Flip and Danny argue that boring consistency builds wealth. They suggest a 40/40/20 portfolio split, using 20% for risky bets like crypto and meme stocks via dollar-cost averaging, while the rest goes to steady plays like real estate, which offers cash flow, tax breaks, and inflation protection.
Hey, everybody. Flip and Danny here, founders of the Freedom Real Estate Group family of companies. And welcome to another episode of our.
Podcast, which is called Freedom through Passive Income.
That's right. And this episode is titled Consistency plus boring Equals Wealth.
I like it.
So have you ever known someone who was always onto the next big thing? Squirrel, Right?
Yes.
Or the next shiny object.
Yes.
Whether it's job focus or investments even. We did a podcast about this when we talked about Dan fleischman and the 40, 40, 20. And that's the 20% and. Okay. But won't help you achieve anything predictable.
Yeah. So it's okay to have shiny objects with the syndrome. We all have it.
Right.
But don't the 40, 40, 20. He really taught us that 80% should be more predictable. Correct. Medium risk investments. And then the 20% is your. Woo woo. What's new? What's new? What's cool? Yeah, absolutely. So consistency is important, and we talked about this too, especially regarding crypto, which we'll call a shiny OB squirrel because it's new, it's very volatile, but that's where our 20% of money is. But how we're also providing some consistency and a little bit more predictability is by investing every single. I can't even remember what we decided, but I think it was like every single month we were deciding between week or month, and it's just the same amount of money. And that way sometimes we're buying when it's low, sometimes we're buying it when it's high. And we're just, you know, this is the 20%. We don't care. We're just burning, lighting a match. Whether it goes away or whether it makes something, it does not matter to us. But we're being consistent and strategic about how we're investing in it. And then boring. That's very much. We say Ohio is boring. That's actually why we moved here, because you're not gonna have the big swings of Arizona, Texas, Florida, things like that. But it also means not putting a bunch of your money into volatile investments. So the stock market, for example, Flip invests in the stock market a little bit. He likes to play and he's looking at his phone all the time. And I'm like, that's not boring.
Boring 20, 30 times a day. It's different every time.
Boring is throwing it into something that you can reliably just leave it there for a long time. There's another episode that I'm going to do about this that really kind of talks about the difference between stocks and real estate, but I won't dive into it.
Now we keep talking about that episode, so I can't wait.
I know, I know. But the advantage to real estate, it's a long term investment. Right. It's not liquid and it forces you to place your money into something boring that you're not going. How's it doing today? Is it doing good? Is it doing bad? Should I move the money? And you're like frantically just, just, just put it somewhere and leave it alone. Boring.
They just announced a new product. Did the stock go up?
Yeah.
Yeah.
So boring is good, in my opinion. That's what we're talking about today.
Right. But this also gives you the advantage, you know, it gives you more freedom.
Yeah.
And more peace of mind. Because you're not having to check every five minutes, even though I do. That's fun.
But you don't check our real estate. Right. Every five minutes. Do you check our real estate investments?
No, because it just does. It goes like this. But boring.
Boring is the point of this episode.
Yeah. I check it every five minutes because it's like this, you know? You know, but it's, it's, you know, you, you don't have to do anything, but you can be risky if you want to be.
Yes. With at least that 20%. Right.
Just with the 20%.
Yeah. It let's, it lets you, it gives you the freedom. Right, right. Of not paying attention to this 80%.
Right.
But the freedom to play with the 20% if you actually want to be.
Right.
Like you investing in stocks and checking it all the time.
Check every five minutes. Passive investments are something you can replicate and build multiple streams of income. It's, you know, what you put here, NFTs, crypto and meme stock, which I don't even know what that is, don't offer that same predictability. You know, you don't know what they're going to. Every time I wake up, I'm like, okay, it just dropped a dollar. And on some of our stocks, that's a lot. You know, on Bitcoin it's like, that's like a nine millionth of a cent. But yeah. So again, they don't offer that same predictability.
Yeah, yeah, exactly. Right. So real estate, the things that we love about real estate is cash flow, tax benefits, appreciation, fact that you can get above market returns. It's a hedge against inflation. And if you're aligned with the right team, it's also risk mitigation. So how I ended this was, it was actually a different saying, but I changed it a little bit. Wealth creation favors the consistent and boring.
It does. That's the title?
Yes. The other thing that I looked at said fortune favors the bold. I was like, wealth creation favors the consistent and boring. I'm just changing it up a little bit.
Isn't that a Matt Damon quote?
It is.
I think he stole it. Well, we hope that you enjoyed this episode. Make sure you head on down to our website, Freedom Capital Investments, and join our investor club.
Yes, you're going to be able to interact, not interact with the team, but get the emails from the team, see what's going on, the monthly updates, and most importantly, see our private deals that we are not allowed to advertise publicly. So the only way to see them is being a part of our investor club.
Right. And if you'd like to interact with the team, head on over to Facebook, LinkedIn. Yes, we've got groups on both those sites. You know, make sure you jump in there, ask questions, you know, if you. Whatever questions it may be. Again, there's no stupid questions. But we're also on YouTube. We're also on all the podcast platforms. Make sure you give us reviews, tell us if you have any suggestions, questions, whatever it may be. But we always like to end all of our episodes with Invest Smart, Live Happy. Bye, everybody. Nothing on this show should be considered specific personal or professional advice. Please consult an appropriate tax, legal, real estate, financial or business professional for individualized advice. Opinions and information on this show are not guaranteed or all investment strategies have the potential for profit or loss, y' all.
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