Advertisement
UK markets close in 6 hours 44 minutes
  • FTSE 100

    8,172.99
    -25.79 (-0.31%)
     
  • FTSE 250

    21,091.21
    -47.47 (-0.22%)
     
  • AIM

    781.47
    -1.77 (-0.23%)
     
  • GBP/EUR

    1.1880
    +0.0008 (+0.06%)
     
  • GBP/USD

    1.2926
    -0.0007 (-0.06%)
     
  • Bitcoin GBP

    51,660.75
    -328.70 (-0.63%)
     
  • CMC Crypto 200

    1,377.14
    -8.12 (-0.59%)
     
  • S&P 500

    5,564.41
    +59.41 (+1.08%)
     
  • DOW

    40,415.44
    +127.91 (+0.32%)
     
  • CRUDE OIL

    79.95
    +0.17 (+0.21%)
     
  • GOLD FUTURES

    2,401.70
    +7.00 (+0.29%)
     
  • NIKKEI 225

    39,594.39
    -4.61 (-0.01%)
     
  • HANG SENG

    17,469.36
    -166.52 (-0.94%)
     
  • DAX

    18,515.23
    +108.16 (+0.59%)
     
  • CAC 40

    7,607.84
    -14.18 (-0.19%)
     

FAFSA delays and student loans, rent, May CPI: Wealth!

While Nvidia (NVDA) is moving stock charts after its 10-for-1 stock split, Apple (AAPL) is making headlines from its Worldwide Developers Conference (WWDC) in Cupertino, CA, where investors are eager to see the iPhone maker's first generation of AI-integrated products and services.

In this episode of Wealth!, host Rachelle Akuffo walks investors through some of the biggest market (^DJI, ^IXIC, ^GSPC) stories and the best personal finance advice from leading experts.

Bank of America Director and US & Canada Equity Strategist Ohsung Kwon joins the show to discuss what Wednesday's Consumer Price Index (CPI) and the Federal Reserve's June FOMC meeting may mean for equities.

ScholarshipOwl Director of Student Advocacy Jennifer Finetti talks about how FAFSA delays are still hurting American students' ability to afford college as the summer season edges closer.

ADVERTISEMENT

Yahoo Finance Reporters Dani Romero and Kerry Hannon also stop in to explain the latest trends in rent prices and savings strategies while paying off student loans.

This post was written by Luke Carberry Mogan.

Video transcript

Welcome to Wealth.

I'm Rochelle Cooper filling in for Brad Smith and this is Yahoo Finance's guide to building your financial footprint.

Our community of experts will give you the resources, tools, tips and tricks you need to grow your money on today's show.

Apple is hosting its annual Worldwide Developers conference.

We'll explain what it means for you and your devices and it's a big week of data on tap on Wednesday, Wall Street will be watching the latest read on inflation as well as the fed's decision on interest rates.

How should you position your portfolio?

We'll ask a strategist plus Friday's jobs numbers came in much higher than expected.

We're going to talk to a career coach about the best tips and tricks for your job hunt.

Now, let's kick things off with Apple fans or perhaps Android hate watchers pay attention because we could be hearing about some new gadgets and software from the company in just a few hours.

Apple's annual Worldwide Developers conference kicks off today at 1 p.m. Eastern.

That's 10 a.m. Pacific and our very own tech guru, Dan Howley is on the ground in Cupertino, California with the latest.

So Dan what can we expect?

Yeah, Michelle, I'm here at Apple's headquarters.

This is kind of that spaceship that everybody talks about uh for uh where Apple's uh basically everything happens for them.

And so what we're expecting today is all about A I, essentially Apple is going to debut their A I strategy.

What that means for consumers and how it will be implemented across their product.

Now, according to Bloomberg's, Mark Eman, there will be a new type of software called Apple Intelligence A I for A I.

Obviously, it makes sense and it will allow people to do things like quick reply to text messages, do summaries for websites in safari, quick reply to emails in the mail app and most of all make Sir smarter, the original voice system is going to get a big upgrade and so that will allow it to do things like control individual pieces of apps rather than just saying, OK, Safari, you know, or, or Siri play Spotify or something like that, you'll be able to do more with Siri overall.

And that's a good thing.

It means that we'll be able to get a lot more capabilities out of the software and it will basically revive something that's kind of languished for a while.

Uh It's not just going to be on the iphone, it should also be on the Mac, it should also be on the Apple, watch the ipad.

Uh You name it, it's going to be kind of spread out across the entire ecosystem.

And then beyond just the, the artificial intelligence aspect is supposed to be some upgrades to I OS itself which will allow you to finally reconfigure the, the home screen.

I know it sounds kind of like a silly one off thing but uh you no longer uh will have to use the grid that we've used since the iphone launched in 2007.

Uh you'll be able to rearrange things as you want, change the color of icons, make your iphone more yours than before.

Now, as you said, Android's been able to do pretty much all of this stuff.

Uh Already, they uh previously launched Google previously launched their own A I capabilities.

Samsung has done the same.

Uh But for Apple, this is a really big moment.

Obviously, Google's been a part of the A I race.

Microsoft's been a part of the A I race meta Amazon, you name it and this is going to be Apple's entry.

So the hope is that it gives a lot more capability to consumers.

It makes things more exciting for them.

And then that could mean that they'll end up selling more iphones.

So we'll have to see how the compatibility works, whether this is going to work with older iphones, whether it'll work with older Macs or whether you have to go out and buy a new phone, come September to make sure that you can use all of this new software.

Well, certainly a lot of people waiting to see what Apple will do with this A I push.

Appreciate you so much our very own Dan Howley with that preview.

Well as Apple fans are waiting on the edge of their seats for info on the latest iphones I OS update and more here with the biggest questions Apple has to answer for customers is Philip Michaels Tom's guide managing editor.

Thank you for joining us this morning.

So Tom, obviously we remember the days of all where there be some some huge hardware launch, not expecting that this time around.

What can customers actually get excited about here?

I think the big thing to uh uh get excited about this time around uh in particular will be the uh preview of I OS 18.

Uh the A I features that Apple is gonna talk about today are gonna touch across all the uh various platforms that they have the iphone, the Mac, uh even the, the Apple watch.

But uh it seems like the brunt of the features are going to be uh mobile focus because of course, that's where uh Apple sells the most products these days.

And um uh the thing that I'm most interested in seeing and I think Dan mentioned it was the uh compatibility uh issue, whether older iphones are going to be able to fully support these features or whether uh Apple is using this opportunity to um uh maybe push us towards uh upgrading our iphones in the fall.

And if we do potentially see an upgrade in in some of these products that will force us to, to buy a new product here.

Do we know what sort of price range some of these A I enabled uh features will, will come with II I don't think that the A I itself is going to cost anything.

I know that there is talk of subscription fees particularly on the uh uh Android platform.

But I think this is gonna be something that Apple bakes into its operating system.

And, and really all that you're, you're, you're dealing with is the cost of the new phone which uh using Apple's current prices ranges between $799 to uh 1199.

And that's, that's a one time purchase.

And so Philip, are you wondering why we're not seeing any hardware with this announcement or anything about the, the iphone 16 when, when are customers actually going to see that?

So Apple, uh well, Apple is mysterious.

Apple was a very predictable.

Uh They, they like to hold off their phone hardware announcements until the fall to maximize uh sales particularly around the holiday quarter.

Um WW DC is a developer uh and really the audience that Apple is typically trying to reach are the people that build its apps.

So you don't often see a lot of hardware at this, at this particular show to the extent that they have done hardware in the past, it's been either Mac focused uh the machines that these developers can build their apps on uh or occasionally an ipad.

But the the phone announcements are very uh strictly in the fall.

And so then as we look at where the A I capable and A I enabled smartphone market is headed, there's some recent data from analysis which shows that these A I enabled smartphones are expected to make up 54% of the global smartphone market in 2028.

And that's actually going to be driven by consumer demand as well as some of these advanced chips.

So from a customer perspective, do you think Apple is going to lose its edge if it doesn't come out though, with some really impressive hardware to really take some of this market shit away from your, your Samsungs and your and your Googles.

I, I wouldn't worry too much about Apple losing market share.

They have a very uh uh loyal audience.

Um But it is something that Apple is uh going to need to address.

Given how the, the, the um emphasis that rival companies like your Googles and your Samsungs are uh placing on A I and I think uh the chip set is really gonna tell the story and we've seen Qualcomm with its uh Snapdragon chips, really put an emphasis on its neural engine.

We've seen Google with the uh the tensor chips in its pixel phones, but that's been a major focus up until now, Apple with its a series chips that power its its smartphones, the emphasis has really been on performance and I think we're going to see more of a focus on neural capabilities going forward.

And so then when you look at some of these um some of these additions that we're expecting with the iphone 16, if you're just a consumer looking to see some sort of big announcement from the WW DC, are, are they going to be disappointed then if it's really just about more so about software here?

Um I, I think that uh uh people who've been Apple customers for a while kind of know what the game is that this is a, that this is where Apple previews its software updates for the year and keep in mind that these uh updates are gonna be available as public beta in a couple of weeks time.

So if you're really excited to see what uh what's in store for your iphone, be able to sign up for a public data of I Os 18, download it onto your phone.

I'm not sure I'd do that right away because reports are that the early version might be a little bit buggy.

Uh uh but uh I, I don't think people are gonna be too disappointed, especially since Apple just a month ago, released some new ipads.

We're gonna have the new phones in the fall.

This is, this is typically a time to focus on software and certainly AAA precursor there as people can sort of think about what they might want to purchase in the fall as well.

Appreciate you joining us this morning, Philip Michaels Tom's guide, managing editor.

Thank you so much.

Thank, thank you for having me.

All right, coming up, we've got a big week of economic data to wrap our heads around.

We'll break it all down with a strategist who can help you position your portfolio.

Stay with us.

We're nearly two hours into the trading day this Monday.

Let's check up on shares of NVIDIA reversing earlier losses and trading higher here.

Looking at about 100 and $21.98 there.

That's after opening the session on a split adjusted basis.

So shares are now going for around 100 and $20 each.

As you can see there that does make them more affordable for investors but does not affect the actual value of the company as a whole.

Important to keep that in mind.

Now NVIDIA approved a 10 for one stock split which they announced in their first quarter earnings report back in May.

That means on Friday, each share that was owned by an investor split into 10 shares.

So if you owned one, you now have 10, if you owned 10, you now have 100 shares of NVIDIA and so on.

Now, the stock split comes after the A I giants market cap hit $3 trillion last week.

It has since dropped just slightly below that milestone figure that did have it briefly overtaking Apple.

Well, after Friday's jobs report blew past expectations while the unemployment rate ticked up.

Another round of economic data is on deck for investors to digest and that includes the fed's interest rate decision and remarks around the path of monetary policy on Wednesday here with more on how to best position your portfolio ahead of this big week.

We have Oon Kwon Bank of America director and us and Canada Equity strategist.

Thank you for joining me this morning.

So I I saw that in your latest note, you say uh a no landing scenario is back on the table.

What does this mean for your portfolio if you're trying to really sort of gauge where the FED is headed from here?

Yes, thanks for having me today.

And obviously after the blowout jobs report that we saw on Friday, the no lending debate, we believe that is back on the table and we don't think that's necessarily bearers for equities.

I mean, so far this year up until I wanna say a month ago, that's been the macro environment for equities that you know, the risk of re acceleration was pretty high.

The macro data continued to uh surprise to the upside yet equities continue to chug along rates were rising but equities can withstand higher rates as long as you know, growth is staying strong.

Uh As long as growth is staying strong, I think inflation, higher inflation and higher rates can, can be withstand uh by, by equities.

And of course, we are going to get CP IP P I data and consumer sentiment also throughout this week as well.

What does this mean if you're a if you're an investor and you're watching this data perhaps, you know, given what we saw against that backdrop of the strong, of the strong jobs market there.

How should you be positioning yourself?

What should you be focusing on when you head into this week?

I think the risk to equities is still skewed to the offside.

Uh The reason why I say that is because the worst case scenario of a weak just report plus hotter CP I that has been avoided after the NFP.

Yes.

Uh last week, if the, if CP I were to soften on Wednesday, that's basically the, the best case scenario for equities, it basically risk gone growth is strong, but inflation is coming down.

That's basically the maculate disinflation that we saw last year and we all know what happened to equities last year.

So I think, you know, investors might want to position for the potential upside inequities.

Uh And I think that's really the paint trade.

I think the paint trade is still to the upside, especially in cyclicals.

And if inflation comes down from here, despite strong you know, strong growth in the economy that really positions well, for a cyclical upside inequities and for people who perhaps might be tempted to have a knee jerk reaction if they do see another report that's really off, uh what predictions are showing there.

What sort of time horizon should people be looking at to really get a real sense of the inflation picture?

Something that we know is something that the FED does.

They don't just go by one set of data.

What sort of time horizon should people be looking at?

Yeah, I mean, it really feels like the market is focused on CP I print on a month to month basis.

Um But you know, you got to look at the bigger picture, you got to zoom out and look at the trend of inflation.

And so far it's been coming down, it's, you know, we, we sort of stalled after that big disinflation that we saw last year, but we're not accelerating right now.

And as long as inflation doesn't re accelerate and growth is still strong.

I think equities can work uh to the upside.

And if macro data were too slow going forward, you know, that's essentially what we saw over the past couple of weeks that, you know, macro data started to surprise to the downside if that's the case.

And, and I'm not talking about growth falling off the cliff, it's just simply normalizing to trend growth levels.

That should also result in inflation coming down at least a little bit.

I mean inflation at the end of the day is supply versus demand.

Supply side is still, you know, it has gotten a lot better.

It's more about demand going forward.

And if demand were to moderate basically to you know, to the trend growth of normalizing to the trend growth of all, then that should result in inflation coming down as well.

And that's essentially the the bull case scenario of self lending that everyone wanted to see heading into this area as well as the Fed.

So I think there are many ways that equities can win.

So let's talk sectors that you like the look of in this environment where where is a good place to position yourself?

I think financials looks very interesting.

I mean, it's very beaten down.

Um and positioning, you know, is everyone hates financials after what, what happened last year.

Um But you know, these banks are very well capitalized.

Uh fundamentals are very strong and if growth is strong and corporate profits are accelerating to the upside.

I think the macro environment is still pretty favorable for financials and if the fed is done uh done hiking, uh then then that should, you know, alleviate some of the deposit pressure that the financials has seen so far.

Uh But the back end of curve is likely going to remain elevated, going forward.

I think that's the secular force in the market and if that's the case, that's essentially pricing power for financials.

So I think I like financials.

I like energy as well.

Uh I like commodities overall and for people who are wondering if they've missed the boat on the tech rally.

Is it too late at this point?

When you look at where prices are?

I hate to say, but I think so.

I mean, tech has rallied so much.

Uh positioning is very crowded.

Valuations are pretty expensive and that's been sort of the consensus trade over the past year and a half or so.

And if you think about what really drove tech performance over the past, you know, two plus years, I think it's really about earnings.

I don't think it's necessarily about the macro environment because heading into 2022 everyone was worried about the hiking cycle and how higher rates are going to play uh on long duration equities.

And essentially, that's what we saw in 2022 that, you know, tech underperformed massively versus the S and P 500.

But if that were to be the case, if race were really the big driver, then tech should have underperformed last year as well as this year.

Obviously, that that wasn't the case.

I think it was really about earnings.

Tech earnings underperformed the entire year in 2022 and it bottomed in around March of last year and essentially outperform in terms of earnings since then.

And that's essentially what happened for the stock performance as well going forward.

What's interesting is that tech earnings growth is likely to decelerate, especially the Mac Seven.

whereas non tech stocks are expected to see accelerating earnings growth going forward.

So we think that you could get cheaper growth in non tech sectors, more cyclicals, more commodities and value oriented sectors of the market.

So it's certainly time to shift that focus from the the shiny objects that they have in tech.

I appreciate you taking the time to join us this morning, Osang Kwon Bank of America director and us and Canada Equity strategist.

Thank you so much.

Thank you.

All right.

Coming up entering the job market after graduating college is not easy, we speak to a career coach on how recent grads can land their dream job.

That's right after this break.

Stay with us.

High school seniors are graduating and with college on the horizon in just a few months, many are still wondering how they're going to pay for it.

FAFSA delays are adding uncertainty on top of stubbornly high interest rates and the enormous cost.

All factors for teens seeking higher education here with tips for the college bound is Jennifer Finetti, the director of Student Advocacy for Scholarship Owl.

Thank you for joining me this morning.

So first of all, break down the ongoing issues that we're seeing right now with these fafsa applications.

Uh The FAFSA is brand new this year and as a result, there were some technical glitches when the FAFSA launched back at the end of December.

Um those glitches have now been resolved but it took some time and so students and parents were left really hanging waiting for financial aid offers.

Many of those offers didn't start coming until the end of April which is really late and it made it very difficult for students to be able to quickly make their admission decision.

Um Most students have now made their admission decision.

Most of those financial aid offers have now been received.

Uh but it really was kind of a pins and needles situation unfortunately.

And so in terms of the domino effect, which students have been most affected by this, you know, I think any student that is, was really counting on financial aid to afford college was obviously affected by this.

Uh certainly low income and middle income students, I think were affected the most.

But you know, the the vast majority of students are still relying on financial aid to help pay for college.

Uh The cost of college is so high that even upper income families are, you know, we're hoping to get some financial aid for their child.

So for people who aren't sure on the status of their FAFSA application or they're worried that at this point, it perhaps still hasn't been approved yet, what should they be doing?

So, first of all, you know, the financial aid deadline for the FAFSA is June 30th.

That's the federal deadline.

So any uh students who have been kind of sitting by and kind of waiting for these glitches to resolve themselves.

You only have a few weeks left now to apply with the FAFSA.

So if you haven't submitted, you should do that right away.

Uh For any students still waiting for financial aid offers, uh those students and their parents should be following up directly with the financial aid offices of the colleges that they are considering.

Um you know, to see what is going on.

Is there something that's missing from their file that's causing the delay or simply to prod the financial aid office and get those offers in and for those that have received offers, but it's perhaps less money or less support than they were expecting.

Is there a way to negotiate that package?

There can be um you know, if the student has applied to a private university or a uh out of state school, there is some flexibility typically uh in those financial aid offers so those students can contact the financial aid office and say, hey, uh you're my first choice school.

I really would like to attend.

But you know, is there something we can do here?

Are there more scholarships I could qualify for?

And in some cases, those schools will go ahead and offer something to the student.

Um If you are focusing on an in-state public university, there isn't as much flexibility there though.

Um But even in those instances, if you think that your FAFSA results are wrong, if you feel that you should have been offered more aid than you were, it's worth following up just to check and make sure your financial aid offer is even correct.

And so in that calculation, then when people are trying to figure out just how much debt they need to take out, cos obviously, it's, it's not just the tuition, you have books, you have other things to consider.

How should they be calculating that?

You know, I always tell students to try to avoid debt, right?

That's the first choice.

Um If you must take on some amount of student debt, I recommend only taking out federal student loans do not take out private loans.

I discourage parents from taking out parent plus loans or other loans to help pay for college because it's so much harder than for parents to be able to save for their own retirement.

Um If they have a additional Children going to college later on, it just makes it more difficult if parents are taking on debt to help pay for college as well.

And in this, in this final stretch ahead of the deadline, what's the biggest mistake you tend to see students and families make in this last scramble for financing?

Uh The biggest mistake I see is that students stop applying for scholarships.

Typically, once their admission decision has been made.

Um you know, they get excited, they think, ok, you know, our deposits been paid, I can now focus on summer activities.

I can focus on decorating my dorm.

Uh really though these students should be focusing on applying for scholarships all summer long uh and also all year round.

Uh you know, a lot of students and families don't realize that scholarships are available year round.

Um On the scholarship all platform, we always have over half a million dollars and currently available scholarships no matter what month of the year you're applying.

Um So, you know, you're gonna miss out on those opportunities if you don't apply and also you can earn enough scholarships to perhaps avoid taking out all federal student loans.

Um And then I also tell students please work full time during the summer, part time during the school year.

You know, sometimes parents will say, you know, being a student is your job, you don't have to work while you're in school.

I disagree.

Um If you are a student, you can work part time 10 to 15 hours a week, not only to help pay for college, but also to get really valuable job skills.

So that when you graduate from college, you're not only going to have your degree, you're also going to have experience that you can use to get a job.

Yeah, that was certainly the motto in our house.

Uh We were certainly all told to make sure that we worked during college as well.

Appreciate you breaking down all those great tips, Jennifer Finetti, Director of Student Advocacy for Scholarship Owl.

Thank you for taking the time this morning.

Thank you.

Well, 20% of Americans have student debt, that's according to the education data initiative and that could put a strain on people's wallets and their ability to contribute to their retirements.

But there might not have to be a trade off to break down how you can grow your retirement and pay off your student loans.

Car finances very own.

Kerry Hannon is here.

So Kerry, what is the formula here?

Because a lot of people are wondering is it all about, you know, one for the other?

But you're saying they don't have to trade these off?

Yeah, this is a, this is a big deal.

This is kind of the perk of the year I think from, from employers once they get going with this uh President Biden Sound signed this legislation into law.

Uh and it is now it was secure 2.0 it is now starting this year.

This is effective that if you have a 401k plan at work and your employer gets this up to speed that they can match your student loan payment into a retirement account for you.

So they consider the amount you're paying on your student loan as a contribution to your retirement account that they in turn will match for you up to you know, the typical match for an employer is 4% of your salary to 6%.

So it has to be under that amount, whatever the percentage of your salary.

But if say your student low payment is, they usually run between 203 $100 a month.

So you can take that as part, they consider that part of your retirement contribution and you can still add more into it yourself.

Of course, but this is a huge help for, for, you know, people especially early in their careers who are so stretched, like I can't possibly save for retirement because I'm trying to pay off this student loan.

And in fact, Betterman at work did a survey that said, you know, 64% of workers they talked to said that this was, you know, having to pay off their student debt really has a serious impact on their ability to save for retirement.

So, Rochelle, this is really, I think a really cool thing.

It's a great twist.

Um and it can really, really help people get started on retirement saving as early as possible.

So for Kerry, for people who are saying, look, there's no such thing as a free lunch.

What are, what are some of the drawbacks here that people should also be aware of?

Well, yeah, you know, with everything, there's sort of how do you, how do you go about it here are the concerns that I'm hearing, right?

Now.

And of course, I want to remind you, this is just rolling out this year.

But I'm telling you, it's a great thing ultimately.

But people uh that I talked to the experts say there's some concern that that people may hold off on saving as much as they uh could save for retirement because they figure, oh good, this is being taken care of by my student loan match by my employer.

I don't have to save up to that full percentage of the employer match.

Please do.

I mean, you need as much as you can.

So if you can keep saving in addition to that, so you don't want people to get complacent about that.

And the second thing I heard is that, hey, you know, people may actually start dragging their feet on paying back their student loans uh as quickly as they possibly could because they want to take advantage of this employer match.

So they think that's a real great thing.

So why not keep the loan stretched out just a bit more?

So they get the match.

But really, um I think most people and, and it's a great way for companies, employers to attract uh workers, young workers particularly and retain them because this is really a terrific benefit that helps people who feel stretched about.

Can they save for retirement?

Yes, you can.

And certainly every little bit helps her especially now, I appreciate you as always our very own.

Kerry Hannon.

Thanks.

Well, over a million people received their bachelor's degrees last year and the majority of them had jobs within nine months of graduating according to the Bureau of Labor Statistics.

So to break down how this year's cohort of college grads can land their dream jobs.

Fran Berwick spearmint coaching CEO is here.

Thank you for joining me this morning.

So, you know, people who are, they are coming graduating, they're, they're wide eyed and looking at this job market here, there was still a tight labor market here.

What is the biggest mistake that new graduates make when they're first entering the job market?

Um I would say overall, the biggest mistake new grads make is not determining a goal, not creating what I would call a target job description.

There's lots of data to show that people land a job more quickly and more successfully when they have um AAA bias towards action and a goal oriented focus.

Uh The other thing that I I see quite a bit is that they lead their search completely online rather than use uh using their network to focus their, to focus their plan forward.

Um And mostly, and you can understand why this gen Z graduating class of 2024 is, is like is graduating into an anxious environment and I find many of them are nervous about actually making mistakes in the job.

I as they as they apply towards jobs.

And I like to say there are no mistakes here, um, and lead towards a bias of action.

So, Fran, let's break a couple of things down there.

So if you're a new grad and you're thinking, ok, my goal should it be a, a salary amount?

Should it be?

This is the kind of company I want to work for?

It should be, this is the CEO I want to work for.

How should they gauge that?

Right.

Well, hopefully, like your last uh uh guest mentioned, you know, the work experience or academic experience they've had in college will have led them to understand what I call their unique operating system, uh their strengths and um innate strengths and skills and experience and what that may lead up to and look like in the world of work.

Most universities have great resources um in college career centers.

So if you don't understand what your playlist would look like, you know, in the actual job market, I would suggest that you use your resources to identify what that might look like as an end result if that makes sense, that that does make sense and, and something else that you touched on was networking.

A lot of people, you know, when they're fresh out of college, the first thing they do is perhaps, you know, email people on linkedin trying to get a mentor.

What are some of the ways they should really think about networking if they feel like they really don't know anybody in the industry they want to enter.

Yeah.

No, I look, I think networking, there's two things I find for my clients once they have an understanding rochelle of what their, what I would call their elevator pitches, what their professional value proposition is, the whole concept of networking gets a, gets a whole lot easier because they understand what it is that they're talking about when they present themselves.

Um, when I sort of do a deep dive with recent grads, they're often surprised to understand that they can network or express their goal with professors uh with previous employers uh with friends and family and with the understanding that it may not be them who can offer you a job immediately, but they may know someone um who could refer you to someone who may know somebody.

So the, the idea here is having as many conversations to exponentially increase your, your reach and, and your message and ultimately find someone who's going to need your skills and services.

And you mentioned this thing this about sort of some of the offline things that people aren't doing and they're just sort of focusing on an online search.

What is the best mix of that?

Is it sort of an old school cover letter mixed with some of the, the newer things we're seeing with A I and really landing that dream job.

How should we approach it?

Right.

I love that question.

Um I, I think A I is a great tool.

Um But there is lots of data now to show that one of the quickest most advanced ways of actually land a job is to take your resume off that algorithmic, you know, um hamster wheel and get in front of a real set, a real set of eyeballs, a real person in hr and hiring you do that through warm contact.

So for example, the blend I like to use is if my clients or anybody listening has a target list of top 20 companies that they would love to work for.

Obviously, you should be applying to every role you see online, but you should also be working on your linkedin contact list or your network contact list.

So when a job comes up at Amazon Google, uh and the advertising agency of your dreams, somewhere in health care, you're already in the mix.

You know, somebody who could maybe even make a referral fee by recommending you, you know, through, through, through hr contacts.

And I find it's that combination, that 12 punch of the online submission and the warm contact that really gives people an advantage.

Well, people certainly should be taking heed there.

Lots of great advice.

I appreciate you taking the time this morning, Fran Berwick Spear coaching CEO.

Thank you so much.

Thank you so much.

Alright, we have much more on wealth after the break.

You're watching Yahoo Finance according to the National Gay and Lesbian Chamber of Commerce.

There are over 1.4 million LGBT Q business owners in the United States contributing approximately $1.7 trillion to the economy annually.

For more on the impact of LGBT Q plus businesses on the US economy, we're joined by Rhett Bustle, public private strategies, founder and principal Rhett served as the national business adviser in President Biden's 2020 presidential campaign.

Thank you for taking the time to join us this morning.

So talk about how these businesses are faring this year and really the sorts of resources that have helped fuel this growth.

Well, Happy Pride Month, as you know, this is a month where we celebrate contributions of LGBT Q Americans all across the country.

And one of the specific pieces that is so important that the story doesn't get told very often is what a critical fabric they are to the small business and entrepreneurship economy.

So the American economy, as we all know is powered by small businesses, they're the backbones of our communities.

Um And as you, as you heard, LGBT Q plus businesses are a huge part of that economic fabric.

Uh not only in the businesses that they start create and run the people they employ, but also the LGBT consumer is a massive consumer, obviously not just in June during Pride Month, but all throughout the year.

And looking at some of the data here, the LGBT Q community is spending uh more than $917 billion every year on goods and services.

Where does that money tend to flow to?

Well, look, a lot of LGBT Q consumers are focused, you know, uh like many consumers where they live focused on supporting the small business community.

Uh just like everyday Americans, they are a powerful force for the economy.

Many of them are investing in their local communities, buying goods and services for their family.

Uh But also uh a lot of, you know, very important specific industries, uh travel and tourism tends to be a huge part of where the LGBT community spends their dollars.

Um And like I said, uh you know, the LGBT, many folks in the LGBT plus community are very entrepreneurial and so seeing them start and grow their businesses is an important part of this economic impact and looking at the demographics here in terms of how young some of these business owners and entrepreneurs are, walk us through that and, and what they're really tapping into to grow their businesses and really also spend within the community as well.

Yeah, this is actually a trend we're seeing with a lot of business owners, they really identify their identity really leads where they go to for tools, tips and resources.

And so, uh earlier in the segment, you quoted the National Gay and Lesbian Chamber of Commerce, the National LGBT Chamber, which is an amazing resource for LGBT business owners.

Um And they really provide the sort of community and support uh that small business owners we need in order to grow their businesses.

Uh We've seen a lot of really positive steps from the Biden Harris Administration for the first time, the US Small Business Administration has really celebrated pride and provide tips and resources to LGBT Q plus business owners, really honoring and recognizing the important contribution that they make to this economy.

Um And we see this actually across a lot of different trends.

So not only in the LGBT Q community, but also in the African American Latino Hispanic community.

Folks are really dialing into the African American Chamber of Commerce, the Hispanic Chamber of Commerce.

And we've seen that growth with LGBT Chambers of Commerce across the country.

And there's over 20 LGBT Chambers of Commerce at a state local and federal lover really helping LGBT U entrepreneurs do what they do best, which is grow jobs and give back to their community and sometimes the resources are there but, but people don't necessarily use them.

So R tell us about some of the programs and the efforts in place to help LGBT Q plus business owners grow their companies or ventures and perhaps some of the ones that are under under utilized that they should really be tapping into.

Yeah.

So I would start with talking about the National LGBT Chamber, which is an important part.

They can help businesses get certified so that you have that distinction that really unlocks new opportunities in corporate America.

They also serve as an important advocacy voice for business owners at a state, local and federal level.

We're seeing more and more states and local governments work with the LGBT community to help with LGBT Q businesses in their supply chains.

It helps them make sure that they are really meeting the community where they're at as well, helps grow these business.

So that's really important part of it.

I think another uh underutilized resource is the US Small Business Administration, which has really created a number of tools and programs to really meet business owners where they are, when you're starting a business.

Sometimes it can be often confusing.

Where do I start?

How do I get a loan?

How do I do my taxes?

There's a lot of really good work going on at SB a.gov, where business owners, LGBT Q business owners, but really any business owner can go and help get some of their needs met.

And, and also looking at the data here, looking at the majority of LGBT Q plus small businesses more likely to be owned by women and also be immigrant owned as well, especially when you think of an election year.

So many topics on tap here, what should people be aware of when they think of the businesses and the demographics within them and how to support them?

Yeah.

So LGBT Q plus businesses are a huge part of the economy Uh but women, and we see this across all demographics, women, whether it be Latino women or African American women.

LGBT Q women are really starting to become more entrepreneurial.

A lot of that is because, you know, women are in many ways looking for more flexible work arrangements.

Um But they also tend to be amazing entrepreneurs and they see needs specific in the market.

Uh that is really, really important.

We see the same with immigrants who have come to this country.

Many of them are wanting to pay in the American dream.

Uh They see specific needs that we, that others might not see in the market and they go out and start a business.

Um And you know, starting a business is no small fee, it takes a lot of hustle and so it's really impressive to see.

Um all of these folks go out and really, you know, start these businesses which are such a critical backbone of the American economy.

Two out of every three Americans are actually employed by a small business.

And so keeping this job engine running and providing tools and resources to make sure it's running well, is an important thing that we all must be focused on indeed.

And, and happy to have you on here to, to lay out some of those resources for us.

Rhett Buttle Public Private Strategies, founder and principal.

Thank you so much for joining me this morning.

Thank you.

Happy Pride Month.

Thank you.

Alright.

Coming up with the housing market unaffordable for many renters are staying in one place even longer than ever.

We'll break down the impact when we return.

Owning a home is the quintessential piece of the American dream, but a number of people are renting longer as the housing market remains out of reach for them.

The latest data from redfin shows that one in six renters have stayed in a rental property for 10 years or more in 2022.

That's a jump from a decade ago for more on what's happening in the rental market.

Let's bring in Yahoo.

Finance's Danny Romero.

So Danny give us the the lay of the land as it were.

Rochelle people are staying in the rental market longer and there are several reasons behind this push.

Really.

The first one is that renters feel like they're priced out of home ownership.

If we take a look at the median sales price of a home, it has nearly doubled in over a decade.

That's one of the reasons mortgage rates are also still really high.

They're covering near that 7% which means high borrowing costs, pushing more people to the sidelines.

A second reason is rents have also gone up too.

We can't forget about that.

Rents have jumped more than 30% since 2019 to tw to 2023 nationwide.

That's according to Zillow and street easy data.

So that's really preventing people from moving from place to place to place so quickly.

Uh The third reason is that rents have all renting has become a lifestyle and we can really think the pandemic there, um, especially with remote work, people are more career focused.

And so that allows also people to move around if they want to.

The fourth reason why people are staying in the rental market longer is that there's not enough homes for sale.

The homeowners are really not incentivized right now.

Given the fact that, um, mortgage rates are so high right now.

So I did speak with uh a renter in Arlington, Virginia.

He said that he had been on the house hunt.

He was really looking for a starter home.

He had met with a financial advisor, Rocket Money and he said that the only thing he could really afford right now in Northern Virginia is a condo.

And so he started to look for this condo and he couldn't find it.

There wasn't much that was really on the market and there was, and if there was, it was just really out of his budget, so really pricing him out of the housing market.

But then there are other renters who really just like renting Rochelle.

I spoke with a renter who lives on Long Island.

She has been renting for 40 plus years and she said she's like, I don't want the responsibility.

If something happens with inside the house, she doesn't wanna be taking care of the damages.

So she's like, I'm in the rental market forever and she's really, she's been enjoying it so far.

The other thing is that other, other renters really like to invest outside of real estate.

Some of them are investing in the stock market or other assets for that matter.

So that's one of the reasons, some of the reasons why people are staying in the rental market.

Rochelle.

It's true and it's important to have that caveat.

The renting doesn't always make sense for everybody.

Uh And neither does home ownership.

So you have to do what works for you.

But I'm I'm curious to know how are landlords and private operators adapting to people staying in the rental market longer than before.

Landlords and private uh operators are really reaping the benefits right now.

Given the strong demand, if we take a look, um executives at mid America apartment communities which owns 300 apartment communities in the US.

They said that 50 per in May.

They said this 50% of their leases will be repr repriced between May to August and that is for either new leases or renewal leases.

So this is really signaling the strong demand in the rental market.

And also I wanna point out that rents do tend to tick up during this uh time frame usually in the spring and in summer time.

And the reason is people like to, they take advantage of the warmer weather to move Rochelle.

Sure.

And you've got a lot of graduates moving all over the place as well.

Appreciate you giving us that update our very own Danny Romero.

Well, that's it for wealth.

I'm Michelle Coupe.

Thanks for watching.

But don't go away.

Stay tuned for market domination with Julie Hyman and Josh Lipton.

That's coming up at 3 p.m. Eastern.

You won't want to miss it.

Goodbye for now.