In a recent Bloomberg column, a startling revelation emerged: Financial institutions now generate a staggering 90% of their new revenue from asset price increases, rather than from attracting fresh clients. The truth is becoming clear – most financial institutions are heavily reliant on the significant 10% of their clients for a whopping 90% of their revenue. Join us this week on "Truth or Skepticism" for an exclusive inside look into how the finance industry is undergoing a profound transformation, breaking away from traditional norms. Discover the seismic shifts that are redefining the landscape of finance

Why are bonds down so much this year when stocks are up? If they’re both looking at the same world, you would think they would trade similarly. On this week’s episode, Dylan asks Tom to explain the discrepancy. Tune in to hear Tom’s explanation and why he thinks Dylan is a victim of the types of questions old men ask.

The most common reason we hear about people being passive investors is fear of risk. Risk of the unknown. However, we’ve dedicated our professional careers demonstrating outlier risk rarely happens and even when it does hit, markets absorb and recover almost immediately. War. Pandemic. Markets have a resiliency that’s a function of their efficiency. The only real threat anymore is size. Sizing inappropriately isn’t risk, it’s a self-inflected wound. Tune into this week’s episode as Tom and Dylan discuss how market efficiency has made it possible to absorb any outlier risk

Scan a handful of newspaper headlines and you might thing the world is worse off than it’s ever been. Now look at a chart of the stock market over the last 9 months and you’ll have a different takeaway. On this week’s episode Tom admits to being “public” and wrong about what the market truly reflects. Also, in light of the strikes in the auto industry, is the private sector actually more efficient than government? 

If you have a set of unique talents, there’s no better time to look for a job or ask for better compensation than at a time when the labor pool is nearly empty. Unemployment is well below 4% and the number of people seeking jobs is small. Should we really be surprised labor unions are threatening to strike or already striking? Also, what’s driving the DOJ’s pursuit of Google? Is it because they really feel they have a case or is it just a stickup? All this and more on this week’s episode.

We’re seeing governments intervening in markets on multiple continents. In China, state employees have been banned from using foreign mobile phones. In Europe, the EU enacted new regulations with hopes of spurring competition. Are these moves out of desperation or just low hanging fruit for regulators looking to say they’re fighting for the little guy? Tom and Dylan discuss this and more on this week’s episode.  

 If financial institutions had a three strike rule, Wells Fargo would have been out a long time ago. The bank is back in the news this week after being fined yet again. Financial reprimands haven’t worked thus far. The question becomes, when do regulators threaten to shut down the bank? On this week’s podcast, Tom and Dylan take a look at the situation with Wells Fargo, the impact of just a handful of stocks on the broader market and what the price of bitcoin might imply.

The housing crises of 2008 was in large part caused by mortgage lenders approving loans to people they knew couldn’t afford them. The lenders then turned around and sold those mortgages to investors in the form of securities. Lenders made money underwriting and money selling securities. But when borrowers defaulted, lenders faced no risk. They had no skin in the game. On this week’s episode, Tom and Dylan discuss the necessity of having skin in the game and how that creates accountability.  

There’s a financial graveyard of fund managers who made a right call on the market which paid off huge. Maybe it was the housing crisis. Maybe it was the dot com bubble. When it comes to finance, rock star status can be attained with just one right call. It doesn’t matter if the last right call you made was the 1987 crash. Do it once and suddenly, you’re assumed “to know.” In truth, no one knows anything. Markets are random. But we want to believe someone knows so we can turn our money over to them and feel safe. What drives this and why do we treat people who only made one right call in their career like oracles? Tom and Dylan discuss this and more.

A basic tasty tenant is to put time on your side. Trade small, give yourself time to be right, and recognize that markets are random. Dylan Ratigan wants to understand an irony in that sentiment. Tom has taken big and seemingly risky shots. Is there a flaw in tasty's core tenants? Tom gives some nuance on this week's episode of Truth or Skepticism.

Not since the advent of the internet have people been so excited about a technological development as they are with artificial intelligence (AI). If you buy the hype, AI is the panacea for all our woes. War, inflation, politics, you name it, AI is being hailed as the antidote. To be fair, there are places where AI probably will improve our lives. But those places are where inefficiencies exist. In efficient spaces, like equity markets, can AI make a difference? Tune into this week’s episode to hear Tom and Dylan’s take on AI.

On today’s episode, we’re talking about capitalism and its tradeoffs. Opportunity brings liquidity but it also attracts grifters. Is there a better alternative or are grifters simply a byproduct that can’t be avoided? Also, new legislation is being proposed that would prohibit legislators from owning or trading in stock. Whether or not that makes sense or is just an optics play is open to debate. Tune into this week’s episode for all this and more.

Everyone seems convinced Artificial Intelligence (AI) is coming for their job. But maybe it’s a case of fear being overpriced. AI will have its place but it will also have its limitations. The role of AI; a win for Ripple and crypto; and a Paul Bunion reference. Tune in to this week’s episode to hear Tom and Dylan on all this and more.

Trickle-down economics has been at the center of Republican economic theory since the term was coined back in the early 1980s. It’s predicated on less government involvement. Democrats are promoting what they’re calling Bidenomics, an economic system with a greater role for government programs. It's like a broken record. On this week's episode Tom and Dylan argue why the future of economics is tied to digital assets but no one is talking about it... yet.

If you watch markets long enough, you’ll see how they adapt in near instant time. The occasional black swan event may catch markets off-guard, but things like sanctions over microchips are of no consequence because the market’s already adapted. It makes for great discussion but little economic impact. Also, why Elon owns the electric vehicle market. All this and more on this week’s episode.

Do psychedelics generate alpha? There’s a growing number of CEOs acknowledging the benefits of micro dosing because it helps them to become more creative. What does this mean for corporate America? Tune in to hear Tom and Dylan discuss the idea of micro dosing and also, why markets so easily brushed off a potential coup in Russia.

There was a time when consumers went to different places for different needs. Companies aimed to do one thing and do it well. But in the past decade, that’s changed. Apple, the computer maker, is now a cell phone provider and bank as well. Amazon, the book reseller, is now a pharmacy, grocery store and more. It’s the rise of the everything company. On this week’s episode, Tom and Dylan discuss this evolution and whether or not an aggregation of power is good or bad.

This week, Tom and Dylan fearlessly question the latest craze in virtual reality headsets, daring to challenge the very foundations laid by tech behemoths like Apple. Are these companies out of touch with what consumers really want? Regardless of if they are, where's the trading opportunity behind Apple's latest device?

In this captivating episode of "Truth or Skepticism," hosts Tom Sosnoff and Dylan Ratigan tackle the nature of fraud, examining infamous cases involving Elizabeth Holmes, SBF, and Bernie Madoff. We kick off by dissecting the rise and fall of Elizabeth Holmes, the founder of Theranos, who deceived investors and the public with her grandiose claims about groundbreaking medical technology. Shifting gears, the discussion delves into fraud perpetrated by institutional investors. Is it possible for large-scale financial fraud to be morally justifiable? Tom and Dylan present intriguing arguments challenging conventional notions of right and wrong. They question whether institutional investors, often seen as victims themselves, unknowingly participate in a system that perpetuates morally questionable actions.

This country has a number of legitimate issue in need of addressing. The debt ceiling isn’t one. It’s an annual manufactured story that politicians rely on to get some quality TV time. To not solve the issue would be a self-inflicted wound that doesn’t need inflicting. On this week’s episode, Tom and Dylan cover the downside risk being created where no risk needs to exist and more.  

There is a reason corporations are more efficient than politicians. A good CEO knows they doesn’t know everything. They seek out the best of the best as they assemble teams and trust those teams to execute on a vision. In politics, embedded politicians face no consequence for being wrong and they tend to believe they know more than everyone else. Tom and Dylan discuss leadership, what an effective leader looks like and more on this week’s episode.

At what age do most people stop innovating? Maybe it’s time we identify a point at which innovators become a headwind if we want to progress economically, academically, and politically. Too many companies are led by people who are more focused on maintaining the status quo. Is there a way to change that? Tune in and check out what Dylan and Tom have to say. 

The reasons regional banks are failing aren’t anyone’s fault but their own. Unless it’s because of someone else. Who is to blame here? Clearly, there was mismanagement. But was there also a political decision made to take advantage of mismanagement in an effort to consolidate the banking system? On this week’s episode, Tom and Dylan discuss who is to blame for the banking crisis and more.

Which came first, the chicken or the egg? The same question or at least a variation of it can be asked in corporate America. Is it the visionaries that move the economy or the private equity speculators that fund the visions? Was Uber truly a revolutionary concept or was it private equity’s willingness to take a shot that led to its success? Tune into this week’s episode as Tom and Dylan discuss this and more. 

For an economy to thrive, participants have to maintain faith in it. That includes having faith justice will be doled out equally. Unfortunately, there are ample examples of this not being the case. Wells Fargo and the fake accounts. Fox News spreading lies about Dominion. But when these large companies don’t face criminal justice penalties for their crime, it erodes confidence in the whole system. On this week’s episode, Dylan and Tom discuss this and more.

The robots don’t need to take over the world in some Terminator-like war if the data can make people do the work for them. Most of us think by clicking or not clicking on a link keeps us in control of our decisions. Think again. Apps like TikTok can actually figure out what to serve you based on whether or not you’re typing. The rate at which your thumbs peck out letters or don’t peck them out might be of more value to data collectors than links you click on. But combining the two, clicking on links and then not doing anything for a little bit, may help data aggregators to learn more about you than you know about you.

There’s nothing wrong with pointing out a deficiency in a system. However, when Jamie Dimon says it’ll take a year for the banking system to recover, it’s not because he’s worried. It’s because he sees the opportunity the moment is presenting and he’s trying to capitalize. By questioning the solvency of small banks, he’s effectively saying big banks are the only safe place. Whether or not he’s correct isn’t the point. Instead, it’s just a way to try and grab more market share.

We’ve been living in an era where corporations have largely relied on acquisitions to grow. Cheap money helped make those deals possible. But interest rates are rising and deals are becoming more expensive. Regulators are looking under the hood at business practices as privacy concerns grow. Arguably, most importantly, investment bankers need to justify their bonuses with new deals. With news Alibaba plans to split into six new companies, are we entering an era of divesture? Tune into this week’s episode to hear Tom and Dylan’s take.

It’s a fair question to ask how best to value an asset. Should it be based on present value or future cash flows? Should corporate leaders affect value? Do interest rate policy decisions by the Fed matter? It makes for a great discussion but at the end of the day, there’s no substitute for an efficient market. Markets aren’t influenced by narratives or an agenda. They’re driven by greed and fear. It’s as simple as that. Tune in to hear this week’s episode as Tom and Dylan discuss this and more.

What caused Silicon Valley Bank to implode? Was it as simple as greed, risk, and moral hazard? Was it an oversight failure? Was it the limited revenue streams for banks? Or was it a much more complicated set of circumstances? We can’t solve the problem until we understand what caused the problem. Tune in to this week’s episode as Tom and Dylan discuss what’s happened.

As a country, we place tremendous emphasis on home ownership. But as the cost of buying a home becomes more and more far reaching, we need new ways to afford homes. Last week, Amazon employees found out they can use stock as collateral against a mortgage. Is this a great way to help home buyers or is it a pledge of capital investors don’t fully understand? Tom and Dylan debate this and more on this week’s episode.