Core Viewpoint - The discussion highlights the increasing political influence of the Federal Reserve and its implications for economic inequality and market valuations, particularly in the context of modern monetary theory and the impact of technology like AI on the economy. Federal Reserve and Political Influence - The Federal Reserve's actions, particularly since 2008, have been characterized as politically motivated, especially through quantitative easing which involved lowering interest rates and purchasing Treasury debt, thereby monetizing government debt [3][4][5] - The concept of fiscal dominance is introduced, indicating that the Fed's involvement in financing government debt has created political tensions and economic challenges [5] Economic Inequality - The policies of the Federal Reserve are argued to have exacerbated economic inequality in the U.S., with inflation rates reaching 9% and a growing divide between the wealthy and the less fortunate [6] - The perception of inequality is influencing political dynamics, leading to the election of leaders who may represent the interests of the economically disadvantaged [7] Technology and Market Valuation - The potential of AI to transform the economy is acknowledged, but there is a cautionary note regarding the current overvaluation of related stocks, drawing parallels to the tech boom of the late 1990s [8][10] - The market tends to overestimate the short-term impact of technology while underestimating its long-term effects, suggesting that current valuations may not be sustainable [11]

Financial Data and Key Metrics Changes - The average assets under management increased from $1.26 billion to approximately $1.7 billion as of the current date, indicating a positive trend in asset growth [21] - Quarterly EBITDA per share improved from negative last year to $0.04 per share in December, reflecting a recovery in earnings [21][23] - The company reported a shareholder yield of 9.89%, which is significantly higher than the current yields of 10-year and 5-year government bonds at 4.18% and 3.73% respectively [20] Business Line Data and Key Metrics Changes - The company has seen record ETF inflows, hitting nearly $1.5 trillion in 2025, which outpaced traditional stock fund flows [9] - The company’s ETFs have a revenue calculation at 60 basis points, while actively managed funds have higher fees, impacting revenue during the recent gold rally [7][10] - The company has been actively buying back stock, reducing shares outstanding by approximately 10% over the past 18 months [14][18] Market Data and Key Metrics Changes - The volatility of gold stocks remains high, exhibiting 2 times the volatility of the S&P 500, with a 10-day volatility of 6% [3][4] - The airline ETF, which is the company's largest, also shows significant volatility, influenced by oil market fluctuations [4] - The investment industry has seen strong fund flows into ETFs despite negative news, indicating resilience in the market [7] Company Strategy and Development Direction - The company aims to enhance shareholder value through a dual strategy of dividends and stock buybacks, while maintaining a lean operational structure [14][18] - The focus is on developing thematic Smart Beta 2.0 products, which require rigorous backtesting and aim to capture market trends effectively [12][29] - The company is exploring M&A opportunities to acquire fund assets, particularly in the ETF space, which has lower redemption rates compared to mutual funds [16][17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the gold market, suggesting that gold could reach $13,000 per ounce over the next 5 to 10 years based on current debt levels [39] - The company believes it is well-positioned to benefit from increasing demand for gold and gold stocks, as more asset allocators are recognizing the value of gold in diversified portfolios [44][47] - The management highlighted the importance of geopolitical factors and monetary policies in driving gold prices, indicating a bullish outlook for the asset class [35][61] Other Important Information - The company has maintained a consistent monthly dividend since 2000, which is a rarity among publicly traded companies [20] - The company’s stock buyback program has been strategically executed during periods of stock price decline, enhancing shareholder value [18] - The management emphasized the importance of maintaining a strong balance sheet with cash and investments to capitalize on future growth opportunities [28] Q&A Session Summary Question: What is the company's outlook on gold prices? - Management believes gold could reach $13,000 per ounce based on current U.S. debt levels and global economic conditions, indicating a strong bullish sentiment for gold [39] Question: How does the company plan to enhance shareholder value? - The company is focused on a dual strategy of paying dividends and executing stock buybacks, while also exploring M&A opportunities to grow its asset base [14][16] Question: What are the key factors driving the company's ETF growth? - The growth in ETFs is attributed to strong fund flows, lower redemption rates compared to mutual funds, and increasing acceptance of actively managed ETFs in the market [6][7]

In today’s Money Distilled podcast roundup: the best explainer you’ll hear on Modern Monetary Theory (MMT) and why its advocates are mistaken on its benefits; plus everything you ever wanted to know about REITs but were too scared to ask. https://t.co/J0pVIKW52o ...

Financial Data and Key Metrics Changes - Quarterly average assets under management were $1.4 billion, operating revenues were $2.25 million, and net income was $1.5 million, showing a significant increase from the previous year [27][30] - Operating revenues increased by $94,000 or 4% from the same quarter last year, primarily due to increases in advisory and administrative fees for equity mutual funds [28] - Net income after taxes for the quarter increased by $1.2 million compared to the same quarter last fiscal year, reaching $1.5 million or $0.12 per share [30] Business Line Data and Key Metrics Changes - Operating expenses increased by $50,000 or 2%, mainly due to a $101,000 increase in employee compensation and a $52,000 increase in advertising expenses related to expanded ETF marketing efforts [29] - Other income for the quarter was $2.4 million compared to $995,000 in the prior year, primarily due to higher net investment income from unrealized gains [30] Market Data and Key Metrics Changes - The company has maintained a strong balance sheet with approximately $24.6 million in cash and cash equivalents, and current investments totaling $9.7 million [31] - The current ratio stands at 20.5 to 1, indicating a strong liquidity position [31] Company Strategy and Development Direction - The company is focused on creating thematic products using Smart Beta 2.0 strategy, which involves rigorous backtesting and active money management [8][14] - A two-pillar strategy is in place to enhance shareholder value through dividends and stock buybacks, with a current share repurchase program purchasing 159,074 Class A shares for approximately $400,000 [9][10] Management's Comments on Operating Environment and Future Outlook - Management noted that the worst impacts from the election and tariff battles are hopefully behind, with a rebound in assets and investment income [11][13] - The company remains optimistic about the gold market, highlighting that gold has outperformed the S&P 500 and is seen as a strong diversifier in investment portfolios [20][21] Other Important Information - The company has paid a monthly dividend since June 2007, with a current yield of 3.46% at a share price of $2.60 [10] - The company is actively engaging with shareholders through various marketing channels, including YouTube and social media, to provide insights and updates [32][34] Q&A Session Summary Question: What is the company's outlook on gold investments? - Management emphasized that gold has significantly outperformed the S&P 500 and is considered a crucial diversifier for investment portfolios, with recommendations to allocate 10%-15% in gold [20][21] Question: How is the company managing its stock buyback program? - The company utilizes an algorithm to buy back shares on flat and down days, believing the stock is undervalued, and aims to enhance shareholder value through this strategy [9][10]

Financial Data and Key Metrics Changes - Quarterly average assets under management were $1.4 billion, operating revenues were $2.25 million, and net income was $1.5 million, showing a significant increase from the previous year [28][31] - Operating revenues increased by $94,000 or 4% from the same quarter last year, primarily due to increases in advisory and administrative fees for equity mutual funds [29] - Net income after taxes for the quarter increased by $1.2 million compared to the same quarter last fiscal year [31] Business Line Data and Key Metrics Changes - Operating expenses increased by $50,000 or 2%, mainly due to a $101,000 increase in employee compensation and a $52,000 increase in advertising expenses [30] - Other income for the quarter was $2.4 million compared to $995,000 in the prior year, primarily due to higher net investment income [30] Market Data and Key Metrics Changes - The company has experienced a rebound in assets and investment income, which has helped turn the corner after being impacted by the tariff war [13] - Gold reached an all-time high of $4,300, although it has gone through a correction since October [19] Company Strategy and Development Direction - The company is focused on creating thematic products using Smart Beta 2.0 strategy, which requires rigorous backtesting and continuous management [7][8] - U.S. Global has been buying back stock using an algorithm on flat and down days, aiming to enhance shareholder value through dividends and stock repurchases [9][10] Management's Comments on Operating Environment and Future Outlook - Management believes the worst impacts from the election and tariff battles are behind them as they move forward [11] - The company remains optimistic about the travel industry, particularly in Europe and Asia, despite challenges in the U.S. market [16][17] Other Important Information - The company has maintained a strong balance sheet with high levels of cash and investments, including approximately $24.6 million in cash and cash equivalents [32] - The current yield at the share price of $2.60 is 3.46%, and the company has paid a monthly dividend since June 2007 [10] Q&A Session Summary Question: What is the company's outlook on gold investments? - Management highlighted that gold has outperformed the S&P 500 and is considered a crucial diversifier for a diversified portfolio, with recommendations to allocate 10%-15% in gold [20][23] Question: How is the company addressing the challenges in the airline industry? - Management noted that while the U.S. airline industry is facing sentiment challenges, the European and Asian markets are booming, indicating potential for recovery [16][17] Question: What are the company's plans for future product launches? - The company is focused on launching new thematic products, particularly in AI and defense sectors, which are expected to capture significant market interest [18][26]

Monetary Policy & Debt Management - MMT (Modern Monetary Theory) suggests financing government at ultra-low short-term rates to manage interest expense as a percentage of GDP, even with rising overall debt levels [1] - The strategy aims to keep interest expense as a percentage of GDP in check [1] Economic Stimulation - The policy potentially unlocks over $12 trillion in home equity to stimulate the economy [1] - Corporations can issue floaters tied to short-term rates [1] Interest Rates & Financial Products - Home Equity Lines of Credit (HELOCs) are tied to SOFR (Secured Overnight Financing Rate), which is influenced by short-term rates [1]

Fiscal Policy & Debt - The industry expresses concern about the rise of Modern Monetary Theory, which suggests debt doesn't need to be repaid if a country can print money, particularly with the US as the reserve currency [1] - The industry believes that mounting levels of debt and deficit spending are unsustainable [1] - The industry suggests the US government needs to be able to sustain itself, especially as the cost of interest for the Treasury is increasing [2] Bond Market & Risk - The industry anticipates significant issues among bond buyers due to accumulating debt and rising interest costs [2] - The industry observes that the term premium has increased, reflecting a sense of more risk associated with the US due to increased spending [2] - The industry advocates for fiscal conservatism to address these concerns [2]

Financial Data and Key Metrics Changes - The company reported assets under management of $1.4 billion for the quarter, with operating revenues of $2.1 million, reflecting a decrease of $490,000 or 19% from the same quarter last year [64][65] - The net loss for the quarter was $832,000, or $0.03 per share, which is an unfavorable change compared to a net loss of $35,000 in the same quarter of the previous fiscal year [67] - Operating expenses were $3 million, a decrease of $85,000 or 3%, primarily due to lower fund expenses [66] Business Line Data and Key Metrics Changes - The decrease in operating revenues was primarily attributed to declines in assets under management, particularly in the JET ETF [65] - Operational earnings consist of advisory services and other earnings, which include realized and unrealized gains and losses on investment holdings [65] Market Data and Key Metrics Changes - The company noted a significant apathy towards the airline industry despite strong performance from airlines like United, which was up 130% last year [18][36] - The gold mining stocks are trading at multiyear highs, yet there is a paradox where redemptions are occurring despite rising gold prices [40][42] Company Strategy and Development Direction - The company aims to increase exposure to the Bitcoin ecosystem and plans to deploy remaining capital back into Bitcoin and Hive, citing a unique growth opportunity [17][26] - The strategic buyback of stock is part of the company's two-pillar strategy to enhance shareholder value through increasing dividends and buying back stock [48][53] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the airline industry transitioning from a cyclical to a growth business, driven by increased travel demand post-COVID [23][20] - The company remains bullish on gold as an asset class, anticipating continued interest from central banks and a potential rise in gold prices due to modern monetary theory [30][34] Other Important Information - The company has maintained a strong balance sheet with high levels of cash and securities, and it has no long-term debt [67] - The current dividend yield is approximately 4.13%, with a total shareholder yield of 10.53% [50][53] Q&A Session Summary Question: What is the company's outlook on the airline industry? - Management believes the airline industry will evolve into a growth business rather than remaining cyclical, supported by strong demand for travel [18][20] Question: How does the company view the current state of gold stocks? - Despite the paradox of rising gold prices and redemptions in gold stocks, management remains optimistic about the long-term potential of gold as a safe haven asset [40][42] Question: What are the company's plans regarding Bitcoin investments? - The company plans to increase its exposure to Bitcoin through a dollar-cost averaging program and investments in Hive shares, anticipating regulatory changes that will favor Bitcoin [26][17]

Financial Data and Key Metrics Changes - The company reported assets under management of $1.4 billion and operating revenues of $2.1 million for the quarter, with a net loss of $832,000, translating to a loss of $0.03 per share, which is an unfavorable change compared to a net loss of $35,000 in the same quarter last year [65][68] - Operating revenues decreased by $490,000 or 19% from $2.6 million in the same quarter last year, primarily due to decreases in assets under management, particularly in the JET ETF [66] - Operating expenses were $3 million, a decrease of $85,000 or 3%, mainly due to lower fund expenses [67] Business Line Data and Key Metrics Changes - The operational earnings consist of advisory services and other earnings, which are subject to market fluctuations [66] - The operating loss for the quarter was $893,000, an unfavorable change of $405,000 compared to the same quarter last year [67] Market Data and Key Metrics Changes - The company experienced a significant decrease in assets under management, which impacted overall revenues [66] - Despite the challenges, the company maintains a strong balance sheet with high levels of cash and securities, and no long-term debt [68] Company Strategy and Development Direction - The company aims to create thematic products that are sustainable using a Smart Beta 2.0 strategy, which requires rigorous backtesting [13] - There is a strategic focus on increasing exposure to the Bitcoin ecosystem, with plans to deploy capital back into Bitcoin and Hive shares due to their growth potential [17][26] - The company is committed to stock buybacks and increasing dividends as part of its strategy to enhance shareholder value [49][51] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the airline industry transitioning from a cyclical to a growth business, citing strong performance from airlines like United [18][23] - There is a belief that gold will continue to perform well as a safe haven asset, especially with increasing central bank purchases and regulatory changes favoring physical gold [30][34] - The company acknowledges current market apathy but remains confident in the long-term growth potential of its products and strategies [45][59] Other Important Information - The company has been actively engaging with shareholders through various platforms, including social media and video content [70][73] - Upcoming participation in industry conferences to connect with potential shareholders and enhance market presence [71] Q&A Session Summary Question: What is the outlook for the airline industry? - Management believes the airline industry will transition from being cyclical to a growth business, supported by strong demand and pricing power [18][23] Question: How does the company plan to address current market challenges? - The company plans to focus on stock buybacks and increasing dividends while maintaining a strong balance sheet to weather market volatility [49][51] Question: What is the company's stance on gold investments? - Management remains bullish on gold, citing its historical performance and the increasing interest from central banks as key factors for future growth [30][34]