Dr. Doom or Dr. Boom

Talking Real Money - Investing Talk

Don and Tom tear into the lunacy of financial predictions—starting with famed doomsayer Nouriel Roubini suddenly turning optimistic (is that a good sign or a terrifying one?). Then it’s onto Ron Baron and his wildly volatile, high-fee Barron Partners Fund, which beat the QQQ—barely—by taking massive concentrated bets on Tesla and SpaceX. Finally, they answer listener questions about portfolio diversification, international exposure, and outrageously overpriced 401(k) fund options (Nationwide, we’re looking at you). It’s a full-on roast of Wall Street’s ego-driven nonsense with a side of smart, actionable advice.

0:04 Predicting markets is impossible—so why do people still listen to those who try?

1:50 Dr. Doom (Nouriel Roubini) turns into Mr. Boone—predicting good times ahead

3:35 Roubini blames AI and nuclear fusion for his new optimism

4:57 Don’s rule: All predictions are a prehistoric brain trap

5:20 Ron Baron and his Partners Fund—poster child for active management hype

6:41 Nearly half the fund is in two holdings: Tesla and SpaceX

8:44 From $10K to $6.5K in 6 months: the cost of extreme concentration

9:47 Expense ratio: 2.25%—with $7.5B in assets? Outrageous

10:54 Why high-flyer funds are built to crash hard, too

11:39 Investing in Barron = trying to beat the market (and probably failing)

13:14 Lost 43% in 2022—twice the S&P’s loss

13:48 But in 2020? Up 150%. Thanks, Tesla

14:51 Listener Q: Army major wants to clean up his Roth portfolio

16:10 Don and Tom: Scrap the mid-cap clutter—go global with VT

17:59 Listener Q: New job, horrible 401(k) fund choices—can he still contribute?

19:03 Nationwide’s 93-basis-point index fund sparks full-on Don rant

20:14 High fees vs. tax breaks: what wins?

21:31 Why the financial industry is addicted to greed

22:11 Appella’s no-pressure offer to review your portfolio

23:04 Don’s publisher’s clearinghouse FaceTime scam story

Learn more about your ad choices. Visit megaphone.fm/adchoices