so what actually is the great reset well the great reset as it stands right now is a proposal for all
world leaders and countries to dramatically alter and shift aka reset their economic philosophies
towards a one united global economy while that sounds great in theory right we're using words
like unite and global let's actually break it down and actually see it for what it really is
hey what's going on guys this is Daniel one half of the Kwak Brothers and well last video we talked
about the great reset but we really didn't talk about the specifics what it actually is
we talked about a lot of general aspects and kind of my thoughts to it but in this video
we're going to be talking about the three main components on what the great reset actually is
straight from the world economic forums article we're also going to talk about the housing market
and also how do we not just as real estate investors but investors in general how do we
respond how do we respond to all the stuff that's happening with the economic current landscape
and also how do we respond to a potential great reset initiative happening in 2021 so without
further ado let's go ahead and get right into it so here are the three main components of the great
reset and guys i'm actually reading it straight out of the article from the world economic forum
here's component number one the first would steer the market towards fairer outcomes to this
end governments should improve coordination for example tax regulatory and fiscal policy upgrade
trade arrangements and create the conditions for a stakeholder economy at the time of diminishing
tax bases and soaring public debt governments have a powerful incentive to pursue such action
moreover governments should implement long overdue reforms that promote more equitable outcomes
depending on the country these may include changes to wealth taxes the withdrawal of fossil fuel
subsidies and new rule governing intellectual property trade and competition so here's kind
of my thoughts and breakdown on what we just read in the first component so guys i mentioned
this in the last video that i believe in equal opportunity as opposed to equal outcome equal
outcome is dang near impossible to create because well think about the differences that people have
in today's economy right it pretty much just means that the guy who's working 14 hours a
day to create value for his community and provide a better living is going to make the same amount
as the guy who chooses to sit on his couch all day and just watch the prices right while eating honey
bon bons right nothing against bon bons but let's be real guys that situation is not necessarily
the fairest equation right it's not the most fair scenario and well as i mentioned in the last video
i mean this is textbook communism where everybody gets the same amount of money aka equal outcomes
and i don't know if you notice but in the first proponent and the first component of the great
reset that fairer outcome is mentioned twice right first it said in the first sentence more towards
fair outcome and then in the second paragraph where it says equitable outcomes that promote
more equitable quote-unquote outcomes the more outcomes seems to come up a lot right and another
aspect that i want to point out in the first right it says in tax regulatory and fiscal policies well
what does that mean right well fiscal policy is government spending right as opposed to monetary
policies with more with you know the federal and regulatory well that's regulatory with governments
laying out regulations on the private sector such as private companies that provide value for the
world and also our local economy so all this is pretty much predicated on what i said last week
as well which is pretty much that the government doesn't own anything right they're pretty much the
great reset initiative is to encourage government to not only regulate the private sector regulate
people like me and you hard-working americans but also to regulate and tax more frequently
people like me and you again the hard-working americans so they're looking to increase tax and
again repeating last week's video the government does not own anything everything that they own
is pretty much what they stole and i'm gonna use that word stole for a very good reason from people
like me and you from the private sector okay let's move on to the components number two and
components number three all right so according to the article again reading straight from the world
economic forum proponent number two is that the second component of a great reset agenda
would ensure that investments advanced shared goals such as equality and sustainability the
third and final priority of the great reset agenda is to harness the innovations of the fourth
industrial revolution to support the public good so again we're using a lot of great words like you
know unity and the public good and harness but let's actually break down what it actually is
and here are my thoughts on that so what they're saying is pretty much stripping us of our right
and liberty to be able to start businesses and create wealth for ourselves i mean it's
pretty simple right when we read word for word what it says in the components right ensure
that investments advance share goals such as equality and sustainability which pretty much
means that they're wanting to regulate and control everything that we invest our money into right
because well that's just the narrative right because what if you said well i want to invest
into real estate right and i want to be able to have rental properties so that you know
my family can have cash flow so i could help mitigate my time and all the any reasons that
anybody would want to invest into anything whether it's stocks real estate bonds mutual funds
you name it they can go well it's very easy it's not it's not supporting the public good right as
in their words it's not uh it's not sharing equality and sustainability right there's no
advancement of our shared goals so you can't do that however you can invest into this thing
which by the way uh does you no good and actually ends up helping us and it gives us more control
and it helps quote-unquote everybody and it's better for the public good which leads me to
component number three right which for word it's the third and final priority of the great reset
agenda is to harness the innovations of the fourth industrial revolution to support the public good
again using the narrative of the public good to gain control of the private sector and
our wealth and your wealth and pretty much what it is and they're using this narrative of hey all
your debts are going to be paid off right whether it's student loans whether it's credit card debt
whether whatever it is right we're gonna take care of that debt for you well guess what guys
if if you control the debt right if you own the debt of somebody else guess what happens you own
that person you control that person right it's everywhere whether it be the bible whether it be
you know common economic loss if you control the debt of something you control that person
you control that investment and that's something that we cannot forget we always have to have that
in the back of our minds okay so here's what i got out of point number three right point number three
being harnessing the innovations of the fourth industrial revolution so here's my thought and
takeaway from point number three i think this pretty much means the deprivatizing or heavily
regulating and controlling every industry pretty much in the world right it takes power away from
the people because well let's take a look at what capitalism looks like right now right and guys
obviously at this point you know that i'm a big fan of capitalism let's look at how capitalism
works right you have a company whether it be public or private and whether it be public or
private you have shareholders being involved in that company now they are either public
shareholders or private shareholders well guess what guys those shareholders are shareholders
because they have buy-in right whether it's they bought the shares through capital through money
or they put in sweat equity meaning they put in time which i believe is the more valuable
currency they put in the time and their sweat equity to be a shareholder and those shareholders
are then in part make the decisions they all have a voice because they have a buy-in in that company
well under the great reset agenda the government and the overall public have influence and control
over that company as opposed to the shareholders well i have a big problem with that because well
the government and the public should not have any influence or control over that business as opposed
to the shareholders who bought in and also put their time effort sweat tears money you name it
into succeeding that business and into making that business great right in my opinion
those people who are bought in should have more of a say an influence and have control
over that business because they're the ones who invested into it as opposed to the government
and the public my second thought and breakdown of point number three and component number three
of the great reset is that time and time again history has shown us that the private sector
outperforms the public sector in almost every single category of getting something done
whatever industry you choose so for example let's go ahead and look at the space industry so let's
go to compare apples to apples an organization called nasa that's been around for 62 years and
it's a government organization it's a government entity government funded government everything
and let's compare it to a company called spacex right which is founded by one of my favorite
entrepreneurs elon musk and it is obviously a privately held company so i got some facts and
figures for you guys here so between 1960 and 1973 nasa the government organization spent 28
billion developing the rockets adjusted for inflation today that equals to 288.1
billion dollars however on the other hand of the spectrum the falcon 9 created by spacex costs 50
million to build and it's also a reusable rocket which by the way nasa never figured out in their
62 years of existence and not only that spacex also has initiatives to use their technology
and resources to help with the world's greatest problems one of those being climate change so
even in the space industry if you compare nasa compared to spacex apples to apples you'll see
that spacex not only created their rockets much more efficiently and they also had significantly
better research findings in terms of being able to have a reusable rocket but they also did it at
literally a fraction of the cost and also fraction of the labor and fraction of the
resources not to mention that they're using their resources and technology to help with the world's
greatest problems such as energy climate change you name it so we just covered in detail the
three main components of the great reset and we talked a little bit more about what it is
but well how does this affect us right how does this affect us as investors and what's going to
happen moving forward well in theory right and i'm not going to say just to speculate but i think
this is genuinely true if there was ever a time right to initiate something like the great reset
or the new world order if there was ever a time to do it if you really think about it now is kind
of the perfect time to do it i mean think about where we're at now right especially with housing
and the economy let's start with retail right so as of mid july 2020 14 500 stores were closed
just in this year as of mid july 2020. actually coresight goes as far as to project over 25 000
store closing to happen before the end of 2020. now guys obviously this leads to a lot of things
it leads to a lot of defaults and delinquencies with commercial mortgages it also leads to a lot
of commercial mortgage-backed securities failing along with reits and other real estate funds that
rely on the returns of retail hotels you name it stores everything in general now for retailers
that haven't closed as of mid-november existing retailers have already racked up approximately 52
billion dollars guys in this rent 52 billion dollars in missed rent as of mid-november
2020 now again guys that's stores that haven't closed that's not counting the 14 500 stores
that have already closed as of mid july you're talking about the stores that are surviving right
now there's 52 billion dollars in this rent and of course having said that bankruptcies are expected
to skyrocket as we lead into 2021. now let's look at the rental industry including single-family
houses and multi-family rentals now guys this data is according to the aspen institute here we go
pre-covered and this study was done in 2018 20.8 million renter households which represents 47.5
of all rental households in the united states were already rental costs burdened meaning
that more than 30 percent of their household income was going towards their rent and guys like
i said this affordable housing crisis was already happening before the pandemic it was already
happening and this merely just accelerated right let's move on when the pandemic began 10.9 million
renter households which represent 25 of all rental households in the united states were spending over
50 percent over half of their household income on rent each month now guys presently mom and
pop landlords which are not institutional landlords right not big real estate companies
or big royalty firms or big real estate funds they own mom and pop owned 22.7 million rental
units out of the 48.5 million available rental units in the united states that's representing 47
of all rental units well guess what guys out of those 22.7 million rental units owned by mom and
pop right again this is 47 of all rental units 58 of those individuals of those mom-and-pop
landlords do not have access to any line of credit or liquidity cash to help them through
any instances or any crisis that's going to happen with eviction now guys keep in mind that evictions
cost significantly more for landlords than they do tenants right as a landlord i don't want to do
you know i don't want to evict a tenant that's the last resort for me right because i got to pay
um you know the cost of eviction i got to pay legal fees i got to pay uh what's known as a
turnover cost which means that all the stuff that i have to do as a landlord to get a tenant out
and move another tenant in right i have to redo the carpet clean the place i got to pay for all
these things it costs a lot more for a landlord to evict somebody than it does a tenant a landlord
does not want to go through that but obviously right now it looks to be inevitable right okay
let's move on with the data okay and expected 1.3 million american households uh are to be behind
on rent and they're expected to owe 7.2 billion dollars total by the end of 2020. now guys here's
a statistic that affects everyone according to yahoo finance about 5.8 million adults say
that they are somewhat too likely to face eviction or foreclosure in the next two months
according to a survey completed on november 9th by the u.s census bureau that accounts for a third of
the 17.8 million adults in households that are behind on rent or mortgage payments meaning that
for all those individuals that are behind on rent or mortgage payments which is 17.8 million adults
in households um one-third right one-third is expected to face eviction or foreclosure
in the next two months guys that's just the next two months so what does this all mean right where
do we go as investors you guys have just heard me talk about doom and gloom facts and data and well
as this is all true i'm sure you guys are asking the question at this point well daniel what does
that all mean right where do we go what are our next action steps where should we invest into well
guys let me give you my thoughts and opinions by saying that throughout my days of research i have
found that the most historically stable thing to invest into are tangible assets right well what
does tangible assets mean well tangible assets is something that you can actually feel touch and you
know it's not going to go away because at the end of the day what are bonds stocks mutual funds well
i think they're just pieces of paper they're a bunch of letters on a screen and one of the things
i love about investing in real estate is that well it's an actual building you can go to the building
and touch it right there's bricks and mortar the tenants are real you can touch the grass
right on the property and best of all it's giving you cash flow off of something that is a human
need which is a roof over our head right it's shelter we all need shelter and the building
itself is tangible well having said that real estate investing being the primary tangible asset
ever since the beginning of mankind right ever since the first person rented out their first cave
whatever that means there's two ways to go about investing in real estate you can either do it
passively or you can either do it actively now for those of you guys that are interested in investing
passively guys i actually constructed and created a free training it's a free ebook it's very short
it's only about nine pages long on how to properly passively invest in real estate without being hurt
and also mitigating your risk i want you guys to check out the link in the description again
it's completely free it's my gift to you happy holidays merry christmas whatever you say happy
kwanzaa hanukkah whatever you want to celebrate right but from me to you merry christmas right
it's a free gift on how to invest passively in real estate now the second way to do it is
invest actively now guys for those of you guys that want to do it yourself you want to get your
own rental properties you want to invest in real estate yourself i've actually took the pleasure of
writing a 290 page book titled zero to 75 units in one year how myself my brother and my team
went from zero to 75 rental units all in one year it's 290 pages of case studies techniques stories
uh everything pretty much that i did to go from zero to 75 rental units in one year the best part
of all guys the book is absolutely free all you guys gotta do is just go to zero to 75 units.com
the link is also in the description below and you guys will get the book all you gotta do is just
pay for shipping so again it's my gift to you so again happy holidays merry christmas and of course
as my friend alex jones will say don't forget to like this video share it with your friends
and also subscribe to our youtube channel at the clock brothers i'll see you guys in the next one