The Rational Reminder Podcast

Епизоди

• 
  The Finances of Marriage | #426 10.09.2026 1ч 8мин

  In this episode, Ben Felix, Dan Bortolotti, and Ben Wilson take a research-driven look at the finances of marriage, from spending personalities and prenuptial agreements to wedding costs, joint accounts, financial infidelity, and household decision-making. The conversation explores how the way couples think about and manage money can affect both financial outcomes and relationship satisfaction.   We unpack the difference between being frugal and being a "tightwad," why tightwads and spendthrifts may be drawn to each other despite having more conflict later, and how simply understanding your partner's spending tendencies can improve financial conversations. We also examine the case for prenups, the role of optimism bias in avoiding them, and how couples can use legal agreements to deliberately design their financial arrangements.   The discussion then turns to wedding spending, including the marketing forces behind engagement-ring conventions and research linking higher spending on rings and weddings with greater divorce risk in some samples. Finally, we look at the evidence for managing money jointly, the risks of financial infidelity, and why both partners should be involved in household financial decisions. The central theme throughout is simple: couples tend to be better served when they approach their finances as a team and communicate openly.   The Tightwad-Spendthrift Scale Quiz — https://umich.qualtrics.com/jfe/form/SV_55xxAQrYK0WRlY2 Sources — https://zbib.org/e8fec478786b4176b5011418f27a3fa4    Key Points From This Episode: (0:01:00) Why who you marry can be one of the most consequential financial decisions of your life. (0:04:24) Why marriage changes both the emotional and legal nature of a couple's financial relationship. (0:07:53) Tightwads vs. spendthrifts: the psychology of the "anticipatory pain of paying." (0:09:52) Why spending personality has little to do with how much money someone actually spends. (0:11:34) How understanding your spending tendencies can be useful alongside traditional financial risk questionnaires. (0:15:42) Why some people struggle to spend money even when they clearly have the financial capacity to do so. (0:17:09) How upbringing, identity, and social comparison can influence attitudes toward spending. (0:18:20) Why tightwads and spendthrifts are more likely to marry each other—and why those differences can create conflict later. (0:21:14) How recognizing different spending tendencies can create healthier conversations and compromises. (0:23:14) Prenups and marriage contracts: understanding the legal "default" before deciding whether to create your own arrangement. (0:24:04) Why optimism bias and the negative signaling associated with prenups can make them difficult for couples to discuss. (0:26:51) Why a prenup may be particularly relevant when partners enter a marriage with substantially different levels of wealth. (0:29:54) How couples can use a prenuptial agreement to deliberately design financial arrangements around their circumstances and future needs. (0:31:08) The origins of the "two months' salary" engagement-ring convention and the marketing of diamonds. (0:32:54) Research on wedding spending, engagement rings, and divorce risk. (0:35:55) Why wedding planning can become an early test of how couples handle financial differences. (0:37:49) Why more wedding guests and having a honeymoon were associated with longer marriages in the study discussed. (0:38:44) The evidence for managing finances together—and why joint accounts may not be the only way to do it. (0:42:04) How different spending personalities might influence whether couples prefer joint or separate accounts. (0:45:10) Why couples should establish clear expectations around significant purchases. (0:45:31) Financial infidelity: what it means to hide financial behavior you expect your partner would disapprove of. (0:47:46) Why financial decision-making should involve both partners rather than defaulting to one "financial spouse." (0:52:19) Gender norms, financial confidence, and differences in how spouses participate in investment and planning decisions. (0:54:57) Why involving the less financially engaged spouse can bring different—and valuable—perspectives to household planning. (0:56:09) The importance of financial continuity if the spouse who manages the finances dies or experiences cognitive decline. (0:58:21) The common thread across the research: approach household finances as a team and keep communication open. (0:59:52) The return of the after show, including listener reviews and a discussion of feedback on a recent special episode. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  The Ethics Problem in Financial Services (Dr. Moira Somers & Philippa Hann) | #425 03.09.2026 1ч 23мин

  In this episode, we're joined by Philippa Hann and Dr. Moira Somers, co-authors of The Fault Lines of Finance: Understanding and Preventing Financial Misconduct, for a deep dive into why good people can do bad things with other people's money. Philippa brings two decades of experience suing financial advisors, wealth managers, and banks, while Moira brings her expertise as a clinical neuropsychologist working with financial professionals, families, and the human side of money.   We explore the psychology and systems that can allow financial misconduct to happen, from financial stress, incentives, and information asymmetry to workplace culture, poor training, exhaustion, and the pressure to please. Philippa and Moira explain why ethical behavior is not simply about knowing right from wrong, and why developing "ethical health" requires understanding your own vulnerabilities, building a moral operating system, and having people you can turn to when doing the right thing becomes difficult.   We also discuss how investors can evaluate financial professionals, why complexity and exciting financial products deserve extra scrutiny, the role of regulators and insurers, and why financial sophistication doesn't necessarily protect people from being exploited. Along the way, Philippa and Moira share case studies illustrating ethical drift, confirmation bias, and the ways seemingly small decisions can compound into serious misconduct. The conversation ultimately makes the case for moral humility, strong relationships, healthy organizational cultures, and the willingness to tolerate discomfort when something doesn't feel right.   Key Points From This Episode: (0:00:00) Introduction. (0:02:02) What financial misconduct means and why "other people's money" matters. (0:02:35) Philippa's 20 years in litigation and the core question: why do good people do bad things?  (0:05:02) Moving beyond harm prevention toward promoting positive change in financial services.  (0:07:36) Why financial services are especially vulnerable: access, incentives, and opportunity. (0:09:40) Information inequality and extraordinary client trust in advisors. (0:11:15) Even sophisticated investors can fail to ask critical questions. (0:11:57) Misconduct isn't simply "good vs. bad people." (0:12:45) How systems, incentives, and culture can draw well-intentioned people into misconduct. (0:17:40) Ethical drift: how innocent mistakes can escalate into lying and misconduct. (0:19:05) Building a personal "moral operating system" to prepare for dilemmas.  (0:20:00) Identifying vulnerabilities: people-pleasing, exhaustion, dependence, conflict avoidance. (0:21:00) Journaling, defining non-negotiables, and developing ethical self-awareness. (0:25:22) Importance of trusted people who can challenge your thinking. (0:27:13) Personal strengths (confidence, ambition) can become vulnerabilities. (0:28:38) Systems and culture can enable misconduct or make ethics easier (0:30:10) Organizations must make it safe to surface mistakes. (0:34:43) Developing "ethical health" alongside physical and mental health. (0:40:15) Ethics requires more than knowing the right answer—it requires character and motivation. (0:44:29) Why traditional ethics training often fails in real-world dilemmas.  (1:14:11) The moral operating system as an actionable framework for behavioral ethics. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  50 Years of Evidence-Based Investing (w/ David Booth) | #424 27.08.2026 1ч 5мин

  In this episode, we welcome back David Booth, Co-Founder of Dimensional Fund Advisors and author of Stay Calm: Learn to Embrace Uncertainty in Investing and Life. David reflects on his remarkable career at the center of the evidence-based investing revolution, from studying under Eugene Fama at the University of Chicago to helping build investment strategies around decades of financial research.   We explore what the data revealed about markets and professional money management, why implementation matters as much as great ideas, and how investors can make better decisions without trying to predict the unpredictable. David also shares his views on trust, financial advice, public versus private markets, human ingenuity, and the meaning of true wealth. Along the way, he explains why staying calm, having a process, and staying invested can matter far more than finding the next winning forecast.   Key Points From This Episode: (0:00:04) Introducing David Booth and his new book, Stay Calm: Learn to Embrace Uncertainty in Investing and Life. (0:01:15) What David learned as a commission-based shoe salesman: Do the right thing and be upfront with people. (0:03:35) The gift of being an outsider and how financial science changed the investing experience for ordinary investors. (0:05:38) Why outsiders are often willing to challenge assumptions—and how data changed the debate. (0:06:53) David's experience arriving at the University of Chicago and studying under Eugene Fama. (0:07:49) Inside Chicago's rigorous research culture and the lessons David learned from presenting his work. (0:10:03) The empirical challenge behind efficient markets and why data mattered more than beliefs. (0:11:41) How Fama and French approach research by trying to prove their own conclusions wrong. (0:12:05) The two-fish joke and the challenge of understanding the environment we are immersed in. (0:12:45) How Jim Lorie and Lawrence Fisher helped provide the historical market data that transformed financial research. (0:14:18) From early mutual fund research to the question that shaped David's career: What should investors do if managers cannot consistently outguess the market? (0:20:59) Why Dimensional distinguishes between passive investing and indexing. (0:23:21) The origins of Dimensional's approach to small-cap investing and the importance of execution. (0:24:45) Why David would rather be an investor today than in 1971. (0:26:21) Jensen's alpha, risk-adjusted returns, and what Michael Jensen's research revealed about professional money managers. (0:28:30) Why implementation is everything—and why models are tools for making decisions under uncertainty. (0:33:47) Why the most important thing about an investment philosophy is having one you can stick with. (0:35:46) Why David sees education as an antidote to fear and wants investors to feel more optimistic about investing. (0:36:18) Human ingenuity as the foundation of David's optimism about markets. (0:37:53) Why trust is the ultimate product in the investment business. (0:39:40) Why understanding the science alone is not enough—and how advisors can help investors stay invested. (0:40:23) What David's art collection has taught him about non-monetary returns and true worth. (0:43:07) Why a good financial plan is a process built around trade-offs, flexibility, and adaptation. (0:45:22) The problem with fixed goals and why David thinks many goals are inherently fuzzy. (0:46:34) How David distinguishes between forecasts, wishes, and worries. (0:49:44) How investors can identify and tune out noise by focusing on how markets work over the long term. (0:51:30) David's unfiltered perspective on private markets, transparency, price discovery, and liquidity. (0:52:38) Why true wealth begins with values, family, and the things that matter beyond money. (0:54:57) What winning means when wealth includes both monetary and non-monetary rewards. (0:55:39) Why David describes optimism as science-based hope. (0:57:33) What Stay Calm means to David: Make decisions aligned with your values, build a process, and trust that you can deal with whatever comes your way. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  The Future of AI in the Workplace | Special Episode (Mike Sullivan and Vinay Gidwaney) 25.08.2026 1ч 23мин

  In this special episode, we are joined by Mike Sullivan, Co-Founder and Chief Growth Officer at OneDigital, and Vinay Gidwaney, OneDigital's Chief Product Officer, to discuss their new book, Workforce Intelligence: The People-First Playbook for Leading Your Company Through AI Transformation. Together, they offer a practical, pro-human framework for navigating a future where artificial intelligence becomes deeply embedded in how organizations operate.   We explore why leaders should focus on tasks rather than headcount, how AI can amplify uniquely human capabilities, and why companies may need to rethink how they manage their workforce. Mike and Vinay explain their concepts of reducible and irreducible skills, AI coworkers, workforce intelligence, collaborative AI use, and the importance of building an organizational intelligence layer. They also share practical lessons from OneDigital's own AI transformation—including why leadership activation, trust, reskilling, and a partnership between technical and non-technical leaders are essential.   This conversation offers an alternative to the prevailing narrative of AI-driven job elimination. Instead, it asks a bigger question: if AI can take on more of the work we currently do, what might humans become capable of doing next?   Key Points From This Episode: (0:00:00) Highlights. (0:00:25) Introduction. (0:01:23) Why AI adoption affects employers, employees, and financial markets—and why the conversation is relevant far beyond technology. (0:02:27) Two possible paths for companies: replacing people with AI or using AI to amplify human capabilities. (0:03:53) How PWL is already using AI to help financial planners and portfolio managers work more strategically and serve clients better. (0:06:22) Mike and Vinay's five-year partnership around deploying AI inside OneDigital. (0:09:07) The "radiating red dot": Why Mike's analysis suggested that up to 25% of OneDigital's workforce could be disrupted by AI. (0:11:09) "See faces, not headcount": The decision to pursue transformation by amplifying people rather than simply reducing jobs. (0:12:19) Why Mike and Vinay felt a responsibility to offer a more practical, human-first narrative about AI and work. (0:13:40) Vinay's realization that widespread access to AI makes human differentiation even more important. (0:17:22) Mike's first experience with an AI coworker—and the endless possibilities it unlocked for curiosity and exploration. (0:18:22) Human intelligence versus artificial intelligence: Why AI's greatest value may be its ability to help people think differently. (0:22:19) Why the future of work should be analyzed at the task level rather than through predictions about jobs disappearing. (0:23:58) The coming reskilling challenge—and why the allocation of work between AI and humans needs to be more deliberate. (0:25:12) Why Vinay believes companies that discard their human talent could lose their most important competitive differentiation. (0:26:30) Why AI transformation should be viewed as a "movie, not a snapshot," with work continually being reshaped. (0:28:10) What "workforce intelligence" means: Managing the combined intelligence of human talent and AI talent. (0:30:07) Why Mike and Vinay believe HR—not just IT—must play a central role in leading the transition to a blended workforce. (0:31:54) Reducible versus irreducible skills: Letting AI handle work that can be broken into processes while humans spend more time on judgment, experience, and other "squishy" capabilities. (0:34:10) Applying the framework to financial planning: AI for modeling and information processing, humans for judgment, relationships, and helping clients navigate life decisions. (0:37:00) How AI can reduce meeting preparation from hours to minutes while generating insights that would otherwise be missed. (0:37:48) The importance of trust and communication as employees try to understand what AI means for their future. (0:39:53) The Workforce Intelligence score: Treating AI as talent and measuring the evolving mix of human and AI work. (0:42:09) Transactional versus collaborative AI use—and why collaboration can be more amplifying for both people and organizations. (0:45:40) Why companies need agency over their AI systems and should think carefully about intelligence lock-in. (0:48:47) Codifying organizational intelligence: Building systems where human expertise improves AI, which in turn helps humans become more capable. (0:50:24) What it means to become "activated" by AI—and how using AI as a coach and teacher can expand human potential. (0:52:44) Ambient AI: Systems that continuously observe information and surface patterns when human judgment is needed. (0:54:11) The Charlotte-Denver redundancy and the challenge of making the best organizational intelligence available to everyone. (0:57:26) OneDigital's five-tier fluency model for developing AI capabilities across employees, advanced users, managers, and builders. (1:00:13) Why democratized software development creates a new governance challenge—and how AI may help manage it. (1:00:54) Why OneDigital gives AI coworkers names, faces, profiles, skill sets, and human managers. (1:04:01) Mike's belief in the dignity of work—and why employers need to approach the AI transition with humanity and care. (1:06:53) Vinay's belief in human potential and why the goal should be to expand what people are capable of doing. (1:08:56) Why organizations should avoid measuring AI success solely through cost cutting and instead consider human amplification. (1:12:41) The four questions for Monday morning: Turning big ideas about AI transformation into practical actions leaders can take immediately. (1:13:55) Why AI transformation needs leadership from the top and a partnership between someone who understands technology and someone who deeply understands the business. (1:15:40) Leadership activation: Why organizations are unlikely to change until their leaders personally experience how AI can transform their own work. (1:17:44) What we still don't know about AI—and why the guests believe we are still in the very early innings of this transformation. (1:18:55) The three-minute-mile analogy: AI may optimize human minds in ways we cannot yet imagine. (1:20:00) A final call for a pro-humanity, blended workforce—and the need to move faster in adapting to what AI makes possible.   Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  The Biggest Myths in Personal Finance 20.08.2026 1ч 13мин

  In this episode, Ben Felix and Dan Bortolotti take on 10 of the biggest myths in personal finance and investing. From the idea that young people should save every possible dollar to benefit from compounding, to assumptions about economic growth, dividends, index funds, valuation ratios, stock picking, bonds, gold, and homeownership, they examine the subtle details that can make  conventional wisdom misleading.   Ben and Dan explore why personal finance is often about balance rather than absolute rules, why spending decisions can be just as important as saving decisions, and how investors can confuse familiar stories with useful financial principles. Along the way, they discuss consumption smoothing, marginal utility, total returns, diversification, valuation, risk, inflation, and the trade-offs between renting and owning.   They also announce a new podcast initiative: future episodes featuring PWL clients discussing their experiences and the impact that financial planning has had on their lives.   Key Points From This Episode: (0:00:00) Highlights. (0:00:35) Ben and Dan return to the podcast and discuss recording from PWL's Montreal office. (0:01:09) A new podcast initiative: PWL clients will join future episodes to discuss their experiences with financial planning. (0:01:43) A new podcast initiative: PWL clients will join future episodes to discuss their experiences with financial planning. (0:02:18) How greater clarity about their finances can affect clients' important life decisions. (0:05:30) Introducing the main topic: 10 of the biggest myths in personal finance. (0:06:24) Myth #1: You should save as much as possible when you're young to maximize the benefits of compounding. (0:08:54) Why the marginal utility of consumption may be highest when income and living standards are comparatively low. (0:11:26) How health, skills, and experiences can also compound over time. (0:12:31) Why aggressive saving habits can sometimes lead to an inability to spend accumulated wealth. (0:13:37) Helping retirees identify what they actually enjoy spending money on. (0:15:35) Why spending and saving decisions can become emotionally charged and feel irreversible. (0:17:30) Saving as deferred consumption—and why the answer for most people is some balance between spending now and saving for later. (0:18:50) The life-cycle model and the idea of smoothing consumption across a lifetime. (0:20:23) Building a saving habit while also learning to spend thoughtfully. (0:21:09) Myth #2: Economic growth is good for stock returns. (0:21:30) Why economic headlines can influence investor psychology and investment decisions. (0:25:12) Why strong economic growth does not necessarily translate into strong stock returns. (0:25:12) Myth #3: Dividends explain a large percentage of historical stock market returns. (0:27:52) Why the source of a company's return does not make one component inherently more valuable than another. (0:30:57) Myth #4: Index funds only give investors average returns. (0:30:57) Why an index fund can outperform most active investors. (0:33:14) The difference between average performance and the performance of the average investor. (0:36:31) Myth #5: Future market returns are always low when the Shiller CAPE ratio is above 40. (0:36:31) What the Shiller cyclically adjusted price-to-earnings ratio measures. (0:41:25) Why valuation can contain information about expected returns without providing certainty about what markets will do next. (0:43:24) Myth #6: Warren Buffett proves that investors can beat the stock market by picking stocks. (0:43:24) Buffett's extraordinary career, the importance of his early performance, and the difficulty of using exceptional outcomes as a general strategy. (0:46:17) Myth #7: Bonds and cash are safe investments. (0:46:17) Why reducing stock exposure does not eliminate investment risk. (0:50:03) The distinction between short-term volatility and other risks, including inflation and purchasing-power risk. (0:53:59) Myth #8: Gold is an inflation hedge. (0:53:59) Why gold's long-term preservation of purchasing power does not necessarily make it a reliable hedge over intermediate periods. (0:56:28) Myth #9: Gold is the one true currency. (0:56:28) The long-running debate over what money is and who should control it. (1:00:42) Myth #10: Renting a home is throwing money away. (1:00:42) Why paying rent provides housing while allowing renters to retain capital for other purposes. (1:08:04) Why simple rules of thumb can sometimes be useful even when they are not financially optimal in every situation. (1:09:52) Wrapping up the 10 myths in personal finance.   Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  80 Years of Financial Knowledge in 53 Minutes | #422 (Bill Bernstein) 13.08.2026 53мин

  In this episode, we welcome back William Bernstein to discuss the final book of his longtime friend Jonathan Clements, Money and Me. Bill reflects on Jonathan's ideas about spending, happiness, retirement, investing, inheritance, and the psychology of financial decision-making, while sharing personal stories that bring those ideas to life.   We explore why material purchases often lose their appeal quickly, why autonomy can be one of the best things money can buy, and how worrying about money can be a greater problem than spending it. Bill also discusses the four horsemen of financial disaster—inflation, deflation, confiscation, and destruction—why diversification matters, and why investors should be skeptical of assumptions about future returns and market forecasts.   The conversation also examines what it means to "win the game" financially, why retirement should be thought of as a verb rather than a destination, and the three foundations of well-being: connection, competence, and autonomy. Bill shares Jonathan's approach to teaching children about money, the concept of "Omega" as a way to think about spending versus saving, and why the people around us can have an enormous influence on our expectations and consumption.   Key Points From This Episode: (4:56) Why success can contain the seeds of its own destruction—and the role of competition, organizational hubris, and luck. (6:15) Why dynastic wealth is so difficult to preserve across generations. (8:28) A hierarchy of spending: material purchases, experiences, autonomy, and the relief from worrying about money. (10:54) Why some people continue worrying about money no matter how much they have. (11:44) Why we are poor at predicting what purchases and lifestyle changes will actually make us happy. (13:36) How to pressure-test large purchases by considering their downsides and their effect on your time. (14:20) Why the happiness generated by spending does not necessarily scale with the price of a purchase. (15:21) The importance of gratitude and savoring small pleasures. (16:39) The four horsemen of financial apocalypse: inflation, deflation, confiscation, and destruction. (18:15) Why inflation is the financial risk Bill focuses on—and how investors can blunt its effects. (19:26) Why relatively inexpensive international markets can still offer optimism for long-term investors. (21:02) Jonathan Clements' "investment sin": slightly overbalancing when rebalancing. (22:04) What it means to have "won the game" financially. (24:36) Why a TIPS ladder or annuity can help defuse retirement spending needs. (25:19) Why the math of financial planning often fails to account for human psychology. (27:21) Why diversification matters when bad returns arrive at the same time as bad circumstances. (28:20) The challenge of variable spending in retirement. (29:10) Why retirement should be a verb—and why simply stopping work can leave people searching for meaning. (30:00) The three foundations of happiness: connection, competence, and autonomy. (32:03) Investment assumptions people should avoid, including confusing great companies with great stocks. (33:10) Why eloquence can be an alarm bell when evaluating financial forecasts. (34:18) Jonathan's three-pronged strategy for getting more out of your money: pause before making important decisions. (35:01) How to audit your past spending to identify what actually made you happy. (37:11) Hedonic versus eudaimonic happiness—and why life satisfaction can outlast momentary pleasure. (39:05) Why enjoying your work can be more valuable than maximizing your salary. (40:56) A different perspective on FIRE: working less and doing work you enjoy rather than simply retiring early. (41:37) Why giving money to children while you're alive can be more useful than leaving it as an inheritance. (42:29) How parents teach children about money by modeling their own spending behavior. (44:13) Jonathan's practical approach to teaching children about spending and saving. (44:49) The "Omega" concept: avoiding both YOLO spending and dying as the richest person in the graveyard. (46:26) How social comparisons influence spending and expectations. (48:54) Why rising markets can encourage investors to take on more risk. (49:06) How recency and the availability heuristic shape investment beliefs. (49:46) Bill's favorite memories of Jonathan and his remarkable outlook while facing a terminal diagnosis. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  Barry Ritholtz: "90% of financial products are crap" | #421 06.08.2026 1ч 28мин

  Barry Ritholtz returns to the Rational Reminder podcast to discuss the biggest mistakes investors make—and why avoiding them may matter more than finding the next great investment. Drawing on decades of experience in markets, wealth management, and financial media, Barry explains why forecasting consistently fails, how investors can distinguish good advice from noise, and why humility, probabilistic thinking, and disciplined behavior are among the most valuable investing skills.   Throughout the conversation, Barry shares lessons from his new book, How Not to Invest, covering everything from media consumption and behavioral biases to index investing, portfolio concentration, market cycles, and choosing a financial advisor. He explains why experts are often better at providing context than making predictions, why social media amplifies poor financial advice, and how investors can build processes that help them stay disciplined through uncertainty. The discussion blends academic research, practical experience, and memorable stories into a comprehensive guide for becoming a better long-term investor.   Key Points From This Episode: (0:04) Cameron and Ben welcome Barry Ritholtz back to the podcast and discuss his new book, How Not to Invest. (4:12) Why successful billionaires often make poor economic forecasters and how the halo effect leads people to overestimate expertise. (6:39) Why Wall Street professionals are generally poor at forecasting future market returns despite their domain expertise. (7:42) What experts are actually good at: providing context, historical perspective, and nuanced analysis rather than predicting the future. (8:47) Barry's checklist for identifying bad financial advice, including emotional appeals, false certainty, and conflicts of interest. (10:35) How social media algorithms reward outrage and overconfidence instead of thoughtful investing. (11:21) Why 24/7 financial news encourages unnecessary action that often hurts long-term investment returns. (12:17) Why long-term investors are often better off ignoring financial news altogether. (13:52) How short-form financial content on platforms like TikTok encourages misinformation and poor investing decisions. (15:22) Gell-Mann Amnesia and why investors should remain skeptical even of trusted news sources. (18:00) How reading books, consuming long-form content, and building a trusted information network improves decision making. (20:21) Barry's definition of investing as making probabilistic decisions with imperfect information in an unknowable world. (22:55) How successful investors focus on controlling savings, asset allocation, discipline, and behavior instead of unpredictable events. (24:52) Why recognizing the limits of your own knowledge is one of investing's greatest advantages. (26:30) How experience, losses, and continuous learning help investors become more self-aware. (27:16) Three ideas that heavily influence Barry's investment philosophy: Sturgeon's Law, George Box's models, and William Goldman's "Nobody knows anything." (30:18) Whether artificial intelligence changes Sturgeon's Law that "90% of everything is crap." (31:46) Three forms of economic innumeracy that lead investors astray: denominator blindness, survivorship bias, and misunderstanding compounding. (36:04) Why understanding secular bull and bear markets is useful psychologically—but not as a timing strategy. (39:12) Why investors should understand market cycles without attempting to trade around them. (40:44) What stock valuations can—and cannot—tell investors about future returns. (42:18) How investors should respond to wars, pandemics, and other major external events. (45:53) The biggest investing lessons from the COVID-19 market crash and why personal experience often differs from market performance. (49:04) Why index investing remains one of the most reliable approaches to long-term wealth creation. (50:44) Why every market forecast should be expressed probabilistically rather than with certainty. (52:06) The lies traders tell themselves and why disciplined risk management separates successful professionals. (56:11) What active investors need if they hope to consistently outperform. (57:24) The biggest behavioral mistakes investors make, including lack of planning, excessive concentration, and ignoring taxes. (59:43) Why concentrated stock positions become dangerous—even after creating substantial wealth. (1:02:33) How sudden wealth and large financial windfalls frequently lead to costly mistakes. (1:05:14) How to identify trustworthy financial advisors by evaluating their process, temperament, and communication. (1:07:27) Why advisors who consistently communicate their thinking help investors avoid emotional mistakes. (1:09:26) Barry's practical blueprint for becoming a better long-term investor: create a plan, invest consistently, define the purpose of money, and build around a diversified index portfolio. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  Answering Your Financial Questions | #420 30.07.2026 1ч 35мин

  In this Ask Me Anything episode, Ben Felix, Ben Wilson, and Louai Bibi tackle a wide-ranging collection of listener questions spanning investing, retirement, family finance, and financial planning. Along the way, they combine academic research, practical experience, and thoughtful discussion to separate evidence-based decisions from intuition.   The conversation explores everything from teaching children healthy money habits and the long-term behavioral challenges of value investing to sequence of returns risk, retirement spending strategies, and global portfolio construction. The episode concludes with an in-depth discussion of Louai Bibi's National Financial Planning Award-winning financial plan, highlighting the importance of holistic advice, evidence-based planning, and continuous improvement through client feedback.   Key Points From This Episode: (00:00:00) Introduction (0:05:30) Advice for aspiring financial planners: Building skills, credentials, networks, and mentorship early in your career. (0:07:35) Why young advisors should be "a sponge" and learn from both good and bad professional experiences. (0:09:41) Ben Felix on completing the CFA, CIM, and CFP early—and why creating content accelerated his learning. (0:11:51) Why getting large numbers of client-facing "reps" can dramatically improve an advisor's ability to communicate advice. (0:15:44) Choosing the right firm, team, and mentors—and how networking helped Ben Felix ultimately join PWL. (0:18:53) Should a young physician borrow from a professional line of credit to invest? (0:24:55) Robert Merton's perspective on leverage for young investors and the risks of implementing leverage through margin borrowing. (0:28:21) Why the psychological experience of investing borrowed money can be very different from owning an unleveraged portfolio. (0:30:35) How much leverage is needed before it meaningfully changes a long-term financial plan. (0:31:36) Should investors increase their equity allocation before considering leverage? (0:33:39) Louai's experience working with physicians and why becoming debt-free can change how people feel about borrowing to invest. (0:36:00) Louai and Ben Felix share their own experiences with leverage. (0:36:59) How to teach children about money, scarcity, saving, generosity, and spending. (0:38:26) Ben Wilson's approach: Save 50%, give 10%, and let his kids decide what to do with the remaining 40%. (0:40:02) Using wealth for memorable family experiences rather than simply giving children more money. (0:42:51) Why anticipating an experience can be an important part of the enjoyment it creates. (0:43:42) Is the value premium worth the behavioral challenge of potentially enduring years of underperformance? (0:44:11) Ben Felix explains why the difficulty of sticking with value may itself contribute to the premium. (0:45:47) Can having a sufficiently large portfolio eliminate sequence-of-returns concerns? (0:49:41) Reframing "sequence of returns" as "sequence of withdrawals"—and why flexible spending matters. (0:51:21) Separating retirement expenses into fixed needs and flexible spending. (0:52:47) The purchases that have delivered the best personal ROI for Ben, Ben, and Louai. (0:53:08) Ben Felix on his indoor basketball hoop, family travel, sauna, and prepared meal delivery. (0:56:56) Ben Wilson on family vacations, skiing, cycling, and why his family chose a pool over a cottage or boat. (0:58:27) Louai on his 49-inch monitor, his dog, and investing in health and fitness. (1:00:42) How should investors geographically weight a global small-cap value portfolio? (1:05:13) Why a globally diversified portfolio that an investor can actually stick with matters more than finding a theoretically perfect country allocation. (1:07:19) What should investors approaching retirement or FIRE do about sequence-of-returns risk? (1:09:00) Research comparing declining, rising, and static equity allocations during retirement. (1:13:38) Why risk tolerance, time horizon, spending needs, and financial-plan resilience should drive retirement asset allocation. (1:15:07) The National Financial Planning Awards, the judging process, and the sponsorship conflict disclosure surrounding Louai's award. (1:18:37) Inside Louai's 47-page award-winning financial plan and the range of planning issues it addressed. (1:20:06) What Louai believes actually distinguished the submission: Not one clever strategy, but a holistic decision-making process. (1:21:39) Why Louai sought feedback from planners outside PWL and how the award process can improve the broader team. (1:23:26) Why Louai believes financial-planning knowledge and feedback should be shared rather than "gatekept." (1:23:56) How feedback from the Rational Reminder community changed Louai's thinking about investment risk. (1:24:40) Why defining risk purely as short-term volatility can overlook the bigger risk of failing to achieve financial goals. (1:27:59) How public feedback through the podcast creates a powerful learning loop for the PWL team. (1:28:29) A PWL client review on the value of planning, professional experience, and advice that puts the client's interests first. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  The State of Retirement Research | #419 (Jean-Pierre Aubry) 23.07.2026 1ч 1мин

  In this episode, we are joined by Jean-Pierre Aubry, Associate Director of Retirement Plans and Finance at the Center for Retirement Research at Boston College, for a research-driven conversation about retirement investing, financial advice, pension fund management, and inflation. Drawing from years of empirical research, Jean-Pierre shares insights into how households actually invest, how financial advisors shape portfolio decisions, and why investors often hold asset allocations that differ from their own stated preferences.   We also examine the investment strategies of public pension plans, why their increasing reliance on alternative assets has largely failed to deliver superior performance, and the institutional forces driving those decisions. Finally, Jean-Pierre explains how inflation disproportionately affects retirees, why many households overreact during inflationary periods, and why understanding retirement risks—from market volatility to sequence of returns—is critical for long-term financial security.   Key Points From This Episode: (0:06) Introduction to Jean-Pierre Aubry and the Center for Retirement Research at Boston College. (6:29) The Center's mission: producing objective, accessible retirement policy research. (7:03) Why investors' actual stock allocations are higher than their stated ideal allocations. (9:31) Defaults and target-date funds may explain the gap between desired and actual portfolios. (10:46) Investors tend to underestimate long-term stock returns and overestimate market risk. (11:22) Financial advisors generally encourage higher equity allocations by reducing investor pessimism. (12:06) How advisor compensation can create incentives to recommend higher stock exposure. (13:42) Research showing advisor recommendations vary more across advisors than across client profiles. (16:56) The "advisor fixed effect": advisors largely recommend portfolios consistent with their own philosophy. (18:57) Why working with an advisor often leads investors to hold more equities. (20:26) How target-date funds work and why auto-enrollment is reshaping retirement investing. (22:57) Why advisors and target-date funds are generally improving retirement security. (23:57) The evolution of public pension investing from bonds to equities and then alternative assets. (30:12) The growing influence of consultants and peer effects on public pension investment decisions. (31:14) Why pension plans with greater allocations to alternatives have generally underperformed peers. (32:23) Comparing public pension performance against a simple 60/40 index benchmark. (36:43) Whether indexing may be a better long-term solution for public pension investing. (39:35) Concerns about adding private assets to default retirement plan options. (40:15) Maintaining objectivity while researching politically sensitive retirement issues. (42:58) Why investment policy remains the "final frontier" for improving public pension systems. (46:45) Why retirees are especially vulnerable to inflation. (50:06) How inflation affects retirees differently across age and wealth levels. (51:52) Why households tend to overspend during inflationary periods. (53:38) How financial advisors adjust recommendations when inflation and interest rates rise. (54:11) Why inflation ultimately reduces retirement security for many households. (54:42) Which retirees face the greatest market risk. (55:35) Why most retirees have little understanding of sequence of returns risk. (55:56) Advisors understand sequence risk, but that knowledge doesn't appear to transfer to clients. (57:23) Why declining equity exposure over time remains the canonical life-cycle investing approach. (58:25) Jean-Pierre's definition of success: purpose, meaningful relationships, and financial security. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  "I Sold 50% of My Portfolio. What Now?" | #418 (AMA) 16.07.2026 1ч 5мин

  In this AMA episode, Ben Felix, Dan Bortolotti, and Ben Wilson tackle a wide range of practical investing questions submitted by listeners. They begin by discussing one of the most common investing mistakes—market timing—and explain why getting back into the market is often harder than getting out. From there, they explore the evidence behind lump sum investing versus dollar-cost averaging, why high valuations rarely justify sitting in cash, and how your discomfort with investing may reveal a mismatch between your portfolio and your true risk tolerance.   The conversation also pulls back the curtain on PWL Capital's investment committee, detailing how new investment products are evaluated, how due diligence is conducted, and why even seemingly simple index funds require ongoing scrutiny. They then examine whether any recent Canadian ETF innovations are genuinely useful, discuss retirement-focused T-Series asset allocation ETFs, debate whether gamified trading creates opportunities for active management, and respond to questions about inflation, currency debasement, and the real drivers of long-term stock returns. As always, the episode closes with a lighter listener question before reading a review from the audience. Key Points From This Episode: (0:04) Introduction and why AMA episodes continue to resonate with listeners. (0:55) A listener asks how to reinvest after selling half their portfolio over bubble concerns. (2:00) Why successful market timing requires being right twice. (3:04) Why all-time market highs are normal and poor signals for investment decisions. (4:00) What market valuations can—and cannot—tell us about future returns. (5:00) The evidence comparing lump sum investing with dollar-cost averaging. (6:34) Why even the worst historical entry points rarely favor dollar-cost averaging. (9:07) How investment anxiety often points to an overly aggressive asset allocation. (11:37) The psychology of buying after market crashes and why investors rarely do. (13:20) Why the best strategy is often whichever gets you invested and keeps you there. (16:14) A behind-the-scenes look at PWL Capital's investment committee. (17:23) How new securities are researched, reviewed, and approved. (19:10) How acquisitions have changed the firm's investment oversight process. (20:15) Annual due diligence on ETF providers and fund managers. (21:55) Why even plain-vanilla index funds require performance monitoring. (25:17) Are there any genuinely innovative new Canadian ETFs? (26:27) Why most ETF innovation is driven by investor demand rather than better investing. (28:19) Avantis ETFs and discount bond ETFs as notable recent developments. (33:52) Why ETF issuers tend to launch products after investment themes become popular. (33:52) Where investors should spend their planning time when wealth is still relatively small. (35:00) Why growing human capital often has a greater impact than optimizing investments. (37:59) Budgeting, saving, and account selection early in an investing journey. (39:14) BMO's new T-Series asset allocation ETFs and how they generate retirement income. (41:56) Understanding managed distributions and return of capital. (44:08) Why these retirement ETFs may suit DIY investors but not every retiree. (48:31) Whether gamified trading and meme stocks create opportunities for active managers. (50:08) What the evidence says about active management in small-cap growth stocks. (53:39) Why market competition limits persistent opportunities from retail speculation. (53:39) Do stocks only rise because governments debase currencies? (55:59) Inflation measurement, currency debasement, and common misconceptions. (58:10) Why productive businesses—not money printing alone—drive long-term stock returns. (59:53) Ben answers a listener's basketball shoe question. (1:02:02) A listener review from Switzerland and closing remarks. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Dollar Cost Averaging vs Lump Sum Investing - https://pwlcapital.com/wp-content/uploads/2024/08/Dollar-Cost-Averaging-vs-Lump-Sum-Investing.pdf Buy The Dip - https://pwlcapital.com/wp-content/uploads/2024/08/PWL-Felix-Warwick-Buy-The-Dip_A.pdf   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  A Financial Plan For Your Entire Life | #417 (Dr. Paul Kaplan) 09.07.2026 1ч

  In this episode, we are joined by Dr. Paul Kaplan, economist, CFA charterholder, former Director of Research at Morningstar Canada, and co-author of Lifetime Financial Advice, for a fascinating exploration of life cycle finance. Drawing on decades of research in economics, portfolio construction, and asset allocation, Paul explains how financial planning should be grounded in optimizing lifetime consumption rather than relying on disconnected rules of thumb.   We explore how life cycle finance integrates consumption, saving, investing, and retirement spending into a single framework, why risk tolerance and risk capacity are fundamentally different concepts, and how human capital should be treated as part of an investor's balance sheet. Paul also walks through the life cycle model he and Tom Idzorek developed, explains why traditional retirement rules like the 4% rule lack theoretical foundations, and demonstrates an open-source spreadsheet that allows anyone to experiment with the model for themselves. This conversation brings together economics, portfolio theory, and financial planning into a practical framework for making better lifetime financial decisions.   Key Points From This Episode: (0:04) Introduction to Dr. Paul Kaplan and the topic of life cycle finance. (4:38) What life cycle finance is and why consumption smoothing is its central objective. (5:20) How life cycle models optimize saving, investing, retirement spending, insurance, and annuities. (6:36) Linking life cycle finance with Harry Markowitz's mean-variance optimization. (8:38) Why consumption—not wealth accumulation—is the true focus of financial planning. (9:56) The concept of an economic balance sheet: financial assets, human capital, liabilities, and net worth. (10:59) Holistic investor profiling beyond traditional risk tolerance questionnaires. (13:23) Why risk tolerance and risk capacity should never be combined into a single score. (16:48) Assessing the risk characteristics of human capital. (17:36) Applying utility theory behind the scenes in financial planning software. (19:15) Sample profiling questions that measure lifetime consumption preferences. (20:54) Why maximizing lifetime utility ultimately means optimizing consumption. (22:55) How preferences, needs, and circumstances shape lifetime financial plans. (24:13) The primary outputs of a life cycle model: consumption and asset allocation. (25:01) The roles of life insurance and annuities in lifetime financial planning. (27:44) How uncertain investment returns influence both spending and asset allocation. (28:19) Why longevity assumptions are critical in retirement planning. (29:37) Simplifying complex life cycle optimization into practical formulas. (30:27) Why life cycle finance challenges rules of thumb like the 4% withdrawal rule. (31:12) Flexible retirement spending versus fixed withdrawal strategies. (34:01) Why consumption should be treated as an output rather than an input. (36:05) The importance of asset location and after-tax portfolio construction. (37:04) Why asset allocation and asset location should be solved simultaneously. (38:19) Harry Markowitz on why asset allocation became the foundation of modern investing. (40:06) The need for financial planning software built on life cycle theory. (41:55) A walkthrough of Paul's open-source life cycle finance spreadsheet. (46:58) Understanding economic balance sheets and asset mix visualizations. (49:17) Which investor characteristics have the greatest influence on optimal asset allocation. (50:52) Why Nobel Prize-winning life cycle finance research has yet to become mainstream practice. (51:37) The evolving role of financial advisors in helping clients make rational financial decisions. (52:50) How Paul's own investment philosophy emphasizes indexing and asset allocation. (54:13) Factor investing, popularity theory, and connecting behavioral finance with asset pricing. (56:42) Paul's definition of success: applying first principles with rigor and integrity throughout his career. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Dr. Paul Kaplan: https://www.paulkaplan.com/  Lifetime Financial Advice (CFA Institute Research Foundation): Lifetime Financial Advice| Research Foundation  Life Cycle Finance Spreadsheet (Paul Kaplan's website): https://www.paulkaplan.com/lifetime-financial-advice  *Disclosure: Links to third-party materials are provided for your convenience and do not constitute an endorsement or recommendation of the products or services offered therein. Frontiers of Modern Asset Allocation (Wiley): https://www.wiley.com/en-us/Frontiers+of+Modern+Asset+Allocation-p-9781118029689  Popularity: A Bridge Between Classical and Behavioral Finance (CFA Institute Research Foundation): https://rpc.cfainstitute.org/research/foundation/2021/popularity-a-bridge-between-classical-and-behavioral-finance   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  Is VEQT Costing You? (& Other Questions) | #416 02.07.2026 58мин

  In this AMA episode, Benjamin Felix, Dan Bortolotti, and Ben Wilson tackle a wide range of listener questions covering portfolio construction, diversification, active management, pensions, fiduciary duty, and short-term investing decisions. They examine whether breaking apart all-in-one ETFs is worth the complexity, why global diversification remains the default despite long stretches of underperformance, and how investors should think about risk when they have defined benefit pensions or short-term financial goals. Along the way, they discuss the limits of active management, why simplicity often beats optimization, and even reveal their favorite board games. Key Points From This Episode: (0:01:12) Whether investors should replace asset allocation ETFs with individual component ETFs to save on management fees.  (0:01:40) Why simplicity has real economic value—and how small fee savings compare to behavioral costs.  (0:05:38) Portfolio drift, rebalancing discipline, and the hidden costs of managing multiple ETFs.  (0:06:08) How recent fee reductions narrowed the cost gap between VEQT and its component funds.  (0:06:51) When using individual ETF components may make sense for larger portfolios or asset location strategies.  (0:11:16) The hosts share their favorite board games—and why poker has surprising parallels to investing.  (0:15:01) What true diversification actually means beyond simply owning the S&P 500.  (0:16:07) Why the global market portfolio remains the logical starting point for most investors.  (0:19:46) Addressing claims that modern index funds have become "too concentrated."  (0:21:52) Why active managers tend to lose their edge as assets under management grow.  (0:22:15) Diminishing returns to scale and the efficient market for manager skill.  (0:27:03) How defined benefit pensions should factor into portfolio construction and risk capacity.  (0:33:53) Understanding fiduciary duty for Canadian portfolio managers and financial advisors.  (0:37:17) Why publicly holding yourself out as a fiduciary carries legal and ethical implications.  (0:39:22) Can individual investors outperform active funds by picking stocks themselves?  (0:42:32) Why time, effort, and research alone rarely translate into market-beating performance.  (0:45:04) Why international stocks have lagged U.S. equities—and why diversification still matters.  (0:47:10) The role of valuation expansion in explaining decades of U.S. outperformance.  (0:50:05) How to invest money earmarked for a home down payment over a three-to-five-year horizon.  (0:53:31) Applying the same time-horizon framework to RESP investing and education savings. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  Shannon Lee Simmons: How To Stop Feeling Broke | #415 25.06.2026 1ч 19мин

  In this episode, we are joined by Shannon Lee Simmons—Certified Financial Planner, Chartered Investment Manager, bestselling author, and founder of the New School of Finance—for a wide-ranging conversation about the emotional side of money. Drawing on more than two decades of working directly with Canadians, Shannon explains why financial stress has become so pervasive, how social comparison shapes spending habits, and why a well-built financial plan can be one of the most powerful antidotes to money anxiety. We also explore decision-making during financial crises, the psychology of regret, why traditional budgeting often fails, and how couples navigate money differently—particularly in retirement. Shannon shares practical frameworks for aligning spending with personal values, avoiding emotional financial mistakes, and helping households make confident decisions through life's biggest transitions. Key Points From This Episode: (0:03:56) Why people worry about money—and why financial uncertainty often feels like uncertainty about life itself. (0:04:24) Why so many middle- and upper-income Canadians still feel broke despite earning good incomes. (0:05:18) The importance of having a financial plan and reducing harmful social comparison. (0:06:55) How social media fuels overspending, comparison, and "financial dysmorphia." (0:08:35) Why cashless spending has fundamentally changed our relationship with money. (0:11:52) How perceived life milestones—especially home ownership—shape financial decisions and expectations. (0:13:36) Practical ways to manage financial stress, restore confidence, and build resilience. (0:15:55) The growing "spending arms race" and how rising expectations have redefined what's considered normal. (0:18:09) Why Shannon dislikes traditional budgeting—and what to do instead. (0:20:32) Her four-bucket framework for worry-free spending and maintaining financial flexibility. (0:22:35) A practical test for deciding whether a large purchase is truly affordable. (0:25:01) Aligning spending decisions with personal values using an "emotional return on investment." (0:28:12) Helping couples navigate different financial priorities without turning disagreements into conflict. (0:30:28) Separating good decisions from bad outcomes to overcome financial regret. (0:33:48) The major financial decision crises people commonly face—from divorce to illness to retirement. (0:35:16) Using "micro financial plans," guardrails, and scenario planning during periods of uncertainty. (0:37:45) The three phases of a financial decision crisis and how planners can help through each stage. (0:41:41) Why retirement often reveals differences in couples' relationships with money that never surfaced while saving. (0:45:19) The psychological challenge of withdrawing from investment portfolios after decades of accumulation. (0:46:41) Using cash wedges and realistic retirement projections to reduce anxiety around spending in retirement. (0:49:42) How saver-versus-spender dynamics can evolve into power struggles during retirement. (0:53:12) The question almost every client is really asking: "Am I going to be okay?" (0:54:41) Why planners should ask about clients' hidden DIY investment accounts. (0:56:21) The risks of becoming emotionally attached to concentrated investment gains. (0:57:16) The most impactful parts of a financial plan: realistic spending projections and actionable next steps. (0:58:25) How often financial plans should be updated—and when life events require immediate revisions. (1:01:08) Who benefits most from fee-only planning and who may be better served with ongoing advice. (1:07:00) Why implementation—not recommendations—is often the hardest part of financial planning. (1:10:00) The strengths and trade-offs of fee-only planning versus assets-under-management advice models. (1:15:05) Shannon's advice for improving financial well-being: build a plan, focus on your own values, and stop comparing yourself to everyone else.   Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Shannon Lee Simmons – https://shannonleesimmons.com/  New School of Finance – https://www.newschooloffinance.com/  Worry-Free Money – https://www.amazon.ca/Worry-Free-Money-guilt-free-approach-managing/dp/1443454451  Making Bank: Money Skills for Real Life – https://www.amazon.ca/Making-Bank-Money-Skills-Real/dp/1443469815    Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)   
• 
  Answering Your Financial Questions | #414 18.06.2026 1ч 15мин

  In this episode, Ben Felix and Ben Wilson tackle a wide range of listener questions covering portfolio construction, home-country bias, currency exposure, ETF selection, retirement decumulation, leasing versus buying a car, discounted cash flow valuations, and the real work of portfolio management. Along the way, they revisit the Rational Reminder model portfolios, discuss how new products like CAGE have changed the DIY investing landscape, and explore whether Warren Buffett's long-term record still provides evidence that active management can outperform. The conversation also offers a behind-the-scenes look at PWL Capital's planning-centric approach to wealth management and why helping clients make better financial decisions often matters more than portfolio construction itself. Key Points From This Episode: (0:28) Why AMA episodes have become less frequent despite hundreds of listener questions waiting to be answered.  (2:07) Ben shares observations from PWL's growing institutional investment business and why low-cost, planning-focused institutional advice remains surprisingly rare.  (6:37) Revisiting the original Rational Reminder model portfolios and how newer products have simplified implementation.  (10:09) Should U.S. investors underweight the U.S. market relative to global market-cap weights?  (11:07) Research, home-country bias, and Ken French's arguments for overweighting domestic stocks.  (18:11) Asset-allocation ETFs in retirement: Is there any benefit to separating stocks and bonds during withdrawals?  (21:03) Leasing versus buying a vehicle, opportunity costs, depreciation, and convenience.  (26:13) Currency exposure, RRSPs, withholding taxes, and common misconceptions about USD-denominated ETFs.  (30:30) If Dimensional funds were unavailable, what would Ben choose instead?  (31:26) Are there any popular ETFs investors should avoid? A look at Canada's largest ETF holdings.  (38:28) Why discounted cash flow models often produce wildly different valuation estimates.  (41:47) What portfolio managers at PWL actually do when they are not trying to beat the market.  (45:57) Concentrated stock positions, client coaching, and helping investors make better long-term decisions.  (50:02) Why financial planning questions are often portfolio management questions—and vice versa.  (52:53) Helping clients navigate the transition from wealth accumulation to wealth preservation and spending.  (58:06) Revisiting Berkshire Hathaway's long-term performance versus broad-market index funds.  (1:02:35) The challenges of active management as assets under management grow larger.  (1:04:22) Aftershow: Ben reflects on his experience appearing on Diary of a CEO with Steven Bartlett. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  How Canadian ETFs Actually Work | #413 (Morley Conn) 11.06.2026 1ч 8мин

  In this episode, we are joined by Morley Conn, Director of Sales and Strategy, ETF Services at Scotia Global Banking and Markets, for a deep dive into the mechanics of the ETF ecosystem. With more than 30 years of experience across equities, foreign exchange, and money markets, Morley pulls back the curtain on the creation and redemption process, ETF liquidity, block trading, market making, and the often-overlooked infrastructure that allows ETFs to trade efficiently every day. We explore how authorized participants and market makers facilitate liquidity, why ETF liquidity is driven by the underlying holdings rather than trading volume, and how large institutional ETF trades are executed. Morley also explains the differences between Canadian and U.S. ETF markets, discusses common misconceptions investors have about ETF trading, and shares practical advice for retail investors seeking better execution. This conversation offers a rare look at the operational machinery behind one of the most important innovations in modern investing. Key Points From This Episode:   (0:04) Introduction to Morley Conn and his role in ETF market making. (4:29) The key participants in the ETF ecosystem: issuers, custodians, market makers, advisors, and dealers. (5:53) What market makers and authorized participants actually do. (7:03) How ETF creation and redemption works and why it matters for liquidity. (10:58) How ETF portfolio management differs from traditional mutual fund management. (12:44) Why ETF trading volume often greatly exceeds primary-market creations and redemptions. (13:35) The capital gains refund mechanism and its relationship to ETF trading activity. (16:04) What happens when ETF market prices diverge from net asset value (NAV). (18:24) Lessons from the March 2020 bond ETF dislocations and what they revealed about market pricing. (19:16) How market makers price ETFs when underlying securities are illiquid or difficult to value. (20:38) Managing ETF market-making risk when underlying markets are closed. (21:35) The major factors that influence ETF bid-ask spreads. (23:26) Why market makers prioritize trading volume and investor experience over wide spreads. (26:45) How large ETF block trades are executed and hedged behind the scenes. (29:26) Why ETF liquidity is determined by the underlying holdings rather than visible trading volume. (30:43) The difference between NAV trades and at-risk trades. (32:46) How market makers contribute to the development of new ETF products. (34:20) Best practices for retail investors when trading ETFs. (37:34) Factors that determine when block trades make sense. (38:46) Why pricing ETF blocks is both an art and a science. (43:14) What happens when an ETF is shut down and how investors are affected. (46:22) The balance between retail and institutional participation in the Canadian ETF market. (48:27) How institutions and retail investors use ETFs differently. (51:23) Key differences between Canadian and U.S. ETF markets. (54:56) ETF tax efficiency in Canada versus the United States. (56:23) Common misconceptions investors have about ETF liquidity and assets under management. (1:00:13) How CRM3 total cost reporting could influence ETF adoption in Canada. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  Ben Carlson: Investing at All-Time Highs | #412 04.06.2026 49мин

  In this episode, we are joined by Ben Carlson, Director of Institutional Asset Management at Ritholtz Wealth Management and author of Risk & Reward, for a wide-ranging conversation about market history, investor psychology, and the realities of long-term investing. Ben brings his trademark blend of data-driven thinking and plainspoken storytelling to topics like market crashes, inflation, diversification, and why investors are so tempted to time the market. We explore the lessons from Japan's historic asset bubble, the lingering impact of the Great Depression, and why diversification remains one of the few true free lunches in investing. Ben also explains the difference between volatility and risk, why the stock market is not the economy, and how investor behavior—not market performance—is often the biggest determinant of success. Along the way, we discuss inflation hedges, lost decades, speculative behavior, and the psychological challenge of staying invested through inevitable downturns.   Key Points From This Episode: (0:00:20) Introducing Ben Carlson, his new book Risk & Reward, and his long-running blog A Wealth of Common Sense. (0:03:16) Why investors shouldn't panic about investing at all-time highs. (0:03:58) The Japanese bubble and crash as one of history's biggest market anomalies. (0:05:39) Why Japan's long-term returns look very different when viewed over 50 years. (0:06:27) Lessons from the Great Depression and the worst stock market crash in U.S. history. (0:07:43) Why the best long-term returns often follow the worst crashes. (0:08:53) The role of diversification and self-awareness in managing portfolio risk. (0:09:55) Defining investment success by achieving personal goals—not beating benchmarks. (0:10:42) Why inflation feels so painful psychologically for investors and households. (0:11:42) Ben's three favorite long-term inflation hedges: human capital, housing, and stocks. (0:13:47) Why market timing is psychologically seductive—and so difficult to execute successfully. (0:15:00) Why handling losses is the single most important skill in investing. (0:16:13) How devastating the economic side of the Great Depression really was. (0:18:49) What policymakers learned from the Great Depression and 2008. (0:20:39) The difference between recessionary and non-recessionary bear markets. (0:21:52) Why the biggest up days and down days tend to cluster together in bear markets. (0:23:18) Preparing for inevitable bear markets with a durable long-term plan. (0:25:07) Why the stock market and the economy can diverge dramatically. (0:28:10) The difference between volatility and risk—and why risk is often personal. (0:29:37) Why comparing the stock market to a casino is fundamentally wrong. (0:31:55) How modern investing platforms encourage speculative behavior. (0:33:18) How extreme Japan's 1980s asset bubble became before collapsing. (0:35:43) The most important diversification lessons from Japan's lost decades. (0:37:39) How common "lost decades" actually are in stock market history. (0:40:58) Three dimensions of diversification: geography, asset class, and strategy. (0:41:53) Why there is no perfect portfolio—only the right portfolio for you. (0:42:52) Common ways investors lose money in markets. (0:44:03) Why investors should be skeptical of billionaire market predictions. (0:45:57) Ben's evolving definition of success and raising good, kind children.   Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  Market Simulations & Financial Planning | #411 (John Yang) 28.05.2026 1ч 17мин

  In this episode, Ben Felix and Braden Warwick unpack the surprisingly complex world of expected return modeling and why it matters so much for retirement projections, portfolio construction, and financial advice. They explain how PWL Capital currently estimates expected returns across asset classes, why traditional Monte Carlo methods relying on Gaussian distributions may miss important market behaviors, and how new research could improve the realism of long-term financial planning simulations. The conversation also explores a fascinating collaboration between PWL and Columbia Engineering student John Yang, who worked with Professor Michael Robbins on a project to build more realistic synthetic return data for financial planning. John explains how his team used empirical distributions, t-copulas, and Extreme Value Theory to better capture market crashes, fat tails, and asset co-movements during periods of stress. Ben and Braden then analyze how these improved simulation methods affect financial planning outcomes, sustainable spending estimates, and projections for long-term wealth accumulation.   Key Points From This Episode: (0:00:00) Introduction to expected return modeling and why it matters for financial planning.  (0:00:25) The importance of volatility, correlations, distribution shape, and time-series behavior in portfolio projections.  (0:01:26) How Scott Cederburg's research on block bootstrapping influenced PWL's thinking on simulations.  (0:02:03) Introduction to Columbia Engineering student John Yang and the industry research collaboration.  (0:03:30) How Conquest Planning allows PWL to upload custom return simulations.  (0:04:05) A new PWL client's detailed reasoning for moving from DIY investing to working with an advisor.  (0:06:22) Why financial planning and Monte Carlo simulations were central to the client's decision.  (0:07:22) Cross-border financial complexity and the value of professional advice.  (0:08:03) Estate planning, cognitive decline, and the role of trusted financial relationships.  (0:10:02) Research on cognitive decline and its impact on financial decision-making.  (0:12:00) Delegation, accountability, and reducing mental overhead through advisory relationships.  (0:13:47) Why the client chose PWL specifically and the appeal of evidence-based investing.  (0:15:25) Ben and Braden discuss the perceived disconnect between online discourse and demand for AUM advisors.  (0:16:12) Overview of PWL's methodology for estimating expected returns across asset classes.  (0:17:05) How PWL combines historical returns with market-implied expected returns.  (0:18:07) The use of factor premiums and expected return composition in taxable projections.  (0:18:48) Why PWL previously relied on Gaussian multivariate normal distributions for simulations.  (0:19:41) Arithmetic vs. geometric mean returns and why the distinction matters.  (0:21:01) A simple example illustrating volatility drag.  (0:23:29) Why diversification benefits must be incorporated into expected portfolio returns.  (0:25:15) How correcting portfolio math improved expected return estimates by 20–30 basis points.  (0:27:12) Transition to John Yang's interview and introduction to synthetic data generation.  (0:30:07) John explains the limitations of Gaussian return assumptions.  (0:31:04) Why realistic sequences of returns matter for retirement planning.  (0:32:16) Empirical evidence that returns are not truly random.  (0:33:25) The three modeling challenges: unique asset behavior, realistic co-movement, and tail risk.  (0:37:49) Separating marginal distributions from dependency structures in the modeling process.  (0:38:48) Using a t-copula to better model asset co-movement during market stress.  (0:39:39) Why historical data alone struggles to capture rare crisis events.  (0:40:06) Applying Extreme Value Theory and Generalized Pareto Distributions to model tail risk.  (0:42:15) How Monte Carlo simulations generate many realistic future return paths.  (0:43:00) Imposing forward-looking expected returns and volatility assumptions onto the simulations.  (0:44:56) How the new framework better preserves skewness and kurtosis.  (0:46:38) Evaluating the new model using marginal shape, tail behavior, and co-movement scores.  (0:48:10) Why the new model significantly improved tail realism without sacrificing correlations.  (0:49:05) Future extensions including dynamic correlations and volatility clustering.  (0:50:28) Potential future use of GANs and machine learning for synthetic financial data.  (0:52:02) Key takeaway: financial planning requires realistic return paths, not just summary statistics.  (0:53:41) Braden analyzes how the new simulation framework affects financial advice.  (0:55:04) Why monthly index data produced fatter tails than long-term annual DMS data.  (0:58:47) The new model improved Monte Carlo success rates by roughly 2–3%.  (1:00:25) Sustainable spending estimates changed only modestly under the new simulations.  (1:02:27) Why the improved methodology matters more for alternative asset classes.  (1:04:25) The surprising finding that median wealth outcomes increased while mean outcomes decreased.  (1:05:47) Why Gaussian simulations can create unrealistic runaway wealth scenarios.  (1:07:20) The practical implications for estate planning and multi-generational wealth projections.  (1:08:30) Why better simulation methods are especially important for concentrated and alternative investments.   Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)  
• 
  Episode 410: The State of Investing in 2026 21.05.2026 58мин

  In this episode, we are joined by Shelly Antoniewicz, Chief Economist at the Investment Company Institute (ICI), for a data-rich exploration of the modern fund industry. Shelly walks us through the staggering scale of global regulated funds, how ETFs and mutual funds shape capital allocation, and why the rise of indexing may not be as disruptive as critics fear. We discuss the growth of ETFs versus mutual funds, increasing concentration among large fund sponsors, and how financial advisors are reshaping portfolios around low-cost investment products. Shelly also explains why fund fees keep falling, how 401(k) plans have democratized investing for middle-class households, and why investor choice remains central to healthy capital markets. Along the way, we unpack active ETFs, intraday liquidity, interval funds, private credit exposure, and the evolving role of retail investors in financial markets.   Key Points From This Episode: (0:00:00) Introducing Shelly Antoniewicz and the role of the Investment Company Institute.  (0:01:14) The Investment Company Fact Book and why it has become a foundational resource for fund industry data.  (0:03:31) Regulated funds globally now account for roughly $88 trillion in assets.  (0:04:47) The U.S. market contains nearly 17,000 investment companies across mutual funds, ETFs, and related structures.  (0:05:40) U.S. equity funds alone hold roughly $27 trillion in assets.  (0:06:52) More than half of mutual fund and ETF assets are now in index strategies.  (0:07:40) Why index funds still represent only a minority share of the overall U.S. stock market.  (0:09:48) What academic research says about indexing's impact on price discovery and market efficiency.  (0:13:10) There are nearly 770 fund sponsors in the U.S., though industry concentration continues to rise.  (0:13:42) ETF sponsors experienced enormous inflows in 2025, with 90% receiving net new cash.  (0:15:23) Why the largest fund complexes now control a much larger share of industry assets.  (0:16:06) Compliance costs and regulation as drivers of industry consolidation.  (0:17:31) Falling expense ratios as evidence that the industry remains highly competitive.  (0:19:28) How investor flows often reflect rebalancing behavior rather than performance chasing.  (0:22:32) Why ETF investors highly value intraday liquidity, even if most do not actively trade.  (0:23:27) Research on ETF trading behavior among younger investors and retail participants.  (0:27:11) The massive shift from actively managed U.S. equity mutual funds toward indexed products.  (0:27:51) How financial advisors increasingly use model portfolios built around ETFs.  (0:31:20) Why active ETFs exploded in popularity after the ETF rule streamlined launches.  (0:32:31) The growing distinction between ETF wrappers and investment strategies themselves.  (0:33:05) Leveraged and niche ETF products, investor choice, and financial education.  (0:35:48) More than half of U.S. households now own regulated investment funds.  (0:36:41) How 401(k) plans dramatically increased middle-class participation in capital markets.  (0:39:16) Households remain the dominant owners of mutual fund assets.  (0:40:28) The demographic profile of the typical mutual fund-owning household.  (0:41:16) ETF-owning households tend to skew younger, wealthier, and more risk tolerant.  (0:42:03) Mutual fund assets continue to grow despite persistent outflows toward ETFs.  (0:43:39) How investor risk tolerance changes with age and market conditions.  (0:46:22) Economies of scale and the continued decline in fund fees.  (0:47:51) Interval funds, BDCs, and the rise of regulated private credit products.  (0:49:36) Redemption caps and liquidity management inside interval funds.  (0:52:51) Shelly reflects on the enduring popularity of the Investment Company Fact Book.  (0:55:05) Shelly's definition of success: raising children who tell you they love you.   Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/   Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  Episode 409: Investment Banker - What Private Equity Doesn't Tell You 14.05.2026 1ч 15мин

  In this episode, we are joined by Jeff Hooke, former investment banking, private equity, and private debt executive turned academic critic of alternative investments, for a rigorous and provocative examination of private equity, private credit, and institutional investing. Jeff draws on decades of experience in finance and years of academic research to challenge many of the assumptions driving institutional and retail allocations to private markets. We discuss why pension plans and endowments continue pouring capital into alternatives despite evidence of underperformance, how private market valuations can obscure true risk, and why the fee structures embedded in private funds create enormous hurdles for investors. Jeff explains the methodological challenges of benchmarking private investments, the role of investment consultants and industry incentives, and why illiquidity and opaque reporting make private assets especially difficult for retail investors to evaluate. Along the way, we explore survivorship bias, public market equivalents, unrealized valuations, and the growing push to bring private assets into retirement portfolios. This conversation is an in-depth look at the incentives, risks, and realities shaping the modern alternatives industry.   Key Points From This Episode: (0:00:18) Introduction to Jeff Hooke and the focus on private equity, private credit, and alternative investments. (0:04:21) Why institutions and retail investors continue allocating heavily to alternatives. (0:04:33) What institutional investors are and how pension plans and endowments operate. (0:05:52) Why institutional staff may prefer complexity over simple index investing. (0:07:55) How early private equity outperformance fueled lasting enthusiasm for alternatives. (0:08:47) Why trustees often rely heavily on staff and consultants for investment decisions. (0:09:29) The social and psychological appeal of "exotic" investments. (0:10:28) Why institutional investors often resist criticism of private markets. (0:11:56) The CalPERS example: underperforming a simple 60/40 index despite complexity. (0:13:28) The role investment consultants play as institutional "gatekeepers." (0:15:42) Why many pension plans and endowments may have underperformed due to alternatives. (0:17:26) Findings from The Grand Experiment and research on private equity fund performance. (0:18:30) Why institutions struggled to replicate Yale's endowment success under David Swensen. (0:20:57) Gross versus net performance in private equity—and the impact of fees. (0:21:30) The extreme dispersion between top- and bottom-performing private equity funds. (0:23:26) The weak persistence of private equity manager outperformance. (0:25:27) Why private investments expanded rapidly after the Global Financial Crisis. (0:25:54) The illusion of smoother returns in private markets due to subjective valuations. (0:28:13) Why benchmarking private equity performance is methodologically difficult. (0:31:13) How private market data can support conflicting performance narratives. (0:33:41) Why public market equivalent (PME) is one of the best benchmarking approaches. (0:36:59) Survivorship bias and non-reporting funds in private market databases. (0:40:09) The rise of private credit and its role in financing leveraged buyouts. (0:42:29) Findings from Jeff's private credit research: no evidence of outperformance versus public ETFs. (0:45:15) Jeff's response to Cliffwater's critique of his private credit paper. (0:47:15) Why retail investors may underestimate the risks and costs of private alternatives. (0:49:14) Conflicts of interest and fee incentives in wealth management distribution. (0:51:03) The impact of unrealized valuations and unsold holdings on reported returns. (0:53:15) Why many private equity funds still hold large unrealized positions after a decade. (0:56:05) Whether private equity ownership actually improves company operations. (0:57:42) The major liquidity risks facing retail investors in private funds. (0:59:20) Canadian private real estate funds, gating, and redemption problems. (1:02:01) Comparing private market fees to ultra-low-cost public index funds. (1:06:46) The long-term impact of bringing private assets into retail retirement accounts. (1:08:17) How much "play money" investors should allocate to speculative alternatives. (1:10:49) Why leverage layered on top of private funds creates additional risk.   Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)
• 
  Episode 408: Elroy Dimson – Investing & Optimism 07.05.2026 1ч 14мин

  In this episode, we are joined by Elroy Dimson, Professor of Finance at Cambridge Judge Business School and co-creator of the Dimson-Marsh-Staunton (DMS) dataset, for a sweeping and deeply insightful conversation on financial history, market behavior, and the evolution of global investing. Elroy walks us through the origins of the groundbreaking Triumph of the Optimists, the challenges of assembling over 100 years of global return data, and the critical biases that once shaped our understanding of markets. We explore how expanding beyond U.S.-centric data reshaped expectations for the equity risk premium, why economic growth doesn't necessarily translate into higher stock returns, and what history reveals about diversification, factor investing, and investor behavior. Elroy also shares lessons from his work with major institutions like Norway's sovereign wealth fund, discusses the surprising long-term outperformance of railways, and offers a grounded perspective on future expected returns. This episode is a masterclass in using history to inform better financial decisions. Key Points From This Episode: (0:04:00) Introduction to Elroy Dimson and the significance of the DMS dataset. (0:05:07) Why understanding financial history is essential for thinking about the future. (0:05:24) The origin story of Triumph of the Optimists and assembling global return data. (0:09:06) How long-term datasets are built from academic and commercial sources. (0:11:33) Survivorship bias in historical indices and why it matters. (0:13:35) "Easy data bias" and how it leads to overstated historical returns. (0:15:32) Accounting for failed markets and geopolitical disruptions in global data. (0:18:33) How global data changed expectations for the equity risk premium. (0:21:09) Why 20th-century equity returns were a "pleasant surprise." (0:22:17) U.S. market dominance and the challenge of extrapolating its success. (0:24:11) Market composition in 1900 and the dominance of railway stocks. (0:25:52) Why railways outperformed despite shrinking market share. (0:29:03) The surprising disconnect between economic growth and stock returns. (0:31:28) Why investing in recovering markets requires extreme patience and conviction. (0:33:32) Value investing: historical success and recent struggles. (0:35:00) Why economic growth benefits many—but not necessarily stock investors. (0:35:59) The long-term benefits of global diversification. (0:40:01) Why diversification reduces risk—but doesn't create returns for everyone. (0:42:29) Explaining persistent home country bias among investors. (0:47:46) Industry diversification becoming more important over time. (0:49:50) The rise and evolution of size, value, and momentum factors. (0:54:17) Why factor premiums should be monitored—not blindly followed. (0:57:27) The equity risk premium: why it's crucial—and uncertain. (1:00:15) A realistic estimate: ~3% equity risk premium going forward. (1:02:33) Translating that into ~5% real expected equity returns. (1:05:10) Staying optimistic: invest long-term and live modestly. (1:05:58) The risk of pessimism: losing purchasing power in safe assets. (1:08:06) The evolving role of bonds as diversifiers. (1:09:55) Why market timing is a losing strategy. (1:11:00) Elroy's definition of success: happy children and grandchildren. Links From Today's Episode: Meet with PWL Capital: https://calendly.com/d/3vm-t2j-h3p Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on YouTube — https://www.youtube.com/channel/ Benjamin Felix — https://pwlcapital.com/our-team/ Benjamin on X — https://x.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Benjamin Warwick on LinkedIn - https://www.linkedin.com/in/braden-warwick-a40b48a3 Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com)