Podcast
Talking Real Money - Investing Talk
Hosted by Don McDonald · EN
Financial talk radio veteran, Don McDonald and former host of Serious Money on PBS, Tom Cock, join forces to talk about real money issues. In each episode, they solve real money problems, dole out real investing (not speculating) advice, and really explain the financial issues that effect all of us. Plus, it's actually fun! Talking Real Money is a podcast designed to provide the real help we all need to enjoy a really great future. Call in with your questions anytime at 855-935-TALK (8255).
63episodes
Episodes
Newest firstAll episodes
Free Money?
May 2700:35:54Tap to summarizeTom and Don dismantle the myth of “free money” from high-dividend stocks and ETFs, explaining why chasing yield often leads to poor diversification, lower total returns, and disappointing long-term performance. Using examples like Campbell’s, Kraft Heinz, and Whirlpool, they show how dividend-paying companies can still destroy shareholder value while the broader market marches higher. The episode also features listener questions on military retirement planning with a pension-heavy income stream, asset allocation and Roth contributions near retirement, how to structure a UC retirement portfolio using low-cost index funds and small-cap value tilts, and the smartest way to generate retirement withdrawals from a balanced portfolio. Along the way, Don plugs his new Civil War novel The Line Uncrossed and the hosts revisit some old radio history.0:05 Dividend investing myths and “free money” thinking2:18 Why retirees are drawn to dividend stocks and ETFs4:03 Huge inflows into high-dividend ETFs despite lower expected returns5:19 Total return vs. income investing explained5:45 Campbell’s Soup and Kraft Heinz as dividend trap examples7:06 Whirlpool cuts long-running dividend after financial strain8:10 Why total return matters more than yield9:10 Vanguard Dividend Growth vs. S&P 500 performance comparison10:44 The dangers of concentrated dividend strategies12:19 Why “magic income” strategies usually disappoint13:32 Military retirement caller asks about pensions, Roths, and mortgage payoff17:43 Using pensions as bond-like income in portfolio allocation18:41 Caller shifts from U.S.-only investing toward global diversification20:28 Don discusses The Line Uncrossed and companion Civil War stories22:30 UC employee asks about AVGE/DFAW vs. ultra-cheap UC index fund24:39 Suggested mix using low-cost index fund plus small-cap value tilts26:04 Listener thanks Don for decades of investing guidance27:58 Retirement withdrawal strategies from a 60/40 portfolio29:19 Rebalancing as the primary source of retirement cash flow30:14 Why retirement distribution planning matters32:35 Fiduciary advice vs. product sales pitches33:54 Friendly rivalry with Stacking BenjaminsQuestions? Comments? Click!
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Infinite Bubbles?
May 2600:28:29Tap to summarizeTom and Don tackle the impossible task of spotting market bubbles in real time, leaning on insights from Jason Zweigand Eugene Fama to argue that if bubbles were truly predictable, they wouldn’t exist. They discuss soaring semiconductor and AI-related stocks, speculative manias from tulips to SPACs to Bitcoin, and why diversification and disciplined rebalancing beat emotional market timing every time. Listener questions cover tax-loss harvesting and wash sales involving VT, VTI, and VXUS ETFs, family conversations about money, Roth conversion strategy for a wealthy near-retiree, and Dimensional’s refusal to chase hot IPOs despite the S&P 500’s changing rules. Along the way, there’s plenty of classic TRM banter about giant brains, vacation boredom, and the dangers of trying to outsmart markets that are probably smarter than all of us combined.0:05 Bubble noises, market mania, and why everyone thinks they can spot bubbles1:11 Jason Zweig on semiconductor stocks soaring nearly 40% in a month2:23 Emerging markets, small value, and global stocks compared to AI-driven speculation3:39 Eugene Fama explains why bubbles are impossible to identify in real time4:26 Dot-coms, Bitcoin, SPACs, and the legendary tulip bulb bubble5:03 Why “doing nothing” often beats reacting emotionally to market fears5:51 Jason Zweig’s sign of a bubble: when critics get attacked instead of debated7:15 Rebalancing, diversification, and why the S&P 500 alone isn’t enough9:41 Listener question on tax-loss harvesting, wash sales, and replacing VT with VTI and VXUS14:05 Why families should talk openly about money instead of outsourcing financial education to TikTok17:44 Near-retiree with $7.3 million asks about Roth conversions and paying taxes from IRAs20:36 Dimensional responds to S&P rule changes allowing earlier IPO inclusion21:15 Why Dimensional avoids IPOs during their first year after going public22:39 Allbirds’ collapse from a $2.2 billion IPO to a $39 million sale24:47 Why waiting before buying IPOs may reduce riskQuestions? Comments? Click!
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Q&A and Book Day
May 2200:21:58Tap to summarizeDon opens the show with a deeply personal announcement: the release of his first novel, The Line Uncrossed, inspired by the life of his great-great-grandfather, a teenage Union soldier captured at Chickamauga and imprisoned at Andersonville. After sharing the journey behind the book, the episode shifts into listener Q&A covering the limited diversification benefits of international bond funds, skepticism toward direct indexing for retirees with taxable accounts, concerns about high-yield student loan investment schemes like Yrefy, ethical and practical issues surrounding Medicaid asset-protection trusts, and the surprising usefulness of adult-funded 529 plans as a backup Roth-style savings vehicle.0:05 Don announces the release of The Line Uncrossed and shares the personal Civil War inspiration behind the novel2:50 Q&A begins with a question about international bond funds like Vanguard Total International Bond ETF versus domestic-only bonds6:11 Direct indexing in a taxable account: why the tax benefits may be overstated for retirees slowly averaging in8:13 Skepticism about Yrefy and high-yield private student loan investing10:52 Medicaid asset-protection trusts, ethical concerns, and simplifying investments for heirs16:28 Using adult-funded 529 plans as a long-term tax-advantaged savings strategy with Roth rollover potentialQuestions? Comments? Click!
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Indexes Gone Wild
May 2100:29:27Tap to summarizeDon and Tom take on the uncomfortable reality that even supposedly “rules-based” index investing is starting to look suspiciously active, as major indexes like the S&P 500 consider bending long-standing rules to admit massive IPOs like SpaceX earlier than before. They explain why changing index rules matters more than most investors realize, debate whether index committees are chasing performance to stay competitive with the QQQ, and argue that broad global diversification may be safer than relying on any single benchmark. Listener questions cover retirement-saving strategies for LLC owners, how highly compensated employees can work around 401(k) discrimination limits, the pros and cons of backdoor Roth strategies, and why taxable brokerage accounts are often more tax-efficient than people assume. The episode wraps with skepticism about proposed “Trump IRA” retirement plans that don’t actually exist yet, plus the usual blend of sarcasm, practical advice, and mild exasperation with modern finance.0:05 Rules-based investing versus changing the rules mid-game0:50 Why podcasting is safer than television for Don and Tom1:40 How index funds are supposed to work2:27 Why the S&P 500 wants SpaceX and giant IPOs3:01 IPO hype, pricing games, and the original S&P waiting rule4:05 Fear that indexes are drifting into active management5:01 Why investors wrongly assume the S&P 500 is “automatic”6:24 Explaining stock float and why liquidity matters8:07 QQQ and S&P changing IPO admission rules9:10 Why changing index rules should concern investors10:08 The explosion of specialized stock indexes11:33 Why owning the whole global market may be safer12:27 How Dimensional and Avantis differ from traditional indexes14:04 How listeners can submit questions to the show15:06 Retirement options for an LLC owner taking only dividends16:57 IRS concerns about treating a business like a hobby18:52 Highly compensated employee struggles with 401(k) testing20:42 Using a rollover IRA to reopen backdoor Roth opportunities21:58 Why taxable brokerage accounts are underrated22:33 Tax-efficient ETF investing and retirement flexibility23:14 Questions about the proposed “Trump IRA” plan24:35 Why investors should ignore retirement proposals that don’t yet exist25:58 Congress, air conditioning, and why Washington never leaves town26:48 Podcast rankings and chasing Stack & BenjaminsQuestions? Comments? Click!
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Fear Sells
May 2000:34:39Tap to summarizeDon and Tom unload on sensationalized financial journalism, taking aim at recent articles claiming the 4% withdrawal rule and classic 60/40 portfolios are “failing” retirees. They argue that the media increasingly prioritizes fear-driven headlines over practical investing wisdom, pushing emotionally charged narratives that ignore investor behavior and long-term historical returns. The duo also push back against claims that target-date funds could wipe out retirees, explaining why diversified portfolios remain far less risky than headlines suggest. Listener questions cover Robinhood’s controversial 2% transfer bonus, SEC transaction fees on ETF sales, Roth IRA liquidity concerns, rebalancing discipline, and the dangers of emotionally reacting to politics and markets. Along the way, Don discusses the release of his Civil War novel The Line Uncrossed, while Tom manages to squeeze in Morse code, Rasputin, and model bomber references for absolutely no good reason whatsoever.0:05 Don and Tom rant about the collapse of quality financial journalism1:43 Criticism of Money.com article attacking the 4% rule and 60/40 portfolios2:44 Morningstar’s 3.7% withdrawal study versus the traditional 4% rule4:21 Why “100% stocks beats 60/40” ignores investor psychology and risk tolerance5:03 Emotional pain, market crashes, and why most investors cannot handle full equity exposure6:02 Financial media sensationalism and clickbait retirement headlines7:32 Seattle Times article warning target-date funds could destroy retiree savings8:35 Critique of claims that target-date funds are dangerously risky at retirement9:41 Discussion of Vanguard 2025 target-date allocation and global diversification12:00 Why diversified global portfolios are far less risky than fearmongers suggest13:16 Media outrage, sensationalism, and why Talking Real Money avoids scare tactics14:48 Listener comment about Don’s books appearing on Amazon15:15 Reality check on book royalties and publishing economics15:49 Discussion of Don’s Civil War novel The Line Uncrossed17:19 Book pricing, Kindle strategy, and avoiding Amazon exclusivity18:41 Transition to listener questions19:10 Caller asks about Robinhood’s 2% IRA transfer bonus and possible tax issues20:10 Why IRA transfers and Robinhood bonuses are generally not taxable21:05 Concerns about Robinhood’s gamified investing culture versus Vanguard’s philosophy22:03 Risks of getting lured into speculative products after transferring assets22:59 Caller explains working with a fee-only fiduciary advisor and self-managing investments24:48 SEC transaction fees on ETF sales explained25:47 Why the SEC fee is effectively meaningless for ordinary investors26:15 Listener question about moving Roth IRA money to CDs due to market fears29:10 Why emotionally reacting to politics and market fears can hurt long-term investing31:17 Importance of maintaining an appropriate long-term asset allocation31:41 Tom jokes nervously about a meeting with HRQuestions? Comments? Click!
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The Great and Powerful AI
May 1900:34:22Tap to summarizeTom and Don explore whether artificial intelligence is truly ready to replace financial advisors, sparked by a recent Wall Street Journal experiment using ChatGPT to build a long-term investment portfolio. They break down the AI-generated recommendations, highlighting both the surprisingly sensible use of low-cost index funds and the concerning inconsistencies, recency bias, and lack of academic factor tilts. Along the way, they discuss whether AI gives investors what they need or simply what they want, the future of fiduciary advice, and why human judgment still matters. Listener questions cover retirement planning basics, the foreign tax credit on international ETFs, cash “bucket” strategies in retirement, and why banks paying 0.01% on savings accounts still somehow get away with it.0:05 AI threatens financial advice jobs and why Don is oddly relieved to be old1:15 Product placement, affiliate marketing, and favorite AI assistants2:06 Wall Street Journal test of ChatGPT as a financial advisor3:24 AI portfolio recommendations: 80/20 allocation breakdown5:13 Concerns about cash, REITs, and taxable account inefficiencies6:16 Lack of value and small-cap tilts in AI-generated portfolios7:10 Same prompt produces different AI portfolio recommendations8:44 MIT professor says AI investing isn’t “ready for prime time”9:50 AI personalization and the danger of confirmation bias11:09 Why AI is at least favoring low-cost indexing over active management12:14 How listeners can submit questions to the show12:51 Listener question: What actually goes into a financial plan?14:27 Retirement income planning basics and fixed income sources15:17 Using portfolios, home equity, and withdrawal strategies in retirement16:03 Estate planning, insurance, healthcare, and lifestyle considerations17:01 Why purpose and meaning matter in retirement planning19:17 Younger generations avoiding phone calls20:02 Foreign tax credits with VXUS, VT, AVGE, and AVGV22:33 How little foreign tax credits usually matter in practice23:36 Apple fandom, Cupertino, and Don’s dead Apple TV dilemma25:35 Listener question about cash buckets and retirement withdrawals26:14 How much “safe money” retirees should keep available27:19 Why excessive cash drags long-term portfolio performance29:13 Bank savings accounts paying 0.01% APY31:17 Free fiduciary advisor meetings through TalkingRealMoney.com32:33 Tom’s advancing age and the race to catch Stacking BenjaminsQuestions? Comments? Click!
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Selling Slowly
May 1800:33:57Tap to summarizeTom and Don tackle one of retirement planning’s most misunderstood tools: reverse mortgages. Using the analogy of “selling your house in slow motion,” they explain how modern HECM reverse mortgages work, why they’ve become more regulated and potentially more useful, and why they may deserve consideration for retirees who are house-rich but cash-poor. The duo breaks down the real costs, the cash-flow benefits of eliminating a mortgage payment, and the tradeoffs between preserving home equity and improving retirement security. Listener questions cover the differences between money market funds and bond funds like Vanguard Total Bond Market ETF, ETF versus mutual fund fees, and another spirited debate over Bitcoin and whether it truly has intrinsic value.0:05 “Money in slow motion” and the reverse mortgage analogy1:48 Why reverse mortgages still have a terrible reputation2:33 America’s massive home equity and retirement savings comparison4:34 Celebrity reverse mortgage spokespeople and the “wild west” era6:11 How modern HECM reverse mortgages actually work7:14 Reverse mortgage costs, fees, and borrowing limits by age9:06 Real-world example of accessing equity from a million-dollar home10:25 Why reverse mortgages still feel like a last resort11:13 The biggest hidden benefit: eliminating mortgage payments12:17 The compounding impact of reverse mortgage interest13:24 Shockingly low retirement savings statistics in America15:10 Would Tom or Don personally use a reverse mortgage?17:05 Listener question: money market funds vs. bond funds21:10 ETF versus mutual fund fees and whether ETFs are worth it25:10 Listener pushes back on Don and Tom’s Bitcoin skepticism26:58 Military testimony, blockchain hype, and Bitcoin promotion30:39 Final thoughts on crypto evangelism and speculative investingQuestions? Comments? Click!
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May Questions
May 1500:26:49Tap to summarizeDon opens this Friday Q&A episode with a personal reflection on finally releasing his historical fiction novel The Line Uncrossed, inspired by his great-great-grandfather’s imprisonment at Andersonville during the Civil War. Listener questions then cover the wisdom (or insanity) of converting millions from a traditional IRA to a Roth all at once, the evolving role of “538” savings accounts, why covered calls and options strategies often disappoint despite sounding clever, skepticism over the show’s repeated praise of Avantis and Dimensional funds, and the surprisingly massive dollar amounts collected in ETF management fees. Throughout, Don leans hard into skepticism, simplicity, evidence-based investing, and the dangers of overcomplicating portfolios or tax planning.0:05 Friday Q&A tradition and how listeners submit spoken questions1:28 Don talks about releasing The Line Uncrossed next week2:22 Andersonville inspiration and writing historical fiction3:29 Listener asks about converting $4.1M traditional IRA to Roth to avoid RMDs5:55 Why a massive one-time Roth conversion could be financially disastrous7:17 RMD misconceptions and the need for professional tax planning8:13 Discussion of proposed “538” accounts and Roth conversion possibilities10:40 Listener asks about covered calls, selling puts, and options strategies12:06 Why buying options is gambling and covered calls eventually fail13:28 The illusion of downside protection with covered calls14:58 Skeptic questions repeated mentions of Avantis and Dimensional funds17:31 Don explains factor investing, Fama/French research, and fee tradeoffs20:30 Why TRM recommends Avantis and Dimensional despite higher costs20:38 Don responds directly to accusations of compensation or sponsorship21:47 Listener shocked by millions paid in ETF management fees22:26 What ETF management fees actually pay for behind the scenes23:27 Why large ETF operations require huge staffs and compliance teams24:33 Final call for listener questions and advisor meetingsQuestions? Comments? Click!
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Retirement Relocation Reality
May 1400:37:15Tap to summarizeDon and Tom explore one of retirement’s biggest emotional and financial questions: where should you actually live once work winds down? They discuss the hidden realities behind “low-tax” retirement states, including insurance costs, healthcare expenses, weather extremes, and the importance of family and community. The episode also features listener questions on retirement cash management, why annuities often create more problems than solutions, retirement savings strategies for LLC owners, and the ultra-wealthy “buy, borrow, die” strategy using securities-backed lines of credit.0:05 Retirement dreams and deciding where to live1:49 The myth of “low-tax” retirement states3:18 Washington taxes, Jeff Bezos, and Wyoming winters4:27 Florida’s hidden costs and brutal summers6:04 Insurance shocks, pension taxes, and state tax surprises8:04 Property taxes, sales taxes, and healthcare costs10:12 Why family and community matter more than taxes11:38 Florida thunderstorms and surviving the humidity12:40 Comparing total living costs before relocating13:52 Aging in place and the rising demand for one-story homes15:34 Listener question: What to do with $192,000 sitting in checking18:52 Why liquid savings may beat annuities near retirement22:15 Delaying 401(k) withdrawals and retirement flexibility24:47 LLC profits and retirement contribution limitations28:06 “Buy, borrow, die” and securities-backed lines of credit33:19 The risks of borrowing against investments34:05 Free fiduciary advice versus commissioned sales pitchesQuestions? Comments? Click!
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Selling Fear
May 1300:25:21Tap to summarizeDon and Tom take aim at the booming annuity industry, arguing that most annuities are sold through fear, confusion, and unrealistic promises rather than honest financial planning. They explain why indexed annuities are especially problematic, why annuities should be viewed strictly as income tools rather than investments, and how even “good” annuities often return your own money back to you first. The episode also covers smarter retirement income strategies, including maximizing Social Security benefits, plus listener questions on “Trump accounts” and youth retirement accounts, taxable investing with DFAW vs. VT, factor investing, and whether U.S. government bonds remain safe despite soaring national debt. Along the way, the hosts detour into a spirited discussion about Pacific Northwest town pronunciations and Sacagawea.0:14 Why annuities are booming as baby boomers retire0:38 The illusion of “market returns with no risk”2:11 How annuities are actually sold through fear and seminars3:22 Why annuities should be viewed as income products, not investments4:17 Immediate vs. deferred vs. variable vs. indexed annuities5:03 Indexed annuities and the “no risk, stock market returns” pitch5:36 What people really want from annuities: guaranteed income6:17 Liquidity, guarantees, and the hidden costs of annuities6:50 Why single premium immediate annuities can disappoint7:29 How SPIAs often return your own principal first8:03 Inflation riders, survivor benefits, and reduced payouts9:13 Longevity fears and unrealistic retirement assumptions9:47 Social Security as the best inflation-adjusted annuity most people underuse10:13 How to submit questions to Talking Real Money10:45 Listener question: “Trump accounts” and YRAs explained11:57 Why YRAs are not especially tax-advantaged12:40 529 plans vs. youth retirement accounts14:25 Listener question: DFAW vs. VT in taxable accounts15:47 Foreign tax credits and overthinking portfolio optimization16:17 Factor investing, Dimensional, Avantis, and small value tilts17:38 Listener question: Are U.S. bonds safe with $39 trillion in debt?18:31 Why U.S. Treasury bonds remain highly secure19:10 Who actually owns most U.S. government debt20:36 The origin and pronunciation battle over Sedro-Woolley21:33 Lewis and Clark, Sacagawea, and Pacific Northwest pronunciationsQuestions? Comments? Click!
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