Protecting your money: Market risks and health coverage

And we want to turn our attention now to a story a lot of people have been talking about, a major shakeup at one of the biggest names in artificial intelligence. NVIDIA co-founder Jensen Huang has resigned as CEO, effective immediately. And chief financial officer Colette Kress will take over as interim CEO. The departure follows reports of two extramarital relationships, including one with a businesswoman accused of, get this, having ties to Chinese intelligence, And another with a NVIDIA executive who reported to him. He acknowledged being unfaithful to his wife and apologized to his family and colleagues. NVIDIA's board has opened an independent investigation into whether he was targeted by a foreign intelligence operation. The board previously said it had no reason to believe the company's secrets or national security were compromised. And so you may be wondering how long has he been CEO? Well, he's been there since its founding in 1993. So quite a long time. So So our question is, so what is this shakeup? How is that going to affect the markets and your money? So, fiduciary Justin Farmer is joining us now to make sense of all of this. Justin, I appreciate you joining us. Tyler, good to see you. There is no sense to be made of this. Yes. Try to picture. I mean, this is where fact is more interesting than fiction. This is the guy who leads the world or led the world's most important artificial intelligence company, NVIDIA. They make the chips that the United States has led the world in artificial intelligence because NVIDIA is based here, of course. And we had access to the most capable chips in the world. And Jensen Huang was the brainchild and the leader behind NVIDIA and took it from just a little gaming company, basically making chips for gaming and turned it into the backbone of AI. China has wanted these chips, Tyler, because they want to. to catch and surpass the United States when it comes to the AI race. Makes sense. Right? So there's the backdrop. Now, this guy who's married chooses apparently, well, he admitted it, to having relations with a woman he says he had no idea she was a spy. I would hope. Can you believe this? So this story has tech, money, sex, espionage. You know what that sounds like? James Bond. Let's, yeah. Like I said, this is this is one that is so hard to comprehend that it's why people are going to talk about it. So how can this affect? Obviously, they're a big publicly traded company. How does that affect Wall Street? I mean, looking at all of this, I mean, could we see impact to 401ks and things like that? Sure. So it's interesting. NVIDIA is the greatest acceleration of wealth story in stock history. If you bought $10,000 worth of NVIDIA stock in January of 2020, that stock would be worth about $300,000 today. NVIDIA made many, many people hundreds of thousands and or millions and millions of dollars around the world, principally in the United States. So NVIDIA is in so many basic 401k plans. It's in so many people's IRAs. It's just part of your run-of-the-mill tech ETF. Thank you. It is a very widely held stock like Google, Apple, Meta, et cetera. So you probably have exposure to NVIDIA if you have any retirement savings investments going on at all. Here's the interesting thing. At one point this morning when it came out that Wong was resigning, kicked out basically by the board overnight. When that news hit, The stock dove about 13 percent. That was this morning. It's since recovered. It's now only down about five percent. It was down a few percent yesterday and about five percent the prior day. So they are shedding billions and billions of dollars worth of shareholder value. But unless you own a ton of this stock personally, it's not that big of a deal. And the person who will succeed him, she's going to do great, Colette Kress. And lastly, I should say this, Tyler, Tyler, that Jensen Wong. As brilliant as he has been, and clearly such a capable and influential founder, the company will survive him. Well, and the fact that he's out, that can obviously, which is probably why the stock rebounded the way it did, at least rebounded, air quotes there, because it is still down over 5% right now. But the fact that he's ousted, that can obviously show that they're trying to move past this, and obviously, hopefully, that their secrets, if any, were actually... stolen are going to be, they can try to solve this problem sooner rather than later. Well, you know, there's so many layers to this story. There's just the investment layer. If you're a holder of NVIDIA stock, I wouldn't be dumping it today. Absolutely not. You don't want to ever sell into weakness. If you've been waiting to find a point to try to own some NVIDIA stock. This morning. It's on sale, baby. So I always love buying stocks that you're interested in when they're on sale. And that sucker's on sale today. So if you have a long-term horizon, why? Why not pick it up? Or a safer way to do that is pick it up that is in an ETF that has a lot of these kinds of tech names. But I'll leave that there. The other story is going to involve Congress. There will be hearings. What did Jensen Wong know and when? What did the administration know about this potential relationship and when? Were the Chinese as a government involved? Did they put this woman up to this? Was it a concerted effort? Was this something that was a highly skilled and planned out espionage effort? These are the kinds of things that belong in novels and movies. But in this case, we're going to get to find out what really was going on. And here's the thing. This isn't a guy who... Was worried about money yesterday or worried about money today. He's worth about $150 billion, one of the top 20 richest people in the world. So his soon-to-be ex-wife is going to get half. That's a lot. Money is not going to be a problem for anybody involved here. Here's what is spectacularly happening to him, a fall from grace. And what I mean is this. This is a guy who was in every room. He was in every room he wanted to be. One of the most important figures in terms of business and his thoughts and opinions on this topic of AI and where it's going to take all of our lives and future generations, he was in the room. He was an integral part of the conversation. He's now out. And we reported, I think, earlier this week, he's friends with President Donald Trump. So he has that influence right there. It's going to be really interesting when he does testify before Congress, if we if we're hearing pleading the fifth or if we actually get some real answers and actually hear about all of this, because I don't think he I don't think he would have broken any laws. So pleading the fifth isn't really. Well, you don't know that. Well, that's the thing is we don't know. So, uh... Again, I'm trying to use my words carefully, but here's the thing here. If you if you're into this story, here's what you really want to pay attention to. It has been a big deal in the United States to keep the very best chips that we make. And NVIDIA makes most of the very best chips. AMD and others, of course, as well. But really, NVIDIA has led the way. The United States has tried very hard to keep China and other actors that we consider to be enemies or near enemies from having the best chips because we want to win the AI race for all the reasons you can. And imagine when it comes to defense, our security of fighting diseases that they may create or whatever. My point is this, that if. He somehow was involved, and no one knows yet, in looking the other way. If the Chinese were able to smuggle in some of the chips that they were not supposed to have, then he's got really big problems that go far beyond marriage and money. And just quickly, let's talk about open enrollment. I keep getting those emails from our company here, Fox, telling me I need to go do my open enrollment. For us, we have four different plans. Some companies have a few different ones. Ones that you will see on there are low-deductible, high-deductible. What should we know? About that, if you are trying or in the market for trying to decide what to do. Here's what I would say, Tyler, is when you're talking about your health insurance, it really needs to be custom to each family and each family's needs. If you unfortunately have someone in your family, you or someone in one of your dependents is chronically ill, then in general, you probably want to choose a plan that has a little bit of a lower deductible. So you hit that deductible early in the year, and then your more comprehensive coverage kicks in and a higher percentage is paid when you need to seek health care. If, however, either you're alone or your family is relatively healthy and doesn't need a lot of health care, you don't go to the doctor very often, then it probably makes sense for you to choose a plan that maybe has a higher deductible. Now, you still want to take care of your preventative care. I can't urge that enough. Regardless of what your plan is, it's cheaper and obviously healthier to try to catch things proactively way ahead of time than to be reactive with your medicine. But with that said, if you're healthy, Tyler, I would probably in most cases choose that higher deductible. Always make sure this, y'all, that whatever plan you choose, that if something catastrophic were to happen to you or someone you're taking care of, the plan can answer the call. All good advice. Justin, I appreciate you joining us. Appreciate these chats.