The stock market is near an all-time high, while unemployment is up and wages are flat. It begs the question: is the stock market overvalued? I’m not a stock market expert, I don’t follow the market like some people, but I do know a few things. A share of stock is a piece of a company. In that regard, it is not that different than owning real estate. When you buy an investment property, you don’t look at the value of that property every day, you are more interested in the rent it earns and the costs associated with maintaining the property. The same should be the case with stocks. You shouldn’t look at the price fluctuations of the stock for a company, rather you should look at the earnings and earning potential of the company itself. If you are a day trader who is looking for short-term opportunities, we may be looking at a correction pretty soon. Economic growth has been anemic, even prior to the pandemic, and without major changes to our immigration policies or major breakthroughs in productivity it will be hard to see how valuations will get better in the short run. If you’re a long-term player a good index fund or the right financial advisor, you can still find you some great opportunities. BTW – the winner of the election won’t matter all that much. In his first 43 months in office, the S&P 500 index under Donald Trump increased 49%. That’s a pretty good gain; however, under Obama, the S&P increased by 70% in his first 43 months. Fiscal policy matters for a lot of things, but stock prices don’t seem to have as much of a correlation to politics as most people think.
Capitalism rewards hard work, innovation, and ambition—but when success depends more on political connections than merit, we lose the very foundation that built this country. Crony capitalism erodes trust, fuels corruption, and concentrates power in the hands of a few. In this episode, I talk about why unchecked cronyism threatens the American Dream and how trust and fairness are essential to preserving it.
There’s been a lot of talk lately about socialism, communism, and democratic socialism—especially in New York City. I recorded something this week because I think we’re losing the ability to talk about these ideas with nuance. We throw labels around to scare or silence people, and it keeps us from having real conversations about affordability, ownership, and what it takes to build a society where people can live with dignity. If you have a moment, I’d appreciate you taking a look and letting me know what you think.
Lately, I’ve been hearing from a lot of people who are frustrated — with work, with the economy, with the state of the world. I get it. I’ve felt that too. But here’s something I’ve always believed: there is nothing more powerful than taking that energy and turning it into success. In this week’s episode of The Latino Brand, I talk about why building wealth isn’t just about money — it’s about agency, dignity, and control...