Why Is Warren Buffett Selling All His Stocks?

Here's Warren Buffett warning us of the biggest financial crash we have ever seen. He's dumping tens of millions of dollars in stock. And in this episode, Rob shows us what that means for you. I was shocked to discover that even the biggest banks are trading insolvently and, and all of our savings could disappear overnight. And in this episode, Rob reveals the very best assets to invest in to protect yourself against a crash and make as much money as possible. This is an episode you do not want to miss. Why is Warren Buffett selling all of his stocks?

Well, I don't know if he's selling them all, but he did dump 7 billion of bank of America. Now that tells me one of three things. One, he's planning on dying soon. He is 94. The thing is, I think he's going to live till he's 185. So he might be looking to exit to give his money away. That is an option. Two, he thinks the banks are going to go bust. He sold 7 billion of bank of America, just bank of America. I don't know what else is sold. That's a lot of one company and one bank. And of course he doesn't sell it all in one day because spooks the market. But he's been drip feeding out of the bank of America for quite a while. So the second thing that tells me is he thinks the banks are going to crash. Maybe he thinks the banks are going to go bust. I spoke to Kim Kiyosaki and Robert Kiyosaki face to face about the banks in America. They've been telling me that banks in America have been going bustling. What I like, and this is a bit harsh, but what I like in America is that sometimes they let banks go bust. Now I understand why they don't want to let banks go bust because you've got savings, you've got money in the bank. You would be an innocent victim if a bank went bust and you lost your savings and deposits. But imagine if one bank in the UK went bust and the people, the taxpayers, you know, we collectively lost 100 billion. There would be a revolution. We would take a lot of our money, if not all of our money out of all the other banks. Immediately, all the other banks would be held to account. They'd have a liquidity crisis. I mean, it could really hurt savers and depositors. But I have been saying for years, don't leave too much money in the banks. But the banks, they've kind of got the best of both worlds because they know they'll get bailed out if they go bust. So let's say you've got a company and you know, if that company goes bust, it doesn't matter, you can just let it go and start another one. You're probably going to be a bit more free, take too many risks, maybe, you know, a little bit of rape and pillage and thievery, you know, running your company, you're not going to run it in an efficient professional way because you know, you can just wind it down and start again. Wind it down and start again, no consequences. And this is what in the UK the banks are protecting. And then when the banks do go bust, they get bailed out. The problem with the bailout is you pay for the bailout because the bailout is taxpayer money. So in America, some banks, admittedly not yet the biggest banks, but some banks, you know, starting to go bust. And I think that would hold banks more accountable and therefore make them more competitive and therefore make them offer us a better service. Do you know what insult savings accounts are? No. No, most people don't. They are High street bank savings accounts where you get 1.4, 1.6, 1.8% interest. Do you know why they're called insult savings accounts? Because that's a fucking insult. Because interest rates are 5 or more than 5. So I'm supposed to be receiving that in interest, yet I put my money in supposedly the safest High street banks and they're giving you and me an insult interest. Do you also know that most people don't keep their cash in savings in savings accounts. They keep them in current accounts and, you know, current accounts give you like 0.2% interest or whatever. So the banks are having it away. They get the best of this, the best of that, the best of the other, and it's wrong and they should be held more accountable. So Robert Kiyosaki, Kim Kiyosaki have been saying that there's probably a big banking crash coming. They're probably. Well, if the governments are in debt, I think in america it's nearly 30, no, 300 trillion, I believe. David, can you just. Actually maybe you check it out. How much is the US national debt? I think it's just under 300 trillion. I know the UK they say is just under 3 trillion. And by the way, if every time I have to charge something, I add vat, whenever the banks say what they're in debt or what inflation is, I add more because I don't believe them.

So it's 35.2 trillion.

Okay, so the US is in debt 35.2 trillion. And the UK, so that's probably more like 50.

Yeah. And the UK, I think it's 2 point.

Is it 2.1 or 2.7.6?

Okay, yeah, I've got here.

So 2.6, 2.7 trillion.

Yeah.

So America's 10 times in. In debt than we are, but obviously has a bigger economy. So the banks and governments are basically connected and in cohorts. So also all the deposits, well, 90% of the deposits that the banks have received from you and I in current and interest accounts, they've loaned and invested that out. They're allowed to. They only have to keep 10% reserves, which means if 11% of us go to the bank on the same day and want our money back, that is an insolvency event that, like, I mean, they are insolvent, they're trading insolvently. But that solidifies an insolvency event. That's called a run on the banks. The banks have to shut because they can't pay you back because all their money's out. And look at the riots we're having on the streets in the uk and look at, you know, the palpable unrest and how taxes are soaring in the Western world. This is all boiling up. So I think Warren Buffett knows all this shit because he knows a lot more than me. And I've been doing this 20 years he's been doing this. Warren Buffett's been doing this 80 years. He started investing when he was 14. He's 94. So if Warren Buffett, everyone watching, if Warren Buffett is selling 7 billion of bank of America, if you've got any shares in banks, sell them. But of course, Warren Buffett's not going to say that because he doesn't want to spook the market. And hey, Look, I've got 3 million followers, but I'll probably not. This recent budget should warn you that your pension is not safe and secure and they're coming for your inheritance. Do you even know how much is in your pension or where your pension is invested? Add to this the recent inheritance tax grab on your pensions and the risk of a market crash. You probably didn't know this and I didn't until recently, but physical gold can be added to your pension. Pot gold is inheritance tax free and has grown 700% in the last 20 years. You probably know from my content I'm investing heavily in silver and gold. And that's why I've partnered with direct bullion Myself and Nigel Farage are brand ambassadors and direct bullion can help you with with gold to protect and grow your pension. I buy my gold and silver from direct bullion and I don't earn any money on any purchases of gold or silver if you buy direct from direct bullion. So if you go to robmore.directbullion.com you can get a great price on your silver and gold and you can get the pension Gold Investing guide completely for free. As you know, I don't do many strategic partnerships and when I do, I do them with people who are credible, who've been doing it a long time, who invested things that I invest into. And gold and silver's going wild. I'm investing heavily in gold and silver and I recommend you check out robmore.directbullion.com big enough to spook the market because he might still have shareholdings and he won't want that to drop. So the second reason I think he might be selling billions of bank of America is he thinks banks are going to go bust. Harry Dent, he thinks there's a massive crash coming. We can talk about that in a bit if you want to. The third reason I reckon he's probably selling 7 billion in bank of America is the same reason Michael Berry has just dumped everything and he's fully in cash. You know Michael Burry.

No.

Do you remember the Big Short?

Oh, he was the main.

He is the guy, yeah. So the Big Short film, you know, basically shorted the big banking crash, made billions. Well, in recent times he's liquidated everything, so he is ready with billions in cash. I think Warren Buffett might be doing that too, just to buy up cheap assets. Yeah, Housing stocks going to come down. I mean, cars are plummeting now. About time. And you wouldn't call a car an asset, but it was going up in value in lockdown. Watches have started to drop, properties are dropping. Stock markets had a correction. Bitcoin's had a correction. It's coming. Winter is coming.

So is that what happened with the San Francisco bank is they only had so much left in reserves and too many people tried to draw out.

That's what happens in any bank then.

Yeah.

Now in Japan, I'll tell you what they did. I mean, this is filth and they can only get away with it in kind of communist regime. But the banks go bust and they just make a government statement which says, your savings are now government assets closed, full stop. Fuck you. Imagine that. Imagine you getting a message with all the savings you'd built up over. Well, not you, 20 years. You're about 15, aren't you?

And three quarters. Yes.

Plus VAT. But imagine you'd saved over 10 years and then the bank just said, oh, that's now government asset. So, yeah, it happened in Northern Rock, which Virgin, I think, then took over in the UK in the last banking crisis. Yeah. Banks only have to legally hold 10% deposit. That's insolvency. Like if a client paid you 30 grand for a year's service, but you could take 27 of it and only leave 3 to cover the cost of the year's service. That's trading insolvently. You can't do that, that's illegal. You could be struck off as a director, you could even go into prison for that. If you knowingly trade insolvently, that is. You're taking sales in, but you know that you just putting them into debt. That's basically a Ponzi scheme. It's what Madoff did, the great Ponzi schemes, you know, that these infamous investors did. Like, that's illegal for you and me. It's perfectly. The government and the banks have made it legal for themselves. So you should beware if you leave your money in the bank. You have loaned your money to the bank. Let me ask you this. Would you loan me money with no contract whatsoever? Would you loan me money if my contract says I may pay you back?

No.

Look at the terms and conditions of the bank accounts and the money that you have in the bank. They basically disclaim all responsibility and basically say your money is their money and they can shut you down or freeze those funds at their own discretion. So what you want to do is be an owner, not a loaner. A saver is a loaner. Here's the thing, though. I'm saving my. Let's say you're the bank I'm saving and I'm saving my money with you. I think that, you know, it's still my money. It's not. I think I'm earning on it. I'm not. Because even now they say inflation is coming down. I mean, minimum inflation's got to be in real terms is 5% minimum. I think they're saying it's under 3. Let's give them the benefit of the doubt and say it's three. But NatWest and Barclays and other big banks are giving you one and a half. So I'm loaning you money and I'm supposed to. Because when you loan, you're supposed to get interested But I'm loaning you money, it's now yours. I've got no collateral and no security. Oh and I'm losing money loaning it to you, but you're making money loaning it out.

So hey, I'm here for it, it's a great deal for me.

But here's the thing. If you are the bank that's really smart.

Yeah.

So you need to learn how to be the bank, which is what I've learned how to do. So mark my words, David, cut this. Every single camera. Mark my words, if you leave money in savings accounts or currency accounts in mainstream banks or even challenger banks, that's a fucking risk. That is a risk. And of course they're not going to tell you it's a risk because it would be a major catastrophe for the central banks and the governments if there was any kind of banknote. And they're this close to a banknote all the time because they only have to leave a pound of every 10 that they've received in savings. So you go from a loaner to an owner and an owner is. I borrow money from the banks instead of me lending it to them. Now if I could lend money to the banks and I could have a first charge on the bank and I could repossess the bank if they didn't pay me back and I could get 5 or 8% interest, I'd loan money to the bank. But that's what a property is. The banks loan money to me, they've got a property as collateral, I'll pay them between. I've got a 12 year loan for 15 million quid at two and a bit percentage.

Most people's like family home isn't two and a bit.

Well people's mortgages are now going up to six and seven. Now they're coming out the fixed rate. So yeah, be very mindful. Have some in gold and some in silver and some a little bit in bitcoin. Always do your own diligence by the way. I'm not recommending anything. I'm telling you my experience and opinion and I have as you know, done a quarter of a billion in sales. And as you know I do invest a lot and you ask me questions and I help you do your own research. But like gold and silver, they call gold godsman golds. Gold way predates cash way predates any form of financial instrument. Gold's been a currency for. Have a little Google. When was gold first?

2400 BC.

So 5000 years ago. Yeah, a bit of a longer history than this paper that we exchange for money. Owning real estate in the Western world is very secure in some countries, maybe in communist states they could take that ownership off you. They're not going to in the Western world. So you're pretty safe owning real estate and owning your own business, watches, anything physical, really good.

If there's a massive crash, then when. Yeah, I was trying to be.

When there's a massive crash, what is.

The asset you want to buy the most?

Well, I don't want to be fully exposed in one class. I think that's a risk. So I'm let me do some research into my assets and I can come back on another episode and tell you what percentage I am allocated. I don't know off the top of my head, but I know I'm the most exposed in real estate, in property, because in 1088 there was a kind of like tax survey done in the uk. Do you know how much all the land and all the property and all the buildings and everything in the whole of the UK was in 1088? No, just under a million. I reckon you could pay more than a million for a parking space in Hyde park one in Knightsboro. Why don't you have a look? What's the most expensive car parking space in London? So 750 grand to buy a car parking space. But a thousand years ago that would buy you everything except Scotland in the UK and Ireland.

Well, here you go. So In Hyde Park One, the cheapest one bedroom apartment is 5 million quid. The most expensive is 200 million.

200 million probably for a penthouse in Hyde Park One, which is opposite Harrods. Yeah, have a look. What's the value of Harrods? I mean, I don't know how you value that. That must be if you take the business as a going concern and the building, that's got to be 500 million.

Yeah.

So maybe more. Maybe a billion. If it's a 200 million apartment in.

Hyde park one said Harrod sold in 1.5 billion dollar pound deal to the Qatari group when 2010.

Okay, so it's going to be worth double that? Probably, yeah. So harrods might be 3 billion. Yeah, might be. And yet the whole of the UK was one million a thousand years ago. That's called inflation. So you're very safe in real estate. I'm my biggest two exposures and exposure is positive and negative. Business and real estate, then probably stock market. I max my ISA every year because that's a tax free wrapper. Any tax free wrapper or allowance, you want to max it. I invest in my pension as much as I can, although unfortunately they're bringing the amount that's tax free down every year. Gold and silver, I've started to get a bit more of that recently. Silver's undervalued compared to gold according to my, you know, one of my top gold and silver guys, watches. I've consolidated my watch portfolio a bit, but I've got a decent amount of watches, crypto, but mostly pretty much all bitcoin, a bit of Ethereum and then, you know, a few shite coins, altcoins, whatever you call them, but just really small, small amounts to rob more.

I'd like to see all that.

I do obviously have a car collection, but I don't really, you know, I see that as a store of money rather than an asset.

Will there only be a crash if everybody draws their money out in cash?

No crash can be based on supply and demand. You have oversupply, you have a reduction in price, you have an under supply, you have an increase in price. I think it surprised a lot of people when lockdown happened that the price of everything went through the roof. I mean, it's obvious now because if you look back now we're like, yeah, they didn't make any cars, they didn't make any watches and no houses were being put on the market. So obviously they would go up in price. But I don't think anyone at the time thought that because they thought this is an absolute disaster, everything's going to collapse. But they put a trillion in the UK economy to pay for lockdown. You know, call it stimulus money, which creates an inflation event which reduces the value of your money. Inflation has been 25% since lockdown happened. So I think looking back, everyone's like, well, yeah, obvious. If you have under supply, you have increase in prices, if you have oversupply, you have reduction in prices. So supply or perceived supply can create a crash. Opinion and emotion can create a crash. Because if you look at daily moves in the value of a company, they can go up and down based on sentiment. So imagine if there was some news that Warren Buffett had terminal cancer. I imagine that would affect the value of the companies that he's invested in, for example. So you can, it's called reflexivity, essentially. Markets tend to move more on human emotion than real finance fundamentals because markets are driven by humans, fear and greed. You know, if people are bullish about a market, it goes up. If they're bearish about a market, it goes down. Bullish is a belief or a desire. Or people also sell because people have a herd mentality. Bitcoin's going down, oh, I better sell before it goes down more. So they sell under market price, whatever market price is. Then you've got new evidence of a lower price and it pulls the market. If you heard on the news that the banks that you have the most savings in could go bust, you might run down 8am in the morning before the banks open and go and pull all your money out.

And is the only way to pull it out in cash?

Because I guess, no, they won't let you have it in cash. Have a look how much you can draw in cash. How much per day can I take out of my bank account?

Depends on the bank, but absolute limit. About two grand. But some of them are a few hundred.

Try that, try and get two grand out. They'll want to know where it's from, who's it going to, how you earned it, your inside leg measurement, your relationship status and history. They want 11 fingerprints, three eyed ID check. You can't get cash out the bank. Now I know I said a bank run, you're queuing up at the bank. I mean that was kind of like how it used to be. Now everyone's just going to go online and try and withdraw the money to another bank. Yeah, but do you think you're going to be able to do that or do you think they might just say something like, oh, you know, server issues.

Like what Robin Hood did.

What did they do?

That was the same thing. When can you remember in lockdown, when there was doing a run on the Cinema Company in America. Did you watch this documentary? I'll find it for you.

Because remember while you're looking for that, on their terms and conditions, they can withhold your money for any reason they see fit. So you want to get all your money out, there's a run, the banks are going to be like, shit, let's just shut our servers down and deal with this. Now I am not saying don't have any money in the bank. You need it for your direct debits, your bills, your mortgage, your expenses, but keep minimum amounts in the bank and spread it over as many banks as possible. And here's a warning, you know, people say, oh, but I'm fine because I've got my 85,000 pound insured. Do you know that's per banking group, not per bank. Google, how many banks do RBS own? I know they're in NatWest, I know they're in Coutts. I know they're in Lloyds. I know they're in Royal bank of Scotland. How many banks do RBS own? I mean, if you put. If you look at RBS Banking Group, you can see all the banks that they own. I think it might be nine.

So NatWest, Royal bank of Scotland, Ulster Bank, Coutts, Lombard, RBS International, Holt's, Military Banking, Free.

Did you say Lloyds as well? They own Lloyds?

Oh, no, I didn't.

So that's at least nine.

Nine, yeah.

There you go. So you imagine you've got your money spread across those nine bank accounts. You think, yeah, I'm fine on my insurance, by the way. Like, I sort of think I'm a bit skeptical of the world. Since lockdown, I think a lot of things have been exposed to be corrupt, or at least not in the best interest of humanity. Let's give them that one. But do you think. And if an insurance company doesn't want to pay, do you think it'll just not pay? Probably it'll find something in its terms and conditions and it won't pay. I've got a story about this. I had a Rolex Daytona that I lost. I didn't know where I lost it, otherwise I'd have found it. I phoned up the insurance company and I said, I've lost my Rolex Daytona and it's named on the insurance. And the person was like, are you sure? Yeah. Could it have been stolen? I'm like, no, no, no, no, it's lost. Where did you lose it? Well, I don't know. Did you lose it at the gym? I don't think so. Did you lose it somewhere out of the house? I'm like, well, no, I don't think so. I think I've been looking for it for weeks. I can't find it. I probably lost it in the house. Are you sure? Because it's unusual to lose a watch in a house. Are you sure you didn't lose it out of the house? No, I lost it in the house. And do you know, in the terms of the insurance, that watch was only insured if it was in X rated safe or lost in the house. Most people do not lose stuff in their house. I didn't know where I lost it, so I lost it in the house. And that person was trying to engineer me to say, oh, yeah, I could have lost it in the gym. Bang. Insurance void. Yeah, what a con. What a fucking con. So word of warning to everyone, when you get anything insured, read the policy First. So for a high end watch, you're often not insured for like theft in London. You're insured either if it's on, like how are you going to lose it if it's on? Or if it's in an X rated safe, you can't just take it off and put it by your bedside and put it in your drawer. Now some insurance companies will insure you for theft, but obviously the cost of insurance is going up for watch theft crazily because of all the theft in London. I've got an RM72, that's five grand a year to insure.

Jesus for a watch.

I mean, that's more than to ensure my freaking Lamborghini Aventador.

Yeah, it's about four times the price to, to insure my car.

Yeah.

All right. I found this Robinhood thing I'm surprised you haven't seen. This is a really good documentary on Netflix. So through lockdown there was a subreddit called R wallstreetbets, which is a bunch of investors, just Internet people essentially investing their, their money. And obviously in America during the pandemic, they had all these stimulus checks and people had all this disposable income and somebody found that one of the big cinemas in the, in the US was like massively undervalued and they pumped this thing and loads of ordinary people made a ton of money and all of the big investors lost a load of money. So then when it got to its peak and it went to sell it, Robin had blocked all of the commercial people. So all of us ordinary people wanting to sell the stock, it just stopped letting you do it and essentially allowed all of the big investors to get out of it first. And there was a massive controversy about. And there's a really good Netflix documentary.

What's it called?

That's the one. It was Gamestop. It was. There was the other one. There was a cinema as well on there. It was.

And just by the way, that's what big institutions and big companies will do. They will block the smaller investors and shareholders. If a company goes bust, then the biggest shareholders, they will get treated in priority order. So if you get repossessed in a property, the bank will take everything and any second charge or restriction holders will get nothing. When a business goes bust, the administrator will go in, the administrator's fees will rack up and rack up and rack up and then the biggest shareholder will have priority. So yeah, if you're a little minnow investor, you'll never have any rights, which is why you want to be diversified and which is why you want to ideally own some of your own assets. I think it's a risk to either trade or own a high amount of stock in individual companies. Now if you're Warren Buffett and you have essentially someone like Warren Buffett, I don't think he would illegally inside a trade because I don't think that's his moral compass. And also I don't know that he's got that ability, how close he is to, you know, the people that control the world. But you know, a lot of these politicians can insider trade. You know, they go in, they earn not even a couple of hundred grand salary and they're worth 60 or 100 million. But essentially Warren Buffett is like the big, the biggest insider trader of them all because of his knowledge. So the best way to become an insider trader and have the inside track and inside knowledge and unfair advantage is that you know more than everyone else. So Buffett will not be heavily into one company because he knows diversification, but he'll also be quite heavy into companies that you know, he knows are fundamentally sound. But the average person, I think the easiest thing is just be in the s and P500 or the FTSE 100, get like a Vanguard fund which reinvests and redistributes across those 500 or 100 companies like the S&P 500 is way less likely to go bust than a bank because it's 500 of the top companies in America. So it's never going to go bust. Also you want to be diversified across physical and non physical. So the stock market and high interest savings are non physical. Gold, silver and real estate are physical. Diversified across different asset classes. Diversified across different classes within the classes. So I have single family homes, multi lets, short stay lets and then apartment blocks. And then I have retail, I'm buying a lot of retail at the moment. So if I just have single family homes, there's a risk to me because if Vanguard, blackrock and Lloyds come in and gobble them all up like they're saying they are, they may control that market to a certain degree or there could be a black swan event. That being said, to make money you focus and to retain and protect, you diversify. We haven't talked about the crash yet and if one's coming.

Well you said one was coming.

Well, Harry Dent reckons it's mid-2025 now. Harry Dent is a bit of a doom monger and I think he sells courses off his doom Hungary. But he did call the Japan 1991 crash. I don't know how long he was calling it for because if you call a crash for 18 years, you'll be right. You'll always be right. He also called the banking crash of 2007, but he's one of the few people I know that's actually put a time on it because most people will call the crash. Kiyosaki definitely thinks it's coming. I think Warren Buffett thinks it's coming. Michael Barry has been open, you know, the big short guy, that it's coming. I've been saying since lockdown it's coming. And. But Harry Dentor said mid-2025 and he thinks it'll be an 86% stock market Nostradamus. That's what he thinks. I don't think it'll be that because that's too much. But I do think it could be bigger than the last one. He says it'll be the biggest in our lifetime. And hey, look, I'm 45, so it's highly likely it could be the biggest in my lifetime. I mean, you're 12, so it's the only one in your lifetime. Yeah, I think it could be the biggest one in our lifetime. Now be greedy when others are fearful, and fearful when others are greedy. More millionaires are made in recessions than any other time in the cycle. Observe the masses. The opposite. So I know we've talked about this do mongery. I don't say it to scare people, I say it to inform people. And I remember Richard Branson first taught me this 17 years ago. He said, yeah, you want to be positive and optimistic. That's a good way to live your life. But actually the best way to do that is to protect the downside first. So when he got into his first airline, he did a deal where he got a lease, or at least a lease where he could return the aircraft that he bought. So if it went wrong, he wasn't exposed owning these aircrafts that are hundreds of millions of pounds. So if you protect the downside first, that is be diversified enough such that if there's a correction, it won't hurt you too much. Also, one of the best ways to protect the downside is to never sell.

So if something goes down in value, you wait.

Yeah. Because all assets, assuming their assets, go up over time. So assuming you've bought an asset and not a liability, and just wait it out because actually I don't mind if my property portfolio, there's one property I don't want to go down too Much, because there's a covenant with my loan which says if it goes down under a certain loan to value, the bank can ask us to top it up. So if it goes down under, let's say it goes down 1 or 2 million under the covenant, the bank can say, right, you've got to put 2 million in, it's 100 apartment block, but all the others don't have that covenant. So I have no problem if they go down in value because I know they'll double every 12 to 15 years. Because history has shown me that the important thing is the cash flow. Like all of my properties except this 100 apartment block, if it went down to a pound tomorrow, wouldn't make any difference to me because I'm not going to sell them as long as the income was strong. And here's the thing, in all of this craziness since lockdown, what's happened to rents? They've gone through the roof because inflation, which has been 25% in the last four and a half years, pushes the price of everything up.

Do you find that rental income goes up during difficult times because people can't afford to buy a house?

It's not as binary, okay, it depends on demand. But in the uk we have an under supply of houses. But We've also had 25% inflation since lockdown and we had lockdown which created an even stronger forced under supply of houses. So that's what pushes rents up.

So in your experience and not necessarily recommending to other people, when this crash happens, maybe mid-2025, where are you deploying capital first? Is it your business to make more money? Is it buying up cheap properties if they tank as well?

Well, with my business I can incrementally invest more in marketing to have more reach and generate more leads. If I see an opportunity in real estate, we're going to go big. So Mark and I are currently doing a. We've got a shopping center. You'd know it because it's in our city. I can't say what it is, but it's a shopping center. It's not Queensgate. That's a big one. That was the biggest in the, in Europe in 1980, but. So we're doing a deal on a commercial shopping complex and then a 400 apartment development.

Wow.

Yeah. Which I can't tell you what that is. All in Peterborough, all in Peterborough, all in my city. Now we are putting those deals together. We haven't bought them yet, but the price now works. Two or three years ago, the price didn't work. The price now works. We also bought Pizza Express, you know, I told you that. And we made 450 grand on that building in one year with no tenant changeover and no refurb. How, if I told you have to kill you, I will be able to say in time, yeah, I can't right now because we're in the middle of that process.

Right.

So, you know, I have learned to keep my mouth shut at times, but yeah, but I can tell you we're very active and obviously, as you know, our last deal was 100 apartment block and then the one at the same time a bit after that was a bit before that was a 42 apartment block. Yeah. So real estate is going to go really bullish on real estate because the rents are strong and the rates are relatively low. Rates are obviously not as low as they were 10 years ago. Eight years ago, you know, they got down to just over 0%. But historically long term average I think is 5 to 6%. And you got these little mortgage wars going on and banks are now lending in the 4%. That's low. That is historically low. So if you've got high rents, dropping prices and historically low interest rates, the only other thing you need to make sure of is demand. And there's major demand for housing in the uk, major demand. And as you know, in Peterborough, there's a lot of these retail and commercials where we're converting them into residential because there's a major demand for residential.

Do you have any final advice for everybody for when this crash happens?

Well, Harry Dent reckons mid-2025. I mean, I'm not going to be stupid enough to say when because I don't know. But the cycles, I think they're 15 to 18 years. Why don't you Google it? How long is the average economic cycle? I think it differs, but I'd probably say 15 to 18 year range tends to be the common consensus. So apparently they're saying it's definitely not 10. You don't go from boom to bust to boom in 10 years, I'd say it's 15 to 18. The last crash was 2007, so that's 17 to 18 years away, isn't it?

Yeah.

So just from natural cycles, it tells you we've got to be close. How are they going to pay back that 1 trillion of artificial stimulus from lockdown in the UK that's essentially going to create increase in taxes. What about the 25% inflation since the start of lockdown, which means your money is worth 25% less now your spending power is the lowest it's been since the Second World War. It's the lowest it's been in a hundred years. Do you know the only time your relative spending power was lower was when there'd been a fucking world war?

I want to ask your opinion on this, but this might have to be another episode because I have a feeling it's gonna fucking set you off on one. But have you seen this proposed exit tax from people leaving the uk?

Tell me.

The proposal is, when you leave, your assets at their current value are deemed to essentially have been sold. So whatever you've got, if you want to leave the uk, you have to pay capital gains tax on the value of your assets, even if you don't actually sell them.

Right. So an exit tax or an unrealized gains tax, similar but different. We will do an episode on this. Labour would tax your arsehole if they could. They would tax your thoughts if they could. They love to tax the rich, although they really deem middle class as rich, upper working class as rich. So a lot of wealthy people are leaving the uk. So it makes logical sense to me that a socialist communist party would either want to discourage you from leaving or have a final bit of theft off of you when you left. It's an outrage that you're taxed when you're here and you're taxed when you leave. But they're desperate, they've got trillions of debt to pay off. They hate the rich. So, I mean, it's fundamentally very wrong. Here's the thing as well, a billionaire friend of mine just left for Monaco and obviously to avoid tax, a friend of his is one of the richest people who was in the uk, who left the UK for Monaco. Very famous guy, worth billions. And he was thinking of coming back. And if you're smart, you're like, yeah, bring the billionaires back and all their employment and all their money and all their economy and everything that they bring. And the UK wanted to charge him 50 billion one off fee to come back. So he was like, fuck you, I'm staying in Monaco.

Yeah, I don't blame it.

So there's an exit tax, there's a reentry tax and this unrealized gain tax. I mean, this is the biggest scam. Kamala Harris was proposing that if you have a company and it's worth a million and you haven't drawn the money, you can have a 25% unrealised gains tax. Now, I'd have to look into the nuance of this but unrealized gains tax is a scam because that's what I mean when I say the only thing they haven't yet taxed are your thoughts. Because one of the reasons that you have thoughts is so you don't die very quickly. Because if you if everything you thought you said, you'd be killed pretty quickly. So our thoughts, there should always be some privacy in a company. It's the same theory, if they tax unrealised gains, they are taxing theory. So for example, a company could be overvalued or undervalued, its valuation can go up and down. You should always have some level of privacy. And if you decide not to draw any money and leave money in the business to have high liquidity to reinvest to grow the business, you should be able to do that. But imagine you're a VC firm and you pump money into a company and that increases its value and now all of a sudden you're going to get taxed 25% on the gain. So it's going to stop all VC investment, all liquidity and investing in start up and scale up businesses. It's the biggest scam ever. And basically this is all socialism. Capitalism is where it comes from. Sorry, Basically this is all some sort of. And basically this is all socialism and communism. This is where it comes from. Communism, state owns everything. Socialism, we take off the rich, we give to the poor. Capitalism, we're all equal and we distribute and tax based on merit.

I can see that going south really quickly because if you then get a massive tax bill for unrealized gains, now you can't afford to pay some of your staff and then they become unemployed and then the state needs to support.

Them and that company could end up going bust because a lot of people end up going bust when they have to pay their tax bill because they haven't got enough money to pay their tax bill because they haven't managed their money well. But imagine your company's worth a million and you've got a 250,000 pound tax bill. How the fuck are you going to find that?

Yeah, I mean most Companies don't have 25% sat there.

No. And what's a company worth anyway?

Yeah, well you said earlier so much of the stock market is based on subjective metrics. Oh, I feel this is worth this. So I'm really bullish on it. Therefore value goes up.

Well, do you remember the dot com and the NASDAQ boom bust? You know there were these companies pre revenue that were worth billions and then nothing so yeah, I mean, look at Twitter. There's no doubt Elon Musk way overpaid for that. Way overpaid for that. But obviously he's got bigger plans. So, yeah, let's do an episode on exit tax, reentry tax and unrealized gains. And let's look into what these proposals and policies really are in detail. And let's expose I've got it on good source from very powerful political that the reason that small businesses are rape and pillaged and billionaires are exiled and entrepreneurs are suffocated is because the elite establishment old boys private school network has a fundamental disdain for those. And that that's just. I mean, talk about an. An ism. That should be a crime. You know, if there was over sexism or racism, you know, within our governments, there would be a massive outrage and rightly so. But there is some kind of ism to successful people who grow and fuel economy and I don't know where this comes from, but it's ridiculous. Ridiculous. It needs to stop.

Got a lot of exposing to do.

All right then, thanks for tuning in. And remember, if you don't risk anything, you risk it.

This episode was brought to you by Disruptive Media, helping bold entrepreneurs stand out through podcasting, video and social content. Visit disruptive media.co.uk to learn more. This episode was brought to you by Disruptive Media, helping bold entrepreneurs stand out through podcasting, video and social content. Visit disruptivemedia.co uk to learn more.