1 00:00:00,640 --> 00:00:04,880 Speaker 1: Hello, my name's Santasha Nabananga Bamblet. I'm a proud yr 2 00:00:04,920 --> 00:00:08,639 Speaker 1: the Order Kerni Whoalbury and a waddery woman. And before 3 00:00:08,640 --> 00:00:11,119 Speaker 1: we get started on She's On the Money podcast, I 4 00:00:11,160 --> 00:00:14,280 Speaker 1: would like to acknowledge the traditional custodians of the land 5 00:00:14,400 --> 00:00:17,639 Speaker 1: of which this podcast is recorded on a wondery country, 6 00:00:18,120 --> 00:00:22,560 Speaker 1: acknowledging the elders, the ancestors and the next generation coming through. 7 00:00:23,040 --> 00:00:27,120 Speaker 1: As this podcast is about connecting, empowering, knowledge sharing and 8 00:00:27,200 --> 00:00:30,560 Speaker 1: the storytelling of you to make a difference for today 9 00:00:31,040 --> 00:00:32,599 Speaker 1: and lasting impact for tomorrow. 10 00:00:33,280 --> 00:00:34,080 Speaker 2: Let's get into it. 11 00:00:34,760 --> 00:00:39,000 Speaker 3: She's on the Money, She's on the Money. 12 00:00:57,800 --> 00:01:01,320 Speaker 2: Hello and welcome to She's the Money, the podcast for 13 00:01:01,440 --> 00:01:05,800 Speaker 2: millennials who want financial freedom. My loves Today is Friday, 14 00:01:05,840 --> 00:01:07,840 Speaker 2: which means it is time to sit back with the 15 00:01:07,880 --> 00:01:10,640 Speaker 2: girls with a bevy in hand, to unpack our favorite 16 00:01:10,680 --> 00:01:14,240 Speaker 2: moments of the week and as always, to celebrate you, 17 00:01:14,680 --> 00:01:17,960 Speaker 2: our incredible She's on the Money community. As always, we're 18 00:01:17,959 --> 00:01:19,760 Speaker 2: going to be sharing our favorite money wins. We're going 19 00:01:19,840 --> 00:01:21,959 Speaker 2: to be discussing what's making news in the finance world, 20 00:01:22,000 --> 00:01:24,279 Speaker 2: and this week we're going to be answering a juicy 21 00:01:24,319 --> 00:01:27,520 Speaker 2: money question from our friend Julie, all about how to 22 00:01:27,600 --> 00:01:31,400 Speaker 2: best build up an emergency fund. But before we get there, 23 00:01:31,560 --> 00:01:34,560 Speaker 2: as always, it is time to recap the week that was. 24 00:01:34,840 --> 00:01:38,120 Speaker 2: Miss Jessica Rici. What happened on Money Diaries this week? 25 00:01:38,360 --> 00:01:41,920 Speaker 2: So Monday's diarist was a little spicy. She has an 26 00:01:41,959 --> 00:01:44,440 Speaker 2: only fan and she has been killing game. She's a 27 00:01:44,480 --> 00:01:47,720 Speaker 2: single mum, she bought a house, an investment property, a 28 00:01:47,840 --> 00:01:50,920 Speaker 2: land rover, and she did it all within twelve She she. 29 00:01:50,960 --> 00:01:52,200 Speaker 4: Is pretty wild. 30 00:01:52,480 --> 00:01:55,200 Speaker 2: I feel like we've done a couple of OnlyFans diaries 31 00:01:55,240 --> 00:01:58,920 Speaker 2: before and people always find them super interesting. Yeah, because 32 00:01:58,960 --> 00:02:00,800 Speaker 2: we like being perfect, most of us are going to 33 00:02:00,840 --> 00:02:02,600 Speaker 2: be like, oh, we would never do that, Like we 34 00:02:02,640 --> 00:02:04,800 Speaker 2: don't judge people who do, but we'd never do that. 35 00:02:04,840 --> 00:02:06,320 Speaker 2: But I want to know how you make money. Like 36 00:02:06,400 --> 00:02:08,280 Speaker 2: even I get a little bit pervy. I'm like, how 37 00:02:08,320 --> 00:02:10,240 Speaker 2: much money do you make? That's sick? I think so, 38 00:02:10,360 --> 00:02:12,680 Speaker 2: and I think it's worth noting we sometimes get people 39 00:02:12,840 --> 00:02:16,280 Speaker 2: sending us slightly terse messages when we do these kinds 40 00:02:16,280 --> 00:02:18,880 Speaker 2: of things, and it's not about glamorizing a certain lifestyle. 41 00:02:18,960 --> 00:02:21,280 Speaker 2: But in our office, we really view sex work as 42 00:02:21,400 --> 00:02:24,079 Speaker 2: just another form of work and just like we would 43 00:02:24,160 --> 00:02:25,919 Speaker 2: have any other diarist not to talk about their job. 44 00:02:26,000 --> 00:02:28,680 Speaker 2: That's what this one did exactly. And if someone writes 45 00:02:28,760 --> 00:02:30,920 Speaker 2: into our show and says, hey, I've got this great 46 00:02:30,919 --> 00:02:33,720 Speaker 2: money diary, great, come on the show. If you want 47 00:02:33,760 --> 00:02:37,280 Speaker 2: more content from more diverse areas, put it on the show. 48 00:02:37,560 --> 00:02:40,160 Speaker 2: Come and write into us. Like we only share what 49 00:02:40,240 --> 00:02:42,760 Speaker 2: people are comfortable with. If people are comfortable sharing their 50 00:02:42,760 --> 00:02:45,120 Speaker 2: stories about only fans, I'm gonna give you that platform. 51 00:02:45,200 --> 00:02:46,960 Speaker 2: I love exactly right, And it was really cool to 52 00:02:46,960 --> 00:02:49,919 Speaker 2: see as a mum how she kind of navigated that world. 53 00:02:50,000 --> 00:02:52,840 Speaker 2: She was very candid, which we really appreciated, and it 54 00:02:52,880 --> 00:02:55,000 Speaker 2: was a coole listen. I really enjoyed it. I always 55 00:02:55,080 --> 00:02:57,240 Speaker 2: enjoy them, maybe because I'm pervy, but also because I 56 00:02:57,360 --> 00:02:59,680 Speaker 2: just I love money diaries in general. So I want 57 00:02:59,680 --> 00:03:01,040 Speaker 2: to know what you doing with money? Tell me? 58 00:03:01,600 --> 00:03:01,920 Speaker 4: All right? 59 00:03:02,040 --> 00:03:04,160 Speaker 2: Moving on, on Wednesday, we had a little bit of 60 00:03:04,160 --> 00:03:07,600 Speaker 2: a deep dive missed Georgia King. What happened on Wednesday? 61 00:03:07,840 --> 00:03:09,120 Speaker 4: Hello ladies. 62 00:03:09,520 --> 00:03:13,320 Speaker 3: This Wednesday we spoke all about employee riots, which was 63 00:03:13,360 --> 00:03:17,760 Speaker 3: super interesting. We spoke about industry awards and agreements, superannuation, 64 00:03:18,000 --> 00:03:22,359 Speaker 3: oh and s unfair dismissal the Fair Work Tribunal and 65 00:03:22,680 --> 00:03:26,720 Speaker 3: plenty plenty more. It was really really empowering, was my 66 00:03:26,800 --> 00:03:29,000 Speaker 3: main takeaway from that map, because we just don't know 67 00:03:29,040 --> 00:03:30,080 Speaker 3: what we're entitled. 68 00:03:29,720 --> 00:03:30,960 Speaker 2: To a lot of the time, you don't know what 69 00:03:31,000 --> 00:03:33,679 Speaker 2: you don't know, you don't know my content like this exists, 70 00:03:33,720 --> 00:03:35,040 Speaker 2: so that then you know what you know, and then 71 00:03:35,080 --> 00:03:36,080 Speaker 2: your employees. 72 00:03:35,840 --> 00:03:37,760 Speaker 4: Exactly, we love that. 73 00:03:38,320 --> 00:03:41,200 Speaker 2: Get what you deserve, queens, Yes sir? All right, moving 74 00:03:41,240 --> 00:03:44,000 Speaker 2: on to my second favorite part of the week, because 75 00:03:44,000 --> 00:03:46,600 Speaker 2: obviously Money Diaries is number one. Always, Miss Georgia King, 76 00:03:46,640 --> 00:03:47,920 Speaker 2: it is time for you to share some of your 77 00:03:47,960 --> 00:03:50,080 Speaker 2: budget direct money wins and combassions of the week. 78 00:03:50,160 --> 00:03:52,120 Speaker 3: What have you brought out this week for us? Got 79 00:03:52,200 --> 00:03:54,920 Speaker 3: some goodies, girlies. So the first win of the week 80 00:03:55,080 --> 00:03:57,800 Speaker 3: comes from Leah. I resonate with this one. So much 81 00:03:58,080 --> 00:04:01,080 Speaker 3: money win my football team loss. So I saved four 82 00:04:01,160 --> 00:04:04,640 Speaker 3: hundred dollars on Grand Final tickets, trying to spin it 83 00:04:04,760 --> 00:04:06,720 Speaker 3: the best way I can money win. 84 00:04:06,840 --> 00:04:09,560 Speaker 4: Feel that pain. She for Melbourne, bloody losers. 85 00:04:09,680 --> 00:04:11,440 Speaker 3: Sorry, I go for Melbourne too, just in case you 86 00:04:11,440 --> 00:04:13,040 Speaker 3: do later. I'm not being mean, I'm just being mean 87 00:04:13,040 --> 00:04:13,200 Speaker 3: to my. 88 00:04:13,680 --> 00:04:17,479 Speaker 2: Real nasty crying to yourself. Yeah, was that the one 89 00:04:17,480 --> 00:04:20,840 Speaker 2: pointer was that that game? No, that was that was 90 00:04:21,480 --> 00:04:23,200 Speaker 2: who's in the Grand Final? Should I know that? 91 00:04:23,360 --> 00:04:27,360 Speaker 3: You should Sydney and Geelong go go Westside. 92 00:04:28,240 --> 00:04:31,960 Speaker 2: Get Belongham Gal. You didn't even know that till right then. Yeah, 93 00:04:32,000 --> 00:04:34,840 Speaker 2: but as a Westie, you gotta you gotta, you gotta 94 00:04:34,839 --> 00:04:37,279 Speaker 2: put your boys killed us. So I don't follow the 95 00:04:37,279 --> 00:04:38,960 Speaker 2: football because I just know I'll be disappointed. 96 00:04:39,000 --> 00:04:39,480 Speaker 4: Fair enough. 97 00:04:39,920 --> 00:04:43,400 Speaker 3: The next win of the day comes from Tijana money Win. 98 00:04:43,480 --> 00:04:45,560 Speaker 3: I followed up with two of the places I booked 99 00:04:45,560 --> 00:04:49,440 Speaker 3: my twenty twenty euro trip with before COVID they only 100 00:04:49,520 --> 00:04:53,040 Speaker 3: offered credits as great laws changed following the pandemic. I 101 00:04:53,080 --> 00:04:55,880 Speaker 3: had a total of three thousand dollars refunded back to 102 00:04:55,880 --> 00:04:56,760 Speaker 3: me in less than a week. 103 00:04:56,880 --> 00:04:59,520 Speaker 2: Oh my, got money, and you didn't even know you're 104 00:04:59,520 --> 00:04:59,960 Speaker 2: going to get that. 105 00:05:00,080 --> 00:05:02,520 Speaker 3: She probably assumed it was gone. That's a real bonus. 106 00:05:02,880 --> 00:05:07,000 Speaker 3: Enjoy that, Tiana. The next win comes from Teeley money Win. 107 00:05:07,160 --> 00:05:10,039 Speaker 3: I rang and asked my bank to reduce my interest rate. 108 00:05:10,400 --> 00:05:13,160 Speaker 3: They sat, move, smart move, very smart move. They said 109 00:05:13,200 --> 00:05:16,440 Speaker 3: a drop from four point one eight percent to three 110 00:05:16,520 --> 00:05:19,920 Speaker 3: point six percent would be a go pretty good. But 111 00:05:20,000 --> 00:05:23,479 Speaker 3: then she suggested that Athenis rates were three point. 112 00:05:23,360 --> 00:05:24,320 Speaker 4: Two nine percent. 113 00:05:24,680 --> 00:05:27,880 Speaker 3: They said they're going to match that rate. Oh fifteen minute, 114 00:05:28,000 --> 00:05:29,800 Speaker 3: Cole saved me a whole lot of Muller. 115 00:05:30,080 --> 00:05:31,920 Speaker 2: Yeah, and you're just a little bit of googling and 116 00:05:31,960 --> 00:05:34,839 Speaker 2: you've got a comparison to throw their way. Often in 117 00:05:34,960 --> 00:05:38,440 Speaker 2: banking world, they can't suggest the rate that it goes 118 00:05:38,520 --> 00:05:41,080 Speaker 2: down to. You actually have to put it on the table. 119 00:05:41,120 --> 00:05:43,320 Speaker 2: So they'll have like their little schedule And if Georgia 120 00:05:43,400 --> 00:05:44,760 Speaker 2: King called up and said, don't want a better deal, 121 00:05:44,800 --> 00:05:47,080 Speaker 2: they're like, oh, we could drop it to X. But 122 00:05:47,200 --> 00:05:50,120 Speaker 2: if you bring up a comparison, then they actually have 123 00:05:50,200 --> 00:05:53,200 Speaker 2: to consider it, or so I have heard. Because they're 124 00:05:53,200 --> 00:05:55,080 Speaker 2: not going to bring up their competitors to a client. 125 00:05:55,160 --> 00:05:57,400 Speaker 2: Yeah yeah, yeah, not a smart idea. But if you 126 00:05:57,440 --> 00:05:59,960 Speaker 2: bring up their competitors and you're like, I might leave. 127 00:06:00,160 --> 00:06:02,320 Speaker 2: Look how good this other company is, what are they 128 00:06:02,360 --> 00:06:02,760 Speaker 2: going to do? 129 00:06:03,080 --> 00:06:05,000 Speaker 4: Juicy? That's a hot tip from Vedi. 130 00:06:05,080 --> 00:06:06,719 Speaker 2: There, ladies can't give a way too many. 131 00:06:06,720 --> 00:06:09,480 Speaker 3: We've got a whole The next wee and it comes 132 00:06:09,480 --> 00:06:13,240 Speaker 3: from Monique. I needed to have two wisdom teeth removed 133 00:06:13,279 --> 00:06:16,240 Speaker 3: at the public Community dentist and it didn't end up 134 00:06:16,279 --> 00:06:17,400 Speaker 3: costing me a cent. 135 00:06:17,760 --> 00:06:17,920 Speaker 4: What. 136 00:06:18,080 --> 00:06:20,919 Speaker 3: I've had a very easy recovery with no swelling or bruising. 137 00:06:21,000 --> 00:06:22,800 Speaker 3: Wish I could say to see for myself. 138 00:06:22,880 --> 00:06:29,080 Speaker 2: Yeah, we've had this conversation very recently on the podcast. 139 00:06:29,760 --> 00:06:32,520 Speaker 2: We were just excited about dental health. Jessica. 140 00:06:33,560 --> 00:06:35,039 Speaker 3: Oh yeah, I feel like I remember asking you, guys, 141 00:06:35,040 --> 00:06:37,560 Speaker 3: if you go to the dentist. Yeah, yes, the dentists, 142 00:06:37,920 --> 00:06:42,320 Speaker 3: you know, somevery decade or so. That's just to do 143 00:06:42,360 --> 00:06:45,160 Speaker 3: it moving the next week and it comes from Beck 144 00:06:45,240 --> 00:06:47,960 Speaker 3: and money win. I got big w to price match 145 00:06:48,040 --> 00:06:51,679 Speaker 3: with office works. I saved eleven dollars upfront plus fuel costs. 146 00:06:51,720 --> 00:06:53,120 Speaker 3: I don't really get the fuel part of that, but 147 00:06:53,160 --> 00:06:53,599 Speaker 3: that's okay. 148 00:06:53,720 --> 00:06:54,719 Speaker 2: Let's fuel costs. 149 00:06:54,760 --> 00:06:57,800 Speaker 3: I don't know, maybe driving fuel document maybe on the body. 150 00:07:00,160 --> 00:07:02,200 Speaker 3: Maybe that's it just is way more switched on them. 151 00:07:02,240 --> 00:07:05,800 Speaker 3: We'll ever be She's on the money. Guys, How how 152 00:07:05,839 --> 00:07:07,400 Speaker 3: do you actually price match? Though? 153 00:07:07,880 --> 00:07:13,000 Speaker 2: You just go up to a customer, like you're right, 154 00:07:13,080 --> 00:07:15,920 Speaker 2: you as the customer. We do it all the time 155 00:07:16,000 --> 00:07:19,559 Speaker 2: and yeah, yeah, do you just say do you price match? 156 00:07:19,720 --> 00:07:22,120 Speaker 2: Or like generally I will have googled ahead of time 157 00:07:22,160 --> 00:07:23,960 Speaker 2: and I know that you price match and if they go, 158 00:07:24,000 --> 00:07:25,760 Speaker 2: oh no, we don't go oh really because it sounds 159 00:07:25,760 --> 00:07:29,280 Speaker 2: like your website, you do. I'm still so awkward about it. 160 00:07:29,320 --> 00:07:30,920 Speaker 2: We did this the other day because I needed We 161 00:07:30,960 --> 00:07:32,320 Speaker 2: got a new staff member and I had to go 162 00:07:32,320 --> 00:07:34,960 Speaker 2: buy another laptop at JB Hi Fi. Right, so I 163 00:07:35,160 --> 00:07:37,840 Speaker 2: googled the laptop and on my phone I had screenshot 164 00:07:37,840 --> 00:07:40,760 Speaker 2: the price of another competitor. I knew what I was 165 00:07:40,760 --> 00:07:43,120 Speaker 2: going to do. Anyway, walking and ask for the laptop. 166 00:07:43,160 --> 00:07:44,760 Speaker 2: They're like, yep, no worries. And then he said to 167 00:07:44,760 --> 00:07:46,960 Speaker 2: the guy, Oh, I don't mean to be awkward, but like, 168 00:07:47,280 --> 00:07:49,080 Speaker 2: I know you price match, so I just wanted to 169 00:07:49,120 --> 00:07:51,640 Speaker 2: show you this and he's like, oh, He's like, actually 170 00:07:51,760 --> 00:07:55,160 Speaker 2: know who you are. So I fully expected this. I've 171 00:07:55,200 --> 00:07:57,560 Speaker 2: on expected this. He's like, you're living up to your name. 172 00:07:57,560 --> 00:08:01,160 Speaker 2: And I was like, oh, it's so embarrassing, but anyway, yeah, 173 00:08:01,200 --> 00:08:03,080 Speaker 2: I do as I say, don't worry. 174 00:08:03,200 --> 00:08:03,800 Speaker 4: Exactly right. 175 00:08:03,840 --> 00:08:07,160 Speaker 3: We'd love to see it. The last one for the day, ladies. 176 00:08:07,240 --> 00:08:09,480 Speaker 3: It's a win loss win, and it comes from risk 177 00:08:10,480 --> 00:08:13,640 Speaker 3: win lost. Yeah, exactly right, as the feedback win. The 178 00:08:13,680 --> 00:08:16,920 Speaker 3: first win is I got a refund check for a surgery. 179 00:08:16,960 --> 00:08:19,760 Speaker 3: I had last year in the mail, great win win, 180 00:08:20,040 --> 00:08:22,640 Speaker 3: I guess the loss. I got a speeding fine in 181 00:08:22,680 --> 00:08:23,920 Speaker 3: the mail on the same day. 182 00:08:24,360 --> 00:08:25,760 Speaker 4: It was her first in about ten. 183 00:08:25,680 --> 00:08:28,120 Speaker 3: Years while running errands for her friend who had COVID, 184 00:08:28,200 --> 00:08:31,520 Speaker 3: so she's a good woman. And then finally, the last 185 00:08:31,600 --> 00:08:34,600 Speaker 3: win was that the fine wasn't as much as the refund, 186 00:08:34,720 --> 00:08:37,439 Speaker 3: so she's still ahead and she wasn't expecting the money. 187 00:08:37,559 --> 00:08:39,480 Speaker 4: So that's it for the week, lady. 188 00:08:39,640 --> 00:08:41,839 Speaker 2: That's all we've got. George King, as always, it has 189 00:08:41,920 --> 00:08:44,839 Speaker 2: been an absolute delight celebrating some of your budget Direct 190 00:08:44,920 --> 00:08:48,000 Speaker 2: money wins. Budget Direct a winner of can Stars Insurer 191 00:08:48,080 --> 00:08:52,400 Speaker 2: of the Year Award twenty twenty two. Budget Direct Insurance Solved. 192 00:08:52,640 --> 00:08:54,280 Speaker 2: How about we go to a really quick break and 193 00:08:54,320 --> 00:08:57,079 Speaker 2: straight after this, I want to talk about emergency funds. 194 00:08:57,240 --> 00:09:00,200 Speaker 2: We have some news from Georgia King, and I'm going 195 00:09:00,200 --> 00:09:07,840 Speaker 2: to bring up Ki Kardashian don't go anywhere, all right, 196 00:09:08,040 --> 00:09:10,120 Speaker 2: two pieces of news for you guys this week, one 197 00:09:10,160 --> 00:09:13,079 Speaker 2: from me and one from the lovely Georgia King. You're 198 00:09:13,120 --> 00:09:17,920 Speaker 2: making a sad face with me across the table. I know, George, 199 00:09:18,080 --> 00:09:19,559 Speaker 2: share with the family. What have you got to say? 200 00:09:19,600 --> 00:09:20,200 Speaker 4: I'm going to cry. 201 00:09:21,080 --> 00:09:23,280 Speaker 3: I am moving on from She's on the money. 202 00:09:23,280 --> 00:09:26,959 Speaker 4: Oh my god, I'm actually going to be I've just 203 00:09:27,040 --> 00:09:31,559 Speaker 4: set it out. Yeah, i am stop. 204 00:09:31,600 --> 00:09:35,840 Speaker 2: You're gonna make me cry for ages, obviously, and it's 205 00:09:35,880 --> 00:09:39,760 Speaker 2: really sad. It is really sad, but very exciting as well. 206 00:09:39,960 --> 00:09:41,520 Speaker 3: I feel like I've also kind of made it sound 207 00:09:41,559 --> 00:09:45,000 Speaker 3: like the girlies have fired me a little bit, pushing 208 00:09:45,120 --> 00:09:45,440 Speaker 3: me off. 209 00:09:46,200 --> 00:09:49,000 Speaker 2: The opposite is true. This was a choice that you made. 210 00:09:49,040 --> 00:09:52,160 Speaker 2: I have been desperado in the background, trying to get 211 00:09:52,160 --> 00:09:53,280 Speaker 2: her to stay. No. 212 00:09:53,280 --> 00:09:56,200 Speaker 3: No, turns out she's a hot woman in a hot demand, 213 00:09:56,840 --> 00:10:00,080 Speaker 3: but no. So it's just it's come time for me. 214 00:10:00,200 --> 00:10:02,319 Speaker 3: I'm not going anywhere soon. I'm going to be hanging 215 00:10:02,320 --> 00:10:05,280 Speaker 3: around and sharing the job with Jess for a little 216 00:10:05,320 --> 00:10:08,240 Speaker 3: while longer, so you're stuck with me for a while 217 00:10:08,280 --> 00:10:12,480 Speaker 3: to come. The decision was basically made because I want 218 00:10:12,520 --> 00:10:15,559 Speaker 3: to start concentrating on my journalism a little bit more seriously, 219 00:10:16,440 --> 00:10:19,160 Speaker 3: and I've just been burning the candle at both ends. 220 00:10:19,200 --> 00:10:21,640 Speaker 3: I don't know if I've sounded tired on the podcast. 221 00:10:21,200 --> 00:10:23,160 Speaker 2: But haven't you always sound like a delight? 222 00:10:23,240 --> 00:10:23,920 Speaker 4: Thanks guys. 223 00:10:24,679 --> 00:10:27,959 Speaker 3: But yeah, it's just it's time time felt right? How 224 00:10:28,000 --> 00:10:30,559 Speaker 3: fun that when you started, Like when I was listening 225 00:10:30,559 --> 00:10:32,840 Speaker 3: as a listener to the podcast, you were introducing yourself 226 00:10:32,840 --> 00:10:37,480 Speaker 3: as I'm Georgia King, I'm a journalism student, and you're. 227 00:10:36,800 --> 00:10:39,960 Speaker 2: Like, I'm Master of Journalists. I'm Georgia King, a journalist. 228 00:10:40,960 --> 00:10:42,640 Speaker 4: Yeah, I guess, I guess that's true. 229 00:10:42,840 --> 00:10:45,880 Speaker 2: It's so cool. It is so cool. And I mean, George, 230 00:10:45,920 --> 00:10:48,480 Speaker 2: you're not going far like hop skip and a jump away. 231 00:10:48,640 --> 00:10:51,280 Speaker 2: You're still one of my little sister's best friends. So 232 00:10:51,400 --> 00:10:54,400 Speaker 2: good luck being rid of me, and hopefully we can 233 00:10:54,440 --> 00:10:56,240 Speaker 2: like drag her on the show for like little cameos. 234 00:10:56,559 --> 00:11:00,960 Speaker 2: Maybe if our engagement goes down, Jess, bring George. But 235 00:11:01,080 --> 00:11:03,079 Speaker 2: you're leaving the show, but you're not leaving the communities. 236 00:11:03,120 --> 00:11:05,880 Speaker 2: I'm absolutely not mad about it. She'd still be floating around. 237 00:11:05,920 --> 00:11:07,360 Speaker 2: You might see her in the audience at a few 238 00:11:07,360 --> 00:11:09,440 Speaker 2: she's on the money events because lord no, she always 239 00:11:09,440 --> 00:11:12,760 Speaker 2: get a ticket. But I'm really sad. I hate this. 240 00:11:13,120 --> 00:11:14,200 Speaker 4: Oh I know, I know. 241 00:11:14,400 --> 00:11:16,360 Speaker 3: But yeah, as you've said, you're not getting rid of me. 242 00:11:16,440 --> 00:11:19,800 Speaker 3: L still be loitering in the background events and stuff. 243 00:11:20,480 --> 00:11:22,680 Speaker 3: But also I just wanted to say a big thank 244 00:11:22,720 --> 00:11:27,880 Speaker 3: you to both Victoria and jo I can't. But also 245 00:11:28,240 --> 00:11:29,800 Speaker 3: to the amazing community. 246 00:11:30,120 --> 00:11:32,200 Speaker 4: Oh my god, the voice. This is way harder than 247 00:11:32,200 --> 00:11:32,800 Speaker 4: I expected it to. 248 00:11:34,160 --> 00:11:36,560 Speaker 3: But yeah, also to the community who have been so 249 00:11:36,679 --> 00:11:40,079 Speaker 3: welcoming of me since the start, and I think we 250 00:11:40,120 --> 00:11:42,800 Speaker 3: should talk about something else before I cry. 251 00:11:44,400 --> 00:11:46,880 Speaker 2: This is really wholesome. We're really grateful for you being here, 252 00:11:47,000 --> 00:11:50,600 Speaker 2: been here. Literally I've recorded podcasts with me on the 253 00:11:50,600 --> 00:11:52,640 Speaker 2: floor after a bottle of wine. We won't tell you 254 00:11:52,720 --> 00:11:53,839 Speaker 2: which episode that was. 255 00:11:55,360 --> 00:11:56,120 Speaker 3: With you. 256 00:11:56,160 --> 00:11:58,840 Speaker 2: Remember the time we recorded with beanies over our microphones 257 00:11:58,880 --> 00:12:03,120 Speaker 2: because we couldn't find the pops. We've come so far together, 258 00:12:03,240 --> 00:12:06,560 Speaker 2: Dueta King. But I think it's come, as you know, 259 00:12:06,640 --> 00:12:08,800 Speaker 2: probably a surprise to the community. But at the same time, 260 00:12:08,840 --> 00:12:10,440 Speaker 2: I don't think the community is going to be surprised 261 00:12:10,440 --> 00:12:13,719 Speaker 2: all because you are destined for very great things, and 262 00:12:13,800 --> 00:12:16,240 Speaker 2: you started as a journalism student. Now you're a master 263 00:12:16,320 --> 00:12:19,439 Speaker 2: of journalism. You've got to get the work done. George, 264 00:12:19,559 --> 00:12:22,719 Speaker 2: We totally get it. So very grateful for you. Thank 265 00:12:22,760 --> 00:12:24,000 Speaker 2: you for being part of our journey. 266 00:12:24,600 --> 00:12:26,079 Speaker 4: Sorry for getting so emotional. 267 00:12:26,600 --> 00:12:29,040 Speaker 2: We also for those of you wondering, we don't actually 268 00:12:29,040 --> 00:12:32,000 Speaker 2: have a plan for what happens to quote George's role 269 00:12:32,160 --> 00:12:35,640 Speaker 2: on the show. Yet we've decided. Given how busy the 270 00:12:35,679 --> 00:12:38,080 Speaker 2: rest of this year is, because obviously we've got a 271 00:12:38,160 --> 00:12:40,960 Speaker 2: million things on, we're just going to see the year out. 272 00:12:41,120 --> 00:12:42,840 Speaker 2: G will be here for most of it, and then 273 00:12:42,880 --> 00:12:44,920 Speaker 2: if G's not around, Jess and I are going to 274 00:12:45,160 --> 00:12:48,520 Speaker 2: roll solo together and then we will make a decision 275 00:12:48,640 --> 00:12:50,960 Speaker 2: in the new year as to what happens. Maybe we 276 00:12:51,000 --> 00:12:53,120 Speaker 2: can get some new voices on the pod. Maybe we don't. 277 00:12:53,120 --> 00:12:55,760 Speaker 2: Who knows. Time will tell you, Time will tell, but 278 00:12:55,840 --> 00:12:58,920 Speaker 2: it'll be hard to replace you Big choose to feel massive, 279 00:12:59,080 --> 00:13:01,800 Speaker 2: tiny studies? Oh same? 280 00:13:01,160 --> 00:13:03,359 Speaker 3: Shall we talk about Kim Kardashian. 281 00:13:03,600 --> 00:13:09,800 Speaker 2: I feel like an emotional roles this story. I feel 282 00:13:09,800 --> 00:13:12,800 Speaker 2: like combines two of all of our favorite things finance 283 00:13:12,880 --> 00:13:16,040 Speaker 2: and trashy reality TV we all love. I don't know 284 00:13:16,080 --> 00:13:18,800 Speaker 2: if you saw the news, gals, but Kim Kardashian and 285 00:13:18,960 --> 00:13:22,080 Speaker 2: a former partner of hers have recently launched a private 286 00:13:22,120 --> 00:13:26,480 Speaker 2: equity firm focusing on investing in consumer and media businesses, 287 00:13:26,520 --> 00:13:29,480 Speaker 2: which I am obsessed, Like, she's living my dream. One 288 00:13:29,559 --> 00:13:31,760 Speaker 2: day I want to have a private equity firm, Like 289 00:13:31,880 --> 00:13:33,880 Speaker 2: how cool would it be to be able to invest 290 00:13:33,880 --> 00:13:36,560 Speaker 2: in other people's businesses? Well, Yeah, the devil works hard. 291 00:13:36,640 --> 00:13:39,400 Speaker 2: Christiana really does work harder. And to be honest, I 292 00:13:39,440 --> 00:13:41,320 Speaker 2: don't know a whole lot about what a private equity 293 00:13:41,360 --> 00:13:43,640 Speaker 2: firm is, So VD, can you start by explaining to 294 00:13:43,720 --> 00:13:45,760 Speaker 2: us what that is and then we can maybe dissect 295 00:13:45,800 --> 00:13:47,520 Speaker 2: the news a little bit more. Can I like jump 296 00:13:47,559 --> 00:13:49,360 Speaker 2: back to what it's called first though, because it did 297 00:13:49,520 --> 00:13:51,920 Speaker 2: make me laugh, Like you would think that any Kardashian 298 00:13:51,960 --> 00:13:54,280 Speaker 2: business was typ with a K. Right doesn't. But it's 299 00:13:54,280 --> 00:13:56,960 Speaker 2: called Sky Partners, but it's got two k's in it, 300 00:13:57,040 --> 00:13:58,800 Speaker 2: so it's SKK Live. 301 00:13:59,040 --> 00:13:59,640 Speaker 4: She's good. 302 00:14:00,040 --> 00:14:02,480 Speaker 2: She's good. As Jess said, the devil works hard, Chris 303 00:14:02,559 --> 00:14:06,400 Speaker 2: Jenna works harder. But essentially, private equity firm is just 304 00:14:06,520 --> 00:14:10,319 Speaker 2: private money, and it's private money that is usually managed 305 00:14:10,360 --> 00:14:13,520 Speaker 2: by an investment management company. So Kim Kardashian isn't doing 306 00:14:13,520 --> 00:14:15,400 Speaker 2: this all on her own. She actually has someone who 307 00:14:15,440 --> 00:14:18,880 Speaker 2: has experiencing this, and it's a company that then provides 308 00:14:18,960 --> 00:14:22,560 Speaker 2: financial backing and makes investments in private companies or startups 309 00:14:22,720 --> 00:14:25,520 Speaker 2: or you know, businesses that exist that need a little 310 00:14:25,520 --> 00:14:28,200 Speaker 2: bit more funding to go to the next level. And 311 00:14:28,240 --> 00:14:30,480 Speaker 2: there's lots of ways of going about it, but essentially 312 00:14:30,480 --> 00:14:32,520 Speaker 2: it's a company, then there's seen other businesses, and the 313 00:14:32,520 --> 00:14:34,920 Speaker 2: purpose of doing that is to obviously see a return 314 00:14:35,000 --> 00:14:37,400 Speaker 2: on their money. So Jess might start a business and 315 00:14:37,400 --> 00:14:39,200 Speaker 2: be like, oh, I need ten million dollars to go 316 00:14:39,240 --> 00:14:41,960 Speaker 2: to the next level, and Kim Kardashian is now going 317 00:14:42,000 --> 00:14:43,960 Speaker 2: to sit down and be like, oh, that's a good idea, Jess. 318 00:14:44,440 --> 00:14:48,400 Speaker 2: The interesting thing here, though, from my perspective, is obviously, 319 00:14:48,440 --> 00:14:52,320 Speaker 2: like the Kardashian family or the Kardashian Jenna family carries 320 00:14:52,640 --> 00:14:56,640 Speaker 2: so much weight, and their Instagram and social feeds obviously 321 00:14:56,680 --> 00:14:59,240 Speaker 2: have Instagram posts that you know, cost upwards of a 322 00:14:59,280 --> 00:15:02,840 Speaker 2: million dollars to talk about. Like imagine the backing and 323 00:15:02,960 --> 00:15:05,080 Speaker 2: the like clout that you're going to get if the 324 00:15:05,120 --> 00:15:08,080 Speaker 2: world or the media finds out that Kim Kardashian's decided 325 00:15:08,080 --> 00:15:10,880 Speaker 2: to invest in your business, like that media in PR 326 00:15:10,960 --> 00:15:14,840 Speaker 2: coverage would be insane. So I'm really interested to see 327 00:15:14,880 --> 00:15:18,600 Speaker 2: how this goes because private equity, from my perspective, is 328 00:15:18,640 --> 00:15:22,200 Speaker 2: something that oh, like, I get so envious of people 329 00:15:22,200 --> 00:15:24,680 Speaker 2: who get to work in this space because they get 330 00:15:24,680 --> 00:15:27,400 Speaker 2: to work with other founders or you know, founders that 331 00:15:27,480 --> 00:15:30,360 Speaker 2: align to their goals and their values and partner with 332 00:15:30,400 --> 00:15:32,400 Speaker 2: them to take them, you know, as I said, to 333 00:15:32,400 --> 00:15:35,560 Speaker 2: that next level or run that business or you know, 334 00:15:35,720 --> 00:15:38,880 Speaker 2: I've got a passion which I haven't spoken about very 335 00:15:38,880 --> 00:15:44,000 Speaker 2: publicly before, for helping really small, female independently owned businesses 336 00:15:44,440 --> 00:15:48,440 Speaker 2: in mentoring and coaching and even sometimes financials to get 337 00:15:48,480 --> 00:15:50,160 Speaker 2: to the next level. But like, this is on an 338 00:15:50,320 --> 00:15:53,720 Speaker 2: entirely different level. Often the companies that private equity funds 339 00:15:53,800 --> 00:15:56,360 Speaker 2: invest in are usually pretty large, and they want to 340 00:15:56,400 --> 00:15:59,200 Speaker 2: take a stake of that business. So they're not just going, oh, Jessica, 341 00:15:59,240 --> 00:16:01,640 Speaker 2: Ricky has like some money and you know, give me 342 00:16:01,680 --> 00:16:03,840 Speaker 2: a return. They might go have some money. I want 343 00:16:03,880 --> 00:16:05,400 Speaker 2: to see a return, but I also want a twenty 344 00:16:05,400 --> 00:16:08,480 Speaker 2: five percent stake in your business. So think Shark Tank, right, 345 00:16:08,520 --> 00:16:10,560 Speaker 2: I think Shark Tank, And that's kind of like what's 346 00:16:10,600 --> 00:16:12,360 Speaker 2: going on. But it's an actual business. 347 00:16:12,680 --> 00:16:15,600 Speaker 3: So is the premise of this VD that it's a 348 00:16:15,680 --> 00:16:18,840 Speaker 3: money making machine for the Cudashians because they need more money. 349 00:16:18,880 --> 00:16:21,440 Speaker 3: Let's be real, it's not like an altruistic thing. They're 350 00:16:21,480 --> 00:16:25,160 Speaker 3: not just helping out young female founders for example. 351 00:16:25,200 --> 00:16:27,360 Speaker 4: It's more more money spinner. 352 00:16:27,680 --> 00:16:30,880 Speaker 2: To be honest, it could be both. Yeah, it's a 353 00:16:31,040 --> 00:16:36,120 Speaker 2: very time and energy intensive way to make money because obviously, 354 00:16:36,280 --> 00:16:39,080 Speaker 2: you know, let's use just this business that doesn't exist 355 00:16:39,160 --> 00:16:42,600 Speaker 2: right now as an example, right, Like, I don't guarantee 356 00:16:42,600 --> 00:16:44,720 Speaker 2: that it's going to be a return, So the time, 357 00:16:44,840 --> 00:16:46,920 Speaker 2: energy and effort it might take to do the research 358 00:16:46,960 --> 00:16:49,560 Speaker 2: and the backing and all of that, it might not 359 00:16:49,680 --> 00:16:52,840 Speaker 2: be worth it because you know, for every five companies 360 00:16:52,840 --> 00:16:55,520 Speaker 2: you invest in, maybe only one of them might be successful. 361 00:16:55,560 --> 00:16:59,120 Speaker 2: So it's really risky in that aspect. So I would 362 00:16:59,160 --> 00:17:01,880 Speaker 2: love to think that it's a little bit more altruistic 363 00:17:02,000 --> 00:17:05,480 Speaker 2: than just being a money making machine, especially because on 364 00:17:05,520 --> 00:17:08,359 Speaker 2: a private equity investing journey, like, you know, there's obviously 365 00:17:08,400 --> 00:17:10,200 Speaker 2: a lot of risk, but there's also a lot of return. 366 00:17:10,320 --> 00:17:13,080 Speaker 2: But you know, you get to back certain businesses that 367 00:17:13,119 --> 00:17:16,199 Speaker 2: are aligned to your values and like your goals and 368 00:17:16,240 --> 00:17:19,560 Speaker 2: what you know, what really resonates with you. So I'm 369 00:17:19,800 --> 00:17:22,359 Speaker 2: hoping that the reason is because she's just like really 370 00:17:22,400 --> 00:17:26,040 Speaker 2: passionate about female founded businesses and like really wants to 371 00:17:26,040 --> 00:17:28,760 Speaker 2: push women forward. And one of the articles that I 372 00:17:28,800 --> 00:17:31,639 Speaker 2: read was really just talking about how women comprise of 373 00:17:31,640 --> 00:17:34,280 Speaker 2: only twelve point seven percent of all senior employees at 374 00:17:34,280 --> 00:17:36,520 Speaker 2: private equity firms, and like I guess this is a 375 00:17:36,520 --> 00:17:38,280 Speaker 2: really good step in the right direction. I mean, if 376 00:17:38,359 --> 00:17:40,760 Speaker 2: Kim Kardashian can do it, we can do it. 377 00:17:41,240 --> 00:17:41,840 Speaker 4: We can do it. 378 00:17:41,880 --> 00:17:44,560 Speaker 2: I think Kim Kardashian is a lot more intelligent then 379 00:17:44,600 --> 00:17:46,520 Speaker 2: she gets a rep for in the media. I don't 380 00:17:46,520 --> 00:17:48,520 Speaker 2: think they could have been a successful hour she's studying 381 00:17:48,560 --> 00:17:49,879 Speaker 2: law or she has her degree. Now, I'm not one 382 00:17:49,960 --> 00:17:53,800 Speaker 2: hundred percent sure, but it's worth noting that her partner, 383 00:17:54,080 --> 00:17:56,080 Speaker 2: I think, I said, was her former partner my mistake. 384 00:17:56,280 --> 00:18:00,320 Speaker 2: He was a former partner at Carlisle Group, Inc. Which 385 00:18:00,960 --> 00:18:04,320 Speaker 2: is a private equity firm. They had three hundred and 386 00:18:04,359 --> 00:18:08,240 Speaker 2: seventy six billion dollars in assets under management in their firm. 387 00:18:08,280 --> 00:18:11,439 Speaker 2: His name is Jay Simmons. I would argue that Kim's 388 00:18:11,440 --> 00:18:13,880 Speaker 2: probably not going to be sitting down with the female 389 00:18:13,880 --> 00:18:16,640 Speaker 2: founders or whoever and talking them through it. I think 390 00:18:16,680 --> 00:18:18,679 Speaker 2: it's pretty safe to bet that it's going to be 391 00:18:19,080 --> 00:18:21,280 Speaker 2: a pretty significant firm from the get go. He's got 392 00:18:21,320 --> 00:18:24,600 Speaker 2: experience handling assets of that size. Kim obviously has a 393 00:18:24,640 --> 00:18:27,320 Speaker 2: lot of experience in running a media business, and they 394 00:18:27,359 --> 00:18:31,640 Speaker 2: are intending on focusing on consumer products, hospitality, luxury, digital commerce, 395 00:18:31,760 --> 00:18:34,719 Speaker 2: and media so I think it's a nice melding of 396 00:18:34,720 --> 00:18:37,560 Speaker 2: both of their experiences. How hands on Kim's going to 397 00:18:37,560 --> 00:18:39,320 Speaker 2: be remains to be seen. It could just be that, 398 00:18:39,520 --> 00:18:41,520 Speaker 2: you know what I mean, she's the founder, She's definitely 399 00:18:41,520 --> 00:18:43,639 Speaker 2: got the cash to start something up, and it sounds 400 00:18:43,640 --> 00:18:45,520 Speaker 2: like Jay has the experience to back it in. So 401 00:18:46,160 --> 00:18:49,119 Speaker 2: excited to see how it goes. Ultimately, I love seeing 402 00:18:49,160 --> 00:18:51,760 Speaker 2: a woman doing something that isn't typically done by women, 403 00:18:51,800 --> 00:18:53,719 Speaker 2: So I'm all about it. Yeah, And I mean to 404 00:18:53,760 --> 00:18:55,879 Speaker 2: get into the little nitty gritty on them, because, like 405 00:18:56,000 --> 00:18:57,879 Speaker 2: we are a money podcast, so I want to know 406 00:18:57,920 --> 00:19:00,480 Speaker 2: more about the money. Kim Kardashian has come out and 407 00:19:00,520 --> 00:19:03,520 Speaker 2: said that they're actually seeking to raise for Sky Partners, 408 00:19:03,560 --> 00:19:06,640 Speaker 2: which is the equity firm, more than a billion dollars 409 00:19:06,680 --> 00:19:10,200 Speaker 2: to completely debut the fund, which is wild, but let's 410 00:19:10,240 --> 00:19:13,280 Speaker 2: do some numbers here. If they typically operate in a 411 00:19:13,359 --> 00:19:16,560 Speaker 2: model which is called a two and twenty model, which 412 00:19:16,560 --> 00:19:19,720 Speaker 2: assumes that the company should be making about twenty percent profit, 413 00:19:19,800 --> 00:19:22,520 Speaker 2: which you know in the investment world, like if you're 414 00:19:22,560 --> 00:19:24,639 Speaker 2: going to go all the way into private equity, like 415 00:19:24,680 --> 00:19:27,320 Speaker 2: you want to be making a lot more money than 416 00:19:27,320 --> 00:19:28,720 Speaker 2: what it would be if you just put your money 417 00:19:28,760 --> 00:19:30,520 Speaker 2: into shares, right, Like, if you just want to put 418 00:19:30,520 --> 00:19:32,119 Speaker 2: your money in the share market. We know that the 419 00:19:32,119 --> 00:19:34,680 Speaker 2: Australian share market on average has returned about l eleven 420 00:19:34,680 --> 00:19:38,160 Speaker 2: percent over the last twelve to fourteen years. Obviously different 421 00:19:38,200 --> 00:19:40,359 Speaker 2: percentages in other areas, but you're going to be chasing 422 00:19:40,440 --> 00:19:43,359 Speaker 2: higher returns because it's higher risk, right. But if SKY 423 00:19:43,640 --> 00:19:46,840 Speaker 2: is making a twenty percent profit on the one billion dollars, 424 00:19:46,880 --> 00:19:50,280 Speaker 2: they're making twenty million dollars a year just operating this fund, 425 00:19:50,320 --> 00:19:52,959 Speaker 2: that's worth it to me. That's some big dollars. So 426 00:19:53,119 --> 00:19:55,479 Speaker 2: I think it's really interesting as well to see what 427 00:19:55,520 --> 00:19:58,000 Speaker 2: they would do with that profit, like are they reinvesting 428 00:19:58,040 --> 00:19:59,800 Speaker 2: that into the fund or are they taking that as 429 00:20:00,080 --> 00:20:02,280 Speaker 2: hash for themselves. Like I just want to see what 430 00:20:02,320 --> 00:20:05,320 Speaker 2: the plan with the business model is because often when 431 00:20:05,320 --> 00:20:08,920 Speaker 2: you start a private equity firm, you don't have names 432 00:20:08,960 --> 00:20:11,840 Speaker 2: like Kim Kardashy and floating around. So raising a billion 433 00:20:11,880 --> 00:20:14,879 Speaker 2: dollars is really hard, and you usually reinvest every single 434 00:20:14,960 --> 00:20:17,600 Speaker 2: dollar that that fund makes to grow the fund over time, 435 00:20:17,640 --> 00:20:20,479 Speaker 2: and there might be an agreeance between the directors of 436 00:20:20,520 --> 00:20:22,479 Speaker 2: the fund to go all right, well, Jess for the 437 00:20:22,520 --> 00:20:24,840 Speaker 2: next ten years, we're going to reinvest every single dollar 438 00:20:24,880 --> 00:20:27,040 Speaker 2: and then from then on in we might then look 439 00:20:27,080 --> 00:20:28,879 Speaker 2: at taking profit. But I just want to know the 440 00:20:28,880 --> 00:20:31,840 Speaker 2: business model. Guys, I'm so pervy. I'll report back if 441 00:20:31,840 --> 00:20:33,439 Speaker 2: there's any more news. As you know, we love a 442 00:20:33,440 --> 00:20:37,720 Speaker 2: bit of reality TV. Maybe very interested to know. But 443 00:20:38,040 --> 00:20:40,480 Speaker 2: the interesting thing there, as I said before, they're looking 444 00:20:40,480 --> 00:20:44,160 Speaker 2: to raise a billion dollars. That's not Kim's money, like, 445 00:20:44,200 --> 00:20:46,679 Speaker 2: that's not Kim putting a billion dollars in. That's her 446 00:20:46,760 --> 00:20:50,920 Speaker 2: looking for investors that believe in her fund Sky Partners 447 00:20:50,920 --> 00:20:52,920 Speaker 2: and want to put money into it and therefore want 448 00:20:52,920 --> 00:20:55,600 Speaker 2: to see a return. So interesting world, but. 449 00:20:55,680 --> 00:20:56,840 Speaker 4: Re juicy, Good luck with it. 450 00:20:56,920 --> 00:20:58,520 Speaker 3: Let's move on before I go on and on and on, 451 00:20:58,520 --> 00:20:59,879 Speaker 3: because I could both money dilemma. 452 00:21:00,240 --> 00:21:04,280 Speaker 2: All right, I'm ready, I'm ready. What have we got? Hi? 453 00:21:04,359 --> 00:21:06,800 Speaker 4: There have you got up money dilemma? You just can't 454 00:21:06,840 --> 00:21:07,480 Speaker 4: solve that. 455 00:21:07,520 --> 00:21:10,280 Speaker 3: She's on the Money Team is here to help. Every week, 456 00:21:10,359 --> 00:21:12,920 Speaker 3: we tackle your dilemmas, both big and small, to answer 457 00:21:12,960 --> 00:21:17,080 Speaker 3: your most burning money, career and life questions. To get involved, 458 00:21:17,160 --> 00:21:19,120 Speaker 3: simply head to our website and leave us a quick 459 00:21:19,160 --> 00:21:22,120 Speaker 3: voice recording, and you may just find yourself on the show. Now, 460 00:21:22,240 --> 00:21:25,200 Speaker 3: let's take a listen to today's money dilemma. 461 00:21:25,760 --> 00:21:30,920 Speaker 5: Hi, Victoria, I'm wanting to build an emergency fund. I 462 00:21:30,960 --> 00:21:34,360 Speaker 5: was wondering would it be better to have it in 463 00:21:34,400 --> 00:21:38,840 Speaker 5: cash or have it as an ETF or an index fund? 464 00:21:39,440 --> 00:21:40,719 Speaker 4: Love the show. Thank you? 465 00:21:41,359 --> 00:21:43,760 Speaker 2: Oh, I love you too. That's so nice. Thank you. 466 00:21:44,119 --> 00:21:46,120 Speaker 2: I love people when they tell me that they love me, 467 00:21:46,119 --> 00:21:50,320 Speaker 2: me too. It's always nice to hear. Really needy. Please 468 00:21:50,400 --> 00:21:54,080 Speaker 2: keep telling me that my ego needs This is a 469 00:21:54,080 --> 00:21:56,000 Speaker 2: really interesting one and I feel like we've answered it 470 00:21:56,040 --> 00:21:58,800 Speaker 2: before on the podcast, but obviously not everyone listens to 471 00:21:58,840 --> 00:22:02,280 Speaker 2: every single podcast. Who would do that, Jessica Ricky, not 472 00:22:02,560 --> 00:22:05,840 Speaker 2: me like a crazy person. But I think it's an 473 00:22:05,880 --> 00:22:09,520 Speaker 2: interesting question because from a pragmatic point of view, like 474 00:22:09,560 --> 00:22:12,040 Speaker 2: taking off my finance hat and looking at it, you go, 475 00:22:12,119 --> 00:22:14,080 Speaker 2: oh my gosh, I hate the idea that my money 476 00:22:14,119 --> 00:22:17,040 Speaker 2: would just be sitting there not making a return. But 477 00:22:17,160 --> 00:22:20,040 Speaker 2: what we actually want to do is look at it properly, 478 00:22:20,520 --> 00:22:23,399 Speaker 2: like what is the job of your emergency fund? Like 479 00:22:23,800 --> 00:22:28,960 Speaker 2: your emergency fund purely exists to be accessible in any emergency. 480 00:22:28,960 --> 00:22:31,399 Speaker 2: It needs to be easily accessible, it needs to be 481 00:22:31,520 --> 00:22:34,800 Speaker 2: always there. It needs to be that strong dependenceteed that 482 00:22:34,880 --> 00:22:36,920 Speaker 2: you know might not be doing a whole heap of work, 483 00:22:37,040 --> 00:22:39,239 Speaker 2: but when they work, they work really hard. It's kind 484 00:22:39,280 --> 00:22:41,439 Speaker 2: of like the security guard, Like sometimes you see them 485 00:22:41,440 --> 00:22:43,679 Speaker 2: wandering around not doing all that much, like, yo, what 486 00:22:43,720 --> 00:22:47,480 Speaker 2: are they up to? But if the proverbial hits the fan, 487 00:22:47,560 --> 00:22:49,640 Speaker 2: they're there. They got you. You say, it's not good. 488 00:22:49,840 --> 00:22:52,639 Speaker 2: That's exactly what your emergency fund is doing, right, Like 489 00:22:52,680 --> 00:22:54,679 Speaker 2: It's one of those things that I totally get that 490 00:22:54,760 --> 00:22:57,280 Speaker 2: you want it to be working hard, but I think 491 00:22:57,320 --> 00:23:00,120 Speaker 2: we need to acknowledge that your emergency fund is working 492 00:23:00,160 --> 00:23:03,240 Speaker 2: hard by being in cash. It is doing exactly what 493 00:23:03,320 --> 00:23:06,960 Speaker 2: it needs to do. And it's actually really risky investing 494 00:23:06,960 --> 00:23:09,920 Speaker 2: it because let's say we use Julie's example and she said, 495 00:23:09,920 --> 00:23:12,320 Speaker 2: should it be in an ETF? Okay, well, no problems. 496 00:23:12,400 --> 00:23:14,520 Speaker 2: Let's say you have a ten thousand dollar emergency fund. 497 00:23:14,720 --> 00:23:17,600 Speaker 2: What if the share market goes down, that ten thousand 498 00:23:17,640 --> 00:23:20,439 Speaker 2: dollar emergency fund is now no longer worth ten thousand dollars. 499 00:23:20,680 --> 00:23:23,160 Speaker 2: We have seen the market become a bear market, which 500 00:23:23,200 --> 00:23:26,720 Speaker 2: means a drop of twenty percent on average across the market, 501 00:23:26,720 --> 00:23:28,920 Speaker 2: which means your ten thousand dollars is now worth eight 502 00:23:28,960 --> 00:23:31,960 Speaker 2: thousand dollars if the proverbial hit the fan during that 503 00:23:32,000 --> 00:23:35,040 Speaker 2: period of time, which let's be honest and look at 504 00:23:35,040 --> 00:23:37,159 Speaker 2: the statistics of it. If your job is going to 505 00:23:37,160 --> 00:23:40,000 Speaker 2: be at risk or anything is going to happen, unfortunately, 506 00:23:40,080 --> 00:23:42,639 Speaker 2: it's probably when the share market's not doing that well, 507 00:23:43,400 --> 00:23:44,879 Speaker 2: you are going to be in a position where you 508 00:23:44,920 --> 00:23:47,879 Speaker 2: need to access that money. You are now crystallizing a loss, 509 00:23:47,880 --> 00:23:50,920 Speaker 2: so you've instantly lost twenty percent, which means you've lost 510 00:23:50,960 --> 00:23:53,119 Speaker 2: two grand my friends. If you decide to take that 511 00:23:53,200 --> 00:23:56,280 Speaker 2: money out of the account, but you can't get it today, 512 00:23:56,600 --> 00:23:59,119 Speaker 2: you have to go onto your share trading platform or 513 00:23:59,160 --> 00:24:02,080 Speaker 2: call your financial advisor, or transact in the way that 514 00:24:02,119 --> 00:24:04,720 Speaker 2: you purchased it, go online, submit a claim to sell 515 00:24:04,760 --> 00:24:08,080 Speaker 2: down your portfolio. So that's day one. Day two, the 516 00:24:08,160 --> 00:24:11,200 Speaker 2: company that you're with or your share portfolio manager sells 517 00:24:11,200 --> 00:24:13,200 Speaker 2: down your shares, and then on day three it will 518 00:24:13,240 --> 00:24:16,200 Speaker 2: be transferred back to your account. Very likely that it's 519 00:24:16,200 --> 00:24:18,879 Speaker 2: not within the same banking system, so it's going to 520 00:24:18,880 --> 00:24:21,320 Speaker 2: take another day. So that's three or four days before 521 00:24:21,320 --> 00:24:24,280 Speaker 2: that money hits your account. If things go to plan, 522 00:24:24,720 --> 00:24:27,120 Speaker 2: if you're not loitering around and you know, wondering which 523 00:24:27,160 --> 00:24:30,199 Speaker 2: shares to sell or making decisions like it could stretch 524 00:24:30,200 --> 00:24:32,320 Speaker 2: out to more than a week. And if there's any 525 00:24:32,359 --> 00:24:34,600 Speaker 2: bumps along the road, like your financial advisor needs you 526 00:24:34,640 --> 00:24:36,320 Speaker 2: to sign a form or ask a question or do 527 00:24:36,359 --> 00:24:39,639 Speaker 2: something like that, is time between you and having access 528 00:24:39,680 --> 00:24:42,360 Speaker 2: to an emergency fund, and the emergency has already happened. 529 00:24:42,480 --> 00:24:44,919 Speaker 2: Like that, to me is not a good use of it. 530 00:24:44,960 --> 00:24:46,800 Speaker 2: And I think what we need to do is really 531 00:24:46,840 --> 00:24:50,440 Speaker 2: see money working in the way that it needs to work. 532 00:24:50,480 --> 00:24:53,280 Speaker 2: It doesn't always have to be returning the most, but 533 00:24:53,320 --> 00:24:55,200 Speaker 2: what it has to be doing is doing a job. 534 00:24:55,400 --> 00:24:57,239 Speaker 2: And I say this all the time, And when I've 535 00:24:57,280 --> 00:24:59,840 Speaker 2: talked about like my budget and Cashlow Master Class, I 536 00:25:00,040 --> 00:25:03,399 Speaker 2: always talk about having a cash hub and then delegating 537 00:25:03,480 --> 00:25:06,320 Speaker 2: money from that cash hub so that every single dollar 538 00:25:06,400 --> 00:25:08,760 Speaker 2: you have works as hard for you as you do 539 00:25:08,920 --> 00:25:11,840 Speaker 2: for it. That does not mean that it is returning 540 00:25:11,880 --> 00:25:14,320 Speaker 2: the most amount of money. That might mean it is 541 00:25:14,400 --> 00:25:17,879 Speaker 2: sitting in its emergency fund doing its job of protecting 542 00:25:17,920 --> 00:25:21,000 Speaker 2: you and making you feel safe. So from my perspective, 543 00:25:21,280 --> 00:25:24,320 Speaker 2: we wouldn't ever invest our emergency fund. And that's where 544 00:25:24,600 --> 00:25:27,200 Speaker 2: I will always you know, be very steadfast. I don't 545 00:25:27,200 --> 00:25:32,240 Speaker 2: believe in it. My emergency fund is definitely sitting in cash. Interestingly, though, 546 00:25:32,640 --> 00:25:35,639 Speaker 2: my emergency fund is in a offset account for my mom. 547 00:25:35,800 --> 00:25:38,840 Speaker 2: I was gonna say, is an offset a good alternative 548 00:25:38,880 --> 00:25:40,600 Speaker 2: if you have a mortgage, which is a big if. 549 00:25:40,680 --> 00:25:43,040 Speaker 2: But if you have a mortgage alternative, Yeah, it's not 550 00:25:43,080 --> 00:25:46,040 Speaker 2: a bad idea. It's offsetting my mortgage, which is good. 551 00:25:46,280 --> 00:25:48,640 Speaker 2: But the reason I'm happy with that is the bank 552 00:25:48,720 --> 00:25:52,280 Speaker 2: doesn't have any say over what that money does or 553 00:25:52,320 --> 00:25:54,920 Speaker 2: how it works. I can access that because it's basically 554 00:25:55,000 --> 00:25:57,879 Speaker 2: a savings account. It's just as easy. It just means 555 00:25:57,920 --> 00:26:00,359 Speaker 2: that that savings account is linked to your moretgage and 556 00:26:00,400 --> 00:26:03,919 Speaker 2: offsets the interest money win. The same is not true 557 00:26:04,240 --> 00:26:07,160 Speaker 2: for a redraw account on a mortgage. So I've had 558 00:26:07,160 --> 00:26:09,920 Speaker 2: the question before, like, oh, V well, I only have redraws. 559 00:26:09,920 --> 00:26:12,240 Speaker 2: Should I put my emergency fund in that? And the 560 00:26:12,320 --> 00:26:15,080 Speaker 2: answer from my perspective would be no, because when you 561 00:26:15,119 --> 00:26:17,800 Speaker 2: put money onto your mortgage, you're paying off your mortgage, 562 00:26:17,800 --> 00:26:21,240 Speaker 2: and then you essentially can redraw or loan. Redraw just 563 00:26:21,280 --> 00:26:23,119 Speaker 2: sounds sexier and it doesn't sound like a loan, but 564 00:26:23,160 --> 00:26:26,520 Speaker 2: you can loan the money back from your mortgage. However, 565 00:26:27,280 --> 00:26:32,160 Speaker 2: when financial times become a little bit tumultuous, banks sometimes go, oh, Jess, 566 00:26:32,200 --> 00:26:33,800 Speaker 2: you might have paid an extra one hundred grand off 567 00:26:33,840 --> 00:26:35,840 Speaker 2: your mortgage. We're actually going to cap that. You can't 568 00:26:35,880 --> 00:26:38,600 Speaker 2: take that money back out and redraw it. We're actually 569 00:26:38,640 --> 00:26:40,840 Speaker 2: going to cap it at ten grand. And that has 570 00:26:40,920 --> 00:26:44,680 Speaker 2: happened a heap of times where people's redraws have been 571 00:26:44,800 --> 00:26:46,840 Speaker 2: decreased because banks are like, oh, we need to keep 572 00:26:46,840 --> 00:26:48,760 Speaker 2: as much cash as possible in the bank. We don't 573 00:26:48,760 --> 00:26:51,320 Speaker 2: want people taking it out, whereas they don't have that 574 00:26:51,480 --> 00:26:54,679 Speaker 2: same conviction or authority over an offset account. So an 575 00:26:54,720 --> 00:26:57,359 Speaker 2: offset account is literally a savings account that is linked 576 00:26:57,400 --> 00:27:00,440 Speaker 2: to your mortgage in a positive way, whereas it redraw 577 00:27:00,520 --> 00:27:03,600 Speaker 2: offer rates in a very different way. People often see 578 00:27:03,600 --> 00:27:06,480 Speaker 2: them as likea like flack or same same and I mean, 579 00:27:06,560 --> 00:27:08,239 Speaker 2: you do you, but what I want you to do 580 00:27:08,359 --> 00:27:11,639 Speaker 2: is be educated. So from my perspective, no, I wouldn't 581 00:27:11,680 --> 00:27:14,240 Speaker 2: invest in emergency account in an ETF because I want 582 00:27:14,240 --> 00:27:16,480 Speaker 2: you to have immediate access to that cash in the 583 00:27:16,480 --> 00:27:19,879 Speaker 2: event of an emergency NOFET. Sorry I didn't let anybody. 584 00:27:19,480 --> 00:27:20,760 Speaker 4: Else be Ah, that was good. 585 00:27:20,840 --> 00:27:23,160 Speaker 2: I have nothing else to clear. Yeah, because you guys 586 00:27:23,200 --> 00:27:24,080 Speaker 2: have heard that round from me. 587 00:27:24,920 --> 00:27:27,320 Speaker 3: I'm sorry, I'm sorry. 588 00:27:27,600 --> 00:27:29,440 Speaker 2: All right, let's go, let's go grab a drink because 589 00:27:29,440 --> 00:27:31,400 Speaker 2: we've got to celebrate gking absolutely. 590 00:27:31,520 --> 00:27:32,280 Speaker 4: Alrighty guys. 591 00:27:32,359 --> 00:27:35,240 Speaker 3: Before we do the boring but important stuff, please remember 592 00:27:35,280 --> 00:27:37,560 Speaker 3: that the advice shared on She's on the Money is 593 00:27:37,640 --> 00:27:40,640 Speaker 3: general in nature and does not consider out your individual circumstances. 594 00:27:41,040 --> 00:27:42,080 Speaker 4: She's on the Money. 595 00:27:41,880 --> 00:27:45,080 Speaker 3: Exists purely for educational purposes and should not be relied 596 00:27:45,119 --> 00:27:48,080 Speaker 3: upon to make an investment or a financial decision. And 597 00:27:48,160 --> 00:27:50,959 Speaker 3: we promise Victoria Devine and She's on the Money are 598 00:27:51,000 --> 00:27:56,280 Speaker 3: authorized representatives in Focused Securities. Australia Proprietary Limited ABM four 599 00:27:56,400 --> 00:27:59,200 Speaker 3: seven zero nine seven seven nine seven zero four nine 600 00:27:59,280 --> 00:28:02,840 Speaker 3: AFOSL two three six five two three. See you next week, guys, 601 00:28:02,880 --> 00:28:04,000 Speaker 3: See you next week, guys,