Business
ON THE MONEY: When it comes to assets, it’s all about preparation
WAVE NEWSPAPERS — It’s worth noting that on a per capita basis, more Americans became millionaires after the Great Depression than any other time in history
By John L. Grace
About four years before the 2000-02 “tech wreck” where the NASDAQ dropped 80 percent, according to Yahoo Finance, former Federal Reserve chairman Alan Greenspan warned of “irrational exuberance” at a dinner speech.
In an interview with CNN Dec. 17, Greenspan said, “It would be very surprising to see [markets] sort of stabilize here and then take off.”
Greenspan went on to say leading stock indexes may have a little upside left. But that’s only going to make the inevitable drop more painful. So, “at the end of that run, run for cover,” he said.
Now I don’t know if Greenspan is correct, nor do I offer an opinion as to how much time there might be before a major downturn. But I do know that no one needs to foresee the future to prepare for it.
Who told us in 2007 that credit default swaps and sub-prime mortgages could ruin the world as we knew it? So if no one told you about the last crisis, who do you think will alert you in advance of the next one?
Nearly half (48.6 percent) of chief financial officers in the U.S. believe this country will be in recession by the end of next year, according to the Duke University/CFO Global Business Outlook survey released on Dec. 12. The Duke survey also found that 82 percent of CFOs believe that a recession will begin by the end of 2020.
It seems like just a minute ago the CFOs were embracing the mistaken notion that this country could enjoy 4 percent gross domestic product growth. We’ve been saying for some time now what former Fed Reserve Chair Janet Yellen said that, “quite high” levels of corporate debt are “a danger.”
Yellen is absolutely correct with her observation, “High levels of corporate leverage could prolong the downturn and lead to lots of bankruptcies,” she said on CNBC, Dec. 10.
According to me, it’s not about the prediction, it’s all about the preparation. We put far more emphasis on the work necessary to keep client assets intact than attempting to predict what might happen or when it might happen.
I was asked to speak to 100 of my peers recently. I started by asking, how do you think that two-story white house in Mexico Beach, Florida survived Hurricane Michael?
The first answer was, “It was God,” and the second answer offered was, “It’s a miracle.”
I said you can believe what you want to believe, but the third response is the correct answer, “They built it for the big one.”
The point I was making is that just as most houses are built in the same pattern, most portfolios are going to do the same thing at the same time. Like ordinary houses after a Category 4 hurricane, assets could be devastated.
As we see one of the few houses left standing after Hurricane Michael, I did everything I could to inspire my colleagues to approach the task as those homeowners did.
“It’s the first house that either one of us had ever built,” said Dr. Lebron Lackey, one of the homeowners.
The house was built with concrete walls. The foundation included 40-foot pilings. Rebar was placed through all of the walls to increase stability. The additions added about 15 to 20 percent more expense than usual.
In the investment world, cost is king. The lower the cost the better. But that answer addresses a different question. To “run for cover” by keeping your assets intact begin by determining how much loss you can accept. Followed by how active management strategies can be applied on behalf of your personalized goals.
Then look to see what asset classes outside of cash, bonds and stocks can be added to your portfolio. I count eight asset classes at Yale Endowment, for example. A stool with eight legs is simply stronger than a two- or three-legged stool to hold up the weight. Even in a hurricane.
When it comes to cost, it is often the case that you get what you pay for.
Suppose the CFOs are wrong about the severity and the timing. Just suppose it’s not another recession around the corner, because it could turn out to be a worldwide Great Depression II.
Something astrophysicist Michio Kaku said at a 2014 conference I attended should have happened 10 years ago. Act as if another depression is in the cards. If it doesn’t happen, who cares? If it does happen, prepared investors may be able to take advantage of opportunities they never saw coming.
It’s worth noting that on a per capita basis, more Americans became millionaires after the Great Depression than any other time in history. As I wrote just before Thanksgiving: Be thankful for cash. And get ready. Winter is coming.
John L. Grace is president of Investor’s Advantage Corp, a Los Angeles-area financial planning firm that has been helping investors manage wealth and prepare for a more prosperous future since 1979.
His On the Money column runs monthly in The Wave.
Activism
Big Picture Living Day
Through their global network of nearly 300 schools, Big Picture Learning activates their core initiatives by encouraging 6 healthy habits of proper nutrition, movement, healthy relationships, managing stress, adequate sleep and avoiding substances of risks.

By Carla Thomas
On Friday, June 2 Big Picture Lving Day will be celebrated with a series of virtual events designed to improve the life of participants. Through a virtual network of schools and organizations the event will feature speakers on health, wellness, mindfulness, exercise, and overcoming challenges.
Participants will practice Yoga & Mindfulness with Dawn M. Rivers.
Dr. Marsha-Gail Davis will discuss lifestyle medicine and healthy practices, and BPL alumni former advisor Chef Bree reunites with former principal Danique “Dr. DD” Dolly and a few of their former students will discuss health and lifestyle changes.
Big Picture Learning Day was created by
Big Picture Learning, an organization of progressive learning concepts centered around the belief that all students can and should live lives of their own design, supported by caring mentors and equitable opportunities to achieve their greatest potential.
Through their global network of nearly 300 schools, Big Picture Learning activates their core initiatives by encouraging 6 healthy habits of proper nutrition, movement, healthy relationships, managing stress, adequate sleep and avoiding substances of risks.
Co-founded by Elliott Washor a veteran educational leader in Rhode Island, BPL grew out of a passion for students and improving the concept of learning.
“We just had this fierce desire to evolve our educational system to one that puts students at the center of their own learning with mentors, time immersed in the community and not evaluated solely on standardized tests,” said Washor.
“The entire Big Picture Learning experience is personalized to each student’s interests, talents and needs beyond mere academic work and involves looking at each student holistically.”
Former BPL principal, Danique Dolly says, “There are youth and adults in schools and organizations throughout the nation practicing the 6 healthy habits and speaking up on it. People have created rooms and spaces that focus on relaxation and meditation. Many adults and youth are taking steps towards wellness, a total lifestyle change and health and wellness are a part of students learning goals just as English and math are.”
“With BPLiving Day we invite all to get up, get out and get living and to do something around health and wellness,” said Dolly.
For students Jasmine Poirier and Angel Feliz and educator Andrew Coburn BPL has been life changing.
“Through collaborative physical movement, nutrition education and eating healthy together and various group activities for relaxation and mental health support, many are finding ways to live healthier and happier,” said Colburn. “For Big Picture Living Day we’re celebrating lifelong healthy habits for teens and the communities around them. BPL Day is a celebration of all the progress we have made.”
“Whether it is in my school campus or through a zoom call with people all across the world, BPLiving has an ability to bring people together to share wellness habits with each other,” said Feliz.
“Through spreading the principles of BPLiving into the everyday academic learning of my peers, I have seen them improve the quality of their lives physically, mentally and emotionally,” said Poirier. “By reestablishing sports culture with school-wide volleyball and capture the flag tournaments, students have been able to connect with each other across different grade levels, become more physically active and take a break from our everyday learning.”
In Oakland at MetWest, a BPL school in Oakland, the garden is run by parents and students. The garden serves as the foundation for nutritional learning and generational collaboration.
Today, Big Picture Learning network schools can be found in over 80 schools in 28 states, and hundreds more around the world.
For more information visit BigPicture.org
Activism
Oakland Post: Week of May 31 = June 6, 2023
The printed Weekly Edition of the Oakland Post: Week of May 31 = June 6, 2023

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Activism
Community Opposes High Rise Development That Threatens Geoffrey’s Inner Circle
City Council chambers were full for the May 17 Planning Commission hearing, and almost all the 40 speakers who had signed up to make presentations talked about the importance of the Inner Circle as part of Oakland and Geoffrey Pete as a stalwart community and business leader who has served the city for decades.

By Ken Epstein
An outpouring of community supporters – young, old, jazz lovers, environmentalists and committed Oakland partisans – spoke out at a recent Planning Commission hearing to support Geoffrey Pete and his cultural center – The Inner Circle – an historic Oakland landmark whose future is threatened by a proposed skyscraper that out-of-town-developer Tidewater Capital wants to build in the midst of the city’s Black Arts Movement and Business District (BAMBD).
City Council chambers were full for the May 17 Planning Commission hearing, and almost all the 40 speakers who had signed up to make presentations talked about the importance of the Inner Circle as part of Oakland and Geoffrey Pete as a stalwart community and business leader who has served the city for decades.
The speakers argued passionately and persuasively, winning the sympathy of the commissioners, but were ultimately unsuccessful as the Commission unanimously approved the high-rise to be built either as a residential building or office tower on Franklin Street directly behind Geoffrey’s building.
Mr. Pete has said he would appeal the decision to the City Council. He has 10 days after the hearing to file an appeal on the office building. His appeal on the residential tower has already been submitted.
Mr. Pete said the Planning Department still has not published the boundaries of the BAMBD. “Tidewater’s applications and subsequent applications should not be approved until the Planning Department fully acknowledges the existence of the BAMBD,” he said.
“This (proposed) building poses a grave danger to the historic (Inner Circle) building next to it, arguably Oakland’s most meaningful historic building,” Pete said.
“We’re here to advocate for what’s best for the African American district and community that has gotten no representation, no advocacy, as of yet,” he said. “The (commission) is guilty, the City of Oakland is guilty, and Tidewater is guilty.”
One of the first speakers was Gwendolyn Traylor, known as Lady SunRise, who directly addressed the developers.
“With all due to respect to your business, it’s not a need of this community. I would like to ask you to reconsider the location …What is being (promised) here does not add to the healing of this community,” she said.
Naomi Schiff of the Oakland Heritage Alliance emphasized that Geoffrey’s Inner Circle is a treasure of Oakland’s history.
“Our first concern is the integrity of the historic district, in particular the former Athenian-Nile Club, now Mr. Pete’s equally historic venue, which has been the location of a great number of important community events,” she said. “It would not be OK with us if the integrity of the building were damaged in any way, no matter how much insurance (the developer bought) because it is very difficult to repair a historic building once it’s damaged.”
The Inner Circle was previously owned and operated by the Athenian-Nile Club, one of the Bay Area’s largest all-white-male exclusive private membership club, where politicians and power brokers closed back-room deals over handshakes and three martini lunches.
Cephus “Uncle Bobby X” Johnson pointed out that commissioners and the city’s Planning Department have “acknowledged that you went through the entire design review process without even knowing that the Black Arts Movement and Business District existed.”
The district was created in 2016 by City Council resolution. “At the heart of the opposition to this building is the desire to further the legacy of local Black entertainment and entrepreneurship exemplified by businesses like Mr. Pete’s … a historical landmark and venue (that serves) thousands of people who listen to jazz and other entertainment and hold weddings, receptions, and memorial services,” said Uncle Bobby.
This development is taking place within a context in which the “Black population in Oakland has decreased rapidly … because of the city’s concentration on building houses that are not affordable for people who currently live in Oakland,” he said.
John Dalrymple of East Bay Residents for Responsible Development said, “This project will result in significant air quality, public health, noise, and traffic impacts. He said the city has not adequately studied the (unmitigated) impacts of this project on the Black Arts Movement and Business District.
“This project is an example of what developers are being allowed to do when they don’t have to follow the law, and they don’t have to be sensitive to our city’s culture and values,” he said. The commission should “send a signal today that we will no longer be a feeding ground for the rich.”
Prominent Oakland businessman Ray Bobbitt told commissioners, “Any decision that you make is a contribution to the systemic process that creates a disproportionate impact on Black people. Please do yourself a favor, (and) rethink this scenario. Give Mr. Pete, who is a leader in our community, an opportunity to set the framework before you make any decision.”
Though the City Council created the BAMBD, the 2016 resolution was never implemented. The district was created to “highlight, celebrate, preserve and support the contributions of Oakland’s Black artists and business owners and the corridor as a place central historically and currently to Oakland’s Black artists and Black-owned businesses.”
The district was intended to promote Black arts, political movements, enterprises, and culture in the area, and to bring in resources through grants and other funding.
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