Market Off Highs but My Net Worth is UP

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How’s it going everybody this is beat the bush today i’m gonna mention something i briefly talked about in one of my previous videos where i mentioned that my net worth still gained even with all this market turmoil this video is brought to you by weeble if you heard me talk about this before now is probably the chance to jump on this and sign up for weeble it

Doesn’t cost you a thing this is a free trading app you’ll automatically get one free stock you get free trades if you deposit $100 or more you get another free stock if you sign up for dissing i would really really appreciate it and you would really help out this channel so in one of my previous videos i briefly mentioned that my network still went up even though

The market went down a lot some of you really wondered how the heck i achieved such a thing because most people’s portfolio is down by a lot so in my previous videos whenever i talk about income streams net worth and things like that i started coming off as more braggy and i’m i apologize for this because it’s really hard to make a video where you make some sort

Of content that you think other people want to watch and you are trying to grab headlines right are you trying to grab attention so sometimes you have to say things or like put on a title saying oh yeah you know i did this and it is something extraordinary and then when you talk about something extraordinary it’s hard to not come off as braggy so i want to break

It down for you guys so that maybe in the future you guys can also duplicate the same thing yourself i attribute to my net worth gains to couple of main things one of the core things is of course equities going down it went down by 30 40 % and depending on what you’re holding if you’re holding on something really really risky it might have went down like 80 percent

If you hold on to it like airline stocks so i thought long and hard about this and i did not time it perfectly i did not sell everything right at the beginning and then bought everything right at the bottom we don’t know if it’s even the bottom yet but i did sell somewhere between like on the third week of february and i went back to think about this and i was

Wondering how come how come i knew how to do this why did i suddenly just sell everything because i thought the risk level was too high there’s too much risk versus the small kind of reward that i could have gotten if i just held on maybe it would just keep on going up right so i thought the risk just dramatically increase due to that infection stuff over in china

Even though the third week of february it didn’t really come over to the us just yet you see like very few cases and you know most people thought oh nothing is gonna happen because we’re gonna have it contained but then i think the main part about this was i saw what happened following the news over in china and i see that whatever came over to us is pretty much

You know at a certain point i thought oh my gosh this is unstoppable you basically can’t stop it and it’s coming why is it that the stock market did not react yet i made a video back in february 14th saying and i roughly quote myself here is that i did not understand why the stock market did not do a huge plummet yet and after i made that video i did not sell much

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Any of my equities at that point yet i was kind of contemplating to myself just kind of speaking out loud so if you guys watch that video back then i’m sure even you know if you watch every single one of my videos you probably sort of got alike a little warning to yourself and then roughly four to seven days afterwards i finally pulled the trigger and i sold some

Of my stocks now i have to say i did not hold a lot of equities at that point you know i wasn’t even that much in and i’ve pretty much been in cash for quite a long time more than a year and you can say that oh you know if you were in cash then you probably didn’t make all that much money because you know you missed out on a lot of games all along the way but my

Reasoning for all this is yeah i miss out on a lot of volatility i miss out on the gains because i valued stability more i was ex really stable in terms of the way the amount of equities i’m holding how much cash i’m holding i’m being super duper conservative and i would say my portfolio looks more like a retired person you know that’s like 65 or something rather

Than you know someone my age so eventually i sold everything at one point i was all in cash it was it was all cash i held no gold equities etfs i held no stocks i held noes bonds it was basically cash cash cash in my equities account in my savings account everything was pure cash and then as the equities dropped down it dropped down like ten fifteen percent i guess

I got a little bit greedy and then i’m like oh this is time to buy so my whole theory back then was i’m gonna buy in steps right and then as it plummeted towards like minus 30 percent i kept on buying more and more and the first buy obviously you know loses money but then my last buy during the dip is in the green right now and when it goes down 30% and it comes

Back 15% you know i am roughly break-even right now in terms of pure equities if you look at you know that portion of my net worth i am basically break-even right now but you got a look at everything else now the purpose of this video is really to help you guys think for yourself during the next market downturn or maybe you know whatever it’s coming up in the near

Future if it’s gonna drop down even more i attribute to my cell to me having more time being not in the workforce and sort of being semi-retired i have a lot of time to do research so i read a lot of financial news every single day i read a lot of stuff you know when things pop up like the virus stuff it becomes bigger and a bigger of a problem and then i assess

The risk and i would attribute my sale directly to me doing so much research so much reading every single day and so you guys being subscribed to this channel if you just watch my videos and you’re kind of getting a gist of all that time i spent doing the research it’s not actually that popular i think it has about 20,000 views on it so not many people saw it

Not like the ones where i say old what stocks am i buying right now that was a bit more popular but that one where i wore the mask and like the glasses and stuff i’m like okay how should you invest in the going forward so i feel like if you watch this channel you might have done the same thing i don’t know let me know in the comments down below if you watch that

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Particular video and if you sold some stock because of it or like reacted differently soon after like i did on my personal portfolio now with my equity sort of on par how come my network still went up well one contribution this is not a significant contribution which is the supply of houses that are being sold is less than the reduction in the demand all these

People are locked up in their homes right they are not going out to buy houses as much however people putting their homes out for sale is even less that’s why the housing prices goes up because law of supply demand the price increase because of this imbalance here so that accounts for a little bit of my net worth increase what’s still increased it even more is

Because my burn rate is extremely extremely low i talked about cancelling my car insurance and some people are like oh my gosh your insurance gonna go up because there’s gonna be a lapse maybe i’m gonna get fined or something well i tend to do things a little bit crazy here i like to figure out what will actually happen even if i get fined a little bit later on i

Can tell you guys about it oh don’t cancel your insurance in california because it’s gonna increase and i am getting quotes day by day and i can see that it increased a little bit you know so we’ll find out about this later on but i did minimize my expenses and if you look at how much i spend every month it’s close to about $1,200 and i certainly earned more than

$1,200 from youtube from my dividends from my savings and stuff so i that positive over here you know just by default i don’t even have to think about it so as long as the stock market stays flat based on you know how much gains i made how much losses you know and the housing prices goes up and the actual cash flow is very very positive for me it’s always very very

Positive i’m just making sure there’s a positive cash flow so it’s kind of like you’re just pouring water into a bucket and even if you have you know a few minor leaks it’s still gonna get filled up right so this is kind of an equivalent for networks just keep on making sure that you are earning money i know earning money might seem sort of insignificant based on

How much investment gains or losses that you make that sometimes investment gains can be enormous let’s say you make a lot and then whatever you earn is a lot less than that but i think you still need to keep up a kind of like a cashflow positive stream even if you’re working and you’re making very little compared to your investment gains sometimes you’re working

Money becomes significant other times your investment money is not as significant so it’s you know just keep them all so that you have you know all of this pushes your net worth up and up so a quick word about a few stocks out there and my thoughts about it because you know this is about investing after all and right now i am about 78% in about 22% in cash right

Now i bought a little bit more the last thing i bought was at&t collecting a huge dividend on that i don’t know if it’s gonna go down even more but i figure you guys might be interested in my brokerage account i hold at&t i rm bac those are the significant ones and i also hold a significant amount of ixc the energy etf global etf right now all of that is

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Roughly break-even i want to speak a little bit about airlines warren buffett sold all his airlines and i want to say that sometimes when he sells stuff you might be a little bit skeptical of what he’s doing they be sell that so that he wants to push all the airlines down so that he would come back and buy for even cheaper i don’t know if he’s gonna do that or not

But generally from my experience of reading the news on what and what he actually does in the berkshire hathaway portfolio management is whatever he does it’s not like trickery i feel like it’s very straightforward if he’s selling it he really does believe that it’s probably a really bad idea long term and i think it’s the same as well you see the news all these

Airlines they’re like laying off people they’re reducing their fleet and they’re saying that they’re gonna come out of this as a smaller airline and what that means is they’re gonna have a smaller amount of profit when all this disappears so smaller airlines smaller profit means lower share price so this is gonna be like a permanent reduction in share price going

Forward if you’re thinking about buying airlines just because oh it’s so cheap now compared to like a couple months ago is because the current valuation is really low and going forward it doesn’t look like it’s gonna go up all that fast so if you buy into this it’s going to be a treacherous couple years before you know it’s gonna inch up maybe it’s gonna even do

Worse so when you put money into this it’s more like you’re not gonna get gains on it very fast and most of time people like to feel good about their investments right if you put money in you want to see it pop right away and you want to see it kind of inch up a little bit every single day but for airlines it’s gonna trade sideways for a really long time it looks

Like if you put money in it’s just gonna be dead money kind of like putting money into somewhere a bank account or something and you collect 0% interest when you do investment hopefully you want things to happen a little bit faster right especially with airlines when you can clearly see that they’re not gonna go anywhere anytime soon they are really laid off staff

There grounding the airplanes this is gonna last for a very long time and that’s all i have to say about that same thing with cruise lines with airlines and cruise lines there’s always like this probability in my head and i would say it’s a high certainty pretty high that they’re just gonna trickle around just trade sideways or whatnot so i did think about buying

Into carnival i just kind of eyeing it and stuff thinking about buying delta or united i ultimately decided to not immediately invest in airlines or cruise lines you know just yet maybe wait a month and then i’m gonna reevaluate them again so so definitely right now i don’t have any of those stocks right now thanks for watching this video don’t forget to give me

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Market Off Highs but My Net Worth is UP By BeatTheBush

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