Live Episode From Our Summer Summit

SPEAKER_02 0:00

Welcome to the Reach Your Summit Podcast, where we help you navigate the path to a better, more secure future. I’m your host today, Stephanie Brinkman, and I’m the marketing administrator at Summit Wealth Group. Jamie Cochran, financial advisor in our Memphis, Tennessee location, is joining me live from our summer summit in Denver, Colorado.

SPEAKER_00 0:16

Hey, Stephanie, and hey to the crowd, can we get a all right? So we got a live podcast in the Denver Tech Center here at the wonderful Hilton Garden Inn. We’ve got full bellies of enchiladas and good caramel cheesecake. So what better way to beat off the post-lunch snooze than to play a game of Jeopardy here? So what we’re gonna do is for each uh team, we got three teams here. Each team has a nominated someone, and these look like uh suspicious characters that we have up here uh in this in this first round, especially uh Scott who came up to like tell me goodbye. And uh as he was doing that, you know, he wasn’t even making eye contact with me. He was looking down at the answer sheet. So I uh I flipped over. So we’re gonna be doing, we’re gonna be starting a uh category that Scott did not see to make sure that we’re we’re we’re playing fair here. All right, so we’re gonna hit start. So what we’re gonna do, we’re gonna start with retirement strategies for 100. All right, a tool that can be used to test if one will have enough income throughout retirement. Unlike a traditional retirement calculator, this method incorporates Oh, that was quick. And who do we who was who was first?

unknown 1:29

Of course me.

SPEAKER_01 1:33

What is a Monte Carlo simulation?

SPEAKER_00 1:35

What is a Monte Carlo simulation?

SPEAKER_01 1:37

Yay!

SPEAKER_00 1:38

Okay. All right, now we’re gonna stick with retirement planning strategies for 200. And uh, Steph, could you make sure you’re watching the buzzer to make sure that’s true? I got it this time. All right, all right. So for 200, a method used by a high-income taxpayer to contribute to a Roth Paul Scott, but let me finish reading the question for our listeners out there in podcast land. So a method used by high income taxpayer to contribute to a Roth IRA, even if their income exceeds the limits that the tax law prescribes for regular Roth ownership. What is backdoor Roth IRA, Alex? What is backdoor Roth? So that is gonna be two hundred points for what team are you, Scott? Okay. All right. Retirement planning strategies for 300. A rule of thumb that suggests retirees can safely withdraw this specific percentage of their savings without affecting the principal value of the account. What is the 4% rule? The 4% rule by What is the 4% rule? Okay. All right, and the final uh question for the retirement planning strategies for Fund 400. The amount of gross income we recommend setting aside for retirement if you are early in your working years and are not yet ready for detailed retirement planning.

SPEAKER_02 3:10

That was Scott.

unknown 3:11

Oh, oh, oh no!

SPEAKER_01 3:12

I didn’t see it!

SPEAKER_00 3:14

Oh, oops.

SPEAKER_01 3:17

Alright, if I’m honest, I was gonna guess 10%, and I know that’s wrong.

SPEAKER_02 3:21

Oh, thank you for being honest.

SPEAKER_00 3:23

Okay. Alright, team two. 500 points. There we go. They answer the right.

unknown 3:40

Honesty doesn’t pay.

SPEAKER_00 3:43

This is a podcast that we are sending out to people to listen to. So alright, so that was the whoops, I hit the spacebar too early. Okay, all right, so we’re gonna hit the escape. Alright, guys, thank you for playing. You go back to your seats. Ultra Beck was a little quick with the uh with the fingers there. So that happened. So um team two, y’all can um, you know, slip me a 20 or something like that after the game. All right, so next one is gonna be famous quotes. So contestants come on down.

SPEAKER_02 4:18

Jamie, before we jump into the famous quotes, when would you recommend investing in a Roth 401k versus a traditional?

SPEAKER_00 4:25

When would I uh recommend doing that? Well, it’s gonna come down to your own personal situation with you know your age, your income, how much uh you ex you know, how much longer you are going to be working. So I think you should really call your financial advisor at Summon Wealth Group to have that conversation about your personal detailed uh situation.

SPEAKER_02 4:43

That’s great advice.

SPEAKER_00 4:49

Any other uh questions you have? Okay, all right. All right, Shannon’s got her game face on. All right, we got some see we got some serious uh serious looks going on up here. All right, famous quotes for 100. Be fearful when others are greedy and greedy when others are fearful. Who is that? Ross. Ross.

SPEAKER_01 5:13

I think I got that one. Who is Buffett?

SPEAKER_00 5:15

Who is Buffett? Like Jimmy? Yeah, yeah. Okay, all right, all right, all right.

SPEAKER_01 5:21

Jimmy Buffett.

SPEAKER_00 5:22

Who is Warren Buffett? All right.

SPEAKER_02 5:24

Nice job.

SPEAKER_00 5:25

So team two for 100 points. Next question for 200 under famous quotes. A budget is telling your money where to go instead of wondering where it went.

SPEAKER_02 5:39

Who is Dave Ramsey?

SPEAKER_00 5:41

Do we have another question? Yeah. Okay. Yes, that is Dave Ramsey.

SPEAKER_02 5:47

I sat, Shannon!

SPEAKER_00 5:50

So, and Shannon, that you are what team?

SPEAKER_02 5:52

Three. Uh the best number point.

SPEAKER_00 5:54

Okay, team three. 400. All right. And famous quotes for 300. Don’t buy stuff you can’t afford.

SPEAKER_02 6:03

Oh, man, I don’t think it’s anything.

SPEAKER_00 6:05

And Shannon, I believe that was that was you.

SPEAKER_02 6:06

That was Shannon again. Who is Dave Ramsey?

SPEAKER_00 6:10

No.

SPEAKER_02 6:11

No, yeah.

SPEAKER_00 6:13

Don’t buy stuff you can’t afford. Ross. It was Ross. I’m sure you have said that. I think we have all said that many times in client meetings.

SPEAKER_01 6:34

Yeah.

SPEAKER_00 6:35

Well, you you are tech you are kind of right. Um team team three, you want to give any type of guess?

SPEAKER_02 6:42

Team one, team.

SPEAKER_00 6:42

Team one, team one, any type of guess. Do I get a life on it?

SPEAKER_01 6:46

No. I’ll sign it out for you.

SPEAKER_00 6:49

Who is Steve Martin, Chris Parnell, and Amy Polar? So we’re 400 famous quotes. We make a living by what we get, but we make a life by what we give. We make a living by what we get, but we make a life by what we give. Beep beep beep. Okay, alright, that is that is enough. That was Winston Churchill said that. So there we go. Alright, thank you for participating.

SPEAKER_02 7:37

Jamie, do you have any famous quotes that you use when working with clients?

SPEAKER_00 7:42

Do I have any famous quotes when I am talking with clients? I actually, you know, I don’t think so. I have the same stories that I tell over and over and over again that I’m sure my co-workers have heard. But uh, David, would you say I have any famous quotes I use?

SPEAKER_01 7:54

Uh well, there’s the one about uh when the tide goes out, you find out who’s wearing a swimming suit and who’s not.

SPEAKER_00 8:02

Alright, alright, that’s a good one. I’m gonna have to have to use that one.

SPEAKER_01 8:05

Okay, more about this also. Oh, okay.

SPEAKER_00 8:07

Actually, I do have uh I do have one from a uh fortune cookie that I got is enough is as good as a feast. So that’s a good quote that I like to use and apply to financial planning. Alright, so our next category is gonna be famous market crashes. All right, all right, we’re we ready, gentlemen? Ready, okay. Famous market crashes for 100. A severe worldwide economic depression between 1929 and 1939 that began after a major fall in stock prices in the United States.

SPEAKER_02 8:40

Nathan?

SPEAKER_01 8:40

The Great Depression. What is the Great Depression?

SPEAKER_00 8:44

Correct. What is the Great Depression? Next question for 200. Yes, I see a raised hand. Oh, you’re just blocking the light. Okay, all right. For 200, predatory lending targeting low income home buyers, excessive risk taking by global financial institutions, and the bursting of the United States housing bubble culminated in this perfect storm.

SPEAKER_01 9:09

Chris The real estate meltdown.

SPEAKER_00 9:19

It’s what what did you call it? Financial meltdown? No, that is not an acceptable answer. Nate.

SPEAKER_01 9:27

What is the great financial crisis in TFC?

SPEAKER_00 9:31

I mean, y’all are y’all are just naming the right thing. Not the technical term. Do we have anybody else want to technical term? Well, not a technical term, but a term that’s a crash in 2007 and 2008. That is correct as well. In that y’all are describing the same thing, but what is the term that it’s often used to describe that? Well, I got the answer, both. I think I heard the answer out there. The answer is the Great Recession. Great Recession. All right, okay. All right, so no points awarded there. All right, 300 for famous market crashes. In this devastating day for investors, the Dow Jones fell 508 points or 22.6%, the largest one-day decline ever in the history of the stock market. And who’s who’s up here?

SPEAKER_01 10:21

Black Monday.

unknown 10:23

Yay!

SPEAKER_00 10:23

And that is correct. What is Black Monday? All right. 400. A rapid rise in U.S. equity valuations was fueled by investments in internet-based companies during the bull market in the late 1990s. The crash that followed saw the NASDAQ fall 76.81%. And who is our Chris again? Chris Wells, all right. And what what is that? What do we call that?

SPEAKER_01 10:54

What is the tech bubble burst?

unknown 10:58

Yes.

SPEAKER_00 11:00

Yeah, yeah, yeah. Okay, all right. We’ll go with the dot-com bubble. So yes, that is what we’re gonna do.

SPEAKER_02 11:12

Jamie, has there been anything implemented to help prevent another market crash like on Black Monday?

SPEAKER_00 11:19

Has there been anything to create a uh something to keep Black Monday from happening? I don’t know, crowd, uh does anybody have any answers for that one? Yeah, anything. Circuit breakers, alright. So circuit breakers, uh I thought circuit city is uh out of stock, but circuit breakers are, I think, to tell it. Alright, somebody started way too hard for the Series 7 years ago, apparently. Alright, now we’re gonna do personal finance for 100. So, question number one Working for this institution could cause all your student loan debt to be forgiven after just 10 years of employment.

SPEAKER_02 12:04

Oliver.

SPEAKER_00 12:04

Uh, what is the United States military? Yeah, yeah, it will give you that. Okay. That is that is what is the government? And what team are are we here? Team one. All right, so $100 for team one. All right, next question for $200. Popularized by radio personality Dave Ramsey. This pay down strategy starts by paying off the debt with the lowest balance and working your way up from there. I was it was that Gary. What is the debt snowball? That is the debt snowball. Very good. Thanks, sir. Team three. Okay. Now, personal finance for 300. This budgeting method doesn’t involve detailed budgeting categories. Instead, you follow a rule of thumb by allocating a predetermined percentage of your income into three different categories needs, wants, and savings. 3, 2, 1. Okay, nobody was able to answer that. That is called the 50-30-20 rule. 50 20. I I’m not very familiar with this rule, Stephanie.

SPEAKER_02 13:12

You have some uh Yeah, this is actually what I do um for my funds, but I do I switch it and I have 50% for my needs, 30% for my savings, and 20% for my fun bucket.

SPEAKER_00 13:25

All right. And if you want to have some extra fun, you can make that a little bigger. If you had too much fun, make it a little smaller. There you go. All right, flexible. So, personal finance for $400. We’ve got a cash reserve that’s specifically set aside for unplanned expenses or financial emergencies. Some common examples include car repairs, home repairs, medical bills, or a loss of income. What is an emergency fund? And I believe that is correct. Yes, sir. What is an emergency fund? Next three, come on down.

SPEAKER_02 13:56

This is the final round.

SPEAKER_00 14:03

Investment strategies. Oh, we got we got some of the ringers. We have the head of our investment committee, uh, David Lee. We have our CFO, Dan Cook, and we have new guy for a couple weeks, Michael Shelton. So, investment strategies for 100. The practice of spreading your investments around so that your exposure to any one type of asset is limited. This practice is designed to help reduce the volatility of your portfolio over time.

SPEAKER_02 14:37

And that was David.

SPEAKER_00 14:39

What is diversification? That is correct. Team one for 100 points. For 200 investment strategies, the timely selling of securities at a loss in order to offset the amount of capital gains taxed due on the sale of other securities at a profit.

SPEAKER_02 14:59

Magal.

SPEAKER_00 14:59

This strategy is most often used to limit the amount of taxes due on the short-term capital gains, which are generally taxed. I’m falling asleep reading this question, which are generally taxed at a higher rate than long-term capital gains. And who is that?

SPEAKER_02 15:13

Michael. What is tax lost harvesting like?

SPEAKER_00 15:15

Tax lost harvesting, that is correct. I want you to know that I just gave Michael less not choosing. All right, way to go. All right. Investment strategies for 300. The process of periodically buying and selling positions in your portfolio to get back to your targeted asset allocation. Who is that?

SPEAKER_01 15:41

David.

SPEAKER_00 15:41

David Lee.

SPEAKER_01 15:42

What is rebalancing?

SPEAKER_00 15:44

Yes, that is rebalancing. 15-3 for another one. Do I did I did anything add? Do I need to subtract that? All right, so we have is this the last one or do we have the final Jeopardy? All right. All right. We got a we got a fired up crowd here. This is this is for all this is for all the marbles, so investment strategies for 400. Considered a passive investment strategy in which an investor owns the same stocks for a long period, regardless of fluctuations in the market. This strategy actively selects investments but generally has no concern for short-term price movements.

SPEAKER_02 16:33

Dan Cook.

SPEAKER_01 16:34

What is buy and hold?

SPEAKER_00 16:37

What is buy and hold strategy? Congratulations to team two. Alright, Stephanie, I think this is a pretty rousing game of Jeopardy for the crowd. Next up, we’re gonna have to do this again next time. We forgot to do the uh you know getting to know the contestants. We’re a little time constrained, but um we’ll have to do that next time, and I’ll have to do some research so I can bust on everybody as we are getting to getting to know the contestants.

SPEAKER_02 17:06

I love it. I can’t wait for the next game.

SPEAKER_00 17:08

All right, well, thanks for listening to everybody.

SPEAKER_02 17:10

Thank you.