hi, everyone. welcome to "on the money." i'm becky quick. new record highs. the markets heat up for august but will it be a september to remember? from former presidents to billionaires, everyone seems to be taking the ice bucket challenge. is it changing the way people give? and does it actually raise money? investing for retirement with a set it and forget it plan. they are called target date funds but are they right for you? why brad and angelina's new business venture might make you think pink and how that glass of rose could please your palate and your portfolio. "on the money" starts right now. >> this is america's number one financial news program. "on the money." now, becky quick.

here's a look at what's making news as we head into a new week "on the money". it's starting to sound like a broken record but it's one man investors like. for the 28th time this year, the s&p 500 hit a new high on thursday, closing above 1992. it was up for the fourth consecutive day. the dow was within about half a percent of its all-time record, above 17,000, while the nasdaq closed in on a new 14 1/2 year high, its best winning streak of six months. but the markets were mixed on friday. earning season is cooking along with a lot of big retailers coming in with profit reports. home depot and its rival lowe's beat earnings expectations as did staples and the gap. target missed and lowered its outlook, and sears lost more than expected. if you were planning on traveling on labor day you will probably have a lot of company. aaa says nearly 35 million people will be hitting the roads for the holiday. that's the biggest number since 2008. and you can stop hoarding your jars of nutella. even though the price of hazelnuts, the key ingredient,

has spiked, the maker of nutella says there is no foreseeable impact on the availability of that sweet treat. but they had no comment on whether the prices for its products would go up as a result. a quiet week in august sees the markets turn red-hot. the fed goes on a retreat and are more record-setting days in store? joining us is mike holland, chair of holland and company. mike, thanks so much for being here. so last week it seemed like all anyone cared about were the troubles in europe, what we have seen geopolitically. this year, forget about it. we are back at record days again. what happens? do we care about this stuff or not? >> we care, but the markets since 2008 have been in this crazy psychological position that bad news gets reflected quickly but not dramatically because the scars of 2008 took the markets down so far that the fed said we have to do something to repair them, and they have continued to support the markets. >> how much do you think of what's happening here is really

a reason for stocks rallying because of what businesses are doing, what earnings are doing, and how much of it do you think is still the fed? >> they are both intertwined. the fed is watching. it's a great question, because janet yellen recently said in jackson hole that the economy is doing better, but not so much better that they can act precipitously, that is, it's going to be at least next summer or further out that they are going to do anything at all. so that means that we now have the federal reserve supporting the market, we have the ecb, the european central bank, doing the same thing. yet to come maybe with quantitative easing. and we have the peoples bank in china doing the same thing and probably the japanese as well. so you have all of these global forces underpinning stock prices around the world. and the economy in the u.s. is the leader right now, to come back to your question. >> you sound like you think stocks are cheap here. is that fair? >> they were incredibly cheap in 2008. i think right now, they are reasonably valued, maybe slightly undervalued. i think before this bull market is over, what we are going to get is overvaluation.

that's a classic bull market. i think we are still in the middle stages of this bull market. >> so you are not afraid of stock prices here. >> to the contrary, i think stock prices are okay. people have been talking about the edge, you listen every morning to people talk to you about corrections, corrections, corrections. they talk about it ad nauseam since 2008. we haven't had a significant one. we will get one before this bull market is over but i don't believe this bull market is over, which means stock prices are still probably likely to go higher rather than lower. >> you think the market will continue to ignore geopolitical risks that are out there? in fact, more than just risks. these are terrible headlines we see every day. >> awful headlines. i think things are going in the middle east and in ukraine, are substantial enough so that at any point there could be a major catalyst for a major correction in this bull market. when it happens, i think we will look back at the end of this bull market and say that was a time once again to buy if we have a 10, 15, 20%, whatever the number is. i think yes, for me, that's the

most significant item out there for the down side. >> yeah, that's what i was going to ask. what could potentially jump out and surprise us? where do you look for the surprises? i know we never know where the next one's coming. >> definition of a surprise. we don't know when it's coming. but we do have putin and isis and those two things by themselves are enough to say -- i always have cash. this has been the easiest bull market of my career. it's been a wonderful bull market but i have had cash, some cash, because we can get these kinds of awful surprises at any time. >> are you talking about more than 10% in cash? >> no. for me, 10% to 15% is plenty. doesn't mean i don't lose money in a correction. i just feel better at night. >> is it something when you see a pull-back of 4% to 5% like we saw in the last few weeks, is that enough to lure you in? are you looking for a bigger drop, 10%? >> no, you have such a great relationship with warren buffett and whenever you see him, like 2008, you have to have a major, major decline and you have to have people really just throwing

up stocks. and that's when he goes and 4% to 5% certainly doesn't justify that kind of a reaction. but if we got it 10%, 15%, 20% reaction in the market, of course you have to start looking at things, back to what he likes to do which is buy great companies at a reasonable price. >> all right. mike i want to thank you so much for joining us today. up next, we are "on the money." from celebrities to business leaders. baby, it is cold outside. they are all taking the ice bucket challenge. but what's really doing in terms of the world of charity, how much is it helping? the newest addition to brad pitt and angelina jolie's portfolio is one popular wine. we will be tasting their sold out rose. all part of the business for pink wine. as we head to break, take a look at how the stock market ended .

all right. i am here with my friend, friend and colleague, joe, who will help me out with the als challenge. this is for a great cause. i was nominated by wendy burke of brain injury alliance in new jersey. i'm nominating warren buffett, sarah blakeley and bobby codeck. you guys go. >> i love my job. >> you're going to count down three, two, one, and then i'll do it. okay? >> my friend and colleague, three, two -- three, two -- oh! okay. wow. that was cold. >> that was me, in case you can't tell. it was taking the ice bucket challenge to raise money for als and challenging warren buffett of berkshire hathaway to do the same.

for good measure, i would also like to challenge my daughter natalie because charitable giving should be a family affair. what exactly is this phenomenon, how did it all get started and is it really helping? joining us, melissa berman, president and ceo of rockefeller philanthropy advisors and lance slaughter, chief development officer of the als association. thank you both for being here today. >> a pleasure. >> pleasure to be here. thank you. >> i would like to talk a little about what we have seen happening. lance, you have seen politicians, celebrities, business leaders, sports figures, everybody dousing themselves with ice water to raise awareness and money for als. as of friday it raised more than $31 million. i just wonder, were you surprised when this all took off? >> we are pleasantly surprised. and just to provide an update, as of friday morning, it's raised over $53 million. >> wow. >> we are absolutely thrilled about that. we are surprised. it's important to note that this did begin within the als community as an awareness campaign with a challenge to contribute some funds to the

cause. but it grew as an awareness campaign and i think the dynamic that showed up, and this is really philanthropy 101, is that it promoted concern. as people became more aware about it and even as the first few participants didn't have any understanding but others who did started to learn about it, research it, understanding the devastation of the disease, again, it promoted concern and that's what actually led to contributions to where we are now. so we are thrilled about that. although not surprised in terms of the outpouring of support, because we have known for decades this is a devastating disease and quite frankly, did warrant much more attention than it's received. >> how does that $53 million that you have raised, how does that match up against where you were a year ago? >> for the first three weeks of august we raised $2.2 million. as of friday, again, we have raised $53.3. so we have raised over $50 million more than we raised this time last year. >> and lance, have you done anything to try and make sure

that it doesn't fizzle out or has this been completely viral? >> it has been led by those who are participating. i think from an organizational standpoint, where we have tried to stay in front is allowing people and using our social media platforms to expand its reach and as you have probably learned over the past week, it's been global. the next piece, of course, is acknowledging the generous support that we have received from the community, from business leaders, from companies, and then of course, the next step for us will be to inform progress and impact from their contributions. >> melissa, have you ever seen a viral campaign catch on like this before? >> you know, we have never seen anything like this that was not connected to a natural disaster or some kind of particular catastrophic event. this is really a game changer for raising money and for how people are doing charitable giving. >> i just wonder, is this something that is bringing all

new charitable money into it? you think it's drawing away from other charities? just trying to figure out how you think it plays out. >> you know, we won't really know the answer to that question for about another year, until we see, you know, what total giving levels look like for 2014 and how that stacks up. i think many of the people who are responding so generously to this challenge are doing something in addition to giving to their favorite long-time charities. so i think a lot of this is new money. obviously there are some people who are part of this challenge for whom decisions have to be made. they just don't have that much extra income, and so they may have to trade one off for the other. but i think we have uncorked a new way for people to participate and i think that at the end of the day it will be a lot of new money. >> do you think that other charities will find ways to not necessarily copycat, but find something that they can do that's similarly drawing attention to their charities? >> sure.

i think the lesson from this is that you can really get people deeply engaged through this combination of something which is social media but also something which is very literally tactile and personal. so the idea that this is a personal act and that you are personally dousing yourself, there's an immediacy to that which obviously gets a lot of attention, and then using social media to spread it. the combination of that online experience and the real world experience is really powerful. >> lance, i know this was supposed to be either you douse yourself or you give to your charity, you give to als, but this is a situation where i think a lot of people are dousing themselves and giving to als, correct? >> well, the numbers certainly speak to that. we have received contributions from over one million new donors, so clearly, those participating have i think

understood more clearly the urgent nature of this disease and have decided to contribute. >> yeah. it's a very important cause. my check's on the way, too. i want to thank you both for joining us today. >> thank you. up next, we are on the money. rose revelation. when drinking pink's a booming business. this line is nothing to blush at. and set it and forget it. investing for retirement. sounds like a winner but there's a lot you need to know before you sign up. you can find us on facebook, facebook.com/otm.

well, are you ready to drink pink? rose wine which is typically associated with warmer weather is on a huge growth spurt right now. production and sales figures far outpace the u.s. wine market. joining us right now for a taste is ri ray isle food and wine's executive wine editor. thanks for being here. >> thanks for having me. great to be here. >> rose, i never thought of this as being super classy until about a year ago. >> it's funny, rose, this is dried rose we're talking about which is very different from white zinfandel, it was so popular it kind of destroyed the market for rose. now rose has come back. it's been booming. it's like it's been double digit growth for the past nine years. last year, it's 39% growth by volume, 48% growth by value. it's taken off. in a big way. >> what is rose wine? is it a blend of grapes?

>> what it is, you use red grapes for it, for the most part. what you do, all the color in wine comes from the skins of the grapes. so rather than let it saturate for a long time and turn dark red, you basically let it soak for a little while and then get the skins out of there and you end up with this pale pink or peach color wine. wineries love it because red wine, you sit on for two or three years before you sell it. rose, out the door and lot of cash flow. >> so how fancy are they? why don't we try some? >> let's try it. the nice thing about rose, it is actually very affordable. it's a nice quality, you know, good quality to price ratio. >> because it's right out the door. >> right out the door, and because the category has been forgotten for so long, the prices haven't climbed back up. this first one is from provence. kind of the heartland of rose. i love this one. this is a $15 rose, you can probably get it for $12 or $13. >> i don't know what i'm supposed to smell. >> it smells like wine, first. all the wine does.

but it's got that slightly floral and slightly berry kind of scent. take a sip. what you get when you taste it -- >> i like it. >> yeah. it's really likeable. the nice thing about rose, it has some of the fruit characteristics of red wine, the fruitiness, but it has the zippiness of a white wine. it's perfect for summer. >> it's not too sweet, though. >> this is not sweet at all. that's the big difference between this and white zinfandel. the next one is kind of fun. the next one is miroval, the brangelina property. this is the brad pitt and angelina jolie product they launched and has been selling out. >> you can't get it. >> you can't get it. it's a little more expensive. you are paying an upcharge for -- >> for the brand. >> for the brand. >> that's not bad. only $25. >> it's $25. it's actually a really good wine. they hired a very, very good wine maker from france to make it for them. they brought in really top quality talent and they also,

the property itself is a beautiful vineyard. >> what about the darker pinks? >> i wanted to bring this because what's happened with the popularity of rose is that now, it used to be france made, you know, rose, italy made a little rose, u.s. made some rose. now every single wine country makes rose. this is a south african rose. it's darker because it is actually made from cabernet sauvignon grapes. little more intense flavor. >> that is stronger. >> a little fruitier, almost spicy on the end. at the same time, you chill it down, summer, something like that with a barbecue, with sausages or even burgers, it's a great option. >> i'm no wine critic but that tasted like cotton candy. i like it. >> what it tastes like to you is what it is. >> this is a summer drink, though? >> well, it's a summer drink, honestly i think it's great year round. however, in terms of the market for the wine, there's a huge fall-off in sales post labor day. so if you are looking for sales on rose, september is the month

because retailers are trying to get it out the door. it's very hard to sell in the winter months. >> ray, thank you as always. great having you here. this was really yummy. >> cheers. absolutely. up next, "on the money," a look at the news for the week ahead and if you could just put your money away, watch it grow and not worry, would you do it? some retirement funds say that's just what they offer. why they may not be right for everyone, though.

for more on our show and on

our guests, go to our website, otm.cnbc.com and follow us on twitter. @onthemoney. here are the stories coming up that may impact your money this week. on monday we will be getting the closely watched new home sales number for the month of july and the u.s. tennis tournament gets under way in new york city. on tuesday, the durable goods orders are released. that's an important indicator of manufacturing activity. we will also be getting the kay shiller home price index that day as well. on thursday, we will be getting the second reading of the gross domestic product. friday is the ninth anniversary of hurricane katrina, the storm that devastated new orleans back in 2005. a growing number of retirement savers who consistently participate in 401(k) plans are starting to put their money into target date funds but are these funds really the best vehicle to help investors reach their retirement goals? joining us right now is personal finance correspondent sharon epperson. sharon, how do these funds actually work? >> well, target date funds invest in a mix of stocks and bonds and other asset classes based on your age and they

rebalance over time as you get closer to your retirement date. so what they're going to do is be more aggressive and invest mostly in stocks as you're younger and then get more conservative as you get older, investing more in bonds but they may not be right for everyone. >> target date funds are basically a one-stop solution, i would say, to give you your allocation to your equities and your bonds and give you a diversified portfolio and it changes over time. target date funds aren't for everyone. you know, they are made for the average investor. >> sharon, who are target date funds right for? >> they are really great for people who want to be hands-off investors, they don't know if they want a small cap, large cap, international, they don't know the mix they want. they're not interested in rebalancing over time or don't know when to rebalance and also know when they want to retire. their target date for this fund is actually their retirement date and they are pretty sure they are going to make it to that date. that's the tricky part because some people may say i'm going to invest in a 2020 fund because

that's when i want to retire, knowing good and well they will probably have to work longer to get to that point. >> it sounds like it's an automatic pilot plan but you better not change your plan for where you want to go along the way. >> that's a very good point. that's one of the big debates about these funds, is are they really right for everyone, if they don't know when they are going to retire. there are a lot of advantages to them as well, though. when you think about a target date fund, it's very simple asset allocation, so if you are someone who really wants someone to lay it out for you, that's a great choice for you. also, the diversified mix of stocks and bonds at a relatively low cost is something that attracts a lot of investors. and then the fact that it's automatically rebalancing, that's something that a lot of investors like as well. >> i guess my question is these are relatively new instruments. do we have any sort of a track record that we can look at? have they done what they were advertised to do? >> there has been some concern that in some cases, they haven't but it may be that people aren't really aware of what some of the disadvantages of these funds

are, and we can see that mix shift sometimes unexpectedly, and that is at the discretion of the fund. while it says it's going to be allocated at a certain way, they may change that allocation so that's something to keep in mind. remember, this target date fund is a fund that's kind of a one-stop solution for a lot of people. they don't really know your individual goals. so it may not be right for you specifically. >> sharon, thank you. >> sure. that's the show for today. i'm becky quick. thank you so much for joining me. each week, you can keep it right here. we are "on the money." see you next weekend.

>> the curse of the renewed vow >> the curse of the renewed vow. hi everybody welcome to "access hollywood". this is weekend edition. heidi and seal and cori and dean and maybe nick and may rye after evidence suggest that when stars say i do again it is soon followed by now i don't. >> he plans on his giving me some more present. probably like one a day for the next three years. >>reporter: happy pair before the rumor began. nick reportedly confirmed today they had been living in separate houses for a few months. the elaborate vow renewal. last year nick and mariah shut down disneyland f