1 00:00:03,830 --> 00:00:06,340 Sean Aylmer: Welcome to the Fear and Greed daily interview. I'm Sean 2 00:00:06,340 --> 00:00:10,400 Sean Aylmer: Aylmer. It's been a brutal few days for equity investors, 3 00:00:10,400 --> 00:00:14,080 Sean Aylmer: with the local market hammered over inflation fears. It's a 4 00:00:14,080 --> 00:00:17,079 Sean Aylmer: good time to speak to Chris Brycki, Founder and CEO 5 00:00:17,079 --> 00:00:20,910 Sean Aylmer: of online investment advisor, Stockspot. Remember, this is general information 6 00:00:21,239 --> 00:00:24,220 Sean Aylmer: only, and you must get professional advice before, well, you 7 00:00:24,220 --> 00:00:27,670 Sean Aylmer: mustn't, but you should get professional advice before making investment 8 00:00:27,670 --> 00:00:29,750 Sean Aylmer: decisions. Chris, welcome back to Fear and Greed. 9 00:00:30,110 --> 00:00:31,530 Chris Brycki: Thanks for having me back on, Sean. 10 00:00:31,620 --> 00:00:34,290 Sean Aylmer: So, how would you characterize the last, well, it's almost 11 00:00:34,290 --> 00:00:35,870 Sean Aylmer: a week, I suppose, it was late last week when 12 00:00:35,870 --> 00:00:39,050 Sean Aylmer: the US inflation figures came out, and then Australia got 13 00:00:39,050 --> 00:00:43,070 Sean Aylmer: hit really hard on Tuesday in particular, but how would 14 00:00:43,070 --> 00:00:44,780 Sean Aylmer: you characterize the last few days? 15 00:00:45,130 --> 00:00:47,710 Chris Brycki: Well, I think it's just all become quite apparent now 16 00:00:47,710 --> 00:00:51,620 Chris Brycki: that inflation in the US and everywhere, really, in Australia, 17 00:00:51,620 --> 00:00:54,450 Chris Brycki: as well, is staying higher than expected for longer than 18 00:00:54,450 --> 00:00:58,750 Chris Brycki: expected. And now markets are anticipating that central banks will 19 00:00:58,750 --> 00:01:02,200 Chris Brycki: just be forced now to increase interest rates both faster 20 00:01:02,200 --> 00:01:05,160 Chris Brycki: than they're expecting. And also higher than people are expecting. 21 00:01:05,160 --> 00:01:09,000 Chris Brycki: So, interest rates in Australia, unbelievably now, are expected to 22 00:01:09,000 --> 00:01:10,910 Chris Brycki: be well over three and a half percent in a 23 00:01:10,910 --> 00:01:13,990 Chris Brycki: year's time, and now our investors are worried about what 24 00:01:13,990 --> 00:01:17,199 Chris Brycki: will that mean for consumers, ability to spend. They're going 25 00:01:17,200 --> 00:01:20,069 Chris Brycki: to be putting a lot more towards their mortgages. How 26 00:01:20,069 --> 00:01:23,300 Chris Brycki: can they still spend on other discretionary items, and will 27 00:01:23,300 --> 00:01:25,870 Chris Brycki: it actually tip economies into a recession? And I think 28 00:01:26,020 --> 00:01:28,990 Chris Brycki: that's what's led markets to become a lot more volatile 29 00:01:28,990 --> 00:01:29,610 Chris Brycki: over the last few days. 30 00:01:30,280 --> 00:01:33,380 Sean Aylmer: Okay. So, is the pointy end of what's happened in 31 00:01:33,380 --> 00:01:35,819 Sean Aylmer: the last few days or the last week or so, 32 00:01:36,360 --> 00:01:39,869 Sean Aylmer: is it the fact that inflation looks to be here 33 00:01:39,870 --> 00:01:43,270 Sean Aylmer: for longer, which means interest rates might have to rise more? 34 00:01:43,610 --> 00:01:46,230 Chris Brycki: Well, it's the interplay between the two. So inflation on 35 00:01:46,230 --> 00:01:49,900 Chris Brycki: its own is one factor, but it's the response of 36 00:01:49,900 --> 00:01:54,960 Chris Brycki: central banks to basically counteract and curb inflation that actually 37 00:01:54,960 --> 00:01:57,640 Chris Brycki: has a bigger impact on asset prices. And at the 38 00:01:57,640 --> 00:02:02,110 Chris Brycki: moment, markets are betting that central banks will actually act 39 00:02:02,110 --> 00:02:05,220 Chris Brycki: quite aggressively and push up interest rates well into the 40 00:02:05,490 --> 00:02:07,810 Chris Brycki: three, three and a half. I think in Australia now, 41 00:02:07,810 --> 00:02:10,959 Chris Brycki: it's now expected to be 3. 8% by the end 42 00:02:10,960 --> 00:02:14,270 Chris Brycki: of next year. What could actually help asset prices is 43 00:02:14,270 --> 00:02:17,160 Chris Brycki: if interest rates start going up, and it actually hurts 44 00:02:17,160 --> 00:02:19,480 Chris Brycki: the economy so much that central banks are forced to 45 00:02:19,480 --> 00:02:23,899 Chris Brycki: stop increasing interest rates. So ironically, if interest rates go 46 00:02:23,900 --> 00:02:26,780 Chris Brycki: up too fast and too far, and it tips economies 47 00:02:26,780 --> 00:02:29,470 Chris Brycki: into a recession that could actually help markets. 48 00:02:29,960 --> 00:02:34,411 Sean Aylmer: How difficult is it to be an investor at the moment? 49 00:02:34,411 --> 00:02:37,520 Chris Brycki: It's not difficult to be an investor. It's always difficult to predict the future, but what 50 00:02:37,520 --> 00:02:40,690 Chris Brycki: it basically shows is that people shouldn't be hung up 51 00:02:40,690 --> 00:02:42,630 Chris Brycki: on trying to predict what's going to happen next. It 52 00:02:42,639 --> 00:02:45,109 Chris Brycki: is so hard to predict what's going to happen to 53 00:02:45,110 --> 00:02:47,570 Chris Brycki: inflation, how central banks are going to act, what is it going 54 00:02:47,570 --> 00:02:50,220 Chris Brycki: to mean to asset prices? And it's the reason why 55 00:02:50,220 --> 00:02:52,609 Chris Brycki: we don't advise that to our clients. We make sure 56 00:02:52,610 --> 00:02:54,810 Chris Brycki: they have a spread of different assets and they're able 57 00:02:54,810 --> 00:02:57,760 Chris Brycki: to withstand all sorts of different environments. So, I think 58 00:02:57,760 --> 00:03:00,079 Chris Brycki: if you're someone that has all your money in a 59 00:03:00,080 --> 00:03:03,170 Chris Brycki: sector like Buy Now Pay Later, that's fallen 95%. Absolutely. 60 00:03:03,580 --> 00:03:06,470 Chris Brycki: You should be stressed. But if you're well-diversified, there's really 61 00:03:06,470 --> 00:03:07,359 Chris Brycki: nothing to worry about. 62 00:03:07,680 --> 00:03:10,030 Sean Aylmer: I suppose that's the question. Same question in a different 63 00:03:10,030 --> 00:03:12,400 Sean Aylmer: way. How difficult is it for investors to hold their 64 00:03:12,400 --> 00:03:15,230 Sean Aylmer: nerve? Is it about making sure you've got the right 65 00:03:15,230 --> 00:03:17,290 Sean Aylmer: portfolio going into these times of turmoil? 66 00:03:17,820 --> 00:03:19,510 Chris Brycki: I think it's a combination. One, you need the right 67 00:03:19,510 --> 00:03:22,440 Chris Brycki: portfolio going in, and you need to have some historical 68 00:03:22,440 --> 00:03:26,160 Chris Brycki: context on what's a normal market fall. So, if you've 69 00:03:26,160 --> 00:03:28,270 Chris Brycki: been someone that's only ever had cash in the bank 70 00:03:28,270 --> 00:03:31,050 Chris Brycki: and you experience a market fall of five or 10%, 71 00:03:31,050 --> 00:03:35,030 Chris Brycki: it might feel like a big market fall and lead 72 00:03:35,030 --> 00:03:36,870 Chris Brycki: you to want to take your money out. But knowing 73 00:03:36,870 --> 00:03:40,180 Chris Brycki: that that happens once a year or so, we've found 74 00:03:40,180 --> 00:03:42,990 Chris Brycki: helps to calm the nerves of clients. So partly, it 75 00:03:42,990 --> 00:03:45,940 Chris Brycki: is your asset allocation and making sure that when markets 76 00:03:45,940 --> 00:03:49,780 Chris Brycki: fall you're not falling by 60% or 80%, which is 77 00:03:49,780 --> 00:03:52,800 Chris Brycki: pretty hard to withstand and have a conversation with your 78 00:03:52,800 --> 00:03:55,560 Chris Brycki: family and partner about, but you're only falling five or 79 00:03:55,570 --> 00:03:58,740 Chris Brycki: 10 or 15%. But then it's about the advice you get because 80 00:03:59,170 --> 00:04:03,060 Chris Brycki: even the most experienced investors we find get nervous, and 81 00:04:03,060 --> 00:04:05,680 Chris Brycki: they need someone to speak to. And that's part of 82 00:04:05,790 --> 00:04:08,040 Chris Brycki: what we offer is advisors that they can call and 83 00:04:08,040 --> 00:04:10,460 Chris Brycki: actually have a chat to and provide some of that 84 00:04:10,460 --> 00:04:13,290 Chris Brycki: context. And so, people are less inclined to make the 85 00:04:13,290 --> 00:04:15,480 Chris Brycki: mistake of selling when markets have fallen. 86 00:04:15,850 --> 00:04:18,600 Sean Aylmer: And, of course, in these periods of volatility, there are 87 00:04:18,600 --> 00:04:19,900 Sean Aylmer: opportunities as well? 88 00:04:20,350 --> 00:04:23,070 Chris Brycki: There are. One of the big opportunities that comes about 89 00:04:23,070 --> 00:04:26,770 Chris Brycki: whenever markets are volatile that we see is rebalancing. So that's the 90 00:04:26,770 --> 00:04:29,529 Chris Brycki: opportunity to sell something that's done a little bit better 91 00:04:29,900 --> 00:04:32,330 Chris Brycki: and reallocated into an asset that's done a little bit 92 00:04:32,380 --> 00:04:36,800 Chris Brycki: worse. So at the moment, what we are seeing is global shares 93 00:04:36,800 --> 00:04:40,800 Chris Brycki: have really felt the brunt of these inflation fears, and 94 00:04:40,800 --> 00:04:44,130 Chris Brycki: US shares are down 20% or so. US tech shares 95 00:04:44,130 --> 00:04:47,620 Chris Brycki: are down 30%. Whereas, other asset classes are actually doing 96 00:04:47,620 --> 00:04:50,219 Chris Brycki: a lot better. So gold is roughly flat on the ear 97 00:04:50,570 --> 00:04:52,839 Chris Brycki: or up a couple of percent. And so there are 98 00:04:52,839 --> 00:04:55,810 Chris Brycki: opportunities to trim from one place and reinvest to buy 99 00:04:55,810 --> 00:04:56,610 Chris Brycki: cheaply in another. 100 00:04:57,010 --> 00:05:00,460 Sean Aylmer: Okay. So, this isn't an investment advice podcast. So find an 101 00:05:00,460 --> 00:05:02,909 Sean Aylmer: advisor as we always say, but using that as an 102 00:05:02,910 --> 00:05:05,980 Sean Aylmer: example, you might sell out of gold holdings and buy 103 00:05:05,980 --> 00:05:08,270 Sean Aylmer: into tech. That's what rebalancing means? 104 00:05:08,520 --> 00:05:11,070 Chris Brycki: That's right. And not entirely, Sean. So it's not like 105 00:05:11,070 --> 00:05:13,880 Chris Brycki: you're selling all of your gold, but you might be trimming 106 00:05:13,900 --> 00:05:18,070 Chris Brycki: 10 or 20% and reinvesting. And that process of reallocation, 107 00:05:18,560 --> 00:05:20,859 Chris Brycki: what studies show is that it helps to reduce risk in 108 00:05:20,860 --> 00:05:24,390 Chris Brycki: your portfolio over time. And so, we don't actually do 109 00:05:24,400 --> 00:05:26,890 Chris Brycki: it very often. In fact, there's many years that we 110 00:05:26,890 --> 00:05:29,370 Chris Brycki: don't do any rebalancing at all. But then, in really 111 00:05:29,370 --> 00:05:32,359 Chris Brycki: volatile years, 2020 was a good example where we did 112 00:05:32,360 --> 00:05:35,710 Chris Brycki: two big rebalances in one year. You get opportunities to 113 00:05:35,710 --> 00:05:38,410 Chris Brycki: take the other side of people's fear. So when everyone's 114 00:05:38,970 --> 00:05:41,839 Chris Brycki: jumping out scared, you actually get to buy their shares 115 00:05:41,839 --> 00:05:44,900 Chris Brycki: cheaply. And on the flip side, when everyone's too bullish, 116 00:05:45,160 --> 00:05:48,400 Chris Brycki: and perhaps 2021 was a good example there when everyone 117 00:05:48,640 --> 00:05:52,160 Chris Brycki: was too excited about a lot of the tech companies 118 00:05:52,210 --> 00:05:54,680 Chris Brycki: that were benefiting from work from home, that's where actually 119 00:05:54,680 --> 00:05:55,930 Chris Brycki: you're selling a little bit, 120 00:05:56,339 --> 00:05:58,240 Sean Aylmer: Stay with me, Chris. We'll be back in a minute. 121 00:05:58,240 --> 00:06:07,539 Sean Aylmer: I'm speaking to Chris Brycki, Founder and CEO of online investment 122 00:06:07,540 --> 00:06:11,020 Sean Aylmer: advisor, Stockspot. Okay. Now shifting just a little, you've just 123 00:06:11,020 --> 00:06:15,039 Sean Aylmer: launched the eighth annual Stockspot ETF report, looking at the 124 00:06:15,040 --> 00:06:17,850 Sean Aylmer: performance of exchange- traded funds over the past 12 months 125 00:06:17,850 --> 00:06:20,779 Sean Aylmer: or so. What are the main findings for ETFs? 126 00:06:21,800 --> 00:06:24,990 Chris Brycki: So, ETFs is this fantastic area of the market that 127 00:06:25,220 --> 00:06:27,870 Chris Brycki: I've been a huge fan of since I started Stockspot. 128 00:06:28,240 --> 00:06:32,080 Chris Brycki: It's a way for everyday people to just access broad 129 00:06:32,170 --> 00:06:34,850 Chris Brycki: markets and invest in them at a very low cost 130 00:06:34,850 --> 00:06:37,760 Chris Brycki: and what you've seen over the last eight years, and 131 00:06:37,760 --> 00:06:42,000 Chris Brycki: it's really accelerated since 2020, is just phenomenal growth in 132 00:06:42,000 --> 00:06:44,589 Chris Brycki: the amount of money invested in these. So, in eight 133 00:06:44,589 --> 00:06:47,760 Chris Brycki: years, they've grown from having 13 billion invested in them 134 00:06:47,760 --> 00:06:51,409 Chris Brycki: in Australia to 130 billion. So they've 10 times. And 135 00:06:51,410 --> 00:06:53,240 Chris Brycki: actually, we found that in the last year, it's the 136 00:06:53,240 --> 00:06:57,060 Chris Brycki: first year that they've actually made investors 10 billion of 137 00:06:57,060 --> 00:07:00,150 Chris Brycki: profit. And a lot of that comes at the expense 138 00:07:00,150 --> 00:07:02,900 Chris Brycki: of traditional fund managers where people are yanking money out 139 00:07:03,180 --> 00:07:06,270 Chris Brycki: because they're not really performing very well, as well as 140 00:07:06,270 --> 00:07:09,060 Chris Brycki: people buying direct shares. So, we're starting to see a 141 00:07:09,060 --> 00:07:12,640 Chris Brycki: lot fewer people going and buying Telstra and Woolworths because 142 00:07:13,000 --> 00:07:16,240 Chris Brycki: you can get a much better- diversified portfolio by just 143 00:07:16,240 --> 00:07:17,410 Chris Brycki: buying an ETF instead. 144 00:07:17,840 --> 00:07:19,880 Sean Aylmer: Yeah. And the idea here is that you might buy the 145 00:07:19,880 --> 00:07:22,200 Sean Aylmer: top 20 stocks on the ASX, but you might also 146 00:07:22,450 --> 00:07:26,780 Sean Aylmer: buy gold companies or you might buy medical equipment companies. 147 00:07:27,030 --> 00:07:28,970 Sean Aylmer: There're all sorts of ETFs around the world, aren't there? 148 00:07:29,410 --> 00:07:31,830 Chris Brycki: Yeah. That's right. For instance, to invest in global shares, 149 00:07:31,830 --> 00:07:34,710 Chris Brycki: we recommend an ETF to our clients that gives you 150 00:07:34,710 --> 00:07:37,340 Chris Brycki: exposure to the hundred biggest companies in the world. So, 151 00:07:37,730 --> 00:07:39,670 Chris Brycki: some are in the US, some are in Switzerland, in 152 00:07:39,670 --> 00:07:42,670 Chris Brycki: the UK, and you share in the profits of all 153 00:07:42,670 --> 00:07:46,540 Chris Brycki: of those businesses. So they're great because if you went 154 00:07:46,540 --> 00:07:48,790 Chris Brycki: to a fund manager in the olden days, you would 155 00:07:48,790 --> 00:07:51,179 Chris Brycki: have to pay a fund manager fee of, let's say, 156 00:07:51,180 --> 00:07:53,930 Chris Brycki: one or one and a half percent, a platform fee 157 00:07:53,930 --> 00:07:56,100 Chris Brycki: of maybe half a percent, and then pay an advisor 158 00:07:56,100 --> 00:07:58,970 Chris Brycki: another percent or two. You're already behind the eight ball 159 00:07:58,970 --> 00:08:02,489 Chris Brycki: by three or 4% before you even get started. Whereas 160 00:08:02,500 --> 00:08:06,110 Chris Brycki: ETFs are really bringing down the cost and actually helping investors 161 00:08:06,410 --> 00:08:07,910 Chris Brycki: earn more of the return themselves. 162 00:08:08,260 --> 00:08:11,450 Sean Aylmer: Okay. Now, not every ETF is the same though. There's 163 00:08:11,850 --> 00:08:16,490 Sean Aylmer: simple index ETFs, which are exactly as described, but there's 164 00:08:16,490 --> 00:08:17,970 Sean Aylmer: also active ETFs. 165 00:08:18,680 --> 00:08:22,950 Chris Brycki: That's right. So, the original trend in the ETF world back 166 00:08:22,950 --> 00:08:25,150 Chris Brycki: probably 10 years ago was for some of these big, 167 00:08:25,260 --> 00:08:28,670 Chris Brycki: broad market ETFs to come out where you can invest 168 00:08:28,670 --> 00:08:32,650 Chris Brycki: in the whole ASX 300 or the SMP 500 in the US. 169 00:08:32,870 --> 00:08:35,730 Chris Brycki: But over the last few years, the trend has now 170 00:08:35,730 --> 00:08:39,650 Chris Brycki: shifted for new products where they're focused on either active 171 00:08:39,650 --> 00:08:43,110 Chris Brycki: funds or more niche thematics, I would describe them as. 172 00:08:43,120 --> 00:08:46,290 Chris Brycki: So you can invest in hydrogen energy stocks for instance, 173 00:08:46,290 --> 00:08:50,729 Chris Brycki: or cryptocurrency minors. And these are ETFs that we're a little 174 00:08:50,940 --> 00:08:54,660 Chris Brycki: bit more cynical about because they tend to launch around 175 00:08:54,660 --> 00:08:57,589 Chris Brycki: the peak of their excitement on the market when everyone's 176 00:08:57,590 --> 00:09:00,559 Chris Brycki: already interested in them. And particularly over the last year, 177 00:09:00,559 --> 00:09:03,910 Chris Brycki: some of these exciting, they're often described as megatrends, have 178 00:09:04,100 --> 00:09:06,550 Chris Brycki: been big disappointments. And some of them have fallen by 179 00:09:06,550 --> 00:09:09,670 Chris Brycki: as much as 80%. So, we actually steer our clients 180 00:09:09,670 --> 00:09:12,620 Chris Brycki: well away from these new style of ETFs, just because 181 00:09:12,620 --> 00:09:14,920 Chris Brycki: they're too risky, and people tend to buy them just 182 00:09:14,920 --> 00:09:15,819 Chris Brycki: at the wrong times. 183 00:09:16,100 --> 00:09:20,370 Sean Aylmer: And ETF itself by definition gives you an incredibly diverse 184 00:09:20,460 --> 00:09:22,230 Sean Aylmer: range of underlying assets. 185 00:09:22,559 --> 00:09:25,500 Chris Brycki: In theory, yes, but it does vary a lot. So, 186 00:09:25,600 --> 00:09:28,670 Chris Brycki: looking at the range that we research, you've got some 187 00:09:28,929 --> 00:09:31,960 Chris Brycki: emerging market ETFs, for instance, that give you exposure to 188 00:09:31,970 --> 00:09:35,610 Chris Brycki: 1800 different companies. So a huge spread. But then, some 189 00:09:35,610 --> 00:09:37,760 Chris Brycki: of these more niche ETFs these days might only give 190 00:09:37,760 --> 00:09:39,939 Chris Brycki: you access to 20 companies. And they might all be 191 00:09:39,940 --> 00:09:42,320 Chris Brycki: in the same sector. And the problem is, if a 192 00:09:42,320 --> 00:09:45,130 Chris Brycki: sectors all moving in the same direction, you could see 193 00:09:45,130 --> 00:09:50,280 Chris Brycki: all of those stocks falling by 60, 70, 80%. And so, they're 194 00:09:50,380 --> 00:09:53,130 Chris Brycki: maybe a little bit less diversified than people expect, and 195 00:09:53,130 --> 00:09:56,059 Chris Brycki: that's why we think research is important to help people 196 00:09:56,059 --> 00:09:56,730 Chris Brycki: understand them. 197 00:09:56,730 --> 00:10:01,750 Sean Aylmer: Are ETF's a good idea in such volatile times, as we 198 00:10:01,750 --> 00:10:02,429 Sean Aylmer: do have now? 199 00:10:02,830 --> 00:10:05,870 Chris Brycki: It really depends on which ETF. So, a lot of 200 00:10:05,870 --> 00:10:08,840 Chris Brycki: these more niche ETFs have been a terrible investment over 201 00:10:08,840 --> 00:10:11,300 Chris Brycki: the last six or 12 months, and have lost investors 202 00:10:11,300 --> 00:10:13,429 Chris Brycki: a lot of money. So our research found that a 203 00:10:13,429 --> 00:10:16,550 Chris Brycki: hundred million dollars has actually been lost in the last 204 00:10:16,550 --> 00:10:19,360 Chris Brycki: year in thematic ETFs. And that's in a year that 205 00:10:19,420 --> 00:10:23,140 Chris Brycki: 10 billion dollars was made in ETFs in total. And 206 00:10:23,140 --> 00:10:26,359 Chris Brycki: so, it really comes down to which ones you've chosen 207 00:10:26,559 --> 00:10:29,809 Chris Brycki: and the timing of when you invest. But we steer 208 00:10:29,809 --> 00:10:31,890 Chris Brycki: away from trying to time when to get in and out 209 00:10:31,890 --> 00:10:33,840 Chris Brycki: of these things, and our advice is always, if you 210 00:10:33,840 --> 00:10:37,010 Chris Brycki: can, just to gradually invest over time. So to dollar 211 00:10:37,010 --> 00:10:39,220 Chris Brycki: cost average because that's what's going to give you the 212 00:10:39,220 --> 00:10:42,750 Chris Brycki: best chance of earning the market return over the long 213 00:10:42,750 --> 00:10:45,670 Chris Brycki: run. And for our clients, that's meant something like a 214 00:10:45,670 --> 00:10:48,780 Chris Brycki: six to 10% return per year over the longer term 215 00:10:48,860 --> 00:10:51,929 Chris Brycki: of 5, 6, 7, 8 years. And that's probably what 216 00:10:51,929 --> 00:10:55,650 Chris Brycki: you can expect from a diversified portfolio in the long 217 00:10:55,650 --> 00:10:59,510 Chris Brycki: run. Obviously, there's years where particular assets or shares do 218 00:10:59,510 --> 00:11:02,650 Chris Brycki: very well. But unfortunately, they often don't last very long 219 00:11:03,000 --> 00:11:05,239 Chris Brycki: and everyone seems to cram in right at the top 220 00:11:05,610 --> 00:11:06,410 Chris Brycki: and lose a lot of money then. 221 00:11:06,410 --> 00:11:10,120 Sean Aylmer: Okay. Something else in the eighth annual Stockspot ETF report 222 00:11:10,120 --> 00:11:12,130 Sean Aylmer: which was interesting, I thought, was the stats about the 223 00:11:12,130 --> 00:11:14,860 Sean Aylmer: number of women involved in ETF investing. 224 00:11:15,410 --> 00:11:17,969 Chris Brycki: Yeah. It's one of the trends we're seeing within our business. 225 00:11:18,410 --> 00:11:21,140 Chris Brycki: ETFs, one of the benefits is that they're very much 226 00:11:21,140 --> 00:11:24,110 Chris Brycki: a hands- off investment. And so they're quite good for people 227 00:11:24,110 --> 00:11:27,170 Chris Brycki: that are time poor and that don't want to be actively 228 00:11:27,170 --> 00:11:29,920 Chris Brycki: trading the market. Now, I get the sense, and certainly 229 00:11:29,920 --> 00:11:32,890 Chris Brycki: from speaking to some of my friends and colleagues that 230 00:11:32,890 --> 00:11:34,620 Chris Brycki: a lot of the interest in the share market over 231 00:11:34,620 --> 00:11:37,160 Chris Brycki: the last couple of years from people working from home, 232 00:11:37,870 --> 00:11:40,280 Chris Brycki: was more to fulfill a bit of a gambling need. 233 00:11:40,280 --> 00:11:41,970 Chris Brycki: And there was a lot of people that were very 234 00:11:42,220 --> 00:11:46,199 Chris Brycki: interested in speculating and trading shares, but they tended to 235 00:11:46,200 --> 00:11:48,530 Chris Brycki: be men. And it's the same if you look at 236 00:11:48,530 --> 00:11:51,920 Chris Brycki: the sort of people that use the betting apps. They 237 00:11:51,920 --> 00:11:54,300 Chris Brycki: tend to be very male- skewed, and stock trading apps 238 00:11:54,300 --> 00:11:56,530 Chris Brycki: are the same. But what we're seeing is actually when 239 00:11:56,530 --> 00:12:00,080 Chris Brycki: it comes to ETFs, which are a lot simpler and 240 00:12:00,190 --> 00:12:02,720 Chris Brycki: easier to use, but also less risky, there's a much 241 00:12:02,720 --> 00:12:05,410 Chris Brycki: bigger group of women using them. So in our business, 242 00:12:05,410 --> 00:12:08,540 Chris Brycki: we've seen women investing in ETFs grow by 54% over 243 00:12:08,540 --> 00:12:11,040 Chris Brycki: the last year. And actually, of all of our clients, 244 00:12:11,059 --> 00:12:14,660 Chris Brycki: 43% are now women. And to put that in perspective for 245 00:12:14,660 --> 00:12:18,530 Chris Brycki: most stock trading businesses, women only account for something like 246 00:12:18,540 --> 00:12:21,959 Chris Brycki: 16% of their users. So, I think it's definitely a 247 00:12:21,960 --> 00:12:26,910 Chris Brycki: positive trend, and ultimately it's great because the women are 248 00:12:26,910 --> 00:12:30,130 Chris Brycki: investing in this smart way that allows them to gradually 249 00:12:30,130 --> 00:12:33,520 Chris Brycki: grow wealth over their long run. And probably, outperform their 250 00:12:33,520 --> 00:12:36,050 Chris Brycki: male counterparts in a lot of areas where they're trying 251 00:12:36,050 --> 00:12:37,640 Chris Brycki: to speculate or gamble on shares. 252 00:12:38,020 --> 00:12:39,880 Sean Aylmer: Chris, thank you for talking to Fear and Greed. 253 00:12:40,350 --> 00:12:41,610 Chris Brycki: My pleasure. Thanks for having me on. 254 00:12:42,080 --> 00:12:45,219 Sean Aylmer: That was Chris Brycki, founder and CEO of online investment 255 00:12:45,220 --> 00:12:48,390 Sean Aylmer: advisor Stockspot. This is the Fear and Greed daily interview. 256 00:12:48,390 --> 00:12:51,790 Sean Aylmer: Remember, you should get professional advice before making any investment 257 00:12:51,790 --> 00:12:54,440 Sean Aylmer: decisions. Join us every morning for the full episode of 258 00:12:54,440 --> 00:12:57,820 Sean Aylmer: Fear and Greed, Australia's most popular business podcast. I'm Sean 259 00:12:57,840 --> 00:12:58,920 Sean Aylmer: Aylmer. Enjoy your day.