Day of trading, but the Broader Market was done a bit for the week. Disney plus blew away expectations, can they give netflix a run for its money . And a wave of celebrities are getting into spacs. My colleagues, ben levisohn, carlton english and jack howe. Ben, a tale of two markets. Everyone was so excited about doordash and airbnb x then the market slud a little bit. Finish. Thats right, jack. Ipos got so much attention, it was almost as if the rest of the market didnt exist. I know i had to go check to see how we were doing on the week. Airbnb, as you said, more than doubled on its first day, doordash gained 86 . There have been 19 ipos that have doubled on their first day this year, and thats the most since 2000, the dot. Com bubble. Despite all that, the market did finish down just a little bit, the dow was down 0. 6 , the s p was off 1 . And its really bad data, jobless claims, but i think it was really more about political fear. Jack so stimulus, i know those negotiations are still going on. The market wants that money. They do want that money. They want it badly. And i think they still think its going to come. The losses would be much larger if it wasnt. But every day this goes on is another day where the moneys not getting out to the economy, and it is another day where the likelihood of it not happening is growing. And to the markets a little bit worried about the election coming up in georgia, the runoff for the two senators there. There are worries that if the democrats do actual win those seats, that you could get a selloff particularly in stocks because stimulus could be so large, and that just forces everybody out of growth and into economically sensitive tocks. Jack because those stocks are still a smaller share of the market, the Overall Index could go down even if they surge and tech falls. Thats right. Jack thats kind of interesting. Just one more thing happened this week that was a little interesting to market watchers, and that was facebook is in trouble with regulatorrers. The question is will it get broken up. The market yawned. The market didnt care at all. And it could be for one of two reasons, that they dont think the case is going to work, or even if it does, youre going to end up with facebook, instagram and whats app that are fantastic company, and youre going to do fine either way. Jack i think wed probably see a hot more innovation if they were forced to survive on their own, and it might even be better for investors. Look, jack, i want to go to you. You have been bullish on disney for a while, and this week the market agreed with you bigtime. I think it was a new hull after time high for disney. Yeah. If theres if the streaming business for television is an arms race right now in terms of spending on content,then disney, i think, is starting to look like the the death star to its competitors. The company if had a futureyear futureyear fiveyear goal, and it reached the high end of that goal not in five years, but in about one year. So theres a new goal now, and talking about disney plus, espn plus and hulu, they want to reach a combined 300 million to 350 million subscribers by fiscal 2024. So you say, well, how many is that . Well, netflix is close to 200 million today, so disney has, you know, ambitions to be much larger than in the flicks is now. I think theres a very real possibility that disney could catch up with netflix, maybe even overtake it in the years ahead. I think even the bulls didnt really anticipate Something Like that. Its not cutting prices on streaming, it raised prices, and this revenue windfall from automatic subscribers, its and spending massively on content. Theres ten new mar having shows, ten two star wars shows, 25 new shows and movies across disney studios and pixar, thats all for streaming, the company says by 2024 it might be spending 1214 billion in just that year alone. The stock jumped 13 on the news. Investors love it. These two companies, disney and netflix, had about the same market value for a while. You have to ask yourself, why are they so close at this point . Disney looks to be every bit the winner in streaming that netflix is, and thats not even counting the theme parks and Everything Else that we know are coming back down the road. Jack yeah. Theyve nailed the pandemic, and when things come back, the streaming loves recurring revenue. Ing carlton, lets go to you, and you get to talk about this esoteric Investment Vehicle known as a spak, special purpose acquisition company. Why are they in the news right now . Yeah. So spacs are basically these Blank Check Companies where a backer or sponsor raises money from investors or in an ipo with the intention of acquiring a company in a certain time frame. The offering documents may offer some indication of what, you know, that type of industry it might be in, but this year has certainly been a hot one for spacs, more than 200 have gone public raising about 75 billion. A few reasons for this, obviously, low Interest Rates have investors, you know, just chasing different investment opportunities, and we see ipos take off as they have, thats another reason why people would want to go into them. But its only a mart of time before People Matter of time before people who may not be experienced get involved in them, and were seeing some celeb fews attaching their name, and that might be raising questions. Jack i guess the advice is do go with someone who is investing in his or her area of expertise, right . Shaq is a great ball player, you may not want his real estate advice, but if somebody has a great track record in reality, maybe you do that. Exactly. And we have a piece this week, and what we find is the ones that were founded by known operators, people who led the company, those have been some of the most successful. So, or you know, a celebrity on its own is not necessarily a reason not to invest in one. You want to look you should the hood, but under the hood, but this is kind of a new area thats taking off where a lot of money is chasing it. Even having a great team isnt always a guarantee, but that would be what you would be looking for. Jack investing in a new fad isnt always a great approach. Thanks very much, carlton. Coming up, adults over the age of 35 are sending more time than ever spending more time than ever playing video derriere discomfort. We try to soothe it with this. Cool it with this. And relieve it with this. But new preparation h soothing relief is the 21st century way to do all three. Everyday. Preparation h. Get comfortable with it. Theres an art to listening. Its the ability to hear more than whats being said. To understand the meaning in every pause. And to be able to offer the answers that make someone feel truly heard. I understand, lets get started. Thats what you get when you talk to a Dell Technologies advisor. I do motivational speakingld. Thats what you get in addition to the substitute teaching. I honestly feel that thats my calling to give back to younger people. I think most adults will start realizing that they dont recall things as quickly as they used to or they dont remember things as vividly as they once did. Ive been taking prevagen for about three years now. People say to me periodically, man, youve got a memory like an elephant. Its really, really helped me tremendously. Prevagen. Healthier brain. Better life. But each wish is special and unique, just like the kid behind the wish. For children fighting critical illnesses, wishes are life changing. These children and their families face unimaginable pain, but wishes give them hope. These wish kids have incredible imaginations. Thats why when hunter wished to be a dinosaur, we at makeawish knew we had to go big to turn hunters wish into a life changing experience. We have unconfirmed reports of a suspicious animal. [narrator] makeawish has granted more than 500,000 wishes over the past 40 years and with your help, we can grant even more. By giving 20 a month, just 67 cents a day or any amount, your monthly gift turns colossal wishes into unforgettable experiences and provides hope to children and families who need it most. Give now to grant wishes today. Gerry sales of Gaming Software and consoles have gone through the roof during the pandemic, and so have the stocks. Will the gaming clause continue after the crisis is over . Take two interactive Ceo Strauss Zelnick joins me now. Thanks for maybing time. Thanks for having me. Jack id like to quickly explain the scale of gaming. It is a 140 billion a year industry, and thats even before you include gaming consoles. And just to put that in perspective, its more than three times Global Box Office back in 2019 when we used to go to the movies. Can you give us a sense of the scale of your biggest, your marquee game, grand theft auto. Is it a blockbuster on the scale of a star wars . Well, at least on that scale. Ing many people think that grand theft auto is a franchise, its the biggest Entertainment Property ever created. And i put that in context. Grand theft auto v has sold 300 million uniwiths, and seven years later, its expected to have another record year this year. Jack and i know you dont like to give out numbers, but i guess people can multiply that times 70 a apiece and get a senses of what were talking about here. I want to dispel one myth. Often people think of the video game player as the dekid in the basement. I know you dont marly like that stereotype. The data proves that isnt an accuratester to yo type. Something like three billion people around the world play video games. Over 200 million americans play video games. The average age is between 3645, and while it skews slightly male, its almost evenly balanced male and female. So video games are really americas pastime. Jack it certainly seems that way in my household. I have a 14yearold son. And, obviously, his use, everybodys use increased during the pandemic. They were stuck at home. But, again, i think theres a misunderstanding here. Its not just someone interacting with the screen, theyre actually interacting with their friends and with other people with their headsets and so forth. One really interesting thing i heard about with your nba2k game was there was actually a gathering of people mourning George Floyds death when that happened. Can you, plan how that works . In the game, in the neighborhood. So peoples avatars actually could gather in the neighborhood and, in fact, we have tshirts that they wore to signal appreciation for the moment and sadness and collective engagement. What is amazing about Interactive Entertainment, and you said it, is we dont only give fans an opportunity to have great stories, great characters, great graphics and great game play, you can actually play games cooperateoffly or competitively with friends in communities all around the world, and you can talk to friends all around the world while youre playing. We like to consume entertainment with ore people. You mentioned going to the movies or watching television at home. And Interactive Entertainment allows you to enhance the experience while youre having it. Jack i want to ask you where that goes in the future, but just quickly, gaming used to be a very cyclical industry because you didnt really have that. You buy the game, you play it for a while, you get sick of it, and when the new one comes out, you buy the new one. But now your recurring revenues really as people buy stuff in game. How does that work . As you said, we used to put out a game, people could consume it for a few months, that would be the end of it. Now we give consumers content after the initial release whether thats part of a Multiplayer Online offering or just additional content that is downloaded for a game. So if you love something, you can stay engaged with it, and you can have an ongoing living, breathing experience of the game. So basketball for us used to be a three month experience, now its a twelvemonth experience. And as i said earlier, grand theft auto online has been going strong for seven years and more constant drives that engagement. The fact that we have new content coming in just a few days. Jack and in the real world, basketballs like a threemonth exappearance. But real quick, i want do you, if you can, to look into your crystal ball. You have a broad entertainment background, you ran fox, you ran cbs. How does this interactivity man its itself in the future . Will movies become interactive . Will there be a joining of gaming and movies, so forth . I think the media will influence each other. I think games are becoming more sin mat ific. I dont think stories need to become interactive. I think there is a difference between a competitive video Game Experience and a linear story experience, and i think to the extent that people are choosing their own endings, for example, its pretty hard to continue to suspend disbelief. So i dont know that the media will merge. I do think that more and more video games have have stories that are powerful, characters who you really believe in and immerse sieve opportunities immersive opportunities, and much of that has come from the Motion Picture business. Cc jack and, clearly, you are winning the share of eyeballs. Strauss zelnick, thanks very much. Thank you so much. Jack coming up, are you making one of the three biggest mistakes in retirement investing. The panel before nexium 24hr, anna could only imagine a comfortable nights sleep without frequent heartburn waking her up. Now, that dream. Is her reality. Nexium 24hr stops acid before it starts, for allday, allnight protection. Can you imagine 24 hours without heartburn . To all the businesses make it through 2020. Thank you for going the extra mile. And for the extra pump of caramel. Thank you for the good food. And the good karma. Thank you for all the deliveries. Especially this one. Youve reminded us that no matter what, we can always find a way to bounce forward. So thank you, to our customers and to businesses everywhere, from all of us at comcast business. Thats it. Im calling kohler about their walkin bath. [ sigh ] not gonna happen. My name is ken. How may i help you . Hi, im calling about kohlers walkin bath. Excellent happy to help. Huh . Hold one moment please. [ finger snaps ] hmm. The kohler walkin bath features an extrawide opening and a low stepin at three inches, which is 25 to 60 lower than some leading competitors. The bath fills and drains quickly, while the heated seat soothes your back, neck and shoulders. Kohler is an expert in bathing, so you can count on a deep soaking experience. Are you seeing this . The kohler walkin bath comes with fully adjustable hydrotherapy jets and our exclusive bubblemassage. Everything is installed in as little as a day by a kohlercertified installer. And its made by kohler americas leading plumbing brand. We need this bath. Yes. Yes you do. A kohler walkin bath provides independence with peace of mind. Call to receive 1,000 off your kohler walkin bath. And right now were offering no payments for 18 months. Wannits timeight and for aerotrainer. A more effective total body fitness solution. announcer aerotrainers ergodynamic design and four patented air chambers create maximum muscle activation for better results in less time. It allows for over 20 exercises. Do the aerotrainer super crunch, push ups, aero squat. It inflates in 30 seconds. Aerotrainer is tested to support over 500 pounds. Lose weight, look great, and be healthy. Go to aerotrainer. Com. Thats aero trainer. Com. Jack creating a smart, simple plan for Retirement Savings is actually not that hard. But its also ooze su to undermine by making some common missteps. This weeks barrons has a story about common errors. Ben, im going to start with you. It is so tempting to try to outsmart the market by timing your buying and selling, but that rarely works out well. Yeah, no, its a big mistake. You know, you look around and you see these u e if pos that are doubling on their first day of trading or hear about the spacs that carlton was talking about, and its like, oh, ive got to get into these. But if youre chasing these kinds of things, chances are you going to lose money. Its a cliche, but what really matters is time in the market, not timing the market. You want to put money in every month and let it compound over time. And if you do the speck la tu bets, youre almost guaranteed to lose, and youre not going to be able to compound. Its just a horrible mistake. Jack that said, you have been a professional trader, so you dont think its crazy to buy individual securities and so forth. 9 give us some ground rules for somebody who wants to do that. Its one of those things where if you want to trade, you need to set aside a certain amount of money that you know the you can afford to lose and use that as your trading money. And you want to be methodical about it, keep track of what you make and what you lose and what works and what doesnt and try to treat it as you would anything else that youre putting your money into. Its not really a game. But it can be done. You justed need to do it very carefully, not with a lot of money. Jack and i think its important to be honest with yourself, youve got to do the math. You kind of forget about the losers, but if you keep careful track, you can compare yourself to the s p 500 and see if you can really beat it. Jack, keep those frictional costs from low to zero. Tell us how that is. Yeah. If youre wondering how much to pay in your 401 k account on fees, i think you should aim for zero. You cant quite get there, but you can come close. A good s p 500 fund will cost, you know, maybe a tenth of a percent or less in fees. And an s p 500 fund gives you kind of a lot. You get every different industry in there, you get some real estate, you get some gold miners, you get some International Diversification because u. S. Companies do business overseas. I saw this analysis by vanguard, and they say if youre paying 2 in your fees of your retirement over 25 years, that can cost you 40 of the money you otherwise would have had at theowned of that 25 years. I would end hope no one is paying close to 2 , personally, a fund manager would have to walk on water to get me to pay even 1 . But if you have a fund manager that you really love and that you want to pay up for, i would just say keep a core of cheap index funds to try to average those fees lower and is have a little bit with those money managers. Jack, thrift is sexy, okay . [laughter] if Warren Buffett hasnt said that yet, he should have. Jack hey, jack howe said it. That is all that i need. Carlton, lets talk about, wow, i am scared the market goes up, it goes down, i want to put all my money in cash. Whew shouldnt i do that . Well, you know, cash is also sexes city, but i think people who hoard cash, its almost the other side of the coin. At lot of times people system at the bottom, they think theyll know the right moment to be in the markets and, of course, they miss that. Understandably, you know, when you go through a time in march, a lot of people will reevaluate their portfolios, and it might make sense to hold a little bit more cash, what do i need over the next suggestion months, and in six months, but what you dont want to do is really radically change your Portfolio Allocation where youre taking, like, you know, 0, 20 or more cash holding thats not earning anything on the upside. Jack people tend to be scared about headlines of the market plummeting, and it does happen. Youre going to have paper losses. But what they dont understand is that holding cash for all of your Retirement Savings, you are guaranteed to lose purchasing power. A dollar today is going to be worth a lot less 10, 20 years from now. Up next, round table members at tmobile, we believe you should get more. Thats why weve merged with sprint. Now its about to get even better. And as we work to integrate sprints network, our nationwide 5g keeps getting stronger. With the capacity and coverage to reach more people and places across the country. Who says you cant have it all. Now is the time for 5g. Now is the time to join tmobile. Jack jack, i think in the current environment everybody thinks an ipo is something where you put in one dollar, and you get two back that afternoon. But, in fact, its a way for companies to raise money, and they left a lot of money on the table this week. Youre not really supposed to get these big, you know, firstday pops in the share price. And people are paying attention to this. In the first half of this year,en companies that did u e po ipos underpriced their deals by an average of 30 . Here comes doordash, airbnb, they needed a special type of ipo designed to get investors to say how much theyre willing to pay. They walked away with about half the money they could have. I was talking with a colleague earlier, it rhymes with ben. He i thinks Companies Might do Something Like this on purpose because they keep a lot of shares, they want to see that enthusiasm for the shares they might want to sell later. I think it might be difficult to tell in a frothy market, youve got to hold your finger up. I the those i think they thought or people were about this nuts right now. [laughter] jack i think ben is really on to something here, so much so, im going to give him first crack. Qualcomm. It lost 7 on friday after apple said it would build its own cellular modem. We knew this was coming. Qualcomm has other things going for it including 5g and increases in smartphone volumes, so its looking pretty interesting here. Jack yeah, its really interesting, i think qualcomm will have some customers in the future. Carlton, what are you looking at . Im looking at ralph lauren. Now, ive got to admit, i dont know if im looking at the clothes or the stock. Retail is under pressure now, but its a company that got two analyst upgrades this week. Basically, theyre saying, you know, a strong balance sheet, strong brand identity, strong move to online, so its one that could be interesting as the i economy recovers we start dressing up again. [laughter] jack jack, carlton, ben, thanks very much. To rad more, check out this weeks edition at barrons. Com. Dont forget to follow us on twitter barrons online. We will see you next week male announcer coming up next on leading the way. Dr. Michael youssef many in the church of jesus christ have been infected by the spirit of discontentment, and disgruntlement, and complaining. God can be extremely patient with ungrateful people. Keep on trusting, keep on believing, keep on thanking him, and god will empower you and begin to truly develop the attitude of gratitude. Announcer coming up next. Female announcer visit ltw. Org today to grow in your relationship with christ. Log on and strengthen your faith as you watch or listen