WEBVTT - What’s your money personality - and is it costing you? 0:00:01.639 --> 0:00:03.840 Welcome to How Do They Afford That, The podcast that 0:00:03.920 --> 0:00:07.560 peaks into the financial lives of everyday Australians. I'm Michael Thompson. 0:00:07.600 --> 0:00:09.680 I'm an author and the co host of the business 0:00:09.680 --> 0:00:12.840 news podcast Fear and Greed. As always, I'm with Canna Campbell, 0:00:12.880 --> 0:00:15.800 financial planner and founder of Sugar Mama TV, the financial 0:00:15.800 --> 0:00:20.119 literacy platform covering YouTube, podcast books, Instagram threads, TikTok and more. 0:00:20.560 --> 0:00:26.040 Hello Kanna, Good morning Canna. Today we're talking something a 0:00:26.040 --> 0:00:27.480 little bit different. This is actually going to be a 0:00:27.520 --> 0:00:30.800 lot of fun. I suspect we are talking about your 0:00:30.880 --> 0:00:37.400 financial personality because most people genuinely aren't bad with money, 0:00:37.600 --> 0:00:41.240 They just approach it in a certain way. And once 0:00:41.280 --> 0:00:46.040 you understand how you approach money, things start to make sense. 0:00:46.720 --> 0:00:46.920 Right. 0:00:47.080 --> 0:00:49.960 That's the theory that I'm operating on for this episode, 0:00:50.000 --> 0:00:52.040 and I'm hoping that it's going to be correct. Do 0:00:52.080 --> 0:00:56.080 you believe that people do have distinct financial personalities? 0:00:56.680 --> 0:00:58.880 You do? Want to be really honest. When I first 0:00:58.920 --> 0:01:02.520 heard about this, likeinancial personality, like my eyes. 0:01:02.680 --> 0:01:05.360 Rolled, what you would never roll your eyes? 0:01:06.080 --> 0:01:08.880 But then I realized actually developed by various psychologists and 0:01:09.160 --> 0:01:12.479 also a framework I believe within the Maya Briggs Company 0:01:12.520 --> 0:01:15.840 as well, So this has got some significant research and 0:01:16.520 --> 0:01:20.880 experts behind it. So after looking into it and seeing 0:01:21.400 --> 0:01:25.000 where I fit, my kids even fit you know, Tom fits, 0:01:25.080 --> 0:01:30.560 I do actually think these personalities, I guess pigeonholing these 0:01:30.600 --> 0:01:36.880 different personalities in life around money definitely have value and people. 0:01:36.920 --> 0:01:39.880 You can start to see some really distinct characteristics and 0:01:39.959 --> 0:01:44.960 habits and even people's natural reactions that do actually fit 0:01:45.080 --> 0:01:49.400 within these. I guess you're almost like the financial staff scigns. 0:01:49.520 --> 0:01:51.680 What I love about this is it's very much like 0:01:52.600 --> 0:01:56.640 doing a quiz in a magazine, which which financial personality 0:01:56.680 --> 0:01:59.160 are you and today? Actually that's a very old school 0:01:59.160 --> 0:02:01.720 reference to make, because no one does quizzes in magazines 0:02:01.800 --> 0:02:03.560 like that. It is now going to be on Facebook 0:02:03.640 --> 0:02:05.600 or Instagram where you take a quiz and figure out 0:02:05.640 --> 0:02:08.639 which personality type you are. So we're going to do that. 0:02:08.760 --> 0:02:12.680 We've got five different financial personalities and as you're listening, 0:02:12.760 --> 0:02:14.920 you might kind of go, actually, that is me. I 0:02:14.960 --> 0:02:17.720 am one of these. But just quickly, before we get 0:02:17.760 --> 0:02:20.560 into it, how much of your financial personality do you 0:02:20.600 --> 0:02:24.520 think it actually learned? Do you how much is inherited? 0:02:25.080 --> 0:02:27.399 Do you get it from your parents, your environment, kind 0:02:27.400 --> 0:02:30.720 of early experiences. Where do these things come from? 0:02:30.840 --> 0:02:34.279 I think a lot is learned and our earliest experiences 0:02:34.320 --> 0:02:36.480 with money are, more often than not, you know, come 0:02:36.520 --> 0:02:39.840 from our childhood, which was often our parents. So the 0:02:39.880 --> 0:02:43.359 way our parents talked about money, you know, whether there 0:02:43.400 --> 0:02:45.280 was money or not, or whether there was money all 0:02:45.320 --> 0:02:48.120 the time or it was very volatile in some situations, 0:02:48.639 --> 0:02:51.080 you know, the way that parents would talk about money. 0:02:51.280 --> 0:02:54.799 You know, all of these things impact our money personality. 0:02:54.800 --> 0:02:56.760 And then it also includes dealing with you know, how 0:02:56.880 --> 0:03:00.840 parents dealt with financially stressful times. So this really does 0:03:00.919 --> 0:03:06.280 help form our I guess, grounding of personalities when it 0:03:06.280 --> 0:03:08.000 comes to money and how we react to money, and 0:03:08.000 --> 0:03:10.040 how we treat money and how we look at money 0:03:10.040 --> 0:03:10.640 for the future. 0:03:10.919 --> 0:03:15.440 Let's get into the personality types. Give us the first one. 0:03:15.560 --> 0:03:18.680 The avoid So this is someone who buries their head 0:03:18.800 --> 0:03:23.320 in the sand. Yes, no, they find money very stressful 0:03:24.160 --> 0:03:28.519 and very overwhelming. So therefore they just completely disengage from it. 0:03:29.000 --> 0:03:32.359 You know, they don't open their mail, they don't look 0:03:32.360 --> 0:03:34.920 at their bank statements, they definitely don't have a budget. 0:03:35.680 --> 0:03:38.600 Oh gos, so I'm not this thing. You're actually shuddering 0:03:38.640 --> 0:03:41.560 as you say this, I'm assuming superannuation wouldn't get much 0:03:41.600 --> 0:03:42.080 of a look in. 0:03:42.120 --> 0:03:43.840 It's just none whatsoever. 0:03:43.440 --> 0:03:46.960 Accumulating in the background rather than being actively kind of managed. 0:03:47.040 --> 0:03:50.440 And if the subject of like money or budgeting or investing, 0:03:50.520 --> 0:03:54.120 or where someone's talking about money, it feels they're riddle 0:03:54.280 --> 0:03:59.160 with anxiety. So the problem with the avoid is they 0:03:59.200 --> 0:04:02.680 tend to let financial problems compound over time. So they 0:04:02.720 --> 0:04:04.240 might have a little bit of debt, and because they 0:04:04.280 --> 0:04:07.960 continue to ignore it and avoid it, obviously that debt, 0:04:08.040 --> 0:04:10.480 especially if with interest rates of credit card sometimes around 0:04:10.480 --> 0:04:12.440 twenty two percent, it gets bigger and bigger. And this 0:04:12.480 --> 0:04:16.000 is where things can become, you know, bigger than ben her. 0:04:16.040 --> 0:04:19.960 They are insurmountable. Well can feel like it's insurmountable, and 0:04:20.000 --> 0:04:21.799 this is when things spiral out of control. 0:04:22.040 --> 0:04:25.360 Because though we are not all about the negativity here, no, 0:04:25.560 --> 0:04:28.800 every personality type does have its own strengths. 0:04:28.880 --> 0:04:32.599 It does the ying and the yang. So interestingly, though, 0:04:33.000 --> 0:04:36.280 avoiders can also be very conservative with money, and they 0:04:36.279 --> 0:04:39.600 can really benefit from some basic financial literacy, like really 0:04:39.640 --> 0:04:41.680 simple things like, for example, you know how to have 0:04:41.680 --> 0:04:44.680 a budget, how to have emergency money. And this is 0:04:44.760 --> 0:04:49.400 the group that will avoid taking silly, high risk decisions, 0:04:49.880 --> 0:04:54.159 particularly around you say, investing. Okay, so their strength, their 0:04:54.279 --> 0:05:00.000 superpower here is probably caution, and they will still progress financial, 0:05:00.320 --> 0:05:03.279 but they more of that consistent, slow, steady progression. 0:05:03.480 --> 0:05:07.360 So it feels like that can be kind of turbocharged 0:05:07.920 --> 0:05:11.919 by kind of use that caution to not go and 0:05:12.000 --> 0:05:15.560 make silly decisions. But with a little bit more engagement 0:05:15.600 --> 0:05:17.719 with your money, you can actually turn that into a 0:05:17.760 --> 0:05:24.160 superpower and get involved in your superannuation. Perhaps start investing cautiously, yes, 0:05:24.920 --> 0:05:28.839 but use it to your advantage exactly. Okay, I like that. 0:05:29.000 --> 0:05:32.640 The avoid that's number one. Number two, what is it? 0:05:32.920 --> 0:05:33.880 The optimizer? 0:05:34.040 --> 0:05:34.560 What is that? 0:05:35.640 --> 0:05:39.000 So this is actually this is classic tom My partner. 0:05:39.080 --> 0:05:43.800 So the optimizer loves numbers, and they like the spreadsheets, 0:05:43.880 --> 0:05:46.880 They love doing research. They love you know, comparing, for example, 0:05:46.920 --> 0:05:51.760 different energy providers, you know, switching utilities, negotiating rates. 0:05:52.279 --> 0:05:54.080 That's not Tom, that's you. 0:05:54.120 --> 0:05:56.880 No, No, this is Tom to a tea. I even 0:05:56.920 --> 0:05:58.560 had a bit of a giggle with him last night 0:05:58.600 --> 0:06:03.040 about this. So the strength here is discipline. They're very 0:06:03.120 --> 0:06:07.120 very focused, almost like a hyper focus, and strategic thinking, 0:06:07.720 --> 0:06:11.919 and they do make great meaningful financial decisions and see 0:06:11.960 --> 0:06:14.800 that and feel that financial progress in their lives. You know, 0:06:14.839 --> 0:06:17.560 they'll do the what if scenario, play a bit of 0:06:17.640 --> 0:06:21.440 Devil's Advocate, and really analyze everything before they actually pull 0:06:21.480 --> 0:06:25.720 the trigger. But this is the downsize of the optimizer 0:06:25.880 --> 0:06:28.560 is sometimes they can actually waste so much time and 0:06:28.600 --> 0:06:31.280 get a bit of analysis paralysis that they can never 0:06:31.400 --> 0:06:34.280 actually finally go all right, let's do this, or if 0:06:34.320 --> 0:06:37.080 they do finally say let's do this, that opportunity is 0:06:37.120 --> 0:06:40.480 past and they've actually ended up missing out completely. 0:06:40.880 --> 0:06:45.880 Okay, So the strength there is that they are quite 0:06:45.960 --> 0:06:49.880 strategic and great at research and pulling together all of 0:06:49.920 --> 0:06:53.159 the information, but they can get bogged down in it 0:06:53.200 --> 0:06:55.680 and just focus too much on the analysis and in 0:06:55.720 --> 0:06:58.800 the end perhaps not make a decision, or if they do, 0:06:58.880 --> 0:06:59.839 not in a timely manner. 0:07:00.160 --> 0:07:03.720 So they do their great at analyzing everything and making 0:07:03.760 --> 0:07:07.400 sure it's informed an educated decision, which is essential, but 0:07:07.480 --> 0:07:09.680 at the same time they could end up being their 0:07:09.720 --> 0:07:13.240 own their worst enemy because they don't actually get to 0:07:13.280 --> 0:07:16.840 actually do it, and they've potentially wasted some time and 0:07:17.800 --> 0:07:18.640 start all over again. 0:07:18.800 --> 0:07:20.880 I have a theory that everyone has at least one 0:07:20.920 --> 0:07:24.440 friend that is a spreadsheet nut right, And if you 0:07:24.480 --> 0:07:27.320 think about everyone that you know, there is someone in 0:07:27.360 --> 0:07:35.680 your life that spends an excessive amount of time in spreadsheets. 0:07:36.080 --> 0:07:38.720 And I'm thinking in particular of someone that we've spoken 0:07:38.880 --> 0:07:43.200 to on this podcast before, Adam Lange from Fear and Greed. 0:07:43.560 --> 0:07:48.240 Absolute spreadsheet enthusiast, fantastic, Like you can take anything and 0:07:48.280 --> 0:07:50.920 turn it into a spreadsheet that in fact is a superpower. 0:07:51.000 --> 0:07:51.920 That is a superpower. 0:07:52.000 --> 0:07:55.040 Does that mean though, that if you are doing that 0:07:55.760 --> 0:07:58.800 for everything, how do you just how do you convert 0:07:58.960 --> 0:08:04.080 that attention to detail and that ability to analyze into 0:08:04.120 --> 0:08:06.760 that superpower and actually go okay, I'm not going to 0:08:06.800 --> 0:08:09.760 get held back by analysis paralysis. How do you then go. 0:08:10.280 --> 0:08:14.160 Shift into like implementation if you like, yes, okay. So 0:08:14.240 --> 0:08:16.600 this is where you almost need a deadline where you 0:08:16.680 --> 0:08:18.040 draw a line in the sand and go, okay, I'm 0:08:18.040 --> 0:08:19.360 going to make a decision by the end of this 0:08:19.400 --> 0:08:21.880 week either way. So you put a put of healthy 0:08:22.720 --> 0:08:27.000 pressure on yourself to actually step up and do something 0:08:27.240 --> 0:08:29.960 or not. And this is why you know there's a 0:08:30.000 --> 0:08:33.959 lot of value in the momentum of your financial journey. 0:08:34.400 --> 0:08:37.000 You can spend a whole year deciding as to whether 0:08:37.040 --> 0:08:39.839 to buy your stock or not. So set a plan 0:08:39.920 --> 0:08:41.880 to go. You know what, I'm going to buy stock 0:08:41.920 --> 0:08:44.840 every single month, and that's the goal, and that's the momentum. 0:08:44.840 --> 0:08:45.600 You've got to maintain. 0:08:45.760 --> 0:08:47.800 And you have fine to do the research and use 0:08:47.840 --> 0:08:50.800 your spreadsheet and to analyze it, but commit to action 0:08:50.880 --> 0:08:51.280 as well. 0:08:51.400 --> 0:08:54.000 Give it yourself a healthy deadline. Okay, put a bit 0:08:54.000 --> 0:08:54.760 of pressure on. 0:08:54.720 --> 0:08:57.720 Yourself, all right. That is the first two, the avoider 0:08:57.720 --> 0:09:01.360 and the optimizer. What is the third financial personality type? 0:09:01.559 --> 0:09:06.520 The yolo? Who should I found like such a dog 0:09:06.559 --> 0:09:10.520 trying to say that cool? But theo I'm so not 0:09:10.600 --> 0:09:13.720 a yolo person, So I would say my middle child 0:09:13.760 --> 0:09:16.120 Apple is definitely a yollow. So these other people who 0:09:16.160 --> 0:09:18.560 like fly by the seed of their pants, you know, 0:09:18.640 --> 0:09:21.640 they love to spend money, They prioritize expenses, you know, 0:09:21.760 --> 0:09:25.240 living life. They're not obsessed with the future. In fact, 0:09:25.280 --> 0:09:27.000 I don't think they think too much about it, and 0:09:27.040 --> 0:09:30.719 they just really have faith that everything's going to work 0:09:30.760 --> 0:09:34.040 out perfectly. And obviously the danger of that is that 0:09:34.040 --> 0:09:37.920 life doesn't always work out perfectly because they are not 0:09:38.080 --> 0:09:40.600 prepared for those emergencies that do happen as a natural 0:09:40.600 --> 0:09:43.120 part of life, and sometimes they can only realize that 0:09:43.160 --> 0:09:46.600 they have perhaps been a little bit frivolous until it's 0:09:46.640 --> 0:09:48.679 a bit too late. Not that it's ever too late, 0:09:48.679 --> 0:09:50.280 but you know, when it comes really close to say 0:09:50.320 --> 0:09:53.080 something like retirement or you know, deciding one day I 0:09:53.120 --> 0:09:54.880 want to buy a home, then you realize you've been 0:09:54.960 --> 0:09:57.840 blowing money for the last thirty five years. So there 0:09:58.000 --> 0:10:00.679 is a superpower within this, so I promise go on. 0:10:01.000 --> 0:10:05.480 So the strength behind this is they have a very 0:10:05.679 --> 0:10:11.360 healthy I don't always say admirable, admirable attitude towards money. 0:10:11.760 --> 0:10:15.280 They don't carry that heavy load. So they don't carry, 0:10:15.280 --> 0:10:17.359 you know, the guilt or the shame or the embarrassment 0:10:17.400 --> 0:10:20.640 around spending because they really value the way that they 0:10:20.720 --> 0:10:23.079 spend money. It gives them a huge sense of fulfillment, 0:10:23.120 --> 0:10:27.080 which actually is a really important part of living a 0:10:27.120 --> 0:10:30.120 balanced life, you know, having a healthy mindset where you 0:10:30.160 --> 0:10:32.920 can enjoy spending your money as well as of course 0:10:33.040 --> 0:10:35.360 enjoy investing and saving and paying down debt. 0:10:36.160 --> 0:10:38.400 And they're a fun person to hang around with exactly. 0:10:38.720 --> 0:10:41.200 I mean, who doesn't want to live vicariously through that 0:10:41.280 --> 0:10:42.760 friend that just spends lots of money? 0:10:43.080 --> 0:10:45.880 And so the risk. There is obviously that they may 0:10:45.880 --> 0:10:50.040 be underprepared for what may come. But along the way, 0:10:50.040 --> 0:10:51.760 they're going to have a heck of a good time. 0:10:51.920 --> 0:10:56.040 No fabulous like the wonderful memories, but having just maybe 0:10:56.360 --> 0:11:00.240 perhaps a really simple financial structure in place, you know, 0:11:00.320 --> 0:11:03.160 such as a budget, maybe some concrete goals that really 0:11:03.280 --> 0:11:05.800 light them up and make them excited and be able 0:11:05.840 --> 0:11:09.000 to incorporate a sense of balance where they can spend 0:11:09.000 --> 0:11:12.599 their money. But they also can maybe think about reframing 0:11:12.640 --> 0:11:15.319 things where they also spend their money perhaps on investments 0:11:15.720 --> 0:11:18.360 and spend their money on superinneation. So it kind of 0:11:18.440 --> 0:11:21.160 fits into their personality by reframing. 0:11:21.360 --> 0:11:24.400 I like that. That's a fun one. The Yolo spender 0:11:24.720 --> 0:11:27.480 based entirely on their principle that you only live once. 0:11:28.120 --> 0:11:30.160 You may as well have a good time while they're 0:11:30.200 --> 0:11:33.600 doing it. But there's also a long period of time 0:11:33.600 --> 0:11:35.880 when you may be in retirement and you want to 0:11:35.960 --> 0:11:38.160 live that part of your life really well as well. Right, 0:11:38.240 --> 0:11:42.079 So that's how you kind of take that potentially a weakness, 0:11:42.240 --> 0:11:45.760 turn it into a superpower and turbocharge exactly. All right. 0:11:45.800 --> 0:11:48.160 That is three down, two to go, very quick break, 0:11:48.800 --> 0:11:57.199 and we are going to get into the rest of them. Cana. 0:11:57.240 --> 0:12:00.760 We are talking today about financial personalities. We have covered 0:12:00.760 --> 0:12:05.920 the avoid the optimizer that is a spreadsheet lover, the 0:12:06.040 --> 0:12:10.760 yolo spender that just really kind of prioritizes those experiences 0:12:10.840 --> 0:12:14.040 without obsessing over what is going to happen in the future. 0:12:14.920 --> 0:12:16.440 We've got a couple more still to go, and I 0:12:16.480 --> 0:12:18.839 want to kind of really getting this idea of whether 0:12:19.559 --> 0:12:24.360 your personality can help you or can hinder you in 0:12:24.400 --> 0:12:28.679 your financial growth. What's the fourth character. 0:12:28.679 --> 0:12:33.800 The security seeker. So these people really do value stability 0:12:33.880 --> 0:12:38.720 and safety above everything else, so they will maintain emergency money, 0:12:38.760 --> 0:12:42.920 sometimes excessive emergency money. They prefer low risk investments like 0:12:43.000 --> 0:12:47.120 you know, turn deposits, fixed interest, and they feel really 0:12:47.120 --> 0:12:49.160 safe and secure knowing that they've got all their buffers 0:12:49.160 --> 0:12:51.960 in place, and you know, across pretty much their budget, 0:12:52.000 --> 0:12:56.520 their savings, their holiday savings. They've completely built this like 0:12:56.600 --> 0:12:58.920 safety net around them at all times and they sort 0:12:58.960 --> 0:13:01.520 of cling onto it for dealer life. And their strength 0:13:01.720 --> 0:13:05.760 definitely here. Their superpower is financial resilience. So you know, 0:13:05.960 --> 0:13:09.040 they can handle the financial shocks better than anyone else, 0:13:09.600 --> 0:13:12.280 and you know they can obviously calmly react and because 0:13:12.320 --> 0:13:14.600 they've got these great buffers in place. You know, when 0:13:14.640 --> 0:13:17.280 things do happen, it doesn't really knock them off their feet, 0:13:17.320 --> 0:13:20.480 and they're able to sort of continue on swimming into 0:13:20.559 --> 0:13:24.600 the sunset. But obviously the downside of this is that 0:13:24.640 --> 0:13:29.000 they can actually it's detrimental and that they are too cautious. 0:13:29.480 --> 0:13:32.160 They miss out on those opportunities to actually get their 0:13:32.160 --> 0:13:36.120 money working for them through stepping not out of their 0:13:36.240 --> 0:13:39.920 comfort zone, but perhaps using intelligent risks to help improve 0:13:40.480 --> 0:13:44.120 the quality of their investments, the diversification and that long 0:13:44.240 --> 0:13:47.600 term compounding growth that is particularly important when you think 0:13:47.600 --> 0:13:49.760 about inflation over the long run. 0:13:50.600 --> 0:13:53.520 It feels as though, if, as you just put it, 0:13:53.760 --> 0:13:56.319 if they spend their time swimming off into the sunset, 0:13:56.480 --> 0:13:58.199 it feels like they might have a bit of a 0:13:58.280 --> 0:14:02.800 high risk attitude. Anyway, Sorry, who knows where they're going 0:14:02.840 --> 0:14:05.040 to end up swimming off into the sunset. 0:14:05.200 --> 0:14:07.720 Sailing off and not swinging So I got my words. 0:14:09.040 --> 0:14:11.679 This is where they get that buzz just swimming off 0:14:11.679 --> 0:14:14.240 into the sunset. They don't know where they're going to 0:14:14.320 --> 0:14:16.840 end up, going to drift to New Zealand today. 0:14:16.760 --> 0:14:19.320 Well, obviously they are risk averse. 0:14:19.480 --> 0:14:22.360 They are They are they're doing it with floaties on. Okay, 0:14:22.400 --> 0:14:24.240 so the risk there is that they're going to to 0:14:24.440 --> 0:14:29.080 perhaps be too conservative, miss those growth opportunities along the way. 0:14:29.440 --> 0:14:31.240 But at the same time they're going to be pretty 0:14:31.240 --> 0:14:31.840 calm about it. 0:14:32.040 --> 0:14:35.240 Yeah, and they will. They'll be better off because they 0:14:35.280 --> 0:14:39.040 have built this these financial safety nets. But where they 0:14:39.080 --> 0:14:44.560 can really improve their superpower is actually just simple financial education. 0:14:44.800 --> 0:14:48.360 Understanding all the different asset classes, Understanding the impact of 0:14:48.400 --> 0:14:51.200 looking at a long term timeframe, Understanding the impact of 0:14:51.240 --> 0:14:54.560 inflation over the long run, Understanding the power of passive 0:14:54.600 --> 0:15:00.560 income of how capital growth increases your passive income over time. 0:15:00.960 --> 0:15:03.880 You know, also the strategic side of planning your money 0:15:03.880 --> 0:15:06.160 wisely as well. You're not having, for example, all of 0:15:06.200 --> 0:15:08.720 your money in savings when you could potentially have superannuation 0:15:08.840 --> 0:15:11.600 as well, helping you save tax, which is equivalent of 0:15:12.880 --> 0:15:16.360 zero risk involved when you're strategically using that type of 0:15:16.440 --> 0:15:17.080 asset class. 0:15:17.160 --> 0:15:19.280 I know we're stiuilding structure. I know we still have 0:15:19.320 --> 0:15:22.200 another category to get to, but before we do that, 0:15:22.280 --> 0:15:25.520 I just want to know the value of a financial planner, 0:15:26.000 --> 0:15:29.520 someone to advise you in this, to help you kind 0:15:29.520 --> 0:15:35.360 of bridge the gap from one financial characteristic to another 0:15:36.160 --> 0:15:39.800 because a security seeker sounds like they've they've got themselves sorted, 0:15:39.840 --> 0:15:42.440 they have got that kind of covered. They know that 0:15:42.480 --> 0:15:45.800 they're going to be kind of safe for a long time. 0:15:46.200 --> 0:15:50.960 But a financial planner can show them how they can 0:15:51.480 --> 0:15:55.400 maybe pursue a little bit more growth, a little bit 0:15:55.680 --> 0:16:00.000 higher returned without trading off too much of that security. 0:16:00.200 --> 0:16:02.920 Right. Yes, And look, you know, no financial planner will 0:16:03.000 --> 0:16:06.120 ever let you go and do something that you don't 0:16:06.200 --> 0:16:09.560 understand or they're not comfortable that you're comfortable with. You're 0:16:09.560 --> 0:16:11.640 not allowed to and you have to sign a whole 0:16:11.640 --> 0:16:14.400 part of documentation and that financial planner is then legally liable. 0:16:14.400 --> 0:16:17.920 So it's taken very very seriously. But I will say 0:16:18.040 --> 0:16:22.480 this quite often with the security seeker, they will not 0:16:22.680 --> 0:16:26.760 realize the impact and cost to them of being so 0:16:26.880 --> 0:16:30.080 conservative with money until quite further down the track. It's 0:16:30.120 --> 0:16:34.000 not until they've seen the eroding effects of their conservative 0:16:34.080 --> 0:16:37.800 investments and safety nets that they start thinking, oh my gosh, 0:16:37.800 --> 0:16:39.800 I now need to get help. So what I would 0:16:39.800 --> 0:16:42.280 say to anyone that feels like that they identify with 0:16:42.440 --> 0:16:45.600 this group is don't be afraid to go and get 0:16:45.640 --> 0:16:49.360 some financial advice and a financial planner. A good financial 0:16:49.360 --> 0:16:52.480 planner will guide you and will not push you out 0:16:52.480 --> 0:16:55.560 of your comfort zone. But perhaps it's a slow, steady 0:16:55.640 --> 0:16:58.400 journey where you include a little bit more shares in 0:16:58.440 --> 0:17:00.880 your portfolio or a little bit more property. We start 0:17:00.920 --> 0:17:06.560 to vary very slowly and almost organically diversify as passive 0:17:06.600 --> 0:17:09.119 income comes in and builds up. So it's not like 0:17:09.160 --> 0:17:10.840 you're going to just be thrown into the deep end. 0:17:11.040 --> 0:17:13.960 That's not what it's about. And you know people's you know, 0:17:14.080 --> 0:17:17.360 I think risk profiles really do change depending on what's 0:17:17.400 --> 0:17:20.119 happened to them. You know their situation and their goals, 0:17:20.200 --> 0:17:23.840 and you know, it's it's natural to evolve and move, 0:17:23.880 --> 0:17:26.760 but whatever you do should be a smart, intelligent move 0:17:27.160 --> 0:17:29.280 and not just be based upon fear. 0:17:30.359 --> 0:17:33.439 All right, one last one, what is it? This is 0:17:33.480 --> 0:17:35.399 our fifth financial personality. 0:17:35.840 --> 0:17:38.399 It is the quiet accumulator. I like to close the 0:17:38.480 --> 0:17:42.159 dark horse. So the quiet accumulator is often the most 0:17:42.200 --> 0:17:46.160 powerful financial personality over the long run. So they are 0:17:46.640 --> 0:17:50.560 very consistent, they are very diligent. They say they pay 0:17:50.600 --> 0:17:54.800 down debt, they invest without sort of making feeling the 0:17:54.880 --> 0:17:58.160 need to be validated or to get attention. And they're 0:17:58.280 --> 0:18:02.000 very patient, and they are really focused on their long 0:18:02.080 --> 0:18:02.840 term game plan. 0:18:03.280 --> 0:18:04.280 This is you, isn't it? 0:18:04.280 --> 0:18:07.000 It is yes, and it is it is me to 0:18:07.080 --> 0:18:12.239 a t. And they the risk to this because it 0:18:12.280 --> 0:18:15.359 sounds fabulous and wonderful. But and I can agree with 0:18:15.400 --> 0:18:17.040 this because I have felt this so many times. But 0:18:17.359 --> 0:18:21.520 the risk is this group sometimes becomes so incredibly absorbed 0:18:21.560 --> 0:18:25.800 and focused on the accumulation and working hard and staying 0:18:25.840 --> 0:18:29.680 focused and consistent that they actually forget to enjoy their 0:18:29.720 --> 0:18:32.440 money in the meantime in the present. And you know, 0:18:32.640 --> 0:18:37.320 it's that's the kind of sad part of this is, 0:18:38.080 --> 0:18:41.160 you know, we come to this planet with nothing, when 0:18:41.240 --> 0:18:43.480 we live with nothing, so we want to make sure 0:18:43.520 --> 0:18:46.040 we also enjoy a really healthy, happy balance at the 0:18:46.080 --> 0:18:47.720 same time with that money. 0:18:47.920 --> 0:18:50.800 Okay, that makes sense, So that the risk there is 0:18:50.960 --> 0:18:56.320 just that you may prioritize the growth of your money 0:18:56.320 --> 0:18:58.560 too much not enjoy it along the way. But at 0:18:58.600 --> 0:19:00.760 the same time you are going to be setting yourself 0:19:00.840 --> 0:19:03.560 up well. It feels like there is a very strong 0:19:03.680 --> 0:19:05.479 fire component. 0:19:05.119 --> 0:19:08.000 To this, definitely, and I think you know, there's also 0:19:08.040 --> 0:19:11.200 that risk of you start to only really enjoy life 0:19:11.440 --> 0:19:14.080 lay it further down the track, which obviously is about fire, 0:19:14.119 --> 0:19:18.159 but you know, maybe perhaps when you're old and not 0:19:18.200 --> 0:19:20.960 as healthier to be able to enjoy the money. 0:19:21.240 --> 0:19:23.040 We are pretty much out of time. But I just 0:19:23.080 --> 0:19:28.680 wanted to know in a couple, when you have financial 0:19:28.720 --> 0:19:33.199 personalities in a household and they are different, is that 0:19:33.280 --> 0:19:35.600 a strength or is that a weakness or is it 0:19:35.760 --> 0:19:37.600 just a potential conflict? 0:19:38.640 --> 0:19:41.880 So great question. I don't think there was very rare 0:19:41.920 --> 0:19:46.560 to see a couple with the same person money personality. Okay, 0:19:46.840 --> 0:19:49.480 I've only come across it probably a couple of times. 0:19:50.040 --> 0:19:53.680 Most couples have different And if you can understand your 0:19:53.760 --> 0:19:58.080 partner's money personality, like you know, I am the I 0:19:58.200 --> 0:20:02.199 I was quite accumulator and Tom is the optimizer, you 0:20:02.240 --> 0:20:05.960 can you learn how to actually communicate better. You understand 0:20:05.960 --> 0:20:10.480 their values, you understand their financial love language, so you 0:20:10.520 --> 0:20:13.560 can actually start working together as a team and you 0:20:13.600 --> 0:20:16.840 respect each other's boundaries, and you can start to have 0:20:16.880 --> 0:20:21.399 really healthy compromises on certain financial decisions and work together 0:20:21.520 --> 0:20:24.200 more as a team. So I think it's definitely worth 0:20:24.280 --> 0:20:29.280 investing time understanding where your financial personality lies, but also 0:20:29.480 --> 0:20:31.400 your other family members as well. 0:20:31.680 --> 0:20:37.160 Okay, guess which financial personality I am. 0:20:37.200 --> 0:20:43.280 I I would have gone with the optimizer, but then, yeah, 0:20:43.280 --> 0:20:44.920 I'm going to go with the optimizer. I think you're 0:20:44.920 --> 0:20:46.160 a bit there's a bit of tom there. 0:20:46.200 --> 0:20:49.800 Yeah, I think you're right, But I'm a little ashamed 0:20:49.800 --> 0:20:51.440 to admit that I think that might be a hybrid 0:20:51.920 --> 0:20:52.760 of two of them. 0:20:53.160 --> 0:20:55.160 Well, ham, let me guess what your hybrid is. I'm 0:20:55.200 --> 0:20:58.560 going to say you are the security seeker. 0:20:59.040 --> 0:21:04.280 No, I am the optimizer combined with the avoider. 0:21:06.119 --> 0:21:08.080 Damn, why did I picked that? I should have thought 0:21:08.119 --> 0:21:09.520 that you cause, yes. 0:21:09.560 --> 0:21:12.040 Yeah, yeah, because I for a very long time have 0:21:12.400 --> 0:21:14.760 had my head in the sand on various pasts. But 0:21:14.880 --> 0:21:17.560 and it has made me very conservative in the way. 0:21:17.720 --> 0:21:20.320 We're actually a bit of a rainbow of these. 0:21:20.560 --> 0:21:24.399 Yeah, yep, yep. I mix a lot of different types, 0:21:24.560 --> 0:21:28.400 which this is why I find this fascinating, that it's 0:21:28.400 --> 0:21:31.800 almost kind of rare to find someone who would fit entirely, 0:21:32.000 --> 0:21:33.520 I think into one category. 0:21:33.720 --> 0:21:36.160 And I do think there are seasons of your life 0:21:36.359 --> 0:21:39.240 where you do dip into one more than the other, 0:21:39.680 --> 0:21:43.000 and you know, you do evolve and change over time. 0:21:43.080 --> 0:21:46.800 But I will say this, you know your financial personality 0:21:46.840 --> 0:21:49.159 is not something ever to judge. There's no wrong or 0:21:49.240 --> 0:21:53.240 right personality here, and it is something. It is a 0:21:53.280 --> 0:21:55.600 tool to be used to help understand yourself on a 0:21:55.640 --> 0:21:58.600 deeper level around money. And if you can understand your 0:21:58.920 --> 0:22:03.360 natural reaction and tendencies around money, you can actually start 0:22:03.800 --> 0:22:05.879