Kind: captions
Language: en
my intuition is that a recession is
inevitable but the market can remain
crazy longer than you can remain solvent
whatever the quote is um why hasn't it
happened yet and how do you think about
because obviously you have the you have
similar concerns that I have only the
paranoids survive but how do we turn
paranoia into an action
plan yeah so everything is right now
about mapping out different possibili so
for example if we're right now in a
conference room and we got bored to
write on we would write on you and I
would write down and we would say okay
uh World War II takes place what do you
think are the chances of this taking
place Ray doio says 50% yes okay does a
um Jamie Diamond says this the most
danger Dangerous times we've had in
America in decades Okay cool so if World
War III happens what happens to the
economy who's going to be the parties
involved are we going to be involved
purely through proxy or is there going
to be attack here then you write down
the possibilities okay if this happens
what are you going to do if this happens
what are you going to do then next what
happens if unemployment all of a sudden
goes to 7% 6% what happens if inflation
goes down what happens if Powell starts
lowering rates back down to 54% holy
[ __ ] that's that's going to be crazy
what H so you got to write all of these
different scenarios down but here's a
couple things that we have to be
thinking about and you said which was
fascinating one so credit card debt
highest it's ever been you know what's
the craziest thing about uh uh credit
credit card that being being the highest
it's ever been tell the average interest
rate on credit card is the highest it's
ever been Jesus forget about the debt so
people are worried about the debt so
imagine the interest rates in the last 5
years has gone like this to 23% or the
average is 23% on credit card you know
what 23% means that means the debt
doubles about 2 and a half years that's
like loan shark number that's lone shark
three years your debt is doubling right
but that's what we got right now credit
cards okay so our debt is
record-breaking the forgiveness for your
uh loan school loan is gone so now you
have to start paying for that's $ 33400
a month that people are expecting I
think October November
starting then let's set that part aside
go to the corporations you were talking
about that are borrowing money this year
their interest payment on corporation
that borrowed money is going to end up
being around $530 billion just interest
oh my God next year it's going to 7:30
next year it's going to 1.1 trillion in
the next 5 years it's going between 1.3
to $ 1.5 trillion just on the corporate
debt that we're talking about by the way
next part car payment a credit no one's
affected good credit they're making a
credit payments on
time mortgages we're not saying anything
crazy with people with bad credit not
making payments we're still good car
payments and subprime they're seeing a
spike in defaults where people are not
making car payments the first sign
you're seeing on what's taking place no
problem let's go to the next one that's
the scariest one us has $33 trillion of
debt worst it's ever been the highest
that's ever been no problem what does
that really mean nobody can really
figure it out here's what it means of
the money that we have about 8 trillion
of it the rates are going to
re-calibrate and we're going to have to
have new rates that we going every
single time the rates go up one point
just one point for the US government our
interest payments Tom increases by $320
billion Jesus so imagine we raise rates
by three points just interest it's a
trillion dollars more per year if it's
6% $2 trillion more per year that's that
then last thing that I'll just kind of
get you to be thinking
about
um so anytime you want to know
if the economy is back to normal go to
Vegas if Vegas is
humming okay we're good and always
whenever you go to Vegas talk to C
drivers and talk to the drivers who are
doing Uber always ask how's conventions
doing how are you seeing with traffic
are you noticing things cancelling no
this has been crazy for us the last
three months everything's good but if
they start seeing a
downturn they're typically an indicator
of what's to come Transportation
industry we consult for a lot of
Transportation companies at B Consulting
one of my friends I'm about to go meet
with them right after
this their their con their construction
company does very well we have these
three clients that we have who are doing
Transportation two of them are doing 100
million 80 million a year numbers are
down 40
50% one of them is doing a billion a
year their revenue is down 70%
oh so let's actually talk about
transport why would Transportation be
down
70% aren't Walmart Amazon companies
ordering stuff to ship it from here to
there why would that be lowering what do
they know that we don't know again these
are people who have data to Insider
stuff that we can sit there and say
these are great indicators when you're
studying these things on what's going on
does this mean recession is going to
come here like I told you earlier when
we were talking my bigger fear is a
reverse market crash which Venezuela
just went
through which all of a sudden the rates
get lowered and DOW an S&P goes and DOW
goes from 33 40 45 50 55 60 just goes
Voom is that just the dollar losing its
purchasing power exactly that's what
happens the more we're printing like for
example a Michael Jordan um
card uh years ago a bgs 9 a half sold
for $78,000 I like oh my God that's
crazy but then all of a sudden all of
these boxes kept entering the
marketplace of 1986 Fleer so guys
started buying these things and they
were sending more to get graded at
Becket and PSA the more they got cards
graded that $78,000 card bgs 9 a half
became a $60,000 card $50,000 card
$40,000 card $30,000 card you can
probably buy bgs 9 and a half today for
$20,000 $25,000 okay so the
inventory increases the more we print
money the more you print dollars and
it's more accessible the less it's value
the less it's worth so these are some
things that's going on uh today uh so
you know like I you sit there and you're
like okay so does this mean guys are not
going to make a lot of money no no
you're going to see the first
trillionaire in the next 24 months cuz
none of this is going to affect the guys
at the top none of it this printing
money every time they print money the
guys at the top make more money every if
there's anybody that should be against
printing money it's low and middle-
income families if there's anybody that
should be against printing money is them
if there's anybody that's for printing
money guess who it is the guy's at the
top why because the poor in Middle
America can't keep money they spend it
and when they spend it what do they buy
a product owned by somebody in the S&P
500 or other people who have businesses
money flows up they can pre keep
printing money all they want so when low
and middle income families are like look
at these guys all they care about is
themselves let that bill pass for $2.7
trillion you simply look at them and you
say you have no clue how money works you
have no idea how money Works guess what
let's print1
trillion Rich are okay with it you ain't
going to get the rich complaining about
printing $10 trillion or $5 trillion
black Rock's going to be like all right
cool we're at $8 to10 trillion of money
in our ETFs and we're buying up a bunch
of different companies we're buying up
all these properties today right now
it's going to be nothing but in the next
few years you have to go through us and
we dictate the market and we're going to
own it all and what are you going to do
about it you know this these are these
are a lot of different moving parts that
is going on to me and again for me um
the the idea of Middle America not being
able to make the money they need to make
to be able to for a house send their
kids to school live in a nice place
enjoy some of their dreams maybe not the
biggest ones but some of their dreams
are going to become a reality Middle
America is getting smaller and smaller
and smaller every single time we print
money for people that don't understand
the mechanisms of printing money it goes
like this you are you have to have a
mechanism by which you put this new
money that you created out of thin air
by Fiat literally just saying it now
exists s uh you have to put it into the
system the way it's put into the system
is by buying assets because typically
low and middle inome people don't buy
assets they buy products like you were
saying then they aren't beneficiary of
that unless there are stim stimulation
checks now those they will get sent
directly to them so there are ways to
put it in their pocket but what you're
effectively doing is socializing losses
so you are spreading the loss out across
everybody because while I get it that
um because I own assets I'm going to be
disproportionately either protected or
actually gain the gain isn't real and so
it's really I'm looking at the price is
going up and it makes me feel like oh I
really did something but in the end I
didn't in the end it just my dollar buys
less and so it takes more dollars to buy
the same thing because nothing
fundamentally happened the business that
I own a piece of did not become more
productive and therefore can actually
generate more by adding more value to
the world so once you understand that
like I actually as a wealthy person do
complain when people print money CU I'm
like hey there is a point at which you
break everything because the money is
just going to hyperinflate and it isn't
only going to be the stock market that
goes up it's going to be the cost of
bread and gas and taking your family to
a movie and all of that and so um look I
I'm conflicted in fact Patrick Bet David
you're gonna educate me here I'm
conflicted about money printing because
the only reason I got into doing
Financial content and quite frankly
learning about financial content or
Finance in general uh was because of
covid when covid happened this was me
not being very far out from having
worked at Quest and I had a thousand
employees in the inner cities and I was
like they're all going to get
obliterated I'll be fine I'll still be
rich on the other side of this but
they're going to get wiped out because I
didn't know money printing didn't know
that they were going to socialize losses
and in doing that that actually kept us
from going into something that probably
should have been worse than the Great
Depression and they money printed their
way out of it and we ended up being okay
because it was spread across a lot of
people now I hate that I was taxed
without um without it being acknowledged
as a tax and I feel that I've paid an
inordinate amount of money but if that's
what stops everybody from going into a
horrendous depression I don't know I
don't know that it was a bad idea but I
know that it because I am such a student
of Rayo I know that governments once
they start money printing they can't
stop and every time in human history
that it's been used as a tool it's used
Until It Breaks Until It Breaks every
time without exception and that
typically as it's racing towards
breaking I think it's what8 out of the
last 14 times it's ended up in a hot War
so usually as the debt the big debt
cycle go watch R Delio's video as the
big debt cycle comes to an end and and
uh money's inflating away to nothing
debt is completely out of control nobody
can make their payments everybody's
defaulting you have to have a complete
reset of the wealth which is I think why
everybody calls this the great reset or
the big reset or whatever because we are
we are actually
stopping we are forestalling catastrophe
right now by printing but we are only
forestalling it and nobody I've had a
lot of people on the show nobody can
tell me how you pull out of this death
spiral other than austerity and no one's
going to do [ __ ]
austerity
yeah well I mean Ray when he uh uh did
that one video if you've never seen that
one video it's like 32 minutes where he
explains the history of money and finan
and what's going on if you by the way
it's got like 20 or 30 million views few
32in Finance videos are going to have
that many everybody must watch it
but yeah so how can you fix this thing
well the the question my question would
be is it a how do you fix this thing in
a year no one's going to know how to fix
it because it's not going to happen how
do you address this and make progress
towards you know getting better that
over a 20e span okay now we're talking
40e span even better then you have to
forecast and see what Solutions are
going to be needed the next 20 30 40
years the problem with America today is
the following here's one of the problems
with America which by the way is a
beautiful thing but it's also perinal
whoever that gets elected we have
cyclical Cycles okay you got Carter gets
elected then it's Reagan senior then you
have Clinton then you have Bush then you
have Obama then you have Trump then you
have Biden so Republican Democrat
Republican Democrat Republican Democrat
so every time you do this every eight
years the system is like changing so
Cycles are changing whatever you're
doing is changing so you can't really
consistently build on a philosophy over
a 20-year period because in America you
you can't put a 20-year plan in place
there is no such thing as a 20-year plan
on America because whoever is the next
guy that's going to come take your job
is going to say no we're not building
that wall no we're not going to do that
no we're going to cut those benefits no
we're going to add these benefits no we
are going to spend more money no we are
going to do that no we are going to
leave this war no we are going to get
into this war the these things the the
complexity of what we're asking
about is challenging because no one
leader is going to run for 20 years we
just don't have that okay would you want
it in a in a way when it comes down to
the
economy uh yes I would want it selfishly
for me and you because we're alive today
is it good for America long term
absolutely not okay okay absolutely not
because if that one person is a shitty
person that gets into office for 20
years this thing's gone it's destroyed
okay so at least this allows us to not
be able to go super extreme because you
have to get it through Congress and
Senate and it's already complicated
enough to do that but to fix this thing
you're never going to have both sides
agree philosophically economically on
what they're going to be doing over a
20e span all right let's go to the next
side that we're talking about while all
this stuff is going on you have uh um
the the War right now with China and
India that is also taking place with
iPhones are now being made in India you
can now get iPhones where on the back of
it it says Made in India first time not
made in China it says Made in India
really guess who blocked Tik Tock in
their country India guess who's blocked
a 100 apps of China India India is not
afraid of China now why does China not
like India why do they always be closed
doors talk [ __ ] yet at the same time
they're part of bricks you got Brazil
you got Russia you got India you know
you got China and I think it's South
Africa that's part of the bricks right
okay so they're part of the same thing
but there's also a way of you know
competing the reason why I like India a
lot and I think India is going to play a
very important role here is because
India is seen how China negotiated with
us and they've realized we're not doing
that but India's also seen the mistakes
China made with the one child Rule and
overexpansion and what's going on with a
lot of these properties that they build
out in cities that looks like just like
Paris I don't know if you've seen the
city they build in China it's a city
everything Paris has it has it looks
identical to Paris if you Google this
same kind of architecture if I tell you
if I show you the picture you would
think it's
Paris they spend billions of their own
money to build a city replicating EX
exactly Paris that's what China did okay
wow so we're talking about you know the
whole everything everything they have
they have a shaniz same exact model that
they have over there exactly when you
see the pictures like when we're done I
can't wait for you to see these pictures
to see what that looks like so China
overexpanded very quickly India's
watching China they had their one child
one child
policy the average age of a Chinese per
right now is 38.4 years old India is
2728 okay India's uh I it Institute is
producing incredible Engineers many
companies here will hire Indian
engineers and they're rockstars better
than MIT in many cases so I think India
is very important for the next 20 30 40
years very important as long as India is
there China's going to hate it they
they're not going to like it the fact
that Tim Cook right now's got a very
hard job I think Tim Cook in a span of
four weeks lost $350 billion of
valuation for apple in four weeks $350
billion okay one because iPhone 15
didn't do what they expected it to do
two because China is now giving them a
hard time because China is their number
one market of iPhones they sell now
China is sitting there saying wait a
minute we sell more iPhones in this
country than anywhere else yet you're
giving our business to India who the
hell do you think you are right then on
the back end the real W that's taking
place is the semiconductor chips and
there's different levels to the
semiconductor chips that's being buildt
and China's specialized in the cheapest
kind to make the easiest kind to make
where some countries have specialized on
a tough kinds to make when it comes on
to semiconductor chips this is why China
can't stand Taiwan being there this is
why China wants Taiwan because Taiwan
specializes in building the extremely
technical semiconductor chips that the
rest of the world uses and then there's
complete other aspects to this that you
can get even deeper on so taiwan's going
to play a very important role you know
we can't have a Russia Ukraine or a you
know Israel Palestine Gaza Armenia aeran
turkey we can't have that taking place
with Taiwan Taiwan needs to stay
separate that needs to stay protected
how we do that I don't know how we're
going to do that we're getting involved
in one too many wars but if if Taiwan
stays free and China relies on them
because China destroyed the world during
covid absolutely destroyed we realize
80% of medication is being built there
80% of the technology that we need is
being built there they controlled
everything car pricing use prices went
up 50% like what are you talking about
you mean to tell me I bought this car
for $90,000 it's used you're to pay me
$130,000 yes are you serious yes why we
don't have chips to make cars are you
kidding me no Rolexes they were making
Rolexes for 18 months they didn't have
equipment to make Rolexes you go to a
Rolex shop that had one one watch like
what do you have we only have one watch
can I order Rolex no we're 12 months
you're not going to get are you serious
yes nothing this is what was going on at
Rolex store
so again the stuff that gets me
optimistic is
India is is Taiwan is we're committed to
the semiconductor business here uh the
things that concern me is China is
erdogan being wanting to be involved in
the Israeli War because most people
don't realize the most powerful military
in the Middle East is not Israel Israel
is powerful but Israel has 300,000
soldiers of which I think 150 is
reserved turkey has nearly 400 active
350,000 active Soldiers the number
number one military in the Middle East
if Turkey gets involved you know so we
have all these dead things that we're
looking at obviously the military
industrial complex which Eisen are
talked about where be careful with these
companies like Ron and Boeing and
General Dynamics and these guys that are
making a lot of money when there's Wars
we have to be careful with that taking
place we have to be very careful with
that when that's taking place but uh
yeah it's very complicated very complex
Ray doio says a depression could be
possibly around the corner a lot of
these guys are fearing what is taking
place today Michael bur shorted the S&P
500 $1.6 billion of his client's money
and now he did it in a way where you
know you're kind of protected but still
he's not optimistic about the S&P 500
what it's going to be doing uh one too
many moving parts for us to sit there
what will happen the rich are still
going to get rich the innovators are
still going to find a way to you know
win the people who learn how to use AI
on their side they're going to advance
and Excel even more the acceleration and
the disparity between the rich and the
poor is going to get wider and wider and
wider why because most people are going
to spend majority of their lives on
Instagram on YouTube on Tik Tok they're
not going to learn a new skill set
they're not studying AI right now
they're not studying technology right
now they're not learning new skill sets
right now Harvard did an article Harvard
Business Review did an article saying to
stay competitive right now every 18
months you have 10 new skill sets to
learn as an executive it wasn't like
that it used to to be 10 new skill set
every 5 years now we have to learn 10
new skill sets every 18 months how the
hell do we keep up so so that this is
the part where you know we talked about
the only the paranoid survival like
right now you have to be looking at this
shit's out there what part of it do I
control what part of it do I have not no
control over if not a billionaire or a
hecta or a decamillionaire man I got to
figure out a way to increase my market
value or else I'm going to get crushed
you're going to over the next 10 20
years if you're going to spend spend
more time on Netflix more time watching
all these shows more time playing all
these games more time watching all these
Tik Tok Instagram if you're going to
spend more time on that than building
value for yourself and learning new
skill sets yes the Market's not going to
favor you the next 18 to 36 months but
if you do that fortunately for that
Community they're going to be okay this
doesn't mean a Rec is still not coming
though okay so let's start pulling apart
some of the issues so the geop political
part of this comes down to is there
something that we can do to position
ourselves um you were talking earlier
about we create a matrix and it's like
okay do we go to war how bad is it like
all the different scenarios and we run
through them um so but let's sort of put
the pieces on the table we have um
global conflict and that's going to do
what it's going to do we need to think
about what the plan of attack is there
how we position ourselves well we have
the debt crisis which is just probably
the thing that weighs the heaviest on my
mind it seems the most inevitable and
because it's so in plain sight and not
at all sexy but nobody's freaking out
that one makes me the most nervous
because you can just run the math and it
seems inevitable that it things have to
break for that to work um you've got the
what we'll call the Cold War of
manufacturing and where that's going
Apple China India all competing but But
ultimately how do people begin to
actually put together a battle plan so
one of the you you had a really good
video about advice for young men and one
of the things that you said was you need
to be aware of what's going on and I
really woke up to that at the beginning
of co co was a
grand uh moment where it's like look
behind the curtain there's The Wizard of
Oz and I began to see how things were
actually um happening that was very
revelatory and just as if you want to be
an entrepreneur the ironic advice that
I'm going to give you is you need to
learn about the body because if you can
get control of your body if you can
change your physique you're going to
find discipline consistency you're going
to see that it really adds up to an
actual transformation and you can apply
all of that to um business once or yeah
to business to anything really once you
begin to understand how the world
actually works now you can begin to
position yourself to weather any storm
but you really do have to understand how
the pieces move around the chessboard
how you're being manipulated um and I
don't it certainly has not then provided
me a sense of Clairvoyance and oh I know
exactly what to do but I feel like it
makes me ask a better caliber of
question to me the caliber of question
right now is what is the position
someone should be working themselves
into so I'll paint the picture that I
think and then tell me if you disagree
if there's a better thing
okay number one I think because only the
paranoid survive there's actually two
things you need to be paranoid about
right now paranoia number one is you can
pull out of the market too soon and Miss
real opportunities and since no one is
going to be able to accurately forecast
the timing you have to be thoughtful
about that so one strategy might be just
that you dollar cost average in every
day make sure that you have a certain
amount of savings so that you're not
going to find yourself in a panic
situation and as Morgan housel said uh
the the whole purpose of having cash in
a bull market is to make sure that you
don't have a force sale in a bare market
now I thought that was a a really wise
way so um what I'm going to present to
people is there's so many variables on
the table and I don't know how they're
going to go I just want you to be in a
position where you have optionality so
we're going to optimize for options to
do that you're going to want to be
largely in um cash and index funds which
is not going to sound sexy and when I
say cash I'm talking money market
treasury bills something like that bring
Five Points right now yep which is
[ __ ] amazing y all day every day I'll
take it uh now would not be the time in
my opinion to invest in anything where
you're not just an absolute complete
expert where you have so much
disproportionate knowledge that you're
able to really recognize a deal when you
see it so I've heard you talk a lot
about some commercial real estate stuff
that you're looking at because you know
things are going to go on sale you oddly
enough I still find this so fascinating
you really understand the baseball card
market so you'll know a deal when you
see a deal so it's like that to me
optionality cash um only investing
either sort of blindly in index stocks
not just completely removing yourself
because you could miss you know it could
be six months a year before two years
before this is who who knows we really
can't predict it but that we are in a
time of such volatility that if you are
not taking every step with sort of
Maximum
paranoia uh you're making a mistake so
that's I'm sure if somebody were here
they'd have a lot of questions for that
but that's my rough guidance to myself I
think that was fantastic I think it was
fantastic and we're very aligned look I
mean here here's also the thing right
like where you're you're sitting
there're watching some of these guys
sitting on a lot of cash why are they
sitting on a lot of cash are they
sitting on a lot of cash in in case [ __ ]
it's the fan is that what they're doing
or they just kind of sitting on a lot of
cash wondering I don't really know
what's going when I say people I mean
Burkshire Hathaway I mean these these
guys have a lot of cash right now
they're sitting on the table and uh you
know maybe they're not buying value
stocks yet because they don't yet
believe value stocks are here bshar
hathway okay if you're not in this
business if if you're not in the
business of Investments financial
adviser broker day trader don't play
around do not play around and get crazy
about it um crypto a lot of people got
into crypto and nftd and that was not
their world they didn't know about it
they lost a lot of money I mean couple
guys made $90 million but the people
that bought their stuff lost $89 million
but they got their money there's a lot
of guys that made their money in nfts
but it was a gamble for everybody and
everybody's like oh my God but I believe
it in all this other stuff okay great
that's pretty crazy you know what about
this and what about that now does that
mean nfts are going away absolutely not
my kids still buy stuff on robloxs and
skins and all that there's an element of
it that is not going to go away
guaranteed is there 95% of nfts that are
not coming back yes probably some of
them are going to be gone again my
opinion I I have interest
in things I know
about and I'm interested in like right
now you know I'm looking at stuff the
card Market got destroyed the last six
months destroyed guys are sitting on big
cards they were thinking they're going
to make a lot of money on it they're not
right now okay cars that would have sold
for $ million two years ago are selling
for $400,000 today wow but they're going
to end up selling for that value they're
not going away because it's art it's
non- duplicatable assets you can't
duplicate these pieces especially if
it's things that are very few of okay so
if one of one they're not going to go
away art Jamie Diamond's got a $900
million art collection why Dave Dana
White is telling me about a picture he
has in his uh office he showed me this
yesterday that he paid $200,000 for it
that picture is probably worth wor $8
to10 million today art money in art
being made again non duplicatable assets
are very very valuable whatever there's
few of very valuable but only touch it
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plus two free gifts if you know nothing
about crypto don't even get close to it
don't get too crazy oh my God I'm
hearing you know Bitcoin is going to go
to 100,000 it may go to 500,000 but
don't do it because you're guessing cuz
somebody else said it do it because
you've done a lot of due diligence in it
so if you don't want to have that kind
of a risk tolerance indexing is the way
to go to play it safe now to to the
small community of
crazies that have an itch and a
tolerance for madness
Okay this isn't everybody this is some
when you have a certain amount of money
I'm talking to my Goldman guy he comes
in we're having our conversation he says
hey here's what I think we can do with
this amount of money I said okay what
about
it he says here's a strategy we can use
the next 90 days I said okay I said do
you have any questions for me he says I
got one question for you are you okay if
in the next six months we lose $55
million in
this what a great question just straight
up I'm
like no I'm not okay with this that's a
big nut he says uh no problem totally
get it then we can't go the way that
this is one of the options we can go on
because what do you think of a chance of
a World War III happen next 6 to 12
months I don't know man I don't know if
I'm at 50% but I'm at 10% well 10 is
pretty high yeah I agree okay if that
happens how bad is it going to be you
know like during Co that went to 18,000
I don't know if you remember for that
minute that that went to 18,000
everybody's like holy [ __ ] what's going
on but very quickly went back to 32,000
so it recovered very quickly okay so
what does this mean if you think a
possibility of craziness is going to
happen that you keep cashing it happens
you can buy and dollar cost average okay
yes you think you're that brilliant that
you can time it historically very few
people have been able to do it and those
who did got purely lucky do you want to
be part of that camp because most people
historically what happened to them they
missed being in the market on the five
best days corre and missing those five
best days ended up costing them the
difference between making 133% over a
20-year period to making 7.8% correct
and that's a lot of money by the way
between those two so if that's not the
world you want to play don't do it don't
at all do it for me the game we're
playing is a different game the game
is there's going to be a lot of assets
for sale the next couple years okay and
if you've made the right choices and you
have cash and some of these assets don't
perform the next couple years there's
the opportunity to pick up assets
there's the opportunity to pick up small
businesses I'm talking to a guy who runs
a
you know uh a a business that they're
doing 34 million a year and he I said
how many companies are there in the
marketplace that you could buy right now
that are between to $10 million there's
at least eight how many of them can't
stand you one of them we never talk I
said okay the other seven how many of
them love you three of them do the or
four know you they know of me but we
don't have a relationship get it close
to them as soon as possible make the
following phone call he said what do I
tell these guys this what the call
sounds like hey John listen man we're
both in the same industry how business
and you'll know by their answer how it's
doing you're going to say oh great
unlike XYZ we did 32% last month over
last year approv okay great guess what
that's not who you want to talk to next
call you got six more left okay hey
Larry how are things oh um yeah I mean
look I mean some areas we're doing good
some areas uh why what what's going on
did somebody tell you something okay
boom check what's the conversation Larry
here's what what's going on the reason
why I'm calling you we're getting calls
from guys in our space and some of them
are not want are not doing as well as
they thought they were going to do and
they're about to run out of cash and
they're calling us because we have
access to certain relationships and
contracts and technology that they want
to take advantage of I thought just to
give you a call because we're within the
same space are you in a place right now
where you want to entertain possibility
of a partnership where we can help you
with our company or no if no list I'm
not going to impose but if you are maybe
we can have that
conversation 5c
pause uh you know about nine months ago
I would have told you to go to hell but
uh yeah maybe we can talk
perfect um when do you want to come to
the office or would you like us to come
to your office would it be okay if we
first met at a coffee shop away from
everybody no problem let's do that then
he go sit down what's going on look man
I don't know if I want to do because I
heard this and I heard I heard that and
I heard this I don't want to be ripped
off and I don't want to be this and I
don't want to be that bro let's just see
what we can do with the numbers if we
can great if we can we'll support you go
do your thing then the conversation
start so there's different levels right
now the marketplace if you have cash a
lot of it companies are going to be
forell the next 3 6 12 months and
there's going to be a lot of
opportunities for you to increase your
market share within the industry if not
you're somebody that doesn't have a very
high risk tolerance do not screw around
the next 6 12 months thinking you're no
strad and you can predict the future cuz
the Market's going to destroy you it's
undefeated the real power is because
it's not enough just to be strong it's
not enough to be violent you really do
have to be able to calculate it I saw
the interview at Jared Kushner on Lex
fredman and Kushner said um that Trump
always liked to leave people with a 10%
chance that he might nuke them which is
horrible I say it with a smirk because I
get the Showmanship of it but there is
something to the unpredictability the no
the belief that that person is dangerous
and that it is merely strategy that
keeps them in check there is something
to that and at at that level to pretend
that that isn't real is to set yourself
up for disaster in fact I'd like to
introduce my favorite Thomas Soul quote
which my audience will have heard me say
a gazillion times the last 50
years have been marked by exchanging
what worked for what sounds good and
that feels like a lot of the policies a
lot of the ways that we talk about young
men toxic masculinity all of that is it
sounds nice it would be nice if we lived
in a world where everybody could just be
kind and gentle but we don't and so you
wear thin the armor of civilization when
you teach men to be
weak you know how in families there's
typically the one person everybody fears
and respect when they die there's chaos
and all of a sudden you know one person
is taking advantage of this person or
that person my my uh mother her her
family had some money the moment her
parents died uh one of her uh uh family
members took over all the money and he
abused everybody else he says you're not
going to get it I have it now but when
Mom and Dad were alive he couldn't do
that the moment they died he bullied
every body from the money that he got
that money was supposed to go to a few
people he took it all and he gave crumbs
to people and he became that dictator
you're lucky I'm giving you this kind of
money no no that was their money but
because the parents didn't put anything
on paper he stole it from everybody and
he could do that what's the moral of the
story when when that
Alpha when that leader is not present
bullies show up you know so so for us
again like this is a very chaotic time I
don't know when this is going to be
released you know whether it's one war
or the other war or this or that um
we're we're one or two people away of
being offended of World War III getting
started you know you got 16 million to
18 million people died World War I you
know 60 million on two third one if we
go at this trajectory could be 200
million Jes the the job that we have
collectively is to try to do whatever we
can to turn down the temperature not
increase it you know if if you and your
wife get into an argument and you call
me and you say you won't believe what
she said my job isn't to say she said
that Tom oh dude if she would have said
that to me it's done are you kidding me
doesn't she realize how amazing you are
how lucky she is to have you instead is
to say Tom come on bro she loves you and
you know you love her she's partly right
bro I'm G to take her side how could you
say something like that you're not on my
side you're on her side probably on this
one am but I'm telling you privately I'd
go back and try to make this work screw
you Pat totally get it bro let me know
if you want to talk later you get off
the phone I have a job and it's called
Doug theuse unify and be the glue we
don't have a lot of Dougs around the
world today we have division today we
have divisiveness today so but if
there's that one strong personality
leader of the Free World a Churchill a
Reagan a person you don't want to mess
with the world is typically a safe place
yeah that is um it it is maybe a
balanced place where the level of danger
that is always ready to pop off is
currently held at Bay um but I think the
the reason that that Cycle Works where
strong men make good times good times
make weak men so on and so forth works
is because when things are good the seed
of its own instability is present
because of that Loop and I don't know
that there's any way to escape it it's
one of the things that makes this so
predictable I agree
now Church Hill is a fascinating
character in fact this will be fun
because I never get anybody that can
talk about Church Hill I absolutely am
just blown away by Churchill and you can
say what you want and did he have his
flaws of course he did but this is a guy
that felt he had let his country down in
a uh
military this is World War I uh he makes
a mistake leading the Navy and he says
okay I know exactly how to come back
from this I'm going to even though he
could have just gone back to England he
says no put me on the front line and so
he goes to the front line and he said
other people didn't want to walk with
him on the night patrols because he
would just talk out loud and they're
like bro we're going to get shot like
what are you doing and he he uh said to
his mother I have such a need to earn a
reputation for physical courage that
I'll basically do anything and so he
stays in the front line multiple times
narrow narrowly escapes getting killed
sees countless people die around him and
said to himself okay now after I forget
how long but it was a long time again
all voluntary uh he's like now I've
earned my way back to Parliament and he
goes back to England and re-engages in
government life and I just thought whoa
like I'm not even saying I could do it
but I saying I admire it and I'm saying
that men ought to have that kind of
courage and that to me we've had 70
years where we really on our own soil
where we have not had to face um
violence and danger I'm not taking
anything away from the men and women
that have served um overseas obviously
but there's something that still let our
country's psyche be lulled into the
sense that we don't need men standing on
the wall protecting us and that worries
me military meaning we don't need a
military yeah basically I mean so uh I
was quoting the uh line from A Few Good
Men where he's like men like me and the
thing is I hope what we were supposed to
take away from that is that he's a
complicated character and yes some of
the things he did were despicable but
he's also right and that's what keeps
them from being a caricature is you you
are asking people to risk being shot
you're asking them to kill other people
I mean it it is horrific horrific and
there
is there is an evolutionary seed inside
certainly inside the male brain that
makes that very possible you know if if
there's anything like any man that wants
to earn forget about you know should I
go become rich should I go have a
six-pack should I be in shape should I
do this if you pursue anything if you
earn moral Authority you you're going to
have a lot of self-respect
you'll have self-respect in a way you
lead your wife and your kids you'll have
self-respect in the companies you lead
and you'll have self-respect in a
community does this mean you're going to
be a billionaire not necessarily doesn't
mean you're going to be a millionaire
not necessarily but if you earn the
right and you have that moral Authority
there's something to earning that that
takes years that doesn't happen
overnight when you're telling the story
with Churchill there's something to it
there's something to you know a guy
setting the pace from the front there's
something to earning the right you know
there's something to this is why for me
with the voting system that we have I
think our voting system is totally
screwed up in America couple areas of it
I'm not a fan of it because for me I I
would much rather have a 16-year-old kid
who has a job working at mcdonals who
made 20 grand last year and paid $3,000
in taxes I want him to vote over the
25-year-old bum living with his mom and
dad not going to school not getting a
degree not doing anything for him to
vote I don't want this guy to vote I
want to hear from this 16-year- old kid
let this guy vote our system is too much
of yeah here you go yeah here you go now
earn the right to vote why don't you
earn the right to vote well just by
being an American don't I earn the right
to vote I totally get it but you got to
have some you like pull your little red
wagon how are you going to contribute to
society well that you're discriminating
against dude I'm from Iran I was born in
Iran half Armenian half a Syrian I'm a
1.8 GPA kid I'm a welfare kid I'm not a
kid that came up here was going to be
something but I wanted to come back and
earn the right to say hey I want to earn
this respect that America gave to me I
want to go do my part I think we have to
go more towards that in our house our
kids you know everybody's talking right
now about having a phone I don't know
how many articles I've read that the
more you delay your kids getting a phone
the more happier they going to be by the
way parents if you're watching this do
yourself a favor and go watch the movie
disconnect disconnect I I don't have a
phone to see who's the actor but one of
the guys is the I don't know if you've
seen this movie or not disconnect is
baitman what's his name is it Jason
baitman is that his first name certainly
is so the guy is that from Horrible
Bosses yes okay so that guy this movie
disconnect is a story about a boy who 12
13 14 year old kid goes to school
there's a girl he likes these two
bullies knows he likes the girl they
create a a Facebook profile with the
girl's picture befriend everybody in
high school thinking that's the girl but
it's not she DM's him on Facebook in the
movie this is 11 years ago 2012 and says
hey please don't tell anybody but I
really like you I'm shy I don't want to
tell others but I like the way you oh my
god I've loved you and they're going
back and forth she says I'll show you
mine if I if you show me yours but it's
the two boys so the boy send a picture
of somebody else they got from a porn
side he opens it so he sends it and then
she says but I want to you're facing it
as well so he does the next day he goes
to school everybody's laughing at him
because those two police took the
picture spread it around the school then
the boy runs away comes home is in his
room listening to heavy metal music is
trying to hang himself daughter or
sister walks in prevents it from
happening and saves his life and then
they have to figure out how this
happened because the parents weren't
involved there's so many different
things going right now in
society that we we have to we have to be
aware of people earning stuff phones are
dangerous today that you know kids are
picking up on what can happen to them if
you do you have to educate them if you
do you have to hold them accountable if
you do you have to watch and see what's
going on but in our family um everything
starts with earning uh the currency in
our house I've talked about this God
knows how many times it's reading you
read you earn the right the more you
read the more you can ask for if your
grades are solid you get to ask for more
if it's not you don't and people say Pat
how could you have standards like that
when you had a one point GPA what does
that have to do with anything I didn't
have those standards I simply grew up in
a house that nobody cared what my grades
were they there was never an expectation
of me doing anything like gr so guess
what I'm going to rise up to the
standards of whatever whatever it is as
a 14 15 16 year old there was no
standards so I was left alone in our
house there is standards there is
expectations you got to perform to it
you do you get more so America started
off as
earning we got away from that because
earn is now another one of these curse
words that people don't like to talk
about how could you say something like
that how could you say something like
that all you care about is money all you
care about is this no man I cared about
you being proud of the contribution
you're making to society because the
more proud you are of the contribution
you're making to society the safer the
place is going to be the less you
contribute to society the more bitter
you're going to be feeling like
everybody owes you something and then
you could do something very bad to
everybody else so yes I think we need to
go back to earning like when you're
telling the story of Churchill to have
that moral Authority it's very
interesting to me there's something
super telling in the fact that people
ask you well whoa whoa whoa how can you
ask them to keep their grades up when
you didn't keep your grades up because
that reveals their value system now I
have a feeling that their value system
they've never taken the time to lay it
out and I think one of the biggest
problems when I think about okay what's
ailing men how do we get them back on
track it's what is your value system
what do you how do you believe a man
ought to be write it out then at least
we have something that we can actually
talk about when some somebody says how
can you do that you didn't have good
grades what they're going for I assume
is fairness the second your primary
focus is on fairness and now we have a
problem so the reality is of course life
isn't fair and I don't mean that in any
sort of cheeky way it's just if you're
trying to optimize for fairness you're
setting people up to try to say uh the
game is always going to be controlled go
out there you're going to be fine and
then they're going to get into a fight
and I don't mean a literal fight but
they're going to get into a fight for
their business a fight for a promotion
whatever and it isn't going to play out
fairly and if in that moment they're
emotionally devastated because they've
been taught that everything revolves
around fairness they're going to be in
trouble if on the other hand we and this
is very specifically what Tom Billy
wants people optimizing for what is
effective so you have to have a goal you
have to know what your goal is what am I
aiming at and then you're going to judge
everything by whether or not it's
effective did it actually get me towards
my goal now I'm going to assume that
your goal is Honorable if it's not then
we already have a problem but assuming
that your goal is Honorable now you can
just is believing this doing this
whatever is it going to move me towards
my goal if yes I'm going to do it if not
then I'm not do you know Jeffrey Canada
oh Jesus I've got to meet somebody that
can help me get this guy on the show
I've been trying and trying and trying
and I have no idea that he will agree
with me on anything
however he has created the most
effective school for kids so he uh he
will go into an underserved area and in
the same building that the school is
already being run at and they're
delivering kids that are like three
years below and reading and graduating
levels just absolutely atrocious he'll
go into the same building with the same
kids randomly select students so it's
not even like a merit based anything
randomly select students and then put
them into a merit based school system
and now it's like are you following our
discipline rules are you doing your
homework are you getting your grades
like all of that and if you do you stay
and if you don't you're out dude the
outcome by being regimented by being
disciplined by saying you are going to
live up to these standards and of course
I'm sure they do it in a way that gets
the kids [ __ ] excited the kids aren't
like oh man like I have to pay attention
it's like hey if you learn this stuff
you can control your life you can get
out of this neighborhood you can go on
to do whatever the hell you want and
that kind of because again I I need to
interview this guy to make sure my
breakdown Jeffrey Canada to make sure my
understanding of what he's done is
accurate but from what I can tell a big
part of what he's doing is Sid stepping
the um the unions and so if he's got a
bad teacher bye like you have to be good
you have to be performant and so they
just churn out graduates at like an
insane rate it it's startling and
remember these are the same kids that
before they got moved in were failing
just abject failures they do it in the
same building it's absolutely bananas
and that to me says especially at that
age structure discipline the right value
set and helping people tap
into um I I have no reason to believe he
would use these words these are now my
words and my interpretation of this that
when you can show somebody how to
generate ferocity in a controlled manner
oo now you've got something now you've
got something but most people can't find
that gear yeah that's pretty wild but at
the same time I'm not surprised right
I'm not surprised where a you know Bill
Walton who's a hippie goes into a system
that they have with UCLA and he comes in
with his beard and his long hair and he
says hey uh John Wooden says uh go get a
haircut and then come back you got to
shave your beard and you got to cut your
hair or else you're not playing he said
I'm not getting a haircut no problem you
ain't playing he so what are you talking
about listen kid I know you're the
number one pick in the country today cuz
you're the best center in America today
you're not going to play for this team
he says I got on my bike when I cut my
beard when I cut my hair came back and I
think they ended up winning the champion
National Championship one or two of them
but when John Wooden died I was at the
Ronald Reagan Library in UCLA I think
it's one of those in in uh LA and uh uh
one of my friends Dudley Rutherford is
there and we're in the waiting room
we're having a conversation about to
make a big decision in my life this has
got to be I could even tell you date
it's got to be between June to September
of 2009 when raikan died has to be
around those when John Wooden died and
uh uh uh no it's yeah somewhere around
that season anyways maybe couple years
after that so I'm sitting there and I'm
just watching former UCLA players 67 68
69 showing up coming down the elevator
they're crying leaving coming on the
elevator they're crying here's a man
that impacted their lives if you ever
read books on him his Pyramid of Success
and things that he did fascinating this
guy lived up to 99 years old because of
how many people's lives he changed but
what we don't want as a young man as a
young boy that person that disciplining
us eventually ends up being exactly what
we want I'll give you one here depending
on the levels of audacity from the kid
I'm 18 years old I'm in the Army we're
just talking about the sound of flight
here and myself and three other kids
were from New York we're all acting like
we're tough guys we're not tough guys
but we're acting like we're tough guys
like that story you were talking about
earlier you use a certain phrase that
hey you know they're loud but it's not
really they're not going to do anything
we're thinking we're gangsters we're
tough guys all this stuff we're fighting
each other in the laundry room hitting
each other all this stuff we don't have
a clue what we're doing with fighting we
just have a lot of
testosterone but we're not listening to
this guy drw Sergeant Green one day he
asks us to get into the hve he said I'm
going take you guys to place get in
there we get in there no Prime we're
driving to the back 40 30 minutes 40
minutes we never been here before he
goes into a place it's not on a road
cool pulls up gets out it's not saying
anything to us picture a guy that moves
slowly like Bruce Lee okay think about
when he's not fighting he's just moving
like that takes his jacket off his bdus
takes his hats hat off takes his uh uh
dog tag off and he says who want wants
to go
first we're like what do you mean I said
who wants to go first I said D AR what
are you talking about he says if we
fight here no one will ever know but
we're going to fight who wants to go
first he's
5'8 okay we're all big
guys all right but we have no clue what
this guy's background is but he's very
confident so one by one by one we go on
there casually one by one by one he
beats the living [ __ ] out of us except
he's got one rule doesn't hit us
anything up here everything is here
we're all on the ground begging him to
stop he took it to levels where he knew
we were going to be able to do pt the
next day but not to the point where the
Public's going to know what just took
place and then we're done he says okay
you sure you guys are tough guys no Dr
Sergeant you guys going to be good
moving forward yes Dr Sergeant you guys
are gangsters no Dr Sergeant we're
privates get in a hum let's go back we
got on a hum we went back back let me
tell you I wish they would have recorded
it there's a picture of me standing next
to him um with me and my
dad you could tell in that picture who
ran the show you could tell who was the
alpha he was the alpha you know what
that 18-year-old kid needed that
18-year- old Patrick that's exactly what
he needed I needed order he was the
first guy I faced that I couldn't get
away with everything I was doing he
wasn't afraid of me he put me in my
place boys need that
God knows how many boys in know because
let you say that doesn't happen in my
life we're not having this conversation
today let you say I'm just like a
regular guy I don't get that discipline
from somebody that challenges me and he
doesn't care from parents got a divorce
he doesn't care where I'm from he has no
sympathy for me he's trying to lead me
that's his job to make sure soldiers are
solid so when War happens somebody like
me is going to be able to stand up to
the enemy but today that would never fly
today he'd go to jail today he'd be
written about all over the place today
they would make a movie about him and I
would get a from Disney saying it's so
unfortunate that he discriminated
against you that you're Iranian Armenian
Assyrian and you're Brown that's why he
did that we should go sue the Army and
we should make a movie about this and
turn him to be a villain he was not a
villain he was a leader he he he made
the world a better place by checking me
very quickly at 18 years old so as
you're telling these stories and you're
going through Jeffrey Canada maybe his
approach is a different approach maybe
he's not going to use the approach that
jur Sergeant Green used with us but at
the same time we need more people like I
don't know who he is I don't know his
standards but based on who you're
telling me a guy like that we need more
men like that in America yeah I'm with
you so how do we get going back in the
right direction in fact talk to me about
the military so um what's your
confidence level in our current
military you know there are certain
things that I talk to my boys about that
I don't want my wife
around and she doesn't want to be around
I said babe this is between me and them
you can't be here right now I got to
talk to these guys and I will talk to
them okay and she respects it and we do
our
thing um we got a couple rules in the
house I don't give the girls poow they
don't get poww what are you saying
powpow powpow that's what we call in our
house it's called
papow they don't get spanking they don't
get anything the always it's a different
story they don't get it anymore but they
know what can come um and when I need to
talk to these boys to put them in their
place I have to have the conversation
privately what's the
point if you've never been in the
military if you've never been to
war you you have no understanding of
what it takes to prepare somebody to
defend
you have no idea what it takes to get
somebody to defend you've never done
that before so what does it mean in war
when the other guy is trying to kill you
there is no hey man do you have your
mask on cuz Co it could spread how often
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code hey before we fight did you take
the vaccine cuz I can't fight you if
didn't take the vaccine hey before we
fight what's your di score in
Russia what's what's the ESG score you
guys have you guys you guys good or cuz
we can't inappropriate hey what kind of
weapons you guys use are these going to
make the climate dirty the bomb how are
you not worried about the climate how
dare you have a weapon like this so
before you shoot us let's check to see
if that weapon you're using is climate
friendly that doesn't exist when a war
takes place when a war takes place the
other guy has one thing in mind either
surrender or I'm killing you that's what
happens in war so how do you
psychologically prepare somebody for
that well maybe we should just prevent
people from going to war totally agree
I'm not for it I'm glad we didn't have
it for few years just all of a sudden
when we don't have fear respect and
admiration for a leader in America we
have more Wars okay everybody thought
the last three years were're going to be
friendly and peaceful and we were all
going to get along forget about us
getting along in America the world can't
get along the last three years right so
how do we get back to it we get back to
it by the following
manner you got 50 employees here give or
take uh based on what I what people told
me and you build a good business and
you're doing very well
okay how many times Tom matter of fact
let me ask a question a different way
how many people including Quest
including all the businesses you've ran
how many people have you hired
person actual employees that you
personally have hired I've interviewed
1500 people okay more now because that's
the when I clocked that stat it was like
five years ago but so yeah I've
interviewed 1500 I've had 3,000
employees I was involved in hiring
probably 30% of them directly fantastic
you you were the COO or whatever role
you CM or Co I think one of those roles
last you told president okay so
president has one of the hardest jobs
because you're the COO and your your Ops
your data you're all of that stuff okay
how many HR managers have you
interviewed oh
Jesus um interviewed probably 25 okay so
watch this how many have you hired or
have you had uh four okay so did you
ever have an experience when you
interviewed a your first HR manager
where the next one this one didn't work
it prompted you to ask two additional
questions on this one that you didn't
ask on this one and on the third one you
ask better questions than the second one
and on the fourth one you ask better
question then a third one right okay so
first HR manager I'm hiring it's like we
just need somebody to do the payroll you
know total you know all this stuff and
you know check GNA Insperity ADP who do
we use and $39,000 and do this and okay
great man I'm so glad we got somebody
handling all this payroll and then hey
we got a complaint here 401K benefits
health insurance cost going up is this
good I don't know and don't get car
right next one we need a better one we
need a better one we need a better one
in Co
covid happens we had a HR manager that
was reactive to everything and it's the
end of the world and it was causing
everything in the office to be chaotic I
said this is not going to work out so
I'm interviewing people and here's how
I'm interviewing people I said hey uh
Mary just out of curiosity let's just
say in our licensing department we have
20 employees there one of the employees
comes to you and says I got a cough and
I'm not feeling well you tell this
person to do what go get tested great
they get tested they come back it's
positive what do you do what are your
next three moves oh send everybody home
okay I can't hire
you second person comes in and that just
that answer alone I already know you're
not fit for this job next thing I go
comes in licensing department has 20
employees one of the employees comes to
you they're coughing they're not feeling
well you send them and they get tested
positive what do you do what do I do
yeah here's what I do I send an email to
everybody in the company I tell them
such and such as Co it if you'd like to
leave you can take a laptop and go home
and work okay great better answer but
still a little bit too much third person
comes in for the interview hey licensing
department has 20 employees one person
comes to you they're coughing they get
tested positive what do you do um I ask
who in that department has been with
them if they have I tell them they can
go get
tested and then if that person's gone in
the kitchen I'd say who else was around
you when they were you know in the
kitchen or the bathroom such such have
you shook anybody S I shook I'll go to
that person and tell them that and ask
them if they want to get tested they can
and then if they bring back negative
come back to work if not totally get it
okay reasonable we're hiring this person
so I started hiring people based on case
studies where am I going with this your
question is how do we go strong like we
used to because it's chaotic today
here's a point next time you're picking
a president think about your hiring
somebody for a job and ask ask better
questions one of the questions we need
to hire today when we're wanting to pick
our president or our governor is how to
handle chaos based on what experience
not based on what they've said based on
what experience what have they gotten
done what's their biggest accomplishment
how have they helped the economy what do
you want as a president do you want
somebody that needs other people's money
when they go run for office because the
more people's money you take and the
more they give guess what comes with
that nobody gives $1 million and says
what
yo you know what you don't owe me any
favors but here's $10 million don't
worry about doing favors for me in your
super pack I'll give you $100 million
but I don't want any favors from you
that doesn't work that way they'll give
$100 million and there's three favors in
the back and hey you got to change his
three laws to prevent this guy from
competing with me any president that
ever ran that needed the least
money the people of power hated I'll
give you a list of these guys John F
Kennedy his father funded 50 40 or 50%
the entire thing and then people showed
up a big number and by the way he said
I'm willing to spend 100% of it when he
became president who hated Kennedy it's
a long list of people are you kidding me
the oil people you got CIA you got
Federal Reserve you want me to keep
going you know the story you're a smart
guy there a lot of people that don't
like that guy why because he didn't take
money from anybody that they needed they
knew he could do it on his own Reagan
his own financing okay you go Trump his
own financing you go Hillary Hillary
Clinton 100% other people's money Biden
nearly 100% other people's money that's
a bit scary okay Kennedy was a Democrat
you know Trump is a republican it's not
like you're talking left or right but
maybe if like when when uh you you
probably know the story with Steve Jobs
when he started Apple when he started
Pixar right he put $7 million of his own
money into the company
okay we're having a meeting yesterday
with with Dana White at two-hour meeting
nice meeting and we're having a couple
other conversations about what could
possibly happen business dealings all
this other stuff guy comes to you he
says Tom we want to raise $10 million
for this project we're working on you're
going to ask we're going to ask probably
the same questions 80% will be the same
question 20% is going to be different
but what do you want to know so far
who's the management team what's their
past what's their background what's
different about this what's their blue
ocean do they already have a technology
is there an MVP what kind of results do
you have how many transactions have you
like our app man we've done nearly
10,000 transactions 100,000 uh times
this app's been downloaded we have
Revenue in the seven figure Mark so we
have a number to look at it now I come
ask you for $10 million and you say okay
what are you going to do with the $10
million I tell you oh that $10 million
I'm going to take five off the table for
myself and then we're going to take the
other five and I'm going to give myself
a $500,000 year salary and we're gonna
pay this person this and then the last
two million that's left we going to put
into technology are you given that $10
million no now watch this what if I come
to you and I say uh Tom here's a product
this is our proof this is what we done
this is our leadership team here's our
salary we're paying ourselves right now
the $10 million we raise from you and
your Camp I'm taking zero salary I don't
want any salary nothing and I don't want
to take a penny off the table we're
going to take that money to put into
technology you're probably more open to
the idea of entertaining this and if I
finish up with the following thing and I
tell you by the way Tom I have put $6.8
million of my own money into man you're
not going to say 6.8 doesn't even want
to take 6.8 right now of the money he
put into the business he's willing to do
it later on he wants to put 100% in and
he doesn't want a salary and he doesn't
want to change a salary in the company
you're probably going to sit there and
say what's the risk for me there isn't
let's talk about it let's get lawyers
involved let's look at the deck let's
get deeper etc etc if a president comes
in and they're running and they say I'm
putting XYZ amount on my own money that
kind of gets my attention because you're
risking your own Capital as well we we
have to we have to start asking um what
do you have involved that you could lose
if this thing doesn't work out you know
as an investor we have to look at hiring
our president and our governors in that
way we've not been trained that way
we've been trained to just he's been 30
years in public service is that a good
thing or a bad thing think well you know
30 years in public service we ought to
give him respect as a cop cool 30 years
I get it respect 30 years in a military
salute to you sir 30 years as a
firefighter that's a tough job you've
been 30 years as Congress what have you
done for the economy who's your funders
who's giving you money we have to ask
better questions now most people don't
want that conversation to be taking
place but I think our interview process
of whoever we pick that come with the
policies that's leading to the
catastrophes we're experiencing we have
to be a little bit more selective of the
presidents and the governors we choose
let me ask you do you see because I
think one of the real um one of the real
roads maybe it's a 0.1% chance maybe
it's a 70% chance uh what do you think
the odds that we are already in some
sort of Roman Empire like decline
meaning already in it in that it will
happen in the next 10 to 15
years
um I don't I don't know if we're there
I'm not in I'm not in the Doom and Gloom
yet
why because um the great thing about
capitalism is what here's the best thing
about
capitalism capitalism prevents you from
doing
stupid things because it's going to hurt
your capital okay when I recruited sales
people over the years I gave score
there's a scoring system in this book
choose your enemies wisely on who you
can have your running mates 15 qualities
for running mates and you score them
based on six different qualities okay I
would look at guys and I would say which
one of the people I work with is going
to give me the least amount of headaches
and here's what I learned
okay extremely good-looking guys and
girls single in their 20s gave me the
biggest headaches why CU everybody
wanted to be with them and testosterone
level's high at that level and guess
what they're going to fool around you
may be high one month and kill it next
month you're dating three girls in the
office and one of my best girls who made
a lot of money last year you just broke
her heart you left her for another girl
she can no longer come to the office cuz
she's embarrassed and she left us to
another company so do that for about 3
years and then go see 17 therapists who
have no clue what sales is like then
you're going to realize I have to change
my
Approach then I'm sitting there and
saying man that guy over there is so
boring dude he is so boring nothing's
exciting about him but he went from
making $500 a month selling Insurance to
$1,000 a month 3 months later to making
$2,000 a month 3 months later to making
$4,000 a month but a year later then
he's making $6,000 a month 6 months
later then a year later he's making
$8,000 a month then three and a half
years later he's making $118,000 a month
steady man you are there's nothing about
you that inspires me but you know what
here's what I learned he was married and
he had
kids so what's the point he has to make
it
work he has to make it work cuz he has
to protect those two kids that he has he
has a mortgage he has to make it work he
can't go screw around he's married the
likelihood of him going and clubbing and
partying with all the other single
people and smoking and doing ecstasy is
lower so I realized I have to invest my
time in people who are the most bankable
longterm stable home stable relationship
more things to live for more things to
work hard for more things that'll
prevent you from making stupid decisions
perfect now bring that into the Roman
Empire following all this other stuff
okay Jamie Diamond's not going to want
to screw up what he's doing and his
legacy is going to matter to him because
there's no way in the world he's going
to let Sandy wild be able to say I told
you guys that guy fed he was a nobody
he's not going to let that happen and
he's running the most you know company
that every day7 trillion dollar they see
come in and out JP Morgan Chase right
um Apple Amazon
Gates
Microsoft these guys have assets are
they going to let something crazy happen
to it I don't know
musk who is standing up against the
establishment he's not okay with what
the establishment is trying to do and
with social media a lot of this
bullshit's being exposed whether it's
talking about ESG and what Black Rock
and you know they're trying to do or
open Society Foundation or these Dei
scores CI scores which California is
famous for they're getting exposed
right and people are talking about it so
social media is allowing us to hold
people accountable I don't know if you
saw what just happened right now this
week with Supreme Court having a
discussion to say social media companies
cannot take anything off their websites
whoa this week so censorship at the
highest level you don't have the right
to take anything down people can post
whatever they want that's crazy if we go
that direction was that a preliminary
preliminary it's not done yet no it's
fully preliminary you got to look into
it yes so you got my attention so so
because Supreme Court is now what 54
right so now it's kind of like they can
impose and kind of push the envelope
there okay and they can protect sanity
in America with some of the ways that
businesses have been bullying people
during covid Co what it did do which was
great it was so awesome in one area you
know what it was what's that quote you
know absolute power you know uh reveal
what this person's driven by right you
know and and Lincoln said if you want to
test someone's character give him power
and see what they do guess what during
covid who did we give power to fouchy
CDC California New York uh governors of
some states had led too much better they
were like Emperors pretty much you know
hey if somebody in La you see them
without wearing a mask text this word
and we'll find them and D what are you
talking about you're paying people in LA
to snitch on other people it's a
part-time job what do you do for living
I snitch I make six grand a month really
yeah what an incredible way of making
money
so during covid if we're not oblivious
and not naive we realize what the people
of power really wanted to do and we saw
that in Europe everybody's walking
around with their covid passport and
they're kind of doing this kind of stuff
um so to me it was fantastic to really
see them show their cards oh this is
what you're trying to do to America
we're not going to let that happen what
did that do they got guys like Rogan to
flip I'm no longer on your side you got
guys like Elam oh so you were full of
[ __ ] the entire time I thought you were
trying to do something good got it I'm
not part of your Camp I'm gonna go by
Twitter Scott Galloway this guy's full
of [ __ ] Professor Galloway there's no
way in the world he's going to buy he's
bluffing all of you he's fooling all of
you there's no way he's going to buy
Twitter Elon Musk bought 100% of Twitter
and now Scott Galloway on Bill Mah last
week with Andrew Kom saying we need to
show some Grace we were wrong during
during Co we were wrong during Co I'm
sorry Professor Galloway did you show
Grace did you show Grace oh now you want
Grace but you never gave everybody Grace
and you're this professor from New York
who's had exits of a couple companies
and you've not taken salary from you
Berkeley respect you you simply go and
do the work I've seen the money you've
given to Berkeley $ three and a half $4
million but you don't have any Grace you
didn't show people Grace so what
happened now but it was beautiful you
saw what universities were doing Harvard
got exposed during Co no no more campus
you guys got to go home okay so does
that mean the annual tuition is still
60,000 or is discounted to 20,000 no no
still 60,000 what for what you're not
giving me food you're not giving me
place to stay you still want me to pay
$60,000 yes we do Bingo you just showed
your true colors beautiful that was
fantastic hey we want you guys to go and
work from home really yes all right [ __ ]
so I'm living in New York I'm working
for XYZ company they're pay me 250 Grand
a year I can't live normal life in New
York I'll go live in Florida work from
home except now I'm not paying the taxes
oh no no no no we don't want you to work
from home why now I can work from home
from Florida no we want you to come back
to New York now got it so you screwed up
the policies but now I'm in Florida I'm
not coming back to New York because I
actually love Florida and I'm stuck here
and people from California went and work
from home in Texas and now they're
saving a 133% now they're not coming
back so they were like oh people going
to come back they never came back right
the people never came back back so this
this Empire is falling the great
equalizer
Tom is social media if social media
sticks around and they can't silence
people from sharing their thoughts and
opinions I'm not talking about people
getting up there and saying we should go
do this I'm not talking about that I'm
saying hey what about this and we start
questioning things then the people of
power that revealed their cars not
everybody but the establishment that
wants to control more the people they're
like yeah we're not we're not doing that
bro you know what do you do if you're
playing poker with somebody okay and
you're going for the river and you
didn't hit you know FL you know whatever
uh uh pick something you didn't hit your
three of a kind okay you missed
everybody you got two pair it's a jack
you got a jack you got a jack on the
board all of a sudden you're about to
Bluff the guy maybe go in 50% of what
the chip is you know
there but one card accidentally falls on
the ground and you see it it's an Ace
and there's an ace under what are you
going to do what are you going to
do you already know you lost so guess
what the establishment revealed their
cards and we saw it and if we
don't realize it and do something with
it and they still move their agenda it
was our fault all along but if we site
and we unify and we come together saying
hey guys we the people have the power
they ain't going to push us around we
love this country country let's fight
for what makes this country great let's
go and support what this country was
great about let's bring it back to that
let's be a little bit more responsible
let's have better incentive programs
let's expect better policies from them
let's hold them accountable to what they
say they're going to do now we can go in
the better Direction and we encourage
certain people to run and get involved
in politics and office so I don't think
it's going to happen because I think on
one end capitalist the rich people are
not going to want to lose all them all
their money so they're eventually going
to be like yeah I don't support what
you're doing Soros yeah I don't support
what you're doing Charlie Munger said
something very interesting he says look
I love Larry thinkink but I don't want
him as my Emperor what a thing to say
fer here's a guy that's 94 years old I
don't know how old he is but mid 90s he
saying hey I respect Larry f but I don't
want him as an emperor because they know
what Larry think's trying to do people
are not dummies right so those types of
people I think are going to fight each
other enough and if we keep our eyes
open this will continue to be the
greatest country in the world and
hopefully even better if we rise up to
it if not the best days are behind us if
we don't learn our lesson from the last
three years it's interesting I have a
slightly different take if I put my I'm
paranoid hat on uh so I think that at
some point we started attacking the very
idea of structure itself which is how
you end up getting into the gender
conversation and once you start if it
takes hold and it's a very difficult
argument to figure out fure out how to
be both compassionate and draw hard
boundaries you put lines and boundaries
and one thing we didn't talk about is
you create rituals that create lines
that I'm no longer a child I'm now an
adult like really clear demarcation
points instead of like oh transition
effortlessly anytime from anything to
anything it's one of those ideas that
sounds awesome and it sounds loving and
it sounds caring but the outcome of it
is is to tear at the um infrastructure
that holds the society up and so it's
pretty interesting this is something
that um Douglas Murray who I have not
ever sat down with but I'm very familiar
with his work he's talked a lot about
Camille laalia uh has talked a lot about
this that in end stage Empires they
become obsessed with pulling apart the
um structures of the society and it
tends to manifest as a conversation
around the ultimate structure which is
male female so this is one of those it's
a a positive feedback loop and again I'm
I'm just wearing my paranoid hat I'm I'm
not betting against America I love it I
want to be here um in fact I I this is
going to be weird I can't believe I'm
about to say something that's going to
sound political it is not meant to be
political but I want to fly an American
flag I want to remind people that this
is a beautiful country and that it's
worth fighting for ideals of personal
freedom etc etc uh and that the way that
we rebuild build is by putting structure
in place that has a metric associated
with it so we can see whether we're
moving in the right direction or not
that would be the the thing so anyway it
this feels like a positive feedback loop
I don't have a clear picture on how at a
societal level we unwind it but I do
understand it at the individual level
and the things that we as an individual
person can do uh to make sure that we
are doing something that will be very
sweet you're very sweet and here what I
mean by it um I am so confused when I
hear a guy who created thousands of jobs
created a billion dollar of value for
people who owned
Equity that you're worried about saying
I don't want to be political about the
American flag because it may offend
somebody no I didn't say that I know
that but what I'm saying to you is even
the fact that you gave that
qualification to me is
um is where I uh I don't think we need
to be there here's what I mean by I'm
talking at this Christian School that my
kids go to and the the dean what is what
is above a Dean whatever the what do
they call the person that runs the
school what's I thought it was Dean no
there's one other guy there's something
about it that uh whatever it is the dean
reports to this guys do you guys know
what that's called or no not principal
it's a different name they have for him
Headmaster is it Headmaster sure okay so
Headmaster and uh he gets up there and
he's giving this talk to 600 kids and
he's bringing me up Veterans Day he's
like well you know America's not perfect
and we have this and we have flaws and
all this like peak of Co like a year and
a half ago I'm standing there I'm like
dude like where have you lived you know
have you lived in Iran have you lived in
other places like what what they think
about this place and I get up and I and
I say first of all thank you for this
and B blah blah blah and I said America
is the greatest country the world okay
and you know we don't care if you're a
Christian I don't know what your faith
is we're getting along I'm Middle
Eastern bro you're white every time
we're together we get along best
conversations when I'm talking to you
fantastic convers I got so much respect
for you to build what you build your
wife came in sweetheart gave me a hug
warm welcome your peers your people here
how you're working how you're moving
what you're doing having a blast
creating great content great
conversation
but I do think we need
to we need to have some um pride in how
great of a country we live in I think we
need to sell it I had Governor Des
sentus on the podcast two days ago we
did an hour live podcast he flew into
the office and it was a great
conversation he's one of the candidates
that's U you know potentially
presidential candidate and I said can
you sell America please sell America and
you know he did his best to sell America
in his point of view but I think we need
to do a better job selling America
saying selling the ideas of America
here's what happened the last couple
years I'm having this conversation I
don't know if I'm having this
conversation with Rogan or whoever I'm
having a maybe it was on the r yeah it's
on the Rogan podcast we're talking on
communities that hurt America okay I
said one is the tolerant
Christians who hurt America they're like
it's okay it's okay it's you're either a
Christian or you're not you can say
whatever you want about Muslims but what
guess guess what Muslims are they
believe their religion okay and you're
not going to be able to say things about
their Prophet you can't go say something
about Prophet Muhammad see what happens
go say something about Jesus see what
happens yeah it's okay he's just upset
you know okay cool all right the other
one is Libertarians because Libertarians
who are like do your thing bro as long
as you do your thing I'm good do your
thing do your thing do your thing do
your thing do your thing all right now
they're doing their thing with your kids
now what do you want to do it's too late
it's in your school well no no no I
didn't say that well I'm sorry you said
libertarian to each his own well no no
no that doesn't mean you come and do
this to my kids no it's called as long
as you do your thing I'm good to do your
thing they came back and haunted you
through your kids no I'm not cool with
that well then maybe maybe you're not
really a Libertarian maybe there's a
different element to your politics that
you got to really reconsider the the the
wealthy you know conservatives who raise
good kids who all of a sudden have all
this money but they're
afraid God forbid it leaks that they
have an element of conservative oh my
God I may lose my AUD I may lose this I
may L and go we won't be invited to
those parties and they're not going to
like us I'm today I'm having a
conversation with Chris CUO Cuomo and I
have turned into very good friends we
don't agree together politically we have
a great conversation together I'm at his
house in in uh Sag Harbor and we have
lunch and we go to his place and all of
a sudden he surprised me with a called
with Robert dowley Jr hey what's up pbd
what's up Robert dowy and I say hey kids
come see what this is oh my God it's
imagine a reaction of kids who watch
Iron Man die and they're like crying
saying he's alive he's alive he's alive
right here in the flesh but we're having
these conversation I'm sting thinking to
myself did these guys know my political
positions that I take and we're getting
along it's okay it's not the end of the
world this is what I believe in you know
but these Republicans that conserv that
took their money and they're like look
as long as we protect our money just buy
real estate have some assets but don't
do anything with all this money we have
no problem the other guys went and
bought New York Times the other guys
went and bought wo Time Magazine China
owned Forbes 95% of Forbes was owned by
China and 2021 International woman of
the year is who Hillary Clinton what she
doesn't run a business how about Oprah
winfy how about Cheryl Sandberg you give
it to Hillary what what did she do in
business Forbes is all business the guy
who ran Forbes the son the guy who
started it was his father but the guy
that ran it that took it to the next
level he had a jet Google this it says
capitalist tool his jet on the corner
the name of the plane was capitalist
tool his yacht it would said capitalist
tool the helicopter said capitalists
tool these are the tools a capitalist
use he had all biggest collection of
those eggs you know the Russian eggs
there's a name for those Russian eggs
Fab Fab that was estimated to be half a
billion dollars whoa this he had he had
15 of them his best friend was Elizabeth
Taylor best friend for his 70th birthday
party if you've never seen this guy's
documentary his 70th birthday party
everybody's there you know what he gives
to everybody on his birthday party a
Rolex who does that this guy's a
capitalist at the core and guess what we
admired back then wow life of the Rich
and Famous today is life of the poor and
the Miserables no we're admiring things
that people are grown up to want to
pursue no we got to edify the guys that
busted their taals to build a company we
got to edify the people that are
creating economy we got to edify people
that are going out there being good net
positive to society we need more Tom
billes in America but those three
communities and I can keep going with a
couple other communities but I'll stick
to those three
communities I think they have they have
they have uh they have given others a
lot of uh uh Power as a as a as a guy
who was an atheist for 25 years of my
life in the Army I've told this story
before in the Army I was invited to go
to this uh uh uh camp with this man
70-year old man and you know we were
able to jump into this Lake and play
pool and all this stuff but every night
for one hour he had to sit down with him
and listen to him read the Bible and I
would sit in the back I'm like dude you
can tell me about Bible all you want I
want you go back to Iran and see what I
saw when we got bombed go ahead go see
what I saw go see the parks I used to go
to and these buildings I were torn down
when I see what's going on right now in
Palestine Israel I live this I the whole
alarm T Joe T Jo
ales attention attention red signal
means that planes have crossed the
border the enemy is here you know what
that does when I listen to this I go to
YouTube sometimes and listen to to see
how quickly I can go to the 8-year-old
kid and see it the other day my sister
sends me a picture says hey this is me
and you at 8 years old you remember this
I said okay what's the big deal with
this picture we got a lot of pictures
like this she says you know how you
always talk about the windows dad used
to tape look at the windows I see the
windows it's the tapes from my dad they
put the tapes because when bombs would
explode they didn't want the glass to
explode all over us they wanted to stick
together that's what we did in Iran and
you know so
today when you see this whole concept
of you know I'm at this camp in the
military you know he gives me a Bible he
says this my parents gave me this Bible
December 24th of 1974 and son I think
you need this more than me I said sir I
promise you're giving it to the wrong
guy he says just please take it from me
you need this I said I don't need this
keep it it's a gift your parents gave
you I have the Bible till today he gives
it to me I don't read the Bible it sits
at my barracks in the Army but I started
praying three times a week three times a
a day every day and here's how my prayer
was God I don't believe you exist I
think it's for weak people but if you do
exist cool let's see what you got if you
don't it's going to feel good talking to
myself anyways because I know nobody in
boot camp now from Iran there's not a
lot of Iranians in boot camp
So eventually that idea of having faith
is what Hitler feared he did not want
people to have faith the whole Dietrich
Bon hoofer story if you read what he did
he didn't want people to have faith he
wanted to eliminate having faith does
that remind you of anything we can't
pray anymore we can't do the pledge
allegiance when kids go to school oh but
we should learn about lgbtq stuff yeah
it makes a lot of sense let's take out
faith and let's replace it with somebody
may be gay you may be gay your mommy and
daddy don't know so guess what happens
parents in Florida are saying we don't
feel comfortable because our kids want
to transition and Governor the santis
doesn't allow so we're moving to
California they're coming to your state
and people have started making decisions
saying it's okay if they take these
pills under 18 years old what are you
talking about what are you talking about
so an under under 18 years old I can't
own a gun I can't join the Army I can't
under 16 I can't own a car I can't have
a driver's I can't drink alcohol but I
can change my sex you tell me somebody
who has Common Sense sell that to me
over 18 go do it totally get it under 18
in what
logical manual of a group of 100 people
people that can reason they could say
this makes sense there is no none of
that it's gaslighting so we have to sit
there and listen to it and say and by
the way I know this is off brand for you
this is not the kind of conversations
you have on on you know I don't want you
to get uncomfortable but I am completely
comfortable for me I think we need to go
back to square
one we need to go sit there and like I
was having this conversation with a
group of people who are not Christians
and I said you got five countries to
live in where do you want your kids to
be raised a country that's atheist they
don't believe in anything
a country that's Catholic a country
that's Muslim a country that's this a
country that's a country country that's
Christian what do you want to raise your
kids where do you want to raise your
kids they're like well probably more
country that's this okay why why because
the values and principles are XYZ great
no problem even we had a the debate the
they had two Muslims and had two
Christians on a podcast and they're
debating each
other and the guy's talking about all
these things and then I said listen I I
I have a lot of Muslim friends I great
conversations why don't people immigrate
to Muslim countries why do Muslims come
to America I don't know why do we in
America have all these different
denominations all over the place nobody
cares why don't they move in to these
other places oh it's purely economical
okay why aren't we moving into many of
these other places that economically
they have a lot of oil why are we not
doing that well it's this this that
totally get it by the way to the
Christians who get upset and like well
you know but you don't understand what
Muslim are doing and they're going to do
this and eventually they're going to run
America of course they are how could you
say that they're having 2.9 kids per
women and the rest are not not even
close so mathematically yes we're
eventually going to have a Muslim
president if we haven't already had one
eight years ago we're going to have
Congress being controlled by them and
that's also Senate on the competitive
side instead of being upset about it why
don't you start having more kids we're
not having enough kids so the people
that should be having more kids are not
having enough kids and the people that
shouldn't be having kids are having way
too many kids this is also a problem
that we're not talking about so to me we
have a lot of
issues some we can address the next 3 to
five years some that we can fix and make
progress on the next 10 years some of
it's going to be 20 and then some of it
is what Bray doio talks about and that
he's talking Investments but I'm talking
a cycle of 50 years that it's going to
take us but these are the types of
things that we should have open dialogue
about we should be comfortable selling
uh America we got 53 million immigrants
in America more than any other country
in the world and it's not even close
there's a reason for we can ask the
question why maybe we offer the best
thing in the world and we need to
protect of that and people who come here
it shouldn't be I'm having this
conversation with one guy on my podcast
I said if an immigrant comes to America
who owes who does America owe immigrant
something or is the Immigrant that owes
uh the the country something oh America
ow The Immigrant America doesn't ow
immigrant
nothing
nothing the person coming here owes
America everything cuz they let you
in that's who owes the other person well
no you you're how could you think like
that you're thinking like what they did
a 100 years ago no no it's called
logic it's called logic you're allowing
me to come into your Homeland and you
owe me dude you don't owe me I owe you
thank you so how do you show gratitude
how are you going to show gratitude so
you're an immigrant Now in America how
are you going to make America a better
place like like what we had before when
you would go to you know uh um what's
that island that you would go to and you
would show what talents you're bringing
and that would let you into America LS
Island LS Island right okay so all what
do you bring to the table you know
nothing I'm just excited about the
benefits you guys offer but what do you
bring to the table we need to kind of
present this argument why should you
earn the right to come to America and
what can we to get the best immigrants
coming here what can we do to get the
most educated people coming here who are
from IIT graduate people what can we get
the people that are best in math that
are bringing something here these are
very basic Common Sense conversations
that the last three years people from
Academia and universities have confused
the hell out of kids where kids coming
out of college today are questioning
common sense at a guy that's one of my
seet executives every time I would talk
to him I would say how's your daughter
doing how's your daughter doing how's
your daughter doing he says breaks my
heart I said tell me why my daughter and
I were like this I spent $200,000
sending her to this XYZ School in
Illinois every year my daughter hated me
more by the 4th year she didn't even
want to come back to the house she moved
to LA wow I said you got to be kidding
me he says Pat I spent $200,000 to lose
my daughter now here's the thing odds
are my daughter's probably going to come
back but she may come back at 32 I could
lose 10 years of my daughter's life at
this age at this age I will look at his
face this is a performer this is a
rockstar he's a leader he's a mul he's
had multiple exits he's a leader
successful guy but you could see the
anguish on his face that's not cool
that's not cool so you want me to send
my kids to you and you pin them against
me and I'm the one that paid the money
to go to your college that's not okay
while you're sitting on $60 billion of
money in your endowment that you can
afford to pay every single students's
College tuition for the next Hundred
Years yet you want us to pay you $60,000
per and I stay home instead of go to
your college yeah you you showed us who
you are and I I am not going to forget
it I'm going to impose and I'm going to
keep talking about this stuff and enough
people are going to sit there and say
that was an interesting conversation you
know maybe we need to think about that
babe did you hear what he just said did
you hear what she just said and then
collectively 2 3 4 5 10 years down the
line like I used to not be awakened to
see what's really taking place cuz my
head's down building a business I don't
care about politics I'm just simply
trying to build a business and then all
of a sudden you're like no man I got
four kids an 11 10 and a 7-year-old and
a
2-year-old we got to kind of be involved
I know I went off tangent but when you
made that comment about I don't want to
be political
America I think you're the prime example
of what makes America great and we need
more people like you are men today weak
and if so what can we do about it if you
look at data yes from 19 60 till today
our population has increased around 90%
but in
1960 7 million people used to live by
themselves today's 38 million W 442
increase right so what happens when
we're alone you don't have competition
kicking your ass challenging you pushing
you having all that stuff taking place
standards today are slightly uh lower uh
you can look at strength with men with
boys what they have going on
uh then there's another data that's
deeply concerning when you look at from
1940 the percentage of kids that were
born to a single mother in 1940 was 4%
1940 4% that means 96% of kids that were
born in 1940 were born in a household of
a mom and a dad in today we went from 4%
in 1940 to 40% today wow that's 10x a
data we do not want to be bragging about
by the way worldwide we're the worse
when you look at data China India they
keep it together we don't keep it
together Middle Easterns they keep it
together Muslims keep it together but in
America we've gone a complete different
way now some people will say this was
FDR's bad policies because the whole
welfare state some will say this was
Lyndon Johnson but regardless who we
choose to blame and put the
responsibility on here's what we will
look at a father offers two things that
naturally comes to him when it comes
onto boys so when we're talking choose
your enemies wisely I'm talking to Tom
Brady and usat
Tom when I look at somebody that does
something very big they have three
things in common one they experienced
unconditional love so somebody that no
matter what you did you got arrested oh
my God babe are you okay what happened
in jail did they do anything to you like
you can't do nothing wrong in this
person's eye like you actually
understand I cannot believe this human
being loves me and I can go to jail you
still love me freaking awesome right we
need that the second thing we need is an
unbelievable amount of pain from someone
you loved meaning no matter what you and
I do we can never make this person happy
you can win Mr Olympia you can become a
billionaire you can become a president
you can become whatever you want to
become this to this person's eye it's
always going to be like yeah whatever
but yeah whatever so you're you're never
going to win this person and your entire
life you're pursuing converting this
person and baptizing them into finally
celebrating your success right and the
last thing was you choose your enemies
wisely Brady chose his enemies wisely
Dana White chose his enemies wisely you
got a lot of these guys that you look at
so where am I going with this you come
back to the boys you're asking about
young boys not having a father father
gives one of three elements that you
need as as a kid growing up you have to
be loved but you need somebody you fear
and you need somebody you respect if a
boy is raised most boys you get to an
age I remember one time I'm 14 years old
my mom is hitting me and I'm like what
are you doing your hand hurts what are
you doing so last time she hit me cuz it
it hurt her when she's hitting me I'm 14
years old it's doing nothing to me that
was the last time I said you can hit me
all you want it's not going to do
anything to me so what happened in that
moment I no longer feared her I no
longer saw from an authority place I
just saw from place that I love her not
fear not respect like you're going to
make me do something you can't make me
do anything I'm coming on at 10:00 my
parents were divorced I'm coming home
whatever time I come home where were you
not your business I'm home right that
that kind of respect that a kid will
have but a father if you have fear
respect and love that boy has a highest
likelihood of doing something big with
his life our current incentive program
in America our current tax system in
America doesn't reward husband and wives
having kids together that decreases the
chances of a boy being raised by a
father what does it do produces Reckless
criminals produces kids that don't have
order produces kids that think they can
do whatever they want to do and
essentially they become net negative to
society so you ask me the question I
would say yes but it's a
multi-dimensional answer yeah so when I
think about what it takes to form a
strong man in a time where the thought
of power itself is considered negative
so this would be now
23 24 years ago I created a domain
called seeking power and I remember
telling people about it in the beginning
and there was just sort of an intuitive
oh yeah I get it that's cool but
somewhere over time that became like oh
power like that's such a gross thing
it's almost disgusting to want power I
was caught so off by that because I had
my head down I was building something
and I was building things in a way that
absolutely required aggression and power
and when I look at people that want to
do something big in their lives that
aren't able to generate power they're
not able to tap into aggression I'm like
you're not going to be able to do the
things you want to do you're going to
have a sense of internal weakness um a
sense of frustration not knowing how to
make the things come true in your your
life that you want to and then if you
layer on top of that a victim mentality
and somebody tells you no no no the
problem is that somebody's holding you
back or whatever you suddenly have a
story for why you feel the way you feel
but it's not the true story and so to me
that creates this like death spiral of
for forget like I'm not doing it as like
a keep off my lawn thing but I'm really
mortified by what is being pushed as
like this is what we should aspire to
and reading your book was really
interesting because your book isn't
about how to make strong men but the
tactics of getting successful at
building a business and obviously it's
more Nuance than just building a
business but it is an easy way to talk
about it um you basically spend 300
Pages talking about how to cultivate
capture and use aggression so walk me
through what what is the trick that
people are missing one do they need to
uh understand power Revere power what is
power you ever read the book power
versus Force I'm I'm certain you read
the book okay power versus force a guy
like you good luck putting it down it's
it's it's written for a guy like you so
the author David Schwarz talks about
different levels we go to where we
calibrate at the bottom whatever these
eight levels are you're trying to force
life and then the next levels you
actually start gaining power you start
becoming powerful right so at the bottom
the lowest level of calibration he talks
about is shame then it's guilt aathy
fear anger Pride desire like I desire
drugs alcohol stuff like that first
level of Consciousness that you start
gaining power and control of your life
is courage you have the courage to be
wrong you have the courage to fail you
have the courage to talk to people you
disagree with courage then it goes
willingness then it goes acceptance then
it goes neut neutrality like I can stay
neutral like you have a very high score
if you look at the book your score is
going to be high because you have
courage you're willing you're able to
stay neutral and process both sides of
the story acceptance then it goes love
joy peace Enlightenment and
Enlightenment there's only been two or
three they put at that level this is
what you talking about Jesus people like
that in regards to the aggression you're
talking about or the the power why
should somebody have you know fight for
the power or how to go about getting the
power it it it all comes back down to
what level of a life you want to live
okay I'm having a conversation with this
guy and I said do you believe in God he
said I don't believe in God I said okay
so what is God everybody has a god it
doesn't matter who you are you got a God
no I don't yeah you do no I don't I
don't I don't have a guy oh really no
why are you building a YouTube channel
with 4 million subscribers this is the
guy I'm talking to you know who he is he
why are you building something like this
what what are you trying to get what are
you seeking maybe your God is data for
some people got his sex for some people
got his porn for some people got his
drugs or attention or whatever it may be
right power is a similar way as well you
know years ago Phil donu was
interviewing Milton Freedman this we're
talking 50 years ago this is in the 70s
7478 he's wearing a yellow if you put it
I think it's like 43 minutes and Phil
Donahue who at the time was a socialist
you know it kind of came from that side
he says so why do you think you know
what do you think is the problem with
all these greedy people in
America and Milton fredman smiles and he
says it's always the other fellow that's
greedy right you're not greedy at all
he's saying to him he said oh we're
definitely not greedy here it's always
the other person right everybody's
greedy everybody's selfish everybody
wants power everybody you know wants to
get a certain level of attention
everybody wants to win everybody wants
affirmation to be affirmed and say you
know what you're a leader you're a CEO
you're a rockstar you're this we want
that that is a form of us being almost
proud of ourselves that our existence
was worth it everyone's going through
this journey how you go about it is
trying to question everything you know I
remember this whole concept of selfish
now that guy is selfish that guy is
selfish and then you'd say I'm not
selfish and you would fight it you know
what you got lucky I didn't get lucky
you don't know how hard I work to be
this and then eventually I'm like I'll
dance with you you got lucky I agree
you're selfish
yeah you don't have anything to say
because everybody is selfish everybody
wants to be lucky I don't mind being
lucky but here's what happened in the
book there's a section where we talk
about the selfish selfless score right
what percentage of you is selfish and
what percentage of you is selfless so we
had a a focus group that we did and
we're ask in a group we said what is a
person who's a 100%
selfless 0% selfish look like and what
is a person who is a 100% selfish 0%
look like then who is actually more of a
net positive to society you know what
conclusion we came with the person
that's selfless probably smells doesn't
take care of themselves they don't care
about themselves they don't wear nice
clothes they don't eat good food they
don't take care of themselves
everything's about other people it's in
a state of Conformity and the other
person that's selfish 100% probably
doesn't make a good friend probably
doesn't make a good spouse but they
probably look good they probably smell
good they probably make good money they
probably eat good food they probably
find a way to win do you want that
person as your CEO no do you want that
person as your husband or your wife no
do you want that person as your
president absolutely no but guess what
individually just for the sake of
selfishly not embarrassing themselves
they're going to do things cuz it's all
about them so then we broke it down and
we said what level of calibration is
good to be a SE of a company okay do do
you need a 3070 30% selfish 70% selfless
well no that's bad why because we need
you to have Big Dreams we need you to be
pursuing something we need you to be
after something if you're not pursuing
something why are you coming to work
early why are you spending a weekend
thinking about ideas you're not going to
be thinking about that somebody's
driving by the freeway the average
person's like oh nice thing right there
you're going to be like babe can you
pull over let me go in there oh I just
got an idea think about it look at it
from this angle what if we did this to
the company and what if we brought this
product let's walk inside and see what
this building looks like cuz you're
constantly thinking about getting closer
to the vision that you have so we learn
the profile of somebody that is at the
right scoring to be a leader is 7030 70%
selfish desires you're going after
Vision who you want to be the life you
want to build then 30% is selfless that
person makes for a good father that
person makes for a good husband that
person makes for a good leader that
person inspires others to go that person
challenges others that person's not
going to get too content too comfortable
so as we're talking about aggression or
power or or any of that stuff you know
somebody may be listening to this and
they're going to say man you are not my
cup of tea totally get it I'm not for
everybody but the right person watching
this they're going to be like that makes
a lot of sense I've never seen
selfishness explain that way before that
makes a lot of sense I've never heard
Milton Freedman explaining greed that
way before that makes a lot of sense
about power okay let me find a way for
me to become a net positive to society
and then you kind of go through that
process but we got a lot of words that
we have a hard time with because
somebody told us it's a bad word you
know be powerful have power be selfish
you know greed no no no I don't ever
want to have any of those and I don't
want to be lucky when you break it down
and you actually look at it people who
ended up winning at the highest level
they got lucky they seek power they had
selfish desires they were greedy ended
up having a life that they had and they
were more of a positive to society than
people who didn't have those four things
they also inspire people there's to me I
think what all this ultimately boils
down to is nobody and I mean nobody
wants to feel out of control and once
you understand that to gain control of
your life you must have at least Power
by mind definition so my quick way of
defining power is close your eyes
imagine a world better than this one
open your eyes and go gain the skill set
necessary to actually make that world
come true and so it's really a battle to
get better at something that matters to
you and serves yourself for sure but
also other people and if you live in
that Pursuit you will very quickly
realize that you are up against the
world's tendency to move towards chaos
now people hate it when I frame it in
that this is just the second law of
Thermodynamics the world moves towards
chaos that just is true it's entropy but
I guess because it has a weird word
attached to it people don't really stop
to think about it but if you're trying
to be an entrepreneur I will tell you
there are two enemies that you're going
to face your own mind and entropy and
entropy as represented by uh your wife
Falls ill at the worst possible time
when you have a major
presentation um you have a competitor
that's trying to take you out you get
sued by somebody uh in a moment of
fragility whatever like there is going
to be a Litany of problems every day is
like getting kicked in the face and in
those moments the only way to persevere
is with a level of ferocity like you
have to be able to push through those
storms to inject enough energy into the
system that you can bring order to an
otherwise chaotic system and move it in
the exact direction that you want it to
go but to do that you really have to be
able to get aggressive that's the the
kindest word I will give to it you're
very unabashed about talking about I'm
using my own words but talking about
aggression in your book what I call the
dark energy um one do you agree that the
reason that you the reason that I would
want men anybody listening to this any
man certainly out there anybody that's
training you to um you should have a
gear that is soft you should be able to
be gentle I'm not trying to create um
people that that only have one gear but
one of your gears should be aggression
Focus determination the ability to run
through a wall to ensure that something
gets done that will not happen by
accident you're absolutely going to have
to make that a value turn that value
into a set of skills courage being one
of them and then pushing yourself
forward in a very specific way towards a
very specific aim do you agree with that
need or am I miss I love the way you put
it I love the way you put it so the keyw
here we use is business planning for the
audacious few right audacious few
audacious few it's not for everybody
it's the audacious VI for example when
you break down who you want to be on
life okay I don't know if you're a
sports guy or not you watch a sports
team there's a guy that's just a
Supporting Cast that's what he does
that's the role he's going to play
there's a guy that is coming off the
bench and he does what he does then
there's a guy that's the flag carrier to
the best guy okay each team's guy a flag
carry in a lot of places there was this
player named Paul George he runs a
podcast with uh one of my good friend
Dudley Rutherford son Dallas they do a
very good job together and they
interview other uh basketball players
and he said something so powerful in one
of the podcasts he says look it took me
years to realize I can't win a
championship as a number one he says
I've been the best player on a team I
can't win a championship as a number one
I can win a championship as a two and a
three but I can't win as a one guess
what he realized he has to be a flag
carrier he's not a one this week I had
Ronda santis on the podcast Governor
Ronda santis right did you watch the
whole thing cuz it's a pretty uh fiery
podcast that caused you have so much
content now that uh well and ended up
causing the number two trending hashtag
for two days did you guys end up arguing
cuz the part I saw you guys were very
cordial we we didn't end up arguing but
I asked him a couple tough questions
about marketing his boots and all this
other stuff and a video of him Trump
anyways it was it was a bunch of
different things we talked about but
when I'm talking to uh the stist I asked
him the following question I said I
think there's two different types of
presidents and he says what type I said
one is Alphas y Lincoln is the alpha
ulysis ESR is the flag carrier he became
a two-term president not a great
president but he was not an alpha okay
he needed Lincoln to be the flag carrier
to Ike Alpha Nixon he was a flag carrier
John F Kennedy Alpha LBJ took him out he
became president allegedly you got
Reagan Alpha okay senior is a flag
carrier you got Obama Alpha Bill Clinton
Alpha those two are alphas Trump Alpha
George Bush the son flag carrier father
lineage
Prescott then you have Biden today he's
a flag carrier he his way of becoming a
president was Obama you're the greatest
you're the best you're this you're that
boom this is your opportunity for being
loyal to me now I will come work for you
you become the president right I ask
Governor Des santis do you think you're
the alpha or a flag carrier okay now his
answer could be whatever he thinks it is
but the market is going to determine
whether he's an alpha or he's a flag
carrier so what do you think he said
Alpha well technically he said I'm a
leader and by the way you may be an
alpha in a room of 50 you may be an
alpha in a company of a th000 you may be
the alpha in a company of 100,000 you
may be the alpha in a state of 30
million but you may not be the alpha in
a country of 340 million Alphas have
levels and it depends what level of an
alpha you can be and that's very tough
to swallow for everybody it's not for
everybody and why is that here's why you
said something very interesting you used
a couple words and you said you know two
reasons business all this stuff you know
your wife gets sick and you're going to
an appointment what do you do with
that there is no manual that says hey
when your wife gets cancer 19 steps on
what to do next there is no such thing
as that your your son just went through
this here's a eight steps one there is
no manual for that in life and by the
way the people who went through those
situations like a I recommended this
book recently I read the book 2008 when
it first came out uh by the coach of
indet Indianapolis colds uh the book is
called quiet strength Tony dunie okay I
don't know if you know the story or not
he's
coaching the weekend of Super Bowl he's
about to win his first Super Bowl ever
okay his son dies at 23 years old Jesus
his son dies at 23 24 years
old there isn't a single person in the
world that's expecting this guy to be
there on Sunday to coach if he didn't
what would you and I say we wouldn't
judge him we like do it what are you
talking about totally get it this guy
chooses to show up to the game with a
smile on his
face he says cuz I believe he's in a
better place he's with God right now now
I'm at peace they win the game I got the
chills all over my body he writes this
book quiet strength Incredible Book I
remember I heard this guy speak gave a
talk when he came out
and go explain that to somebody and say
hey you should go coach nobody has the
permission to tell anybody to go coach
that's the individual's level of
handling chaos pressure pain and
everyone's different than that there's
not a manual for that however where
where I'm going with this on the alpha
side is
if you want to be the guy of the guys of
other
guys you can't go by the standard as
everybody else does for example um world
war II's taking place okay Chamberlain
has doing what he's doing UK the most
hated guy in that country is a
journalist who talks [ __ ] about
everybody okay who Chamberlain hates
disgusted by him very arrogant very very
cocky pompous sometimes if Twitter was
around when Churchill was around he'd be
on Twitter all the time that kind of a
guy he had an opinion about everybody
and he was only 5'6 you know what
chamberlan has to do he has to beg
Churchill to show up Churchill shows up
the only man that was able to face the
most feared man in the world was
Churchill Churchill may be the reason
why we're doing this interview in
English and not in German today think
about the power of that however the
chills this guy Churchill that we're
talking about was hated but he was a
wartime
leader when War took place everybody had
to call the person they hate the most
cuz they they knew they were not cut for
that job it's not for them so there's
the levels of alpha there's a levels of
success you want in life there's a
reason why Jordan said you know if you
don't want to play you know but I'm
going to win in the last St and he
starts crying you know you're like dude
I can see this guy's fire that's why
there's only one mic that's why we were
all blew to the screen for 5 weeks on
Sundays watching two episodes from 8 to
10:00 and we were all blown away by how
this guy was a wired but who got pissed
off afterwards Scotty Pippen and then
Scotty writes a book and in the
interview he's being asked Scotty how do
you want to be remembered and he's got a
smirk on his face he says I want to be
remembered as the greatest of all time
dude you're not a greatest of all time
you're top 50 see he forgot he was a
flag carrier and he wanted the respect
of this guy to have the respect this guy
is not duplicatable that's a lot of
effort so for somebody watching this
again choose your enemies wisely but
it's business planning for the audacious
view not the timid majority it's not for
everybody this is for the audacious view
if you feel you're part of the audacious
view this book's for you if not it's not
for everybody this is admittedly meant
to be inflammatory but I care so much
about the answer to this that I like the
inflammatory nature of the following
question what should a real man be like
I believe there are a set of things that
I am perfectly comfortable laying out
saying this is what I think what should
a real man be like what are the
qualifications what should a real man be
like
um you know for me I had a a man Monty
he would say something he would say you
know your house every 90 days you should
you know they should feel the fire but
not enough to burn a house down but
every 90 days your kids should see what
you're capable of okay where they're
like ooh I just saw that sight of that
okay and his reference was with your
people you're working with with your
salespeople now today God forbid you say
this on H po they're going to say you
have mental issues okay you need to go
to therapy you need to go hire Jack
Nicholson to go through a real life of
anger management and you're Adam Sandler
and you know you have issues you have
you have anger issues but there there
needs to be a certain level of fear and
respect where a man imposes but you
don't have to use you know the reason
why they call it a great equalizer the
gun is because you knew I had it but
that doesn't mean I use it what's the
whole purpose of Jiu-Jitsu or martial
arts is for the other person to know
look bro you just don't want to fight
that's all there is to it I have no
desire to fight you but if we do fight
it's going to be very bad there's this
video on on uh uh Tik Tok and Instagram
that went viral and his father is
outside this guy's punking his daughter
every time he walks by he says bro
what's wrong with you what's the matter
with you and the guy's swinging he says
don't do this I don't want to do this to
you he starts swinging he say I'm
telling you I'm telling you again don't
do this I'm going to hurt you the last
time he does the dad picks him up drops
him to the ground drops him grabs his
hands doesn't punch him one time he said
how many times did I tell you don't do
this I know what I'm doing cops come
take him and go away
right the
marketplace should know what you're
capable of now to get to that point
takes a while when you're a kid when I
talk to my kids and we talk about the
values and principles we have where we
lead respect improved La we don't get
bullied and we don't bully that's our
principles that we have um my son knows
the market today for him is the school
he goes to the school just needs to know
what you're capable of one time Market
is going to do its part everyone's going
to talk to each other you don't need to
do it 50 times you don't need to do it
100 times you need to do it one time
once they know the other people are like
you know what not the biggest guy but I
just don't want to mess with that guy
because he's annoying he's going to keep
fighting you leave that guy alone let me
pick on this guy right and then that
guy's job is to do the same thing so
from that perspective um I think it's
good to have a reputation in the
marketplace uh I think it's good to have
a reputation within your family where
your spouse feels protected by you when
we got married at our wedding at the end
of the wedding uh everybody's hammered
everybody's drunk and I got up to give a
speech I said I got a couple things I
want to talk to you guys about there's
500 people at the wedding I said one uh
I don't know how long we're going to be
married we're going to take you one year
at a time but if we take a one year out
a time maybe we'll make it I can tell
you guys all right now I think we can
make it for one year every year we've
taken a one year at a time we're at the
14th year we just crossed 14th year okay
two I said if you
come to my wife at any time without us
telling you if my wife is pregnant you
will never see us again it's none of
your business you go through me and you
don't ask her that question cuz you
don't get to put that kind of pressure
under my wife and say you guys are not
getting pregnant are you sick are you is
it him is his thing not working is your
thing not working don't ask me that
question because you'll never see us and
I'm being I have some levity while I'm
saying this where it's not like I'm
being a drill sergeant talking to
everybody but it's a way of managing
expectation where my wife feels safe to
know you know what we're going to be
okay I think if you ask that from the
man's standpoint there's an element to
it as a husband there's element to it as
a father there's an element to it as a
son to protect your father there's an
element to it as a brother to make sure
nobody messes with your siblings then
there's an element to it when you become
a CO of a company to know that you're a
formidable guide that people are not
going to bully your company and if they
do you're gonna have their backs You're
Gonna Stand Up in politics eventually
you get to a point where if you become a
president
fortunately one of the biggest problems
we got in America right now is those
three components that I talked about
love fear respect love fear respect if a
father has all those threes you're
Trifecta if if you if you are loved and
you know how to love if you know how to
impose the right amount of fear and if
you are respected you have to Mi sure
that that makes for the best cocktail of
parenting and leadership as a president
as a president if the enemy fears you
if the enemy respects you it doesn't
matter if they love you but if they fear
and respect you chaos are down we have a
president today unfortunately that's not
feared that's not respected and is not
loved what happens worldwide chaos when
you have leaders at the type at the top
leading the way as the number one alpha
and there's not fear respect and
love catastrophic situation you're in
and that happens in marriages companies
parenting parenting as well as countries
loving America shouldn't be political I
wish I could say who the following
person is because people know him uh but
I have uh somebody I'm friendly with I
would not call him a friend I just don't
know him well enough but uh people
certainly know his family and he said oh
I put an American flag up in front of my
house and I was like I guarantee that's
going to get torn down he was like yeah
it already has been and I I was like H I
hated that I that that was obvious that
in Los Angeles flying a flag is is a
political statement that for many
borders on right-wing
extremist and that is so startling to me
as a child of the 80s where I was
supremely proud to be an American it was
awesome and I could take it for granted
I mean obviously not everybody in
America loved America but that's how it
seemed I thought all of us like there
was just enough people that were so
proud of America that you could take for
granted so I never knowingly ran into
anybody that didn't love America as a
kid it was an awesome feeling and as
that has waned I've often said to my
employees like I'm sad that you guys
didn't get a grow up in the 80s when you
knew and look true not true almost
doesn't matter but you knew America was
the greatest country in the world that
the world was going to get better by the
day you knew who the bad guys were you
knew who the good guys were and you were
it like we were exporting our culture
everywhere everybody wanted to to come
to
America it was awesome and to have
watched that flag is crazy now for me
the way that the you you speak as a um
Warrior for the cause that's my language
clearly not yours but like that's how
you feel to me and that isn't my natural
voice and I get a lot of [ __ ] from
people I respect a lot um in the natural
way that I talk uh you said I was very
sweet I'm actually not trying to be
sweet I'm trying to exist in the world
of actually understanding all the pieces
that are at place so I can build a
strategy that will actually be effective
and so what I see is that you're you're
in a a fight over values and as long as
you understand that you're in a fight
over values and then you can either
realize you have to convert them
religiously because values are religion
you have to convert them religiously or
you have to defeat them I won't even get
into what that means but those are your
options and so I'm simply trying to be
honest with myself about what what the
battle really is because it isn't that
they don't understand your position it's
that they think you are wrong and that
you are going to ruin lives and I think
that's how you think about them that it
is uh they are wrong and they're going
to ruin lives and I will say people with
ineffective ideology are wrong and
they're going to ruin lives that's
certainly my stance so then it just
becomes a question of where do we where
are we all drawing lines about what's
right and what's wrong but once you want
like to me there are only two conflicts
you can have there is um much to do
about nothing where you just have
different base assumptions so we believe
different things to be true but we don't
even realize it so I believe the world
works this way you believe the world
works that way and if we could at least
explain that to each other then we could
be like oh wow if the world really did
work that way then I would understand
why you see it that way Collision of
values is there is a God God is good God
is right and God gives us these
Commandments in a book and if you adhere
to them you're good and if you don't
adhere to them you're bad now if I don't
have that value now we've got a problem
because there's it's not that you don't
understand what I'm saying like I don't
believe in God I as far as I can tell it
is just self-evident that there is no
God now however and this gets where
[ __ ] I dry people crazy but since I
know everyone has a god-shaped hole in
their heart and that you eject religion
at your [ __ ] Peril and what we are
living through right now is this is what
it looks like when you eject religion it
will get filled with something because
people have a god-shaped hole in their
heart they are going to have a religion
they are going to have something that
makes them feel like a messiah 100% And
the fact I've heard you talk about this
so I know you know George S Soros
literally referred to himself as a guy
God and said that I have a messiah
complex uh that I worry sometimes will
get out of control it's like yeah that's
the Human Condition and so we all want
to feel like we have done something so
Grand and so joyful to this world that
we feel a bit of that Messiah complex
and I'm team be paranoid distrust
yourself that's my team I think people
blind themselves and act a [ __ ] fool
and they take everybody down with them
now I'm also optimistic and I know that
we're capable of love and so right now I
have kind of a uh a dark hat on because
I want people to understand what my
position is my position is people are
[ __ ] stupid they do dumb [ __ ] all the
time and I'm one of those dumb people
and so I'm really trying to understand
what's actually happening cuz I have my
God as you said earlier they have their
God and I could get them to understand
my God which is probably founded closest
to
freedom and they're still going to
disagree and now because I know how
violent and destructive humans can be
for the last three years I have been
like
oo you know when an earthquake first
starts you don't know if it's going to
be bad or really minor when 2020 popped
off I'm very fortunate to have an EXT
extraordinary view but from that
extraordinary view I could see La
burning and one of the photos on Twitter
was a picture of my house and it said
burn the
rich and I'm watching La burn as I'm
reading that tweet and I'm like well
then I feel the ground slipping
underneath me and I don't know how bad
it gets and
so I opened all this with Now's the Time
for paranoia I don't know what the
future holds maybe tomorrow everything's
great and Israel diffuses and Ukraine
and Russia diffus and all is well and
Taiwan gets left alone for another
generation maybe that'd be awesome and I
don't know I don't know I can't predict
the future but godamn can I feel the
Sands moving under my feet Yes do I know
if it's about to be big or small no why
do you create
content why did I start or why do I do
it now why do you do it now you don't
have to do it you you you have plenty of
money why do you do it you trying to be
famous I don't think so I don't have why
do you create content I need to be
famous uh I create content because I I
don't I don't think that's you I I don't
see you as a guy that's doing it because
you want can I take a selfie with you
Tom I don't see you as a guy like that
yeah uh I do it for one reason and one
reason only I really believe that I am
of average intelligence and the thing
that separates me and my beautiful house
and all my money is that separates me
and all of that from an average person
is a set of ideas and these ideas don't
feel like they are mine I feel like I am
a steward
of uh if I were really going to put like
hard language to it I'm a steward of the
Dow deing meets Carol DW's mindset book
with a little bit of Angela Duckworth
and Joo willink thrown in for good
measure those ideas are so powerful and
so effective that if anyone adopts them
they will make their life better now
once you know that that is true if you
have my
wiring then you want to get those ideas
out as fast as you [ __ ]
can so a I love seeing other people have
that moment of Awakening where they
realize that they're capable of more and
I'll tell you a story and this is um
this is a true [ __ ] story and it's
one of my favorite stories it's
tragic but I know it was real uh
somebody I love and care about very much
who at a time when nobody knew who I was
and I'm driving a Ford Focus I meet a
former drug dealer and he's working for
me and I say look don't bring violence
to my floor and I'll give you every
opportunity in the world because I can
tell you're smart and so we have this
packed and he comes in and he works he's
incredible and he helps me unify a line
made up of both Crips and bloods long
story and he's like hey originally I was
going to use this job is a front for my
drug money but like you've really shown
me that I can actually leverage my
intelligence to to do something straight
ended up being awesome this guy turned
his life around turned his family's life
around it was unbelievable it's one of
the things I'm most proud of in my life
is just having been some small part of
this guy's transformation ends up
getting killed by two kids who stole a
car [ __ ] stupid but whatever at his
funeral his daughter came up to me and
said um actually she said this from the
front of the room I want to thank Tom
and Lisa we all know my dad was a
gangster and you she didn't say taught
him ideas but just to bring It full
circle you taught him a set of ideas
they changed his life and they changed
mine and she ended up going from almost
getting kicked out of school to uh being
valid dictorian of her class like seven
years later I mean just absolutely
unbelievable uh and she's like our lives
will never be the same because of these
ideas and and dude my whole life because
I believe in meaning and purpose it's
the most important thing I'm highly
verbal I know I'm good at this and so
eight years ago I said put me in front
of a camera and I will get these ideas
out to the world aggressively and that's
why I do
it interesting so um profound story with
that guy by the way you know if you
don't bring violence to your blood Crips
unifies then steal in the car they kill
them
um you know I I I think there are
certain people
who have the ability to communicate a
message and get people to see uh things
that others cannot see are almost
responsible to do something with those
gifts you can choose to be 100% selfish
and not doing anything with it or you
can choose to do with her which you are
doing a lot with with the ideas where
the daughter says you know set of ideas
that change the way I view things let's
set Faith aside forget Faith we're not
debating Faith or God this is not the
podcast to do Faith or God that's a
simply a different conversation over
dinner if we even ever do
it but if you're a math guy and you're a
data guy and you're a guy that knows x +
yals
z then you know what works and what
doesn't
work you know what philosophies work and
doesn't
work you can take the position of you
know Patrick you have your ideas and the
people in California have their own
ideas and you know they have their
reasons for that and you as a capitalist
you know Freedom all this stuff it's
this
great
but there has to be a way to
measure and see which ideas produce
better
results and then if you do which is
proven
then what's our job to do is our job to
sit on the sidelines and not offend the
people who were wrong and let them keep
harping and convincing others that
they're right is our job to sit on the
sidelines and allow them to keep
confusing kids in universities is that
our job to do is our job to allow these
guys that keep asking for $60,000 of
tuition today which when you look at
inflation and cost of living where cost
of living's increased since 1980
212% but cost of education has increased
1200% a thousand you mean education has
improved a th% over the last 40 years
you and I know it hasn't you and I know
a four-year degree doesn't have any more
meaning today than it did in 1980s maybe
he had more meaning in 1980 than today
because today our teachers are more
political figures and they're more
social you know organizers dividing
people against each other yeah so I
think I think for me I'm not worried
about the faith conversation I know what
it is to be an atheist I was one for 25
years I have my own reasons for doing
what I did for me it's more about a
numbers guy a data guy who watched
everybody and my mother's side believed
in rich people were greedy and my dad's
side believed poor people are
lazy and from my mom's side who were
communist whose Bible was The Communist
Manifesto and my dad was an
imperialist it took me 20 years to
realize who was right maybe even 25 30
years to realize who was right we had a
family relative of ours his name was
Luther alas amazing man this was my guy
looked at okay when we were when I was a
kid we would go to his house in Upland
you know where Upland is Upland is uh
couple hours away from here San Antonio
Boulevard closer to like uh Rancho
kukumanga is where it's like an hour and
a half away from here okay without
traffic it's 45 minutes to an hour once
a year we'd go to his house you'd go all
the way up San Antonio then You' make a
left on the street and at the end it's
his house he had a massive 40ft bird
nest here bird cage here you'd pull up
he always had a Cadillac Park de he
liked jaguar and his one of his
relatives Alfred would live here above
the parking lot above the garage and
then you walk into the door to the right
was his office you walk a littleit more
hallway all the way down as his bedroom
he had a jacuzzi in his bedroom living
room here you'd make a left come down
here is the kitchen Big Island I would
always closest to the uh window my backs
to the street I would sit here and I
would watch them talk cuz I'm not
family my dad was best friends with his
brother since they were born in
Iran so lutter was an entrepreneur he
made a lot of money he owned golf
courses if you went straight you made a
left you came here there was a pool
table he had a picture on the wall
everybody was dressed white family
daughter son everybody and then he had a
picture with Al Gore even though he was
a conservative why do you have a picture
with Al Gore good friends with Al Gore
as a conservative okay and he would go
outside he had a big TV here we would
watch to Bulls play pull swimming pool
outside changing room here like a small
little one-bedroom PL basketball court
tennis court here and he had a garden of
fruit and all this stuff and I would
watch him how he would be with his kids
he would always poke and challenge him
to debate issues he would says I no
longer believe in God at a moment today
you guys have been sold a bag of Lies
Jesus wasn't real and his kid would they
would lose their minds and they would go
on a three-hour debate and he would say
okay I'm back to believe in again and he
would say next thing such and such
president is making a worst decision
ever how could you say that that and it
was always how could you say that and
the whole family was
debating I was fascinated every year I'd
see him so from 13 years old till 18 I
saw him seven times and I saw this guy
as a possibility one day I can be like
him anyways later on in life I ended up
winning in business and he died four
years ago three or four years go at
rafi's place in glendel and his daughter
sees me Jackie and his son Vladimir
who's a pastor now San Jose when I was a
troubled teenager he invited me to be
part of this basketball organization
called the Sentry City basketball
association centry City basketball we
would play at Echo Park terrible
Community Echo Park is like not a safe
place at the time not terrible Community
not a safe place so shootings all this
stuff blood crib black diamonds
everybody would be there and we play
basketball to all of us so he was
patient with me as a kid and then I
joined the army and boom so we're at
rafi's
place and I said Jackie I want to say
something to your dad he says great I
said you mind if I come over no problem
20 people sitting out that table to have
a big family I says Uncle Luther can I
tell you something he says yes he stands
up I speak to him in Assyrian and
English like it's like Assyrian English
together Aramaic I said you don't know
this but for 10 minutes I recite Vivid
memories I have of what this man did
okay and I kept saying you did this one
time and you would do this and you would
do that and you said this to your
daughter one time you said this to your
son I was sitting there when you confuse
them with faith and business and this
this that and this is how you would
watch Michael play and Magic play and
you would do this and I'm describing his
entire house he no longer lives in that
house he's crying I say you don't know
this but you're the reason I'm a
businessman today if it wasn't for you I
wouldn't be where I'm at today my dad
played a role of love and being a man
but you played the role of me being an
entrepreneur he inspired me and at 33
years old I go to my mom and I said Mom
can I ask you a question yes why' you
always say bad things about
Luther what did he do to you you always
said he's Rich he's greedy he's this
he's that and my mom I respect her a lot
for what she said to me she says you
know what maybe because once he made the
money and he was running his companies
we never saw him again I said Mom he's
busy he's running businesses we're not
family to him no you're probably right
but I didn't like the fact that I didn't
see him because I actually liked him
like you tell me this at 33 years old do
you know how much this affected me when
I was 13 14 years old I thought this was
a bad man he says no you're right I just
had this conversation my mom's no longer
a communist but at that time you know
that's the what's the point
here the point here
is if you have proof that a certain way
of ideas and philosophies work
sell it constantly and protect it and
defend it don't play vanilla don't play
neutral I think sometimes us you're no
longer a smalltime guy bro you're a very
big guy we got a lot of influence you
got a lot of people that follow what you
got to say and you are very you know
when you kind of you do your humble brag
you're a super smart guy yeah you're
like you're a super smart guy I'm not at
your level of you're a very very smart
guy on the way you process ISS and what
way you can talk and you're very
reasonable and non- emotional you stay
you know where you are when you're
explaining
it um I think it's a risk for us not to
defend the logical things that prove
that way worked better and then we sell
it over and over and over again because
eventually you're going to produce 50
other to Bill use 100 other Tom Bill use
and that's all it's going to take you're
not going to need to have another
million Tom Bilu you just need 100 Tom
bli if another 100 Tom B do what you do
then we're protected the next 20 40
years but if we're a little bit too
timid and too careful to defend ideas
that have proven to have worked again
set aside Faith you can take Faith any
way you want to take it I think we have
to
be um louder Warriors like you use I use
that word True Believer Crusaders of
selling guys people [ __ ] about the rich
people don't pay taxes you know know
what percentage of taxes Rich pay the
top 5% pays 80% of taxes what are you
talking about no AOC said this no no
this is pure data how dare you say that
no no how dare she say that and confuse
the [ __ ] out of you this is data guys
this is not from me this is how taxes
was paid to the IRS I never knew you
sure about this go verify it it's on the
US Government website that's insane of
course it is but they sold you a bag of
goods and you bought it cuz it was for
sale stop going to Macy's and looking
for sale ideas pay full retail and don't
buy these ideas that are nonsense
because they're stealing decades away
from your life that's the only
difference for me where like I remember
five years ago when I started 30 years
ago when I started talking politics dude
trust me I remember what everybody in
the marketplace said about me I know
exactly what people were saying about me
because W would come back to me and they
would say kiss of death for pbd he's
done we had 3 million subscribers at the
time and I um decide to talk politics
and I'm like dude I don't know how to do
this part because I know it's going to
piss a lot of people off but I'm
respectful and I'm curious and I'll talk
to anybody I don't care who you are you
can be a communist Professor from you
know Riverside County you can be you
know slavo xek you can be anybody I'll
sit down with you let's have a
conversation Nom Chomsky come on down
let's talk I don't have any problem
right but we started the podcast on a
separate Channel with zero subscribers
our first live podcast was 57 people
watching us we got seven comments we
were so excited now imagine how hard
that is to do because you got a 3
million subscriber channel on this side
and now you have to start from scratch
right you know about this I know you
know about this and then all of a sudden
that grows and now value taming just
crossed 5 million today and pbd podcast
is at 1 .45 whatever it's at right and
we're getting you know however many
eyeballs on a monthly basis what
happened was it a risk yes did we get
people thinking yes people stop me
nowaday like man I got to tell you man I
never missed the podcast how about the
entrepr I watch that stuff but I really
want to know what you think about
current events and very interesting what
does this
mean this means I think people want to
know a little bit more about what Tom
Bilu thinks that's all I'm saying maybe
they want to know a little bit more
because that brain has a lot to offer
and and the life you've experienced can
give people perspective but more from a
position of there is a
scoreboard this philosophy won but this
philosophy is louder don't let the noise
convince you that this philosophy is not
working this is the right way to live I
think we have to sell that and I think
some people are afraid of doing that at
that level let me ask this question so
let's let's have a little bit of a
banter here exchange I like this a um
what what causes a company to attract
tens meaning if you read Steven
schwartzman's books book in it he talks
about how at one point 30 billion guy at
one point he realized it's all about
hiring tens not nines not eights but
hiring tents but most people can't
afford tents when you read readed
Hastings no rules rules they realize a
10 is the equivalent of 28s okay 11 is
the same as 28s sounds about right
sounds about right okay so what causes a
company to attract
tens you want me to give you the
breakdown I want to hear from you okay
so number one is going to be uh a
mission that is bigger than whatever
Mission they have in their own life that
they are very excited about next one is
going to be um that you're building
something that is novel and is actually
going to allow them to bring the full
weight of their talent and intelligence
to bear um so not retreading old stuff
this is really something new got it um
the world actually wants the
product uh they are compensated well
they have a sense of
ownership
autonomy um and they're surrounded by
other
tens okay so compensated well did you
say autonomy autonomy okay and then last
one was you're surrounded around other
tents yes okay I'm not going to ask you
how many tens you have here because I
don't want to cause a fight but uh uh we
won't go there surrounded by it isn't
all tens I think even team knows that so
so so when you look at this compelling
Mission novel you know full uh uh you
know uh where we're going what we're
doing World actually wants the pro uh
product compensated well autonomy
surrounded by tents
me
um what does Blackstone do to get tens
is the mission that insane I don't know
um what does Netflix do to get
tens what what does Yahoo do to lose
tens to Facebook what does Facebook do
to lose tens to Google what what does um
what what what are tens attracted to to
me everything here you could have an
incred incredible Mission check you
could have novel man this is we're doing
a really big thing historic check World
actually wants the product check if the
incentive program sucks you're not
attracting those people period let me
make go a little bit deeper for you you
live in the great state of California
you know California how many people they
lost between California and New York the
last last year 1.4 million 1.4 million
you saw the stat do you know what state
in America is 50th place for the most
people lost last year California do you
know what state's number one uh
Florida's number one receiving net
positive net positive population growth
Florida is number one Texas Texas number
two then you got Carolinas this just
came out by the way very interesting
number for you to look at because at the
bottom is California New York Illinois
okay the economy is bigger in
California the economy is bigger in New
York the economy is bigger in a lot of
different places why are they leaving
because the incentive sucks so if a
state with better incentives is in place
like Florida which means what you keep
your state taxes if in Texas you keep
your state taxes Tennessee keep your
state taxes we'll figure it out in
California why are gas prices in some
places seven bucks why are gas prices in
certain places five bucks six bucks you
got this gas tax on top of this gas tax
on top how come the other states don't
have the gas tax these are the incentive
programs why did one of the biggest
liberals in America that try to save the
world you really want to talk about
climate change no one probably did more
good for climate change like try to do
good for climate change than a guy named
Elon Musk who voted for Obama who voted
for all these guys who voted for Hillary
and this guy moves to Austin Texas why
would he do that why did the guy who try
to legalize Marana for the longest time
who said I'm voting for Bernie Sanders
what what is he doing moving to Texas
guy named Joe Rogan why did 40,000
employees leave Toyota go to Texas
because of the incentive program so
where am I going with this I you and I
are on the same place where everything
starts off with you and I like what do I
control what can I do about it right and
as you get to a different level I'm sure
you've paid a lot of taxes if I were ask
you about how much taxes you paid you
paid a lot of taxes for the money you've
made you guys build a billion AO company
when you have a billion auto company and
you've taken money off the table
multiple times you know and you're doing
it in this state you could have your
capital gains 23.8 but you got to the
13.3 on top of it so on your state you
sell you get $200 million in the state
of California you're going to pay
roughly $80 million in taxes but you do
that in Florida or Texas you're going to
pay 60 million $50 million in taxes that
$30 million stays in your pocket guess
what that's pretty attractive incentive
wise what else when you look at it you
look at other people that want to live
as well the average person that's making
60 Grand year in California dud you you
have to live 80 Mi away in Palmdale to
be able to make it and Palmdale's even
getting expensive today courtz sale you
got only a couple Pockets you can live
to be able to survive with the kind of
pay that this uh Marketplace is paying
you so when I'm going back to the
question and you said well what
percentage of people are really going to
be thinking about that question this is
the
problem that we have we think we have to
win everybody over we
don't we think we have to convert a 50%
of the population you don't don't it's
the 12% in the middle that run America
that's who runs America you got 47%
that's going to vote Democrat no matter
what you got 44% that's going to vote
Republican no matter what then you have
that middle whatever that number is
going to be that you're dealing with you
know maybe it's going to be 4244 then
you got the Libertarians degree and all
this other stuff the independence and
Libertarians rule America so if those
guys who have the ability to have
courage to have a change of thought and
are neutral neutrality and are willing
to accept alternative Solutions and
they're able to reason well guess what
they watch a podcast like this and say
[ __ ] this makes a lot of sense we have
to change incentive so what do we do
either one you say that I have no desire
to get into politics so how can I help
okay no problem go back somebody up that
you can feel that they can do it and
start recruiting people to run you know
behind closed doors I'm recruiting
people to run like I'm talking to people
and saying you got a lot of values that
people would love I think you ought to
consider it really yes you ought to
consider it I never thought about that I
think you should think about that why
don't you read these three books see if
it does anything to you why don't you go
look at what the bushes and the
kennedies had as a legacy their legacy
was simple in their family you make
money first you take care of your wife
you take care of your uh kids they have
enough money to not have to worry about
anything they're set for school and all
that stuff you set yourself up a little
bit of retirement if you want to make a
little bit more money go for it but but
Al you got to give back to the country
that give you this incredible life how
do you do it nonprofit okay you either
go into politics or church but somehow
some way you got to contribute so I I
want more like I used to not care about
politics at all until I
realize America's problem is is the
incentive program the reason why we went
from 4% of kids being born to single
mothers in 1940 to 40% today it's
because of the incentive program the
reason why we have so many divorces in
the world we are leading the world in
divorces and ways it doesn't even make
any sense we're at we're at 23.8 some
numbers you look at where China and
India are at 3 or 4% our incentive
program sucks when you look at small
business owners when you look at people
going out there fighting for let's print
more money every time these guys print
more money guys like you get richer
every time they print money you and I
make more money because your money's in
assets and your money is in equities and
that money is going to go to these
Equity so the valuation these companies
flips like right now everybody's worried
about a market crash you know what's
bigger than a market market crash today
you know what scares me more than a
market crash today a reverse market
crash you know it's a reverse market
crash it's what happened in Venezuela
this year imagine stock market goes from
10,000 to
64,000 what like right now we have
interest rates at four at 8% 8 and a
quarter some places but let's just say
8% and and real estate prices are going
up it's a least amount of refi we've
done in 27 years refi application is at
the lowest for 27 years and the amount
of inventory of homes for sale right now
is the lowest we've had in 20 years but
real estate prices are going up how so
imagine if Powell today takes this
8% and he brings it down to seven to six
to five to four what happens market Dow
goes to 60,000 40,000 50,000 why it's
not because the economy is doing good
because we have that money in the market
it's going somewhere so what happens all
of these people that were talking about
W look at the Rich getting richer the
poor getting poor your policies of
printing more money is causing to Rich
to get to richer and the poor to get
poor because the disparity is getting
wider if the rich are making 12% on
their money and the poor are making zero
because they have it in checking
accounts what do you think's going to
happen every year that distance going to
get bigger and so what do we have this
year in 2023 most strikes we've ever had
you ever seen any this many strikes in
our lifetime we're three years apart you
and I I've never seen this many strikes
UAW stri strike finally agreed 42 bucks
an hour you got UPS strike you got
Walgreens CVS you got Kaiser 75,000 you
got there's so many strikes going on
today what are people saying dude I
can't make it I can't make the money and
in your state
California uh they raised the minimum
wage for fast food restaurants to
whatever the number is 22 bucks and you
know what Chipotle and McDonald's just
announced they're raising prices why cuz
they have to how are they going to make
that money you can raise minimum wage
all you want the restaurant is going to
raise the prices they're going to have
to raise the prices so
now all these automakers that are
sitting around saying oh you want us to
pay these guys 42 bucks an hour no
problem guess what the consumer is going
to have to pay $1,500 more for the car
they buy is the consumer okay with that
CU that's how math Works math works that
way so to me at this phase of my life if
a person's 20 years old watching this
don't worry about what we talked about
last 20 minutes just go make your money
if a person's 30 years old watching this
and they got a wife and kid and their
careers like here they're about to kind
of go focus on your career pay a little
bit attention to this but if you're 40
plus 45 plus and you're seeing what's
really going on in the economy and
you're like what the hell are all these
policies I love my state of Illinois but
what the hell are we doing here I love
New York but what the hell is going on
New York I love San Francisco but it's
no longer San Francisco then you have to
pay very close attention to the
different incentive programs in other
states and ask why can't we do that in
California why are we not doing that in
New York why are we not doing that in
Illinois people in California are not
asking those questions so uh I love this
compelling Mission novelty you know
novel World actually wants the product
compensation autonomy surrounded by tens
but at the basic most simplest thing is
our incentive program at the top of our
US Government today and by many states
absolutely
sucks it's interesting so um let's have
a collision of Visions here so I think
that every word you said is true it is
necessary but not sufficient to
understand what's really happening so it
show me the incentives and I'll show you
the outcome so says uh Mr Munger and he
is correct when a system becomes
deranged so when you're talking about an
incentive program which I know you
leading sales teams have experienced the
madness that ensues when you get
something a little bit wrong in your
incentive structure and it incentivizes
terrible Behavior I've seen that up
close uh being in web 3 I've seen that
up close where suddenly people are
treating something that should be fun
like a
video treating something that should be
fun like it's a um roulette wheel or a
gambling machine and so for sure people
are going to find like whatever little
minuscule thing that they um Can exploit
but to me the key is to avoid deranging
the system as much as humanly possible
and the way that you avoid deranging the
system as much as humanly possible is to
give people values right now my big
problem is that people are not being
inculcated with values and I can't
believe I'm saying this because I am
like the least conservative guy on the
planet however I am so obsessed with
what [ __ ] works like what what is the
outcome that you want if the outcome
that you want is the America that you
see or wherever in the world you are
okay great then whatever you're doing is
working for me this seems like uh as
close to a humanitarian crisis as you're
going to get in the west I mean when I
was a kid I really believed I could do
anything I set my mind to and because I
believe that I went and did it but if
you don't like I dude so I've worked in
the inner cities a lot
and the first time I heard a kid say uh
I was like why aren't you even trying
like bro you're so smart why aren't you
trying like why why are you here working
for minimum wage this is crazy I'll
teach you anything you want to know
about how to grow and climb up in the
world and he goes oh uh my mom told me
that the world doesn't want people that
look like me to succeed and I was like
so [ __ ] what that's the worst advice
ever assume it's true assume it's true
assume everyone is against you now what
you're just going to take it you're just
going to take the first minimum wage job
on a line that you can get you're not
going to like push yourself you're not
going to again develop personal power
get so good at something we both love
Kobe you got to meet him and I did not
but he's got my favorite quote booze
don't block dunks you can get so good at
something that people can't stop you
even if they hate you even if they're
paid millions of dollars to be better
than you to stop you from doing a thing
this guy still scored 81 points by
himself in a single game okay in a game
where often 80 plus points is all that's
scored pure and ity and so if this is
why like I don't have kids
so the odds of me suffering from what I
can see coming are very low it is but a
love for Humanity that makes me want to
scream the whole idea of impact theories
I really believe the ideas that you
believe about the world matter so much
they will control the quality of your
life and so now I'm just trying to make
sure that people get high quality ideas
about
self-ownership about what you're capable
of about everybody should be trying to
build as much personal strength as
humanly possible so that they can do the
things that they want to do in many
different areas so getting people to
understand all 10 fingers of
responsibility should be pointed back at
you that if we want people to build a
society that is better they must believe
in a Grand Vision there must be a
mission to their life to the lives of
others that mission must have some tie
to measurable results so that we don't
just do what feels good or sounds good
we do what actually works and so to me
there there is a massive restructuring
of the way that we think about raising
kids about the way certainly my
contribution is once you come to work
for me cool I'm not going to raise you
I'm not going to raise my own children
it's not the way that I'm playing but
godamn it when you come inside of impact
Theory we are going to run this in a way
that's going to be effective it's going
to make you a better version of yourself
it's going to make you a better version
of however you're contributing to the
company and that [ __ ] is a
non-negotiable so everybody has to sign
a culture document that says and I quote
you must be a hardcore [ __ ] like
period end of story and if P.S that
turns you off great this is not the
place for you but I know what it takes
to actually fight against the chaos of
the world and you're going to have to
choose your enemy wisely in fact this is
something we haven't talked about yet
part of what I'm trying to get them to
now I think you have to balance the
beauty of what you're trying to do I'm
trying to make sure nobody gets to the
age of 15 without encountering a growth
mindset at scale through entertainment
and ideas
cool but then you also need to be able
to tap into the dark
energy and that to me is about an
ability
to capture
the energy output of the fire in your
belly for lack of a more literal
expression so tell me why when picking
an enemy it needs to be somebody that
really makes me feel some kind of
way because uh choosing an enemy how do
you judge an enemy there's 14 different
types of enemy we talk about in the book
but the way you judge an enemy is the
lifespan of how long that enemy can
drive you you may have an enemy that
drives you for a day
you may have an enemy that drives you
for 30 seconds somebody cut you off you
got an enemy for about 30 seconds okay
you may have an enemy that drives you
for a month somebody you're going up
against for a sales contest I'm going to
beat that guy okay cool short lifespan
not a big deal then you find an enemy
that drives you for 5 10 years 20 years
now you got something good unfortunately
Tom most people choose The Wrong Enemy
uh when they're when they're competing I
going to read something to you is this
the book or is this a different book uh
I think it's the book is this the book
let me see if this is the book I'm I'm
going to open this up and see if this is
the book or not let's see here all right
hang on one second if it is I want to
read this to you oh [ __ ] they sent you
to heart look at that look at you buddy
respect I don't even have this literally
I'm telling you I don't even have this
funny thing is I didn't get it either I
got a PDF so when I saw it here I was
like all right who send this to you do
you know who s I don't know the team
really so penguin send it no yours okay
well I don't have this I don't have this
cop that's Sam sent it e e sent it so
you got it directly from penguin just so
you know this is the first time I'm
seeing a cover copy of this let me read
this to you okay two quotes one A wise
man gets more use from his enemies than
a fool from his friends balazar gra
graian let me read the other one for you
which fires me up okay you have no
enemies you say my friend the boast is
poor he who has mingled in the fry of
Duty that the brave endure must have
made foes if you have none small is the
work that you have done you've hit no
traitor on the hip you've dashed no cff
from the P perjured lip you've never
turned a wrong to right you've been a
coward in the fight Charles Mackey okay
all right so you read this coward I'm
not a coward I'm I'm not I'm not I'm not
going to be categor as that totally get
it but if you're if you're going to be
doing something big you're automatically
going to have some enemies
now we're looking at Elon Musk earlier
and we're talking about him and you look
at Elon who's been driving for this long
everybody asks isn't this guy worth $300
billion yeah what are you doing buying
Twitter when you're worth $300 billion
you're already running SpaceX you're
already running Tesla you got these
trucks that all of us are waiting for
okay okay you got to figure what happens
with that rock you threw out the glass
that the glass broke we got to fix that
right and at the same time how many kids
you have nine or 10 kids and you're
doing podcasts you're always on podcast
you're interviewing with people how the
hell do you have time to sleep why would
you buy Twitter and I you're the most
second most hated guy in America you
didn't become a friendly person when you
bought Twitter you got worse why would
you want to do something like that
psychologically you have to have issues
so then you ask the question okay say
this guy in 3 years is the first
trillionaire say it happens in a year
what do you think he's doing the next
day after he becomes a trillionaire you
think he's taking three months off and
going to Monaco no not him why because
while the world thinks this guy's doing
it for money he's not doing it for the
money he's on a mission okay fair but
why at that level because he's got
something that drives him that none of
us know about could it be his father
very high likely that could be his
father could it be something else we
don't know about of course could it be
what these you know astronauts said
about him and made fun of him that we
think space experiments should only be
done by the government and not by free
enterprise and free market maybe and it
got him tears if you've never seen that
60-minute interview I'm sure you have
right it could be but it's him now
Michael Jordan same thing Tom Brady
talking to him same thing anybody you
admire that's able to tolerate the kind
of pain required to win at the highest
level they have an enemy that drives
them they're just not telling you about
it most people will never disclose who
the true enemy is it's private Bill
Clinton in this one book uh it's called
The hypomanic Edge and you know First
Rate Madness I don't know if you've read
these books or not uh it talks about
bipolar hypomanic you know ADHD why all
these people that end up doing something
big they typically are a little bit off
how does this guy how is HE capable of
going 18 hours straight and he's still
doing it and he but what's wrong with
this guy how can he do that there's that
element that they just can't help
themselves right yeah B Clinton you know
they asked him about his mom him and his
mom his mom drove him a lot most people
don't know about this and in one of the
interview she said there's no benefit
from me saying anything bad about my mom
literally there's no benefit for a man
to say anything bad about their moms
you're not going to win you're never
going to be able to commiss the
marketplace you had a bad mom as a man
you can do it as a woman you cannot do
it as a man the Market's going to be
like how dare you say something now men
can talk trash about their dads the
market will receive it they'll make a
movie about it right but you can't do it
about your mom that was clintons who
drove him you know people have it people
now at the same time you know 14 types
of enemies in the book that I talk about
you know there's also the concept of
choosing the wrong enemy that could
steal decades from your life decades
away from your life
hypothetically I'm doing an event at the
Vault conference okay this is two years
ago and on the first night we go through
a personal audit questionnaire that you
got to go through and the next morning
you got to come back and talk about it
with the
group and we're looking to see who's
going to have a breakthrough based on
the questions that you have to answer
okay no problem these are 83 questions
that I went through back in 2003 at the
Mador Beach here by Zuma I'm sitting
there going through myself crying like a
little baby my note yellow notepad that
I'm answering these questions I had to
break through boom I added these into
this list that people are going through
and they get to experience it for
themselves who do you get along with who
do you not get along with is there don't
know people that piss you off the most
why is that who do they remind you of
these types of things that kind of for
you to see what you're going through so
the next day 2,000 people in
attendance everybody's given theirs
husband and wife this the Breakthrough
we have another a breakthrough we had
one girl over here not getting up her
her sister's like elbowing her my sister
wants to say something I think she
really had a big b breakthrough babe
what are you doing babe you got to tell
him babe tell him okay she gets up she
Pat this is very hard I so what is it so
let me tell you who I am I've done very
well as a person who runs her own
business I make more money than All My
Exes I make more money than the guys of
my life I make more money than any of my
teachers I do very very well with the
salon I run I make very good money my
people make very good money I have a
nice house I drive a nice car I have
money in the bank I have all the Chanel
purses everything I said okay so what's
the point but I'm
alone I'm not married I don't have any
kids I don't have a family I don't have
somebody to look forward to coming home
to and talking to celebrating any of
this I said what where are you going
with this she says for the longest time
men have been the
enemy and I realized they're not I'm
wasting my time having men as an enemy
if you've ever seen a movie Jerry
Maguire where all the divorced women are
sitting around the table and they're
bitching about men and their husbands
and all this stuff and then Jerry walks
in and she's like I don't care I love
him you guys can send your bitching
about all your ex is all you want I love
love this guy I love this guy I don't
want to be alone for the rest of my life
I want somebody in my life they in that
group had identified their exes and men
as all enemies she's like I'm not
joining your Camp you know how hard it
is to leave a camp like that these are
groups of people that go through this
how about some of the people that are 65
years old that joined a feminist
movement at 15 years old never got
married have no kids how many of these
videos are going viral right now on
social media I wish I would have never
joined the movement I'm 65 I have a cat
no husband no kids what the hell am I
working for my parents are dead and it's
just me what's that all about so many
people choose the wrong enemy and it
cost them years if not Decades of their
lives you have a person in your life
that's challenging you pushing you to
get better encouraging you having high
expectation of you you think that's the
enemy that's not the enemy the actual
enemy in your life is the people around
you that are saying eat more pizza
here's more cheesec cake sleep in don't
get to work screw your husband the hell
with your wife I hate hate your boss
he's a [ __ ] all he cares about his
money those are your enemies you got to
step away from those types of people who
ruin your life and then 17 years later
you used to work with a company that if
you would have stuck around you would
have had a nice sex of $2.8 million but
you screwed up because you believe the
other people that quit and you never had
that experience and now you're sitting
there for the rest of your life trying
to explain to your kids why quitting was
the right decision but deep down when
you go to sleep and you're in front of
the mirror you know what you tell
yourself made the biggest mistake I
should never done that so this is a very
much of
a emotional decision for a person to sit
there there's a formula on how to find
that I've been doing business planning
with guys for the last you know business
planning you know how it is if you have
a sales team hey let's sit down do your
business planning for 2022 let's do the
business planning for 2006 how many
years have you been doing the business
imagine how many oneon-one business
plans you've done the month of December
with people right I will sit there and
business plan here's a onepage business
plan right and what are your goals for
the first quarter and how many calls are
you going to make and if you do this
what are you going to get yourself I'm
going to buy myself a new suit from such
and such and Stefano Richie and I'm
going to buy myself a C-Class or M5 or a
Range Rover we're going to buy this
house and a call the sack and all this
other and here's what we're going to do
great you have a little bit of dream the
rest is logic you write this thing maybe
you look at it for a month done you
forgot where you even typed it at and
you don't remember what's in it after
March or April okay where to me
eventually got to a point where I judged
the effective of effectiveness of
business plans based on how we would do
business plans together and I see how
you respond to it where your energy goes
how you come out the gates in every year
then I said we're finally getting closer
at learning how to do better business
plans with people because you were able
to pursue it and it came down to 12
building blocks six of the building
blocks were
logical okay we're talking systems
processes things like that cap at all
and then six of the blocks were
emotional you have to study your
competition but your competition is not
going to drive you the way you
identifying your enemy people who have
the right enemy in their lives um
they'll be willing to tolerate way more
pain than those that don't have the
right enemy in their lives can you
describe
why because the point is if you don't do
it for the rest of your life the other
person's going to be able to say they
were right and can you live with that
if yes go for it fine if not you ain't
doing it for the money you ain't doing
it because you need another Lambo or
something you're not a car guy we're
talking earlier this house you live in
that's a palace a place most people
around the world would dream about
living in this is a eight Lamborghini
garage that you turn into what you turn
into cars don't drive you okay it's not
something that fires you up who cares if
you pull up in a Lambo okay maybe no
this is bigger than that this is about
you being able to look at yourself in a
mirror and saying I'm proud of you
others can say it to you it's great to
hear it from your mom and dad it's
magical I'm sure you remember when you
heard it when your family told you
they're proud of you very emotional
moment when you hear that right some
parents are loving so some parents say
the day you're born some parents don't
say it until way later on so if you got
I'm proud of you very early just because
you fill out a piece of paper it doesn't
have that big of a meaning but if a
parent didn't say that to you about 18
times while you're growing up and then
you heard the real I'm proud at 32 years
old you're in the car you're going to
cry by yourself it's a very Monumental
moment you going to I remember that day
when it happened to I was speaking at
this office on
citos and I pick up my mom from the
airport I had seen her for seven years
since I was in the Army and she sees
what I'm doing and where I'm at at 26
years old she's like what happened to
you and you said yeah I'm proud of you I
remember my dad said it to me I'm proud
of you we're driving back from Long
Beach uh uh Queen Mary and we're in the
car and he sees what happened to me and
I told him you don't have to work at a
99 cent store ever again at the
Englewood right next to Great Western
Forum I don't even know how I drove home
that night I was flying I wasn't driving
it's an incredible feeling but as great
as that
feels there's going to be a moment where
it's you're in the car by
yourself you're 43 years old 41 years
old 39 years old and you you can
sincerely say I'm proud of you without
low standards that victory Of You versus
you is a powerful thing very powerful
thing when you go through that so and
you're going to need that right enemy to
drive you to go through those tough
times cuz they're coming they're going
to come it's given to hear more about
Ray Delio's warning on the upcoming
recession which we're almost certainly
already in watch the full episode here
talk to me about the three forces that
you see that are influencing this moment
we've got Banks collapsing US dollars
under attack uh looming recession what