From Navy Captain to Wealth Strategist: Gary Pinkerton

Summary

Retired US Navy Captain Gary Pinkerton shares his journey to financial freedom, emphasizing the importance of agency, control, and liquidity. He outlines his hierarchy of wealth strategy, with guaranteed assets like life insurance policies as the foundation. Pinkerton explains how this 'family bank' system allows efficient storage of reserves while still earning investment returns. He and hosts Danny and Flip also discuss enduring economic turbulence, passing knowledge to kids, directly owned assets versus syndications, and more. The conversation covers various wealth topics before shifting to Pinkerton's passion for racing cars.

Takeaways

• 😊 Gary values agency and freedom, which led him to move to Florida in 2020
• 💡 Having liquidity enables taking advantage of opportunities and handling uncertainty
• 💰 Whole life insurance policies allow tax-free growth and liquidity
• 🏘 The hierarchy of wealth prioritizes control and direct ownership first
• 👪 Creating a family bank provides financial security across generations
• 😣 Gary lost over 50% of his assets during the Great Recession due to lack of liquidity
• 🔍 Character is the biggest risk factor when investing with others
• 📉 Market losses taught Gary to always bet on himself and stay positive
• 🚗 Gary loves the freedom and power of driving and racing cars
• 🤝 Gary helps people gain confidence and create family legacies

Q & A

What financial mistakes did Gary make during the Great Recession?

Gary paid no attention to his personal finances during his submarine command from 2008-2011, which spanned the Great Recession. He lost over 50% of his family's net worth and none of his advisors warned him of the risks.

How did the COVID-19 pandemic reinforce the importance of liquidity for Gary?

In 2020, one of Gary's clients owned ice cream shops that were forced to close by the government lockdowns. With no liquid savings as a buffer, the leveraged properties went bankrupt, wiping out a 3rd generation family business.

What is Gary's biggest lesson learned from setbacks in wealth building?

Bet on your own ability to recover and maintain a positive mindset. Also properly vet the character of partners, as that is where most investment risk lies.

What is the hierarchy of wealth concept?

It prioritizes building wealth in layers (like a pyramid), starting with max control/low risk assets like cash savings, before progressing up to higher risk investments.

How does whole life insurance allow money to grow in two places at once?

The policy's cash value grows tax-free at 4-5% guaranteed. You can borrow against that cash value to invest elsewhere, paying interest to yourself rather than a bank.

What appeals to Gary about auto racing?

He loves the freedom, power and control involved with operating high-performance vehicles. The sound and sensation of acceleration satisfies a primal urge.

Why does Gary emphasize owning real estate?

Owning property with fixed-rate debt allows tenants to effectively pay off the mortgage over decades. This protects against inflation eroding purchasing power.

What resources are available for learning more about Gary's services?

Visit his website GaryPinkerton.com which contains financial planning tools and ways to schedule calls. Also reach out to him directly at [email protected].

What is the power fund that Danny and Flip plan to launch?

It is an investment fund offering 6-14% returns depending on lockup period, focused on providing liquidity options, cash flow, growth and diversification.

How can someone get information about the power fund investment opportunity?

Visit ChatWithFreedom.com and schedule a call on the calendar with Ben or CJ to discuss details and have any questions answered.