Hip-Hoponomics w/ Ash Cash Episode 001 | Navigating the Stock Market Rollercoaster

All right, y'all, so welcome to Hip Hoponomics with Ash Cash. This is your number one source for financial education. Uh, I'm excited to be here. So listen, if you're listening to the audio version of this, uh, make sure you subscribe, make sure you share it, make sure you tell a friend to tell a friend. If you're watching, uh, the video, make sure you like, subscribe, share. Uh, you know, let's, let's let the world know that Hip-Hoponomics is here. And really, uh, you know, this, this idea, uh, just came— just sparked from, uh, my work as a, uh, hip-hop, uh, finance person, right? So, you know, I am Ash Cash, the hip-hop financial advisor. Um, and so for those who don't know, I've been, uh, you know, writing books. And, you know, I've been in hip-hop since 8 years old. I've been in finance for the last 15 years of my life. Well, over— no, no, more than 15 years, more the last, um, 20 years of my life. But I was a banker for 15 years, um, and really the, you know, I have a bunch of books, uh, over 17 books, uh, published, written over 40, uh, but one of most of my popular books are related to hip-hop finance. So you think about, uh, you know, Hustlenomics, uh, which is, uh, you know, teaching business based on the lyrics of the late great Nipsey Hussle, or uh, you know, with a wake-up call, financial lessons learned from 444. Um, and so Hip Hoppinomics is really, uh, here to give you financial education, um, for hip-hop heads, right? So if you love hip-hop, if you love the culture, um, it's really mixing the two. Uh, but we, we cover everything. And so, you know, I'm gonna get right to it. I don't wanna, you know, waste time, right? Because on this Money Moves Uh, Monday, uh, we're gonna take a deep dive into the financial game, you know, breaking down the latest, um, market moves and what they mean for you and ultimately what they mean for you in your pockets. Um, and so, um, if you have turned on the news today, um, if you, you know, or on Instagram, you know that there is a stock market roller coaster going on right now. I'm talking about historical Uh, things are happening. The market is down first and foremost, um, and the streets are buzzing, right? They're buzzing, uh, because what, what looks like what's happening right now, uh, there is a, uh, meltdown, right? A stock meltdown, um, from what it, you know, you know, we call the Magnificent 7. And so if you, um, don't know what the Magnificent 7 are, uh, the Magnificent 7 are stocks Uh, it's a, it's a, it's a group of high-performing influential companies, um, on the US stock market. So think about Alphabet. Alphabet is who owns, uh, Google. Uh, you got Amazon, you got, uh, you got, uh, Alphabet, Amazon, uh, Apple, Meta, Microsoft, Nvidia, and Tesla, right? So these are like the top, you know, 7, um, stocks. And, you know, uh, and they call them the Magnificent 7. And right now there's, there's a, there's a, you know, there's a meltdown, right? There's a meltdown happening right now. And these companies have really been, uh, driving, um, the stock market gains for, for months, uh, but now it, it looks like they're stumbling. Um, and so number one question I'm getting, uh, in the DMs, I'm getting in the comments is like, why is all of this happening right now? Um, and to the, the truth of the matter is really about, uh, expectations versus what the reality is, right? And so these tech companies have been performing, um, you know, like going crazy. Like, like they try— like, like, like if this was the music game, uh, the companies were, you know, they dropping albums going platinum, right? They were dropping platinum albums every, every quarter. Um, and what happened is, um, you know, most investors expecting them keep, keep growing at this insane space, right, and at pace. And so it's like you're, you're so used to, um, getting a certain, uh, quality or, you know, type of music, or, um, in this particular case, uh, you know, you know, growth. Um, and investors were, were hoping that the pace would keep up. Um, and, you know, The truth of the matter is it's, it's really, really hard to, uh, maintain, right? So for example, uh, Apple, uh, they recently reported that its iPhone sales weren't as high as they expected. Um, and so for many of us, that might not seem like a big deal, but when a company's stock price is like sky high, really even a small, uh, disappointment right, could really, uh, cause investors to, to sell. Um, and so, um, you know, you, you gotta— like, if you're investing, you gotta understand that the, the stock price really is, uh, you know, based on what the, um, investors believe, right? And so at the end of the day, if, if all— if a lot of investors are like, you know what, this, this thing is going down, let me take my money out, Um, it's gonna, it's gonna cause which, which you're seeing. Um, and so, um, you know, and, and let me break this down a little further as well, right? So when you buy a stock, you're basically betting that the company will do well in the future. That's what you're doing, right? And so if a lot of people think a company would do well, um, they're gonna, they're gonna buy, they're gonna buy the stock, right? And, and when they buy the stock, it's driving up the price. But if something happens, um, to make people doubt the stock, right, um, what's gonna happen? Or, or, you know, or if, if they doubt the company's, uh, you know, success, what they might do is sell it, causing the price to drop. And that's what's— that's what's— that's what we're seeing now with the tech giants. Because— and that's the other thing too, because a lot of people might be like, well Um, it was— it's doing so well, right? Because the truth of the matter is that even though the stock price is, is low overall, the stock market is up, right? And so what happens is some people are like, I bought it low, right? And the stock price went high, and I'm seeing these, these performances going down. And so let me just you know, let me just cash out so that way I could cash out on some gains, right? And so that— and so, and so a lot of them who have taken money out of Apple or whoever, whatever other companies, um, are also like, all right, let me, let me take out my gains. So, and, and here's a, a perfect example of this, right? Um, speaking of long-term moves, so, so like Warren Buffett, um, and, and anybody know Warren Buffett is the OG of investing. Um, and he, um, actually sold a chunk of his Apple stock. I posted it, I posted this on my, uh, Instagram, um, actually yesterday, right? And, and on my Instagram, uh, I was saying that, um, you know, they sold 50% of their, of their Apple shares, um, and then right now they're sitting on $277 billion with a B in cash, right? They have, you know, $277 billion in cash. Um, and, and, and everybody's paying attention. You got to pay attention if Warren Buffett is, you know, for whatever reason, if Warren Buffett is selling, is selling his Apple stocks, that's for a reason. Um, and so, um, they sold nearly half of his share in the second quarter this year. Um, and that's a big deal because Apple has been, you know, Warren Buffett's favorite investment for years, right? Um, but even after selling— and this is, this is why I don't want anybody to, you know, be alarmed, because I, I personally own Apple stock as well. Um, I'm not giving you advice whether you should buy or sell it, but, um, I personally own Apple stock. I'm not, uh, selling, um, because, um, you know, even after the sale, you know, uh, Berkshire Hathaway, which is the company that Warren Buffett owns Um, they're still the biggest holder, um, in Apple stock, right? And so why sell half and still keep the other half if you think the company's going down or whatever? That's why I'm not alarmed. Um, what it looks like to me is that it looks like 2 things. So number one, it looks like he may be diversifying his portfolio. So he wants to, you know, you know, all right, you know what, I got too much money in Apple, so let me just start to diversify my portfolio. And he actually sold a lot of Bank of America as well, but again, he still owns a lot, a large, uh, um, percentage of Bank of America. Um, but the other piece of it though too, here's the other piece that I, that I think that, um, that I— this is my, my speculation— is that, you know, Warren Buffett foresees, um, the, the markets to continue to go down because you just, you know, because there's a lot going on in the world from an economic standpoint. Um, and if that happens, a lot of these companies don't necessarily lose value, um, based on their, their performance or based on whether it's a good company or not. A lot of it is going to happen because of people being afraid, right? Um, and so you think about the election, regardless of who wins, whether it's, it's Kamala Harris, whether it's Donald Trump, um, the election I believe is going to have a real big impact on the economy Um, and, and when, and when it does have a— and I think it's gonna be a negative impact on the economy. And when it has a negative impact on the economy, um, you want to be liquid, right? And so, and so what would Ash do, right? Like, we need to do a new segment, uh, or a segment called What Would Ash Do? So what would Ash do, right? And so if I'm watching Warren Buffett, the, you know, you know one of the— I mean, I want to say the smartest, right? Like one of the smartest investors of, of, of, of all times, right? The GOAT. If I'm watching him be liquid, meaning that he has all of this money and he's just sitting on this money, then I am following that. I'm going to— I'm going to want to be liquid as well. Um, you know, they always say, man, when, when the market is down, that's when you— that's when you buy. Uh, but I don't know if the market is finished, right? I don't know if it's done. And so I would potentially just sit it out and kind of not sit out investing at all, but I want to have a good, a good portion of my money liquid in cash so that when, um, when it's time to buy, I can rack up at a discount. Like, I could, I could get, get some good uh, property, you know, you know, at a discount. Um, and so, and so let's, let's switch gears a little bit. Let's talk about, uh, something that's blowing up social media, and, and I want to get your thoughts on this. Uh, yo, so let me know. So Louisiana, Louisiana just became the first state, uh, to allow surgical removal of testicles as punishment for child molesters, right? So this is a controversial move that sparkling, uh, the sparking, uh, intense debate, debate. While, uh, this isn't finance related, uh, it's a reminder of how laws can change rapidly and dramatically, and it's crucial to stay informed about legal changes, uh, in your state as it can affect various aspects of your life, including your, uh, your finances, your business operations. Um, you know, for example, changes in criminal law can impact insurance rates, property laws, and even where businesses choose to locate. And so I just thought when I saw it, I was, I was like, I don't know how I feel about it. I don't know how I feel about it because, um, in one sense, just being 100% honest, in one sense, I, um, that's one of those things that I ask God for forgiveness all the time. Like, I absolutely, um, have a negative feeling, uh, like I have no remorse or mercy for child molesters, um, you know. And, and so the human side of me wants to, to, to throw them under the jail, um, you know, you know, if they're caught in the act, you know, I, you know, they should be punished. This is, this is the human side. They should be punished right away, uh, but But, but again, you know, my, my attempt to, to, to be godlike, um, I try to have mercy, um, as God has mercy, uh, and so, so, so that's the, that's the part of me when I first read it was like, yes, you know what I'm saying? But another part was like, all right. But the other piece that I, um, am, am leery about, right, the other part that I'm leery about, um, is the fact that, um, a lot of um, people get wrongly accused for things all of the time. And so imagine if somebody is wrongly accused of, um, you know, child molestation, and then they're— they get— they get their— their— their testicles, or their— or their pri— or their— you know what I mean? Like, if they get it removed. And I'm not— It's not funny, but I'm saying like if, if they get it removed based on a lie and that's a permanent, um, thing, um, and so, and so, and so that's the only piece of it is that how do you, uh, like, like how does that rule go into play? The, the, you know, like do you need proof? Um, you know what I'm saying? And if it's proven, um, then it's okay. So, so there's, there's some, some, some areas that I need to know. Um, let me know your thoughts in the comments. Let me know what you're— which— what you're feeling. Um, and so, um, in lighter news, um, Lil Wayne's lyric notebook is up for auction, uh, with an estimated value of $5 million. It is a notebook that he writes his lyrics in, um, is up for auction, um, at $5 million. The notebook contains lyrics from 1999 to 2003, including, uh, some of Wayne's early hits. Um, you know, and, and so a couple of things, um, you know, I think that, um, it talks to the value, right? So, you know, this is really an example of how your personal brand and legacy can translate into serious money because, uh, Wayne's lyrics aren't just art Um, they're now a valuable collection. And so, um, you know, you know, this is how you can take, right, your art, your thought process, who you are, um, and, you know, create, right? Because a lot of times, uh, you know, a lot of us feel like money is earned, um, and that, you know, that you can earn money. So I'm not saying you cannot earn money, but my thought process is that money is created, right? That a lot of— like, even in the stock market, if you, if you just study, right, if you just study the stock market and you study companies and you study, um, you know, when is the right time to invest and not invest, um, you can, you can literally print money if you understand that, right? Um, I talk about investing in, in one of my books, uh, The Illmatic Investor. I break down everything. So anybody who is Uh, new to the investing game, don't know, you know, you know what to do, uh, then make sure you pick up The Illmatic Investor. I talk about everything investing. But, um, from that perspective, you didn't really work for the money, right? So you, you didn't really earn it. You really just kind of studied and, and, and use your, your, your, um, brain in order to, uh, be able to, to, to, to build money, to make money, right? And even like, like, like I talk about books all the time, right? Like, you know, yes, I had to sit down and write the book and think about it, but once I created that book one time, um, I could sell it over and over and over again. So anytime I have a need for something, um, you know, I'm always just thinking about what can I create in order to, uh, you know, you know, have that, that need met, you know what I'm saying? And so it's not always about, all right, earning the money. So sometimes it's about Uh, creating something that, um, you know, could, could, could, you know, that, that could give you money, right? Um, and so for all of you, uh, artists out there, remember your, your craft isn't just about making music. It's about building a brand that could generate you income long after the song stops. Um, you know, think about your lyrics, think about your style, think about your image. But even if you're an entrepreneur, whatever you do just remember, it's all about, uh, creating, um, and whatever you create becomes a valuable asset down the line. Um, switching back to the markets for a second, uh, Bitcoin— Bitcoin just dipped below, uh, $50K as part of this global market, uh, downturn. Um, and so for context, uh, Bitcoin started the year, um, around $16,500, and so it surged to nearly uh, $70,000, and now it's falling back. Um, and then this is a reminder that, uh, cryptocurrency, uh, despite its popularity, is still volatile, still a volatile asset. Uh, if you're in the crypto game, make sure, um, it is money that you can afford to lose, because different than the stock market, um, the stock market has never, never, never, never, uh, no one has ever really lost money unless they have realized their loss, right? Meaning that if you look at the history of the stock market, it— the, the stock market itself is always going up. And there's enough history to go back to try to, because you can't really 100% predict, but you can try to predict what the market is going to do, which is, again, if you're patient enough and you have enough strategies, uh, you know, it goes up. But cryptocurrency is, is too new. There's not enough history. Um, and so, you know, if you are uh, putting your money in crypto, um, you know, just, just know that, you know, just I would suggest that you, that you, um, invest with money that you can afford to lose. Um, in tech news, uh, Elon Musk is back at it. He's suing, uh, OpenAI, uh, and Sam Altman once more. And for those who don't know, OpenAI, um, is the company behind ChatGPT, um, and Elon Musk was one of its early, uh, early investors and early backers. Um, he's now claiming that, uh, OpenAI has strayed from its original mission of developing AI for the benefit of humanity. Um, this ongoing drama is, uh, in the AI— um, um, you know, this, this, this ongoing, uh, drama of the AI world shows, um, how high the stakes are in the emerging technologies. It's like watching A high-stakes rap beef, uh, with billions of dollars down the line. Um, and so for those of you who are thinking about getting into tech or AI, remember, with a great potential comes great competition. But be prepared for fast-paced, ever-changing, uh, landscape. But while Elon is, uh, suing, somebody's suing Elon, right? So, so it's like, it's It's like immediate karma. Well, he, uh, you know, uh, uh, Don Lemon, um, is actually suing, um, Elon Musk, uh, for, you know, $1.5 million, um, and, you know, is saying that, uh, you know, it was fraud, uh, you know, um, uh, negligent, uh, misrepresentation, uh, but, but Elon Musk, you know, uh, respond back. He's saying that Um, you know, Don Lemon was making some, you know, uh, you know, insane demands as it relates to his show. Um, and so that's why, you know, he didn't, you know, kind of follow through. So, um, interesting, interesting. All right, so lastly, lastly, lastly, let's talk about, um, some of hip— some hip-hop business moves. Uh, 50 Cent just scored a major legal victory, uh, getting one— a $1 billion lawsuit against him dismissed. Missed. Uh, the lawsuit was filed, uh, by a writer who claimed that 50 Cent's show Power was based on, uh, his unpublished book. Um, this shows the importance of having a solid legal team, uh, when you're in the public eye. Um, as your wealth grows, so does the target on your back. Um, and we can't forget, uh, Lil Baby. Lil Baby dropping some gems about, uh, Succeeding in the music business, and what's his advice? His advice is stay consistent, be yourself, and don't chase trends. He emphasizes the importance of building a strong team and staying focused on your goals. This isn't just music advice; it's solid business advice for any entrepreneur. Because at the end of the day, you know, you know things are gonna gonna change. But if you stay consistent, be yourself, don't chase trends, you are always going to. Uh, get the success that you deserve. Uh, all right, y'all, so that's all for today, Money Moves Monday. Uh, remember, whether you're investing in stock, crypto, or on your own brand, knowledge is power. So stay informed, uh, stay diverse, and always be ready to adapt. This is Ash Cash, the hip-hop financial advisor, signing on. Keep hustling, keep learning, and I'll catch you on the next episode of Hip-Hoponomics. Remember Uh, like, subscribe, uh, share, comment, tell a friend to tell a friend, uh, and I'll see you all on our next episode. All right, y'all, peace.