2018 YEAR IN REVIEW – A YEAR OF GROWTH...A YEAR OF OPTIONS

2018 was quite an interesting year for stocks, the economy, and for me.  Before we close the book on this year, it’s also fitting to look back and reflect.  This is bit of my spiritual side speaking but for my financial folks it’s a moment to stop and balance your books. If you’ve read my previous posts, I talk about the importance of goal setting.  Now is the time to reflect on whether you hit those targets across ALL of your Pillars. Did you grow your spirit, mental fortitude, physical well-being, and finances? 

When I take a moment to reflect, I see some small strides I’ve made which I KNOW I will carry on into the New Year. My past year was the year of the FITBIT, where I became physically healthier (even playing basketball one a week) by challenging myself mentally to meet my daily health goals and give up unneeded foods, sugars, etc. I even gave up drinking (with the exception of a HS reunion event) and I was surprised I was up to that challenge (considering Little Jon wrote the Patron song specifically for me).  I concluded my financial challenge of renting, for the last 1.5 years, a house that did not meet most of our needs BUT it allowed us to SAVE and meet our new budget goals (2 paid off vehicles that are over 14 years old).  Again, an exercise in mental toughness for those who struggle with sacrificing today for a bigger picture.  Next, I personally want to thank my family for the changes they made this year to help us meet our family financial budget. This is turning into an effortless exercise (NOTE: IT DID NOT START THAT WAY) of developing a budget at the beginning of the year, then as a family we have to log all of our actual expenses. We use only one joint family account for family planning so there are NO SECRET EXPENSES that crop up (if we didn’t budget for it don’t bring it up and it’s not an item we are buying). In summary, we MET THE BUDGET FOR OUR HOME!!  Another goal met was buying our 2^nd Home! This was accomplished by those seeds we sowed a few years back…renting our first home, budgeting and sacrificing for our new home which took a few years to save up for the deposit needed.   

Many will overlook that these activities crisscross through a few of my Pillars; rarely does a challenge involve just one.  Taking on these goals has made me mentally stronger, a decent multi-tasker, better prioritizing and dealing with RISK.  I am equally proud of the last two items which have fueled my growth the most this past year.  # 1 – I took on the project of building out a consulting practice after companies continued to approach me for my skillset.  I still work in Corporate America but on my terms which has made me SIGNIFICANTLY less stressed (Pillar: Spiritual), in better health (Pillar: Physical), make more money (Pillar: Financial), and more technically skilled (Pillar: Mental/Education) then I have ever been.  #2 – I explored options for the first time in portfolio and it was a big reason for my investing success this year.  I have been studying it for months, used a fake portfolio of money to test trading strategies out, and implemented BASIC trades that have complimented my LONG-TERM VALUE oriented approach.  I repeat, I was afraid and had never traded an option contract in my life.  This year I’ve executed over 80+ option contract trades in a way that I believe lowers my investing risk, especially considering I’ve told people to be cautious because we are in the 10^th year of a stock market rally.  In summary, always stay balanced, clear minded, and focused. Help others yet use common sense and be prudent. The survivors in "The Walking Dead" did not survive from being lazy...you always have options and choices in life. Stay blessed.

For my reflection, and those of you that come here for the stocks my Financial YE Trading Review:

What Worked?

VALUE – By sticking with my value approach, I barely bought or sold ANY stocks in the last year. I sold 3 stocks this year that I held for more than 1 year because I felt the markets were reaching their tops.

Apple (AAPL) – I sold my entire position of Apple @ $200. Remember when we bought under $100. So long old friend until we meet again.

PBF Energy (PBF) – I sold energy which shot up earlier in the year. Now energy is back down to its lows. We’ll have to scrape the bottom of the barrel and see if its value time to pick shares back up.  PBF was in the low $20s and I sold $47. Funny at the time I thought I got out a little early.

Sirius Satellite (SIRI) – I owned this stock because I used to own XM Satellite radio, yes since 2005.  I watched the charts hit highs of $6.62 and decided to part ways after 13 years.  In a strange twist of irony, I recently purchased Pandora…who is being acquired by SIRI. We may be reunited again J

OPTIONS – My experiment in options was helpful this year.  When the market is up 10 years straight, the only thing that is certain is VOLATILITY.

            Volatility Index (VXX) – I traded the VXX over 5 times successfully for big gains. My only reflection was to bet bigger.

                Options – I traded over 80+ options contracts. I needed to test my strategy okay. We traded small amounts for high success. I might be above an 85%  success rate. Time to ramp up

DISRUPTION – I traded options contracts 3 sectors that were ripe for Mergers and had a handful of option contracts that did well when the stocks were acquired by other companies:

KLX Inc. (KLXI)

Dell Technologies Inc. (DVMT)

Cronos Group Inc. (CRON) * I believe the deal is still pending, but my options were sold

Red Hat, Inc. (RHT)                                 

Time Warner Inc. (TWX)

What Kind of Worked?

Radisys Corporation (RSYS) – I held RSYS for years. Sold some during the good times and closely followed the quarterly earnings. They were in the process of turning the company around but had the RISK my small consulting practice has. They were reliant on 1 or 2 big vendors. The biggest being Verizon. When VZ abandoned their unlimited data strategy for a while it hurt RSYS earnings. I felt vindicated when the acquisition was announced and I believe Reliance Jio purchased this company early as 5G is now taking off a major strategy for all telecom companies. So I feel vindicated they were purchased and rebought before the acquisition. BUT I did take a loss on this position.

What did Not Work?

I have 3 simple lessons learned that all investors must heed:

1)       If the Government is MAD at another Country, GET OUT of those option contracts: I had two Chinese stocks that got beat up once the Trump Administration decided to impose tariffs on China:

NXP Semiconductors N.V. (NXPI) – I had a profitable position, up huge. Trump Administration began their tariff stance and China retaliated by NOT APPROVING the Qualcomm merger of NXP. Qualcomm needed approval from 9 countries

JD.com, Inc. (JD) – Another contract that was positive, and you know the rest.

2)      Don’t trade options contracts into earnings season:

Match Group, Inc. (MTCH) – I got busy at work and should have exited this position before earning. Went from being up big, to a small loss. Lesson learned

3)      Don’t hold option contracts when the market begins declining:

Teva Pharmaceutical Industries Limited (TEVA) – I was up by enough points that I was going to simply let the contract expire profitable. I don’t think you understand, Teva was at $23 or higher and I had a contract for $17. During the market downturn, I saw the unbelievable happen in a matter of 2 weeks. Again went from being up to taking a small loss.

Caesars Entertainment Corporation (CZR)

Side Hustle 101 - Start Your Business

Started from the bottom...now we're here.  If you are starting a new business, I suggest investing your first few weeks or months developing your business plan by defining what product or service offering you plan to provide for customers. You should know if your business primary focuses on businesses (B2B) or is your focus on consumers (B2C). I often ask people how will you make money, what does it cost (expenses and overhead) to make money, and how many competitors are out there trying to take business away from your you and your company. My favorite is can your business be easily copied? Lastly what is your exit plan or at what price would you sell if you were made an offer. 

I've had a chance to participate in a few discussions or pitches and often you will hear the same responses from new and experienced business persons:
- My business is unique
- I do not know my costs, but it will not cost too much OR these costs are needed
- My services are for everyone
- I do not have any competition because I will work harder
- This business is not for sale

I do not blame anyone that responds this way because it is often human nature and when you start a business it is personal and many treat the company like their baby. But when it comes time to invest and I am running through my risk management checklist, I mentally note that this entrepreneur may not be strong in running a business and bad governance is a never a good investment.  I usually ask one question which ends my investment process: "Can I see your business plan?"

So my challenge to entrepreneurs: Learn to Develop A Business Plan.

Then have as many people as possible read it, question it, and be comfortable going back to the drawing board when tough question arise. Also, make a mental note that if you respond with one of the common answers above you may have more work to do.  Then, I recommend watching as many episodes as possible of really good business shows like "Shark Tank" or the "The Profit" that are featured on CNBC.  Chances are you will hear someone with a similar business idea as yourself and it serves as a really good opportunity to prepare yourself on how to answer those questions AND see your competition in action.

This applies to entrepreneurs, your real estate business if you're a landlord, and your financial investments if you're a money manager.  Have a plan and know your numbers (the budget).  Who cares what the hustle is as long as it's making you money (and legal).  And as Mr. Wonderful said from the investment show "Shark Tank" if your business is not making money in 3+ years...it's basically a hobby. I tend to agree as it aligns with Warren Buffett's number 1 rule to investing: "Never Lose Money".

My Personal Experience: I've started a consulting practice which has been thriving now for 2 years. I've kept it barebones and will expand when the risks make sense, so the math is simple not much expenses but I the profits are more than I would make as a salaried employee (accounting for benefits and retirement planning) I have complimented that with a rental property that I manage, and a financial investment portfolio that I manage. All of these need a well thought out plan and when the risks don't equal the reward it's time for me to walk away or exit from any or ALL of these investments.

   

Side Hustle 101 - Pay Yourself First with a Solo IRA / 401K

Retirement Planning - 401(k) Plans

I'm back because it is year end time.  Today is an alert to pay yourself first. If you ONLY have a W-2 Hustle, my hope is that your employer give you benefits that allow you to contribute to a 401(k) type of plan.  The goal is to do whatever it takes to make sure that you contribute the maximum amount to your plan. This is a big deal because it reduces your taxable income. Yep, if you're not maxing your contribution, you are basically paying extra in taxes in each year. It's also good to know how much your employer contributes via a matching program.  Many companies match your contribution up to a capped amount of about 3%.  

Solo 401(k)

For my independent contractors, entrepreneurs, and sole proprietors, you should have a Solo IRA / Solo 401(k) plan. The equivalent retirement plan to the 401(k) plan offered to W-2 hustlers. I'm not going to get into the specifics of how to sign up for one because its a whole post unto itself...but just know you enjoy the same benefits as your W-2 friends and more.  For instance, the federal government allows you to provide a matching program just like "big" corporations do and trust me the matching is much better.  

Maximum Contribution Limit: The contribution limit for any employee (W-2 or Independent Contractor) who participate in 401(k) plans has increased from $18,000 to $18,500 for the 2018 tax year. Source of Authority: IRS, check their website if you're unsure where to look.

Quick reminder to pay yourself first before the end of the year. 

Side Hustles 101 - Risk vs Reward

When I write, my goal is not only to express myself but to motivate others that it is not that difficult to invest IN yourself, FOR yourself and for your future. There are examples everyday, similar to General Motors, that company's are willing to do whatever it takes to bring their costs down and that includes recent layoffs to the tune of roughly 14,000 people. Now being an urban economist I remind people it's the game, the hustle, and it will always be that way why???...because it's called "supply" and "demand". Now I'm not much of a math guy BUT: Less demand means less cars = layoffs.

It reminded me of my winters in Chicago and trying to make the train on time.  It just never happened! And of course I need a list of things to blame: why did it have to snow, why are there bad drivers, why is every light red, why did I wear dress shoes that day, why is the train on time, and why isn't someone who sees me on the damn train telling the conductor to wait. So over time (trust me a over a long period of time), I learned to be more aware of my surroundings. Back then, I begin taking my computer home AND when I have one of those potential day horrible snow days...I stopped running to the train and stayed at home... logged in, messaged my team at work, and worked remotely.

It was so simple I kept wondering why I didn't do it sooner. This is how I view side hustles like investing. You can keep doing what everyone else is doing...OR you can unplug, be more aware, better your life and be prepared for the snowy days of life. I often used to joke with people many years ago that soon I would be going to work for the extra income it provided. Note, the key word being extra...supplemental...in addition to. Get yourself a side hustle because while there is blame to go around...I tell people to stop running after the train.

Side Hustle 101
I don't knock any side hustles, gigs, hacks (or whatever slick name people want to call it today) but I do remind people it should have a decent risk/reward trade-off and you should be super conscious of your time. Because the most important commodity in life is ironically your time. Many years ago, when I understood this basic principle, I purposely chose investing. It doesn't take much of my time...I think...and the rewards are pretty good and it's not even something I do full time. But investing has allow me to prepare for the snow day, the blizzard, and anything life throws my way. For me, Side Hustling = Freedom Insurance, many fear the knock on the door...I prefer to yell "I'm Busy at The Moment".

 Myth Busting - I've learned recently that people view some of the things I do are RISKY. The FUNNIEST thing is that I view myself as one of the most risk-adverse person(s) out there.  My profession confirms this theory.  I stay risk adverse because I learned early on that to actually make money to have to be a really good steward of money. Don't take huge ridiculous risks and wait for opportunities that are in your favor. I have learned this from Wall Street, Hip-Hop, and Corporate America...3 very similar industries that recognize one simple rule: BIG BANK TAKE LITTLE BANK. I wait for situations where I have a great chance to win...and then I invest or buy on my terms. This is one reason why I taught myself to play poker. I hate the game because I'm scared to lose money but oddly the principles of poker are amazing at teaching you patience needed to invest. I learned most people just want to play every hand and get in on the action. The greats ones often sit and wait for the right odds.

 And I can't leave without a little stock update. Since we are on the topic of Risk vs Reward, hopefully you recall my write up of Radisys: Radisys Risk vs Reward

Radisys Update:  My update today is Radisys just announced the government approved its merger with Reliance JIO and the acquisition date will be December 7. Go back and read my write-up on August 1st and for those of you that did enjoy that 15%+ gain in 3 months. I liked the trade so much I bought it in my personal account, my retirement account and sent a text to anyone that would listen.

How I Slay Life, One Hack at a Time…

Hello everyone! If you have ever read one of my posts you know I often write about the 4 Pillars of maintaining a strong balanced core to your life.  The purpose of a strong core is staying Physically, Financially, Mentally, and Spiritually fit.  I like “fit”, “woke” will do, and if you enjoyed the movie series “The Matrix”, try “unplugged from the matrix”.  Many of us claim we are woke but I’m not always so sure. Why?? Because life is constantly throwing things at us to weaken our core (e.g., tough jobs, debt, car issues, risk, etc.).  Then, there are self-inflicted things keeping us from truly being unplugged, fit, or woke: Procrastination and Lack of Accountability.

I joke that “The Matrix” is like the mainstream machine to get you to always consume, constantly share (reality TV style), and amazingly disregard facts and reason in lieu of opinions. Let’s take a look:

Need to Consume:

Every day is now a “National Day” to consume. Let’s see how many I can rattle off in seconds: Valentine’s, Halloween, Thanksgiving (which is really Black Friday…extended to Cyber Monday), Amazon Day, Christmas, and Alibaba even has Single’s Day (a made up event).  Goal: We help the Matrix break their sales record, while they help you break your wallet.  And it accomplishes one other key thing…it helps keep everyone hooked into the Matrix. Your friends, family, kids, spouse, co-workers, neighbors all try to outspend, over decorate, and stress over all of it. 

Ready for change, try these hacks:

Urbanomics Hack of the Century – I epically took down the need consume by setting a budget. This cool hack forces me to plan for things. Built into that budget is a buffer. Yes, for all those amazing “National” taco, donut, bosses, kids, and pet days.  Once I get to my budget limit, I stop. So commercials, spam emails, and all those amazing deals in the mail just don’t faze me because I slay them all with a few words: “Not In My Budget”.

How to Slay Digital Anxiety – My longtime hack of the digital era is a few cool things that most have not heard of. I simply do not take my phone most places. It has a really cool feature called voice mail. Next, I realized every beep is not so I initiated an premium upgrade (hackers special) that does not require me to respond to everything instantly.  I (whips the upgrade) pick moments during the day when I thumb through my texts, alerts, vmail, and e-mail and respond accordingly.

Epic Takedown of Apps – To truly stay woke, fit, and unplugged I eviscerate all mobile apps. Yes, I throw shade on every app, no exceptions. I simply do a few things that keep my life simple and focused.  I do not download apps unless there is an extreme necessity. For example, when I switched phones recently I did not add an app until a dire situation presents itself. It is strange to see all those lonely apps still waiting to be downloaded, but I’ll pass. And you’ll love this ultimate hack: I’ve never downloaded Facebook, LinkedIn, Snapchat, Instagram…whoever.  Two reasons: By forcing myself to login directly, I limit my screen time.  I’ll conclude my article with the 2^nd reason: I’m the product.  Whenever someone allows you to use something for free, WE are the “product”.  Which means The Matrix is getting way more value out of it than we are.  I recall from my educational binge watching of “Mad Men” that advertising companies are paid to know your age, preferences, views, and buying habits.  When the companies above finally decide to pay me accordingly for the information I provide them maybe I’ll download their app or use it more. I don’t need them…they need m and we just need to negotiate what I’m worth. Ironically, I have always kept a contact history, used job boards, and saved my photos through different methods over the years. It had me thinking back when peopled used rolodexes if they people were addicted to flipping through it and liking things. Or if they did the rationale thing…picked up the phone and had conversation, planned a trip, or closed it and had fun.  

Full disclaimer: I've invested in Facebook, Snapchat and Twitter multiple times this year. (Note: LinkedIn is owned by Microsoft and Instagram is owned by Facebook). I would be a FOOL to deny the mainstream draw to these platforms but I wonder about the unintended consequences. I'm sporadically only on FB and LI and try to disclose as little as possible. And until the model is figured out (note: regulation is coming soon), I'll gladly find ways to make money off of these platforms, while their users (who should be called talent or broadcasters) give their worth away for free.  And because I mainly post about investments, I don't think Snap, owner of Snapchat, is a good investment long term because I don't know what they do. Ads alienate their users and I would pick up the phone if I really wanted my message to disappear.

Facebook: Internet Rolodex

LinkedIn – Job Board / Staffing Agency

Snapchat - ???

Twitter - News?

Instagram – Hard Drive for Pics  

Apple Proves Value Investors Like Tech

Many people know my personality is similar to my investing style...I tend to go against the grain.  As a techie, I don't love the Apple phones for a technical reason it's a closed source ecosystem. Unlike open source devices, Apple prefers that you use only their software and products. I have to remind people that Apple did not invent putting things in the cloud, sending files/messages should be something you should be able to do to any phone, and chargers are meant to be universal.

But in order to be a good investor your personal preferences should NOT interfere with buying stocks.  While I don't own the phone, I don't dismiss many people around me use the phone. Or the fact that iTunes gift cards are a normal gift around the holidays without even asking me if I am an iPhone owner.  But these aren't the reasons why I decided to stake a claim in the value play a few years ago.  Many forgot back in 2016, Apple was trading under $100 dollars and there was fear they wouldn't be able to break into China and growth had stalled.  But as Apple continued to reinvent itself, I saw value in a company starting to pay a dividend, expanding internationally, and growing a profitable services and payments business. So when there is fear in the water you stake a calculated claim on an old dog that still has a few tricks.  Being in Risk Management, I had fun analyzing this stock and pulling the trigger when everyone was saying I got in too late. At an average of roughly $93 dollars, I was betting on a growing dividend, growth in China (maybe India), apps being the future (including iTunes), and logical determination that Apple phones would become larger as I knew people would share my frugal sensation over phone/tablets or phablets if you prefer (why have one of each when supersized phone does the trick).  I am not placing a big bet on Payments yet because I tend to know a little bit about this space. While people love the technology...I think there needs to be one wallet that can travel with you as you change from an ApplePay, SamsungPay, GooglePay....and merchants are CHEAP so it will be a very long time until every store and gas station pay for upgrade technology that supports these new types of payments.

Many say value is dead but I argue, you have to look in the right places. I just read an article about how Warren Buffet and Berkshire are enjoying the amazing gains of Apple. I laughed because I'm wondering if the pupil is finally learning from the teacher...looking back I bought Apple prior to when Berkshire made their purchase:

Post Mentioning Apple:
https://urbanomics.blogspot.com/2016/10/how-to-invest-in-clinton-trump-election.html 

Wall Street Journal: Buffet Bet Big on Apple


This has also happened with Teva Pharmaceuticals recently so I hope to keep the streak alive and maybe may a few future recommendations...one Oracle to another. :)

RADISYS - Still Room Before the Buyout

Radisys (NASDAQ:RSYS) -- This is a stock that I've followed and blogged about for many years and for FULL DISCLOSURE: I OWN SHARES OF RSYS

If ya don't know now ya know: Radisys is getting purchased by the largest cell phone provider in India, Reliance Jio.  

I quickly knew something was brewing because my portfolio was up sharply that day and my brother even called and asked if I had heard the good news.  While he was talking about RSYS, I was thinking about the fact that he had actually been listening and occasionally reading stocks I track and blog about.  Most investors LOVE an acquisition...and I'm no different.  Oddly, because I've owned RSYS for awhile I have a little HATER in me because I've bought in at higher prices in the past so I will have a loss on some older positions in my portfolio. 

Breaking Down the RadiSys Arbitrage

Arbitrage...I know technical trading language. So to keep things simple, playing the Arbitrage is like betting on whether the top college football player will get drafted with the 1st pick in the NFL draft.  We all know that it likely to happen BUT every now and then...it doesn't happen. 

RSYS is the like the top draft pick and they are being purchased for $1.72 in cash as stated in new releases and in the latest earnings conference call by the CEO.  The stock traded today at the $1.48 level EVEN THOUGH we all know they will be purchased (drafted with the top pick) for $1.72.  Buying the stock now is like getting in on a poorly kept secret -- "The Arbitrage".  But before I pull the trigger on a 16% gain, I have to weigh the risks (ughh sounds like I'm still working):

Geopolitical (Country) Risk: Believe it or not, I had to consider whether either company's government may get involved in nixing the deal. RSYS (American), Reliance Jio (Indian) - I think it's unlikely to get nixed but it should be considered as the proposed deal of NXP Semi & Qualcomm got the backhand from China likely due to their beef with the Trump Admin over tariffs (their deal never got approved).

Financial Risk: I see limited risk here, as it's a very small deal ($74M) and it's all CASH. Reliance being the largest cell provider in India seems to be able to easily close this deal.

Timing Risk: It was announced the deal will close in Q4 2018. It's August, so 1 quarter is not too lengthy in the corporate world for an acquisition.

Upsides: Another buyer could cause a bidding war but this scenario seems unlikely as no one else has come forward. Surprisingly, the latest earning report was very positive so you wonder if the deal could be sweetened.  It's unlikely as RSYS was a penny stock prior to the acquisition.

It's hard to call the last indicator Upside risk but I did want to point out that the CFO bought a large share of stock a few months back which was a very bullish sign.  It's what caused me to follow this stock closely over the last months but sadly I had analysis paralysis and didn't follow my gut which was telling me to load up after that recent indicator.  My final thoughts are this all cash deal will go through and a 16% spread is an opportunity for a moderate gain with limited risk. 

Fitness Tracking to Slimmer Pants & Bigger Profits

What's the point of  these Urbanomics Pillars: “Spiritual”, “Financial”, “Physical”, and “Mental” if I am not applying the tools that have made me successful in business and in the stock market to my health. Are you going corporate on me??....Quite simply, yes :)  When I sit back and reflect on what things made me college recruited football player, I circle back to one word: DISCIPLINE..not a fad or a diet or a quick fix.  I'm getting OLD but the one thing every gym rat had in his or her hands before phones and fitness trackers took over...was a WORKOUT SHEET. This sheet tracked my progress and told the story if I got stronger, faster, and more agile.  I still used a spreadsheet up until a few years ago because it was built into my DNA. But with a very busy schedule at work I noticed I was declining into a part-time gym rat, I'd go for a few months...then stop because of work or life imbalances.

I decided to stop making excuses and use the same tools that I use to track my investments:

Health Goal: While I would like to retire financially fit and early...let's add physically fit

Budget: While I have a financial budget, I needed to have a health budget (Higher Calories Burned minus Calories Being Eaten = Healthy Rewards. Keep it simple

Risk Management - In the stock market, Warren Buffet has 1 rule...never lose money. So why not transform this rule simply to: Don't Gain Weight. If I stick to my budget (above) some days I might not lose weight but ultimately I won't gain unhealthy amounts of weight.  If I am thoughtful, I can CHOOSE to just eat a little less OR more of something healthier. I choose to not invest in RISKY Penny Stocks so why not cut back on risky foods :)

Benchmark: You're not managing your money wisely IF you don't know what the average market returns.  So to understand the averages, I purchased a Fitbit health tracker and used their baseline. 8-10K steps (3-5 miles), climbing 10-20 stairs a day, walking at least 3-10 minutes an hour (during the 8 hr workday). I added in basic government calorie consumption guidelines and ATTEMPT sleeping 8 hours a night. 

Tracking: I have an fitness tracker that tracks my portfolio because I need to BEAT the benchmark to be financially fit. My goals are set to the benchmarks above and it creates a "no excuses" culture. I couldn't believe early on what the reader was telling me. Sometimes with work, I might not move within an hour...what!!!  I've lost over 10% of my body weight, wear clothes that didn't fit, decreased the waistline, and more importantly watched things like my resting heart rate drop.

The path to bigger pockets is being active and clear: mind, body, and soul, so get moving and don't let unhealthy habits drain your riches in your later years. I share my health goals with others so its no longer weird when I excuse myself for a 10 minute walk/break, jog at random times in my house to reach my goals, look forward to cutting the grass each week to pad the ole stats. I'll tell you more about my eating adjustments later but a low carb/Keto/S.Beach like lifestyle has grown on me and even allows me to FAST now for multiple hours in the morning, still feel great, and many times I feel sharper when making business and investment decisions. If you've cheated yourself...get back in balance and slimmer pants and a calmer mind could mean bigger pockets.

I'm Tracker Agnostic so tell me if you're a fan of Fitbit, Apple Watch, Samsung Gear, Garmin, AND more importantly what you track.  For now, I'm gonna "Walk It Out" to my goals:

Walk It Out

The Plan - Can the Economy Grow Forever?

I often talk about the Pillars that act as a beacon guiding my life, business, and financial decisions so I like to revisit those from time to time.

                 Urbanomics Pillars: “Spiritual”, “Financial”, “Physical”, and “Mental”

We often preach about balance and diversification in the financial world but how often do people consider this in their day to day loves.

Financial –

I’ve been moving comma’s so don’t start no trouble with me…

I hear you Drake, keep moving those commas. My mission is to do the same while helping people in the process. But before I get started I’d like to remind people of the incident at Starbucks this past week. Can you imagine getting kicked out of a coffee shop just because of the color of your skin…and my response is YES.  Those young gentlemen were having a business meeting, trying to move comma’s but trouble, haters…and risk interrupted their lives.  This is not an isolated incident for many of us so I ask for them to stay strong and rely on their other Pillars for balance and keep pushing forward.  Here are my views on all things financial:

Stock Market - Again, you won’t find me writing much about the stock market these days because things are steady. I said a few years ago, when Mohammed El-Erian described this economic period that we are in as the “New Normal”, that I thought we would continue to bump along higher and higher coming out of the near depression period of 2008. So the goal has been to find amazing stocks at discounted values and when they rise, part way above your target level...part ways with them.  Why because we are in the 9^th YEAR of an economic rally (soon to be the longest in history). I’ve learned over time from Mohamed, Warren Buffett, and others to try to keep it simple. So find stocks you like, determine what is the ideal price you would buy it at…sometimes take another 5% of that number and wait to see what happens J

Remember Lululemon recommended in the 40s, Apple in the 90s, Alibaba in the 80s, Caterpillar in the 80s, Manchester United @ 14 if not use the search tool and track these old friends of mine down. I still holding Apple, Alibaba, and Manchester United as core holdings and am learning how to protect these holdings as they've appreciated nicely. So to the many people that say growth has dominated the market in recent years I agree but I remind them…for me it’s the long game and how much you bought something for and amazing even a few growth stocks like Apple and Alibaba will fall into your lap.

And for the people that trust in the process, support others, call out injustice when they see, and pay it forward here’s what I’ve been trading.  It’s my way of giving back…my free and very simple knowledge. A chart is included below and simply represents prices where I’ve had success trading these stocks over the last three to six months. The Column on the left are shares I've owned and traded options in. The column on the right I’ve just traded options only. The asterisk means I still own the stock:

Note: Please find the correct spelling for Qorvo 

More to come on how I'm planning for the future (real estate, biz development, taxes) as the soon to be longest economic rally history WON"T last forever. And yes...I was channeling Drake’s hit song God’s Plan when I was developing this post and was equally inspired by Kendrick Lamar and Jay-Z’s recent projects and social consciousness. Many blessing to them and to you all.  And if you haven’t seen the video, of course I recommend that you check it out here: