WEBVTT - Lisa Dudson: Here's where your money is safest right now

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<v Speaker 1>You're listening to the Weekend Collective podcast from News Talks abnight.

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<v Speaker 2>And welcome back to the show. This is the Weekend Collective.

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<v Speaker 2>I'm Tim Beverage. And by the way, if you've missed

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<v Speaker 2>any of the previous hours, you can go and check

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<v Speaker 2>out a podcast at News Talk, sib dot, Curla and

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<v Speaker 2>ZI just lot for the week and Collective, or go

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<v Speaker 2>to iHeartRadio. And just before you get into smart Money, look,

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<v Speaker 2>I will acknowledge there were a lot of people who

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<v Speaker 2>wanted to have a chat with or about the pandemic

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<v Speaker 2>and all that sort of thing, but really the purpose

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<v Speaker 2>of having actually Bloomfield on was to talk about the

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<v Speaker 2>future of our health system and the problems that we

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<v Speaker 2>are facing, which is why I wasn't dwelling on and

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<v Speaker 2>going to be digging into the various theories people have

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<v Speaker 2>about the last you know, the years of the COVID virus.

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<v Speaker 2>It wasn't that we were avoiding it because we didn't

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<v Speaker 2>want to talk about it in terms of the controversy.

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<v Speaker 2>It's just that that was not the purpose of the hour.

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<v Speaker 2>We've got a guy who's got a massive amount of

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<v Speaker 2>experience in public health, and it was interesting, I think

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<v Speaker 2>to have a chat about the things that are most

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<v Speaker 2>the biggest challenges currently for the health system. So I

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<v Speaker 2>thought he had some really interesting comments and if you're

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<v Speaker 2>interested in going back and having a listen to it,

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<v Speaker 2>the bit to me was that he talked about the

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<v Speaker 2>biggest problems we have is just basically, if I'm paraphrasing,

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<v Speaker 2>managing an aging population, how what we can do best

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<v Speaker 2>to live longer? And I think at top of the list,

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<v Speaker 2>what I took from it, apart from good nutrition and

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<v Speaker 2>all that was exercise. Just keep moving, keep moving and age. Well. Anyway,

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<v Speaker 2>that's what I got from it. So I do acknowledge

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<v Speaker 2>some of the slightly more colorful texts I've got, but

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<v Speaker 2>that wasn't really what the purpose was. So there we go.

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<v Speaker 2>Just put that one bed there. But now we're going

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<v Speaker 2>to shift on too, smart money and of course the

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<v Speaker 2>global economy. You know, we've seen the headlines shifting at

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<v Speaker 2>the moment to say the least warning warning. This is

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<v Speaker 2>a trigger warning for you, and I'm not talking about

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<v Speaker 2>the health how this is a trigger warning. Do not

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<v Speaker 2>look at your key we saver because you might not

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<v Speaker 2>like what you see. Because with the recent I'm going

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<v Speaker 2>to put some context in before I introduce my guest

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<v Speaker 2>with the recent Trump tarif announcements affecting the local markets.

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<v Speaker 2>So we got ten percent on New Zealand export, it's

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<v Speaker 2>just I think basically that's the default. We got off

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<v Speaker 2>lightly compared to some countries. But here's some context for you.

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<v Speaker 2>Over a two day period last week, the market erased

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<v Speaker 2>approximately six point six trillion in value USD Now, to

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<v Speaker 2>make it really fun, let's convert that to New Zealand dollars.

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<v Speaker 2>That is, ten point eight nine trillion dollars of value

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<v Speaker 2>were wiped off stocks in the US. The S and

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<v Speaker 2>P A loan accounted for a five trillion dollar loss

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<v Speaker 2>during the time frame. The Dow Jones and Dusty plummeted

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<v Speaker 2>over two point sorry two hundred points on April four,

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<v Speaker 2>contributing to a two day decline, as I say, which

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<v Speaker 2>was unprecedent of nearly four thousand points. So stock market's

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<v Speaker 2>been all over the place. Foreign trade is a waiting

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<v Speaker 2>game for US. Where are you putting your money? Where

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<v Speaker 2>should you put your money? Or should you just leave

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<v Speaker 2>it where it is, sit tight and wait for it

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<v Speaker 2>all to blow over and fingers cross all all will

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<v Speaker 2>be well anyway, could gold? Could that be the place

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<v Speaker 2>to be? I would suggest that if you're thinking about

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<v Speaker 2>gold now, you're probably too late. The time to do

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<v Speaker 2>it was a few days ago. But anyway, we're going

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<v Speaker 2>to dig into that. We want your calls. Oh, eight

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<v Speaker 2>hundred and eighty, ten and eighty. You might love the tariffs.

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<v Speaker 2>I'd probably have a point of difference with you on that.

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<v Speaker 2>But you know, where are you going to put your

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<v Speaker 2>money or where should you put your money? So personal

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<v Speaker 2>wealth educator at Acumen, Lisa Dudson is with me. Good afternoon,

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<v Speaker 2>How are you, Lisa? Good? Thank you? Actually have you

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<v Speaker 2>been keep you know, on your own portfolio?

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<v Speaker 3>Usually I do, but I have to say the last

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<v Speaker 3>couple of days I haven't looked. But I do remember

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<v Speaker 3>looking when COVID hit and got something like a thirty

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<v Speaker 3>percent client in my portfolio over about teen days, and

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<v Speaker 3>I did watch it like every day and saw it

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<v Speaker 3>go down on this time round. I think I've just

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<v Speaker 3>been a busion. Hadn't really thought about it the last

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<v Speaker 3>couple of days, but yeah, probably not going to be

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<v Speaker 3>a happy camp and when I look at it. So

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<v Speaker 3>I'll just put my head in the sand for all.

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<v Speaker 2>And for me, I haven't given it a second that's

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<v Speaker 2>a lie. I have given it a second thought because

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<v Speaker 2>of the job I do. But for me, I like

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<v Speaker 2>in it too. When I'm producing a concert and I'm

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<v Speaker 2>wondering that the ticket sales a bit sluggish, and I

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<v Speaker 2>suspect they might be depending what happens in the future,

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<v Speaker 2>and I avoid checking them. But actually works quite well

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<v Speaker 2>for me to put my head in the sand for

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<v Speaker 2>two or three weeks and then just because I know this,

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<v Speaker 2>I work out there's nothing I can Well, the psychology

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<v Speaker 2>is similar, so I work out that for the first

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<v Speaker 2>two or three weeks or a particular period, there's not

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<v Speaker 2>much I can do because I've got my strategy on

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<v Speaker 2>selling tickets, and you know what, there's nothing I can

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<v Speaker 2>change right now, So just ignore it for the time

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<v Speaker 2>being and update yourself in a couple of weeks.

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<v Speaker 3>Well, that's right. And we have had a few curly

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<v Speaker 3>things happen in the last couple of years with COVID

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<v Speaker 3>and walls and a few other bits and pieces, so

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<v Speaker 3>it's not like we haven't been here before, unfortunately, but

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<v Speaker 3>we chentuly you know, generally always recover, So I think

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<v Speaker 3>it's just, you know, you've just got to wait the

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<v Speaker 3>game out, really.

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<v Speaker 2>Because there was the wisdom that I've sort of listened to. No,

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<v Speaker 2>I haven't listened to I've heard it. If I listened

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<v Speaker 2>to it, I don't know. But if you're thinking of

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<v Speaker 2>changing your key we saber, it's too late. Absolutely So

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<v Speaker 2>if you had a bit of foresight a few weeks ago,

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<v Speaker 2>then maybe sure you could have switched into a conservative fund.

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<v Speaker 2>But now we've seen the train wreck happen. The only

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<v Speaker 2>thing you do is lock in your losses, do you.

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<v Speaker 3>Well, that's right, and it will recover. And the thing

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<v Speaker 3>is is if you do change out of you let's

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<v Speaker 3>say you're going to growth key saber and you change

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<v Speaker 3>you into conservative one, you don't know when it's going

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<v Speaker 3>to turn around and rebound. And it could have a

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<v Speaker 3>really strong rebound quite quickly. I think at the moment

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<v Speaker 3>there's just so much uncertainty and it will settle down.

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<v Speaker 3>And so if you do, absolutely, if you change now,

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<v Speaker 3>you lock on your losses and then you potentially miss

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<v Speaker 3>the upside. And timing of the market is really, for

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<v Speaker 3>the vast majority of people a bit of a fool's Errand.

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<v Speaker 2>I mean we look at lessons of the past when

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<v Speaker 2>we've seen falls in the stock market. But of course,

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<v Speaker 2>back back in the day of the Great Depression and

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<v Speaker 2>the Wall Street Crash, of course information didn't happen that quickly.

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<v Speaker 2>It was I'm not saying it was carrier pigeon, but

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<v Speaker 2>I don't know what I'm just the purpose of this

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<v Speaker 2>question is to get the question I'm getting too. I'm

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<v Speaker 2>just trying to set the context. Is you know, how

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<v Speaker 2>much can we actually learn from how markets react? Because

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<v Speaker 2>back then markets reacted according to word of mouth, and

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<v Speaker 2>however quickly you could get information from buyers to sellers

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<v Speaker 2>to the stock exchange. You know, they all in the

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<v Speaker 2>same district for one reason, I guess. But these days

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<v Speaker 2>that instant, that reaction of a market is bom bomb.

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<v Speaker 2>It's done even that I can say bombomb Well, absolutely, But.

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<v Speaker 3>Then our houses. We're four New Zealanders, let's face it,

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<v Speaker 3>that's where most of our wealth is tied up. We

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<v Speaker 3>don't go and get valuations on our houses every day.

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<v Speaker 3>Obviously it's a little bit different because you don't needsari

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<v Speaker 3>get daily pricing on your houses. But you know, and

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<v Speaker 3>I've took to lots of investors in the last couple

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<v Speaker 3>of years who have bought in twenty twenty one, they've

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<v Speaker 3>bought at a really peak time. And are they selling

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<v Speaker 3>their houses straight away when the markets started to decline

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<v Speaker 3>at the end of twenty twenty one. Well, no they haven't.

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<v Speaker 3>They've just kind of ridden it through unless there's been

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<v Speaker 3>a specific reason for it, you know, because a few

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<v Speaker 3>people will be in a situation where they have to sell,

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<v Speaker 3>but most people just write it out.

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<v Speaker 2>I guess. I guess. The point I was making is

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<v Speaker 2>that with the share market, it's even more futile to

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<v Speaker 2>try and write it out because it's too late because

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<v Speaker 2>people who are thinking of, oh maybe I should have

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<v Speaker 2>you know, got into the futures and protected this or

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<v Speaker 2>do that. People the machines and everyone's working that out

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<v Speaker 2>thousands of times before you had that thought in your head.

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<v Speaker 2>You can't. You can only really predict what's going to

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<v Speaker 2>happen and be a bit lucky, I guess, can you.

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<v Speaker 3>Well absolutely, And even if you were shares, you know

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<v Speaker 3>they are very liquid, but they still may take a

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<v Speaker 3>day or two for the transaction to process, so you know,

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<v Speaker 3>it's very much after the fate because information is so quick,

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<v Speaker 3>so there's really very little you can do about it.

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<v Speaker 3>Unless you were, let's say, fortunate enough to have a

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<v Speaker 3>bit of a foresight a couple of weeks ago and

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<v Speaker 3>thought times you know tariffs are coming. It's not like

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<v Speaker 3>it's been a surprise.

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<v Speaker 2>It does feel like there was. Look, I've had plenty

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<v Speaker 2>of conversations with people around property and money, and some

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<v Speaker 2>of the people who are actually sort of involved with

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<v Speaker 2>the property market who were confessed that they weren't as

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<v Speaker 2>interested and they were putting their money into shares and stocks,

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<v Speaker 2>and there seemed to be a what there seemed to

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<v Speaker 2>be up into the last few days, a sense that

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<v Speaker 2>you know, if you really had a good investment strategy

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<v Speaker 2>and stuck money into shares over the past ten, twenty

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<v Speaker 2>thirty years, you'd be doing bloody well. But I guess

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<v Speaker 2>times like this make the shares look a little bit unsexy,

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<v Speaker 2>doesn't it.

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<v Speaker 3>Well, again, it's only because their pride, you know instantaneously,

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<v Speaker 3>and you see those prices instantaneously. Because if we got

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<v Speaker 3>that same information on the property market, it would be

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<v Speaker 3>very interesting to see how people would behave around that.

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<v Speaker 2>So where do you think, what do you think that

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<v Speaker 2>what's happening means for where people should or will put

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<v Speaker 2>their money, because we can all remember the times when

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<v Speaker 2>everyone was in the New Zealand ethos seemed to be

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<v Speaker 2>sticken and property property, property, property, property property. Now we

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<v Speaker 2>seem to be a little more reticent on that. What

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<v Speaker 2>do you reckon?

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<v Speaker 3>Well, I think it's all about context, isn't it. So

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<v Speaker 3>how much money are we talking about? Are we talking

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<v Speaker 3>about a lump sum? When do you need it? What's

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<v Speaker 3>your risk profile? You know, there's a whole range of questions.

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<v Speaker 3>I think you need to just go, you know, go

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<v Speaker 3>and discover before you answer that. But great time to

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<v Speaker 3>maybe paying off your mortgage. So if you've got some

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<v Speaker 3>extra cash at the moment, maybe what you do is

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<v Speaker 3>you just have a strategy of paying down your mortgage

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<v Speaker 3>faster and wait for things to settle down a wee bit.

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<v Speaker 3>That's not a silly idea, well that is.

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<v Speaker 2>That's one of the questions that we've asked a few

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<v Speaker 2>times is that if you have that spare casher, you

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<v Speaker 2>better to invest it or you're better just to pay

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<v Speaker 2>off for the mortgage. Because if you're paying off a mortgage,

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<v Speaker 2>it's say you're on six sish percent on average, I

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<v Speaker 2>don't know, then that's six percent that you would have

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<v Speaker 2>to earn after tax on an investment if you're going

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<v Speaker 2>to split that money elsewhere, correct, yeap.

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<v Speaker 3>So I mean it's an interesting discussion, and I've had

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<v Speaker 3>this with lots of people over many years. Is that

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<v Speaker 3>it's technically it's quite hard to beat the return that

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<v Speaker 3>you get paying off your mortgage because of exactly what

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<v Speaker 3>you're saying, you need to get an after tax return

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<v Speaker 3>on your investments. But there's a psychological component of the

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<v Speaker 3>fact that sometimes people feel better knowing that they have

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<v Speaker 3>something other than just their mortgage. So they've got a

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<v Speaker 3>savings plan as well as paying off that, so they've

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<v Speaker 3>got it, they've got like a double or multifaceted strategy.

0:10:50.321 --> 0:10:52.321
<v Speaker 3>The other thing is, you know, I've often stood up

0:10:52.321 --> 0:10:53.841
<v Speaker 3>at SEM nine and said, okay, if you've done a

0:10:53.841 --> 0:10:55.401
<v Speaker 3>budget and you've worked out that you've got to spare

0:10:55.441 --> 0:10:58.041
<v Speaker 3>thousand dollars a month, where would you put it? Would

0:10:58.081 --> 0:10:59.481
<v Speaker 3>you put it into a mortgage or what would you

0:10:59.521 --> 0:11:01.761
<v Speaker 3>do with it? And nine times out of team people

0:11:02.081 --> 0:11:04.961
<v Speaker 3>spend it, go on holiday, upgrade the car. They don't

0:11:05.281 --> 0:11:07.961
<v Speaker 3>you say, i'd pay off my mortgage faster. So when

0:11:08.001 --> 0:11:10.401
<v Speaker 3>you're thinking about it from that point of view, sometimes

0:11:10.441 --> 0:11:13.081
<v Speaker 3>I think it's almost better to take that thousand dollars

0:11:13.121 --> 0:11:16.521
<v Speaker 3>and put it into some sort of savings plan because

0:11:16.841 --> 0:11:19.241
<v Speaker 3>it's more likely to happen than what it would be

0:11:19.281 --> 0:11:20.281
<v Speaker 3>to pay off your mortgage.

0:11:20.401 --> 0:11:23.161
<v Speaker 2>Yeah, and it seems like I've actually you actually preaching

0:11:23.201 --> 0:11:25.001
<v Speaker 2>to the choir in this one, because I've actually just

0:11:25.001 --> 0:11:27.281
<v Speaker 2>been going through this whether there's a bit of a

0:11:27.321 --> 0:11:29.521
<v Speaker 2>miscommunication with my bank, which I'm about to take them

0:11:29.601 --> 0:11:32.881
<v Speaker 2>up on in quite a strong fashion. But I had

0:11:33.121 --> 0:11:35.601
<v Speaker 2>money in my business account where we're you know, over

0:11:35.641 --> 0:11:37.961
<v Speaker 2>the years, where we've built up this sort of nestig

0:11:37.961 --> 0:11:41.361
<v Speaker 2>But I thought, okay, if I'm gonna I loved having

0:11:41.401 --> 0:11:43.401
<v Speaker 2>it sitting there. I just liked having it sit there

0:11:43.441 --> 0:11:45.881
<v Speaker 2>because I thought there's some money to play around with

0:11:45.881 --> 0:11:48.161
<v Speaker 2>with other ideas. But then I thought, hang on a minute,

0:11:48.281 --> 0:11:51.121
<v Speaker 2>that sits there for a year. What's that money worth

0:11:51.161 --> 0:11:53.801
<v Speaker 2>if I just shove it on my mortgage and just

0:11:53.841 --> 0:11:56.121
<v Speaker 2>take some sort of credit account out that I can

0:11:56.241 --> 0:11:58.921
<v Speaker 2>probably dip into it. It took me a long time

0:11:59.001 --> 0:12:01.601
<v Speaker 2>to decide to do that because I loved having that

0:12:03.161 --> 0:12:05.601
<v Speaker 2>the it's the argument about that thousand dollars a week,

0:12:05.641 --> 0:12:07.241
<v Speaker 2>I'll just stick it into an account where I can

0:12:07.241 --> 0:12:10.281
<v Speaker 2>go ooh, there it is, rather than the boring thing

0:12:10.321 --> 0:12:12.401
<v Speaker 2>of going, well, I've reduced my mortgage by a few thousand,

0:12:12.441 --> 0:12:13.921
<v Speaker 2>but I don't have any play money left.

0:12:14.161 --> 0:12:15.441
<v Speaker 3>Well, that's right. And then so it comes back to

0:12:15.481 --> 0:12:18.041
<v Speaker 3>the context of again of who are you and what's

0:12:18.041 --> 0:12:20.001
<v Speaker 3>going to work best for you? So we've got a

0:12:20.041 --> 0:12:23.721
<v Speaker 3>technically a technical conversation around where is where is the

0:12:23.761 --> 0:12:26.361
<v Speaker 3>best return? And often it is putting it into your

0:12:26.361 --> 0:12:29.561
<v Speaker 3>own personal mortgage. But then there's the what's actually going

0:12:29.641 --> 0:12:30.961
<v Speaker 3>to work for you at the end of the day,

0:12:31.041 --> 0:12:34.081
<v Speaker 3>And you know, do you need some emergency funding too?

0:12:34.201 --> 0:12:37.241
<v Speaker 3>You know, and financial advisors always talk about having three

0:12:37.241 --> 0:12:39.641
<v Speaker 3>to six months of your expondit youre put aside somewhere.

0:12:39.641 --> 0:12:41.441
<v Speaker 3>Will you ruther than having that in a separate bank

0:12:41.441 --> 0:12:44.121
<v Speaker 3>account when you're running no or very little interest. You

0:12:44.121 --> 0:12:46.081
<v Speaker 3>could have that in an offset account. But then to

0:12:46.081 --> 0:12:48.641
<v Speaker 3>have an offset account, then you've got to be disciplined

0:12:48.681 --> 0:12:50.561
<v Speaker 3>with your money, because otherwise it can be a little

0:12:50.561 --> 0:12:52.481
<v Speaker 3>bit dangerous because you can get access to it. And

0:12:52.521 --> 0:12:54.241
<v Speaker 3>so for some people that's not ideal.

0:12:55.121 --> 0:12:56.681
<v Speaker 2>We want to know what you're doing with your money

0:12:56.761 --> 0:13:00.201
<v Speaker 2>and these uncertain times, Okay, whether you are just you

0:13:00.361 --> 0:13:02.281
<v Speaker 2>just struggling to keep your head above water, and it's

0:13:02.521 --> 0:13:04.241
<v Speaker 2>there's not much of a decision debate as one thing.

0:13:04.241 --> 0:13:05.601
<v Speaker 2>But if you've got a bit of it, extra money

0:13:06.361 --> 0:13:09.401
<v Speaker 2>to invest, where are you putting it? Where are you

0:13:09.401 --> 0:13:11.321
<v Speaker 2>thinking you're putting it? Are you just sitting tight because

0:13:11.361 --> 0:13:13.001
<v Speaker 2>you have no idea what the stop market is, or

0:13:13.001 --> 0:13:15.441
<v Speaker 2>are you thinking, hell, stop maker caun't fall any further.

0:13:15.441 --> 0:13:17.041
<v Speaker 2>I'm going to pump a whole lot of money into it,

0:13:17.441 --> 0:13:19.921
<v Speaker 2>or are you going to do the old buy gold

0:13:20.001 --> 0:13:22.601
<v Speaker 2>which I've had so often people, My money is, it's

0:13:22.681 --> 0:13:25.041
<v Speaker 2>where it's gold, as we're golders, put it where gold is.

0:13:25.321 --> 0:13:27.481
<v Speaker 2>But you know what, if you shoved it in Berkshire

0:13:27.481 --> 0:13:30.361
<v Speaker 2>Hathway instead stick it in gold, you'd be a hell

0:13:30.401 --> 0:13:32.641
<v Speaker 2>of a lot richer, maybe in safe times, but you'd

0:13:32.681 --> 0:13:34.961
<v Speaker 2>have to see those safe times coming. We want your calls.

0:13:35.201 --> 0:13:37.521
<v Speaker 2>What are you doing with your money? Or are you

0:13:37.561 --> 0:13:40.081
<v Speaker 2>just sort of like you know what things are up

0:13:40.081 --> 0:13:41.681
<v Speaker 2>and down? Who knows what's going to happen. I don't

0:13:41.681 --> 0:13:43.681
<v Speaker 2>know what Trump's going to do with his tariffs. I'm

0:13:43.721 --> 0:13:45.921
<v Speaker 2>just going to let sit it out and just leave

0:13:45.921 --> 0:13:49.081
<v Speaker 2>it where it is and let let my fund managers

0:13:49.121 --> 0:13:51.241
<v Speaker 2>look after everything. What do you reckon? I eight hundred

0:13:51.281 --> 0:13:53.961
<v Speaker 2>and eighty ten eighty text nine two just probably go

0:13:54.001 --> 0:13:56.841
<v Speaker 2>to the break. Have you ever bought gold, Lisa.

0:13:56.681 --> 0:13:59.161
<v Speaker 3>No, I haven't. I think some of the funds that

0:13:59.241 --> 0:14:01.561
<v Speaker 3>I've got have got some exposure to it, but I

0:14:01.601 --> 0:14:03.601
<v Speaker 3>don't know when I've looked at it over the long term.

0:14:03.681 --> 0:14:06.001
<v Speaker 3>I just think that you know, there are other good

0:14:06.041 --> 0:14:08.641
<v Speaker 3>performing investments. I think do just as well when you

0:14:08.681 --> 0:14:10.761
<v Speaker 3>look at it from a longer term perspective.

0:14:11.161 --> 0:14:12.961
<v Speaker 2>If you were to buy gold, would you want to

0:14:12.961 --> 0:14:14.201
<v Speaker 2>have it in your hot little hands?

0:14:14.881 --> 0:14:17.041
<v Speaker 3>Ah, don't I suppose. I don't really think like that.

0:14:17.641 --> 0:14:20.281
<v Speaker 2>No, No, just for the fun side of it. They

0:14:20.281 --> 0:14:21.841
<v Speaker 2>had an item on the news and they had a

0:14:21.881 --> 0:14:25.881
<v Speaker 2>gold somebody's perching gold and they show little gold nugget,

0:14:25.921 --> 0:14:28.081
<v Speaker 2>and I thought, but I'd be wirried. I'd stick it

0:14:28.081 --> 0:14:30.241
<v Speaker 2>to a soft drawer and forget where it was, So

0:14:30.321 --> 0:14:32.361
<v Speaker 2>I reckon, that'll be the safest place for it. Don't

0:14:32.401 --> 0:14:34.601
<v Speaker 2>have the safe. I'd have a safe with a few

0:14:34.641 --> 0:14:36.681
<v Speaker 2>bits of paper in it, and I'd probably stick the

0:14:36.681 --> 0:14:38.921
<v Speaker 2>gold in the sock draw By the way, people, I

0:14:38.961 --> 0:14:41.041
<v Speaker 2>don't have any gold it's not my soft drawers, so

0:14:41.121 --> 0:14:44.361
<v Speaker 2>don't even try and track me down. You might get

0:14:44.401 --> 0:14:46.641
<v Speaker 2>some you can go and clean my socks of course. Anyway,

0:14:46.681 --> 0:14:48.801
<v Speaker 2>it's twenty one past five. Where are you putting your money?

0:14:48.801 --> 0:14:52.161
<v Speaker 2>Where should you put your money? But also you can

0:14:52.161 --> 0:14:54.201
<v Speaker 2>offer your predictions as to what's going to happen with

0:14:54.241 --> 0:14:57.121
<v Speaker 2>these tarists, because it's extreme what's going on right now.

0:14:57.481 --> 0:14:59.561
<v Speaker 2>If he can persists with it, I can't see it

0:14:59.601 --> 0:15:02.681
<v Speaker 2>being a great outcome for everyone. My bet is he's

0:15:02.721 --> 0:15:04.921
<v Speaker 2>going to find somewhere pulling the pin but saying, ah,

0:15:05.241 --> 0:15:07.961
<v Speaker 2>people to the people at table, we negotiated and this

0:15:08.001 --> 0:15:10.961
<v Speaker 2>is the arrangement we've got or not. Twenty one and

0:15:10.961 --> 0:15:12.681
<v Speaker 2>a half past five, This is news talk said, be

0:15:12.801 --> 0:15:14.761
<v Speaker 2>back in the moment, Yes, welcome back to smart Money.

0:15:14.921 --> 0:15:18.321
<v Speaker 2>Lisa Dudson, personal wealth educator Acumen is with me, and

0:15:18.561 --> 0:15:21.121
<v Speaker 2>where are you putting your money? Given what's going on

0:15:21.161 --> 0:15:24.241
<v Speaker 2>with the share markets? And as I say, warning, warning,

0:15:24.521 --> 0:15:27.041
<v Speaker 2>do not check your key we saver, although I think

0:15:27.041 --> 0:15:29.561
<v Speaker 2>I might do mine in the break next break look

0:15:30.321 --> 0:15:31.801
<v Speaker 2>sax some cause Gary.

0:15:31.561 --> 0:15:41.121
<v Speaker 4>Hello, Hey and leisure. I understand I can't change at

0:15:41.121 --> 0:15:45.641
<v Speaker 4>the moment, but can I change the amount and want

0:15:45.641 --> 0:15:47.721
<v Speaker 4>to be better for me to take because at the

0:15:47.721 --> 0:15:51.321
<v Speaker 4>moment I'm at three percent on my queue server of

0:15:51.401 --> 0:15:52.001
<v Speaker 4>my wages.

0:15:52.361 --> 0:15:54.881
<v Speaker 3>Yes, so you're you're so you're putting key You're putting

0:15:54.921 --> 0:15:58.001
<v Speaker 3>three percent of your wages into your keyp saver. And

0:15:58.041 --> 0:16:01.521
<v Speaker 3>your question is should you increase three percent?

0:16:02.201 --> 0:16:07.841
<v Speaker 4>Yeah? Because the stocks, I say, old, I've got up

0:16:07.881 --> 0:16:09.001
<v Speaker 4>to like ten percent?

0:16:09.441 --> 0:16:11.121
<v Speaker 2>Are you? And can I ask are you in an

0:16:11.121 --> 0:16:14.121
<v Speaker 2>aggressive or a conservative or a balanced fund? What sort

0:16:14.121 --> 0:16:14.761
<v Speaker 2>of fund you in?

0:16:15.761 --> 0:16:17.681
<v Speaker 4>Well? I think I'm a conservative?

0:16:18.641 --> 0:16:22.721
<v Speaker 3>Okay, Well in question actually, and have you got spear cash?

0:16:22.841 --> 0:16:24.761
<v Speaker 3>Like do you do you have a mortgage? Have you

0:16:24.881 --> 0:16:26.561
<v Speaker 3>have you got spear cash?

0:16:27.281 --> 0:16:28.441
<v Speaker 4>Okay, I'm not a single fellow.

0:16:28.841 --> 0:16:31.601
<v Speaker 3>Okay, you're a single fellow. And are you Are you

0:16:31.801 --> 0:16:33.921
<v Speaker 3>saving your keep saver to get into a house or

0:16:33.961 --> 0:16:35.281
<v Speaker 3>you've got your own house already?

0:16:36.441 --> 0:16:40.321
<v Speaker 4>Now I don't have a boarding house, but yeah, I

0:16:40.361 --> 0:16:43.681
<v Speaker 4>don't have rent. Now I'm not looking at house right,

0:16:43.841 --> 0:16:44.081
<v Speaker 4>But you.

0:16:44.161 --> 0:16:48.601
<v Speaker 3>Got Okay, So it's a good way, I mean, potentially

0:16:48.601 --> 0:16:50.281
<v Speaker 3>it can be a really great way of savings. The

0:16:50.281 --> 0:16:52.601
<v Speaker 3>only thing you need to be mindful of because you

0:16:52.601 --> 0:16:54.721
<v Speaker 3>can increase it from three to four to six to

0:16:54.761 --> 0:16:57.801
<v Speaker 3>eight or ten percent is that you can't get access

0:16:57.881 --> 0:17:01.361
<v Speaker 3>to those funds and to you're the age of sixty

0:17:01.401 --> 0:17:05.481
<v Speaker 3>five unless you leave the country or have a terminal illness,

0:17:05.601 --> 0:17:08.641
<v Speaker 3>or you have hardship meet the hardship requirements. So the

0:17:08.681 --> 0:17:11.641
<v Speaker 3>thing with Kibi savers, it's a great long term compulsory

0:17:11.641 --> 0:17:14.721
<v Speaker 3>savings plan, but it is locked in most circumstances.

0:17:14.961 --> 0:17:17.241
<v Speaker 2>Because that's an interesting question. Of course, I would say,

0:17:17.241 --> 0:17:20.521
<v Speaker 2>if you're in a conservative fund, it's going to be

0:17:20.641 --> 0:17:22.561
<v Speaker 2>it's not going to be heavily dabbling in the share

0:17:22.601 --> 0:17:24.881
<v Speaker 2>market anyway, conservative fun.

0:17:24.681 --> 0:17:26.161
<v Speaker 3>No, it's small exposure.

0:17:26.601 --> 0:17:30.241
<v Speaker 2>Whereas if you're in a really aggressive fund and say

0:17:30.241 --> 0:17:32.601
<v Speaker 2>it's lost a bit of value, would that be if

0:17:32.641 --> 0:17:34.561
<v Speaker 2>you decided, well, actually, you know what, this is going

0:17:34.641 --> 0:17:37.041
<v Speaker 2>to make up time, then there'll be more of an

0:17:37.121 --> 0:17:41.321
<v Speaker 2>argument for possibly not personalized to vanished advice, especially if

0:17:41.321 --> 0:17:42.721
<v Speaker 2>not from me. But would there be an argument to

0:17:42.761 --> 0:17:43.121
<v Speaker 2>stick a.

0:17:43.041 --> 0:17:45.281
<v Speaker 3>Bit more in Yeah, I mean again, it always comes

0:17:45.321 --> 0:17:48.681
<v Speaker 3>back to that context of you know, do you have

0:17:48.721 --> 0:17:51.281
<v Speaker 3>some emergency savings, do you have a mortgage, you know

0:17:51.321 --> 0:17:54.121
<v Speaker 3>what other sort of access to funds that do you have?

0:17:54.201 --> 0:17:56.081
<v Speaker 3>But if you've got spend money floating around that you

0:17:56.121 --> 0:17:59.441
<v Speaker 3>don't need for the long term. This represents a good

0:17:59.481 --> 0:18:02.361
<v Speaker 3>buying opportunity at the moment. And what it brings into

0:18:02.401 --> 0:18:04.681
<v Speaker 3>a question is the whole dollar cost averaging. So what

0:18:04.761 --> 0:18:08.921
<v Speaker 3>that essentially means is that you're buying in Let's say

0:18:08.961 --> 0:18:12.041
<v Speaker 3>you get paid monthly, you're buying a small amount every

0:18:12.081 --> 0:18:15.681
<v Speaker 3>month with your contribution. Let's say you're three percent into

0:18:15.721 --> 0:18:18.441
<v Speaker 3>the market, So over a period of time, you're averaging

0:18:18.481 --> 0:18:22.281
<v Speaker 3>out the buy price that you buy into those funds with. Anyway,

0:18:22.401 --> 0:18:24.761
<v Speaker 3>but absolutely at the moment, if you've got spare money

0:18:24.761 --> 0:18:26.361
<v Speaker 3>that you don't need for the long term, this is

0:18:26.721 --> 0:18:30.721
<v Speaker 3>potentially a great time to be buying. And albeit if

0:18:30.761 --> 0:18:33.121
<v Speaker 3>you are in a conservative fund you won't get quite

0:18:33.161 --> 0:18:35.081
<v Speaker 3>the value that you would if you're in a growth fund.

0:18:35.321 --> 0:18:36.881
<v Speaker 2>I've just looked at my key we saven now, but

0:18:36.961 --> 0:18:39.201
<v Speaker 2>I'm guessing that it'll be tomorrow then I need to

0:18:39.241 --> 0:18:42.521
<v Speaker 2>look because it says balance as at four April twenty

0:18:42.561 --> 0:18:45.001
<v Speaker 2>twenty five, which is our fourth of April, which is

0:18:45.041 --> 0:18:48.361
<v Speaker 2>only part of the way through the carnage on Wall Street.

0:18:48.441 --> 0:18:51.361
<v Speaker 2>So I shouldn't look it on a Monday right because

0:18:51.361 --> 0:18:54.041
<v Speaker 2>it's barely had a blip. It's only had a slight light.

0:18:54.401 --> 0:18:56.521
<v Speaker 3>Maybe it just depends on when the pricing is too

0:18:56.561 --> 0:18:58.321
<v Speaker 3>you know, yeah.

0:18:57.921 --> 0:18:59.601
<v Speaker 2>Yeah, either that or my key we save a fund

0:18:59.641 --> 0:19:01.761
<v Speaker 2>sort of coming and they're very clever. But I just

0:19:01.801 --> 0:19:02.681
<v Speaker 2>don't imagine.

0:19:02.361 --> 0:19:04.041
<v Speaker 3>That than that you might be wishful thinking.

0:19:05.641 --> 0:19:07.521
<v Speaker 2>Yes, indeed, right, let's take some more course. Where are

0:19:07.521 --> 0:19:10.401
<v Speaker 2>you putting your money in turbulent times? That's the question.

0:19:10.561 --> 0:19:14.201
<v Speaker 2>Eight hundred eighty ten eighty Nick, Good afternoon.

0:19:15.241 --> 0:19:18.641
<v Speaker 5>Oh, good afternoon. I'm just happy that I think it's Lisa.

0:19:18.841 --> 0:19:20.401
<v Speaker 3>Is it lethal, Yes, it's Lisa.

0:19:20.641 --> 0:19:23.961
<v Speaker 5>Yeah, I'm glad that you said something. Fine because I

0:19:24.001 --> 0:19:26.881
<v Speaker 5>was listening to it, you both in the car, and

0:19:26.921 --> 0:19:28.401
<v Speaker 5>I never call up the radio, but I thought I

0:19:28.401 --> 0:19:32.961
<v Speaker 5>have to call up and make sure everybody's doing sound device.

0:19:33.041 --> 0:19:36.481
<v Speaker 5>Based on data, the market's gone down about thirteen percent

0:19:37.321 --> 0:19:39.641
<v Speaker 5>since last week, so that you drop at the moment.

0:19:40.201 --> 0:19:42.881
<v Speaker 5>The market goes down ten percent about once every two years,

0:19:42.921 --> 0:19:45.281
<v Speaker 5>and it goes down twenty percent about one sevy five

0:19:45.361 --> 0:19:48.121
<v Speaker 5>or six years. If you're in the market. This is

0:19:48.201 --> 0:19:51.881
<v Speaker 5>as you said, Lisa, are buying opportunity. Gold hasn't returned

0:19:51.921 --> 0:19:55.201
<v Speaker 5>anything since nineteen hundred to two and one hundred years.

0:19:55.521 --> 0:19:58.041
<v Speaker 5>If he took gold. It doesn't produce anything, So when

0:19:58.041 --> 0:20:00.641
<v Speaker 5>you're buying, you want to know what you're buying. You

0:20:00.681 --> 0:20:04.961
<v Speaker 5>also talked about paying down interests. I never agree with that. Hi,

0:20:05.321 --> 0:20:07.641
<v Speaker 5>It's about allocation of capital and return on capital. So

0:20:07.681 --> 0:20:09.721
<v Speaker 5>if your interest rate is five percent of the bank,

0:20:10.001 --> 0:20:12.281
<v Speaker 5>but you can get ten percent of the market, you

0:20:12.321 --> 0:20:14.921
<v Speaker 5>should be buying the market. Well, if your introwight was

0:20:14.921 --> 0:20:17.361
<v Speaker 5>fifteen percent and the market was ten percent, should be

0:20:17.361 --> 0:20:17.761
<v Speaker 5>paying down.

0:20:17.841 --> 0:20:20.521
<v Speaker 3>Well that's great, and I don't disagree with that, but

0:20:20.601 --> 0:20:23.841
<v Speaker 3>I just think, you know, when you're talking to the

0:20:23.881 --> 0:20:28.441
<v Speaker 3>majority of people, they don't potentially have access to investments

0:20:28.481 --> 0:20:30.721
<v Speaker 3>at ten and fifteen percent have the you know, have

0:20:30.801 --> 0:20:33.521
<v Speaker 3>the knowledge or have the risk appetite to be to

0:20:33.561 --> 0:20:36.961
<v Speaker 3>going at that level. So for the average person, there

0:20:37.041 --> 0:20:39.201
<v Speaker 3>is a lot of sense in paying down debt.

0:20:41.081 --> 0:20:44.361
<v Speaker 5>Well, the market's outformed. What for the last one hundred years,

0:20:44.481 --> 0:20:46.921
<v Speaker 5>there would be five hundred hairs averaged ten percent a

0:20:47.001 --> 0:20:51.361
<v Speaker 5>year before inflation. You talked about Berkshire, He's talked about

0:20:51.361 --> 0:20:54.081
<v Speaker 5>Birdsure hath the way before. He's averaged twenty percent for

0:20:54.081 --> 0:20:55.201
<v Speaker 5>about the last sixty years.

0:20:55.961 --> 0:20:56.881
<v Speaker 3>Yeah, it's done really well.

0:20:56.961 --> 0:20:59.721
<v Speaker 2>Yeah, what you and Nikki you and are you just

0:20:59.761 --> 0:21:01.521
<v Speaker 2>an investor? Are you actually in the game?

0:21:03.081 --> 0:21:04.001
<v Speaker 5>What do you mean in the game?

0:21:04.681 --> 0:21:07.281
<v Speaker 2>Is your job providing financial advice.

0:21:07.641 --> 0:21:11.001
<v Speaker 5>By business owners on all sorts of things. So I'm

0:21:11.041 --> 0:21:13.601
<v Speaker 5>not a licensed financial provider, but interesting enough, one of

0:21:13.601 --> 0:21:16.281
<v Speaker 5>my clients is, and I give him advice. Here's the advice.

0:21:16.281 --> 0:21:19.361
<v Speaker 5>I'd give it all your listeners.

0:21:19.641 --> 0:21:22.041
<v Speaker 3>I don't disagree with anything that you're saying.

0:21:23.721 --> 0:21:26.401
<v Speaker 5>Yeah, I just make a point. The market, which we're

0:21:26.401 --> 0:21:29.601
<v Speaker 5>talking about, the share market, is the only place where

0:21:29.641 --> 0:21:33.161
<v Speaker 5>when prices go down, people cry, and when prices go up,

0:21:33.201 --> 0:21:35.761
<v Speaker 5>people rejoice. It should be the other way around. If

0:21:35.761 --> 0:21:38.641
<v Speaker 5>you think what your favorite car is, your favorite food is.

0:21:38.801 --> 0:21:40.841
<v Speaker 5>If you go to a restaurant and they double the price,

0:21:41.081 --> 0:21:43.121
<v Speaker 5>you wouldn't buy buy the food. But if they said,

0:21:43.161 --> 0:21:46.361
<v Speaker 5>you know what, everything's half price, limited time, you'd have

0:21:46.521 --> 0:21:49.481
<v Speaker 5>two stakes or whatever. So you have to understand that

0:21:49.601 --> 0:21:52.001
<v Speaker 5>in the short term, the market is a voting machine

0:21:52.241 --> 0:21:54.201
<v Speaker 5>and the long term is a wave machine. As for

0:21:54.321 --> 0:21:56.641
<v Speaker 5>Benjamin Graham, the intelligent investor.

0:21:56.441 --> 0:21:58.881
<v Speaker 2>What about property? Where do you say, what do you

0:21:58.881 --> 0:22:01.081
<v Speaker 2>think of property? Have you been and dabbled in that?

0:22:01.281 --> 0:22:04.561
<v Speaker 5>I think that So to Lisa's point about where if

0:22:04.601 --> 0:22:06.361
<v Speaker 5>you the average person and you don't think you can

0:22:06.401 --> 0:22:09.801
<v Speaker 5>really get into probably because I've just actually gone and

0:22:09.841 --> 0:22:12.081
<v Speaker 5>got some more money from the bank, and with there's

0:22:12.121 --> 0:22:14.561
<v Speaker 5>big numbers and it's hard to get money now they've

0:22:14.601 --> 0:22:16.321
<v Speaker 5>got there's a lot of sand and the oils of

0:22:16.361 --> 0:22:20.361
<v Speaker 5>the economy due to the labor changing their laws around borrowing,

0:22:20.521 --> 0:22:22.361
<v Speaker 5>so banks have a lot of restrictions on they have

0:22:22.401 --> 0:22:24.321
<v Speaker 5>to look at your income, et cetera. I say, if

0:22:24.321 --> 0:22:26.721
<v Speaker 5>you're an average person, to go to Leasa's point, Keev

0:22:26.841 --> 0:22:29.561
<v Speaker 5>savers only got at three percent. There's no financial incentive

0:22:29.601 --> 0:22:31.321
<v Speaker 5>other than the five hundred dollars in the match you

0:22:31.401 --> 0:22:33.761
<v Speaker 5>from your employer to do Keev savor because it's not text.

0:22:34.121 --> 0:22:36.681
<v Speaker 3>Yeah, but I look, I don't just interrupt you there.

0:22:37.801 --> 0:22:41.001
<v Speaker 2>Hang on, we're turning into a bit of a lecture here.

0:22:41.081 --> 0:22:43.321
<v Speaker 2>We'd like to let Lisa jump in and you can

0:22:43.321 --> 0:22:44.561
<v Speaker 2>add another point in a second.

0:22:44.721 --> 0:22:44.921
<v Speaker 4>Yeah.

0:22:45.041 --> 0:22:48.881
<v Speaker 3>I think, well, I don't think I'm disagreeing with anything

0:22:48.921 --> 0:22:52.441
<v Speaker 3>that you're saying, but you're forgetting human nature and you're

0:22:52.441 --> 0:22:56.121
<v Speaker 3>forgetting you know, psychology in there, because not everything runs

0:22:56.121 --> 0:22:58.481
<v Speaker 3>like a textbook. So if you read a textbook and

0:22:58.561 --> 0:23:01.321
<v Speaker 3>you know I don't. I don't disagree technically on what

0:23:01.361 --> 0:23:03.441
<v Speaker 3>you're saying, but that's just not necessarily how a lot

0:23:03.481 --> 0:23:05.241
<v Speaker 3>of these things play out in life. And I think

0:23:05.721 --> 0:23:07.361
<v Speaker 3>those are the things sometimes we have to think about

0:23:07.401 --> 0:23:11.201
<v Speaker 3>the context of the average person and how they're listening,

0:23:11.281 --> 0:23:13.801
<v Speaker 3>and you know what makes sense for them on a

0:23:13.841 --> 0:23:14.681
<v Speaker 3>practical level.

0:23:15.721 --> 0:23:18.521
<v Speaker 2>As your vibe right now, Neck is that, look, markets

0:23:18.561 --> 0:23:20.961
<v Speaker 2>have fallen, it's probably not a bad time to stick

0:23:20.961 --> 0:23:22.721
<v Speaker 2>a bit more money into it. Would that be a

0:23:22.801 --> 0:23:24.681
<v Speaker 2>crude summary of what you're suggesting.

0:23:26.321 --> 0:23:28.881
<v Speaker 5>Yes, well, what I'm saying is a no, Lisa, I

0:23:29.081 --> 0:23:32.481
<v Speaker 5>do completely understand. Emotional temperament is the key to investing.

0:23:32.601 --> 0:23:35.201
<v Speaker 5>If you don't have emotional temperament, don't buy a house,

0:23:35.241 --> 0:23:37.921
<v Speaker 5>don't buy shares, don't buy goal. You have to be

0:23:38.041 --> 0:23:42.921
<v Speaker 5>calm and rational. Now, people are irrational, irrational things I

0:23:43.001 --> 0:23:44.881
<v Speaker 5>coach people full of and I understand it. I just

0:23:44.921 --> 0:23:46.921
<v Speaker 5>want to first my point on key we save it

0:23:47.561 --> 0:23:49.401
<v Speaker 5>in America because I used to live in America. They

0:23:49.441 --> 0:23:51.401
<v Speaker 5>have a very climate fans called the four on one

0:23:51.481 --> 0:23:53.281
<v Speaker 5>K and you can put up to about twenty two

0:23:53.281 --> 0:23:56.561
<v Speaker 5>thousand US a year, and that's tax deductible. That comes

0:23:56.561 --> 0:23:59.961
<v Speaker 5>off your income. In New Zealand, Hallan Clarke and Michael

0:24:00.001 --> 0:24:03.161
<v Speaker 5>Cuhen set up at first not so you pay your tax,

0:24:03.761 --> 0:24:05.481
<v Speaker 5>then your money goes in the key we so you

0:24:05.481 --> 0:24:08.161
<v Speaker 5>should do you three percent, get the matching from there,

0:24:08.161 --> 0:24:09.681
<v Speaker 5>pour and get the five hundred and twelve dollars a

0:24:09.721 --> 0:24:11.761
<v Speaker 5>year the government gives you. But other than that you

0:24:11.801 --> 0:24:14.561
<v Speaker 5>should use something like a share trading platform what shares

0:24:14.641 --> 0:24:16.801
<v Speaker 5>is or hatch and buy the S and P five hundred,

0:24:16.841 --> 0:24:19.561
<v Speaker 5>which is saying all the spot fun and just do

0:24:19.681 --> 0:24:22.921
<v Speaker 5>what Lisa said, do what cost averaging and don't don't

0:24:22.961 --> 0:24:24.801
<v Speaker 5>you're saying time you're going to look at yours on Monday,

0:24:25.041 --> 0:24:25.881
<v Speaker 5>don't look at yours.

0:24:26.041 --> 0:24:29.601
<v Speaker 2>No I said that. Don't take me literally. I'm not

0:24:29.641 --> 0:24:31.801
<v Speaker 2>going to be looking at mine on Monday. Don't worry

0:24:31.801 --> 0:24:32.081
<v Speaker 2>about it.

0:24:32.201 --> 0:24:34.081
<v Speaker 5>I'm just tried to. So going back to where where

0:24:34.121 --> 0:24:36.441
<v Speaker 5>you put your money, if you are happy buying the

0:24:36.481 --> 0:24:39.241
<v Speaker 5>index which is for ninety nine, So just so you know,

0:24:39.921 --> 0:24:42.841
<v Speaker 5>only one percent of fund managers outperform the index. Now

0:24:42.921 --> 0:24:45.121
<v Speaker 5>I am personally in my KIV saver and Milford said

0:24:45.441 --> 0:24:47.241
<v Speaker 5>a active growth fund, which is one of the always

0:24:47.241 --> 0:24:49.641
<v Speaker 5>the top performing them official funds of the two best returns.

0:24:49.841 --> 0:24:52.121
<v Speaker 5>The S and P five hundred has outperformed it last

0:24:52.201 --> 0:24:52.641
<v Speaker 5>year by.

0:24:52.561 --> 0:24:54.641
<v Speaker 2>Double Hey, just quickly, just quickly.

0:24:54.401 --> 0:24:55.641
<v Speaker 5>Neck, what's perspective?

0:24:55.761 --> 0:24:58.281
<v Speaker 2>Yeah, yeah, okay, okay, I just got one last question.

0:24:58.721 --> 0:25:01.481
<v Speaker 5>Point one more point hang on one more point five

0:25:02.081 --> 0:25:05.001
<v Speaker 5>by twenty three percent last year, it's gone down by thirty.

0:25:05.841 --> 0:25:07.121
<v Speaker 5>Now it might go there more.

0:25:07.761 --> 0:25:09.721
<v Speaker 2>That was my next question. Actually, I was just going

0:25:09.761 --> 0:25:11.321
<v Speaker 2>to ask you, how far do you think it's kind.

0:25:11.161 --> 0:25:14.441
<v Speaker 5>Of for well, the purpose of predictions is to make

0:25:14.481 --> 0:25:16.801
<v Speaker 5>fortune tellers look good. There's nobody there.

0:25:18.641 --> 0:25:21.721
<v Speaker 2>Well, just when you get you hang yourself out in

0:25:21.761 --> 0:25:24.481
<v Speaker 2>the breeze of their neck. But hey, mate, unfortunately we've

0:25:24.481 --> 0:25:25.921
<v Speaker 2>got to go to a break. But thank you for

0:25:26.001 --> 0:25:28.281
<v Speaker 2>your core. We'll be back. And just to take lots

0:25:28.321 --> 0:25:30.561
<v Speaker 2>of food for thought from Nick there, I.

0:25:30.561 --> 0:25:32.841
<v Speaker 3>Think, I mean, I mean a lot of good points. Again,

0:25:32.881 --> 0:25:35.881
<v Speaker 3>it's just that human psychology is quite a key thing.

0:25:35.841 --> 0:25:40.681
<v Speaker 2>It's interesting questions just around human psychology about just how

0:25:40.761 --> 0:25:44.441
<v Speaker 2>much your nerves can take a jangling from these things.

0:25:44.561 --> 0:25:47.561
<v Speaker 2>I mean, as as Nick says, if you just invest

0:25:47.601 --> 0:25:51.521
<v Speaker 2>in this and P over the last thirty forty fifty years,

0:25:51.881 --> 0:25:53.241
<v Speaker 2>you'd probably be feeling quite good.

0:25:53.721 --> 0:25:56.361
<v Speaker 3>And I also I think you also underestimate how many

0:25:56.361 --> 0:25:58.481
<v Speaker 3>people when they when things are a little bit tough,

0:25:58.561 --> 0:26:02.041
<v Speaker 3>they access those savings that they have, whereas they can't

0:26:02.081 --> 0:26:05.881
<v Speaker 3>access kiwisaver is easily. And so the compulsory locked and

0:26:06.041 --> 0:26:09.801
<v Speaker 3>nature of semi compulsory nature and locked and nature of

0:26:09.881 --> 0:26:12.721
<v Speaker 3>kiwisaver I think does work out for a lot of

0:26:12.721 --> 0:26:14.801
<v Speaker 3>people on the long term because it's just much harder

0:26:14.801 --> 0:26:16.521
<v Speaker 3>to access it when you feel like you just need

0:26:16.521 --> 0:26:17.601
<v Speaker 3>a little bit of extra money.

0:26:17.841 --> 0:26:19.441
<v Speaker 2>Just by way of having a look at it, I've

0:26:19.441 --> 0:26:21.161
<v Speaker 2>got the market. I've got one of the market sap

0:26:21.161 --> 0:26:25.281
<v Speaker 2>on my apps on my phone over the past five

0:26:25.401 --> 0:26:29.281
<v Speaker 2>years from the sixth of April twenty twenty two fifth

0:26:29.321 --> 0:26:32.361
<v Speaker 2>of April twenty twenty five, which includes that that drop

0:26:32.401 --> 0:26:36.001
<v Speaker 2>off one hundred percent growth in five years in the

0:26:36.121 --> 0:26:38.081
<v Speaker 2>S and P. It's not bad, is it. I guess

0:26:38.081 --> 0:26:40.241
<v Speaker 2>the question is how far is that drop off going

0:26:40.321 --> 0:26:40.921
<v Speaker 2>to continue?

0:26:41.641 --> 0:26:44.281
<v Speaker 3>It's interesting now you're looking into a crystal ball, really

0:26:44.321 --> 0:26:46.521
<v Speaker 3>and then you know, I could rebound quite quickly, because

0:26:46.561 --> 0:26:49.761
<v Speaker 3>I think it's markets rebound with uncertainty. Right, so once

0:26:49.801 --> 0:26:52.041
<v Speaker 3>everyone maybe gets used to the tariffs or we don't

0:26:52.041 --> 0:26:54.441
<v Speaker 3>even know where the Trump's going to keep these all

0:26:54.481 --> 0:26:57.161
<v Speaker 3>these tariffs the way they are, right, because you know,

0:26:57.281 --> 0:26:58.361
<v Speaker 3>anything can change.

0:26:58.681 --> 0:27:01.601
<v Speaker 2>I think that's the thing that's soone's settling just who

0:27:01.681 --> 0:27:02.561
<v Speaker 2>knows what he is going to do.

0:27:02.721 --> 0:27:04.601
<v Speaker 3>Yeah, but it will settle itself down, and when it

0:27:04.601 --> 0:27:06.921
<v Speaker 3>does settle self down, markets will start recovering.

0:27:07.161 --> 0:27:09.921
<v Speaker 2>Hmmm, it's interesting. For what isn't it? The S and

0:27:09.961 --> 0:27:14.201
<v Speaker 2>P five hundred Right, We'll take more calls in just

0:27:14.281 --> 0:27:16.481
<v Speaker 2>a moment. We've got lots of text to get onto,

0:27:16.601 --> 0:27:18.481
<v Speaker 2>so we'll we'll crack on in just a moment. It's

0:27:18.481 --> 0:27:21.921
<v Speaker 2>twenty two minutes to sick, so tag the rain.

0:27:23.721 --> 0:27:25.161
<v Speaker 5>Back for.

0:27:27.721 --> 0:27:31.881
<v Speaker 1>Speak of two Miss let's sounds like the rain.

0:27:36.801 --> 0:27:39.081
<v Speaker 2>Welcome back to the show. This is the weekend collective

0:27:39.121 --> 0:27:41.161
<v Speaker 2>Smart Money. My guest is Lisa Dudson. She's a per

0:27:41.401 --> 0:27:45.641
<v Speaker 2>personal wealth educator at Acumen. Actually was this her choice

0:27:45.641 --> 0:27:47.481
<v Speaker 2>of song? I do that was her choice of song. Actually,

0:27:47.601 --> 0:27:49.001
<v Speaker 2>we've going to forget you to have a think about

0:27:49.001 --> 0:27:50.481
<v Speaker 2>your choice of song so we can give you a

0:27:50.681 --> 0:27:53.241
<v Speaker 2>give you a request as part of your part of

0:27:53.241 --> 0:27:54.801
<v Speaker 2>the joy of appearing on the show.

0:27:54.881 --> 0:27:55.921
<v Speaker 3>Letter I'll look forward to that.

0:27:56.481 --> 0:27:59.081
<v Speaker 2>Okay, let's get into some of the questions. We've got

0:27:59.161 --> 0:28:00.921
<v Speaker 2>lots of texts on this. You can jump the que

0:28:00.921 --> 0:28:02.081
<v Speaker 2>if you want to give us a call on eight

0:28:02.121 --> 0:28:06.401
<v Speaker 2>hundred eighty ten eighty. It just changed my key WE

0:28:06.521 --> 0:28:09.481
<v Speaker 2>safer percentage to ten percent in the last week. Of course,

0:28:09.521 --> 0:28:12.041
<v Speaker 2>that's a good, healthy contribution, isn't it. It is? So

0:28:12.161 --> 0:28:15.521
<v Speaker 2>what says what happens if I changed my key WE

0:28:15.641 --> 0:28:19.001
<v Speaker 2>save a percent to ten percent last week? Well, it

0:28:19.041 --> 0:28:22.121
<v Speaker 2>doesn't mean anything. You're just sticking more money from your wages.

0:28:22.641 --> 0:28:25.361
<v Speaker 3>That's right, And I mean you may not have depending

0:28:25.361 --> 0:28:27.201
<v Speaker 3>on when you get paid. You may have bought more

0:28:27.241 --> 0:28:28.881
<v Speaker 3>shoes in the last few days, or you may not have.

0:28:29.521 --> 0:28:31.801
<v Speaker 2>Okay, can I use existing key WE saber funds to

0:28:31.801 --> 0:28:35.481
<v Speaker 2>pay down my mortgage? I can answer that. No, No, hooray.

0:28:35.681 --> 0:28:39.921
<v Speaker 2>That's so. Would it be a good time to put

0:28:39.921 --> 0:28:41.161
<v Speaker 2>money into shares.

0:28:41.321 --> 0:28:46.041
<v Speaker 3>Yes, providing you've got you know, you've got some risk tolerance.

0:28:46.161 --> 0:28:48.281
<v Speaker 3>So because it may come down further and it may

0:28:48.321 --> 0:28:50.081
<v Speaker 3>be a bit more rocky for it for a while yet.

0:28:50.121 --> 0:28:53.081
<v Speaker 3>But in terms of is the market cheaper now than

0:28:53.081 --> 0:28:55.041
<v Speaker 3>what it was a week ago, yes, so it is

0:28:55.161 --> 0:28:55.921
<v Speaker 3>reasonably goodbye.

0:28:56.121 --> 0:28:57.961
<v Speaker 2>Instead of paying that money off a mortgage, I should

0:28:57.961 --> 0:28:58.881
<v Speaker 2>have just waited till.

0:28:59.241 --> 0:29:02.161
<v Speaker 3>Well, again, it's who knows it's for risk. Well, this

0:29:02.201 --> 0:29:03.921
<v Speaker 3>is where you go and see a financial advisor, right,

0:29:03.921 --> 0:29:06.961
<v Speaker 3>because you start looking at the context of the of

0:29:07.041 --> 0:29:10.921
<v Speaker 3>your own personal situation. Right. These questions are just not

0:29:11.081 --> 0:29:14.001
<v Speaker 3>that straightforward. They seem straightforward, but there's a lot of

0:29:14.001 --> 0:29:14.721
<v Speaker 3>context around them.

0:29:14.801 --> 0:29:17.841
<v Speaker 2>It's interesting the attitude for risk thing, too, because so

0:29:18.281 --> 0:29:20.521
<v Speaker 2>I get nervous. I would get nervous if I stop

0:29:20.601 --> 0:29:22.641
<v Speaker 2>I don't know, ten twenty thousand dollars or something and

0:29:22.681 --> 0:29:25.321
<v Speaker 2>suddenly decided right, share markets taking a tumble, I'm gon

0:29:25.441 --> 0:29:27.081
<v Speaker 2>shove it in for and see where it goes. But

0:29:28.401 --> 0:29:30.801
<v Speaker 2>I'd be really nervous about that. And yet when I

0:29:30.801 --> 0:29:32.961
<v Speaker 2>produce a concert, the risk profile for that, I don't

0:29:32.961 --> 0:29:33.921
<v Speaker 2>know how to quantify that.

0:29:34.041 --> 0:29:38.721
<v Speaker 3>Because risk is often linked to your knowledge and experience

0:29:38.761 --> 0:29:40.881
<v Speaker 3>about something, right, So you don't need to understand the

0:29:40.881 --> 0:29:43.401
<v Speaker 3>share market as well as what you understand doing the concert.

0:29:43.481 --> 0:29:45.281
<v Speaker 2>I know much. I understand that either, to be honest,

0:29:45.281 --> 0:29:48.321
<v Speaker 2>because it's the shifting stands of time. What's that from? Ah?

0:29:48.361 --> 0:29:49.481
<v Speaker 2>The days of our lives?

0:29:50.681 --> 0:29:52.281
<v Speaker 3>Oh your closet, days of allies?

0:29:52.281 --> 0:29:55.641
<v Speaker 2>One never but I think we've all heard that heard

0:29:55.681 --> 0:30:00.921
<v Speaker 2>that Intro Sun has just signed up to buy first house.

0:30:01.721 --> 0:30:04.401
<v Speaker 2>Now his kei we savor is disappearing. Any thoughts cheers,

0:30:04.441 --> 0:30:08.001
<v Speaker 2>Steve Case. So they can use their Kiwi saber to

0:30:08.001 --> 0:30:10.081
<v Speaker 2>buy their first house, but they haven't taken the money

0:30:10.081 --> 0:30:11.201
<v Speaker 2>out yet and it's taken a hit.

0:30:11.481 --> 0:30:11.921
<v Speaker 5>Yeah.

0:30:11.961 --> 0:30:13.601
<v Speaker 3>Well, I think there's a couple of things in there.

0:30:13.641 --> 0:30:15.641
<v Speaker 3>As one as you know, when are you buying the house,

0:30:16.241 --> 0:30:19.601
<v Speaker 3>because normally you take the funding, your money out of

0:30:19.641 --> 0:30:21.401
<v Speaker 3>you kipi saber pretty much at the same time you

0:30:21.441 --> 0:30:22.001
<v Speaker 3>buy a house.

0:30:22.561 --> 0:30:25.481
<v Speaker 2>The first piece of advice for anyone else who's doing it.

0:30:25.561 --> 0:30:27.361
<v Speaker 3>Yeah, so they may not. He might be. I don't

0:30:27.361 --> 0:30:29.361
<v Speaker 3>know whether he's buying house now or whether it's you know,

0:30:29.481 --> 0:30:31.801
<v Speaker 3>sometime and then a short term future. The second thing

0:30:31.841 --> 0:30:33.601
<v Speaker 3>is is if you are looking at buying a house,

0:30:33.641 --> 0:30:35.321
<v Speaker 3>you probably want to be thinking about being in a

0:30:35.361 --> 0:30:38.641
<v Speaker 3>conservative fund. Were certainly in a conservative fund close to

0:30:38.761 --> 0:30:39.881
<v Speaker 3>the time that you want to be.

0:30:40.361 --> 0:30:42.681
<v Speaker 2>So this is advice in hindsight. Because he says Son

0:30:42.761 --> 0:30:45.201
<v Speaker 2>has signed up to buy a first house, I'm going

0:30:45.281 --> 0:30:48.081
<v Speaker 2>to assume that's I'm going to assume just for our

0:30:48.161 --> 0:30:52.241
<v Speaker 2>show that that's a contract, in which case ideally you

0:30:52.281 --> 0:30:54.841
<v Speaker 2>would have wanted to have withdrawn that fund those funds

0:30:54.921 --> 0:30:57.721
<v Speaker 2>or conservative of them.

0:30:57.761 --> 0:31:00.001
<v Speaker 3>That's probably horse has bolted on that one by the

0:31:00.041 --> 0:31:00.361
<v Speaker 3>sounds of.

0:31:00.361 --> 0:31:02.921
<v Speaker 2>It, So Steve, it's a son anyway, So Steve, I

0:31:02.921 --> 0:31:05.681
<v Speaker 2>think any thoughts. Yeah, you might need a you might

0:31:05.681 --> 0:31:07.441
<v Speaker 2>need to see if you can subsidize your son a

0:31:07.441 --> 0:31:09.441
<v Speaker 2>bit more if he's lost a bit of money. But

0:31:09.481 --> 0:31:11.121
<v Speaker 2>there we go. It's nothing.

0:31:11.201 --> 0:31:13.801
<v Speaker 3>Well, so much you can do about it. Yeah, And

0:31:13.841 --> 0:31:15.321
<v Speaker 3>it may also be a couple of weeks to go

0:31:15.361 --> 0:31:18.081
<v Speaker 3>before he settles in the funds and needed anyway, so

0:31:18.201 --> 0:31:20.361
<v Speaker 3>I may recover a little bit by then. We just

0:31:20.401 --> 0:31:22.881
<v Speaker 3>don't know the timing And that question, how smug would.

0:31:22.721 --> 0:31:24.161
<v Speaker 2>You be feeling if you'd pulled your money out of

0:31:24.201 --> 0:31:26.401
<v Speaker 2>the market a couple of days ago and then well,

0:31:26.441 --> 0:31:27.841
<v Speaker 2>I guess you'd have to make a decision as to

0:31:27.841 --> 0:31:28.601
<v Speaker 2>when you're going to put.

0:31:28.481 --> 0:31:28.801
<v Speaker 4>It back in.

0:31:29.321 --> 0:31:30.521
<v Speaker 2>That's right. Have you ever done that?

0:31:31.201 --> 0:31:31.241
<v Speaker 5>No?

0:31:31.641 --> 0:31:33.921
<v Speaker 3>I tend to think, because I all the research that

0:31:33.961 --> 0:31:36.041
<v Speaker 3>I've looked at, you have to be pretty lucky to

0:31:36.121 --> 0:31:38.001
<v Speaker 3>get your timing right on that. And so I'm a

0:31:38.081 --> 0:31:41.081
<v Speaker 3>long term investor, so I just do the long term.

0:31:41.441 --> 0:31:44.001
<v Speaker 2>I think most people who are successful investors. Generally you

0:31:44.401 --> 0:31:46.281
<v Speaker 2>chat with them and you find out that they're frustratingly

0:31:46.401 --> 0:31:48.441
<v Speaker 2>long term. It's just in the pub you hear people go, oh,

0:31:48.481 --> 0:31:50.081
<v Speaker 2>I bought this at such and such and I did this.

0:31:50.201 --> 0:31:52.521
<v Speaker 2>It's like, speak them six months later it's all gone.

0:31:52.801 --> 0:31:52.961
<v Speaker 4>Yeah.

0:31:53.001 --> 0:31:54.641
<v Speaker 3>But I remember ring an article this is a few

0:31:54.721 --> 0:31:56.881
<v Speaker 3>years ago about like something that ninety percent of day

0:31:56.961 --> 0:31:58.681
<v Speaker 3>trade has lost money. And those are people that are

0:31:58.721 --> 0:32:01.921
<v Speaker 3>actually trading professionally is their job, and they were still

0:32:02.881 --> 0:32:05.681
<v Speaker 3>losing money. So I just think that, you know, if

0:32:06.041 --> 0:32:08.001
<v Speaker 3>it's a small percentage of people that do really well

0:32:08.041 --> 0:32:09.841
<v Speaker 3>in that trading space, and I tend to be a

0:32:09.881 --> 0:32:11.201
<v Speaker 3>bit more of a long term investor.

0:32:12.401 --> 0:32:14.961
<v Speaker 2>Yeah, okay, let's have got a few more texts. I've

0:32:15.001 --> 0:32:16.641
<v Speaker 2>got so many questions coming to my own mind on

0:32:16.681 --> 0:32:18.241
<v Speaker 2>this part of better. I'll ask you those when you

0:32:18.281 --> 0:32:21.401
<v Speaker 2>take the break. We're looking at buying an investment property.

0:32:21.401 --> 0:32:23.601
<v Speaker 2>It's going to raise our mortgage by about three hundred

0:32:23.601 --> 0:32:26.041
<v Speaker 2>a fortnite, but the rate will cover the mortgage on

0:32:26.161 --> 0:32:29.721
<v Speaker 2>the investment property. Do you think this is a good

0:32:29.721 --> 0:32:31.521
<v Speaker 2>thing to do or use that three hundred dollars to

0:32:31.561 --> 0:32:33.441
<v Speaker 2>pay down the mortgage on our own property.

0:32:33.681 --> 0:32:36.041
<v Speaker 3>Well, if you can afford to buy a second property.

0:32:36.081 --> 0:32:38.361
<v Speaker 3>What I've always been a big fan of property investment.

0:32:38.441 --> 0:32:40.361
<v Speaker 3>So you just need to understand the rules of the game,

0:32:40.521 --> 0:32:44.001
<v Speaker 3>you know, because it's not that straightforward. You know things

0:32:44.041 --> 0:32:46.921
<v Speaker 3>about risks of losing tenants, maintenance costs, you know those

0:32:46.961 --> 0:32:49.561
<v Speaker 3>sorts of things. But if the way that I look

0:32:49.561 --> 0:32:51.801
<v Speaker 3>at is that you're using leverage and then you've got

0:32:51.881 --> 0:32:54.161
<v Speaker 3>growth on two houses as opposed to one, So you've

0:32:54.161 --> 0:32:55.801
<v Speaker 3>got a growth on your own home and you've got

0:32:55.841 --> 0:32:58.961
<v Speaker 3>the growth over the long term on your investment property

0:32:58.961 --> 0:33:01.881
<v Speaker 3>as well. So generally speaking, that's going to give you

0:33:01.961 --> 0:33:04.641
<v Speaker 3>a better return over the long term than just.

0:33:05.121 --> 0:33:07.561
<v Speaker 2>Having assuming that leverage cacks in and we have some

0:33:07.641 --> 0:33:10.281
<v Speaker 2>decent growth in the market and you're not subsidizing the rent.

0:33:10.081 --> 0:33:12.401
<v Speaker 3>For well, even if you do subsidize it, just as

0:33:12.441 --> 0:33:14.561
<v Speaker 3>long as it catches that up. Yeah, that's right, and

0:33:14.921 --> 0:33:18.921
<v Speaker 3>most of the cases it will. If if again, long.

0:33:18.841 --> 0:33:22.201
<v Speaker 2>Term, what do you enjoy investing the most property or shares?

0:33:22.761 --> 0:33:26.241
<v Speaker 2>I do both, So what's what's the one that what's

0:33:26.281 --> 0:33:27.601
<v Speaker 2>the one that gives you the fresh.

0:33:27.481 --> 0:33:30.041
<v Speaker 3>Song of like it depends with them having tenant issues

0:33:30.081 --> 0:33:34.601
<v Speaker 3>all So it's like sh Yeah. You know, you go

0:33:34.721 --> 0:33:36.801
<v Speaker 3>through times where you have a really good run worth,

0:33:36.841 --> 0:33:40.041
<v Speaker 3>you know your tenants, and then you have a challenging

0:33:40.121 --> 0:33:42.441
<v Speaker 3>tenant who trashes the place, and then you know, I

0:33:42.521 --> 0:33:44.641
<v Speaker 3>tend to be more of a favorite of my shaarbootfolio.

0:33:45.521 --> 0:33:47.881
<v Speaker 3>You know, obviously probably not liking my sharpootfolio so much.

0:33:47.961 --> 0:33:51.761
<v Speaker 3>This week nord I did post COVID that was pretty

0:33:51.841 --> 0:33:54.241
<v Speaker 3>pretty hair raising, but you know, so again I just

0:33:54.361 --> 0:33:56.001
<v Speaker 3>try to take a deep brief and think about my

0:33:56.121 --> 0:33:57.001
<v Speaker 3>long term strategy.

0:33:57.321 --> 0:33:59.441
<v Speaker 2>The other thing is I've got a text here saying

0:33:59.481 --> 0:34:01.361
<v Speaker 2>I'm putting more money into my key we save while

0:34:01.361 --> 0:34:04.281
<v Speaker 2>the prices are down. That's more relevant if you've got

0:34:04.681 --> 0:34:09.481
<v Speaker 2>a portfolio that will have experiences those highs and lowers, yes,

0:34:09.561 --> 0:34:12.121
<v Speaker 2>as opposed to if you're just pumping more into conservative

0:34:12.841 --> 0:34:14.161
<v Speaker 2>it's not really Yeah.

0:34:13.961 --> 0:34:15.841
<v Speaker 3>But I still think if again, if you've got the

0:34:15.921 --> 0:34:19.761
<v Speaker 3>money and it's stopping you spending the money right, well then.

0:34:19.921 --> 0:34:23.441
<v Speaker 2>Because the other I still think that not knowing that

0:34:23.521 --> 0:34:25.841
<v Speaker 2>still think anything. What I mean is I think if

0:34:25.921 --> 0:34:28.481
<v Speaker 2>I was going to do it because Kiwi sab that's

0:34:28.521 --> 0:34:32.361
<v Speaker 2>it intil sixty five. Whereas find a fund, yes see,

0:34:32.481 --> 0:34:35.401
<v Speaker 2>that is aggressive where you still have control about it

0:34:35.721 --> 0:34:38.681
<v Speaker 2>taking money in and out. That would be well.

0:34:38.761 --> 0:34:41.361
<v Speaker 3>Generally, my default position with most people is to go

0:34:41.601 --> 0:34:43.481
<v Speaker 3>do the minimum with kiwisaver, and then if you've got

0:34:43.521 --> 0:34:46.161
<v Speaker 3>any extra cash, either pay off your mortgage and or

0:34:46.281 --> 0:34:48.681
<v Speaker 3>have the savings into a separate fund, because then you've

0:34:48.681 --> 0:34:51.121
<v Speaker 3>got access and liquidity. But if I come across some

0:34:51.161 --> 0:34:53.121
<v Speaker 3>of my clients who aren't very disciplined with their money,

0:34:53.521 --> 0:34:56.601
<v Speaker 3>then I sometimes liked the higher amounts with kiwisaver, because

0:34:56.641 --> 0:34:58.441
<v Speaker 3>again it's that locked in nature.

0:34:59.201 --> 0:35:02.401
<v Speaker 2>Steve says, Tim, put your money into arms manufacturing countries

0:35:02.481 --> 0:35:05.481
<v Speaker 2>worldwide up in good defense spending. That's like a very

0:35:05.521 --> 0:35:07.921
<v Speaker 2>cynical text, but actually it's probably quite true.

0:35:09.241 --> 0:35:10.761
<v Speaker 3>Why'd you get to find the fine?

0:35:10.801 --> 0:35:12.641
<v Speaker 2>Well, actually, how would you know how to? Yeah, I

0:35:12.721 --> 0:35:15.481
<v Speaker 2>mean who are the companies? It's funny. Well, we talked

0:35:15.521 --> 0:35:17.561
<v Speaker 2>about this before about ethical investing, and it pops up

0:35:17.561 --> 0:35:20.561
<v Speaker 2>all the time that I always say that people say, well,

0:35:20.601 --> 0:35:24.241
<v Speaker 2>you can't building investing in arms manufacturers im moral, But

0:35:24.561 --> 0:35:26.921
<v Speaker 2>actually it depends what those arms are used for. If

0:35:26.961 --> 0:35:30.641
<v Speaker 2>you are investing in a company which provides the military

0:35:30.681 --> 0:35:33.761
<v Speaker 2>resources for countries to defend themselves.

0:35:33.761 --> 0:35:36.001
<v Speaker 3>Well, that's if you ask the people in Ukraine what

0:35:36.081 --> 0:35:39.361
<v Speaker 3>the ethical policy was around investing in arms, so they

0:35:39.481 --> 0:35:42.921
<v Speaker 3>probably be young exactly, you'd probably laugh at you because

0:35:42.961 --> 0:35:44.961
<v Speaker 3>they would absolutely want people investing in arms.

0:35:45.761 --> 0:35:48.481
<v Speaker 2>So it's just a difficult area area for people to

0:35:48.521 --> 0:35:50.801
<v Speaker 2>get It's so easy to virtue signal this stuff as well,

0:35:50.841 --> 0:35:53.721
<v Speaker 2>if you could get a good return. I don't think

0:35:53.721 --> 0:35:55.121
<v Speaker 2>I should ask you this. I'm going to If you

0:35:55.161 --> 0:35:57.121
<v Speaker 2>could get a good return out of an arms manufacturing

0:35:57.161 --> 0:36:00.281
<v Speaker 2>company that was supplying with weapons to you know, Ukraine

0:36:00.321 --> 0:36:02.481
<v Speaker 2>and other countries, how would you feel about it?

0:36:02.601 --> 0:36:02.921
<v Speaker 5>I don't know.

0:36:02.921 --> 0:36:04.961
<v Speaker 3>I'd have to pause because I just think this. Sometimes

0:36:05.161 --> 0:36:08.881
<v Speaker 3>there's we are can be very judgy and say, well,

0:36:08.961 --> 0:36:11.041
<v Speaker 3>that's not right, But then again you look at the

0:36:11.081 --> 0:36:13.321
<v Speaker 3>people and as I say Ukraine as an example, and

0:36:13.361 --> 0:36:16.801
<v Speaker 3>they're trying to defend their livelihood and defend their country,

0:36:16.921 --> 0:36:19.281
<v Speaker 3>and then you sort of pause and thinking, I don't know,

0:36:19.401 --> 0:36:21.401
<v Speaker 3>you know, it's not a necessarily an easy decision.

0:36:22.961 --> 0:36:25.281
<v Speaker 2>Actually there is a text here, I think, and I

0:36:25.401 --> 0:36:29.081
<v Speaker 2>wonder why more people didn't do this because Trump said

0:36:29.761 --> 0:36:33.681
<v Speaker 2>liberation days coming, I'm going to be whacking on tariffs.

0:36:34.481 --> 0:36:36.681
<v Speaker 2>I don't even think we need hindsight to have predicted

0:36:36.721 --> 0:36:39.081
<v Speaker 2>that the markets were not going to react well to that.

0:36:40.921 --> 0:36:43.441
<v Speaker 2>I'm surprised that more people didn't get ahead of it.

0:36:43.481 --> 0:36:45.401
<v Speaker 2>But this person's saying, I pulled my money out three

0:36:45.481 --> 0:36:48.321
<v Speaker 2>weeks ago writing was on the war with lunatic Trump

0:36:48.841 --> 0:36:51.521
<v Speaker 2>probably reinvest when the Democrats will get back in and

0:36:51.721 --> 0:36:53.921
<v Speaker 2>change everything back to normal and the market is settled.

0:36:54.081 --> 0:36:55.561
<v Speaker 2>I don't even think you need to wait that long,

0:36:55.641 --> 0:36:58.121
<v Speaker 2>to be honest. But why do you think more people

0:36:58.201 --> 0:37:01.561
<v Speaker 2>didn't because he literally said, you know, liberation days come

0:37:01.601 --> 0:37:03.561
<v Speaker 2>and we're going to be whacking these tariffs on. Maybe

0:37:03.601 --> 0:37:06.361
<v Speaker 2>we didn't. We weren't sure if he would not, because that's.

0:37:06.241 --> 0:37:08.841
<v Speaker 3>Maybe why the markets have crashed. Awe it too, because

0:37:08.841 --> 0:37:10.721
<v Speaker 3>a lot of people have been taking their money out right.

0:37:10.761 --> 0:37:14.321
<v Speaker 2>So ah, or they took it out after the fact.

0:37:14.401 --> 0:37:16.081
<v Speaker 2>They didn't they as opposed to you.

0:37:16.201 --> 0:37:18.681
<v Speaker 3>But it becomes a bit of a self fulfilling prophecy, though,

0:37:18.681 --> 0:37:20.441
<v Speaker 3>doesn't it, Because people start taking it out, more people

0:37:20.521 --> 0:37:22.401
<v Speaker 3>start taking it out, and then the prices start dropping,

0:37:22.561 --> 0:37:23.921
<v Speaker 3>and that's what's what's.

0:37:23.761 --> 0:37:25.881
<v Speaker 2>Called a crash out. Yet, do you think there's a

0:37:25.961 --> 0:37:28.321
<v Speaker 2>danger that we're really going to see a much more

0:37:28.641 --> 0:37:31.521
<v Speaker 2>problematic fall in the problem in the in the stock market.

0:37:31.561 --> 0:37:33.201
<v Speaker 2>I mean, they're talking about recession in the States and

0:37:33.201 --> 0:37:36.081
<v Speaker 2>all that sixty prediction of recession in the States. Now,

0:37:36.561 --> 0:37:37.081
<v Speaker 2>I don't know, but.

0:37:37.161 --> 0:37:38.921
<v Speaker 3>When these things, if you look back in history, when

0:37:39.001 --> 0:37:41.081
<v Speaker 3>these things happen, we always think the world was ending,

0:37:41.641 --> 0:37:43.241
<v Speaker 3>you know, we all, you know, we always send to

0:37:43.281 --> 0:37:45.681
<v Speaker 3>think that. You know, when COVID happened, you know, like gosh,

0:37:45.761 --> 0:37:47.641
<v Speaker 3>when some of the things in the early days of that,

0:37:48.401 --> 0:37:52.721
<v Speaker 3>everyone was very very pessimve mystic about things, global funancure crisis,

0:37:52.841 --> 0:37:56.801
<v Speaker 3>everything was was completely you know, everything was coming to

0:37:56.881 --> 0:37:58.921
<v Speaker 3>an end, and some people were thinking that, you know,

0:37:59.001 --> 0:38:00.281
<v Speaker 3>they were going to lose all their money in the

0:38:00.321 --> 0:38:02.601
<v Speaker 3>share market. So and it does rebound. So I think

0:38:02.641 --> 0:38:06.001
<v Speaker 3>we tend to be Yeah, I suppose we just tend

0:38:06.081 --> 0:38:08.681
<v Speaker 3>to be a little bit make it a little bit

0:38:08.681 --> 0:38:09.881
<v Speaker 3>too much of a mountain out of a mole hill.

0:38:09.921 --> 0:38:11.761
<v Speaker 3>Sometimes with some of these things, we just need to

0:38:11.801 --> 0:38:14.721
<v Speaker 3>take a breath and ride it through. But again, it

0:38:14.801 --> 0:38:17.081
<v Speaker 3>comes down to your own risk profile. But if you're

0:38:17.121 --> 0:38:20.601
<v Speaker 3>losing sleep over these moments, then maybe that's telling you

0:38:20.681 --> 0:38:22.561
<v Speaker 3>something that you need to be in a more more

0:38:22.601 --> 0:38:24.321
<v Speaker 3>concierble Oh, I think investment strategy.

0:38:24.401 --> 0:38:26.681
<v Speaker 2>I think a loose sleeper have money, full stop, regardless

0:38:26.721 --> 0:38:29.921
<v Speaker 2>where it is. Anyway, eight minutes to Sex News talks,

0:38:29.921 --> 0:38:33.641
<v Speaker 2>it'd be yes, welcome back, Gosh, time flies, Lisa actually

0:38:33.641 --> 0:38:36.321
<v Speaker 2>with somebody who's we're talking about gold and because that's

0:38:36.361 --> 0:38:39.881
<v Speaker 2>the sort of finite source of currency, I guess. But

0:38:40.001 --> 0:38:43.041
<v Speaker 2>the other one is the bitcoin. People often talk about bitcoin.

0:38:43.081 --> 0:38:44.161
<v Speaker 2>What's bitcoin doing it? The mask?

0:38:44.201 --> 0:38:45.441
<v Speaker 3>So but yeah, I've just had a quick look at

0:38:45.481 --> 0:38:48.321
<v Speaker 3>that bitcorin year today it is down ten point seventy

0:38:48.321 --> 0:38:48.761
<v Speaker 3>one percent.

0:38:49.041 --> 0:38:51.401
<v Speaker 2>What's it done in the news of the last sort

0:38:51.441 --> 0:38:53.081
<v Speaker 2>of forty eight hours, last.

0:38:52.961 --> 0:38:55.001
<v Speaker 3>Five days, which I thought it might have gone up,

0:38:55.041 --> 0:38:57.441
<v Speaker 3>Actually it's gone down two point oh five percent in

0:38:57.441 --> 0:38:58.321
<v Speaker 3>the last five days.

0:38:59.361 --> 0:39:01.041
<v Speaker 2>I did get a text from someone. I've been buying

0:39:01.081 --> 0:39:03.681
<v Speaker 2>short positions on the US Exchange, biding the markets for fall,

0:39:03.721 --> 0:39:05.921
<v Speaker 2>and boy is it make trumpet delivered for me. He's

0:39:05.921 --> 0:39:08.601
<v Speaker 2>talking about how much money he's made. That's from that's

0:39:08.601 --> 0:39:11.041
<v Speaker 2>from Andy. But I always think that I'm always suspicious

0:39:11.081 --> 0:39:12.961
<v Speaker 2>of texts that say they've made a lot of money,

0:39:12.961 --> 0:39:14.881
<v Speaker 2>because I'm guessing he will never tell us when he

0:39:15.201 --> 0:39:15.961
<v Speaker 2>loses a bunch too.

0:39:16.081 --> 0:39:17.561
<v Speaker 3>Yeah, well that's what my experience is.

0:39:17.641 --> 0:39:19.721
<v Speaker 2>Yeah, you only hear the good stories unless you are

0:39:19.801 --> 0:39:22.481
<v Speaker 2>a genius Andy, in which case, well done you. That's

0:39:23.441 --> 0:39:25.081
<v Speaker 2>well done. In fact, I think he's such a good

0:39:25.121 --> 0:39:29.921
<v Speaker 2>text he sent it twice anyway, So I guess at

0:39:29.961 --> 0:39:31.841
<v Speaker 2>the moment the advice is it's too late to pull

0:39:31.881 --> 0:39:33.241
<v Speaker 2>it out of key. We save us at tight and

0:39:33.321 --> 0:39:33.841
<v Speaker 2>see where.

0:39:33.721 --> 0:39:34.761
<v Speaker 3>It can't pulled it out of key.

0:39:34.801 --> 0:39:36.841
<v Speaker 2>We saver No, no, don't, that's right, you can't pull

0:39:36.881 --> 0:39:40.321
<v Speaker 2>it out. I mean sorry, don't just don't switch funds.

0:39:40.361 --> 0:39:40.841
<v Speaker 2>That's the one.

0:39:41.161 --> 0:39:42.361
<v Speaker 3>That's the one we've got there at the end.

0:39:42.481 --> 0:39:43.881
<v Speaker 2>Yeah, we've come out with a look, we've found a

0:39:43.881 --> 0:39:46.121
<v Speaker 2>little tune for you actually to hit out because if

0:39:46.121 --> 0:39:47.801
<v Speaker 2>you are feeling a bit stressed about your money, then

0:39:48.401 --> 0:39:50.241
<v Speaker 2>this little chune from mighty Pith and will see us right,

0:39:50.281 --> 0:39:50.561
<v Speaker 2>won't it.

0:39:50.641 --> 0:39:51.161
<v Speaker 3>That's perfect?

0:39:51.481 --> 0:39:53.161
<v Speaker 2>Hey, thanks so much for your time, Lisa. All right,

0:39:53.161 --> 0:39:55.561
<v Speaker 2>you're welcome shore and we'll be back same time next

0:39:55.561 --> 0:39:58.201
<v Speaker 2>weekend Sunday at Sex's next Thanks might producer tire Robits.

0:39:58.241 --> 0:40:05.481
<v Speaker 2>We'll catch you soon. The right side of lone m hmm,

0:40:08.881 --> 0:40:11.761
<v Speaker 2>always the wrong the r s.

0:40:19.201 --> 0:40:21.921
<v Speaker 1>For more from the Weekend Collective. Listen live to news

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<v Speaker 1>talks it Be weekends from three pm, or follow the

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<v Speaker 1>podcast on iHeartRadio