176: Venture Lessons That Cost Chris Camillo Millions

40:53Okay. So almost all the money in the value chain has been made, uh, in the people that actually deploy the robots into the factories into, cause there's, it's so much work involved in deployment. That's where all the margin is. So now don't get me wrong. If Google's the brain of all these robots, they will make insane amounts of money at scale, but they will make a tiny piece of money off every robot. Right. Uh, the people actually deploying the robots at FedEx, at American Airlines, at all these places, at every fucking company in the world, uh, the margins will be thick and nasty from those companies.

41:31And that, that's, that's why I'm invested in the actual, I am, I put, I'm bending on a horse. My big horse is Aptronic. We'll see, we'll see. Uh, and maybe Tesla, if they can get their act together with Optimus, I'm holding off on my, on my Tesla bet until I see, until I hear what's actually happening with optimists um but besides that i think the biggest beneficiary will actually be uh the companies that will benefit most from it which you were just touching on uh i call it the ai efficiency wave so it's partially the companies that will benefit from ai and the companies that will benefit from embodied ai and automation and robotics and you know it all comes full circle.

42:16If anybody, if anybody listening, anything I've been saying for months and months and months, it's definitely, definitely Amazon and other companies as well. But Amazon is the most aggressive, the most ambitious company that is just going down this road really aggressively, not even about making their own robots because they don't care. They're just like everything and Amazon will be roboticized and automated. Hold on, Robert. Before we ask Chris our next question, we got to remind everyone what's taking place on July 10, Friday at noon. We're so excited. We'll be hosting an AI agent workshop alongside Stephen Sykes, the chief operating officer over at public.com.

43:00So if you're over at public, you got a public portfolio, you're rocking, you're rolling, and you're saying, listen, these AI agents have come out, but I don't know how to use it. I don't know what to program it to do. What's it capable of? What's it not capable of? Help me understand this, Austin and Robert. You are in luck. July 10. Link in the show notes below. We'll be building agents live with Steven. We'll lay out a strategy menu, walking through Publix's most compelling pre-built agents. We'll talk about what they can't do, but the best part is we're going to be building them live there.

43:30So literally, we're going to bring people up on stage virtually to say, I've got this idea. Here's what I want to do with an agent. Steven, build it for us right here so everyone can see. It's an awesome workshop. It's going to be collaborative, Robert. It's going to be great. So July 10, it's a Friday at noon Eastern time. Link in the show notes below to register for that webinar. It's going to be a Crowdcast link. Hit register and we're going to see you there. Robert, I'm so pumped. Yeah, I think this is probably the coolest webinar we've ever done in all the years we've been working together.

44:00And it's going to teach so many people that want to get that start in AI and how to build an agent and how to have that agent help them with their investing. So I'm super excited. Steven is a beast. We love public and this tool, I've been using it now for months. I know you've been building stuff, Austin, as well. It's incredible. And I can't wait. So remember, Friday, July 10th, noon, Eastern time, be there, sign up in the link below because this is a free webinar. We're not going to sell you anything and you make sure you don't want to miss this one. I just want to emphasize that again. Free webinar.

44:34We're not selling you anything. We want to teach you how to use AI agents in your portfolio so you're actually able to take advantage of this new technology called artificial intelligence. Link in the show notes below. July 10. It's a Friday, noon Eastern time. We'll see you there. Back to our conversation with Chris. So I want to set the room at zero. That was fantastic. But when we look at Optimus, Tesla, we look at figure AI, Apptronic, Boston Dynamics, if they spin off from Hyundai. How does the average person in this room and the people that follow along in the Rich Habits Network, how do we define who the winners are?

45:12Or are we betting on the lot, the entire sector, and trying to play our cards that way to find the best winners? Or do you see a clear path right now, let's say three, four, five years down the road, of who you believe the two biggest winners are through all of that because we also have china we have one x we have some other ones agility is pretty strong in china where does it go from here so people can kind of know where to point the arrow uh in this sector of where the winners could be so it's too early for sure to pick the winners but i think i could pick who the winners could be So like it could be Tesla.

45:53And by the way, this is like not like mutually exclusive. Like the companies that have all of the elements, meaning the talent, the talent, so important. Companies that have the talent, that have the money, the capital, uh, that have the big client relationships and have all the IP existing. meaning the IP that's not sexy that you don't know about, like Aptronic has had, you know, Aptronic's had like 100 plus employees working on operations software for four years. Like no one's talking about that in the robot space, right? But like that stuff, Tesla's doing the same thing. Figures doing the same thing.

46:29So Boston Dynamics, we would like to think, because they're a little behind, but they should be doing the same. Those four companies all potentially theoretically could be big winners. one x i've gone back and forth i've spent some time with burnt it's a highly controversial company yes i would put him in that mix too one x could be one of those companies and that's the five i don't think there's any european companies at all right now that are in that leadership pack uh but i think we need another year okay i think we need another year to kind of say with conviction that that company is very likely to be a winner.

47:10I just know that those are the only five companies I'm aware of outside of China because China gets a little muddy. It's a little weird. It's a different market that I think really have capacity to be full generalized bipedal and wheeled humanoid winners in the US markets. But how do you get invested? I mean, listen, you can invest through secondary, right? Like that's, it's definitely an option. I think the best way to invest in these companies is to keep, you have to have a prepared mind of knowing what you think that pivot point is for when they go from could be a big winner to very likely.

47:48So like a company like Aptronic, for example, when they eventually release their kind of next generation robot to the world and what it's capable of doing, if you were to be prepared whenever that happens and you see it and then you immediately go buy if you like what you see you go buy shares the next day in the secondary whatever it takes right you don't wait three weeks six weeks nine you know three months this market moves really slowly so it's like a private market there are people in the know you do have a window where you can arb intelligence as long as your mind's mentally prepared. Those are the four companies.

48:33I'm doing this with Tesla right now. I'll give you a perfect example. I might know about Optimus before you do. If you follow me on X and YouTube, I'll probably give hints when I find out. But I do not have any money invested in Tesla right now. zero if i hear something or see something or get intel that they've had a breakthrough with optimus and holy crap like i will go in so heavy on tesla at that moment in time but i'm like but i'm prepared to do that and i know what i'm looking for and so i'm just going to wait for that and then if and when it happens i'll go all in what are you looking for i'm looking for a an actual robot robot hardware and and foundation mall because they're doing everything in-house that is showing me or someone that i know that it has the ability to meet the kpis or come very close to me those 12 kpis right you know stuff like you know downtime and you know performance metrics of like how it can perform on a summer its cost of production like all all this stuff how many humans it needs to monitor it you know all that stuff so i would just have a prepared mind study the space follow all the people that are intelligent in the space and just wait you got time and then like because you don't want money sitting there and something that might not even something that might not even result in a winner 100 yeah you're totally right um i want to continue this conversation now from the embodied AI perspective to just the AI perspective.

50:16Let's get rid of the physical. Let's just go software. Let's think agents, right? AI agents have gone from a research curiosity to a real product category in only 18 months. I couldn't spell agent 18 months ago. Now I've got my OpenClaw doing some really cool stuff for me. So tools like OpenClaw, the new Anthropic and OpenEye agent products, browser-based agents, they can actually do things completely on your behalf now. I want people in this room to understand, I hope you can help me iterate this, 2022 chat GPT is not 2026 chat GPT agents, codecs. We have come in the last four years, leaps and bounds more.

51:00It's unrecognizable technology now. So what's your perspective on this technology as it stands today? And what should people be doing with this information in 2026 they should go you know build a company they need to go what should they do knowing this technology now exists yeah i think it's really important uh as investors that you get to the ground truth of what's happening because i have never experienced a sector with more just just bad information every day people that are stuck in their silos as being like pro ai anti-ai throw this a company ai company and negative about this one and there's it's insane um i think the most important thing is you have two options you could either uh do what austin did and actually get hands-on using it yourself that's probably the best okay and you should do that to whatever capacity you're comfortable i have not started my journey i'm about to start the journey that Austin took with, you know, setting up agents and doing all the stuff.

52:07I was enlightened a week ago by someone that literally melted my mind. Uh, he has, he's probably one of the most sophisticated guys in this world. He has 12 agents working for him. And we were sitting at the edge of a cliff in Hawaii over looking at surfers. And I gave him my mom's, she's like 80, her website, which is horrible. And he ran it through this thing he had built to assess and he gave it an F and it said what her website should look like based on best practices of communication from all these books and studies and psychological stuff. Right. Yeah. He's like, I was like, holy crap, that's an insane website.

52:45I, that's insane. He goes, do you want me to build it for her right now while we're hanging out here? It's like, what do you mean? He goes, I have a team of agents that will build it for her within an hour i was like from his cell phone he got on and from his home computer he's like you just get me her what she's on wix you know and so it got her the wix login he just gave me her wix login i got him the wix login he had his agents read the wix manual and how to code in wix and do all this stuff and literally in 45 minutes it reconstructed an entirely new working website with links and everything perfectly matching what his other system said would be the perfect website for her i i almost pissed my pants dude it was the craziest thing i've ever seen in my life uh anyway you either need to do it yourself so you can experience what's actually real and see the change or you could do what i've been doing which is spending a lot of time reading and and watching other people who are knee deep in the weeds, either at their job as developers or starting companies who are posting every single day about the good, the bad, the ugly of what agentic AI is and isn't capable of doing on a day-to-day basis.

54:01Go to the source. Don't read articles and people's opinions about what this crap can or can't do. go to the people that are actually doing stuff with it or not and determine what it can do. I've done that and I've come to the conclusion that yes, this is as real as real gets. And we don't ever need to have a quote AGI or whatever. It's completely irrelevant to me. If AGI literally never happens, it won't matter to me. This will still be the biggest thing we've ever experienced. And I think the biggest investment opportunity ever. Um, and I think it's just astonishing how big the opportunity is.

54:40One of my favorite trades that I made recently on the space was a company called, oh my God, it's out of Rogaku. Oh, the one with the, yeah. Yeah, in Japan. And it was just a random company in Japan that was like a health tech company that had these machines that they repurpose to basically do 3D imaging of AI chips and memory chips so that they could identify if there were any circuitry breaks in them. And so, you know, if you put... The AI chips are getting so dense and high right now that, like, once you put them in a data center, if it goes down because there's one little error in it, it takes the whole rack down.

55:25That could cost you$2 million that week in downtime. So all these hyperscalers and chip manufacturers, everybody's getting every chip scanned like 3d scan before it gets delivered right and installed and this is like one of only two companies in the world that makes that but no one even knew that they made the machine because they weren't a tech company they were like a health care company in japan and the japanese are not as they're not as loud as us when it comes to oh dude we got something big we're an ai company now let's pump our valuation they're literally the opposite they're afraid to talk about it because they don't want to be like seen yeah as taking advantage of something so like my guy was literally one of my analysts was literally in japan and like it just found the company did a big report on them long story short yeah the company's up in like the last month and a half like 60 or 70 percent you know maybe 80 percent in the last couple just because you know I found it first through my friend and you couldn't even invest in it in the US.

56:29Like I had to get Schwab to add the ticker to the global Schwab account so that we could actually invest in it. But I love these. That's how much opportunity there is here. You know, like we're still early. There's still companies like that that would benefit. But, you know, even going back to AI, I'm trying to figure out where are the lower risk companies. And I still think it's just data centers, compute. Fix and jubbles. compute yeah it's just it's just compute you know i'm really fortunate i've been speaking to a lot of like guys who run some of the biggest data centers on earth and i've just been like asking them like like what am i missing like what should they're looking at i i think what's been happening they've been telling me you know how everybody was starting up a data center like every leary has one now yeah like every everyone is like oh i gotta do every real estate guy commercial real estate guys data center they were telling me that like that like whole phase has kind of been run through a little bit and there's so many issues with those data centers that are being run not by triple a list talent putting them together and there's so there's so many nuances that the the people that actually have the big money to acquire the compute and get the compute in they're going back to really only wanting to work with like a list companies Peace.

57:47Amazon, Google, you know, the companies that actually have the ability to get these data centers up relatively on time to control the compute that can like handle like, so that we're going through that part of the cycle right now, which is why I'm even more amped on big tech because like they're getting, you know, and some of the big public companies too, that are just data center companies that they're doing well too. so i know i'm sure y 'all have a ton of questions if you want to ask we've got 30 minutes 32 minutes left with them yeah should we just jump straight to q a or robert do you want to lead us off with a final question for chris before we jump to q a yeah let me do a hybrid of three questions okay because i think it'll play really well into the q a so you talk about this conviction uh you've been very vocal about putting 20 to 40 % of your capital kind of into AI and robotics over the next two, three, four years and recently as well.

58:44So that's the first part of it. But then secondarily, for the average person out there that is not where you're at financially in your investment journey, how should they look at it from their own risk perspective of how much of their money should they be willing to risk in these secular growth trends like human robotics and AI and all that? because some of us can take that risk and go 40 % on one conviction and it really wouldn't change our lives. But the average person can't do that. And then also give me an idea of where you think someone should be financially before they would go all in on a big bet like that of 20, 30, 40%.

59:23Yeah, that's one of my favorite topics, actually. I think it's probably one of the biggest lessons that an investor can learn. And it's one of the biggest things that most investors miss is that I think every investor, every single investor needs to have a big, I call it a big money account, right? Uh, it's a high risk, higher reward account. And, and, you know, you can even break that out to a couple different, one is really high risk, high reward. One is just generally invested in high growth equity, which is like, you know, I just think high growth equities are the most important thing in the world to be invested in.

59:57Always, always, it's not the stock market it's literally saying i want to put a lot of money to ride along with the most ambitious most aggressive smartest humans and companies on earth i mean why would you not want to do that right like it's it's insane not to do that um so i think we need to start thinking of like i tell people think of every dollar as potentially being a hundred dollars which if you're investing like extraordinarily aggressively with leverage into like concentrated the most ambitious companies on earth over the course of your lifetime you'd have a really good shot at making 100 extra money if you only hit 50x still it's a huge number uh if you start thinking like that you will find money in in all over the place and what i mean by that is you'll start finding trade-offs in your life to where maybe you're the type that would never clip a 50 cent coupon, but if that coupon was$50, which is exactly what it is, if you invested aggressively, all of a sudden it makes sense as a professional adult to start clipping coupons on Saturdays.

1:01:07It sounds dumb, but stuff like that starts to become really fun and meaningful and relevant when you're trying to fund a baller account to be able to invest in really cool crap that's like high risk high reward concentrated levered margin options all the above like you're never going to do that unless you have a big money account but everybody could have a big money account and once you do this all the stuff like the stuff that graham stefan talks about like oh make your own coffee at home to save four dollars a day like no i want i want to go to the coffee shop well for four hundred dollars a day i'm making coffee at home you know like like you want to like you know maybe you like getting a haircut every four weeks maybe if you can cut it to every five weeks your hair looks not quite as good for one week you know 10 times a year but you end up saving you know i don't know 150 bucks a year, not worth it.

1:02:08But that's like 15 ,000 a year. Now 15 ,000 a year, it's worth it. Same thing, mow your own lawn, do this. Don't buy the new TV for another eight months or 12 months. However much money the TV came down in that 12-month period that you were going to buy 12 months earlier, that you watched your old, probably fine TV for an extra 12 months. If you saved 100 bucks, which is like 10 ,000, that$100 goes in the big money account when you actually buy the TV, right? Like, so you have to commit to the money that you save or earn through trade-offs goes in that account. It's other people's money. It's not yours.

1:02:44So you're not going to freak out when you do something really aggressive with it. And like that mentality is a game changer. It's a game changer. You might need to open up a separate brokerage account just to keep it totally separate or not. It's up to you. Everybody's different. But once you start thinking like this, then like, you know, when these guys send out a notice that, all right, we got this crazy investment. It could be the one probably going to go out of business, but it could be the one, right? It could be the one that you're like, and they're like$10 ,000 minimum,$5 ,000 minimum, whatever it is, you know, you got it.

1:03:26You're like, dude, this is the one I want to do it. I want to do it. I want to do this one from the big money account. And that's fun. And that's fun because like you get to invest the way I do. You get to invest the way super, super wealthy people do because they don't care. Right. They're not worried about it. Yeah. We did an episode actually a while back and we talked about if you're in your early 20s, just on a standard 9, 10 % return in your early 20s, every dollar you don't invest and you waste is worth$77 in retirement. and then your early 30s at that same 9 % return, it's like$27 in retirement.

1:04:01And that's very similar to your analogy of taking that money, putting it into the big money account, and then through that multiple of what that actually creates, not what it looks like on paper. Yeah, I got married 21 years ago, and I forever could not stop thinking about the amount of money. Don't even bring that up. about the amount of money that we and we're fine so it's all good but like that we would have had if she would have just let me buy a fake diamond instead of a real one oh yeah i was like i was like you don't even know the the the purses that you would be able to buy right now like all the other stupid stuff that you'd be able to buy like no one would have known no one would have known and that money compounded the way that i invest oh yeah we're starting to play yeah and like fortunately back then like at some point during the between when i got engaged and when you got engaged somebody shifted it from two months to three months salary like that was never a thing it was always two months somebody just turned up the dial yeah the crazy part is i had this exact conversation with my then fiance and then i went on to be the fool's bet and spent seventy four thousand dollars on the wedding ring and i was just like and then you know you know what happens after that but yeah it's a lot of silly bands that's a lot of silly Yes, it is.

1:05:45Yes. Do you want to jump to questions? I think we should. Yeah, let's go. Sam, let's do it. Yeah, let's. I'm sure. What's up, Isaiah? Let's go. So during the break, Brian and I were talking about higher education, kind of where things are going, obviously, with a lot of the human capital changing, like you're talking about with humanoid robotics. What does education need to do to respond so we prepare people to kind of work in this new environment without overcommitting? I know you said you don't want to absolutely commit to one position, but what do we need to be doing in terms of universities and colleges to help prepare kids today?

1:06:16How do we need to change? Burn them. Burn them down. No, like for real. Wow. I know. Like they're worthless. Don't film me. I know. So even, even, you know how you have these, you know, these like collegiate education content creator influencers that that's all they study and talk about their whole career is made off of helping people figure out what university to go to. They're on my algo probably because my kids are two years away from going to college and they're really fun to follow. One of them this week i was stunned because you know they have they have all the incentives to protect the college world she came out and said that there are only 20 colleges worth going to as of right now and then she's like you if you can get into one of these 20 schools you're still going to gain enough from going there uh from from the credibility and from various things and networking but anything below that 20 tier, she said, you should instead consider going on a sabbatical for a year, kind of get it out of your system, right?

1:07:34Like you can still have that fun. Instead of having fun that first year of college, you can go on a fun sabbatical with friends, live the world, see the world, have a college-like experience in a different way. Because it's all changing, whether like it were changing right and then after that year you can go to either a technical school or a trade school or get an internship and explore some other alternative route towards a profession which is where all this is going to go anyway so you kind of get to grow up a little bit and you're not going to regret not having an experience and you could still and they're just about to be better ways, self-train yourself through AI, like all this stuff, right?

1:08:15There's a billion ways to do this now. I think you just have to radically think carefully about what the right thing is for you. But I will say this, the one thing that's undeniable, undeniable is you must become hyper-proficient with AI as a user. I mean, you need to be spending, if you're young and you're in high school uh you need beyond using ai to cheat on your tests and all the stuff uh you need to spend i think at least 30 minutes a day learning about ai follow people like at minimum follow people like nate nate's the guy on tiktok he's like the mr rogers of ai i always say 60 seconds he'll tell you what's happening that day uh get involved with the tool sets build an igentic agentic system on that i'll just do something for fun if if you are a young person and you become hyper proficient utilizing ai to build anything to do anything and you're doing it every day you're gold you are at your gold i don't care what career you want to go in what sector you want to work in, you will have a job guaranteed, uh, because you will step into that interview and confidently say that you are 10 employees worth of an employee because you spent three years becoming hyper-perficient, top 1 % globally and utilizing AI tools to solve problems.

1:09:51That's it. That, that, that's the answer right there. And then whatever sector you want to go in, whatever company you want to work for, you literally have the world's like cheat code just because you decided to be hyper efficient and using AI tools good question Isaiah over to you Axel how do you distinguish between viral hype and real cultural change when you are doing social arbitration how do you distinguish between that's just a fad versus what is actually cartelership the difference between like a fad and a durable shift in behavior culture technology right like it can be really important sometimes initially it might not matter that much you know in my in my in my backpack i have a squishy toy it's a neato i was just showing these guys it's one of my social art trades it's tbd whether this is going to be kind of a fad that lasts a few months or more it's still going to be a fad but or something that kind of lasts a year trend or two years of trend right yep and i think as long as you know that and you're you're monitoring the situation and and you stay flexible to be able to change your mind and get out of the position it doesn't really matter Because like with Neato, I just know that if they can maintain, because they're still maintaining, I think they're like six of the top 20 toys on Amazon right now are Neato squishies selling at triple the rate.

1:11:36If they can maintain to the holiday season, it's game over. I think there'll be a needle mover for the publicly traded holding co that owns that company. And I think they'll see a 30 to 40 % lift in their net income as a result of that, if they can just survive to the holidays, this holiday season. And if not, if it falls apart, I'll just get out of the trade. I'll see it falling apart because I'm monitoring it like every few days. But sometimes you don't know. Like for a long time, you just have to get to the ground truth, which changes every day. So for a long time, investors, institutional snobby investors thought that Crocs was a fad.

1:12:14And they didn't realize the moment that it became something more than a fad, which was when we were in the pandemic and we were going through a cultural shift to people wearing things that were just more comfortable. At the same time, the company made some genius moves in marketing to do these super celebrity collaborations. So every couple of weeks, they were coming out with a new pair of Crocs that was keeping the brand cool. Bieber's wearing Crocs. This person's wearing Crocs. The biggest fashion brand in the world is doing a collab and its$800 Crocs. Now they never sold that many of those collabs, but it kept the brand cool.

1:12:55So they were hitting on a super cycle that was happening in the world of comfort trends, wearing things that are comfortable to you and also cool. And so instead of being this thing that was about to fall apart at any moment and Wall Street gave it the lowest PE ever, because they're like, in any month, they're going to miss earnings. So every earnings, there was an assumption that there was a 50-50 chance that this was going to be the earnings, that it just fell apart. Because they were too lazy to do the work to see that it definitely hasn't fallen apart this quarter. So, no, there's a 0 % chance that this is going to be the quarter.

1:13:35And then if you get to a point where you're like, the search trends are falling apart, I'm not seeing people, they're not buzzed on TikTok about Crocs right now, the middle school kids are falling out of favor, like they're losing that market well the nurses are still wearing them but i'm not sure if that's enough right like if it starts to enter an area of doubt is this like are they kind of losing it is it becoming like a little less of a trend and then you can get out of the trade or hedge your trade so uh as a follow-up to that though we just talked about a fad a trend a squishy right something like that but you were also talking about glp ones and peptides that is something that is that considered then a trend and how do you differentiate between a squishy and a crock versus like peptides which are going to be in my opinion 100 billion dollar companies by the way i have a better way to answer your question which is don't try to predict the future because that's what you were asking.

1:14:34And this is literally my whole thesis revolves around don't predict the future or think that you can just be amazing at properly assessing what's happening in the present every day. Okay. So you don't need to determine if this is going to be a trend or a fad. You just need to be perfect at assessing is it still on fire today all right um glp ones uh that i think uh although i never wanted to like predict the future on that i felt strongly strongly that that was going to be way more than just like a fad and i feel the same way about peptides absolutely Can you give us a sneak peek? Well, think about it.

1:15:22The underlying current of this is just so, and I feel the same way as controversial as he is, clavicular and looks maxing. And I've said this, it's undeniable that looking better, whether you're doing that through grooming or lifting weights or eating better or better style translates to more opportunity in every part of your life. Whether it's business, social, dating, anything undeniable. It's a fact. Now, I'm not saying to go smash your face like that lunatic does every day. There's a line where the risk reward doesn't make any sense anymore. Right. But it's undeniable. And GLP-1s and peptides are simply part of that.

1:16:16Who doesn't want to feel better, look better, be more productive? I mean, come on. Like, it's just the most obvious thing in the world. I mean, when I saw what GLP ones were capable of years ago, I was like, dude, this is literally going to be I tweeted this years ago. I said, this might be the biggest drug in the history of humanity. And it is. Yeah, it is. Yeah. And if they could just come up with the pill to grow hair back, that might eclipse it. But until that happens, yeah, like that's the only until that happens. Like this is it. like this is it so not to put you on the spot with the peptides but like as we think about them i think you know hymns and hers because they've got this really cool peptide compound pharmacy i think in california and then eli lily with reddit trutide and what they're working on but maybe from your perspective there's something that that we're not seeing nova nordus too is i don't know just this there there are there are some other uh companies that are touching the peptide supply iChain and platform, which we will dive into in our next episode of Dumb Money Live, our peptide episode.

1:17:27The reason why we didn't do the episode this week is because I got distracted and didn't have the time to properly research the companies. So I can't speak to it until I'm not holding back. I have the list of the companies. I just don't, I haven't researched them yet. I think HIMSS is an obvious one that everyone's pointing to. And it's one of these things where it's like, but everybody already knows that HIMSS. So like, where's the arb? Okay, then you have to make a decision, and I haven't made it yet on HIMSS, of, listen, if HIMSS is going to truly be a beneficiary of this, and if you believe they have the motes, because unlike in the past, like, everyone's going to want to get a piece of this.

1:18:09These peptides are going to be massive, massive. So do they have enough motes in peptides to really retain the value of the super cycle we're about to get into? But I am basically now convinced with certainty that peptides are going to be just absolutely massive. And we use this word peptides, but it means a lot of different things. I don't know which peptides are going to be the ones that float to the top that are truly meaningfully beneficial. and which ones people are going to be like, nah. But we're getting into a new age of it's vitamins that work. It's supplements that work. That's really all it is.

1:18:50We don't have to overthink it. Think about how big the supplement industry has been the last 50 years. It's just simply supplements that work better that have higher moats so there's more profitability in them across the supply chain. it's interesting man and then you also have like the truth of how much will they benefit to how much will other investors think they're going to benefit because even if you ultimately come to the determination that you know what i just don't think hymns or whatever the company is is going to benefit that much that they're going to their valuation should triple in size but if other people think they are they're going to pop so you get into that trade right and then you exit after it pops knowing that i just don't think they're going to actually fulfill the promise of being you know meaningfully ramped up on this whole peptide thing from an earnings perspective so we've got a hard stop in 10 minutes yeah you next all right cool we'll just try to rapid fire for 10 minutes like what happens if amazon comes out and it's like hey love what you're doing in peptides, HIMSS, we're going all in on peptides.

1:20:06Like that would be a devastating day to be a HIMSS shareholder. If we have to teach a 10 year old or 10 plus year old about finances going forward with a rapidly evolving landscape, how would you approach that? Yeah, I think three ways. One is I would utilize AI, quite honestly. I love AI learning. I'm a big fan of like Alpha School here in Austin and what they're doing with AI learning. I would use AI learning to teach kids about finance because it's probably going to communicate finance in a way that's more tolerable to them than anyone else could. also uh i would identify content creators on youtube or tiktok that are actually trustworthy there's a lot in finance very few that i trust you know these guys for sure i'm comfortable with myself uh as a finance creator like i trust myself um guys like graham Stefan, right?

1:21:14Like the guys that are just like in it for the right reasons that are good messaging, like, and figure out which one your kid relates to the most because they love YouTube. Right. And then the third thing is you just have to do it in finance to the degree that your kid, uh, expresses an interest. Even if it's starting with a$10 account, uh, have them open the account, have them buy a stock tell them why you're buying it just have them do the things don't overthink it have fun with it don't worry about it being good or bad we're talking about small dollars here those are the three ways that i would go about future yeah just really quick um you mentioned not to predict the future but what resources do you have or do you go to that you trust to be really good at making the decision on the moment and just kind of tracking along what happens daily where do you go to what are the voices that you hear that you listen to resources that you trust to make the decisions on a daily basis, just following the trends and seeing what's kind of discerning what's going on?

1:22:33Yeah, great question. There's a massive matrix of sources. There's a lot of ways that I surface opportunities and I create a thesis around that opportunity. Often I'll surface an opportunity by studying conversational data, which is comments on TikTok videos mostly, because that's where people are most raw and expressive and it's most real time and it's a robust data set i love it it's the gold standard for alpha um so you might discover something like coconut why is everyone talking about coconut it's been really popular and then you got to figure out okay is that real so then you there's a lot of things you do i talk about it in my book on no market wizards the chapter he wrote on me is great i've done like tons of podcasts on this it would be a lengthy conversation but you know you go to google trends are people searching for it you go to the store speak to clerks about it at the store, right?

1:23:26Maybe go, I mean, there's so many different pockets of information and different pieces of data. Like I'll then look at the website data of the company making the product. Is that showing a lift? And what I want to see is, you know, I don't want to see just one piece of data that's supporting my thesis. I want to see a lot of different data points that are unconnected that are all supporting my data people are talking about it people are searching for it their website traffic is going up the clerk in the store says he's never seen anything like it right like and and so there's all kinds of different places you should look at and if you really get into social arb investing and trading and you start you know following me and my community and stuff you're going to learn all it's an endless it's endless quite honestly channel checks.

1:24:22There's just all kinds of things that you can do that are both digital and in the offline world, but it's no one thing. And the more data you get to sync up, the higher your conviction level gets in the bed. And a lot of times that defines how aggressive you are in the investment or how levered you go into the investment is how many data sources are fully aligned. Now, before we take our final question from our live audience member there, want to give a shout out to Neos Investments. Neos offers ETFs that seek high levels of monthly income with a keen focus on tax efficiency while providing core portfolio exposure across equities, fixed income, real estate, cryptocurrency, and cash alternatives like T-bills.

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1:25:46An investment in NEOS ETFs involves risk, including possible loss of principal. There is no guarantee that NEOS ETFs will make monthly distributions and the amounts may fluctuate from month to month. Cryptocurrency is relatively new and the market also has its own specific risks. And NEOS ETFs are distributed by Foreside Fund Services, LLC. All right, Robert, let's go hear from that last live audience member back to our conversation. One more. First of all, my key takeaway from all this is I will never take my diamond ring off in front of my husband. So thanks for that. But you've helped a lot with talking about how we can encourage young people and teach them.

1:26:27but ron and i have children ranging from well early 20s on up to like mid to late 30s and well and older but i'm just speaking of ai and trying to encourage them to learn more about it and i'm shocked that a lot of them have like kind of a really negative attitude about data centers it's taking all of our natural resources and the water. That's one part of it, but also just almost like an angry fear of it. And it's going to take all of our jobs. It's going to ruin everything. And I mean, we have a daughter who's a pharmacist. She has her doctorate and she's just terrified of it taking her job.

1:27:09And we try to encourage her to learn about AI and she has her doctorate, but she's scared to learn about it. It's what can we tell them? Yeah. So we live in a digital world where clicks sell and unfortunately the easiest way to clicks is fear-based content whether you're making it or not doesn't matter because the algo naturally drives that the most engaged engaged content to the most people so we are seeing nothing but that fear-based content and it is brainwashing all of us if you look at the data the actual ground truth on water and data centers if any of you have done this you quickly realize the entire story is made up right like like they're the the if you look at the water usage for everything like data center doesn't even make the top 100 list of things we should be concerned about when it comes to water but it was a story that went viral because it's very catchy and it kind of makes you know like it's So it's hard.

1:28:14I think we just have to have these pragmatic conversations with our kids. Use a couple examples like that. You can pull the water one and just show them that, hey, the entire digital ecosystem runs in such a way that it always shows us fear-based things. Almost everything that we see today is less than 100 % true And it's exceptionally important, not just as an investor Who needs to be a critical thinker But in every part of your life as a critical thinker For your mental health to fact check every single thing that you come across That you think is concerning before you act on it Or before you allow it to impact your mental health Because the truth is, if you actually do the research, there is way more evidence that will point you in a direction that this will result in meaningfully more and better employment for humans than the opposite story.

1:29:22It doesn't mean it's guaranteed to happen that way, but there's way more evidence pointing to that. Historically, no matter how you look at it, no matter how you slice it up. I'm not concerned when it comes to jobs. I am concerned with bad actors. I'm concerned with AI blowing up the world, AI viruses, AI hacks. I actually think the world, an AI world is more fragile than it's ever been. That's what keeps me up at night. There actually are legitimate things that we should all be super concerned about and losing sleep over, unfortunately. What is crazy to me is that virtually nobody is focused on fixing those things.

1:30:11The actual real dangers that AI is bringing, no one's talking about it. We're talking about all this stuff like job loss. It's probably not going to happen. And if you've seen some of the recent data, there's actually more demand on the jobs that we're saying are most at risk, coders. And yet there's more demand for coders right now than there was a year ago. I mean, but that's not a sexy story. That doesn't get clicks, okay? I know you have a heart out at four. Sorry, guys. Oh, I have to run. Yeah, sorry. I'll pick it up. Yeah, thanks, guys. Everybody, thank you so much for tuning in to this week's episode of the Rich Habits Podcast.

1:30:50If you learned something, please consider sharing it with a friend. If you don't already follow us on Instagram at richhabitspodcast, what are you waiting for? If you have questions for Q &A episodes that take place on Thursdays, Email us at richhabitspodcast at gmail.com. And don't forget, we're still running a seven-day free trial to join the Rich Habits Network, our community for our biggest fans. We host a weekly live stream every Tuesday night. It's two hours long. There's so much fun. We've also started hosting Friday office hours, a little hour hangout with Robert and myself. It's fun. It's cool.

1:31:28But go join the Rich Habits Network. We're having so much fun inside of there. Yeah, you took the words out of my mouth because if this episode really excites people out there that haven't gone down the road of venture investing yet, the Rich Habits Network is the place to be. We're doing all this cool stuff, investing in all these companies that we talk about. And you can have access to that by joining us in the Rich Habits Network. So check out that seven day free trial. Thanks, everyone. And we'll see you on Thursday.

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