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Wall Street Unplugged looks beyond the regular headlines, heard on mainstream financial media, to bring you unscripted interviews and a breaking commentary direct from Wall Street, right to you on Mainstream. How's it going out there? It's December 14th. I'm Frank Gursio, host of the Wall Street Unplugged podcast, where I break down the headlines and tell you what's really moving these markets. So as we approach year-end, like always, the largest research firms, which the Goldman Sachs, JP Morgan's, Morgan Stanley's, they provide a 2022 forecast. And I want to go over these forecasts with you since I know many of you might not have access to the data. Maybe you'll hear a data point on CNBC or be able to read it, but having access to these reports and seeing where they're coming from, I wanted to go over a lot of this stuff with you. And the reason is you need to pay close attention to what the sell-side analysts, these are called sell-side analysts, are saying about the economy, (1/35)
different sectors and stocks, because that's usually the status quo. So if you can prove through your research that these forecasts are going to be wrong, and I'm talking about to the upside or the downside, that's how you make huge returns. Because by doing that, it means this data, right, if your research is correct, it's not being priced into the market. So a good example of that was say in February 2020, when I was reading the research channels, this is why I became more and more bearish, because I felt like people weren't seeing what I was seeing and what I was hearing through amazing contacts and interviewing people in China and Italy. And again, this is before the markets crashed, right, because they were close to COVID. So everyone thought it was going to be quick downside followed by strong rebound. And when I say quick downside, it was Goldman and Morgan Stanley predicting a quarter, one quarter of weakness, they were comparing it to other past pandemics. And this turned out (2/35)
to be much, much longer than expected, right, over four quarters, five quarters. We're still dealing with some of that stuff now where we still wear masks and it's impacting the economy in certain areas, especially in New York and California and also international travel. I mean, this is still going on now, COVID, right? They said it was going to be like one quarter and we're going to be fine. For me, I thought differently since China actually closed its economy. Apple, Levi's, you're looking at all these major brands were closing in China. And this happened like the first week in February, two, three weeks before the market really started to crash. China accounts for 40% of the world's growth. We're trading at crazy, crazy valuation, very expensive valuations, which is fine. However, if you notice right before that point, that last quarter going in, GDP was slowing. It was under 2%. So we're seeing a slowdown with premium prices. Now you're taking away the growth component, the growth (3/35)
component of the world, out of the equation. They're closing their entire economy. So for me, I thought it was inevitable stocks fall much more than, I mean, that quick pullback. Some of them were saying, hey, we could see a 5%, 7% pullback. That's what they were predicting in the pandemic. And it turned out to be 30%, which is a little bit more than I expected. I thought we were going to get nailed, but not that quick at 30%. Now, why did it fall that much? Because all the major institutions, they were on the wrong side of this trade. They were forced to adjust and sell positions while these positions were pushing lower. Think of like a short squeeze or something. If stocks going higher and higher, people are like, oh, we got to get out, we got to get out before it goes high, because they're short. So that's what a short squeeze is. That's GameStop, AMC, and all these things. But when you could look at these sell-side forecasts or any forecasts, right, if everyone's completely bullish (4/35)
on a stock, that means sentiment is very, very high. That's what we saw with what? We saw that with Palantar, we saw that with DocuSign. DocuSign fell 40% in one day, tens of billions in market cap wiped out. So if you're doing your research and saying, wow, these guys who are all involved in this stock are wrong, either upside or downside, that's how you make the greatest returns. So I want you to pay close attention to these forecasts. They're very important, because if you could find a hole in their research, you could make very, very strong, exceptional gains. So starting with Piper Jaffray just came out. They said they surveyed 91 chief investment officers across multiple verticals, primarily within North America. And this is all technology. And they said, overall, 2022, the IT budgets are anticipated to be up over 5% year over year. That's a major, major increase, because they went up 5.4% in 2021, coming off of numbers that people were worried about from 2020 and COVID. So (5/35)
despite the uncertainties, despite inflation, you're looking at the biggest technology companies in the world are still spending and plan to increase their budgets on IT, which is interesting. You look at Stifle. So they say three potential correction catalysts, and these guys have the biggest downside number in the SP 500. So you say three potential correction catalysts. So they say cyclicals versus defensives and equities are extended. So basically they're saying money is rotating into the defensive sector of stocks. They also say the slowing global money growth, especially as the dollar rises and tightens liquidity. And also they're talking about China, because China, the past tightening, despite easing now after the era grade, weakens global growth. So they're predicting the SP 500 would be in the low 4,000s by Q1 2022. I mean, Q1, that's a couple of weeks away, starting a couple of weeks away. And that's 10% downside from the current levels. It's a pretty big number. Goldman Sachs (6/35)
says risk of recession appear low, continue to recommend high growth and high margin stocks. They say as high margins are a signal of quality indicate these stocks are likely to outperform their lower margin counterparts amid an uncertain macro backdrop and tightening financial conditions. So they see the SP 500 going to 5,120 in 2022. That's about 10% upside. Just give you a little bonus here. Some of the stocks they like, what they're talking about, the high margin stocks, Mastercard MP materials, that's MP is a symbol, United Therapeutics, Universal Display, Nvidia, Marvel Technology, Autodesk, notice how many technology companies are on this list. These are usually high margin companies. Alphabet, Meta, Insight, Booking Holdings, Palantir, these are some of the names that they like high margin companies going into next year, because look, those are the companies that are going to have pricing power. JP Morgan, 2022, the year of a full global recovery and ends the global pandemic (7/35)
and return to normal conditions we had prior to the COVID-19 outbreak. Their price target is 50-50, all right, 5,050. So we're looking at about 9% upside, pretty close to Goldman. So one of the things they do say is they say international equities, emerging markets, and cyclical market segments will significantly outperform and deliver two to three times higher returns in the US markets. That's a pretty bold statement. That's interesting. And then you have Morgan Stanley saying the surge in global inflation has investors fretting about future growth, but their economists say prices, those surges, that inflation is going to subside, making the way for 4.7 GDP growth in 2022. Its price target on SP 500 is 4,400, so we're looking about 5% downside. So let's throw all this, right? These are the expectations going into 2022. So let's put all this together and I'll break it down, show you what it means. If you take the highest and lowest forecast, you're looking at 10% upside, 10% downside. (8/35)
I'm going to say from someone who's been doing this for a very long time, that's one of the widest margins you'll ever see going into predictions next year from major firms. You might have a boutique firm that says, we're going to crash 30% or whatever, it doesn't matter. But in some firms, you see 3%, 4% returns and maybe 7% returns. I mean, outside of COVID, because we saw a massive decline followed by all this money printing and stimulus, and so those returns are high. But usually going back historically, 4%, 5% returns, maybe 8% returns and maybe 2%, 3% to the day. You don't see that big of a margin. It's very, very wide margin. And what does that tell you? It tells you how much uncertainty we have in the markets right now and what we're going to see in 2022. So when I look at that data and I go over my forecast, this is my forecast. I think we're going to see at least two to three separate 20% pullbacks. And this is going through 2022. I think investors are going to try to buy the (9/35)
dip, like they've been doing for five years plus, like buy, buy, buy, buy, buy. But it's a different market now. And when you have low interest rates, you have the Fed there to pick you up and everything's going to be okay and just throw money at everything and hand checks to everybody. Listen, buy the dip makes sense. It makes sense that a lot of these companies have premium valuations. It makes sense of how much liquidity is coming into the market, where we saw a record amount of deals flow, a record amount of assets trading at record highs. It makes sense for those conditions. However, in 2022, we're going to see a fundamental shift. I say a fundamental shift because that's what we saw in 2020. It was a fundamental change in the marketplace. In other words, I'm not saying that the market's going to fall because they're expensive. You could say that for the last five years on a historical basis. Again, people weren't factoring in low interest rates and the Fed and fiscal policy just (10/35)
throwing money at everything. So, you deserve stocks to be trading higher than the normal, which is probably 17 times forward earnings over the past 10 years. And we were trading at 2021 times forward earnings. But the fundamental shift we're looking at in 2022, it's a different landscape. It's a different animal. So, you're looking at the Fed that's going to begin raising rates. My forecast, at least four times. At least four times next year. They have to start. I mean, you saw Powell. You're going to see him Wednesday. He's going to talk about it. I mean, you're going to see a tapering much, much faster than expected. You have to. I don't know if you saw inflation numbers. You look at me, the CPI, I'll cover that in a minute, and the PPI just came out today. But the Fed's going to stop buying bonds completely in a few months, right? Why? Because it's been brought on by massive, massive inflation it needs to control. So, you have the CPI up 7% year over year, which is a 39 year high, (11/35)
and producer price just came out today showing a near 10% increase in prices. We've never seen that in history, right? And I read that through several headlines, so you can double check that. But even if it's not, it's one of the highest ratings that we've ever seen on producer prices. That's how much these prices have gone up. But comparing inflation, the CPI, to the 80s, right? Because that's where really a 70s and 80s, which is the 39 year comparison, it's misleading. Because the index is calculated totally differently now. In fact, over the past 30 years, the government has changed the way it calculates inflation, and that's the CPI, more than 20 times. Why do you think they're doing this? They're not doing this because we want to make it more accurate. No, absolutely not. You really believe that? They want to make it more... No. They want to show mild inflation since inflation is by far the biggest risk to the market. It's the one thing the Fed can't control by throwing money at (12/35)
it. You have to remove money from the system. You have to deleverage. But in the 70s and 80s, the CPI included housing prices. But now we use a non-market rent for owners housing costs. That's what it is. Non-market rent for owners, that's the housing cost. Also today, the government makes the assumption that consumer spending habits change as economic conditions change, including rising prices. So prices rise and consumers decide to substitute that product, whatever. Say, I'm not buying a Snickers because Snickers are $3 now. And they were $1.50, just saying. I'm going to buy M&Ms now. It takes Snickers off the list as its basket of goods it covers. Think about that for a minute. This way it's not going to report those higher prices for that product. So I'm not sure how you measure inflation then. But if you're looking at Apple's to Apple's comparison, or the way we calculated inflation in the 80s, and if you compare that to today, inflation, the CPI, is at higher levels than it was (13/35)
back then. Much, much higher levels. We're at 7%. You want proof? I mean, it's not too difficult to find it. I mean, you could find it almost any place. But if you're looking at a basket of goods and how much these things have gone up, just look at used cars. You could look at what you're up 30%. You have beef, which is up 24%. You have gasoline up 51%. You have rental vehicles up 40%. Furniture up 12%. Bacon up 20%. Gasoline, again, up 50%. These are the numbers that you're seeing. These are the numbers that I'm seeing. These are the numbers that, for some reason, the Fed's not seeing. But for you to say that consumer prices are up only 7% is absolutely insane. You're basically the Fed's call us a bunch of idiots. But they do this because that's the new way they calculate CPI. And it's not really that new, but that's how they change it over the years. But going into next year, where I'm going with all this, you need to be concerned. We had strong returns in the market for three (14/35)
straight years. I mean, 31%, 18%. What are we up now in the S&P 500? 24%? Something around there, 25%. The market usually goes up 8% annually every year. And I get it, why it went up so much. And those are the reasons why we were bullish for so long. But now, with this fundamental shift that changes in the marketplace, these changes, we're going to see leverage come out of the market with the Fed tightening and tapering, inflation is going to continue to rise as companies are under incredible pressure to report higher earnings every single quarter. That's your job as a company. Every single quarter, we need to grow, grow, grow, grow. You know why? Because if you miss with the valuations that they're currently trading at, if you miss, you become DocuSign, you lose 40% in a day, PayPal down 40%, Peloton down 50%, 60%. So what does that mean? They're forced to raise prices. Some companies are going to get away with it. Large technology companies will be fine. They all have trillion dollar (15/35)
valuations. They control the world. They have pricing power. But how many companies are going to be able to continue to raise prices to the point where people are like, all right, I'm done, I'm done. I'm not going to Chipotle anymore. That used to cost me $7, $8 for a meal and now I'm paying $12, $13. I can't afford it. I can't afford it for the whole family. And I get it. But where these companies are raising prices is going to create even more inflation. And then you throw in the new variants of COVID, which are going to come out forever, and how the government reacts and the media reacts. I mean, that just creates another layer of uncertainty, which we know uncertainty is terrible for stocks. That's what we're seeing right now, right? A big mix. Omicron, looking at like 2%, 3% moves in the market, back and forth, back and forth, back and forth. And we're going to see things like that every single year going forward. But if you take all of that together, we're looking at a super (16/35)
risky market, probably the most risky market than any other time since the credit crisis. And guys, we're seeing the craziness right now. I mean, the major indices are holding up pretty well, down less than 5% from their highs. But if you look at the breadth of the market, it's extremely ugly. For example, you look at the NASDAQ. So NASDAQ has over 3,600 stocks in it, and it's down around 4% from its 52-week high. But the average stock in the NASDAQ is down 40% from its highs right now. If you look at the small cap 600, that's off about 6% from its 52-week high. Okay, not that bad. Had nice moves in the past few years. Yet the average stock in that index is down close to 25% from its highs. So if you're wondering why your portfolio is down 10%, 15%, but yet you're looking at the markets and they seem to be holding up, that's why. A lot of names are getting crushed. Plus, we're seeing stocks that underperform this year, they're selling off even more over the past few weeks, mostly due (17/35)
to tax-loss selling. You're more relevant this year. We're up 25% on some of those stocks, yet you're seeing lots of losers in your portfolio, probably more losers than winners because the top half is really controlling the entire market. Those five, six, seven trillion dollar valuations, they accounted for 51% of the gains in the S&P 500 since April. That's according to Goldman Sachs. It's crazy. So what are you doing? Well, all right, let me sell some of these things. This way I don't have to pay taxes. And you're seeing a lot of these names get hammered, especially meme stocks, AMC, DraftKings, Virgin Galactic, GameStop. Have you seen the moves in these names? So what's going on? And they're getting destroyed right now. I'm not trying to scare you. You know me, you listen to me for a long time, I'm not saying, well, the market's going to crash, crash, crash, crash, crash, because I want you to buy products and sell newsletters. I've seen that for 30 years for people. The dollar's (18/35)
going to lose its reserve currency status. The mark's going to crash 30%, 40%. Bullshit. I'm not one of those guys. I'm just saying there's times to be aggressive pedal to the metal, which for the past five, six, seven years, interest rates low, money flooding the market, everything's fine as the price is going higher, and there's times to play defense like now, which is going to be completely opposite. The Fed raising rates is a big deal. It's a huge difference between a 3% mortgage rate and a 5% mortgage rate. That's something you can identify with. We were at 5%, what, a couple of years ago? And we're just, we're at 3%, we're a little bit more than that on a 30 year. I mean, that's where we're heading. What do you think it's going to do to the housing market? You think people are going to buy as many houses? Absolutely not. They're going to refinance as much? Absolutely not. That's money coming out of the market. That debt that you need to service, it gets more expensive. So the (19/35)
days of having $80 billion cryptocurrencies that really have no use and no utility functions, the days of AMC trading at a valuation of where it was at 60, 70 or Virgin Galactic with almost no revenue trading at six, seven, eight billion, even it was more than a $10 billion valuation, that's crazy. That's crazy. When did I see revenue growth for that company? I don't know. How many ships are you going to get up there? How many? It's crazy, the business model. And the guys who invested in that already made their money. But again, I'm not trying to scare you. It's just going to be an incredibly volatile market next year. And to protect yourself, to protect yourself here, I suggest buying puts. Why? I could be wrong. Maybe the markets continue to go high. I don't have a crystal ball. But providing that insurance helps. You guys know we have a newsletter called Money Flow Trader. It's run by Jidea Terranova that does this. And over the next two weeks, I'm going to provide a special (20/35)
discount for this product. I'm going to provide 40% off, and also I'm going to give you a second year absolutely free. It's only going to be available to Curzi Research members, so this offer is not going out to anyone except for you. Okay, so the offer we never made before, it's cheaper, so we sold it. I know that sounds like a sales pitch. I'm trying to get you to buy something, and it's not. Because if you subscribe to the product, and the product is shit and underperforms, you're never going to buy anything from us again, and you know I'm in this for the long term, I've been in this industry the entire year. The reason why I'm pushing this is because you need to protect yourself. And when you're looking at the markets, and you're looking at this product, right, which buying puts, again that insurance has been a terrible strategy, the market hit new highs for the past two, three years, right, since we launched this product, it's said to have a banner year in 2022, because I'm going (21/35)
to predict a lot of triple digit winners. Why? Because Jidea logged seven triple digit winners when the market was crashing during COVID, seven of them, one of them as high as 500%, and more than 500%. That's what happened. Imagine seeing those types of gains when the market's crashing. I mean, what does that do to your portfolio? Especially if it crashes even more, that small percentage could be worth more than your entire portfolio. Recently, we've seen crazy volatility. She just took two more gains, locked in two more 100% winners. So if you're not interested in money flow traded, no worries, it's fine. You're like, oh, Frank's selling another, whatever. Do me a favor, learn about buying puts as a way to protect yourself. You need to hedge your portfolio here and be smart. Okay, it's a very easy strategy to do this through your online brokerage account, but trust me, by doing this, you're going to thank me. It's going to let you sleep at night, and we are going to see crazy, crazy (22/35)
volatile conditions. And remember this term, it's a fundamental shift, guys. We're not talking about a market that's expensive that's going to come down, and usually historically this happened. No, this is different. The Fed is going to get very, very, very aggressive raising rates, very aggressive raising rates. They have to. You saw Powell just throwing a towel, totally just the first time that I've seen them do that. It's the first time I've seen the Fed make a massive change that it wasn't predicting and holding your hand months ahead telling you that it was going to do it. When Powell had that meeting in late November, nobody, nobody thought he was like, listen, transitory is gone. We're throwing that word out, and we're going to start raising rates much, much sooner than expected. That was a huge, huge surprise. You saw it in the market. That was a big surprise. The Fed usually doesn't do that. Usually doesn't spook the markets like that, but that's a sign telling you that these (23/35)
guys finally are nervous about inflation, which you saw it produce a price index today. You saw the CPI a couple of weeks ago. They're at the highest levels in history, both of them. CPI is not a 39-year high, just went over the numbers. If you're using that Apple's-Apple's comparison, it's at an all-time high in terms of prices going up year over year, and it's much, much more than being stated by the government. Let's take a couple of your questions. First one is from Mike. He says, hey, Frank. After he has Cruz, but it's going to be cursed. CURZ is going to be the symbol of our token. He goes, after that token is listed on T0, we'll be publishing a performance update on a periodic basis like Aspen token. Is it going to be core lease, semi-annual? Would be great. It's probably going to be semi-annual at first, and then we'll do quarter as we build up, because it is a lot of work and building up the IR department and different divisions and stuff. But yeah, for me, it's always been (24/35)
about full transparency, even if we're not doing well, we're going to report our numbers, right? So we've been consistently growing, but that's how I see this market. I see this with security tokens replacing a lot of the stock market, especially when it comes to small caps and over-the-counter names. The cost to do this is much, much cheaper, as you guys know. It's a lot easier, a lot faster to come to the market. You don't need institutions. I don't have institutions investing in my thing where they're taking board seats and they're telling you exactly what to do, they're all short-term holders. I mean, a lot of these investors are the worst ones. Their job is to make quick profits and get out as quick as possible. I mean, that's not what we want. So for me, transparency is huge. And when people launch security tokens and they come to me and they say, hey, Fred, and they show me the details, and I can't find a lot of the things like their financials or what's going on, I really don't (25/35)
deal with them. I'm like, I can't help you. Because it's not doing this market justice. It's not going to help it grow as fast as I think it's capable of growing. So you need real companies, real people, no money grabs like we see in utility tokens all the time. Of course, there's great names within there, within the crypto industry. But I would say for most of them are garbage. I mean, you don't even know who's running the company, you don't know how much money they still have in their balance sheet, you don't know any of this stuff. They create this whole thing, this whole white paper, everything. This is a utility function and it has no utility function, which means the value, if the token has no utility function, it means that it should be worthless. It should be zero. Because the only thing that's tied to that valuation, it's not equity, it's the use of the utility. So when you're looking at cryptos or anything else, I mean, for me, security tokens, this is going to be massive. (26/35)
It's starting, exciting. I have a great interview on Thursday. With one of the heads of TZERO, so definitely pay attention. Really, really good stuff. And you're going to understand why it's not just me that's excited about this market, but why you're going to see so many companies use this new way of going public and disrupt the investment banking industry. Let's get to one more question here and it is from Joe. He says, Frank, what are the best sectors to invest in going into 2022? I like when people keep it simple. I like energy on this pullback. I really do. I mean, when you have companies forcing, not companies, but investment firms that control most of the stock, forcing oil companies to stop drilling, it means the price is going to go a lot harder. I think prices will surge over a hundred dollars a barrel. Even at current levels, these companies are trading to a huge discount compared to three, four years ago, when oil prices were at similar levels. And you're looking at their (27/35)
balance sheets are much more healthy, they cut costs tremendously. Now they're seeing massive growth. You're seeing how many energy names have you seen, not just reinstate their dividend, but are raising their dividends and paying special dividends. That's how much money they generate. Oil prices are through the roof. It's like energy on this pullback. Similar to Goldman, like high margin stocks because they have pricing power. So a lot of those names on that list. I focus on names, major growth trends, like EVs, ESG, Metaverse. And by the way, I'm going to the Consumer Electronics Show. First week in January, pay close attention. I'll be doing live broadcast through TikTok and also posting a lot of this stuff on our website, but pay close attention. I've been going to this thing for like nine, 10 years and innovation has been crap. It's all been, how do we enhance the current AI and 5G and streaming? And we haven't seen tons of innovation. It gets you excited. And we heard about EVs, (28/35)
but now it's here. The EV market's here. It's not just Tesla. You're going to see a lot of all these things on the road next year. Rivian got car of the year. They're starting to deliver right now. But I'm going to be interviewing a lot of companies, a lot of these trends looking into it. And this is the event where the most technologies go. Thousands and thousands of the biggest technology companies in the world, they all go there to launch their product. This is what they're going to launch over the next three to six months. They get all awards and everything and having the access that we have, the media access, again, because of you and podcasts and influencer and industry analysts and stuff like that, we have access to almost everything and anyone we want, which is really, really cool. So we're planning all those meetings now. So definitely pay attention because we'll find, trust me, I always do find diamonds in a rough. 2019, last time I attended, I told you Kodak. I didn't tell (29/35)
you why it was going to, why, but they had a major presence there. Insiders were buying. Technology was pretty cool. I wanted to look into it. I said, guys, you just might want to put this on your radar speculatively by, and I think it was like $2 and went to $10, $11, $12 or something. And you always find good IDs here. You're looking at more trends, crypto. I really love crypto, as you know. And crypto is, if you're looking at crypto, forget about looking at Bitcoin every single day and it goes down and then you're going to see the Peter Schiff tweet saying, it's worthless, it's garbage, and when it goes higher, then you have all the bulls and the Winklevoss twins and stuff like that. And I get it, right? They have, they're putting their money where their mouth is, right? Forget about that in short-term price movements. The biggest innovation is coming from crypto. It's going to come out of crypto. You're looking at DeFi, still in its infancy, security tokens starting to really, (30/35)
really take off. You look at NFTs are on fire right now. Holy cow. They're still on fire. People are like, oh, NFTs are the fad. It's not a fad. NFTs are not a fad. Dow, you're looking at the metaverse. The metaverse is going to flow through crypto. Look at the companies. Not too difficult to find. I don't want to give any away because we have one of those names in our crypto intelligence portfolio, which is up several hundred percent and several hundred percent over the past couple of months, this is the opportunity that you're seeing in crypto, gains that you can't really get in the market. You have to be in the right areas. You're going to see ups and downs. You got to be very, very careful. Don't go all in on anything. You know, if you're going to invest, say if you're going to invest, you know, a thousand dollars, if it's 250 and then another 250, if it comes down a little bit or, you know, whatever, but just scale into these names, because we have names in our portfolio, the (31/35)
average gain is up over 850%, the average gain. Talk about even with the losers in the portfolio. So we're looking at 20x returns on several of these, 30x returns, I think a one or two of them, a lot of 10x returns, those names, a lot of those names are down 20, 30% for us at one time. If you're looking at, you know, 2018, 2019, so use that volatility to your advantage because it's here, it's a $2 trillion market and institutions are late to the part, they're dying to get into this industry right now. Those institutions are dying and this is going to be their opportunity to get in. I mean, you're looking at the results and you're looking at numbers from like Silver Gate and Galaxy and the partnerships that they're signing with investment banks. I mean, this is the early state. We're still very, very early into crypto, but most of the innovation is going to come out of there, especially over the next decade or so. You have to be invested in this. You have to learn about it. Take the (32/35)
hours and learn about it. It's not that easy. But you'll still be well ahead of the curve as most people, believe it or not, are still not invested in crypto. I think it's crazy. I mean, it's one of the biggest returns of my life in crypto over the past two, three years. Also, dividends should be huge next year. You're looking at conservative funds, trillions of dollars, they're going to create defensive names that are raising their dividends, so you get some I like, Morgan Stanley, Devin, Alcoa, I mean, Newmont Mining, since they're generating massive, massive cashflow, gold, over $1,700 an ounce, I think by 2023, I'm pretty sure it's Morgan Stanley, but don't quote me on that, I think it's Morgan Stanley has a $2,200, a $2,300 target on gold, which is interesting. But even at $1,700, $1,600 an ounce, these guys, they're all in costs of well under a thousand. And now with gold really depressed, they're able to purchase some amazing products and projects at dirt cheap prices. Put a (33/35)
nice dividend name there, Newmont. These guys are paying dividends, generate massive cashflow. Those are some of the names I like. So again, a lot there, a lot of names I threw at you. Going to go over some more forecasts next week, but you want to position yourself. You have to play a little bit of defense. Don't get crazy. I don't have a crystal ball, like I said. I don't know if the market's going to go up 30% next year or not. I do know that there's massive risks in the marketplace, and you're seeing that right now with a lot, a lot of stocks getting nailed, even a couple of ours in our portfolio, right, we want to pay attention to our stops. They're getting nailed, and some of the ones that were down are getting hit hard because tax law is selling. But even those leverage names, some of those leverage names that you're used to hearing the DraftKings and Virgin Galactics, GameStop, AMC, all these crazy names where insiders are actually dumping their shares, AMC, the insiders (34/35)
dumping like crazy, they're almost done dumping all of their shares. You got to be careful. You got to be careful going into next year because the Fed's going to be super aggressive, and it's going to result in a lot of high risk names getting hit. So guys, questions, comments, feel free to email frankkurzeoresearch.com. That's frank at kurzeoresearch.com. Really appreciate all the support, and I'll see you guys tomorrow with my buddy, Daniel. Take care. Wall Street Unplugged is produced by Curzio Research, one of the most respected financial media companies in the industry. The information presented on Wall Street Unplugged is the opinion of its hosts and guests. You should not base your investment decisions solely on this broadcast. Remember, it's your money and your responsibility. (35/35)