Navigating a High Rate Market: Buying a Home, Preparing for a Recession and Where to Put Cash with Ben Carlson

#117: Author and financial advisor Ben Carlson joins Chris to share insights on the current state of the market. They discuss the impact of aggressive Fed rate hikes and the unintended consequences, including the debt ceiling and regional bank collapses. Ben also shares his expertise on where to park cash, comparing I bonds, high-yield savings, short-term Treasury ETFs. Finally they offer strategies for buying a home and lowering mortgage payments in this high-rate environment. Ben Carlson ( @awealthofcs ) is a prominent figure in the financial world, recognized for his popular blog A Wealth of Common Sense that covers a wide range of financial subjects. He is an accomplished author of four books and the Director of Institutional Asset Management at Ritholtz Wealth Management , where he helps individuals and institutions navigate the complexities of investing and personal finance. He's also the host of one of my favorite podcast's Animal Spirits . Link to Full Show Notes: https://allthehacks.com/market-update-ben-carlson Partner Deals Eight Sleep: $150 off the Eight Sleep Pod to cool, heat, track, & sleep better DeleteMe: 20% off removing your personal info from the web StoryWorth: Share your family stories in a custom book (+ $10 off) Masterworks: VIP access to skip the waitlist Cold Plunge: $150 off The Ultimate Cold Plunge Ice Bath For all the deals, discounts and promo codes from our partners, go to: allthehacks.com/deals Resources Mentioned Ben Carlson: A Wealth of Common Sense | Animal Spirits Podcast | Twitter Ben’s Books: A Wealth of Common Sense: Why Simplicity Trumps Complexity in Any Investment Plan Everything You Need to Know About Saving For Retirement Don’t Fall For It: A Short History of Financial Scams Organizational Alpha: How to Add Value in Institutional Asset Management Finance Apps Quartr YCharts Yahoo Finance Koyfin Portfolio Visualizer ATH #42: Beating Inflation, Alternative Assets, and Simplifying Your Finances ATH #91: Die With Zero: Net Fulfillment Over Net Worth Historical Fed Funds Rates JP Morgan Study: The Agony & the Ecstasy 3.0 Treasury Direct: I bonds BiggerPockets Real Estate Podcast Tesla Auto Loan Spreadsheet Full Show Notes (02:26) The Current State of the Markets (03:41) Reason Behind Aggressive (Unprecedented) Fed Rate Hikes (05:23) Unintended Consequences: Debt Ceiling and Regional Bank Collapses (06:54) Chris’s Experience with SVB (10:03) Next Steps for Average Investors (11:13) Ben’s Advice to Clients (14:10) Preparing Personal Finances for Recession (15:26) The Tech Recession (21:46) Classifications of Tech Companies (24:32) The Role of Cash in an Investment Portfolio (26:33) What Happens When the Rates Drop? (28:57) The Duration of Current Rates (30:13) The Use of I Bonds (31:34) Investing in High Yield Savings vs. Short Term ETFs (33:47) The Need for an Emergency Fund (36:13) Exploring Future Employment Opportunities (37:19) Buying a Home in a High Rate Environment (40:53) Strategies to Lower Mortgage Payments (49:11) Maximizing Net Fulfillment (50:48) Optimizing the Home Buying Experience (52:53) Auto Loans (54:12) Credit Unions (55:00) Student Loans (55:48) Ways to Estimate Risk and Potential Upside (57:40) Ben’s Recommendations for Financial Services Connect with All the Hacks All the Hacks: Newsletter | Website | Membership | Email Chris Hutchins: Twitter | Instagram | Website | LinkedIn Editor’s Note: The content on this page is accurate as of the posting date; however, some of our partner offers may have expired. Opinions expressed here are the author's alone, not those of any bank, credit card issuer, hotel, airline, or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post. Learn more about your ad choices. Visit megaphone.fm/adchoices