1 00:00:06,200 --> 00:00:09,200 Speaker 1: Welcome to fear and greed business news you can use Today. 2 00:00:09,240 --> 00:00:11,880 Speaker 1: The ASX hits its lowest point this year, and the 3 00:00:11,880 --> 00:00:14,200 Speaker 1: only big winners so far in twenty twenty six have 4 00:00:14,280 --> 00:00:17,639 Speaker 1: been energy companies. The RBA is expected to announce a 5 00:00:17,760 --> 00:00:21,439 Speaker 1: twenty five basis point hike this afternoon, and major lenders 6 00:00:21,480 --> 00:00:24,400 Speaker 1: fighting what could be billions of dollars worth of fraudulent 7 00:00:24,480 --> 00:00:28,200 Speaker 1: home loans, plus the Corporate Regulator tells younger Australians to 8 00:00:28,280 --> 00:00:31,920 Speaker 1: sense check the financial advice they're receiving online. And Donald 9 00:00:31,920 --> 00:00:36,520 Speaker 1: Trump threatens NATO after allies decide not to send warships 10 00:00:36,560 --> 00:00:39,920 Speaker 1: to the Strait of Homuz. It is Tuesday, the seventeenth 11 00:00:39,960 --> 00:00:43,160 Speaker 1: of March twenty twenty six. I'm Michael Thompson and good morning, 12 00:00:43,159 --> 00:00:43,879 Speaker 1: Sean Aylmer. 13 00:00:44,280 --> 00:00:46,920 Speaker 2: Morning Michael love Althome. Thrown in a quick story at 14 00:00:46,960 --> 00:00:48,520 Speaker 2: the end there which you're not even aware of, about 15 00:00:48,840 --> 00:00:49,760 Speaker 2: men wearing makeup. 16 00:00:50,520 --> 00:00:52,879 Speaker 1: Look forget that, Okay, all right, we'll get to that 17 00:00:52,920 --> 00:00:54,760 Speaker 1: one in a little bit. A lot to cover before 18 00:00:54,800 --> 00:00:57,320 Speaker 1: we get there, though, Sawn the main story this morning. 19 00:00:57,360 --> 00:01:00,920 Speaker 1: The local share market hit a three month low yesterday 20 00:01:01,240 --> 00:01:04,720 Speaker 1: ahead of a likely hiken interest rates this afternoon. Miners 21 00:01:04,840 --> 00:01:07,039 Speaker 1: were sold off as a price of gold fell below 22 00:01:07,160 --> 00:01:10,039 Speaker 1: five thousand US dollars announced, while the war in the 23 00:01:10,040 --> 00:01:13,959 Speaker 1: Middle East is certainly keeping energy prices elevated. By the close, 24 00:01:14,360 --> 00:01:17,280 Speaker 1: the S and PASX two hundred was down zero point 25 00:01:17,400 --> 00:01:20,880 Speaker 1: four percent to eighty five hundred and eighty three points 26 00:01:21,440 --> 00:01:24,440 Speaker 1: BHP four to SCU Metals, Rio Tinto. They were all 27 00:01:24,480 --> 00:01:27,640 Speaker 1: sold off, while the gold stocks tumbled. Northern Star fell 28 00:01:27,720 --> 00:01:30,000 Speaker 1: five percent, Evolution was off more than two percent. 29 00:01:30,240 --> 00:01:32,280 Speaker 2: It's been a pretty dramatic year for the market. Really 30 00:01:32,319 --> 00:01:35,000 Speaker 2: mean the deck yep. The Tech index so far this 31 00:01:35,120 --> 00:01:37,679 Speaker 2: year is down twenty two percent as investors fall out 32 00:01:37,720 --> 00:01:40,840 Speaker 2: of love with tech companies. Now that's happened on Wall 33 00:01:40,880 --> 00:01:43,120 Speaker 2: Street too. All Magnificent seven tech stocks are down in 34 00:01:43,160 --> 00:01:45,880 Speaker 2: twenty twenty six. The healthcare index in the ASEX been 35 00:01:45,920 --> 00:01:48,640 Speaker 2: sold off sharply. That's pretty much in the back of CSL. 36 00:01:49,040 --> 00:01:53,160 Speaker 2: Property and consumer discretionary indices have also tumbled. However, if 37 00:01:53,200 --> 00:01:55,160 Speaker 2: you're buying the energy index at the index at the 38 00:01:55,200 --> 00:01:57,640 Speaker 2: beginning of the year, well done, you're looking pretty good. 39 00:01:57,640 --> 00:02:00,760 Speaker 2: It's up twenty five percent. That's oil, that's that's cole 40 00:02:01,000 --> 00:02:03,240 Speaker 2: plus others. It means the top twenty stocks on the 41 00:02:03,240 --> 00:02:05,960 Speaker 2: AX now just look a bit different from the beginning 42 00:02:05,960 --> 00:02:07,720 Speaker 2: of the year. The top five of the four big 43 00:02:07,760 --> 00:02:10,919 Speaker 2: banks plus BHP Woodside is now a top ten company, 44 00:02:10,919 --> 00:02:13,800 Speaker 2: Bigger than Telstra, bigger than Real, bigger than Goodman. No 45 00:02:13,960 --> 00:02:16,480 Speaker 2: Tech stops in the top twenty. Aria Group is the biggest, 46 00:02:16,480 --> 00:02:19,280 Speaker 2: coming in at number twenty four. Maybe the surprise packet 47 00:02:19,280 --> 00:02:23,639 Speaker 2: though lineus Rare earths. Its share price has tripled over 48 00:02:23,680 --> 00:02:26,320 Speaker 2: the past year. It is now the twenty fifth largest 49 00:02:26,320 --> 00:02:30,360 Speaker 2: company on the Bourse with twenty one billion dollars. Quite incredible. 50 00:02:30,919 --> 00:02:34,480 Speaker 1: That is a staggering result to have tripled, that is amazing. 51 00:02:34,800 --> 00:02:37,800 Speaker 1: Now Sean, what's going on in the Middle East is 52 00:02:37,840 --> 00:02:40,760 Speaker 1: having an impact away from share markets as well. The 53 00:02:40,800 --> 00:02:44,600 Speaker 1: ABC is reporting that demand at the pump, the petrol 54 00:02:44,639 --> 00:02:49,240 Speaker 1: pump has surged thirty five to forty percent in some areas, 55 00:02:49,760 --> 00:02:52,960 Speaker 1: and it's not necessarily because it's a shortage. It's because 56 00:02:52,960 --> 00:02:57,680 Speaker 1: people are basically filling up everything they can find, jerry cans, 57 00:02:57,919 --> 00:02:59,399 Speaker 1: you name it, bathtubs. 58 00:03:00,080 --> 00:03:03,360 Speaker 2: To make matters worse, Michael, South Korea, which supplies about 59 00:03:03,360 --> 00:03:06,760 Speaker 2: twenty one percent of our refined fuel, has started capping 60 00:03:06,840 --> 00:03:10,240 Speaker 2: how much its refiners are allowed to export. They're looking 61 00:03:10,240 --> 00:03:13,000 Speaker 2: after themselves first, just as we would now and dig 62 00:03:13,000 --> 00:03:18,120 Speaker 2: you Minister Chris Bowen insists supply remain secure. Dah No, 63 00:03:18,200 --> 00:03:21,400 Speaker 2: that cushion's just getting a little thinner. It's not plump anymore, 64 00:03:21,840 --> 00:03:22,760 Speaker 2: just a little thinner. 65 00:03:23,240 --> 00:03:26,920 Speaker 1: And I know they're saying there's not shortages, but anecdotally 66 00:03:27,000 --> 00:03:32,200 Speaker 1: there certainly does seem to be more instances of Bowser's 67 00:03:32,280 --> 00:03:34,760 Speaker 1: being out of order. For instance, there was no diesel 68 00:03:34,800 --> 00:03:36,720 Speaker 1: available at my local service. 69 00:03:38,200 --> 00:03:40,080 Speaker 2: Have you told us yesterday you filled up and cost 70 00:03:40,080 --> 00:03:42,200 Speaker 2: you're two hundred and something dollars to fill up. Yeah, 71 00:03:42,320 --> 00:03:43,520 Speaker 2: you're getting more already. 72 00:03:43,720 --> 00:03:46,120 Speaker 1: No, no, no. This was the day before I had 73 00:03:46,120 --> 00:03:49,240 Speaker 1: gone in search of diesel, couldn't find any, had to 74 00:03:49,280 --> 00:03:50,800 Speaker 1: then get it the next day. And that was when 75 00:03:50,840 --> 00:03:52,720 Speaker 1: I said, you know what, I will pay whatever I 76 00:03:52,800 --> 00:03:54,760 Speaker 1: need to now in order to get it. I am 77 00:03:54,800 --> 00:03:56,360 Speaker 1: panic buying here, Sean. 78 00:03:56,160 --> 00:03:58,080 Speaker 2: Good go on a bust. But of course you know, 79 00:03:58,160 --> 00:04:02,360 Speaker 2: we bought an EV about two months ago and one 80 00:04:02,360 --> 00:04:04,880 Speaker 2: of the kids, Lockie, he's an electrician. He put in 81 00:04:04,960 --> 00:04:07,560 Speaker 2: the charging apparatus for us yesterday. 82 00:04:07,880 --> 00:04:13,640 Speaker 1: I was worried about it. Oh well, Lardi cruising around 83 00:04:13,680 --> 00:04:16,320 Speaker 1: down on twenty dollars worth of electric charge, and here 84 00:04:16,360 --> 00:04:19,000 Speaker 1: I am with two hundred dollars worth of diesel in 85 00:04:19,040 --> 00:04:20,760 Speaker 1: the tank, and I'm too scared to use it because 86 00:04:20,800 --> 00:04:22,360 Speaker 1: if I do that and I can't get me more, 87 00:04:22,360 --> 00:04:24,640 Speaker 1: I'm going to be walking for a very long time. Sean, 88 00:04:25,120 --> 00:04:28,520 Speaker 1: It's rate decision day today, two thirty This afternoon, the 89 00:04:28,600 --> 00:04:31,000 Speaker 1: RBA is likely to tell us that rates will rise. 90 00:04:31,240 --> 00:04:33,960 Speaker 1: Bond markets are pricing in about it. It was a 91 00:04:33,960 --> 00:04:37,880 Speaker 1: three and four chance of a hike. All four of 92 00:04:37,920 --> 00:04:41,279 Speaker 1: the big banks are tipping it. But the conversation has 93 00:04:41,320 --> 00:04:45,200 Speaker 1: shifted a little. You got HSBC's Paul Bloxham, who is 94 00:04:45,240 --> 00:04:49,359 Speaker 1: in fact a former Reserve Bank economist. He wrote that 95 00:04:49,400 --> 00:04:54,359 Speaker 1: Australia's economy needs a downturn to get inflation back to target. 96 00:04:54,480 --> 00:04:57,680 Speaker 1: He called it effectively the contraction that we need to 97 00:04:57,720 --> 00:04:59,920 Speaker 1: have as opposed to the recession we had to have. 98 00:05:00,080 --> 00:05:01,719 Speaker 1: Yes stand and very familiar, isn't it? 99 00:05:01,839 --> 00:05:03,400 Speaker 2: Yeah? It is. I mean, I actually think it's a 100 00:05:03,400 --> 00:05:05,320 Speaker 2: bit surprising. The bond mark is only priced in a 101 00:05:05,360 --> 00:05:07,800 Speaker 2: seventy five percent chance of rate high given that most 102 00:05:07,839 --> 00:05:12,400 Speaker 2: economists think it will happen. Yesterday commbanks. Matt Common was 103 00:05:12,440 --> 00:05:15,160 Speaker 2: at a summit. He said the economy is incredibly resilient. 104 00:05:15,440 --> 00:05:19,360 Speaker 2: At the same summit summit the chair of Opera John Lonsdale, 105 00:05:19,440 --> 00:05:22,919 Speaker 2: he said banks can't be complacent about the Middle East 106 00:05:23,000 --> 00:05:26,840 Speaker 2: War's impact. So anyway we find all that out at 107 00:05:26,880 --> 00:05:30,119 Speaker 2: two point thirty this afternoon. The whole idea of having 108 00:05:30,160 --> 00:05:32,800 Speaker 2: a sort of a downturn you need to have. I've 109 00:05:32,839 --> 00:05:37,760 Speaker 2: actually in today's newsletter, I've quoted Paul exactly his argument 110 00:05:37,839 --> 00:05:41,159 Speaker 2: on it, and it's really really interesting. So once you've 111 00:05:41,360 --> 00:05:43,360 Speaker 2: listened to this and you get to your desk, log 112 00:05:43,440 --> 00:05:46,240 Speaker 2: on how a good the newsletter, see what Paul Blossom 113 00:05:46,240 --> 00:05:46,720 Speaker 2: had to say. 114 00:05:47,000 --> 00:05:49,760 Speaker 1: Yeah, and if you haven't subscribed, head along to Fearangreed 115 00:05:49,800 --> 00:05:51,279 Speaker 1: dot com today you or put a link in the 116 00:05:51,279 --> 00:05:54,600 Speaker 1: show notes. Sean, just before we go to a break, 117 00:05:54,640 --> 00:05:56,599 Speaker 1: I want to give a quick mention of the Q 118 00:05:56,720 --> 00:05:58,880 Speaker 1: and a interview that we have coming up after the 119 00:05:58,920 --> 00:06:02,280 Speaker 1: show today. A real kind of change of pace. This 120 00:06:02,320 --> 00:06:05,039 Speaker 1: one is it is part of our series that we 121 00:06:05,120 --> 00:06:07,680 Speaker 1: have done with the team from Salesforce as part of 122 00:06:07,720 --> 00:06:11,440 Speaker 1: their Agent Force World tour. You're speaking with Kevin Doyle today. 123 00:06:11,839 --> 00:06:13,719 Speaker 2: Yeah, it's a great. It's kind of the nuts and 124 00:06:13,800 --> 00:06:17,920 Speaker 2: bolts of you know, working as a business, as a 125 00:06:17,960 --> 00:06:21,960 Speaker 2: small and medium sized business, working not just with salesforce, 126 00:06:22,000 --> 00:06:25,400 Speaker 2: but with AI and technology and how you go about 127 00:06:25,440 --> 00:06:28,240 Speaker 2: doing it. And it's just really practical. That's what I 128 00:06:28,320 --> 00:06:28,960 Speaker 2: like about this one. 129 00:06:29,040 --> 00:06:32,880 Speaker 1: Yeah, it's kind of you know how agentic AI is 130 00:06:32,920 --> 00:06:35,680 Speaker 1: one of those terms that you just see everywhere. Now, 131 00:06:36,240 --> 00:06:39,159 Speaker 1: this is a great cheat sheet, Like if you're seeing 132 00:06:39,200 --> 00:06:41,360 Speaker 1: that everywhere and going, I don't know what it is, 133 00:06:41,560 --> 00:06:43,280 Speaker 1: I don't know how it works, I don't know how 134 00:06:43,320 --> 00:06:45,359 Speaker 1: to do it. Listen to this one. It's coming up 135 00:06:45,360 --> 00:06:47,960 Speaker 1: a little bit later on quick Breakshawan back with more 136 00:06:47,960 --> 00:06:50,279 Speaker 1: in a moment. We'll have the rest of the day's 137 00:06:50,279 --> 00:07:01,600 Speaker 1: business news right after this beyond. Major lenders are working 138 00:07:01,640 --> 00:07:05,080 Speaker 1: with the Financial Crimes watchdog to determine the extent of 139 00:07:05,120 --> 00:07:08,919 Speaker 1: a mortgage fraud scandal after a Commonwealth Bank commissioned report 140 00:07:09,160 --> 00:07:13,480 Speaker 1: suggested that the number of loans based on doctor documents 141 00:07:13,640 --> 00:07:16,720 Speaker 1: could be well beyond an earlier one billion dollar estimate. 142 00:07:18,120 --> 00:07:20,560 Speaker 2: The report was authored by Equafax, one of the world's 143 00:07:20,600 --> 00:07:23,440 Speaker 2: largest credit bureaus, at Commonwealth Bank's request, found that a 144 00:07:23,480 --> 00:07:27,560 Speaker 2: number of customers who had obtained mortgages using fraudulent documents, 145 00:07:27,600 --> 00:07:32,360 Speaker 2: including some generated by artificial intelligence, had also taken out 146 00:07:32,400 --> 00:07:35,200 Speaker 2: loans with other banks. According to report in the fin Review, 147 00:07:35,440 --> 00:07:38,480 Speaker 2: the mortgage lanes taken out with CBA are being paid down, 148 00:07:38,520 --> 00:07:41,560 Speaker 2: so being paid back, but the use of large overseas 149 00:07:41,600 --> 00:07:45,240 Speaker 2: deposits is a potential red flag that a crime syndicate 150 00:07:45,400 --> 00:07:49,080 Speaker 2: is using the property transactions for money laundering. The loans 151 00:07:49,120 --> 00:07:51,600 Speaker 2: taken out with other bank's amount to at least another 152 00:07:51,640 --> 00:07:54,200 Speaker 2: billion dollars according to the report. Not yet clear if 153 00:07:54,360 --> 00:07:57,800 Speaker 2: these loans mostly with the big guys Westpac, AINZ, Ed National, 154 00:07:57,800 --> 00:08:00,680 Speaker 2: Australia Bank, Macquarie or their sub brands. Not sure whether 155 00:08:00,680 --> 00:08:03,440 Speaker 2: they're obtained using fraudulent documents yet, But we're going to 156 00:08:03,480 --> 00:08:04,880 Speaker 2: hear a lot more about this one. 157 00:08:05,240 --> 00:08:07,760 Speaker 1: Yeah, we certainly will. Now after two and a half years, 158 00:08:07,760 --> 00:08:11,640 Speaker 1: Sean Perpetual has finally sold its wealth business, agreeing to 159 00:08:11,720 --> 00:08:14,320 Speaker 1: sell the private equity group Bane Capital for about five 160 00:08:14,400 --> 00:08:15,320 Speaker 1: hundred million dollars. 161 00:08:16,200 --> 00:08:18,840 Speaker 2: Under the deal, Perpetual retain rights to its name, which 162 00:08:18,920 --> 00:08:22,480 Speaker 2: had been a sticking point previously. Perpetual said it will 163 00:08:22,600 --> 00:08:24,800 Speaker 2: use the bulk of funds to pay down debt Originally, 164 00:08:24,800 --> 00:08:27,560 Speaker 2: Perpetual did a deal to sell its corporate trust business 165 00:08:27,840 --> 00:08:31,240 Speaker 2: to private equity group KKR that was abandoned after an 166 00:08:31,320 --> 00:08:35,160 Speaker 2: unfavorable tax ruling. Investors welcomed the deal yesterday, though Perpetual 167 00:08:35,240 --> 00:08:38,360 Speaker 2: share price closed up two percent. It will effectively keep 168 00:08:38,440 --> 00:08:40,960 Speaker 2: running the corporate trust and funds management business while the 169 00:08:41,000 --> 00:08:43,280 Speaker 2: wealth management business goes to Bain. 170 00:08:44,120 --> 00:08:47,280 Speaker 1: Now we talk plenty about power sean and the need 171 00:08:47,320 --> 00:08:50,640 Speaker 1: for data centers to potentially create their own power in 172 00:08:50,720 --> 00:08:54,640 Speaker 1: order to operate. One sector that has faced that challenge, 173 00:08:54,679 --> 00:08:57,480 Speaker 1: often in far away places is mining. 174 00:08:58,080 --> 00:09:01,920 Speaker 2: Yes, like what brought this to mind? Yesa's our thirty 175 00:09:01,960 --> 00:09:05,680 Speaker 2: two share price fell six percent after it placed its 176 00:09:05,840 --> 00:09:11,000 Speaker 2: Moses aluminium smelter in Mozambique on care and maintenance. Basically, 177 00:09:11,360 --> 00:09:15,520 Speaker 2: it just can't get sufficient and affordable power. Now the 178 00:09:15,559 --> 00:09:17,280 Speaker 2: diversified minus it will be a one off cost of 179 00:09:17,320 --> 00:09:19,800 Speaker 2: sixty million US dollars ongoing and your cost of about 180 00:09:19,800 --> 00:09:22,600 Speaker 2: five million US. But it just brought to mine when 181 00:09:22,640 --> 00:09:25,200 Speaker 2: we talk a lot about data centers, but somehow these 182 00:09:25,240 --> 00:09:31,040 Speaker 2: miners in far fung flung places managed to get power there. 183 00:09:31,600 --> 00:09:34,160 Speaker 2: Maybe the data center guys could learn off the miners. 184 00:09:34,520 --> 00:09:37,320 Speaker 1: Yeah, you're actually right, and you just wonder how much 185 00:09:37,320 --> 00:09:39,720 Speaker 1: of it is kind of your old school diesel generation 186 00:09:39,840 --> 00:09:41,400 Speaker 1: and all this kind of stuff, and how much is 187 00:09:41,440 --> 00:09:45,760 Speaker 1: the more forward thinking renewable ways of generating power. It 188 00:09:45,840 --> 00:09:49,960 Speaker 1: is a fascinating space, Sean. You're right now. The I'm 189 00:09:49,960 --> 00:09:53,280 Speaker 1: sure you needed my agreement there to confirm that your 190 00:09:53,320 --> 00:09:57,439 Speaker 1: story was interesting. No, no, you don't care. The corporate 191 00:09:57,480 --> 00:10:01,800 Speaker 1: regulator Sean is urging youngest aliens to sense check the 192 00:10:01,880 --> 00:10:05,800 Speaker 1: information they see online, as new research shows nearly two 193 00:10:05,920 --> 00:10:12,560 Speaker 1: thirds of gen Z's gen Z's, gen Z's, genzenzs yeah, okay, 194 00:10:12,760 --> 00:10:16,720 Speaker 1: gen Z's, they're using social media. About one in five 195 00:10:16,760 --> 00:10:20,160 Speaker 1: are using AI to make decisions about their financial future 196 00:10:20,640 --> 00:10:25,280 Speaker 1: now money Smarts gen Z study found that while that 197 00:10:25,480 --> 00:10:30,160 Speaker 1: generation has a strong appetite for reputable and trustworthy financial content, 198 00:10:30,720 --> 00:10:33,320 Speaker 1: many actually struggle to find it, and their search often 199 00:10:33,400 --> 00:10:38,079 Speaker 1: leads them to sources designed for engagement through social media, 200 00:10:38,120 --> 00:10:41,960 Speaker 1: for instance, rather than kind of having accuracy at the 201 00:10:42,000 --> 00:10:42,880 Speaker 1: heart of what they do. 202 00:10:43,320 --> 00:10:45,439 Speaker 2: They need to come straight to fear and greed. 203 00:10:46,080 --> 00:10:49,280 Speaker 1: Absolutely, accuracy and credibility is what we do here. 204 00:10:49,480 --> 00:10:52,960 Speaker 2: That's right. High levels of trust in often unreliable sources 205 00:10:53,000 --> 00:10:56,920 Speaker 2: by some young Australians is contributing to riskier financial decisions, 206 00:10:56,960 --> 00:11:01,200 Speaker 2: such as investment in cryptocurrency based on limited or unproven information. 207 00:11:01,360 --> 00:11:05,160 Speaker 2: According to Ask, sixty three percent of gen Z respondents, 208 00:11:05,200 --> 00:11:07,360 Speaker 2: so we're talking about sort of eighteen to twenty eight 209 00:11:07,400 --> 00:11:10,280 Speaker 2: year olds, so they use social media for financial information 210 00:11:10,320 --> 00:11:14,920 Speaker 2: and guidance. Thirty percent used YouTube, eighteen percent use AI platforms. 211 00:11:15,160 --> 00:11:17,120 Speaker 2: This isn't to say that you know what you see 212 00:11:17,200 --> 00:11:21,000 Speaker 2: on these social media platforms is always wrong. You're just 213 00:11:21,000 --> 00:11:24,400 Speaker 2: going to make sure it comes from someone reputable rather 214 00:11:24,480 --> 00:11:27,400 Speaker 2: than a influencer. More than half of gen Z say 215 00:11:27,400 --> 00:11:31,800 Speaker 2: they somewhatel completely trust financial information on social media and 216 00:11:32,040 --> 00:11:39,360 Speaker 2: from influencers. Fifty two percent trust information from influencers. I'm 217 00:11:39,360 --> 00:11:41,240 Speaker 2: not social, Michael, No, it's a. 218 00:11:41,160 --> 00:11:42,840 Speaker 1: Bit of all. And we talked about this a bit 219 00:11:42,880 --> 00:11:46,000 Speaker 1: because our sister podcast Sean is how do they afford 220 00:11:46,040 --> 00:11:51,400 Speaker 1: that right? Which is Cana Campbell, who is a financial planner, 221 00:11:51,640 --> 00:11:54,600 Speaker 1: qualified licensed, And we talk about this all the time, 222 00:11:54,679 --> 00:11:57,439 Speaker 1: the fact that there is so much information out there, 223 00:11:57,520 --> 00:11:59,800 Speaker 1: and so much of it is on social media, and 224 00:12:00,360 --> 00:12:04,440 Speaker 1: so much of it comes from an entirely kind of unregulated, 225 00:12:04,559 --> 00:12:08,520 Speaker 1: unqualified place, and it is really really dangerous, and if 226 00:12:08,559 --> 00:12:10,840 Speaker 1: you want somewhere to start, how do they afford that 227 00:12:10,880 --> 00:12:14,480 Speaker 1: it's probably a good place to get going now? Radio 228 00:12:14,559 --> 00:12:18,319 Speaker 1: group ARN has been hit with a string of strict 229 00:12:18,440 --> 00:12:23,559 Speaker 1: decency provisions over the quote sexual content of its suspended 230 00:12:23,640 --> 00:12:26,959 Speaker 1: Kyle and Jackie O Breakfast show, ahead of an expected 231 00:12:27,000 --> 00:12:29,920 Speaker 1: announcement about whether it will actually sack the program's outspoken 232 00:12:29,960 --> 00:12:34,640 Speaker 1: co host, Kyle Sandalans. The Yes I Would Say controversial 233 00:12:34,760 --> 00:12:37,720 Speaker 1: Kiss FM program was pulled from the airwaves two weeks 234 00:12:37,760 --> 00:12:42,200 Speaker 1: ago after ARN accused Sandalans of serious misconduct after he 235 00:12:42,280 --> 00:12:47,280 Speaker 1: criticized radio partner Jackie O Henderson in a now notorious 236 00:12:47,640 --> 00:12:48,960 Speaker 1: ten minute on air. 237 00:12:49,040 --> 00:12:52,959 Speaker 2: Tirade yees so Irian terminated Henderson's half of the two 238 00:12:53,040 --> 00:12:56,120 Speaker 2: hundred million dollar decade long deal in the wake of 239 00:12:56,160 --> 00:12:58,640 Speaker 2: the blow up, after she allegedly claimed she was no 240 00:12:58,760 --> 00:13:01,559 Speaker 2: longer prepared to work with her co host Kyle Sandlans. 241 00:13:02,200 --> 00:13:04,480 Speaker 2: They've been together for about twenty five years working together 242 00:13:04,520 --> 00:13:07,920 Speaker 2: at least Sandaland's has been given until today to remedy 243 00:13:08,280 --> 00:13:11,280 Speaker 2: the word an alleged breach of his contract, given it 244 00:13:11,320 --> 00:13:13,440 Speaker 2: appeared he's now longer able to meet his obligation to 245 00:13:13,520 --> 00:13:16,000 Speaker 2: deliver the Kyle and Jackie Oshow without Henderson, he's in 246 00:13:16,040 --> 00:13:19,199 Speaker 2: breach of contract. Yesterday, AARN said that the Industry Watchdog 247 00:13:19,240 --> 00:13:22,719 Speaker 2: was imposing strict conditions following investigations into the Kyle and 248 00:13:22,840 --> 00:13:25,720 Speaker 2: Jackie Osho. They'll remain in effect for five years. 249 00:13:26,280 --> 00:13:29,480 Speaker 1: Okay. Now turning to international news, US President Donald Trump 250 00:13:29,760 --> 00:13:34,400 Speaker 1: says that NATO faces a very bad future if US 251 00:13:34,480 --> 00:13:38,200 Speaker 1: allies fail to assist in opening up the Strait of Hormuz. 252 00:13:38,679 --> 00:13:43,720 Speaker 1: Trump has appealed to China, to France, Japan, South Korea, 253 00:13:43,840 --> 00:13:47,080 Speaker 1: Britain and others to send warships to keep the straight open, 254 00:13:47,480 --> 00:13:50,720 Speaker 1: but none have made a commitment. Australia yesterday confirmed that 255 00:13:50,720 --> 00:13:54,240 Speaker 1: it would not send a warship. Meanwhile, the fighting continues. 256 00:13:54,280 --> 00:13:56,280 Speaker 1: The Trump administration has said it will go on for 257 00:13:56,360 --> 00:13:59,640 Speaker 1: four to six weeks and the ultimate decision to end 258 00:13:59,679 --> 00:14:01,600 Speaker 1: it lies with the US president. 259 00:14:02,400 --> 00:14:06,400 Speaker 2: Also, Israeli Prime Minister Benjamin NETANYAHUO posted a video on 260 00:14:06,440 --> 00:14:10,240 Speaker 2: social media in an attempt to refute rumors circulating online 261 00:14:10,240 --> 00:14:12,800 Speaker 2: and being spooked by Iran that he had been injured 262 00:14:12,920 --> 00:14:16,200 Speaker 2: or killed mid the ongoing conflict. Iran's Foreign minister said 263 00:14:16,200 --> 00:14:19,240 Speaker 2: the country had not sought a ceasefire or negotiations with 264 00:14:19,320 --> 00:14:22,960 Speaker 2: the US, contradicting claims by Trump that Tehran wanted to 265 00:14:22,960 --> 00:14:26,200 Speaker 2: make a deal to buy temporarily halted flights at its 266 00:14:26,280 --> 00:14:30,160 Speaker 2: main international airport hours after a drone strike targeted facilities 267 00:14:30,160 --> 00:14:33,800 Speaker 2: near the airfield, and Trump also made veiled threats at Cuba, 268 00:14:33,880 --> 00:14:36,240 Speaker 2: though did say the US was going to do Iran 269 00:14:36,760 --> 00:14:37,880 Speaker 2: before it did Cuba. 270 00:14:39,560 --> 00:14:41,440 Speaker 1: Good to have her to do this, isn't it Like 271 00:14:41,480 --> 00:14:46,840 Speaker 1: that's just and to telegraph that publicly as well. Sean, 272 00:14:46,920 --> 00:14:51,160 Speaker 1: you alluded to this story earlier. Men are flooding into 273 00:14:51,200 --> 00:14:55,200 Speaker 1: the beauty industry, buying makeup and makeovers. It's thanks to 274 00:14:55,320 --> 00:14:59,080 Speaker 1: changing social attitudes and really kind of glam brand eager 275 00:14:59,160 --> 00:15:03,160 Speaker 1: to explore what is a fairly significant untapped market. 276 00:15:03,320 --> 00:15:06,360 Speaker 2: Yeah, I mean the power of concealer, Michael, the power 277 00:15:06,360 --> 00:15:09,680 Speaker 2: of concealer. It's coming to all of us. According to 278 00:15:09,960 --> 00:15:13,960 Speaker 2: statistic data sided by CNBC in twenty nine to eight, 279 00:15:14,040 --> 00:15:16,440 Speaker 2: less than ten percent of US males will make up 280 00:15:16,960 --> 00:15:21,240 Speaker 2: by twenty twenty four. Twenty five percent today likely to 281 00:15:21,360 --> 00:15:23,960 Speaker 2: be much more. The share of jen Z men who 282 00:15:24,000 --> 00:15:27,080 Speaker 2: reported using facial skin care products also jumped to sixty 283 00:15:27,120 --> 00:15:29,600 Speaker 2: eight percent and the two years to twenty twenty four. 284 00:15:29,960 --> 00:15:34,280 Speaker 2: That's from market intelligence group Mintel. Now retailers have responded 285 00:15:34,280 --> 00:15:37,800 Speaker 2: by bulking up their men's offerings, dialing back gender distinctions, 286 00:15:38,320 --> 00:15:41,960 Speaker 2: allowing for a more neutral presentation, according to Morning Brew newsletter. 287 00:15:42,200 --> 00:15:46,280 Speaker 2: But my favorite stat on this topic, Turkey has become 288 00:15:46,320 --> 00:15:50,200 Speaker 2: a haven for men wanting hair transplants. So aircraft in 289 00:15:50,240 --> 00:15:52,520 Speaker 2: the US can run between eighteen to twenty four thousand 290 00:15:52,680 --> 00:15:58,360 Speaker 2: US in Turkey typically more like about six thousand thereabouts. Really, 291 00:15:58,480 --> 00:16:01,040 Speaker 2: so you got to Turkey, you get at a luxury hotel, 292 00:16:01,120 --> 00:16:07,160 Speaker 2: two to four days, airport transportation, translators, sightseeing tours. According 293 00:16:07,160 --> 00:16:11,760 Speaker 2: to the Turkish Health Tourism Association, one million people travel 294 00:16:11,840 --> 00:16:15,200 Speaker 2: to Turkey for hair transplants, spending about two billion dollars. 295 00:16:15,200 --> 00:16:17,880 Speaker 2: Now that's a twenty twenty two number, so presumably it's 296 00:16:17,880 --> 00:16:18,320 Speaker 2: even more. 297 00:16:18,360 --> 00:16:22,040 Speaker 1: Now. There are so many places I want to go 298 00:16:22,120 --> 00:16:25,360 Speaker 1: with this story right now, Sean, and I'm looking at 299 00:16:25,400 --> 00:16:28,160 Speaker 1: the clock, going I can't afford to go with any 300 00:16:28,240 --> 00:16:30,720 Speaker 1: of them, except just this idea of how amazing that 301 00:16:30,760 --> 00:16:32,720 Speaker 1: would be to go on this incredible holiday and just 302 00:16:32,760 --> 00:16:37,560 Speaker 1: come back with this with him. Glorious mop I loh 303 00:16:37,640 --> 00:16:39,720 Speaker 1: okay pop that one on the to do this? Shall 304 00:16:39,760 --> 00:16:43,840 Speaker 1: we normally sean we would part ways now we would 305 00:16:43,840 --> 00:16:47,080 Speaker 1: say goodbye. Not today. This month we have been profiling 306 00:16:47,200 --> 00:16:53,200 Speaker 1: some really interesting Australian business success stories and they've all 307 00:16:53,240 --> 00:16:54,800 Speaker 1: got one common factor. 308 00:16:55,280 --> 00:16:57,840 Speaker 2: Yes, Mike Gosh. So this is the Fearing Greeds Accelerated 309 00:16:57,920 --> 00:17:00,320 Speaker 2: series with air Wallax, where we explore what it's for 310 00:17:00,360 --> 00:17:05,400 Speaker 2: businesses basically to grow without parameters, without borders and kind 311 00:17:05,400 --> 00:17:07,679 Speaker 2: of having a what next mindset? Why that can be 312 00:17:07,720 --> 00:17:11,719 Speaker 2: your competitive advantage. Each Club, which you're a big fan of. 313 00:17:11,760 --> 00:17:14,399 Speaker 2: Each Club is an app that lets diners access last 314 00:17:14,400 --> 00:17:17,640 Speaker 2: minute discounts at restaurants up to fifty percent off their 315 00:17:17,640 --> 00:17:21,399 Speaker 2: bills to help venues fill empty tables in off peak times. 316 00:17:21,760 --> 00:17:24,960 Speaker 2: Pan Katlakas is the co founder and CEO of Eat Club, 317 00:17:25,119 --> 00:17:27,840 Speaker 2: which uses air Wollox to manage global payments and spend 318 00:17:27,960 --> 00:17:32,920 Speaker 2: management supporting e Club's operations both here and in the UK. Pan, 319 00:17:33,200 --> 00:17:35,440 Speaker 2: Welcome to Fear and Greeds Accelerate a series. 320 00:17:35,880 --> 00:17:36,800 Speaker 3: Thank you for having me. 321 00:17:38,000 --> 00:17:41,200 Speaker 2: You have created a successful business almost out of nothing 322 00:17:41,400 --> 00:17:46,840 Speaker 2: and in an industry dominated by kind of well established incumbents. 323 00:17:46,840 --> 00:17:51,920 Speaker 2: In many ways firstly, how did you do it? And 324 00:17:52,600 --> 00:17:54,320 Speaker 2: you know, how did you think outside the box to 325 00:17:54,359 --> 00:17:54,960 Speaker 2: get it going. 326 00:17:55,600 --> 00:17:58,040 Speaker 3: Yeah, I think it's a good question, and it probably 327 00:17:58,320 --> 00:18:01,119 Speaker 3: probably goes really to our DNA and some of the 328 00:18:01,119 --> 00:18:04,119 Speaker 3: things we did early on that allowed it to take route. 329 00:18:04,240 --> 00:18:09,480 Speaker 3: In the first place. We've always had an innovation first mindset, 330 00:18:09,520 --> 00:18:13,520 Speaker 3: and the first product we released had something that hadn't 331 00:18:13,560 --> 00:18:17,520 Speaker 3: been seen in the restaurant space before, and that was 332 00:18:17,560 --> 00:18:21,400 Speaker 3: the ability for restaurants to create offers in real time 333 00:18:21,480 --> 00:18:24,760 Speaker 3: and in a really granular way. There had been platforms 334 00:18:24,800 --> 00:18:27,400 Speaker 3: before us, like the group buying platforms, where you would 335 00:18:27,400 --> 00:18:31,240 Speaker 3: commit to thousands of offers into the future and you'd 336 00:18:31,240 --> 00:18:33,119 Speaker 3: often have to change them or edit them with your 337 00:18:33,160 --> 00:18:37,040 Speaker 3: account manager. How we changed that paradigm was by providing 338 00:18:37,080 --> 00:18:39,920 Speaker 3: restaurants the ability to do that all in real time 339 00:18:40,200 --> 00:18:43,320 Speaker 3: on their mobile phone without having to talk to anyone else. 340 00:18:43,600 --> 00:18:45,919 Speaker 3: If they needed a table field, they could jump on 341 00:18:46,400 --> 00:18:48,600 Speaker 3: and get a table field on the platform, And if 342 00:18:48,640 --> 00:18:50,920 Speaker 3: they had offers on the platform and something changed within 343 00:18:50,960 --> 00:18:53,119 Speaker 3: their business, they could jump on in real time and 344 00:18:53,280 --> 00:18:56,239 Speaker 3: edit or change those offers all in real time. And 345 00:18:56,280 --> 00:18:59,320 Speaker 3: that was that was a difference. You know, when we 346 00:18:59,359 --> 00:19:02,720 Speaker 3: first set out started selling the platform to restaurants that 347 00:19:03,359 --> 00:19:07,199 Speaker 3: kind of really resonated, and even though they'd heard about 348 00:19:07,240 --> 00:19:08,720 Speaker 3: these sort of products, and there were lots of other 349 00:19:08,760 --> 00:19:11,439 Speaker 3: big players in the market trying to do things in 350 00:19:11,440 --> 00:19:13,960 Speaker 3: the dining space or in the restaurants space, generally, it 351 00:19:14,080 --> 00:19:17,119 Speaker 3: allowed us to cut through in the first place as 352 00:19:17,119 --> 00:19:20,040 Speaker 3: a much smaller company and kind of take route, and 353 00:19:20,080 --> 00:19:22,960 Speaker 3: we continued to We continued to take that attitude through 354 00:19:23,000 --> 00:19:26,719 Speaker 3: all of the developments we did. And another innovation that 355 00:19:26,720 --> 00:19:30,840 Speaker 3: we're quite famous for is for reinventing the voucher. So 356 00:19:31,320 --> 00:19:34,159 Speaker 3: instead of where a lot of offer platforms in the 357 00:19:34,200 --> 00:19:36,880 Speaker 3: future have required the customer to come in and show 358 00:19:37,000 --> 00:19:41,679 Speaker 3: some kind of voucher to whatever vendor they're going to, 359 00:19:42,200 --> 00:19:44,439 Speaker 3: and we thought, you know, this is a huge this 360 00:19:44,520 --> 00:19:47,480 Speaker 3: is a huge point of friction. It creates. There's a 361 00:19:47,520 --> 00:19:50,560 Speaker 3: bit of shame on the consumer side, there's operational burden 362 00:19:50,600 --> 00:19:52,720 Speaker 3: on the restaurant's side, there are mistakes that can often 363 00:19:52,800 --> 00:19:55,760 Speaker 3: cause a bad experience. And so we went back and said, Okay, 364 00:19:55,880 --> 00:19:58,800 Speaker 3: if we could reinvent this, even if it's never been 365 00:19:58,840 --> 00:20:01,879 Speaker 3: done before, and if there's no clear path to doing it, 366 00:20:03,080 --> 00:20:05,080 Speaker 3: that's what we want to do, and we really set 367 00:20:05,119 --> 00:20:08,479 Speaker 3: out to create an innovation that was very novel and 368 00:20:08,520 --> 00:20:11,359 Speaker 3: not done before, and that led to us developing eat 369 00:20:11,359 --> 00:20:13,760 Speaker 3: Club Pay, which has been a huge part in driving 370 00:20:13,760 --> 00:20:16,560 Speaker 3: our business forward. It allows customers to redeem an offer. 371 00:20:16,840 --> 00:20:19,920 Speaker 3: They go into the venue totally anonymously, they tap to 372 00:20:19,960 --> 00:20:22,479 Speaker 3: pay for whatever food and drink they've ordered, and the 373 00:20:22,480 --> 00:20:25,080 Speaker 3: deal happens automatically for them in the background, without the 374 00:20:25,119 --> 00:20:28,240 Speaker 3: staff even needing to know you're on eat club at all, 375 00:20:28,359 --> 00:20:29,840 Speaker 3: or receiving a discount on that meal. 376 00:20:30,040 --> 00:20:32,320 Speaker 2: Yeah. I mean it's kind of that embarrassment factor almost 377 00:20:32,400 --> 00:20:34,400 Speaker 2: as the diner, which I think you take away from 378 00:20:34,400 --> 00:20:37,600 Speaker 2: it totally. You've done really well building this culture of 379 00:20:37,600 --> 00:20:40,480 Speaker 2: what's next. The question is what is next? I mean, 380 00:20:40,920 --> 00:20:42,000 Speaker 2: where do you go next? 381 00:20:42,880 --> 00:20:45,800 Speaker 3: It's a really good question. I think we've focused a 382 00:20:45,840 --> 00:20:47,919 Speaker 3: lot of the first few years, a lot on the 383 00:20:47,920 --> 00:20:51,480 Speaker 3: first few years of our business on building last minute 384 00:20:51,600 --> 00:20:54,520 Speaker 3: demand generation to solve restaurants' economic issues, to solve the 385 00:20:54,600 --> 00:20:58,080 Speaker 3: underutilization problem in restaurants. But I think we're heading to 386 00:20:58,160 --> 00:21:01,240 Speaker 3: a new space now where it doesn't actually have to 387 00:21:01,240 --> 00:21:04,800 Speaker 3: be last minute, because your performance is so accurately predicted 388 00:21:05,040 --> 00:21:08,520 Speaker 3: into the future, so we're really focused on building forecasting 389 00:21:08,560 --> 00:21:11,639 Speaker 3: engines now with access that we have to machine learning 390 00:21:11,840 --> 00:21:16,280 Speaker 3: and new AI tools, we're building products that mean that 391 00:21:16,920 --> 00:21:18,640 Speaker 3: not only do you not need to do the last 392 00:21:18,640 --> 00:21:21,800 Speaker 3: minute demand generation, you're fully prepared for what's happening over 393 00:21:21,840 --> 00:21:24,320 Speaker 3: the next few weeks in your restaurant because you're really 394 00:21:24,320 --> 00:21:26,960 Speaker 3: able to accurately predict how much revenue you're going to 395 00:21:26,960 --> 00:21:29,320 Speaker 3: get on certain days. That's able to guide you for 396 00:21:29,359 --> 00:21:32,240 Speaker 3: how much staff and labor you need on on certain days, 397 00:21:32,480 --> 00:21:34,840 Speaker 3: and then in advance, if you do need extra demand, 398 00:21:35,040 --> 00:21:36,480 Speaker 3: you can be prepared for that, and you see a 399 00:21:36,560 --> 00:21:39,680 Speaker 3: club platform to plug those holes without having to risk 400 00:21:40,359 --> 00:21:43,040 Speaker 3: risk it on the last minute basis on the day. 401 00:21:44,080 --> 00:21:45,919 Speaker 2: Thank you for joining the Accelerator series. 402 00:21:46,280 --> 00:21:47,080 Speaker 3: Thank you for having me. 403 00:21:47,800 --> 00:21:50,920 Speaker 2: That was Pan Lacas, co founder and CEO of Each Club. 404 00:21:50,960 --> 00:21:53,520 Speaker 2: I'm Sean Almer and this is the Accelerator Series brought 405 00:21:53,560 --> 00:21:56,639 Speaker 2: to you by air Wallace Build the Future. Visit Airwalos 406 00:21:56,680 --> 00:21:58,160 Speaker 2: dot com to find out more.