1
00:00:05,200 --> 00:00:06,520
Speaker 1: This is what the flux.

2
00:00:06,600 --> 00:00:09,200
Speaker 2: I'm justin and I'm harsh deep and it's Wednesday, the

3
00:00:09,240 --> 00:00:11,000
Speaker 2: eighteenth of September HD.

4
00:00:11,039 --> 00:00:13,960
Speaker 1: New research from Ilion, the credit bureau is just in

5
00:00:14,120 --> 00:00:16,800
Speaker 1: and it ain't looking good because younger people are experiencing

6
00:00:16,840 --> 00:00:19,960
Speaker 1: financial hardship at faster rates than any other co op.

7
00:00:20,200 --> 00:00:22,479
Speaker 1: Get this, There's been a forty two percent increase in

8
00:00:22,520 --> 00:00:24,880
Speaker 1: the number of gen Z accounts that are behind on

9
00:00:25,000 --> 00:00:27,639
Speaker 1: loan repayments. Can be down people twenty twenty two. Not

10
00:00:27,760 --> 00:00:29,360
Speaker 1: the best news flux spam.

11
00:00:29,360 --> 00:00:32,400
Speaker 2: One of the reasons why investors love ETFs is because

12
00:00:32,400 --> 00:00:34,279
Speaker 2: they are a simple way to get a little bit

13
00:00:34,320 --> 00:00:37,680
Speaker 2: of everything with one move. But what about dividend ETFs.

14
00:00:37,760 --> 00:00:40,400
Speaker 2: They're the ones that actually pay you cash alongside the

15
00:00:40,440 --> 00:00:43,400
Speaker 2: potential capital growth. In the Flux app, we take a

16
00:00:43,440 --> 00:00:46,680
Speaker 2: closer look at the five best performing dividend ETFs and

17
00:00:46,720 --> 00:00:49,200
Speaker 2: what you need to look out for when investing in them.

18
00:00:49,280 --> 00:00:51,360
Speaker 2: So make sure to download the Flux app and check

19
00:00:51,400 --> 00:00:51,720
Speaker 2: it out.

20
00:00:51,800 --> 00:00:56,360
Speaker 1: Three cash producing stories today, let's get into it. For

21
00:00:56,560 --> 00:01:00,680
Speaker 1: our first combank is exploring the possibility of replacing thousands

22
00:01:00,720 --> 00:01:04,720
Speaker 1: of local call center staff with an AI customer service center.

23
00:01:04,560 --> 00:01:07,680
Speaker 2: And by customer service center You mean AI data center?

24
00:01:08,040 --> 00:01:08,720
Speaker 2: Tell me more.

25
00:01:08,880 --> 00:01:10,920
Speaker 1: So we all know Combank, the big yellow bank with

26
00:01:11,000 --> 00:01:13,760
Speaker 1: seventeen million customers in Australia.

27
00:01:13,360 --> 00:01:15,800
Speaker 2: Value at a what being two hundred and forty billion

28
00:01:15,880 --> 00:01:16,880
Speaker 2: dollars at last check.

29
00:01:17,000 --> 00:01:20,120
Speaker 1: That is more than the annual GDP of Greece. Wow.

30
00:01:20,200 --> 00:01:23,240
Speaker 2: Now, jazz Combank has always prided themselves on being the

31
00:01:23,240 --> 00:01:25,360
Speaker 2: most innovative of the big four banks.

32
00:01:25,040 --> 00:01:27,360
Speaker 1: And now it's going one step further by trying to

33
00:01:27,400 --> 00:01:30,200
Speaker 1: automate the customer service experience.

34
00:01:29,800 --> 00:01:33,160
Speaker 2: Because who needs empathy when you've got algorithms right exactly?

35
00:01:33,360 --> 00:01:36,399
Speaker 2: You see, jazz Combank has two four hundred people in

36
00:01:36,440 --> 00:01:39,960
Speaker 2: its Australian call centers who respond to customer calls, emails

37
00:01:40,000 --> 00:01:40,440
Speaker 2: and live.

38
00:01:40,400 --> 00:01:42,920
Speaker 1: Chat, but now it's looking to replace the local call

39
00:01:42,959 --> 00:01:44,520
Speaker 1: center staff with AI.

40
00:01:44,840 --> 00:01:48,760
Speaker 2: Currently, Combank is testing the AI platform called hey Combank

41
00:01:48,920 --> 00:01:51,200
Speaker 2: with its employees, who are also customers of the.

42
00:01:51,160 --> 00:01:54,160
Speaker 1: Bank, and if successful, it could replace Combank's whole call

43
00:01:54,200 --> 00:01:57,360
Speaker 1: center and change the way the customers interact with their banks.

44
00:01:57,480 --> 00:01:59,560
Speaker 2: So tell me what's the key learning here?

45
00:02:00,000 --> 00:02:03,640
Speaker 1: Cause once speculation about AI taking jobs is now unfolding

46
00:02:03,720 --> 00:02:04,880
Speaker 1: in real time.

47
00:02:04,800 --> 00:02:07,640
Speaker 2: Especially in industries where there are a lot of repetitive

48
00:02:07,680 --> 00:02:09,200
Speaker 2: tasks and technical duties.

49
00:02:09,240 --> 00:02:12,400
Speaker 1: I get this HD. According to consulting giant McKinsey, AI

50
00:02:12,560 --> 00:02:16,079
Speaker 1: might force one point three million Australian workers to transition

51
00:02:16,160 --> 00:02:18,200
Speaker 1: out of their current jobs by twenty thirty, and.

52
00:02:18,160 --> 00:02:21,640
Speaker 2: The occupations expected to be hit the hardest are office support,

53
00:02:21,720 --> 00:02:23,919
Speaker 2: customer service in sales, and food services.

54
00:02:23,960 --> 00:02:27,000
Speaker 1: Actually, it's believe the roughly ten percent of Combank's costs

55
00:02:27,080 --> 00:02:28,959
Speaker 1: are on call centers alone, so if.

56
00:02:28,800 --> 00:02:31,160
Speaker 2: The AI can have that cost it could become a

57
00:02:31,280 --> 00:02:33,440
Speaker 2: six hundred million dollar cost saving.

58
00:02:33,560 --> 00:02:35,600
Speaker 1: But before you at two excited HG, there is still

59
00:02:35,639 --> 00:02:38,280
Speaker 1: an enormous risk with AI chatbots being the ones that

60
00:02:38,400 --> 00:02:39,760
Speaker 1: interact with their customers.

61
00:02:39,919 --> 00:02:42,400
Speaker 2: What if the bot hallucinates and tell someone their credit

62
00:02:42,440 --> 00:02:43,000
Speaker 2: card has been.

63
00:02:42,919 --> 00:02:45,200
Speaker 1: Had, or what if the AI model makes racist or

64
00:02:45,240 --> 00:02:46,560
Speaker 1: sexist comments to a customer.

65
00:02:46,800 --> 00:02:49,920
Speaker 2: So while there's still an enormous risk involved, Combank is

66
00:02:49,960 --> 00:02:52,320
Speaker 2: hoping it can roll out this AI model and save

67
00:02:52,400 --> 00:02:56,760
Speaker 2: big bucks while hopefully providing better service. For our second story.

68
00:02:56,919 --> 00:03:00,320
Speaker 2: Microsoft has announced a sixty billion dollar share buy back

69
00:03:00,360 --> 00:03:02,960
Speaker 2: as well as a ten percent increase to its quarterly

70
00:03:03,000 --> 00:03:05,240
Speaker 2: dividends as a little present to its investors.

71
00:03:05,280 --> 00:03:07,400
Speaker 1: Microsoft must be in its Oprah era giving away all

72
00:03:07,440 --> 00:03:09,440
Speaker 1: that cash. You get some cash, You get some cash.

73
00:03:09,520 --> 00:03:10,560
Speaker 1: What's the story here.

74
00:03:10,400 --> 00:03:13,560
Speaker 2: Well, Microsoft is one of the biggest software companies globally

75
00:03:13,639 --> 00:03:17,720
Speaker 2: that created the office suite, thing, word, Excel, PowerPoint, and.

76
00:03:17,720 --> 00:03:19,639
Speaker 1: Of course paint. You can't forget paint, which we spent

77
00:03:19,760 --> 00:03:21,160
Speaker 1: hours on during our childhood.

78
00:03:21,240 --> 00:03:22,960
Speaker 2: Ah yes, the og photoshop.

79
00:03:23,120 --> 00:03:25,800
Speaker 1: Well now, ahgal, Microsoft has got so much cash it

80
00:03:25,880 --> 00:03:27,600
Speaker 1: kind of doesn't really know what to do with it.

81
00:03:28,160 --> 00:03:31,440
Speaker 2: So it's announced a share buyback of sixty billion USD

82
00:03:31,560 --> 00:03:32,520
Speaker 2: for its shareholders.

83
00:03:32,639 --> 00:03:35,320
Speaker 1: And not just that, Microsoft also said it'll be boosting

84
00:03:35,360 --> 00:03:37,760
Speaker 1: it's quarterly diffidend by ten percent.

85
00:03:37,560 --> 00:03:41,800
Speaker 2: And no surprises here, Microsoft shares rose point seven percent

86
00:03:41,920 --> 00:03:43,200
Speaker 2: off the back of this announcement.

87
00:03:43,280 --> 00:03:45,520
Speaker 1: It looks like Microsoft is trying to find ways to

88
00:03:45,560 --> 00:03:46,880
Speaker 1: get rid of excess cash.

89
00:03:46,960 --> 00:03:48,560
Speaker 2: So what's the key learning here?

90
00:03:48,720 --> 00:03:52,000
Speaker 1: Sometimes there can be such a thing as too much cash.

91
00:03:52,080 --> 00:03:55,280
Speaker 2: Companies are obliged to act in the best interest of shareholders,

92
00:03:55,360 --> 00:03:57,720
Speaker 2: and holding bucket loads of cash isn't usually the way

93
00:03:57,760 --> 00:03:58,120
Speaker 2: to do that.

94
00:03:58,160 --> 00:04:00,360
Speaker 1: So when a company's got more cash than any there

95
00:04:00,360 --> 00:04:02,040
Speaker 1: are a few main levers it can pull.

96
00:04:02,160 --> 00:04:04,840
Speaker 2: It can invest that money into new initiatives.

97
00:04:04,360 --> 00:04:07,280
Speaker 1: Which Microsoft is clearly doing with its mega investments into

98
00:04:07,320 --> 00:04:08,480
Speaker 1: AI and chat ChiPT.

99
00:04:08,720 --> 00:04:11,000
Speaker 2: It can start to offer or increase the size of

100
00:04:11,000 --> 00:04:12,840
Speaker 2: its divident distributions.

101
00:04:12,240 --> 00:04:15,400
Speaker 1: Which Microsoft is done by increasing dividend payouts by ten percent.

102
00:04:15,600 --> 00:04:17,280
Speaker 2: Or it can choose to buy back some of its

103
00:04:17,320 --> 00:04:18,919
Speaker 2: shares from the public market.

104
00:04:18,680 --> 00:04:21,080
Speaker 1: Which Microsoft has done as well, so they have gone

105
00:04:21,120 --> 00:04:24,480
Speaker 1: for the triple wami here. NHG Microsoft are the only

106
00:04:24,600 --> 00:04:27,480
Speaker 1: major tech company excess cash to deploy yeap.

107
00:04:27,560 --> 00:04:30,680
Speaker 2: Earlier this year, Apple announced its largest share buyback to

108
00:04:30,800 --> 00:04:33,600
Speaker 2: date of one hundred and ten billion US dollars.

109
00:04:33,240 --> 00:04:36,200
Speaker 1: And don't forget Nvidia will also announced a fifty billion

110
00:04:36,279 --> 00:04:38,320
Speaker 1: US dollar buy back this year as well. Sounds like

111
00:04:38,360 --> 00:04:40,679
Speaker 1: it is buyduck season all across the tech sector.

112
00:04:40,880 --> 00:04:44,040
Speaker 2: For our third and final story, toup Aware Brands, the

113
00:04:44,040 --> 00:04:47,039
Speaker 2: brand behind the kitchen staples, is preparing to file for

114
00:04:47,160 --> 00:04:50,000
Speaker 2: bankruptcy this week after its struggled to manage more than

115
00:04:50,040 --> 00:04:52,480
Speaker 2: seven hundred million US dollars in debt.

116
00:04:52,600 --> 00:04:56,360
Speaker 1: Not Tuppleware, my entire kitchen God, what is the story here?

117
00:04:56,440 --> 00:04:58,960
Speaker 2: Well, Jazz, we of course all all of Tupperware as

118
00:04:58,960 --> 00:05:01,599
Speaker 2: the kitchen staple in pretty much every household.

119
00:05:01,640 --> 00:05:04,720
Speaker 1: Taboy's been around since nineteen forty and it revolutionized the

120
00:05:04,800 --> 00:05:08,600
Speaker 1: kitchen storage game when it patented the air tight ceiling containers.

121
00:05:08,680 --> 00:05:12,040
Speaker 2: Love those containers, but lately things haven't been that tight

122
00:05:12,080 --> 00:05:12,400
Speaker 2: for them.

123
00:05:12,560 --> 00:05:14,680
Speaker 1: No, no, no, Tabwoy Brands has warned it for the

124
00:05:14,680 --> 00:05:17,160
Speaker 1: past few years, it's been struggling to repay more than

125
00:05:17,200 --> 00:05:19,760
Speaker 1: seven hundred million US dollars in debts.

126
00:05:19,480 --> 00:05:21,839
Speaker 2: And to turn the business around. It made plans to

127
00:05:21,880 --> 00:05:23,920
Speaker 2: shut down its only US factory.

128
00:05:24,000 --> 00:05:26,080
Speaker 1: It laid off almost one hundred and fifty employees and

129
00:05:26,160 --> 00:05:28,880
Speaker 1: also replaced its CEO and several board members.

130
00:05:28,960 --> 00:05:31,279
Speaker 2: But just sadly it was a little too late, because

131
00:05:31,279 --> 00:05:34,400
Speaker 2: now Tapowoy Brands is preparing to file for bankruptcy as

132
00:05:34,440 --> 00:05:35,080
Speaker 2: soon as this week.

133
00:05:35,160 --> 00:05:38,280
Speaker 1: Can't say I'm too surprised, HD Taplewoy brand's been struggling

134
00:05:38,279 --> 00:05:41,200
Speaker 1: to stay relevant and maintain their market share against competition.

135
00:05:41,360 --> 00:05:43,520
Speaker 2: Yeah, they've been trying to reinvent themselves to get their

136
00:05:43,560 --> 00:05:46,320
Speaker 2: products into the hands of younger customers.

137
00:05:45,920 --> 00:05:48,840
Speaker 1: But so far hasn't really been working because door to

138
00:05:48,920 --> 00:05:50,960
Speaker 1: door sales doesn't quite work the way it used to.

139
00:05:51,200 --> 00:05:52,520
Speaker 2: So what's the key learning?

140
00:05:52,600 --> 00:05:54,800
Speaker 1: If you build a brand that sells itself, you'll never

141
00:05:54,920 --> 00:05:56,440
Speaker 1: need a salesforce ever again.

142
00:05:56,520 --> 00:05:59,560
Speaker 2: When Tapoway started out, it had a unique marketing strategy

143
00:05:59,600 --> 00:06:03,000
Speaker 2: because it didn't sell its products through supermarkets or big retailers.

144
00:06:03,120 --> 00:06:06,760
Speaker 1: No, they had a pretty unique approach known as tuperware parties.

145
00:06:06,800 --> 00:06:10,080
Speaker 2: The party model meant that people, mainly women, would host

146
00:06:10,120 --> 00:06:12,279
Speaker 2: parties at their homes and the guests would get a

147
00:06:12,279 --> 00:06:15,039
Speaker 2: look at top boy products up close and personal and jazz.

148
00:06:15,160 --> 00:06:17,440
Speaker 2: This model has continued into this decade.

149
00:06:17,480 --> 00:06:20,320
Speaker 1: In fact, Tapeway brands still had more than three hundred

150
00:06:20,440 --> 00:06:23,400
Speaker 1: thousand independent salespeople as of twenty twenty two.

151
00:06:23,520 --> 00:06:26,600
Speaker 2: But as times and values have changed, Tapooy hasn't been

152
00:06:26,640 --> 00:06:28,960
Speaker 2: able to keep up the hype around its brand.

153
00:06:28,760 --> 00:06:31,640
Speaker 1: And sadly, the unique edge just isn't standing out to

154
00:06:31,680 --> 00:06:34,679
Speaker 1: competition anymore. Plus out there are techatfs. There is asx

155
00:06:34,720 --> 00:06:37,880
Speaker 1: two hundred ETFs, there's Nazdek one hundred ETFs, and there's

156
00:06:37,960 --> 00:06:40,360
Speaker 1: dividend paying atfs. These are the ones where you can

157
00:06:40,400 --> 00:06:43,080
Speaker 1: receive cash as well as the potential for capital gains.

158
00:06:43,120 --> 00:06:44,880
Speaker 1: In the Flux app, we take a closer look at

159
00:06:44,880 --> 00:06:47,520
Speaker 1: the five best performing dividend ETFs. To make sure to

160
00:06:47,560 --> 00:06:49,279
Speaker 1: download the flux out to check it out.

161
00:06:49,320 --> 00:06:52,240
Speaker 2: Thanks for listening, and we'll see you on Friday.