means the market is down. [closing bell ringing] >> highs of the day. david: traders are very glad to see the end of this day. you don't know what will happen tomorrow because the market is trading down into the close, moving in the direction of 300 to thedown on the downside. we were hope, start from the bottom, work our way up. small and mid-sized caps represented by russell 2000, down greatest amount, over 2%. a full 2%. we were looking for an uptick for the russell past day or two. today not catching a break at all. all indices down. nasdaq, top three the most. then comes the s&p and dow jones industrial. a very busy day. we have anthony scaramucci coming up. all of this is covered on "after the bell" which starts right now

lori: lori i picked a wrong day. what a sharp selloff. blamed oil and economic concerns. other corner of the world u.s. -- david: seemed to start in china. china and europe. we've got it all covered. the get right to today's selloff. we have mark luschini of janney will tell us which sectors are poised from strong dollar and cheaper oil. there is good news to be had in market like this. chuck self will tell us why he thinks u.s. growth will be stronger in 2015. a hard sell on day like today. todd horowitz, this is your day. the one of few days you appeared when the market is responding the way you think it should respond. is the beginning of a pullback that you've been looking for? >> hi, david. hi, lori. i was a little surprised at the depth of this selloff today because of the holiday season,

because of potential santa claus rally and the way the russell turned around yesterday being down 200 points in the morning, closing up 200 points. that was 5% move intraday in the russell. it looked pretty bullish. we're start to see the real economy is in trouble. these low oil prices we all want to cheer about, are causing big troubles. conoco with cap-ex laying off guys. there will be a lot more trouble if oil continues to drop which i think it will. it will create more trouble in the overall economist. we're not in real good shape. yes, we're cleaner shirt in dirty laundry but at the end of the day the markets look like they're in trouble. probably see some churning action. we're not going straight down. you want to look at sectors to buy, look for oil. >> chuck, pick up with that similar theme. you've been bullish on previous opinions or appearances. what do you think of todd's pick? are you concerned about a churning economy here for the

u.s.? >> todd certainly will be correct in the near term as far as announcement and effect of companies on lower oil prices but we still think this is very positive in the long run, especially for 2015 from many sectors, especially consumers who have the ability now to spend more and repair their balance sheets. david: mark, i always like to look at halliburton because it is a well-diversified company that does rely heavily on the price of oil. that it why it has been kicked in the butt over the past couple months. it is down half to where it was at its high point this year. would you start to look at a company like halliburton now? >> well, certainly for its quality and its presence in north america. we still believe firmly that more intermediate to long term the energy renaissance here in the united states and themes associated with it haven't been broken by the recent slide in oil prices. having said that, halliburton

looks cheap because of price cut in half you have to ask what is the e in the pe portion? earnings continue to be trimmed which already cut over 2015 estimates. as a consequence it may not yet be time. so i would be more concerned about catching a falling knife than necessarily nibbling what appears to be a good value. david: wow. lori: todd, there was option today of 10-year notes. satisfactory turnout. demand for u.s. government debt. yield curve was flat. what is your message? does it go for forward theme of slow, challenging economy. >> i think it does. unfortunately as interest rates continue to fall, look for 10-year under 2. closed at 2.16. look for it to go under two. that pains me greatly. i think it is wrong. i think we need higher rates. for david, buy halliburton, sell united. david: that is great. chuck, talk about the yield curve. i don't want to get too much

into the weeds. flattening of yield curve is what we've seen. that is not good news. the 10-year at 2.16. when you have a market hit like today's market was hit and you also have interest rates going down isn't that a cause for concern? >> certainly it is a cause for concern in the short run but you got to remember as long as the strong my is strong having low interest rates -- david: hold on, chuck, that is the exact point here. people are looking what happened at thanksgiving where retail sales where they were not thought they would be. looking at overseas sales going way down in china, in japan, in europe. they will not be buying as much stuff. the question whether or not profits will remain high given the world economy? >> yeah. it is unclear, david, exactly what the holiday sale situation is. clearly given what's happening with online sales no one can look at just black friday or that weekend and decide how the whole holiday season is going to go. as we get more retail sales numbers from november we'll know

more about it then. but, it is also clear that benefits come to consumers from lower oil prices will be shared between higher sales and repairing their balance sheets that they, reducing their loan supply and demand than they have had in the past. lori: so, mark, pick up on the retail theme. i know you sent along c have. s-corporation and. vcs took tobacco off the shelves and still managed to post solid revenues. what do you see about the stocks? >> they and wall greens to a degree, we prefer cvs because they pulled the tobacco products because they're a closet health care provider at this point with a retail arm. easily to located. easily to pull up and drive away from. the obviously the demographics of pharmacy side support continued growth. as well with the falling oil prices i'm of the view the consumer will be in much better

shape as we go into 2015. estimated that the equivalent household spend on gas we'll see relief to the tune of $800 in incremental spending other than your gas tank in 2015. that bode well for retailing. again cvs well-positioned and managed and we think it should be a beneficiary of that. david: todd, we hope he is right about the consumer. anthony scare my think thinks mark is right. betting on consumer. i look at mcdonald's, i look at at&t, solid companies having trouble with the consumer market right now. that gives me pause. >> i have a lot of pause here. i don't, i think $800 or whatever amount people are saving on gas are going to buy food, pay their rent and pay their car payment. i don't think there is any excess cash. i don't see any discretionary spending coming out in the near future. the middle class is still in

recession. has never come out of it. the only one who benefits from any of stock market rally is upper 5%. the rest of us that are down here have not benefited. so whatever we're saving we're not spending on discretionary but cvs and drugstores, we have to go to the drugstores. those are staple items. you have to always fill prescriptions. those are good companies. people are not recommending high-flyers because we're not seeing that kind of market. we're seeing consumers in trouble and not making enough money and can't borrow enough money to pub their business. david: remember, folks, those addicted to the heroin of the fed, that the fed pushes out every couple months, they will be satisfied because if that market is not coming back the demand market we're going to see a very big wait for the next rate hike. thank you, mark, chuck self and todd horowitz. appreciate it all of you. lori: agree, david. oil plummeting to a fresh five-year low hitting below a 61 handle, 61.30, down $2.50 a

barrel. let's bring in one of the top oil analysts. david: he is fadel gheit, top oil and gas an lift of research. opec estimates of demand in 2015. i think we put the full screen up there. opec production is 30.5 million barrels per day. opec consumption expected for 2015 is 28.9 million a day. that means that opec is pumping 1.6 million more barrels per day than is being consumed. that says it all. >> well, that why i try to have production cuts over the last couple of weeks. it didn't work because they are all exceeding their quota. they are producing more than what they're supposed to. and at the end of the day, if the saudis don't cut, no other members in opec will cut. even if they do, they are not going to amount to much.

in, to balance that kind of market we need to cut oil production by 2 to 3 million barrels. the fact is nobody is going to be able to do that because if saudi arabia does not carry the burden of production cuts it is no-go. we expect crude oil prices to remain low for a lot longer than many people think. that is what you see in the equity market. every time they recover, they tumble again, like what happened last couple days. lori: fadel. lori rothman here. when you say you expect oil prices to remain low for a time, do you see prices at the $61 level stablizing here? is there more room to go, more falling ahead? >> absolutely. lori: where will they bottom? >> for oil price, if the saudis start saying they can live with the $60 oil a long period of time. kuwaitis came two weeks later and said we are submitting 2015 budget based on $55 oil. the iranians came back this

morning saying that they expect brent crude to touch $40. so the bottom is still a way from where we are. david: i know you have disputed the theory that the reason saudis are pushing down oil prices and producing more because they want to kill off u.s. oil production but there are a lot of people who say that is true. let me read one and i'm quoting here. clearly the u.s. shale boom is having an impact on opec's policies. opec is hoping the pain of low oil prices will spread to american shale producers and force them to cut investments while pushing weaker produce us out of business. why do you disagree with that? >> not entirely true. a couple of things. saudi arabia is enduring enormous amount of financial pain but actually, the gain after the pain will be worse. they want to curtail iran's influence in the middle east. the only way they can achieve

that by hurting iran's economy. how do you do that? you break down oil prices. so iran today is generally -- generating a lot less money than they generated six months ago. the same goes for russia. economic sanctions, lower oil prices will bring russia's economy all the way down and putin will not be popular anymore. david: all right. may not be their intention but the effect of these low oil prices is hurting a lot of shale producers here in the united states as well. fadel gheit from oppenheimer. thank you very much. >> thank you. lori: what is the break even for shale? david: now it changed. some very effective producers can do it from 40 to $45 a barrel. lori: better margin. >> but a lot of producers that aren't that efficient, 50, 60, is their break even point. they're hurting big time. will opec cut production to stablize these tanking prices? send us a message on facebook or tweet us @fbnatb.

your answers coming up. meanwhile the sony cyberattack could end up costing as much as $100 million. what if your business was hacked? could you afford it? we're speaking with a company that sells cyberattack insurance. lori: plus as you know, big down day in the markets. painful for stocks. falling third consecutive day. volatility in the vix skyrocketing second day. what is smart money doing as volatility build. s? we'll ask anthony scaramucci. david: how long can opec survive with these cuts in oil production? is a shut down of the government better than a bad budget deal. we have a jam-packed show. stay with us. ♪ she inspires you.

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lori: another wild ride on wall street with markets not just dipping its toe but plunging into the read. david: volatility index jumping 24%. just over 24. with us anthony scaramucci skybridge capital founder.

what does the market fear right now? why do you not go with the market in its fear? >> the market is fearing a rate hike. david: that is what today was all about? >> i think it is components, it is components. there is a fear of a rate hike. there is a fear of a partial recession. i was with my partners with governor perry in texas. if the oil price keeps going down -- lori: inflation nary threat? >> one part inflationary but one part recessionary. you keep moving oil prices lower, knock out north dakota, south dakota, oklahoma and texas you will put a country in slower growth pattern. less inflation. fed is super wore remembered about that scenario. we're importing deflation from rest of the world from japan and europe. so the market is worried. the market is worried what i'm calling about the lagging effect on the consumer. talking about the consumer at the last break. david: you were surprised retail

sales were not stronger during thanks giving? >> i was surprised. you have and i talked about that off cam ram. david: why has that happened? >> we have done a lot more research. apparently there is six-to-nine month effect on consumer as it relates to gas prices. david: that is a long lag? >> it is. they're not conditioned to belief the price decrease. this is terri. it will not affect my pocketbook long term. they hold back. what happens is three to six months from now you will see more discretionary spending which is better than expected for the economy. worse than expected right now unfortunately. all of that leads to the market selling off with wall of worry nervousness. but the market is going higher. lori: fed meeting next week is it coming up? >> yeah. lori: don't you think there will be language or jawboning, seen some times, quality fear. >> sounds like you were in the debate we were having this afternoon in our office. some people think they will remove language about

considerable time. other people say that there are not. the two guys smartest guys in my office think they are. i wouldn't characterize myself in the smartest guy in the room i don't think they are. i hope you invite me back and throw something at me if i'm wrong but i think they're super worryied jamie dimon. david: worried about what? >> sustainability of growth and sustainability of employment numbers. they had good job activity this year. they want better job activity next year. i think they're super worried about it. jamie dimon spoke in front of asset managers at conference in jpmorgan on 50th floor. i was there. i asked jamie the question you always ask me what do you think will happen with the fed? i don't know but i think it will be a while before they start raising rates. lori: does this encourage you to advice people with their investments to back off equity as little bit here? >> the stock market is going higher. there are a lot of bears out there -- lori: or just hold the cash? >> put money into the market, u.s. large cap stocks. lori: today, with this big

selloff. >> no question. market is going higher. we were here in october. the market is up 13% since that october low. or maybe 11 1/2% right now. i turned to david and liz, i said the market is going higher. i know there are bears out there. i know there are reasons market won't go higher but there is wall of liquidity coming into the market. david: you're talking about the fed again. i'm wondering whether or not the fed is running out of juice? we're seeing what is happening overseas. japan has had zero interest rates 30 years and they're still mired in no growth era. i am wondering if the push back from the fed, there are a lot of people in the fed, richard fisher is not only one, who thinks this is, we have reached the endgame of zero interest rates helping the market? >> that is a big debate inside skybridge economics team. two of my guys are in your camp. david: so i'm in the dumb camp. you're listening to the smarter camp. >> i said smarter guys in our office will probably be right.

the reason i don't think they will be comments from ben bernanke, comments from tim geithner, off-camara comments about their worries. david: again the market itself, anthony, you may be right about what the fed's going to do but will the market respond the way they have over the past couple years with more, with more assurance there won't be any fed hiking? >> no question. 25 years from now economic historians right about this era as the tale of two economies. the corporate economy is robust, doing well. share repurchases are in there. dividend increases are in there, market is going to trade higher. the average american is still struggling. you have some wage increases but they're scant. their purchasing power is down. lori: participation rate is -- >> participation rate is generational low. we're in the jimmy carter era on participation rate. now the democrats will say that is related to the demography and people aging. that is not 100% true. we're still struggling for the common person in the united states. david: we still have regulations that are too high. we still have taxes that are too

high. the barriers for growth are too high. that has got to change. the fed can't do. that the politicians have to. >> cash-rich companies with strong balance sheets. david: anthony scaramucci. good to see you again. thank you. who is scared of a little government shutdown? maybe no one shut be. a partial government shutdown, there wasn't a full one in 2013, is that better for the economy than a bad budget bill? we'll debate that. lori: stocks and assets around the world at almost zero costs. we'll talk to an investment manager letting you do that with no management fees. david: plus cyber attacks can cost companies a lot of money n sony's case millions of dollars. how can you protect your company? we'll talk to a company providing cyberattack insurance. it exists. we'll tell you all about it next. ♪

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own liz macdonald. good to see you folks. at lan, first to you, what is spooking market today? >> i think it's a little profit-taking. let's put it in perspective. only three days from all-time highs. what is happening with crude oil, crude oil last week was down 30 cents. traded between 66 and 69 for moist of the week. it broke to the downside. i think you're seeing a little bit of uncertainty because we have no earnings right now. earnings starts after january 1st. that is what drives the market, corporate earnings. david: we'll talk about the market coming up but liz what do you think of market today? >> working the phones with wall street shops they're still talking. i will tell you headlines they're talking about. whether or not the u.s. can with stand other regions around the world and their problems. they're still talking about the one two punch from china and slowdown in china and talking about whether or not we can recover losses anytime the hang seng and shanghai composite

takes a dip. so you know, yeah, when china sneezes do we get the flu? that storyline is still out there. i think that is just year-end jitters. whether or not we'll see the santa claus rally come back. there is the intense debate going on right now. jpmorgan chase and the likes of bank of america, merrill lynch and goldman sachs. david: we heard about from our last guests we heard about jpmorgan. thinking of the consumer is slowing down. catherine, we still have barriers to growth. we have high regulations. i think antibusiness administration in washington. isn't that affecting consumer trend a little bit and development growth? >> i would be surprised if it wasn't. we have a congress that is slow-moving at best and we have a president that is really quite fed up with that congress. you know, they barely managed to get it together to get a budget every time. and i think it is totally reasonable to say political risk is high and there is no reason to think it will be a problem that goes away anytime soon. david: we are going to talk in detail now.

one thing speaking the market was the indecision on the $1.1 trillion partial spending bill to avert a partial government shutdown but is a bad budget deal worse than a partial government shutdown? liz, what do you think? >> i think a government shutdown is worse, excuse me a bad budget deal is worse. you don't want to see a government shut down where we start to default on our debt. that is really bad. sometimes gridlock can be an american achievement. the problem with the united states right now is incumbency is a problem. we still have people in the u.s. congress been around since the disco era when shirts were being worn. that includes charlie wrangle, joe biden. david, when you look at sequestration, remember the argument that the economy would lose 750,000 jobs? guess what, the economy added one million jobs instead. david: right. the catherine, the last government shutdown, it was not a government shutdown at all, 80% of the government was still working. of course the president shut doesn't world war ii war

memorial as a petulent gesture to show it was hurting. meanwhile he funded npr $400 million. there really wasn't a government shut down and there won't be, will there? >> that's right. these threatened shut downs are increasingly theatrical "cbs sports spectacular" at that kel rather than blow. seemingly good budget won't get us anything like fiscal responsibility. that is partially because congress is terrible following its own rules. they make a good budget and using all kinds of emergency spending bills to get what they want anyway. i want to get alan in quickly because we're running out of time. alan, 2013 partial government shutdown did not affect gop even though they were blamed for it in 2013. >> they waste 25 dal billion on a shutdown for no personal gain? it is just a bunch noise. nothing would get done unless we come to the deadlines.

the budget deals, they will be bad every time. what we need is certainty. we need further out, instead of getting last minute measures that everybody loses. david: i hate bad budget deals. when will opec be forced to cut production even further? should the government stop spending our money to change our habits? lori? lori: sony hacking scandal, gets this, costs $100 million. what if a small business was attacked? how could they with stand the cost of massive data breaches? we'll speak to one company that can help lessen the blow. plus are you looking to get the most out of your investment without paying arm and leg in fees? brand new fund is available and tell you what it is and how to get a piece. one of these companies was named the best place to work according to its employees. we'll tell you which companies next. ♪

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you know -- david: very low. >> what does it cost for their assets there. the cure for higher prices is higher prices. the cure for low prices will be low prices. exploration and technology will slow down but in the long run we're all dead if we wait for fundamentals. i still think it is important we were only down 30 cents in oil last week itself. david: look at it now. >> it is only 8% of the s&p 500. david: look at it now. the price of oil is plummeting a lot of u.s. companies particularly shale producers will go under. >> they're up to their eyes in debt with little mom-and-pops developing. saudi arabia only costs 5 or $6 a barrel for saudis to develop oil. so they can drop prices lower. the break point is 50 to off a barrel for shale developers in the united states, david. david: is that the goal of saudis? fadel gheit says no, they don't care about u.s. producers but i think they do. >> nobody is talking to me

directly. that seems totally plausible. we have a viable domestic alternative that makes everybody nervous in the middle east. at the same time, anything where we look even remotely moving toward a market that responds to supply and demand is good news, right? if we see slightest drop in production that signals the market is a bit healthier than it was in the past. david: all right, gang. the president had 2011 goal of putting a million electric cars on the road by 2015. guess what? it fell short of by 800,000 cars. is this proof the government shouldn't spend our money to change its habits? catherine, federal government spent $8 billion for electric car programs and did not pay off? >> unfortunately the federal government and can and does change our habits all the time. all you have to think about is obamacare here. in this case it turns out they would have to spend a lot more money, even than that insanely large number of $8 billion to

get us to buy a different kind of car. that is just not something there was political will to do. americans are stubborn. we like our combustion engines. apparently we're sticking with it. david: liz, the fact is they may twist our arms and penalize us if we don't do what they want to do, we don't like syn fuels. it's a disaster. even al gore doesn't like them. solar energy, they tried to shove that down our throats, spent billions doing it. we don't like it. we're not using it. health insurance as catherine says, a lot of people prefer to pay fines rather than get government health insurance. >> yeah, that's right. you wonder, david we'll have clash for clunker sales for electric vehicles. there is something happening at the state level. 10 states right now have zero emissions standards for their cars bought in their states. watch this. the energy department just today released a report that half of all electric vehicle cars that are bought, half of those cars are bought in the state of california. david: right. >> which has some of the most aggressive zero emissions

standards. david: right. the fact is, alan, social engineering does not work, particularly when they spend billions of our tax dollars trying to do it. >> it does in the marketplace. look at tesla. tesla up done very well up 40%. david: how many electric cars are on the road? >> if you invested in tesla you did not lose money, how many electric cars are on the road right now. >> california leads the nation. david: how many electric cars are on the road right now, alan? the president want ad million. there are less than 250,000. that is a 75% failure rate. you're satisfied with that? >> if you believe elon musk is wrong -- short tesla. that is your prerogative. that is your prerogative. david: that 75% failure rate would not go. alan a 75% failure rate would not work anywhere in the private sector. it only works where there are government subsidies. that es it. >> i'm talking about the marketplace. tesla is winner in the marketplace. david: we're talking about

marketplace. thank you, catherine, alan, liz macdonald, good to see you all. lori. lori: remind me not to argue with you, david, ever. believe it or not a recent study found the average cost of cybercrime per company in the u.s. almost $13 million a year. david: how can companies protect themselves financially from cyber attacks? how about getting cybersecurity insurance? we have the head of beazley beach response unit. catherine, thanks for coming in. >> thank you for having me. david: jpmorgan had to deal with some of these cyber attacks over the summer. they had 75 individuals and about 7 million companies that were in some way affected by it. how can you possibly insure for that load of cyber attacks? >> well organizations are realizing that if they haven't looked seriously at cyber insurance they need to be doing that. there are programs of insurance that can create some protection to buffer against those costs.

those costs can be enormous as you mentioned. you're paying lawyers. you're paying forensic companies. you're paying for notification. you may be paying for credit monitoring. all that can add up to millions of dollars. lori: katherine, as you know a senate panel met on this issue, cybersecurity. whether or not the government can be productive in getting rid of cybercrime all together and prosecuting perpetrators? >> well, i think they're very act if i have in that right now. it was interesting last week to note that the department of treasury coming out and suggesting that financial institutions ought to have perhaps of cyber insurance. and to me, that says a couple of things. it says, number one, there is a certain inevitability to cybercrimes. as good as our security measures can be in our companies, and the companies that we insure, there will be breaches and there will be data intrusions. and so having that program of insurance is something that

c-suites and ceos are looking at very seriously right now. david: there is a question who bet gets paid off or who has to pay for the cybercrimes? even with insurance companies will be held liable for some of that. is it the credit card companies that pay? because my american express card very often will pick up the expense, or is it the retailers? >> well there are programs under the mci standards that -- pci standards that try to apportion liability fairly. they are very imperfect. we do know coming out of data preach breaches and cyber intrusions there is regulatory enforcement these days and the potential for massive class action lawsuits. a good cyber insurance program will protect the company from the aftermath of a cyber incident as well as provide all of the first party costs associated with investigating whether you have a data breach in the first place and helping

the company pay for the response to that data breach. as you may know, laws around the country and at the federal level require certain measures be taken when data incidents are discovered including notifying affected individual. david: right. >> and those costs add up and a lot of organizations don't really know what to do when they're faced with an incident. lori: a question from your perspective, katherine, cyber attacks increasing exponentially these days. as an insurance provider, how do you keep up with you will at claims? i imagine you must be inundated. >> one of the methods we do is work very proactively with our insureds to provide risk management tools and to keep them step ahead of hackers. we'll put out information. we'll do tabletop exercises with our insureds to test their incident response plans. we take a very affirmative approach, a proactive approach teaching our insureds how to better protect themselves.

sure there there will be claims. we have professionals to deal with themselves. but management up at the front end can really reduce the back end exposures. lori: katherine keith, many thanks to you. talking about your industry. >> thank you very much. david: a new etf fund launches today. the first on the street to charge zero percent management fee. doesn't that sound nice? we'll tell you what it will get you. lori: looking for a new job in the new year. we'll tell you the company that ranks number one as the best place to work according to its employees. ♪ dad, i know i haven't said this often enough, but thank you. thank you mom for protecting my future. thank you for being my hero and my dad. military families are uniquely thankful for many things, the legacy of usaa auto insurance could be one of them. if you're a current or former military member or their family,

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lori: feeling underappreciated at your job? upset about the lack of perk at the office? glass door.com released best companies to work for based on employee survey. some might surprise you. colling in number five, boston consulting group software company, f5 networks. boston consulting group is number one. number three, pet food giant, nestle purina. you bain & company. number one, google. how about that? david: gee. lori: the campus is stung even

from the outside. david: bain, mitt romney's group, number two, interesting. people are often hit with big fees from financial advisors. a new fund is shaking up the street by offering, get this, zero management fees. lori: how do they do that? how can they make any money with the fees? we have the investment management and cofounder of the cambria global asset allocation etf which just launched today. the headliner is the fact that you're not charging any management fees to subscribe to this fund. how are you doing that? are you taking a loss? >> well it is not quite free. i wish it here. lori: okay. >> but the funds own best of breed fund around the world. we own 29 underlying etfs. even then the total expense ratio of the fund is 0.29%. just to put that in perspective, that is half the cost of the average etf. one-fourth the cost of the average mutual fund.

not quite free, but we have zero percent management fee. so it is pretty cheap. >> the fund of funds doesn't have the management fee but the underlying funds do, that is where you make your management fee? >> we manage $400 million in our suite of five etfs. the gold of this fund is to say look we want to build a true global market portfolio. it doesn't exist the way we think it should be designed. we want to own u.s. stocks, foreign stocks, bonds, real estate commodities but offer it in one wrapper that pass through the underlying fund owns 20,000 securities around the world. so the individual investor, even the professional can buy with one trade the true global market portfolio. david: let's talk about specific investments or what companies are or corporations these fund are investing. on a day like today you may want to hedge your bets a little. do you have an etf that really focusing more on say, fixed

income accounts as opposed to pure equity? >> the rough allocation of this fund is 40% stocks and a good chunk of that is in foreign stocks. it is important not to have a u.s. home country bias. about 40% of the fund is in bonds. so fixed income but it's a wide spectrum. u.s. bonds, foreign bonds, emerging market bonds. then about 20% is in real assets. so, commodities, real estate, and then tips. with that allocation, within each allocation we tilts towards value and momentum. we think it is really optimal portfolio for one person to own and get exposure to the entire world. david: let me ask on a day like today for example, would you go in when we have two or the days like this or weeks, god forbid, how often do you change the allocation? >> this fund rebalances once a year. it actually doesn't matter that much when you have diversified portfolio how much you

rebalance, as long as you do at some point. even if you only rebalance your own allocation every three to five years it is fine. as long as you rebalance sometime. day-to-day market gyrations doesn't matter with this type of fund. this fund you will buy, put it in as 529 fund. own as part of your core portfolio. you have want satellite munis or strategies, that is fine but this represents classes all around the world. lori: tim call management fees from similar buy and hold strategies, similar right, fund to funds debuting here, management fees can run one to 2%, if we go zeroers percent management, we already went through nut and bolts should investor should be wary of fee with buy and hold? do you think investor is being taken advantage of in that case? >> we said wall street charges

to much for buy and hold portfolios. if you buy and hold a bunch of assets, anything less than half a percent makes sense. anything more starts to getting green just. perfect example, average advisor fee, 1%. average mutual fund fee, 1.25%. if you have adviser investing in mutual fund, 1.25%, that is average, not these guys, seven times the cost of this fund. that could be a huge drag on the performance when you hold these three, five, 10 years. >> good to see you. cambria global asset allocation etf. thanks for coming in. lori: keeping you ahead of the markets with alan knuckman breaking down the number one thing tomorrow. tomorrow's trade today. >> hi, everyone, i'm gerri willis. coming up on my show at the top of the hour there is a cell phone price war going on with deals we haven't seen in years. it is all great news for consumers. that is just one of the big stories coming up on "the willis report" in just a few minutes.

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david: we have been asking you on social media if you think opec will cut prices production to stablize prizes. >> pry an says opec will have to sooner or later, beyond the certain price decline the world economy will crumble. david: time for number one thing to watch, alan knuckman and i

have difficulties in some things but on these issues we agree 100%, bull's-eye, chief option strategist. the dollar, alan, what will happen with that? >> we saw key reversal on friday. the fact the dollar turned over, made new highs on friday, if it drifts lower that could help resource stocks and provide a little bit of relief in the stock market from the continued downward push. yesterday's low of 20.33 in the s&p futures is where the market accelerated on the downside. 2350 is the mid point of highs on friday to today's lows. we'll see if we get to that by the weekend. >> what does that mean, alan, with respect to continued selling. we saw selling accelerate into the closing bell. >> it did accelerate into the closing bell. this is disappoint pointment we weren't able to hold yesterday's lows. we're in holiday mode. there is no earn. it will be technically driven. we'll see if buyers step up to

find value. david: why don't you drive here to new york in a tesla and give it to me as christmas present. i would drive a tesla if you gave it to me. >> you want a test lakes good to see you, my friend. thank you very much. >> "willis report" is next. gerri: imgerri willis. we begin tonight with the billion dollars, billion dollars going back to consumers wallets. that savings from lower oil prices. now those prices plunging today, to five-year lows after opec slashed its outlook for 2015. however, your 401(k) probably took a hit as energy stocks pulled all three major indexes into the red. we're covering all angles with steve moore, chief economist at the heritage foundation and teddy weisberg, founder and president of seaport securities. welcome to you both. great to have you here. let's start, steve, with that windfall to consumers. the lower oil prices, i know a lot of people see bad in this. i see a