InvestingWithBrandon

Retail investor: I can't figure this market out. $Q was at $558 not that long ago &now it's pushing $715. Nothing makes sense.
Me: What do you think changed between those two prices?
Retail investor: I mean... something big must have, right? That's a 30% swing.
Me: Has the EPS growth been strong this year?
Retail investor: ...VERY
Me: So the market fell below fair value in April & at the same time EPS growth is VERY strong & you are shocked the market made a big move like this?
Retail investor: Honestly... when we say it that way it all makes sense. There is just so much noise online it's hard

Retail investor: I jump out when things get scary, then hop back in once it's safe.
Me: You know the best days almost always come right after the worst ones?
Retail investor: ...they do?
Me: Miss just the 10 best days over a couple decades & your returns get cut nearly in HALF... & those days cluster right in the middle of the panic you're running from.
Time in the market > timing the market

Retail investor: If you're so confident in your portfolio secured puts, why keep millions parked in boring $VOO & $Q? Put it to work...
Me: That base IS what's working. It's doing two jobs at once, every single day.
Retail investor: Two jobs?
Me: Job one... compounding. Look at the chart. Through 2018, COVID, 2022... it just keeps grinding up & to the right at ~11% a year over time.
Retail investor: Ok, & job two?
Me: It's the collateral for every put I sell. Every premium I've ever collected was secured by those "boring" shares. No cash parked. No margin interest. The base backs the promises

What's the difference between RIGHT NOW & the 2000 Dot Com crash?
Then the PE ratio was 100
Now the PE ratio is 22
Yes... we will experience volatility, but right now is very unlikely to be a bubble like it was then.

Retail investor: I'm holding cash until the next real crash. That's when I'll finally load up.
Me: Look at $VOO's chart real fast. See 2018? COVID? 2022?
Retail investor: Yeah, the dips are obvious in hindsight.
Me: Ok. Did you buy any of them?
Retail investor: ...no. Every single one felt like the start of something worse.
Me: & that's the problem with the "plan." You've already had 3 "crashes" & bought ZERO of them. The next one will feel exactly the same... like the end of the world & you'll likely miss the opportunity again...
My point? No dip ever feels good. The market is usually dipping

Here's the covered call problem on the most boring chart possible. Not a moonshot stock... just $VOO ...
2022... down about 25%. The covered call guy thinks he is a genius as he helped pad his downside a tad.
Then look what this chart does next.
2023... +24%
2024... +26%
2025... +16%
2026... +12% YTD
Back to back to back to back. The 4 years that scaled everyone's accounts well beyond all time highs.
Except the covered call guy got CAPPED. Over & over. Shares called away, rebuy higher, cap again, called away again... all the way up 4 of the best consecutive years in recent memory. He collected

I retired at 31 doing this.
Here's how to start right now with $100,000
Step 1. Build your base.
40% $VOO
40% $Q
20% high conviction companies near intrinsic value.
This is your foundation & your collateral.
Step 2. Sell 1+ year portfolio secured puts.
Quality companies only.
Moat.
Pricing power.
Good valuation.
Collect the premium.
Pay zero margin interest.
Ratios in check so you're fine in deep crashes.
Step 3. Redeploy premium.
More shares.
LEAPS on your highest conviction names.
Step 4. Keep ratios in check.
A 40% crash should not keep you up at night.
Re allocate more bullish or bearish a

Before you panic…
Don’t forget the Nasdaq $Q is up 17% YTD.
Volatility is expected and normal.
Those that are prepared see it as opportunity.
Those that aren’t see it as the end of the world…
Please don’t be like the herd.