're you know wearing jean shorts and and and

00:58:57.040 birkenstocks or something like that and those guys are going to have a rude awakening because there's a

00:59:03.040 lot of dudes down here that are that are alpha that are very high value guys that are columbians

00:59:08.720 not just not just gringos so now it is true that your uh smv will go up so if you're a three in the

00:59:17.440 united states here you might be a a four or a five but you're not going to attend i can tell you that

00:59:25.840 you still got to put in the work you've still got to strive for excellence and at the end of the

00:59:30.400 the day the gals down here are hardwired the exact same way that they're hardwired in the states or in

00:59:35.920 canada um although i would argue that they're not as focused on um things like social media uh which

00:59:44.320 is it's nice and there are some uh slight differences there that i think at the end of the day probably

00:59:49.680 make a big difference but um you know that's pretty much the i never really thought about you know designing

00:59:56.160 a life um i just kind of did what i i wanted to do and this is just kind of how it turned out i guess

01:00:06.720 well it turned out pretty good i mean i i saw a video that that popped into my feed i don't know

01:00:11.040 if it's on the home page or a channel that i'm subscribed to but you kind of you're kind of doing

01:00:15.040 some vlogging and you're on a helicopter ride uh to a lake somewhere for lunch and there was a couple

01:00:20.720 of gals with you and a friend of yours yeah yeah you know the one that i'm uh yeah yeah so is that

01:00:25.840 something that you're doing on the regular now where you're doing like vlogging on sort of like

01:00:29.040 lifestyle stuff that you're up to in columbia or i'm gonna yeah i'm gonna try i did those uh about a

01:00:35.440 month ago and i was setting up that channel with my research assistant josh and uh i just you know rich

01:00:43.520 i don't know if you've ever dislocated your shoulder i'm sure probably some people in your audience but

01:00:47.120 i i did it really really bad where i tore my rotator and i tore all these tendons and i i

01:00:52.560 couldn't even move it was it was really really bad and still like i can't i don't have full range of

01:00:57.600 motion and um i heard it about two months ago and about a month ago i got to the point where i could

01:01:05.200 start like kind of going to the gym and kind of just moving it and i've got a physical therapist that

01:01:10.800 i work with daily but i've just been focusing almost 100 of my time and energy on just rehabbing my

01:01:16.720 shoulder and getting back to 100 so i kind of put that on hold but yeah once i get my shoulder back

01:01:21.760 to uh normal we'll definitely start cranking out those videos i've got like probably 10 vlogs just

01:01:30.160 on a hard drive that we just haven't released yet because i haven't been able to go through the final

01:01:34.960 edit but one of my reasons for doing that is because you know it just goes back to like the the

01:01:42.480 community of guys that that you serve um i i think that a lot of those guys would really enjoy

01:01:49.440 someplace like columbia but they've just got this mental like block right like they're oh i can't go

01:01:56.240 down there as soon as i go down there i'm gonna get decapitated i'm gonna get kidnapped you know it's

01:02:01.200 a third world country it's blah blah blah blah blah so i really wanted to show on these vlogs you know how

01:02:07.360 life really is here for someone that's i i don't know if i want to consider myself a high value guy

01:02:14.880 you know but for for a high value guy someone that has resources and someone that's out there making

01:02:21.520 their dent in the world like you always say how a place like columbia could be an even better option

01:02:28.560 as far as not just from a standpoint of women but a standpoint of from a standard of living a much

01:02:33.760 better option than maybe canada or uh the united states i mean taking that helicopter up to guadape

01:02:39.840 is something i usually do maybe once a month or a couple times a month i just go up there for lunch

01:02:46.400 it's about a 20 minute helicopter ride and i just bring it right back and that's something that i

01:02:50.640 probably i don't know even if you had the resources i don't know if you could just

01:02:55.680 you know what does it cost for a 20 20 helicopter ride up there for for lunch a 20 minute helicopter

01:03:03.360 ride 20 minutes back and forth it's about 1500 bucks 1500 usd yeah usd yeah so about 1500 and we

01:03:12.880 leave at like 11 and then we get up there uh around uh you know 11 30 12 something like that i have

01:03:22.560 lunch hang out guadape for a few hours go to panol do some touristy things and hop right back in the

01:03:29.680 the helicopter come back you're ready to take a shower go to dinner and go out for the night

01:03:34.080 yeah that's awesome um yeah that that guys is how the passport bro in my view you know would

01:03:41.680 would want to approach it because like george mentioned earlier a lot of guys that try to

01:03:46.240 tackle this lifestyle they're like a two or three and they think they're going to be a 10 when they

01:03:50.080 go somewhere else and they don't learn game they don't understand what women respond to and they

01:03:53.680 don't know um you know how women actually operate women are women pretty much everywhere around the

01:04:01.680 world they're all pushed by the exact same you know desires as george said you know he's been

01:04:05.440 to 45 countries so he's nodding his head on that one let me just see what we got here uh outstanding

01:04:09.760 contents the big brother george rich keep leading from the front thanks man uh my true says people want

01:04:14.720 to shame passport bros because they are positioning themselves to be in a better position regardless of

01:04:20.720 tradcon purple pill passport bro you need to be red pillow wear period rest of the sheep can go

01:04:26.960 pound sand and pull the yoke thank you both okay um yeah you know most guys do do mess it up and i

01:04:34.960 would discourage you from trying to i mean you know how can i put this and you know rich most of the

01:04:42.560 guys that i see most of the gringos that come down here i mean you can tell right off the bat if

01:04:47.440 they're down here to enjoy and invest and to strive for excellence or if they're just down here

01:04:54.000 you know because they can't get laid in the states they can't get laid i mean you can tell those guys

01:04:58.640 right off the bat but it's really stems from laziness right because what i see just so

01:05:06.720 um it's just so apparent that these guys are like okay i've got a choice either i've got to stay here in

01:05:15.440 the united states and compete with all these other guys and that would require me going to the gym

01:05:21.920 that would require me you know taking better care of my finances that would require me getting out

01:05:27.840 there and getting outside my comfort zone and that would require me doing things that are difficult

01:05:33.040 getting off my ass and making shit happen right so that's option number one and this is in their

01:05:38.880 minds right or they think or i could just go to columbia and be a lazy broke slob and then i can

01:05:47.200 still have access to the women in fact maybe better women than i would have by doing all this work in the

01:05:52.400 united states so 95 of the guys that come down here the gringos they do it from a place of laziness

01:05:59.360 right and what they find is that obviously it doesn't work out because they they find that you

01:06:07.120 know it's the exact same uh the exact same setup for them here that they're just as much of a loser

01:06:14.400 as they were in the united states so my my main point there is you can find places outside of the united

01:06:21.760 states that may have you know prettier gals or maybe a better standard of living or maybe something that

01:06:26.400 you would enjoy more based on your priorities but the the fundamentals of what rich talks about on his

01:06:34.400 channel they do not change i mean i'm down here i'm for you know my my income level or net worth or

01:06:44.560 whatever you don't want to measure it's extremely extremely high here um you know i'm a six foot four

01:06:51.680 guy which helps uh i have all these things that you would maybe consider advantages in the dating pool

01:06:59.600 here but i'm still doing every single thing i can to put in the work to get better to improve you know

01:07:06.960 uh i'm always trying to work on my finance always trying to work on my health always trying to work

01:07:11.360 on my physique always trying to get better um you know and forget the women you got to do that for

01:07:17.440 yourself as well that's got to be your number one priority yeah women i mean it doesn't matter if

01:07:22.400 she's in arizona or she's in columbia or eastern europe um you know women can smell losers they

01:07:29.200 you know they know what like if it quacks like a duck and walks like a duck it's a duck like you know

01:07:33.120 they can they can pick out losers it it doesn't matter where you geo geo relocate if you haven't

01:07:38.160 learned game and figured out you know you and loving yourself up it's never going to matter anyway

01:07:42.960 um you mentioned you hurt your shoulder have you have you looked into like that medical tourism

01:07:47.840 stuff that happens a lot in south america where they do like stem cell injections and peptides to

01:07:52.640 sort of like work that through i have yeah in fact one of the most famous stem cell uh

01:08:00.800 places uh i don't know if you call it a hospital or facility clinic whatever is right here it's about

01:08:05.920 10 minutes up the street from me it's into sorrow and in fact um i've got a mastermind group with

01:08:11.440 kenny mackerel i think you know kenny yeah and uh and jason hartman and uh our last mastermind meetup

01:08:17.920 it was in nashville uh michael chandler was there i don't know do you know michael chandler he's in

01:08:22.720 the ufc he was slated to fight conor mcgregor but anyway uh i've played golf with him and kenny a few

01:08:29.920 times and he was there hanging out with the members and i actually asked him about it specifically i said hey

01:08:35.760 have you been to that clinic or have you done stem cell and he said that he had not but uh several

01:08:41.520 several of his buddies in the ufc have done that and they've had a lot of success with it and uh

01:08:48.320 even some of them he said have come down to this clinic in medellin and um so for for me right now

01:08:56.560 it's kind of my plan b uh i've been working really really hard i've been going to the boxing because

01:09:02.000 boxing so much shoulder you know so i've been doing that in the mornings i've been working with

01:09:05.920 my physical therapist in the afternoon and after i work with my physical therapist i go to the gym

01:09:10.400 i do that every single day uh how long have you been boxing well i started taking boxing classes

01:09:17.360 back in 2012 when i retired and i did it for about a year and then i didn't do it after that but to

01:09:23.200 rehab my shoulder i thought it would be perfect so i've been doing that and so the bottom line is i got

01:09:28.400 about two more months on rehab and if i'm not at a hundred percent at that time then i'm going to

01:09:36.240 consider the plan b yeah did you ever um put yourself in an environment where you had like a

01:09:42.960 competitive sort of fight before you hurt your shoulder shoulder since 2012 where you're like

01:09:47.520 testing yourself no but i'd love to it's great it's great i did my first fight um

01:09:53.680 um it was like two or three months ago and um you know i've been training for three three and a half

01:09:59.120 years and i thought to myself you know i've been training boxing uh boxing yeah boxing boxing you

01:10:03.760 know so so i've been training for like three three and a half years and i was fortunate enough to have

01:10:07.600 a guy that ran a gym that wasn't a pussy so when the whole scamdemic thing blew up he just he just kept

01:10:12.960 running it you know we had like a backdoor code way to get get in sort of thing yeah um and i said to my uh

01:10:18.320 coach i said you know coach like i've been doing this long enough like you know do you think i'm ready to

01:10:22.240 actually test this and have a fight and he said yeah yeah so so we set it up i mean i was expecting

01:10:27.840 him to find somebody you know close to my age maybe like you know skill level sort of thing but

01:10:32.400 um he put me up against somebody in his network who's 20 years younger two inches taller and 35 pounds

01:10:40.400 heavier wow you're a tall guy aren't you yeah i'm six foot two so he's about he's about your height he's

01:10:46.000 about six wow and dude i'll be honest with you like i was scared you know at first he gave me this

01:10:52.560 book you know the book was um what was the title of the book the custom model mind and uh the author

01:10:59.280 of the book is remus boxing i guess it's some sort of boxing so he goes here read this to get your head

01:11:03.840 squared away because it's like the whole fear thing will really get to you so it's like you know you have

01:11:08.400 to re-establish your mindset from fearful to you've trained you've put in the reps you've done the work

01:11:14.720 you deserve the win um i also brought three people that were important to me to watch the fight

01:11:20.320 because i didn't want to let them down and i wanted to make sure that i was going to be held accountable

01:11:23.200 in front of them for all the training that i did great but i can see why people do it now like it's

01:11:28.160 um i mean i only did it once and i just edged him out like i barely beat him but i got in some

01:11:33.120 that's really cool yeah but i got in some nice shots and it felt really good it's it's something that i

01:11:39.200 highly recommend that you do like once your shoulders fixed to like test yourself out and you know just

01:11:44.160 put yourself in an environment where it's it's it's two three minute rounds and just do it man it's

01:11:49.440 it's great it really is i would absolutely love to do that i remember uh in the boxing gym i was going

01:11:56.240 to in vegas it was really hardcore i mean they didn't even have air conditioning in las vegas that's how

01:12:01.040 hardcore it was that's hot and i never got into the ring but a couple times when there were some uh

01:12:06.480 bigger heavyweight guys that were the pros uh they were getting into the ring just to kind of

01:12:11.040 smart a little bit they would ask me if i'd kind of like warm them up so they wouldn't care where i

01:12:16.880 hit them because i had no prayer of hitting them uh but they'd say okay we just you know we'll kind

01:12:20.960 of just hit you a little bit but we're not gonna hit in the face so no problem i remember rich these

01:12:25.360 guys like these you know 230 pound heavyweight box like pro boxers they would just give me a little

01:12:31.440 love tap like just like that like right in the rib cage and it would just buckle me i mean it would just

01:12:38.000 i mean people don't understand how bad like a little kidney punch from a professional boxer

01:12:43.200 that weighs 230 pounds they don't understand how bad that hurts but you know a quick story

01:12:48.480 um back in 2017 i was spending a lot of time in tucson helping out my brother so i was going

01:12:53.600 across the border into mexico and in nogales uh very frequently and you know you just walk across

01:12:59.120 the border and um one time i walked across the border and i saw this gal and this kid there

01:13:04.960 there and they're asking for donations because he was a pro boxer and he was trying to go to a big

01:13:11.840 tournament in uh in mexico city and he was like kind of the local champ for his age group and this kid

01:13:18.640 was maybe you know 16 17 something like that and he probably weighed 140 pounds so you know i clock in

01:13:27.920 at probably 200 you know 195 something like that so uh i i thought to my and i always you know people

01:13:34.560 that don't know me don't know this but uh i always do crazy stuff i'm very this is kind of par for the

01:13:40.080 course so i went up there and i said well how much do you need for the how much are you trying to solicit

01:13:44.880 you know and she needs she said oh we need a hundred dollars for the whole trip i said listen i'll pay

01:13:50.960 you the hundred dollars right now but i'm gonna be here in nogales for the next week so i i used to

01:13:57.680 train a little bit you know and i want to get into you know keep up the good shape and whatnot you're

01:14:02.400 going to the gym so i said i want to go in there and spar with the kid okay i'll give you the hundred

01:14:07.280 dollars right now and they you know they looked at me like i was crazy and they said fine no problem

01:14:13.200 we'll take the hundred dollars so i met him at his gym at like three o'clock that afternoon

01:14:19.200 now his gym of course is just the garage for his trainer fortunately his trainer spoke a little

01:14:24.320 bit of english and there's kind of this makeshift ring there and so he's like i come in there and

01:14:30.000 he kind of has his grin on his face and he's like okay so you want to spar with with the champ right

01:14:35.440 and i'm like yeah i'd love to i mean i don't know a lot about it i took it for about a year but i'm so

01:14:40.000 much bigger than he is i figured it'd kind of be fair if we had all the pads and he goes actually you

01:14:45.120 know why don't you see why don't you watch him warm up real quick here and then you

01:14:49.040 can maybe reevaluate your decision and so he the kid gets in there and rich the guy is like floyd

01:14:55.680 mayweather he's like i mean he is the fastest i have ever seen he looks like oscar de la hoya in

01:15:04.800 there and then you know he does that for like 30 seconds and then of course they look at me and like

01:15:09.120 you still want to spar with him i was like yeah maybe that's not such a good idea so we all laughed and

01:15:15.520 had a good time but what they allowed me to do is actually train with him okay for three hours a day

01:15:21.520 three hours a day for the whole week that i was there and rich it was the most insane workouts i have

01:15:29.520 ever been through i mean it was like like a navy seal type training thing and the kid does that

01:15:35.200 every single day two hours of the most intense cardio you have ever gone through and the final hour

01:15:42.160 is just straight boxing yeah boxing is a wild cardio workout nobody like if you haven't done it

01:15:48.480 you don't understand how how much work is involved like after three two-minute rounds in the fight that

01:15:55.680 i did i was dude i was soaked from head to toe i was just covered in sweat and this was before summer

01:16:01.280 too this is like an early spring so it wasn't even that that that hot and you're completely out of breath

01:16:05.600 like it took me at least four or five minutes to catch my breath after that mexico spits out some

01:16:10.480 really really good fighters um i was actually surprised that you wanted to take him on you got

01:16:16.720 you got bigger balls than me man but at least you were smart enough not to let him scrap with you

01:16:21.680 yeah yeah that would not have been a good idea yeah um yeah but i would do it again i would i would

01:16:28.520 i would definitely you know consider doing it again just for uh yeah i would love to get there i noticed on

01:16:33.780 the bulletin board in the gym today they they said it's in spanish i didn't know what is totally

01:16:38.560 saying but something like a league they've got like something like that so yeah my number one goal

01:16:43.940 is to get the shoulder back to normal i get back to the shape that i was in prior to the injury

01:16:48.340 and then i want to just keep going and going and going and improving to the point where hopefully i can

01:16:52.940 do something like that awesome yeah great um yeah i i don't want to take up too much more of your time

01:16:59.560 and there's a lot of stuff that i would have really liked to have talked about but i but i've got a hard

01:17:03.600 stop in 10 minutes because i gotta i gotta run but um anything you want to give the audience to

01:17:09.320 sort of like find you at or any channels you want them to subscribe to like where do you want them to

01:17:13.300 go they can just google my name and i've got two youtube channels just the george gammon channel

01:17:19.540 which are whiteboard videos based on kind of me explaining the back-end plumbing like we were doing

01:17:27.020 earlier so if you enjoyed that you'd probably like the that channel or the rebel capitals channel is

01:17:32.200 where i just do live streams like this and with that i i talk about the plumbing i talk about macro

01:17:37.040 talk about investing but i also talk a lot about uh liberty freedom free market capitalism you know

01:17:44.280 that i originally set up that channel to push back against the mandates that we had in 2021 yeah and uh

01:17:51.280 the channel got deleted uh fortunately joe rogan was nice enough to uh kind of retweet it and once he did

01:17:57.520 that youtube put it back on that was another interesting story but uh yeah and the podcast

01:18:02.500 is just the the rebel capital shows you can look up any of those and follow me if you'd like yeah

01:18:09.040 check it out i mean if you guys want to get some clarity on markets from george's perspective i i think

01:18:14.080 he does a really good job of trying to simplify it so that it's not complex and it really shouldn't

01:18:18.680 be complex i mean anything that's that's made too complex complex in an explanation it's like come on

01:18:24.700 man like let's you know simplify this thing down so yeah check him out and um yeah give him a follow

01:18:29.860 we'll definitely catch up and talk talk again soon maybe we'll do another one like six or seven months

01:18:34.440 on my channel but it's always it's always good to catch up and uh see what's up thanks george

01:18:38.340 yeah thanks

01:18:39.420 thank you

01:18:40.160 thank you

Playing to Win - July 31, 2023

088 - George Gammon

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