[transcript]
Dangerous Don: Welcome back, everybody! Welcome back to the MACHO INVESTING blog, the home of you and me and many other stock-market millionaires. We’re blogging to you direct from our worldwide corporate headquarters in Scranton, Pennsylvania.
Johnny: Actually, we're in Dunmore. Twenty minutes from downtown. On Argyle Street. Sitting in Don's kitchen. But welcome back, everybody!
Dangerous Don: Soooo. . . . . moving right along. . . . . I’m your host, Dangerous Don. I’m sure you recognize the name Dangerous Don. I happen to be one of the most successful stock-market investors of all time. . . .
Johnny: And this is our co-host. . . .
Dangerous Don: And, yes of course, sitting next to me is our very distinguished co-host, Johnny Doorknob, dean of the Scranton financial gurus.
Johnny: Actually, I'm a plumber. Retired plumber. Live next door to Don.
Dangerous Don: Folks, we have a special guest on our blog today. We are very fortunate to have with us Mr. DigDig Agroom from the Scranton office of the world-famous Wall Street investment banking firm, Golden Sox.
DigDig Agroom: Thank you, Don. I’m honored to be here.
Dangerous Don: And we are very lucky to have you here with us.
DigDig Agroom: MACHO INVESTING is the gold standard of the Scranton financial blogs.
Dangerous Don: Speaking of gold, I notice you're wearing the traditional golden sox.
DigDig Agroom: Here, take a look. We’re very proud of this tradition. Whenever somebody is promoted to being an officer of Golden Sox, he or she is allowed to wear the traditional golden sox.
Dangerous Don: Allowed and actually required, as I understand it.
DigDig Agroom: We don’t publicly discuss the details of our firm’s internal rules. Let’s just say that our golden sox seem to be a good protection against bad luck in the stock market, and against most criminal prosecutions.
Johnny: And your baseball team? The Golden Sox?
DigDig Agroom: We love ‘em. Through thick and thick. Pitching has been a problem all season.
Dangerous Don: Let’s talk about the market, and about investing in general.
DigDig Agroom: Sure. I want to say first, Don, that we’re really excited about the work that you’ve been doing.
Dangerous Don: Thank you, sir! Appreciate it!
DigDig Agroom: You're a very sophisticated investor.
Dangerous Don: Appreciate the compliments!
DigDig Agroom: You're a very sophisticated investor.
Dangerous Don: Appreciate the compliments!
DigDig Agroom: What we at Golden Sox particularly like is your basic Macho Investing philosophy. Always coming in strong when the market has been on a roll for months and it just can’t seem to stop going up.
Dangerous Don: 100% with you on that. Always keep the wind at your back. Momentum investing. Always go with the flow.
DigDig Agroom: So. . . . when the momentum is with you, and the market is high, you. . . . ?
Dangerous Don: Buy!
DigDig Agroom: And the opposite? When the market has been dropping like a rock for months?
Dangerous Don: Get out! Never mess with a sick market.
DigDig Agroom: So. . . . . when the market is low, you. . . . ?
Dangerous Don: Sell!
DigDig Agroom: Buy High, Sell Low?
Dangerous Don: Exactly! That’s the Macho Investing strategy!
DigDig Agroom: And the fact is. . . . . you have tens of thousands of people who read your blog every week! And apparently they believe what you're saying! That’s really impressive!
Dangerous Don: Right! Very happy to hear you say that!
DigDig Agroom: Those tens of thousands of people are potentially a huge pool of money.
Dangerous Don: Those are the folks who keep us going!
DigDig Agroom: Those tens of thousands of people are potentially a huge pool of money.
Dangerous Don: Those are the folks who keep us going!
DigDig Agroom: We at Golden Sox think there’s a real potential for synergies here.
Johnny: Interesting. . . . .
Dangerous Don: Very interesting. . . . .
DigDig Agroom: Let me explain. Golden Sox represents clients who are less sophisticated than you are, Don. When the market is high, these clients want to sell their stock.
Dangerous Don: No offense, but that’s idiotic. You should never lose your nerve in a hot market.
DigDig Agroom: Exactly! So, you see. . . . . these clients want to sell, just when you want to buy.
Dangerous Don: Okay, I see what you're saying.
Johnny: Careful, Don.
DigDig Agroom: Sounds like a natural partnership.
Dangerous Don: Okay, I see what you're saying.
Johnny: Careful, Don.
DigDig Agroom: Sounds like a natural partnership.
Dangerous Don: A natural partnership!
DigDig Agroom: A natural partnership!
Johnny: Don, Don, wait a minute! Don’t you see what he’s saying?
Dangerous Don: He's saying we're natural partners!
Johnny: Partners? That's crazy! Listen, Golden Sox just wants to get a hold of lots of Stupid Money. Meaning who? Meaning the ten thousand poor folks who follow this blog. Why? So Golden Sox will have suckers to sell to at the top of the market, when they want to cash out.
Dangerous Don: He's saying we're natural partners!
Johnny: Partners? That's crazy! Listen, Golden Sox just wants to get a hold of lots of Stupid Money. Meaning who? Meaning the ten thousand poor folks who follow this blog. Why? So Golden Sox will have suckers to sell to at the top of the market, when they want to cash out.
DigDig Agroom: Like I said, our clients are less sophisticated than Don.
Dangerous Don: That’s right.
Johnny: Just think. . . . if there was nobody dumb enough to buy, at the top of the market, then they’d be stuck. They'd have nobody to sell to.
Dangerous Don: Ahhh. . . . . . . moving right along. . . . .
Johnny: Don, listen to me! The market always wants more Stupid Money. Just to be the other side of these smart trades, like the ones Golden Sox does. That's where all these 401(k)'s come in. . . . .
Dangerous Don: Ah, Johnny. . . . . . I said MOVING RIGHT ALONG!
Johnny: Don, listen to me! The market always wants more Stupid Money. Just to be the other side of these smart trades, like the ones Golden Sox does. That's where all these 401(k)'s come in. . . . .
Dangerous Don: Ah, Johnny. . . . . . I said MOVING RIGHT ALONG!
DigDig Agroom: Don, we’ve already set up an organization for sophisticated investors like yourself. We call it the Predators Club.
Dangerous Don: I like the name!
DigDig Agroom: It’s specifically designed for aggressive investors like yourself.
Johnny: Oldest trick in the world. Tell the victim he’s really the predator, and sucker him in a little further.
Dangerous Don: Ahh. . . . . Johnny. . . . once again. . . . . MOVING RIGHT ALONG!
DigDig Agroom: We pick out risky stocks. . . . .
Dangerous Don: Good! I like that! No little old lady stuff!
DigDig Agroom: We buy stocks that some of our more conservative clients think are over-valued. . . .
DigDig Agroom: We buy stocks that some of our more conservative clients think are over-valued. . . .
Dangerous Don: No guts, those guys! You need guts to survive in this business!
DigDig Agroom: So, it looks like a perfect fit for your audience, for those tens of thousands of Macho Investors.
Dangerous Don: I agree. Looks like a perfect fit!
Dangerous Don: I agree. Looks like a perfect fit!
Johnny: Ask him about the fees.
DigDig Agroom: Well, yes. . . . . there is a modest annual fee to belong to the Predators Club. Just to cover our costs.
Dangerous Don: How much?
DigDig Agroom: Ahhh. . . . . five hundred dollars a year.
Dangerous Don: Wow! I didn’t realize. Five hundred bucks a year! Ouch! Out of my price range, that’s for sure.
DigDig Agroom: We do have a Plan B Membership.
Dangerous Don: How much is that?
DigDig Agroom: Ten dollars a week.
Dangerous Don: Ten dollars a week! Now you’re insulting me!
DigDig Agroom: Insulting you? How do you mean?
Dangerous Don: Don’t ever nickle-dime a guy for a lousy ten bucks a week!
DigDig Agroom: So. . . . . you’re okay with that fee?
Dangerous Don: Of course!
Johnny: Don. . . . . .
Dangerous Don: I’m not going to sweat a lousy ten bucks a week! You guys think I’m cheap or something?
Johnny: Don. . . . .
Dangerous Don: So. . . . DigDig, who does Golden Sox pick for the Super Bowl?
DigDig Agroom: Ahhh. . . . don’t really have an answer for that one. I know who I'm rootin' for. But, as a firm, we don’t have an official pick.
Dangerous Don: That. . . . surprises me.
DigDig Agroom: Why?
Dangerous Don: The Super Bowl Rule. About teams from the old NFC conference.
DigDig Agroom: You mean. . . . . wait a minute. . . . . you mean that old saying that. . . . if one of the teams from the old NFC conference wins the Super Bowl. . . . ?
Dangerous Don: Exactly. Like the Eagles or the New York Giants. If one of those teams wins the Super Bowl, then the market will do great all the next year.
DigDig Agroom: And if it's a team from the old AFC conference. . . . .
Dangerous Don: You're looking at a Bear Market for the rest of the year.
DigDig Agroom: And if it's a team from the old AFC conference. . . . .
Dangerous Don: You're looking at a Bear Market for the rest of the year.
Johnny: Crazy superstition.
Dangerous Don: It's not a superstition! It’s a proven fact! And I’ve made it a core investing strategy for the 401(k) that I run.
DigDig Agroom: Well, I’ll be darned!
Dangerous Don: Hey, don't forget, I'm a fiduciary! I gotta pay attention! The Super Bowl Rule is real important!
Dangerous Don: Hey, don't forget, I'm a fiduciary! I gotta pay attention! The Super Bowl Rule is real important!
Johnny: Plenty of time to talk about stock-market superstitions in our next session, right Don?
Dangerous Don: It’s a fact, not a superstition. But, you’re right Johnny, we’ve run out of time.
Johnny: Adios, everybody!
DigDig Agroom: Very nice to have been a guest on your blog.
Dangerous Don: Thank you again for coming. And folks, so long! See you next time! Stay tuned to the MACHO INVESTING blog! Believe me, you’re going to make a TON of money!
