WEBVTT - Quick bite: Jarrod Kerr—What Australia gets right (that NZ doesn’t) 0:00:00.960 --> 0:00:04.720 You're listening to a shares. These podcast were the world 0:00:04.800 --> 0:00:08.200 champions of comparing ourselves stract to kicker, who's doing it 0:00:08.200 --> 0:00:12.520 better than us? Right now? I think Australia is definitely 0:00:12.560 --> 0:00:15.560 up performing us at the moment, and that's because they are, 0:00:16.800 --> 0:00:20.920 and you know they're Their central bank didn't go as 0:00:21.000 --> 0:00:24.520 hard on the rate hikes, so therefore the Aussie economy 0:00:24.520 --> 0:00:29.240 didn't slow down as much. They didn't record a technical recession. 0:00:30.080 --> 0:00:32.720 They've got a recession in per capita terms, but it's 0:00:32.800 --> 0:00:35.559 quite shallow compared to ours. So we just look at 0:00:35.600 --> 0:00:38.080 the Aussie economy and go, oh man, it's just growing 0:00:38.520 --> 0:00:44.000 nicer than ours. The labor markets tighter, wage growth is more. 0:00:44.360 --> 0:00:46.840 They're just more buoyant than we are at the moment, 0:00:47.360 --> 0:00:50.519 and that's why we've seen a net forty three thousand 0:00:50.640 --> 0:00:53.599 kiwis leave in the last year. People are heading there 0:00:54.120 --> 0:00:57.240 then go on to Australia. So we've seen seventy odd 0:00:57.320 --> 0:01:01.640 thousand kiwis leave and then some coming back. But that 0:01:01.840 --> 0:01:05.520 net forty three is huge. That's a lot of kiwi's leaving. 0:01:06.800 --> 0:01:09.679 It goes in cycles and we saw it in twenty 0:01:09.800 --> 0:01:13.959 and twelve when the Aussie mining boom was really in 0:01:14.080 --> 0:01:17.479 full flight and people were going over driving a truck 0:01:17.560 --> 0:01:20.120 and Perth for like two hundred thousand dollars. Not so 0:01:20.240 --> 0:01:22.000 much of that these days, not so much of that, 0:01:22.080 --> 0:01:25.360 but definitely better prospects at the moment. Otherwise we wouldn't 0:01:25.360 --> 0:01:29.240 be seeing the numbers of Kiwi leaving to Australia. How 0:01:29.280 --> 0:01:31.520 much of that is off savings and just a stronger, 0:01:31.720 --> 0:01:36.200 you know, a better national superannuation structure so that people 0:01:36.240 --> 0:01:39.760 are putting more money aside. Oh, I mean that's been 0:01:39.800 --> 0:01:42.480 a strength of Australia for a while. Now. They've got 0:01:42.560 --> 0:01:45.840 I think the fifth largest sovereign wealth fund on the 0:01:45.920 --> 0:01:48.840 planets for an economy, which is less than two percent 0:01:49.360 --> 0:01:52.280 of the global economy. To have that sort of savings there, 0:01:52.440 --> 0:01:54.400 and you know what, they don't think they've got enough. 0:01:55.840 --> 0:01:59.520 They are still increasing their compulsory I think it's gone 0:01:59.560 --> 0:02:01.800 up to twelve percent now. It was nine percent when 0:02:01.840 --> 0:02:04.680 I was working there. I tell you what, working thirteen 0:02:04.920 --> 0:02:07.680 and a half years in Australia, I've actually got this 0:02:07.760 --> 0:02:10.560 nice little nest egg sitting there that I wouldn't have 0:02:10.560 --> 0:02:13.120 had otherwise. There's no way I could afford to put 0:02:13.560 --> 0:02:16.400 nine percent away over that entire period. But it's sitting 0:02:16.440 --> 0:02:19.040 there and it's great, and we're doing it here now. 0:02:19.280 --> 0:02:23.400 Should be compulsory, should be a much higher rate. But 0:02:23.840 --> 0:02:28.480 you know, some things Australians just do do better than us. 0:02:28.720 --> 0:02:30.520 They dig holes better than us, I can tell you 0:02:30.560 --> 0:02:33.360 that much. But we grow stuff on top much better 0:02:33.400 --> 0:02:37.640 than them. One thing they are pretty good at, and 0:02:37.639 --> 0:02:40.720 particularly at the state level, is the big infrastructure stuff. 0:02:41.320 --> 0:02:43.440 You know, they just seem to get stuff done. And 0:02:43.480 --> 0:02:46.600 I use Sydney as a classic example, where you've got 0:02:46.639 --> 0:02:52.720 this bridge and it's got heaps lanes, it's got a 0:02:52.760 --> 0:02:55.680 train track gone both ways, so trains can go across, 0:02:55.840 --> 0:02:58.920 you can walk down one side, you can cycle across 0:02:58.960 --> 0:03:02.040 the other side of it. And that was built, you know, 0:03:02.120 --> 0:03:08.720 fifty years ago. That's not enough. Their cities grew and 0:03:08.760 --> 0:03:12.760 they've got a tunnel going underneath. Now you've got fairies, 0:03:12.840 --> 0:03:15.359 you've got plenty of ways to get across the Sydney Harbor. 0:03:16.040 --> 0:03:21.480 Right here, You've got a bridge that was built in 0:03:21.520 --> 0:03:24.080 the sixties, I think, on the cheap. On the cheap, 0:03:24.880 --> 0:03:28.280 it reached capacity five years later, so we tacked on 0:03:28.919 --> 0:03:32.320 some clip ons and we've done nothing since. The only 0:03:32.360 --> 0:03:34.800 other way to get across is with maybe a fiery 0:03:34.840 --> 0:03:38.440 if you're lucky, or a kayak, right, that's your option, 0:03:38.760 --> 0:03:43.960 strong strong swimmers exactly. It's I think it just highlights 0:03:44.000 --> 0:03:47.480 the difference between us. They can they can deliver these 0:03:47.480 --> 0:03:50.560 big projects in Australia and they can think a lot 0:03:50.600 --> 0:03:54.360 further ahead for some reason, and I just wish we 0:03:54.400 --> 0:03:57.400 would snap out of it. Involves the risk you might 0:03:57.440 --> 0:03:59.800 lose the money you start with. We recommend talking to 0:03:59.800 --> 0:04:04.160 a licensed financial advisor. We also recommend reading product disclosure 0:04:04.200 --> 0:04:05.920 documents before deciding to invest.