What Dentists Want to Know — Listener Q&A #8 – Episode 155

Individual stocks, do they have a place inside your investment portfolio? What’s on the mind of the Dentist Money™ Show listeners? You’re about to find out! With tax season around the corner, discover how to best utilize pre-tax savings accounts like 401(k)’s and IRAs vs after-tax options like Roth IRAs. Listen as Reese and Ryan talk about individual stocks and where they might fit in your overall approach to investing—and what growth strategy will actually have the biggest effect on your net worth. It might surprise you.

Podcast Transcripts:

Ryan Isaac: Hey Dentist Money Show listeners, it’s Ryan Isaac. It’s time for another listener Q&A. It’s been a couple of months since we’ve had one, so we’ve got some good questions for this show. With tax season upon us, Reese and I spent some time talking about pre-tax versus after tax options, like 401Ks and Roth IRA plans, and how to best utilize them when it comes to tax savings. You’ll also get our take on some things you should think about before deciding to specialize. I think you’ll like this, we have a discussion on whether or not a dentist can pick dental stocks better than a non-dentist. You’re an expert on dentistry after all, but does that knowledge really help as an individual stock picker?

Ryan Isaac: As always, visit dentistadvisors.com. You’ll find a library of videos, podcasts, and articles. You can book a free consultation if you want to have a discussion with one of our dental-specific advisors. Just check out the calendar at dentistadvisors.com, click on the button that says book free consultation. We’ll help you make better financial decisions and take control of your financial future. Or, as always, you can call or text us at 833-DDS-PLAN. Also, be sure to check out the Dentist Advisors Facebook group. You can join it by going to dentistadvisors.com/group. We’re having some great discussions over there, and you can even post your own questions for an upcoming Q&A episode. Thanks again for listening, and enjoy the show.

Speaker: Consult an advisor or conduct your own due diligence when making financial decisions. General principles discussed during this program do not constitute personal advice. This program is furnished by Dentist Advisors, a registered investment advisor.

Speaker: This is Dentist Money. Now, here’s your host, Reese Harper.

Reese Harper: Welcome to the Dentist Money Show where we help dentists make smart financial decisions. I’m your host, Reese Harper, here with my trustee old co-host, Sir Ryan Isaac.

Ryan Isaac: Thank you for welcoming me to the show as trustee. I had to earn that trustee title. I was thinking about that. I’m like, “What made me the trustee old co-host?”

Reese Harper: ‘Cause you travel in the south now.

Ryan Isaac: Should we give a little shout out? Great weekend in Death Valley, Tiger Stadium.

Reese Harper: We learned a lot-

Ryan Isaac: A lot of life lessons.

Reese Harper: … from a dear client. Shout out to Dr. Patrick Stuckey, who’s deep in the Bayou.

Ryan Isaac: We were in the Bayou. We had real gumbo.

Reese Harper: Made in a parking lot, which I loved.

Ryan Isaac: In the shadow of Tiger Stadium. By a very nice man with a thick Cajun accent.

Reese Harper: It was Mike and he’s running for-

Ryan Isaac: Shout out to Mike he’s running for City Council down in-

Reese Harper: He’ll win.

Ryan Isaac: … He’ll totally win. Mike’s going to kill it. I hope people vote against-

Reese Harper: We enjoyed it. It was a great gumbo. I just like never had really had gumbo at Tiger Stadium before.

Ryan Isaac: Never had gumbo at Tiger Stadium?

Reese Harper: That was a bucket list item.

Ryan Isaac: It actually affected my hearing, like the first kick off and like the team running out of the tunnel. Like, my hearing was actually dulled and I had a ringing-

Reese Harper: It was louder than a Metallica concert.

Ryan Isaac: It was, they had the little thing up, it was 110 decibels. I don’t know if that’s loud, but probably.

Reese Harper: Consistently.

Ryan Isaac: Yeah.

Reese Harper: In an outdoor stadium. So cool though. It was so cool.

Ryan Isaac: From the field level.

Reese Harper: Okay now, that’s possible to do in an enclosed stadium with reverberating-

Ryan Isaac: Yeah.

Reese Harper: … like ceiling panels

Ryan Isaac: Yeah, it was like open to the sky.

Reese Harper: It was an outdoor open sky stadium to get the ground level that loud, it’s insane.

Ryan Isaac: It was crazy, and there was probably a couple square miles of just like wall to wall people. Now, I’ve seen some tailgating before, but there were probably hundreds of professionally set up DJ stations at just tents.

Reese Harper: Everywhere.

Ryan Isaac: I mean like massive sound systems.

Reese Harper: Yeah.

Ryan Isaac: Just pumping. It was so cool.

Reese Harper: I’d never seen that level of intensity in tailgating before. I doubt, like there’s going to be some other SEC schools that I’m sure-

Ryan Isaac: For sure.

Reese Harper: … will try to rival it.

Ryan Isaac: Yeah.

Reese Harper: But, I would put that, it’s got to be, if not the busiest, like, that was the game too. It was LSU, Alabama.

Ryan Isaac: Number one, Number three. It was seventy degrees, fall day, Saturday nighttime 7 P.M. game time. ESPN was there. It was crazy.

Reese Harper: Now, everything leading up to the game was amazing. The game if you watched it-

Ryan Isaac: Oh, halftime kind of crumbled.

Reese Harper: … it kind of started getting, Alabama’s really good this year. Anyway. Glad we got that out of the way. Shout out to Riverfront Casinos on the Mississippi.

Ryan Isaac: We toured.

Reese Harper: You guys didn’t want to spend a lot of time there. I really enjoyed that place.

Ryan Isaac: Reese loved it. Reese took a lot of great pictures.

Reese Harper: Apparently, it’s legal to have a casino if you get off into the river.

Ryan Isaac: Yeah. And, then I thought it was funny how there was like a four man life boat on the outside of the casino. It was like rusted and bolted in place. And that was it.

Reese Harper: Yeah.

Ryan Isaac: So, if the casino goes down, just so everyone knows, there is a four man lifeboat, just be the first out there.

Reese Harper: Luckily, you’re like ten feet from the dock, so you can swim that.

Ryan Isaac: You don’t want to swim right there though. That’s the problem.

Reese Harper: Yeah.

Ryan Isaac: All right. Today, this has nothing to do with today, but that was really fun. That was a great weekend. I guess the invitation-

Reese Harper: Well it actually has a lot to do with today.

Ryan Isaac: Okay. You let us know.

Reese Harper: Because, when you spend time with friends in the Bayou-

Ryan Isaac: Yeah.

Reese Harper: … they have questions.

Ryan Isaac: Yes.

Reese Harper: Lots of questions.

Ryan Isaac: Lots of questions. We came away with a lot of questions.

Reese Harper: We had a lot of questions. The Bayou is an inquisitive place with questions.

Ryan Isaac: What is it like inside of the USS Kid? I still don’t know.

Reese Harper: Yeah.

Ryan Isaac: It was closed.

Reese Harper: We were able to observe it from a distance.

Ryan Isaac: Yeah.

Reese Harper: Which I thought it was a special place. On the 4th of July, they do set off the traditional cannon fare.

Ryan Isaac: Yeah, they shoot cannons. No, they do the, it’s like cannon blanks as planes fly over. It’s like a fake air show.

Reese Harper: Yeah. They fake shoot them down.

Ryan Isaac: Yeah.

Reese Harper: So, anyway, we developed a lot of questions-

Ryan Isaac: Yeah we did.

Reese Harper: … on our trip about life. I mean who are we? Where did we come from?

Ryan Isaac: Do you wear gold or purple?

Reese Harper: Yeah.

Ryan Isaac: You know.

Reese Harper: And, today’s show is about-

Ryan Isaac: It’s listener Q&A.

Reese Harper: The questions from the listeners. Some are from the Bayou and some are from the East. Some are from the West and some, are from the mountains.

Ryan Isaac: Some are from other countries.

Reese Harper: Some are from the desert.

Ryan Isaac: Yeah.

Reese Harper: And we’re going to start with one of our favorites from this week.

Ryan Isaac: Okay, well first of all, the invitation is, some of these questions are being pulled from our Facebook group. So, we would strongly encourage you to go to dentistadvisors.com/group. That will take you right to the Facebook page and join it, and post a question, and we will interact there and sometimes we will pull the questions for the show. So-

Reese Harper: I’ve got a couple that I’ll randomly throw in too-

Ryan Isaac: Okay.

Reese Harper: … that came in last night hot, hot. So, let’s get through them-

Ryan Isaac: Okay.

Reese Harper: … and get as many of these answered as we can.

Ryan Isaac: First one is kind of similar, it’s a military dentist, and we’ve answered a military question before, but I’m going to take this to a slightly different… It’s part of his question, but we’re going to make it a little bit more general. So, he’s in the military and he’s saying, “I don’t have student loans and a lot of people in my situation don’t have student loans either.” And he’s saying, “How do I know,”… Here’s the big question I want to answer on this part of it. “How do I know whether or not to put money in my retirement plan as the pre-tax deductible or Roth”, “’cause I can make either contributions to the military or the TSP”, the plan that they have access to. “So, how do I know if I should do pre-tax or Roth and then, once these are maxed out, where does extra money go, in order to keep it liquid?”

Ryan Isaac: And, he didn’t elaborate. I don’t know if he wants to go buy a practice when he’s done. If that’s close. If he needs to move somewhere and buy a home and he needs a down payment. If he has an emergency fund. I don’t know some of these things, but I guess that’s the general question for today on this one is, how does someone know whether or not to do Roth or pre-tax in their retirement plan and once they’ve maxed it out, what do they do with what’s leftover, if there’s still money.

Reese Harper: Let’s let you take a stab at this and I’ll jump in and add any thoughts I’ve got.

Ryan Isaac: Yeah, so, I think one of the first obvious things is, it just kind of depends on your tax rate at that point in time and your career.

Reese Harper: So let’s give him a specific. It depends on your tax rate. I would say if you are in 2018, the bracket levels are slightly different-

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: … but I think it’s at $312,000.00, if I’m not mistaken. I’m not looking at these right now-

Ryan Isaac: Yeah.

Reese Harper: … so don’t quote me perfectly on the exact numbers.

Ryan Isaac: No quoting on this, geez.

Reese Harper: The big jump is from like 160 up to 312.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: That’s when you go from, in the mid-twenties, I guess 24.

Ryan Isaac: Okay.

Reese Harper: Up to, thirty, I want to say two.

Ryan Isaac: We have the internet literally in the palm of our hands-

Reese Harper: Yeah.

Ryan Isaac: … we could look this up, but let’s not.

Reese Harper: And so, there’s a big jump right there.

Ryan Isaac: Yeah.

Reese Harper: You start like, if you have income that’s starting to, if you have amounts of money that’s in that 32 or above, especially if its 35, 37, 39,600 the highest possible bracket levels, that you can be in. But, anything above 30, it starts to me personally, this is federal only, you still have state taxes on top of that, gets really hard to justify going with the Roth contribution.

Ryan Isaac: Yeah.

Reese Harper: But, if your income level’s in the mid hundreds, you know maybe high-

Ryan Isaac: Which I’ve seen that in military, haven’t you?

Reese Harper: Yes. Yes.

Ryan Isaac: Or, like when someone’s coming in working for Government-

Reese Harper: Yeah. I would say you’re probably fine, especially if you have a lot of kids, which I don’t if this listener did.

Ryan Isaac: Didn’t say.

Reese Harper: So, if you have a lot of deductions, let’s say you do some charitable contributions, and you’ve got a home mortgage, and you have kids, and your income’s in that 140-180 range, I would probably go with the Roth option.

Ryan Isaac: Okay.

Reese Harper: That would probably be my choice.

Ryan Isaac: So some 200 income, you’re saying maybe that’s where it starts to be interesting to you.

Reese Harper: Yes.

Ryan Isaac: Mid-100’s.

Reese Harper: Mid-100’s.

Ryan Isaac: Okay, that’s a good number to put it at. Okay.

Reese Harper: If you’re in the 30% range, tax bracket wise, with your marginal rate, that’s when for me, I would think pre-taxable.

Ryan Isaac: Yeah. And, I guess the other way to think about this to is, maybe consider the income that many years down the road you’re going to be paying tax on in retirement. One day when you’re retired, you will only pay taxes on the money that you’re forced to withdraw from retirement accounts either through minimum required withdrawals, or just the money you got to take out to spend. And so, you might be able to kind of mentally say, you know I’m in a point in my career where I’m paying tax on more money, on more income, then I’ll probably withdraw in the future to live on.

Reese Harper: Yeah.

Ryan Isaac: And so, you could maybe start thinking about like well my tax rate’s probably going to be higher today just because I have a higher income I’m paying tax on, then I would in the future.

Reese Harper: Yeah.

Ryan Isaac: So, anyway. A little relative.

Reese Harper: My memory is not as bad as I thought.

Ryan Isaac: You looked it up?

Reese Harper: So, that 24% bracket level goes to about 160.

Ryan Isaac: Okay.

Reese Harper: Okay. Like I said.

Ryan Isaac: That’s the top end.

Reese Harper: And then, at the 32%, it begins at that point, right?

Ryan Isaac: Okay.

Reese Harper: If you’re married filing jointly, so that’s singly.

Ryan Isaac: That’s singly.

Reese Harper: If you’re married filing jointly, then is what I was referring to as when you go to that 32

Ryan Isaac: Okay.

Reese Harper: That’s when you’re at that 315 number.

Ryan Isaac: Yeah. Okay.

Reese Harper: So, if you’re single, then you’re in the 32% bracket right at that 160 mark. If you’re filing jointly, then at about that same 160 mark, you go to 32, or you’re at 24 between that 160 mark-

Ryan Isaac: Oh, okay.

Reese Harper: … and 315. So, you go to 32 at that-

Ryan Isaac: Very different story if you’re single, because you’re pushed up in the bracket faster and it’s probably likely you have fewer deductions than a married person-

Reese Harper: Yes.

Ryan Isaac: … would.

Reese Harper: So, I would stick with it when I hit that same number we gave you at 315 and above, it’s kind of a no-brainer to start going pre-tax. If you’re married filing jointly, then between that 165 and 315-

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: … it’s not cut and dry yet. It ain’t cut and dry. If you got income above 315 for sure, and then, in between that 160 – 315, it’s a discussion.

Ryan Isaac: You know what was cut and dry?

Reese Harper: What?

Ryan Isaac: When the band came down that road in front of Tiger Stadium and everyone’s lined up outside

Reese Harper: Yeah.

Ryan Isaac: … and the band comes through and stopped in front of the crowd.

Reese Harper: That was an impressive bass.

Ryan Isaac: Anyway, that was serious-

Reese Harper: That was, huge shout out to the LSU marching band.

Ryan Isaac: They probably don’t get as much love considering-

Reese Harper: The halftime show, they were in the shape of a veteran saluting themselves.

Ryan Isaac: And, then the flag and then the-

Reese Harper: And the flag.

Ryan Isaac: Yeah. It was amazing.

Reese Harper: It was like, I think there’s hundreds-

Ryan Isaac: Yeah.

Reese Harper: … it filled up the whole field.

Ryan Isaac: It was cool. And then, like yeah, the flag was like raising on the pole and whose like, it’s their version of, they call them Golden Girls and they ran out the flag like going up the pole.

Reese Harper: Yes. Crazy.

Ryan Isaac: They were running the flag up.

Reese Harper: But look, this was kind of like getting into the PhD program.

Ryan Isaac: Yeah. This is the MIT of marching bands.

Reese Harper: This was legit.

Ryan Isaac: On the second part of this question then, is there’s two things to this, once they’re maxing out, where should we put extra money in order to have liquidity? So, liquidity’s a question. But, then there’s another question but, also get interest rates that are higher than those in regular savings accounts. So you have liquidity and then rates of return-

Reese Harper: I got this.

Ryan Isaac: … and then liquidated accounts.

Reese Harper: I love it.

Ryan Isaac: What do you think about this liquidity thing.

Reese Harper: We did an episode, I think it was fifty-

Ryan Isaac: Six.

Reese Harper: … fifty six. It was entitled “What You Need to Know About Bonds, Your Bonds.” I added that last part. That was my idea.

Ryan Isaac: Everyone’s laughing their heads off right now. It was hilarious.

Reese Harper: Old dad joke. Okay so, this podcast episode will really help you understand what is important about an emergency fund.

Ryan Isaac: Okay.

Reese Harper: Or, a short term investment goal. Okay, if you look at different… When you go to invest, see basically people have this idea that, at least in the dental community this has been my experience. In the dental community people assume that most investments are kind of either risky, or in the bank, right?

Ryan Isaac: Meaning like cash and checking accounts.

Reese Harper: You have cash and checking, or you’ve got like the stock market.

Ryan Isaac: It could drop 50% tomorrow.

Reese Harper: Yeah. And really, there’s very, very, very different levels-

Ryan Isaac: You can blend those.

Reese Harper: Yeah. You can pick a turtle, right? You could have a more of a muskrat, kind of a runner. You could have-

Ryan Isaac: I’ve never [crosstalk]

Reese Harper: … you could have a squirrel-

Ryan Isaac: I did see a bayou squirrel.

Reese Harper: …. investment.

Ryan Isaac: Yeah a bayou squirrel.

Reese Harper: A coon, okay?

Ryan Isaac: Okay.

Reese Harper: There’s a lot of different animals that you could invest in-

Ryan Isaac: A bayou swan.

Reese Harper: … if you think about them.

Ryan Isaac: They’re very fast.

Reese Harper: That go at different speeds-

Ryan Isaac: Okay.

Reese Harper: …and different levels of attractiveness.

Ryan Isaac: Yeah. Everyone’s with us.

Reese Harper: All right.

Ryan Isaac: With this analogy.

Reese Harper: So, if you think about it, just think about that a bond can be something that pays you 1%-

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: … and there’s a mutual fund that you can buy that’s just kind of this arrangement of bonds that’s very stable, kind of like a turtle, and it pays you 1% and it doesn’t go very fast.

Ryan Isaac: Okay.

Reese Harper: But, it will keep walking all the time.

Ryan Isaac: Hey, turtles live for like 300 years though-

Reese Harper: Yeah.

Ryan Isaac: … too, so-

Reese Harper: I mean it’s better than, maybe it’s 1 1/2%.

Ryan Isaac: They last.

Reese Harper: Then you’ve got your standard sea turtle, that’s coming in from the ocean a little bit bigger, walks a little faster, actually can hunt, basics. You know you’re looking at a 2% kind of a 2 1/2% turtle. What I’m saying is if you just follow me through this analogy, that there’s different kinds of bonds that you can buy, you can arrange them into a mix, you can get a different rate of return, and you don’t have to feel like you’re jumping on the back of a gazelle or a cheetah-

Ryan Isaac: Yeah. You don’t have to get on that cheetah, yeah.

Reese Harper: … you know? It’s not like a lion.

Ryan Isaac: Yeah.

Reese Harper: A mountain lion.

Ryan Isaac: Hold up. Hold up. Yeah.

Reese Harper: So, it’s not a lynx.

Ryan Isaac: Okay.

Reese Harper: Okay?

Ryan Isaac: Yeah.

Reese Harper: These are fierce creatures of the wild.

Ryan Isaac: I’m still kind of on this image of a hunting sea turtle.

Reese Harper: Have you seen that?

Ryan Isaac: They seem predatory. They seem scary.

Reese Harper: I had never been to Hawaii’s island of Oahu. I’ve been to the big island. I just went to Oahu for the first time.

Ryan Isaac: Yeah.

Reese Harper: … and, I went on a sea turtle voyage-

Ryan Isaac: Well you don’t mess with them. Yeah. You don’t mess with them.

Reese Harper: We went scouting for sea turtles. They hunt.

Ryan Isaac: They hunt?

Reese Harper: Yeah.

Ryan Isaac: Okay.

Reese Harper: I mean, they hunting fish, I don’t know. But, they’re eating along the coral reef.

Ryan Isaac: Okay. Anyway.

Reese Harper: But, my point is, mix your investments into a portfolio that allows you to match what’s called duration-

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: … with your goal. So, if you know you need the money within two years, what you want to do is make sure you only invest in a bond mutual fund or an ETF mutual fund that has the duration that is close to what you are going to need.

Ryan Isaac: Your time frame.

Reese Harper: So, maybe a two year average duration. What that means is, all of the bonds in the mutual fund actually come due within two years. Or, the average of when they will come due among all of the bonds-

Ryan Isaac: Which is very safe and conservative, therefore, the return is a lot lower.

Reese Harper: … a lot lower. Now, bonds are not all the same.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: Right? So-

Ryan Isaac: There’s some risky bonds out there.

Reese Harper: There’s some crazy turtles.

Ryan Isaac: Crazy bond turtles.

Reese Harper: So, if you look some of them will have an average duration of seven years, right? Or, six years.

Ryan Isaac: Yeah.

Reese Harper: Or, eight years. If you invest in that kind of a bond, you’re going to have some volatility. Meaning, if interest rates go up, you might see your bond go down quite a bit.

Ryan Isaac: Yeah.

Reese Harper: Because you’re owning a bond portfolio that has bonds that are expiring a long time out in the future. So, that’s what you’ll see. You’ll look at the 30 year treasury bond. Like you can buy a mutual bond today that’s a 30 year U.S. Treasury Bond-

Ryan Isaac: Yeah.

Reese Harper: … and when interest rates rise-

Ryan Isaac: Very sensitive interest rates.

Reese Harper: … yeah. That bond price what you paid, you might have paid, let’s call it $10.00 a share in your fund, it might drop to $9.00 a share. You might take a 10% hit because-

Ryan Isaac: Yeah.

Reese Harper: … it’s bonds that are not going to mature for 30 years.

Ryan Isaac: Yeah.

Reese Harper: And so, you just want to identify your goal and your time frame for that goal and then match the bond ETF or mutual fund, with that goal, so that you’re taking the appropriate amount of risk and that you get your money out and you’re not going to be-

Ryan Isaac: Cool.

Reese Harper: … taking too much risk on it.

Ryan Isaac: Two thoughts. First thought is that I think we might need a little cage in here with a small turtle and we name him James Bond.

Reese Harper: Yes.

Ryan Isaac: And he’s like our mascot and he’s our little bond turtle mascot in the Dentist Money Show-

Reese Harper: Love it.

Ryan Isaac: … he can live right here behind us. It would be really cool.

Reese Harper: Yes.

Ryan Isaac: Second thought is, okay so this person is, they just have to determine is this three month family emergency money? Is this the two year house down payment money?

Reese Harper: Mm-hmm (affirmative)

Ryan Isaac: Is this the practice liquidity loan money that’s three years from now? They just have to kind of figure out what it’s for and then match it up appropriately. There might be situations where just cash is more appropriate.

Reese Harper: Yes.

Ryan Isaac: Would you say that’s like, I need this money in twelve months.

Reese Harper: Yeah, I don’t know like less than twelve month money, like at twelve months-

Ryan Isaac: Nothings going to grow for sure at six months.

Reese Harper: Yeah. Twelve month money, I’d probably be okay with like… Vanguard has a really short duration treasury bond ETF.

Ryan Isaac: A CD? Would you go like a twelve month CD?

Reese Harper: You could do that. But, you can invest in an ETF that would give you a little better yield than a CD.

Ryan Isaac: Okay.

Reese Harper: In some cases. But, some of these local credit unions-

Ryan Isaac: Yeah.

Reese Harper: … will have your twelve month CD deal. I mean usually what we’re talking about here is, we’re talking about three year money. Two and a half year money. Here’s my broader or overarching point.

Ryan Isaac: Okay.

Reese Harper: My guess is that this listener doesn’t actually have a specific time frame for that goal. Because, in my life experience I have not been able to precisely tell you-

Ryan Isaac: No, never.

Reese Harper: … or tell you my time frame-

Ryan Isaac: Nope.

Reese Harper: … It’s like well I think it could be as fast as x or as long as y.

Ryan Isaac: Well it’s kind of like the early days of working together I’d say, “Are we going to lunch today?” “Yeah, give me ten minutes.” And it’s noon and then at 5:00 we didn’t eat lunch-

Reese Harper: And I’m like what.

Ryan Isaac: … And then you’d say well it’s too late now so no one’s eating.

Reese Harper: Yeah. We just don’t need to eat now.

Ryan Isaac: Yeah. You don’t need your time frame.

Reese Harper: Geez.

Ryan Isaac: It’s hard to pin down.

Reese Harper: That’s before you sued me for HR violations.

Ryan Isaac: Yeah.

Reese Harper: And you wanted your breaks.

Ryan Isaac: I wanted my breaks and I wanted my lunches.

Reese Harper: Like what happened to my 15 minute breaks?

Ryan Isaac: Geez.

Reese Harper: I’m like I don’t know.

Ryan Isaac: Yeah.

Reese Harper: What even that means. Research it and tell me like what policy we should have.

Ryan Isaac: Okay, question two and thanks. I don’t think that listener was expecting a full turtle analogy and he got a discussion-

Ryan Isaac: You got a lot of value out of that question-

Reese Harper: Yep.

Ryan Isaac: … buddy. Thank you-

Reese Harper: A lot of mileage.

Ryan Isaac: … thanks for sending that in. Here’s another one that came in. I think this is a really interesting question. We’ve never hit this before and well, here’s the question. This guy said, “I’m looking to specialize”… In particular was pediatrics so, “I’m looking to specialize in pediatrics,-

Reese Harper: Mm-hmm (affirmative)

Ryan Isaac: … but I’m realizing that it will also place me two years behind in growing my net work.” “Is there an optimal strategy for building net worth quickly as a dental specialist or should I not worry about this?” In your experience and from your clients do you find that it’s easy for dental specialists to catch up in net worth compared to a general practitioner. Meaning if I take longer to get out as a specialist, will I make more money and catch up to those that were GP’s and got out earlier and got started earlier.

Ryan Isaac: So this is kind of, the big question is, how do I know when to specialize? Do I base it on net worth and income? Is there something else I should base this on?

Reese Harper: Yeah.

Ryan Isaac: A big massive career decision.

Reese Harper: Huge. My opinion would be most people have the idea of higher education wrong. So,-

Ryan Isaac: This is getting deep. I like this.

Reese Harper: … higher education-

Ryan Isaac: Okay.

Reese Harper: … typically means that the higher education you get, the better off the trade-offs going to be.

Ryan Isaac: Okay.

Reese Harper: Okay? That’s generally the case. If I go get a master’s degree, the incremental additional cost in that will typically be offset my income.

Ryan Isaac: Yeah.

Reese Harper: Despite what Dave Ramsey tells you.

Ryan Isaac: Right.

Reese Harper: All right.

Ryan Isaac: Okay.

Reese Harper: You will not be broke if you go to dental school and you get student loans.

Ryan Isaac: Yeah.

Reese Harper: Don’t worry about this.

Ryan Isaac: It’s fine. Keep going to dental school.

Reese Harper: But, my opinion would be some of us don’t want to specialize, because we really want to do general dentistry.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: We enjoy the variety of general dentistry. We enjoy the opportunity of general dentistry. Like, general dentistry has a bigger, entrepreneurial opportunity typically, because of your ability to scale multiple locations, scale hygiene-

Ryan Isaac: And clinically too, it’s a very broad-

Reese Harper: Yes. It’s a very different type of career.

Ryan Isaac: Yeah.

Reese Harper: And it’s less expensive. That being said, if you’ve got the intellectual capability. If you’ve got the willpower. If you’ve got the time. If you’ve got the interest and most importantly, like if you want to specialize-

Ryan Isaac: I was going to say, that’s probably the biggest thing.

Reese Harper: … if you want to do that job, in almost all cases that I’ve seen, almost all cases, it pays off. Now, where you choose to practice as a pediatric dentist specifically-

Ryan Isaac: Yeah.

Reese Harper: … is pretty critical.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: Because, and you should be flexible if you’re going to go into Peds, be flexible with where you-

Ryan Isaac: Well, especially if it’s-

Reese Harper: … want to live.

Ryan Isaac: … if it’s maybe somewhat motivated by a higher income.

Reese Harper: Yeah, if you’re not motivated by higher income. You just want to go into pediatrics then,-

Ryan Isaac: Do you like the nature of the work?

Reese Harper: Then I would say-

Ryan Isaac: You’re going to have a different staff. You’re going to have a different business model. You’re going to have a different days.

Reese Harper: And you’ll make more on average than you would as a general dentist, but you’ll also pick up some more costs and delay your net worth growth a little bit, and you won’t have… I mean you can be extra creative and you can scale pediatrics. You can. But, if you want to be a single location operator, kind of lifestyle practice, then I’d say it’s definitely worth it, I would just be cautious about the location that I picked because there’s some really great opportunities in pediatrics, but most of those opportunities are not in the, it’s not in every market that you’ll have those.

Ryan Isaac: Yeah.

Reese Harper: And I’m not going to say it’s only rural, ’cause that’s not the case-

Ryan Isaac: Yeah. That’s not true.

Reese Harper: … there’s plenty of examples of dense metro success with pediatrics, but, I think most people when they go into school, like my experience is when you combine real life, like knowledge and intuition, with great education, those two combinations like are hyper successful.

Ryan Isaac: Yeah.

Reese Harper: And, so I just would, I mean I always encourage anyone to pursue as much education as they possibly can, unless you don’t want to do that.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: You know? I mean I don’t have a PhD for a reason. Like, that isn’t something that’s motivating to me to go to that level-

Ryan Isaac: Sure

Reese Harper: … and finance. Right?

Ryan Isaac: Yeah.

Reese Harper: I’m a more practical learner than that, and I really just enjoy real life experiences.

Ryan Isaac: Yeah.

Reese Harper: I didn’t have the temperament to want to go that far.

Ryan Isaac: Okay. I like that. We can end with that question. Another question here. Ah, this one’s really cool discussion. It’s actually going on right now in our Facebook group. I’d love more people to jump into this, because the context here will be really helpful coming from more dentists. But, here is the question. This just got posted this week. It’s about a dentist being able to pick dental stocks.

Reese Harper: Okay.

Ryan Isaac: Okay?

Reese Harper: Cool.

Ryan Isaac: I’ll kind of just read the post here, but we’ll clarify the question a little bit. He says, “I realize most people are not comfortable investing in individual stocks which for most people is a wise choice, but as I see it you have one niche where you have a major information advantage.” “That is of course, dental related companies.” He’s asking kind of the group as a broader group. All the dentists. “Have you ever invested in any dental related stocks and why?” And he gave some examples of some companies that have had some good, long term performance.

Reese Harper: Yeah.

Ryan Isaac: And, some fluctuations and then, he says, basically he’s asking like for the dentists have you invested in dental stocks. And, I responded to the question. I said, you know, I’m not going to give my opinion specifically here, but here’s what I wondered out of this was, does a dentists, because of their expertise and education and experience, have the ability to pick dental stocks better than a non-dentist could? Or, could you, Reese, pick financial stocks better than someone who doesn’t work in the financial industry?

Reese Harper: Mm-hmm (affirmative)

Ryan Isaac: Does that work experience translate into better stock picking into a public stock market?

Reese Harper: Well you and I might agree or disagree on this.

Ryan Isaac: Let’s fight.

Reese Harper: Because I think it’s okay.

Ryan Isaac: It’s like mortal combat, fight.

Reese Harper: Yeah. I want to be the guy that’s the-

Ryan Isaac: You know in the beginning when they stand there and they’re wobbling like this first?

Reese Harper: Yeah. That’s your natural motion.

Ryan Isaac: It’s kind of like this circular rocking back and forth.

Reese Harper: That’s a shout out to the-

Ryan Isaac: Connor McGregor always does it.

Reese Harper: … He’s doing that.

Ryan Isaac: All the time.

Reese Harper: So, my opinion is that there are informational advantages, the smaller a company gets.

Ryan Isaac: Did you read this post by the way? ‘Cause he had some follow up things that I’ll bring in here. Let’s see what you have to say first.

Reese Harper: I haven’t read it. I didn’t see this, but it’s a cool question.

Ryan Isaac: Okay.

Reese Harper: I would say in my experience the smaller the company is, even in a public market right, the small companies in a public market-

Ryan Isaac: Like micro-cap stuff. Really small.

Reese Harper: … yeah like, especially that penny stock range-

Ryan Isaac: Yeah.

Reese Harper: … like, no one really knows about these companies because they don’t even have like, a lot of them aren’t even doing conference calls-

Ryan Isaac: Analysts aren’t covering them.

Reese Harper: Yeah.

Ryan Isaac: They don’t have any exposure.

Reese Harper: They have to like just have public information, but a lot of times their accounting is just not as sophisticated-

Ryan Isaac: Yeah.

Reese Harper: … and their public disclosures aren’t quite as good and they don’t give a lot of interpretation to their data.

Ryan Isaac: Yeah.

Reese Harper: So, I would say the smaller the company, and the closer it is to your actual experience. Like, if you actually… like there’s a difference between, like Ryan’s a financial advisor.

Ryan Isaac: Among other things.

Reese Harper: He has a deep experience in analyzing behavioral patterns of individuals. Technical tacks and investment details, insurance details. Like, net worth related issues. But, If you said is he an expert in analyzing financial firms, that would be a totally different-

Ryan Isaac: Skill set. Believe me.

Reese Harper: … skill set, because like you know, a financial analyst who understands financial firms, what they’re doing is they’re looking at operating income. They are looking at balance sheet issues of like Raymond James. They’re looking at Northwestern Mutual. Never mind, that’s not a public company. They’re looking at like Schwab. They’re looking at E-Trade. They’re looking at Edward Jones and you know, Raymond James and they’re trying to say how do these different public firms compare to one another?

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: How do their income statements look and when they talk about strategy like, whose actually got a strategy and whose like waiting to see what the market does to react. I strongly believe that there’s a high correlation between knowledge and stock picking ability. Like, I strongly believe that.

Ryan Isaac: Okay.

Reese Harper: And, I believe that the smarter the analyst, the more likely they are to be able to make decisions about stocks. The question is on average, is the out performance that they gained from that, is that worth the cost-

Ryan Isaac: Right.

Reese Harper: … of hiring them? Because, as information becomes more public and more available especially as the companies get bigger and bigger and bigger, you might actually know three times about Facebook as any other person on the planet. You might be the most informed Facebook-

Ryan Isaac: My grandma.

Reese Harper: Right. But, once you know that much about Facebook, that doesn’t necessarily mean that Facebook’s outcome will-

Ryan Isaac: Yeah.

Reese Harper: … that it will even follow your assumptions.

Ryan Isaac: Right.

Reese Harper: Because, if Facebook got hit with any kind of a lawsuit. If they had any kind of employee turnover. Any kind of natural disaster affected their operating, you know-

Reese Harper: … if Apple had a manufacturing problem with their supply chain. Like-

Ryan Isaac: It changes the story.

Reese Harper: … you don’t know, there’s a lot of things that will happen with personnel, a divorce, you know, a really a big scandal with one of the executive’s that was like core and functional to the operating direction-

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: … of the company. Even if you know all of this stuff, there’s still things you will never be able to know that affect performance and on average-

Ryan Isaac: That will change it like in a split second.

Reese Harper: … Yeah, and on average, those things happen-

Ryan Isaac: A lot.

Reese Harper: … a lot. And so, no matter how much you know, there’s just things you can’t anticipate. So, what I’m saying is, can a dentist… There’s two parts to this question. Can a dentist interpret dental companies? I would say the job that a dentist is doing is typically not understanding supply companies. Now, you might understand a strategy of a DSO, because you can see their operating plan. So, maybe like, Heartland you might actually understand Heartland a little bit better, but unless you are an expert in supplies or an expert in dental product distribution, or you really do have deep experience in equipment and then, not only in you have experience in that area, but you have experience comparing-

Ryan Isaac: Yeah. To other yeah.

Reese Harper: … various companies that do that. I’m like being an analyst is a skill in and of itself.

Ryan Isaac: Yeah.

Reese Harper: Like, I wouldn’t feel, as much as I know about my own firm’s financials and how that compares to other private companies and how public companies look, I wouldn’t say I’m a financial expert. Like, in looking at financial firms because, I’m not doing that every day-

Ryan Isaac: Yeah. That’s not the job.

Reese Harper: … I’m not comparing these public companies to one another and then analyzing their performance based on my own experience. My experience is a private sector business owner-

Ryan Isaac: Yeah.

Reese Harper: …. which has a lot more to do with entrepreneurial strategy, marketing strategy-

Ryan Isaac: HR and people and yeah.

Reese Harper: … It’s a lot different.

Ryan Isaac: Yeah.

Reese Harper: And so, I would say on average dentists do not have an informational advantage. If they do, it’s because they have a very particular amount of knowledge that they have, and it would be able to be used effectively in smaller and smaller companies to the point where private companies would probably be the most effective use-

Ryan Isaac: Yeah.

Reese Harper: … of that knowledge. Because, once you get into public companies, like market forces start to become a bigger factor and you’re informational advantage isn’t that significant.

Ryan Isaac: Yeah.

Reese Harper: ‘Cause everyone else has the same data you have.

Ryan Isaac: Yeah. Okay.

Reese Harper: That’s a long answer, but I think there’s two parts to that.

Ryan Isaac: Yeah.

Reese Harper: One is you don’t have informational advantage when companies get big and it becomes public. And second, don’t assume that your experience, or your involvement in an industry, is the same as your understanding of financial analysis of companies in that sector.

Ryan Isaac: Yeah. I think the person gave an example of this that there’s a company in another country that’s really, really small, but they’re producing some pretty advanced mouth guards for a sleep disorder. And, I’m starting to see the utilization of those products more and more in practice. Now, he’s saying this is a very tiny company. It’s in another country and I’m seeing it in practice so maybe I have some more insight as to where the direction of this company’s headed. Like, I can see that there’s going to be demand for this product, but what you’re saying is while that might be true, and a dentist could see demand for a product in a small company that an analyst wouldn’t for a variety of reasons, you can’t predict what shipping or manufacturing or tariffs or imports and exports, how that will affect that company. Or, new tax laws. Maybe that company goes under because of some new tax policy or import policy-

Reese Harper: Yeah.

Ryan Isaac: … from another country. And, it never gets to the point where its demand grows-

Reese Harper: That’s definitely one angle.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: Another angle to that, I would say is that you don’t, if it’s public, if it’s already public-

Ryan Isaac: Yeah and we’re referencing public companies.

Reese Harper: … which it is, and if it trades on, it probably trades on an emerging exchange like the MSCI either EAFE, it’s probably the MSCI emerging index.

Ryan Isaac: It’s not an emerging country.

Reese Harper: It’s not.

Ryan Isaac: It’s in Australia.

Reese Harper: Okay. So, it’s trading on the EAFE index-

Ryan Isaac: Yeah.

Reese Harper: … which is, most likely, it’s a highly visible, public company that a lot of analysts have access to. There’s probably, I don’t think it would be an exaggeration to say, there’s thousands of people who know at least as much as the listener. This listener might be, I’m not going to discount their knowledge-

Ryan Isaac: Yeah.

Reese Harper: … they might be the most experienced-

Ryan Isaac: Sure.

Reese Harper: … out of these [crosstalk 00:34:31]people.

Ryan Isaac: Yeah.

Reese Harper: But, of those thousands of people, the price at which it’s trading today, it reflects all of the information that all of these people have about that company.

Ryan Isaac: Yeah.

Reese Harper: And consequently, the price that is being bought and sold at. Probably if you look at the share trading volume, it’s probably millions of shares.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: It reflects the price that all of these people consensus say is-

Ryan Isaac: Is a fair price.

Reese Harper: … fair for today. It’s the price that they’re willing to pay. They’re not willing to pay more, because it’s undervalued. I mean, if they were willing to pay more, than that would be the fair price within an instant.

Ryan Isaac: Yeah.

Reese Harper: You know?

Ryan Isaac: Right.

Reese Harper: Or, a few minutes. The price is, unless you have access to information that the public doesn’t-

Ryan Isaac: Which is illegal.

Reese Harper: … which would be considered insider trading.

Ryan Isaac: Yeah.

Reese Harper: Then, all the public available information is reflected in the price.

Ryan Isaac: Right.

Reese Harper: Right? Like at this level, I don’t think there’s anything wrong with speculating on this. As long as it’s-

Ryan Isaac: With a rational portion of your liquid net worth. So, the other side of this that you’re kind of bringing up, but let’s just assume, that someone is able to have some kind of advantage in a very small way. Okay, because of their experience in the industry and maybe find a stock that’s poised of growth over the long term, right? The other side of this is that still represents a very small portion of someone’s net worth growth. Right? Like, someone’s ability, even if it is a good ability to find a company that’s small that’s going to grow big, it’s still going to be like a very small portion of your overall net worth. No one’s going to go take a million dollars and put it in to that kind of an opportunity.

Reese Harper: Yeah.

Ryan Isaac: Nor, will the 10,000 you put in there end up becoming the thing that retired you early.

Reese Harper: Yeah.

Ryan Isaac: I’m just saying, even if it’s true and possible, that it worked out that way, to keep it in context that it’s probably more interesting and fun, then it is strategically helpful to a net worth.

Reese Harper: Yeah. Let me just say what I personally do with my own money. ‘Cause that would be… Like when I pick an individual stock, it is a very small portion of my net worth. I probably have less than 1% of my total investments in individual stocks. And, typically the reason I own them, is because I like the company and I want to support it.

Ryan Isaac: Yeah. So, it’s like entertaining. It’s interesting. It just feels-

Reese Harper: … I’m not, no, I am wanting to support an organization that I like-

Ryan Isaac: And you believe in their growth.

Reese Harper: Yes.

Ryan Isaac: Their future.

Reese Harper: And I-

Ryan Isaac: Which is what you’re doing when you buy-

Reese Harper: … Like for me, I look at it like I donate to charities I support. I also buy individual stocks of companies I really like. Because I believe in their values, their mission-

Ryan Isaac: I like that.

Reese Harper: It feels good to me as an investor.

Ryan Isaac: But, you don’t have this expectation that-

Reese Harper: That’s-

Ryan Isaac: … that if you got it right with one of these small ones, you’re like, “Oh that’s a strategy for the future.” “Now I’m going to retire ten years earlier because I can pick these things.”

Reese Harper: No. And as my net worth continues to grow-

Ryan Isaac: It gets smaller and smaller.

Reese Harper: … I can see me potentially exposing my net worth at a higher amount to those types-

Ryan Isaac: Hm.

Ryan Isaac: … of positions.

Ryan Isaac: Okay, okay.

Reese Harper: Because, I am financially independent-

Ryan Isaac: Your TT’s safer.

Reese Harper: … my TT’s higher.

Ryan Isaac: Got it.

Reese Harper: And, I want to support more companies. That being said, I take the majority of my liquid net worth and I re-invest it back into my company.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: Because I know how to make my company get bigger and to be more valuable and service more things-

Ryan Isaac: Now we’re talking about information about a private market where there’s very little buyers and sellers-

Reese Harper: Yeah.

Ryan Isaac: … and there’s no open price point.

Reese Harper: Yeah. I would say dentists need to focus more on growing their practice with their excess cash, or using a very predictable investment strategy through a more market based, index based approach. Right? I like that for your liquid net worth.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: But, I think there’s this middle ground, where for most people, it shouldn’t be the place you’re trying to grow your wealth. Where you’re picking a stock.

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: If you’re trying to speculate, speculate in an area where you have some control. Like, I’ve speculated this year within my own company on a few bigger investments that I’ve made. Like, I don’t know if this will work, but like, let’s say you got a second location-

Ryan Isaac: This isn’t an episode that all the employees are going to listen to.

Reese Harper: … No. But, this is something that I-

Ryan Isaac: Yeah. Sure.

Reese Harper: … everyone who works here knows I don’t actually hide anything from anyone.

Ryan Isaac: Yeah.

Reese Harper: And, I don’t have any kind of like, employees shouldn’t know this, all right?

Ryan Isaac: You wander the halls-

Reese Harper: You ask me a question-

Ryan Isaac: Speaking your mind-

Reese Harper: … you’re going to get the full-

Ryan Isaac: You will.

Reese Harper: … you know, truth about everything I think.

Ryan Isaac: An hour later everyone’s going to be like I didn’t really want-

Reese Harper: Didn’t want to know that.

Ryan Isaac: … but you’re ready. I can tell.

Reese Harper: My point is, if you’re a dentist and let’s say this year I’ve taken a few chances on trying out a second location or opening a new market.

Ryan Isaac: Yeah.

Reese Harper: Or, opening a new marketing channel. Or, trying out a new presentation style or a new, there’s a lot of ways to expand and grow our company and there’s a lot of ways to expand and grow a dental business.

Ryan Isaac: Yeah.

Reese Harper: Marketing channels. Second locations. Hire an associate.

Ryan Isaac: A lot of it’s a test.

Reese Harper: A marketing test.

Ryan Isaac: Yeah.

Reese Harper: An operations hire. You know, an office manager that’s compensated more, but can maybe take more off your plate-

Ryan Isaac: Mm-hmm (affirmative)

Reese Harper: … so you can produce more and worry less about the office. Like, why not try that and gamble 20,000 on that bet or-

Ryan Isaac: Yeah.

Reese Harper: … 30,000 on that bet.

Ryan Isaac: What do you think the psychological thing, ’cause there’s a psychological, emotional difference between that and buying the micro stock.

Reese Harper: Yeah. It’s weird.

Ryan Isaac: There is a big difference, huh?

Reese Harper: It’s weird to me. I feel like-

Ryan Isaac: One feels like oh-

Reese Harper: … people are unwilling to take very rational risks in their own company, but they will take crazy risks outside.

Ryan Isaac: Yeah.

Reese Harper: And it feels different.

Ryan Isaac: It feels different. And, I’m just still kind of like, I have some assumptions about why this is the case. We’re not going to talk about it today. I wrote an article on it that’s in draft mode right now.

Ryan Isaac: Cool.

Reese Harper: But, there is definitely a tolerance for crazy outside of my own business.

Ryan Isaac: Yeah.

Reese Harper: But, very little tolerance for normal-

Ryan Isaac: Like that 25 grand. Why couldn’t that, like you think, I got 25 grand to spend, and I could go into some boring social media marketing test, you know, it’s kind of lame or, I could buy that hot stock out of Japan-

Reese Harper: Yeah.

Ryan Isaac: … that’s manufacturing the whole thing. Why don’t people choose the social media test-

Reese Harper: Yes.

Ryan Isaac: … that’s clearly the higher value, and you have control over it-

Reese Harper: I find myself-

Ryan Isaac: … it benefits your net worth higher, shout out to Jenny.

Reese Harper: Yeah. I find myself doing that more often.

Ryan Isaac: Right.

Reese Harper: I feel like I have control over this, I’m going to be able to see the outcome happen. If it doesn’t work, I don’t lose the money. Okay. What happens is I learn something-

Ryan Isaac: In your own business.

Reese Harper: … yeah. I make a better-

Ryan Isaac: It will be valuable for future the next time.

Reese Harper: … decision the next time. I make a better decision-

Ryan Isaac: … but if you lose money in that stock that didn’t teach you something that’s going to be valuable in decision making in your life in the future and in your business as much.

Reese Harper: If your job is a stock analyst-

Ryan Isaac: It will.

Reese Harper: … then yes, it will. [crosstalk 00:41:42]If you’re going to try to build your career and build a living, which is a very good living. I mean, the best stock analysts in the United States still have very good jobs, and they get paid a lot of money. If that’s going to be your living, then taking that kind of a bet and kind of experimenting-

Ryan Isaac: Because even the losses are educational opportunities for your career.

Reese Harper: … Yeah, it’s just, you should be outsourcing stock picking to the person who really truly is an expert. Or, you should be embracing a market based strategy and saying, that really isn’t-

Ryan Isaac: Sure.

Reese Harper: … and philosophically, I just feel like the data doesn’t support small portfolios of dollar cost averaging going into active stock picking. Like, it’s just not there.

Ryan Isaac: Yeah.

Reese Harper: Anyway, I think it’s a really good question though.

Ryan Isaac: It was. That was really deep. Again, this question’s live. You can go into the forum, dentistadvisors.com/group. It will take you right to the Facebook group. Join us, jump into the conversation. Love to hear more experiences from dentists who have bought dental stocks and how that has worked out. I’ve met people who have bought a dental stock. I have a new client that bought dental stock and made a huge return off it. But, the first thing he said when we met was I did this once. It was total crapshoot. I’ll never do it again, but it helped in that period of time-

Reese Harper: Yeah.

Ryan Isaac: … but it really could have like gone really bad too.

Reese Harper: Yeah.

Ryan Isaac: So, I’ll never do it again.

Reese Harper: Yeah and I don’t think we’re the type of financial advisors that are going to like poo-poo a small percentage of your portfolio that you want to do this with.

Ryan Isaac: Yes.

Reese Harper: As long as you’re over-

Ryan Isaac: We will not poo-poo it.

Reese Harper: …. whelming. As long as you’re overwhelmingly focused on the things that really matter.

Ryan Isaac: Yeah. Really matter.

Reese Harper: Then it, some people you know, like just, I have clients that this is like their, they need this outlet-

Ryan Isaac: It’s an outlet. That’s what I’m saying.

Reese Harper: … Like not feel like they have no control. [crosstalk 00:43:30]They want to just have a little bit of fun outside the practice even.

Ryan Isaac: Yeah.

Reese Harper: And that’s okay. All this stuff has to be done in balance and-

Ryan Isaac: Moderation.

Reese Harper: … But, you got to know what you’re doing when you do it. and the reality is, that most cases the odds are not in your favor.

Ryan Isaac: Okay. All right. So everyone thank you for submitting your questions. Some people submitted questions by going to our website dentistadvisors.come, they clicked on podcast and there’s a button that says submit a question. You can do that. That’s possible. You can text a question, 833-DDS-PLAN. We’ll take that question, go to the forum dentistadvisors.com/group in the Facebook group and post a question there. That’s kind of cool, ’cause then we get the interaction online and then we get to talk about it here. So, those are different ways. If you’d like to ask a direct question to an advisor, maybe a little bit more comprehensive private question and talk to someone about your situation, call and schedule an appointment with one of our dental specific financial advisors by going to our website dentistadvisors.com and click on book free consultation and we’d love to talk to you. Thanks for joining us.

Reese Harper: Carry on.

Investing, Retirement Plans