1 00:00:00,040 --> 00:00:03,280 Speaker 1: Stephen's on The Money Show six to eight pm. 2 00:00:03,440 --> 00:00:05,480 Speaker 2: How many adverts do you think you've seen in your 3 00:00:05,559 --> 00:00:07,960 Speaker 2: life of some bank or financial institution that will have 4 00:00:08,000 --> 00:00:11,079 Speaker 2: images of an older person and a child and the 5 00:00:11,119 --> 00:00:12,879 Speaker 2: whole point of the advert. I mean, they'll have all 6 00:00:12,880 --> 00:00:15,239 Speaker 2: sorts of words and wonderful music and all of that. 7 00:00:15,760 --> 00:00:18,640 Speaker 2: What they're really saying is if you give us your money, 8 00:00:19,000 --> 00:00:21,919 Speaker 2: you will have generational wealth. It's a very powerful message. 9 00:00:21,920 --> 00:00:24,880 Speaker 2: If you do something right today, your grandchildren will be 10 00:00:24,920 --> 00:00:27,360 Speaker 2: the ones to benefit. But how do we rarely view 11 00:00:27,960 --> 00:00:31,560 Speaker 2: generational wealth. Haley Parry is a money coach and facilitator 12 00:00:31,600 --> 00:00:34,120 Speaker 2: at One Life's Truth about Money. Helly, good, evening, Good 13 00:00:34,120 --> 00:00:39,680 Speaker 2: to chat again. I would imagine everybody, when they think 14 00:00:39,680 --> 00:00:42,680 Speaker 2: about it, wants to build generational wealth, but how do 15 00:00:42,760 --> 00:00:44,519 Speaker 2: we really define. 16 00:00:44,120 --> 00:00:50,800 Speaker 1: It evening, Stephen. Yeah, I think everyone's after a five 17 00:00:50,880 --> 00:00:53,000 Speaker 1: star financial legacy. 18 00:00:53,159 --> 00:00:55,320 Speaker 2: Right very much so, yes. 19 00:00:56,440 --> 00:00:59,960 Speaker 1: Rather than needing to take a break with their finance. 20 00:01:00,720 --> 00:01:04,000 Speaker 1: So yeah, I mean I think from a generational wealth perspective, 21 00:01:06,120 --> 00:01:08,600 Speaker 1: you know, it's this elusive thing because we want to 22 00:01:08,640 --> 00:01:11,000 Speaker 1: get it right for ourselves, but often I think we 23 00:01:11,040 --> 00:01:13,600 Speaker 1: want we really want to get it right for our kids. 24 00:01:13,920 --> 00:01:16,840 Speaker 1: To save them perhaps some of the pain that we've 25 00:01:16,840 --> 00:01:21,880 Speaker 1: had ourselves in our financial journeys. And so that's why 26 00:01:21,920 --> 00:01:25,840 Speaker 1: this is such a great survey because it really just 27 00:01:25,920 --> 00:01:29,200 Speaker 1: taps into how people are thinking and feeling about their 28 00:01:29,200 --> 00:01:32,720 Speaker 1: money and what they think it is at the moment 29 00:01:32,760 --> 00:01:35,040 Speaker 1: that they can do to try and get this right. 30 00:01:36,040 --> 00:01:39,560 Speaker 1: And I think one of the most impressive figures that 31 00:01:39,600 --> 00:01:44,960 Speaker 1: we saw coming out of this latest generational wealth survey 32 00:01:45,120 --> 00:01:48,400 Speaker 1: from One Life is that ninety nine percent of survey 33 00:01:48,520 --> 00:01:52,440 Speaker 1: respondents say that wealth building is important to them, and 34 00:01:52,480 --> 00:01:55,080 Speaker 1: more than two thirds of South Africans believe that they 35 00:01:55,120 --> 00:01:58,440 Speaker 1: can do that even on a modest income. And that's 36 00:01:58,520 --> 00:02:01,920 Speaker 1: really quite some thing because last year that figure was 37 00:02:01,960 --> 00:02:05,000 Speaker 1: sitting at thirty five percent. So something has definitely shifted 38 00:02:05,400 --> 00:02:08,160 Speaker 1: with South Africans are not only feeling more hopeful, but 39 00:02:08,240 --> 00:02:10,600 Speaker 1: also feeling more empowered about how to get there. 40 00:02:11,320 --> 00:02:13,680 Speaker 2: I mean, if you say to average people, are you 41 00:02:13,720 --> 00:02:16,320 Speaker 2: able to save I'm almost certain that you know ninety 42 00:02:16,320 --> 00:02:18,919 Speaker 2: percent are going to say no, I'm not because life 43 00:02:18,960 --> 00:02:21,160 Speaker 2: is too expensive. I need to do this, I need 44 00:02:21,200 --> 00:02:24,400 Speaker 2: to do this. And we can tell, obviously because of 45 00:02:24,520 --> 00:02:26,880 Speaker 2: people who have jobs and a pension how much money 46 00:02:26,919 --> 00:02:29,320 Speaker 2: is taken out of that saving spot every tax. Yes, 47 00:02:29,360 --> 00:02:32,240 Speaker 2: so we can tell that people are stretched, how are 48 00:02:32,240 --> 00:02:36,280 Speaker 2: people actually able to manage it, you know, to actually 49 00:02:36,400 --> 00:02:38,960 Speaker 2: say no, no, no, I'm still quite optimistic about being 50 00:02:38,960 --> 00:02:41,720 Speaker 2: able to do this in some way. 51 00:02:42,600 --> 00:02:45,680 Speaker 1: Yeah, Look, that is the reality on the ground. We 52 00:02:45,800 --> 00:02:50,280 Speaker 1: know that it's been tough for most South Africans quite 53 00:02:50,320 --> 00:02:54,200 Speaker 1: a long time, you know. And one of the things 54 00:02:54,240 --> 00:02:57,160 Speaker 1: that we always teach when we're looking at this from 55 00:02:57,200 --> 00:03:01,440 Speaker 1: a financial education perspective is really the name of the 56 00:03:01,480 --> 00:03:04,000 Speaker 1: game is it's not about how much you make, It's 57 00:03:04,040 --> 00:03:07,240 Speaker 1: about how much you keep and anything that goes into 58 00:03:07,240 --> 00:03:10,480 Speaker 1: the savings pot or into the investment pot is part 59 00:03:10,520 --> 00:03:15,200 Speaker 1: of that definition of making yourself personally profitable. And so 60 00:03:15,960 --> 00:03:19,720 Speaker 1: what we're seeing is that, you know, we've we've got 61 00:03:19,760 --> 00:03:24,200 Speaker 1: different trends coming through. We see that sixty percent or 62 00:03:24,200 --> 00:03:26,400 Speaker 1: just under sixty percent of respond and say they're just 63 00:03:26,440 --> 00:03:31,320 Speaker 1: surviving and around thirty percent of people saying that they 64 00:03:31,320 --> 00:03:35,800 Speaker 1: are struggling financially. However, on the up side, there are 65 00:03:35,920 --> 00:03:39,760 Speaker 1: a lot of there are a lot of positive indicators 66 00:03:39,760 --> 00:03:43,400 Speaker 1: that have come out of the indexes here and for me, 67 00:03:43,680 --> 00:03:47,320 Speaker 1: you know, that is shown that even though people are 68 00:03:47,360 --> 00:03:49,680 Speaker 1: acknowledging that they might have a bad month, you know, 69 00:03:49,800 --> 00:03:53,520 Speaker 1: as you say, particularly when times are tough. We've got 70 00:03:53,520 --> 00:03:56,960 Speaker 1: petrol price increases coming. What people are doing is they 71 00:03:57,160 --> 00:04:00,720 Speaker 1: are becoming more financially resilient because they're looking at and saying, well, 72 00:04:00,800 --> 00:04:02,520 Speaker 1: even if this is a bad month, I'm going to 73 00:04:02,560 --> 00:04:05,400 Speaker 1: regroup and I'm going to go and get it right 74 00:04:05,480 --> 00:04:08,640 Speaker 1: next year and so sorry next month. And so this 75 00:04:08,680 --> 00:04:12,760 Speaker 1: is part of this developing this financial resilience, is understanding 76 00:04:12,800 --> 00:04:16,559 Speaker 1: that this is an ongoing effort and we need to 77 00:04:16,880 --> 00:04:20,720 Speaker 1: persist in not only doing the right things with our money, 78 00:04:20,720 --> 00:04:25,159 Speaker 1: but also getting ourselves an increasing level of knowledge and 79 00:04:25,200 --> 00:04:27,800 Speaker 1: confidence around our money, around what we can do better 80 00:04:27,839 --> 00:04:31,000 Speaker 1: and differently, so that we can continue to improve on 81 00:04:31,080 --> 00:04:32,119 Speaker 1: the metrics that matter. 82 00:04:32,920 --> 00:04:36,400 Speaker 2: I mean, for years, the people will say South Africans 83 00:04:36,400 --> 00:04:39,719 Speaker 2: don't save, and sometimes I think there's a little bit 84 00:04:39,760 --> 00:04:42,279 Speaker 2: of a preachy thing to it. And I understand why 85 00:04:42,800 --> 00:04:45,680 Speaker 2: people are so worried about that, because saving is so important, 86 00:04:46,360 --> 00:04:49,280 Speaker 2: but again people just have not been able to. At 87 00:04:49,279 --> 00:04:52,320 Speaker 2: the same time, though for at least probably Hailey, I 88 00:04:52,320 --> 00:04:56,760 Speaker 2: don't know, the last twenty years, there's been so much 89 00:04:56,800 --> 00:05:01,040 Speaker 2: public education about saving for the future times in schools, 90 00:05:01,640 --> 00:05:06,000 Speaker 2: sometimes on shows like this one, sometimes corporates or financial 91 00:05:06,040 --> 00:05:09,960 Speaker 2: institutions have had adverts or whatever it is, And I 92 00:05:10,040 --> 00:05:14,080 Speaker 2: sometimes wonder if that if the financial literacy of our society, 93 00:05:14,200 --> 00:05:18,039 Speaker 2: despite everything, has actually started to improve almost without us knowing, 94 00:05:18,040 --> 00:05:20,240 Speaker 2: in the last twenty years. I mean, maybe I'm sounding 95 00:05:20,240 --> 00:05:22,680 Speaker 2: hopelessly optimistic, but I sometimes wonder if that might be 96 00:05:22,760 --> 00:05:23,159 Speaker 2: the case. 97 00:05:26,640 --> 00:05:28,520 Speaker 1: Stephen, I'm not sure if you're preaching to the choir, 98 00:05:28,560 --> 00:05:32,160 Speaker 1: but I feel the same way. You know, to give 99 00:05:32,200 --> 00:05:34,880 Speaker 1: you an idea. In this survey where we were chelling 100 00:05:34,880 --> 00:05:38,240 Speaker 1: to people, forty two percent of respondents said that they 101 00:05:38,320 --> 00:05:41,640 Speaker 1: have a savings or an emergency fund in place. Now, 102 00:05:42,120 --> 00:05:44,560 Speaker 1: I remember doing interviews like this a couple of years 103 00:05:44,560 --> 00:05:49,479 Speaker 1: ago and that number was significantly lower, And so I 104 00:05:49,520 --> 00:05:54,799 Speaker 1: do feel that there are there is definitely a level 105 00:05:55,000 --> 00:06:00,279 Speaker 1: of financial literacy that's increased. But critically, I think a 106 00:06:00,279 --> 00:06:03,000 Speaker 1: lot of people understand that financial literacy actually isn't good 107 00:06:03,080 --> 00:06:06,720 Speaker 1: enough anymore. And that's where this aspirational element of what 108 00:06:06,760 --> 00:06:10,880 Speaker 1: do we do you know that's better than that? You know, 109 00:06:10,920 --> 00:06:13,159 Speaker 1: if that's the baseline, how can we do more and 110 00:06:13,200 --> 00:06:19,279 Speaker 1: do things differently? And understanding you know, additional financial services 111 00:06:19,279 --> 00:06:23,040 Speaker 1: and products, Understanding how you can go from saving and 112 00:06:23,080 --> 00:06:26,600 Speaker 1: then to investing, how you can protect your downside, for example, 113 00:06:26,600 --> 00:06:30,000 Speaker 1: with life insurance. All of these are important steps in 114 00:06:30,440 --> 00:06:34,840 Speaker 1: not only having a nation that's financially literate, but rather 115 00:06:34,880 --> 00:06:38,640 Speaker 1: one that is financially healthy. And there are a lot 116 00:06:38,640 --> 00:06:41,800 Speaker 1: of efforts that have taken place, you know, from the 117 00:06:41,800 --> 00:06:46,880 Speaker 1: financial services industry, from you know, like you said, platforms 118 00:06:46,920 --> 00:06:51,919 Speaker 1: like yours, businesses like ours, where financial education and genuine 119 00:06:51,920 --> 00:06:54,599 Speaker 1: financial wellness is actually the aim of the game. And 120 00:06:54,680 --> 00:06:57,640 Speaker 1: I do like to believe that some of these efforts 121 00:06:57,680 --> 00:07:00,279 Speaker 1: really are paying divident. 122 00:07:01,240 --> 00:07:04,280 Speaker 2: Does it change the decisions people make, perhaps at quite 123 00:07:04,279 --> 00:07:08,200 Speaker 2: an early age, whereas maybe someone at sort of you know, 124 00:07:08,960 --> 00:07:12,080 Speaker 2: just finishing whatever tertiary qualification they were able to get 125 00:07:13,280 --> 00:07:16,239 Speaker 2: and they were able to get money for might think, well, actually, 126 00:07:16,240 --> 00:07:18,160 Speaker 2: I'm going to start a business because that's going to 127 00:07:18,160 --> 00:07:21,119 Speaker 2: provide an employment for my children. I mean, I see 128 00:07:21,240 --> 00:07:23,480 Speaker 2: so many businesses now where you can see someone who 129 00:07:23,560 --> 00:07:28,240 Speaker 2: started this or has created a situation where their children 130 00:07:28,280 --> 00:07:29,920 Speaker 2: will be able to take that over. And you can 131 00:07:30,000 --> 00:07:33,880 Speaker 2: understand why, because to find a position for a young person, 132 00:07:33,920 --> 00:07:35,679 Speaker 2: a job for a young person can be so tough. 133 00:07:36,720 --> 00:07:39,720 Speaker 2: Could it actually be changing the career decisions people are make? 134 00:07:39,840 --> 00:07:43,800 Speaker 2: This idea of a longer term kind of thing. This 135 00:07:43,920 --> 00:07:46,000 Speaker 2: is not just for me, This is actually for two 136 00:07:46,080 --> 00:07:47,480 Speaker 2: or three generations from me. 137 00:07:50,040 --> 00:07:54,440 Speaker 1: Yeah, absolutely, I think. I mean it's interesting because we 138 00:07:54,880 --> 00:07:58,160 Speaker 1: see so many of these different matrix shiftings. So you're 139 00:07:58,160 --> 00:08:02,200 Speaker 1: talking about owning a business, for instance, in the survey 140 00:08:02,240 --> 00:08:05,320 Speaker 1: when we asked that question, only twelve percent of people 141 00:08:05,360 --> 00:08:08,880 Speaker 1: regarded earning a business as a form of wealth building, right. 142 00:08:09,400 --> 00:08:11,760 Speaker 1: But what was interesting on the flip side is that 143 00:08:12,280 --> 00:08:17,960 Speaker 1: only six percent are associating wealth with cars or luxury possessions, 144 00:08:18,400 --> 00:08:21,080 Speaker 1: whereas last year that figure was closer to twenty percent. 145 00:08:21,840 --> 00:08:27,080 Speaker 1: So we see we're seeing shifting changes in not only 146 00:08:27,840 --> 00:08:31,120 Speaker 1: how people are making decisions, but also the perception of 147 00:08:31,200 --> 00:08:36,440 Speaker 1: wealth where you know, people are shifting what this means, 148 00:08:36,480 --> 00:08:39,319 Speaker 1: you know, So perhaps we've got a younger generation who 149 00:08:39,400 --> 00:08:45,920 Speaker 1: are less focused on things and more focused on certain freedoms, 150 00:08:45,960 --> 00:08:48,560 Speaker 1: you know, which is possibly different to the generation that 151 00:08:48,920 --> 00:08:50,880 Speaker 1: you and I grew up in. And so I do 152 00:08:50,920 --> 00:08:53,560 Speaker 1: think this is coming into play. I mean, I'll give 153 00:08:53,600 --> 00:08:55,760 Speaker 1: you an example. I had a conversation with somebody who 154 00:08:55,760 --> 00:09:00,680 Speaker 1: finished the trick last year, and she had done literacy 155 00:09:01,200 --> 00:09:06,559 Speaker 1: and she was asking me pretty detailed questions around compound 156 00:09:06,600 --> 00:09:09,839 Speaker 1: interests that she had studied as part of the budgeting 157 00:09:09,880 --> 00:09:13,640 Speaker 1: aspect on her you know, within her mass curriculum. And 158 00:09:13,920 --> 00:09:18,840 Speaker 1: I must say I found it really heartening that this 159 00:09:19,000 --> 00:09:21,120 Speaker 1: is part of the education that our kids are getting 160 00:09:21,120 --> 00:09:24,600 Speaker 1: at school, because it definitely wasn't like that when you 161 00:09:24,640 --> 00:09:27,119 Speaker 1: and I were at school. I mean, I finished university 162 00:09:27,440 --> 00:09:29,600 Speaker 1: with a bee common and we hadn't spent more than 163 00:09:29,640 --> 00:09:32,079 Speaker 1: half an hour in personal finances, you know, So there 164 00:09:32,120 --> 00:09:34,520 Speaker 1: is definitely a changing shift here, and for me, it 165 00:09:34,600 --> 00:09:37,319 Speaker 1: is really interesting to see how it's coming through into 166 00:09:37,360 --> 00:09:39,839 Speaker 1: these different numbers and as you mentioned, you know, in 167 00:09:40,160 --> 00:09:42,600 Speaker 1: two different decisions that the youngsters are. 168 00:09:42,559 --> 00:09:45,720 Speaker 2: Making too helly. Thank you so much, Haley Parry. There's 169 00:09:45,760 --> 00:09:49,200 Speaker 2: a money coaching facilitator at one Life's Truth About Money 170 00:09:49,280 --> 00:09:50,160 Speaker 2: nineteen after seven.