Episode 271 - How To Mitigate Investment Risks

In this episode of Beer and Money, hosts Ryan Burklo and Alex Collins welcome Joe Hegener, founder and CIO of Astrazola Management, to discuss the current economic landscape, particularly focusing on falling interest rates and their implications. Joe shares his extensive background in finance, including his experiences at BlackRock and PIMCO, and provides insights into the effects of zero interest rates, inflation dynamics, and the potential risks facing the market. The conversation also delves into portfolio management strategies and the importance of diversification in today's economic environment.

Takeaways

Joe Hegener has extensive experience in finance, having worked at BlackRock and PIMCO.
The current economic environment is influenced by falling interest rates and inflation dynamics.
Zero interest rates have created a false sense of security in the market.
The Fed's actions have a lagging effect on the economy.
Inflation is driven by both supply-side and demand-side factors.
There are significant risks on the horizon that could impact the market.
Diversification is crucial for managing portfolio risk.
Investors should consider locking in gains and de-risking their portfolios.
The potential for re-accelerating inflation exists as cash is deployed into the market.
It's important to build a robust portfolio that can withstand various economic scenarios.

Chapters

00:00 Introduction and Guest Introduction
02:52 Joe Hegener's Background and Experience
06:00 Insights on Interest Rates and Economic Environment
08:51 The Impact of Zero Interest Rates
12:01 Current Economic Indicators and Fed's Role
15:03 Inflation Dynamics and Future Projections
18:04 Potential Risks and Market Reactions
21:13 Portfolio Management Strategies
23:56 Final Thoughts and Future Considerations