Latest / The Curve / Bold Moves From Trump, TikTok Teeters & Netflix Soars.

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Bold Moves From Trump, TikTok Teeters & Netflix Soars. · The Curve

• 0:00
  Welcome to the Curve Weekly, the podcast that keeps you up to date with all of the money
• 0:04
  business and stock market too. Brought to you by the Curve's research team,
• 0:07
  it's the latest insights on what's happening in the stock market, companies,
• 0:11
  other money related news so that you can stay educated and ahead of the curve.
• 0:15
  You can thank us later for sounding smarter than those finance bros you need to know, honey.
• 0:19
  Do you like my ad for New Zealand, the backdrop? Yeah, it looks absolutely beautiful.
• 0:24
  It is so beautiful. I'm like north of the Bay of Islands,
• 0:29
  like north, north, north, New Zealand, and it is honestly, I walked down to the water before,
• 0:36
  it's like national bush everywhere, like cicadas absolutely screaming, like it's so beautiful.
• 0:42
  cicadas screaming, you know, like they're so loud. You probably can hear them in the background,
• 0:46
  I've tried to close like all the doors and windows and it's still so loud. And I was just like,
• 0:51
  why do we do it? Why do we get on the tube? Why do we go to big cities? Like the best place to
• 0:56
  live is in nature. It is so stunning here. No, that's true. Like do you think we'd get bored? I'm
• 1:03
  like, why do we wait till we're retiring to go and move to something beautiful like this?
• 1:08
  Well, we're lucky that we now have the technology and the capabilities that we can
• 1:14
  record a podcast from wherever true. It was touch and go with the internet. I will look at it.
• 1:20
  I know it's so funny when you think, oh, I just need to record a podcast, it's fine.
• 1:24
  When you're away, I climb down south. And where are you? You're also doing an ad for New Zealand.
• 1:30
  Come on, give Jill Dana plug. I'm enjoying, which is an hour and a half out of postage.
• 1:37
  Would we call it the armpit of New Zealand? No, I do the thing. I don't know. No, I need that.
• 1:44
  It's actually beautiful. Well, we arrived really late last night, so it was pitch black
• 1:48
  and I haven't left the house this morning. So I haven't seen much of Geraldine to be honest.
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  But okay, yeah, no, it's beautiful. You know, just coming back to my roots, my Christchurch roots.
• 1:59
  That is not your roots. This is so far from your roots. I know when we landed, I was like,
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  I was like, oh, this is weird. And I was like, oh, no, I got that wrong. Oh, this is nope. So yeah,
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  four years of my life, I speak in the South Island, but yeah. God, New Zealand's amazing.
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  I was the same though yesterday driving here. There was this little town called Kawa Kawa and
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  the famous for the toilets. You know, there's really beautiful toilets that are all like mosaic
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  tiles and stuff. Oh, anyone's on a New Zealander listening to this. They're going to be like,
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  they have famous toilets or what the hell. Yeah, yeah. Wow. Get a life. But there was like a train
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  carriage situation. And I was like, oh, I've been here before. I remember, I met my friend
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  Tess here. We hung out in the train. I was like, no, that was the South Island. My sense of
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  direction is unreal. I was like, I've been here before. Yeah, I've been here. It's like, no, you
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  have a... Yeah. Well, my mom was like, I've been to the Smit Donald's. Like, oh, no. Just a lot of
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  other McDonald's was speaking of, you know, going back to my roots. Oh, no. My mom the other day
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  sent me. And I thought it was quite appropriate considering we're still pretty early in the year.
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  She sent me some New Year's resolutions of mine that she found.
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  Wait, from what year? How old were you? I must have been 14. There was a few goodies in there.
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  Number three, save at least $200. Go, Vic. That is great. That also is like basically $1,000
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  in given inflation in the past, like 15 years, you know? Yeah. Get a part-time job.
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  Pretty good for a 14-year-old. Yeah. And number six is the best. Make posture better.
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  Still working on that 20 years later. I don't reckon you've got bad posture.
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  Holy shit, was that 20 years ago? Wow. I know. The fact your mom has that is so cute.
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  It keeps a lot of things. Sometimes I wish she didn't. I love Island. She's just so... Do you know what?
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  Even the other day, we were having a meeting with one of the like big financial
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  kind of institutions in New Zealand. And we were talking about, because there's obviously so
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  many different online trading platforms. And one of them is like pretty complex. It's, I mean,
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  even now I would still be like, absolutely get me off this. It's so hard to follow. In fact,
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  say, yeah, my mum and I remember she tried to get me on this. You know, probably about 15. I'll say,
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  she just sat you down and was trying to get you to look at the markets like an online
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  trading platform before you're even 18. No, she enrolled me in like a learn how to trade class.
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  And you would go along. I can after school program. And I went along and I sat in this room.
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  I vividly remember. And it was like simulation, because we were obviously so young, like we didn't
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  weren't actually trading money. But I'm surprised it didn't put me off completely, because it was so
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  overwhelming. I was like such a fash out of water. I was like, the only girl there. And it was just a
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  way that we're teaching was horrific. And yeah, anyway, bless her. She had the best intentions.
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  Honestly, I think all credit to Eileen for the curve, like the curve would not exist if it wasn't
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  for Eileen. She doesn't get nearly enough credit. No, she doesn't. We've got quite a
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  full stacked, you know, amount of things to get through. And I'm actually really excited.
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  There's a lot of interesting things happening in the world at the moment. Yes.
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  The first one I'm not super stoked to talk about, but we really do, because it's having a huge
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  impact on markets and gosh, like people and everything. TRUMP, the name that must not be named.
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  It's eightfold or more. What does it be seen and not heard? Well, he's definitely been seen
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  and heard. He is making himself very heard. So he has been officially sworn in as the new president.
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  And what he has put in place already in the first 24 hours that he was in power, he has done
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  a federal hiring freeze. Now, what that means is no new employees at a federal government level.
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  So no one is being hired. So that kind of means like no growth, essentially. So if you were
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  in a department and you needed say some nurses, because there was an increase in demand from sick
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  people in hospital, too bad. If you needed increased in any government agency or department
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  at a federal level, so a national level, then no, you can't do that. Why is that? What's his
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  reason behind it? The federal government employs three million people in the United States. So
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  it's the US's biggest employer. And then Walmart is the next one at about 1.6 million.
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  I'm just like, imagine having 1.6 million employees. You know, at Walmart, good God.
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  It's to cut costs. And how is this going to affect people? Is it a problem? Is it kind of fine?
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  Yeah. Well, so there's another kind of flow on from that, is that he's ordered all government workers
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  to come back to the office five days a week. So his reasoning is that this is kind of the narrative
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  we've heard the last couple of years post COVID, is that people are more productive in the office.
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  You can get more, more out of them, they're more efficient or that. But what the flip side to that
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  is that we know that this disproportionately impacts women far far greater. So
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  and we all know his stance on women in general or his policies that haven't been very
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  favorable to women. So here's another one. Sorry. Can I just say on that? I think it is
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  total bollocks to think that people are more productive in the workplace. Like yesterday
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  you even said to me, you and Tom at work, well, I think God, Sophie and Danny aren't here. You know,
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  it's like, it's so true. It's true. I don't want that to be like a bad, like that was not
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  from a bad place. It was literally just from I am not offended. I'm not offended. I was at home
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  thinking, thank God, I'm not in the office and I can't be distracted and I can do the stuff I
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  need to do because as soon as you're in like a collaborative environment, people ask questions
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  and want to talk and collaborate, which is great. But like you often don't get through to do this.
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  Like it's productive in a way, but like I think that just as a blanket role to be in the office
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  five days a week, it's just so close-minded in our care. Like I remember a little bit in my old
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  jobs and the number of times I would go up to my boss and be like, hey, how do I do this?
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  Hey, can I get you to check? And honestly, I almost want to apologise to him. I hope he's
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  this thing because I don't know how he got any work done with me around. Honestly, and that
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  was before work from home was a thing. Yeah, but hearing you say that's making me think if that helps
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  more junior staff figure out how to be better at their job, then it's super valuable to be around
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  your managers or people you work with because you would have massively grown and become
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  way more valuable to the company by being able to ask those questions. So I just think it's a
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  balance. I think just making it such a black and white statement is just stupid. Anyway, we can move
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  on 100%. It's like, do three days. And then you know when you're planning your week that that
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  three days is going to be really collaborative. So I will leave my work that needs deep work,
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  collaboration for those days. Yeah. And then they're deep work the other days. I think enforcing
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  three million people in the United States to work five days a week when we've adjusted
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  to this more flexible working conditions is disproportionately going to impact women.
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  I also would love to know what the stats are on like how many men and women are in that three
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  million. You know, like what is the proportion? Because yeah, if it's two million women, it's like
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  thanks Trump. Anyway, five day work week was also set up for men that had supported home.
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  Anyway, he's also moved to end birthright citizenship. So that just puts so many, so many
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  immigrants at risk of being deported. And I watched a really powerful message from the church
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  essentially to Donald Trump. It was an address to him. And some people probably have seen this. It's
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  been shared around social media quite a bit. Yeah, and it was just a really powerful video around
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  just being nice to people. You know, there's a lot of people whose lives are now at risk whether
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  it's immigrants, whether it's the LGBT community or what he says, like it's, it's just be nice.
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  Come together rather than create. Yeah, segregation. And that's honestly what I hate about all
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  this politics right now is that it's so dividing. I know you have to do that sometimes. You have
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  to be extreme to get votes and get people on board. And it almost is still almost like a scare
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  or it's just which sucks. But I'm just like there's these are real people's lives that you're
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  impacting. Yeah, I mean, I haven't seen that video that you're talking about. But the premise
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  really is that immigrants are contributing largely to the economy and society in like a really
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  positive way. There's such hardworking people this. Yeah, I think the conversation we had with
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  Nina Mohanti, which was our episode of Raising the Curve last week, if you haven't listened to it,
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  like really recommend going back and listening because the way that she spoke, her parents were
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  both immigrants to the US and they've started and really created super successful businesses. But
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  the way she spoke about immigrants in general, particularly economic immigrants. And it just gave
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  this really beautiful and different perspective on on that. And like for people that are not in
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  the state understanding what's going on or what that looks like, it's quite different in New Zealand
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  and Australia. So go back and listen to that episode. But really the messages just be kind to
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  people and appreciate the value that people are bringing regardless of where they were born and
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  where they're no living. And a lot of these massive tech companies were founded by immigrants.
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  Like there is a lot of value that's been created for the US economy by immigrants. And I think
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  yeah, anyway, I mean, we could talk for hours on this. I mean, like even Jeff Bezos and like Steve
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  Jobs, like, are either immigrants or have parents that are immigrants. And yeah, I want to
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  tell some of those people who have been very successful immigrants in the US are feeling about
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  this because even if they're sort of more Trump supporters, surely that particular policy would
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  be really difficult for anyone that's even supporting him. Yeah, I mean, Jeff Bezos is staying
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  next to him supporting him, which I just, I don't know, it's kind of scary all the power and control
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  and his inauguration that was standing next to him, whether it be Elon Musk, yeah, Jeff Bezos,
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  you know, there were Mark Zuckerberg. There was a lot of people there with a lot of power.
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  And it does give me the feeling of oligarchs in Russia and part, yeah, this is scary, scary world
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  right now. Anyway, there's a few other things before we move on. He's also already taken steps
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  to withdraw from major international climate accords. So this is, we knew this was one of his policies,
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  you know, drill, baby, drill. He wants to put money and resources into oil and gas companies,
• 13:15
  not companies that are having a positive impact on the climate. So we'll probably see more of that
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  play out, unfortunately. And lastly, he's also called for an end of these government-backed
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  diversity equity inclusion initiatives. Now, this is something we haven't really touched on,
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  but a lot of companies are pulling back on these policies. So we've had meta Amazon Boeing,
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  Ford, McDonald's, Walmart, massive, massive, massive companies because the government isn't
• 13:47
  backing these diversity equity and inclusion policies anymore. All these companies are like,
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  well, we're not going to do it either. So this is about all about having certain thresholds
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  and I guess policies in place to support diversity in the workplace. Now because this isn't
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  been a push from government, it's actually a reversal by government. All these companies are like,
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  okay, well, now we don't have to do it. We're not going to do it. And there is big campaigners
• 14:12
  out there. There's anti-DI diversity equity and inclusion campaigners that are saying pretty
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  much saying that it doesn't actually add value to an economy or business or companies, for example.
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  How the hell have we got back here? It's so embarrassing and honestly,
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  if it's just, I don't know, I have conversations with I hate to say, like boomers, sorry,
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  any boomers are listening, that's offensive too, but it is unbelievable how ignorant so many
• 14:42
  adults are in this world. And honestly, if we had power with a younger generation, we would see
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  a much better world. It's just, I don't know, yeah, I mean, even I was having a conversation with
• 14:55
  this man the other day who was talking about how minority voices get just too loud these days,
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  they're being too heard, it's just overwhelming. In fact, the majority aren't being heard. And I was
• 15:06
  just like, do you really believe that? Where have you got that from? Because it is so far
• 15:12
  from the truth. And I just, it's so hard because when these changes happen at a
• 15:17
  policy or governmental level, I don't know, it's really the top pace, right? So like pulling that
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  funding and meeting that people aren't. It filters down. Yeah. But what I don't understand,
• 15:29
  Vic, is like, why all of a sudden are people not doing it? Because don't people just generally
• 15:34
  believe that that's important? Whereas it was at only happening because there was money flowing
• 15:37
  into it. It's probably a combination of both. So there's definitely companies and people and
• 15:43
  leaders that would stand by that and definitely see value in diversity. But then there's,
• 15:49
  there's other ones that would be also feeling probably political pressure. So stepping away from
• 15:55
  that, you know, even those companies that I read out, Amazon, Meta, they're in bed with Donald
• 16:01
  Trump right now. So there is a case of, if you can't beat him, join him. And I kind of see that's
• 16:08
  kind of playing out at the moment is that Trump is very irrational and influential. So therefore,
• 16:14
  if you're on his side, you'll benefit. If you're not, you won't. It's like you're better
• 16:19
  than devil. You know that the devil. You don't kind of. Yes. Exactly. Yeah. And I think that's
• 16:24
  kind of with Elon Musk, he was like, if I can get with him and make sure that there's policy
• 16:30
  used that he's putting in that are actually positive for Tesla and the long run and all of that.
• 16:34
  You know, it's like everyone has their own personal agendas in this. Surely Elon Musk's
• 16:40
  transgender child is absolutely disowning him. There's no way if you're all of your community
• 16:47
  are being completely trampled on and your dad is standing next to that person, like you would never
• 16:53
  have a relationship. Yeah. Well, imagine the probably the hate that they're getting as well. Yeah.
• 16:58
  Anyway, I feel like we should move on because there's some other really big news, which is
• 17:04
  kind of Trump related. We're just tech talk. So I don't know if you saw so, but on
• 17:11
  was it Saturday our time? Last week. Yeah. Last, last Saturday. There was so many tech
• 17:18
  talkers kind of making these confessions. They're like, look, this is the last day on tech talk.
• 17:22
  I'm going to confess to you I cheated or something and it might have been, you know, like a really
• 17:28
  high profile couple or something. It's like, or like, I'm going to give it to you. He did it.
• 17:33
  And it was quite funny, but obviously just like having a yarn, but it had been like
• 17:38
  Molly Bay, Tommy Fury and him coming out and being like, yeah, I did cheat. You know, like it was
• 17:43
  kind of people like that. It was quite funny. Admissions of guilt because they were like, well,
• 17:47
  we may as well go out of the bank. Yeah. And then there was others that were like crying.
• 17:52
  You know, they've been on tech talk for 10 years showed like every day of their lives.
• 17:57
  So it was quite sad. Anyway, it kind of shut down for 12 hours and it's now back up. So it was
• 18:02
  was anything I think the PR and the amount of content and the amount of people that would have
• 18:06
  flocked to it for that time. It's probably done in the world of good. We'll just diversify.
• 18:10
  I think this is a really good lesson about not just diversifying platforms,
• 18:14
  diversify your revenue streams. If you're earning all your revenue from
• 18:17
  tech talk as a family by doing dances. Oh my god. Imagine. Imagine if it was being shut down
• 18:23
  and that's your entire livelihood. A hundred percent. But we're on YouTube, TikTok, Instagram.
• 18:30
  We're absolutely getting across all the platforms out. Just platforming it out. Yeah.
• 18:36
  But anyway, the platform's future is very much still in doubt. It's not. It hasn't been saved.
• 18:44
  In quotation that's it's been given a bit of a reprieve. So yes, Trump has signed an order that
• 18:50
  is has reversed the ban. But it's only given it temporary relief. So in order to save TikTok of
• 18:56
  the US, there is still the discussion that it needs to be owned not by China and by a US entity
• 19:05
  or owner. So Trump has put forward surprise surprise Elon Musk to own TikTok alongside the US
• 19:15
  government. And China is like, absolutely not. Absolutely not. But like this is the scary thing.
• 19:23
  It's kind of he's probably one of the billionaires. There's a very few billionaires that would
• 19:28
  have the money to buy it. Oh my god. And I was sitting here and I was like, well, what if they
• 19:36
  owned it? If they owned the US part, but they didn't own the entire company, which is bite dance,
• 19:41
  which is sort of Chinese company. And someone said it really well. They were like, it would be any
• 19:47
  sale of TikTok, the US, the US out of TikTok would be like buying Coke Coca-Cola, but they get to
• 19:56
  keep the secret recipe. So you have no idea what's in the Coke, but you just get the rights to
• 20:02
  promote Coke in your country. So the secret ingredient here is the algorithm of TikTok. So you're
• 20:11
  paying for the name, but that's really all you're getting is the TikTok name. You're not getting
• 20:16
  access to the backend or any of how they were. Yeah. So it would be really, really hard to
• 20:24
  grow that or make any changes or like even kill it if you're wanting to. Yeah. Everyone's like,
• 20:29
  no matter what happens here, the user experience is going to be absolute dog tucker.
• 20:34
  Dog tucker. Maybe I do say that. So if they owned just the US part, it would be almost purely a
• 20:40
  transaction from and they'd be getting the money from it and they probably have a bit of control
• 20:45
  over the type of content that's going out, but then they don't have the recipe. No, they don't
• 20:51
  have the recipe. They don't have the algorithm top data. They don't have yet all of that kind
• 20:54
  of stuff. So why bother then? I don't get it. They're trying to turn it to shit. Like,
• 20:58
  are they wanting it to plumber? So essentially, it's because the reason that the whole conversation
• 21:04
  started was that it's a case of national security. The US has essentially said that TikTok is spying
• 21:09
  on US citizens. And that's kind of like X and Instagram and Facebook and Meta and all the other
• 21:17
  platforms are not. No, but that they're in the US. This is the fact that it's going back to China.
• 21:22
  And you know that China and the US hate each other. So it's like, anyway, I think what Trump did
• 21:27
  here by saving saving the day with TikTok now puts him in a bit of a position of power of more
• 21:35
  influence that he has now probably got a lot of younger supporters on site because they're like,
• 21:44
  yay Trump saved TikTok. But he hasn't actually saved it. He's kind of given it temporary
• 21:50
  relief. But anyway, this is going to play out for much, much longer. China is not happy with
• 21:57
  a Tesla, US government buyer. So I think this could play out for much, much longer. And
• 22:03
  I'm sorry, but like imagine if someone was trying to buy the curve that we didn't want to
• 22:07
  own the curve and you were being forced to sell and you'd spent 10 years building this like
• 22:11
  billion dollar company, trillion dollar company. Of course you'd be annoyed. You'd be like
• 22:16
  absolutely gone away. Like this isn't, you don't have a say over this. But as the main,
• 22:20
  is the main like carrot dangle or problem with them saying no, is that Trump's just going to retaliate
• 22:28
  and make it even hard. Like what's worst case scenario for bite dance?
• 22:33
  What's case scenarios that they can't, they literally can't operate in America. And they lose
• 22:37
  a hundred and seventy million users on their platform. Right. That's quite massive.
• 22:41
  Yeah. The alternative is how you sell it. You still get to operate in the US. But you don't
• 22:46
  have full control is a seat chilly in a in a high level. Oh my god. It is such a ridiculous
• 22:53
  situation. Do you know what it's starting to feel like? I was just going to say, you know,
• 22:57
  how much control in like North Korea, for example, or China even having real restrictions on what
• 23:04
  people can access online and that kind of thing. I mean, it's so ironic because it's going against
• 23:11
  the whole free speech. Yeah. That America stands for and that Elon Musk is trying to like push with
• 23:18
  X and it's doing the total opposite to that and trying to congregate and control. I don't know,
• 23:23
  it's really scary. It's so dictatorship. Well, that's why it's been so much back and forth
• 23:29
  on this is because people like it's national security others are like it's freedom of speech.
• 23:33
  And so the government, yes, it has to promote freedom of speech, but it also has to protect
• 23:40
  the nation. So that's why it's been such a big back and forth. But honestly, I think this is
• 23:46
  going to be the straw that broke the camel's back in terms of the US China relations really.
• 23:54
  If they come down hard on bite dance, then China will retaliate. I mean, Trump's already put in
• 24:02
  extra tariffs of 10% on China. So that's a big FU. And then China's going to be like, well, if you do
• 24:08
  that, we're going to put tariffs on you. It's just like so much tit for tat. And at the end of the day,
• 24:15
  with things like this, we end up paying them. You know, this is yes, you might read these headlines
• 24:20
  and go, oh, tariffs this, tariff that or like, oh, tensions, oh, they're going to stop us doing that
• 24:25
  or allow us to say, the end of the day, this impacts us. So it's like, put your, yeah, you're big,
• 24:32
  you're tiny, pretty tiny, yeah, and sit down and have a cup of tea and talk like actual humans.
• 24:39
  God, I mean to that. Yeah. Anyway, also positive news, another US company Netflix has put out
• 24:51
  another incredible, incredible result. Sorry. So is this a bit of salt in the world?
• 24:57
  Yes. Every time I hear this, it's salt in the world. I just started at what point I buy it back
• 25:02
  because it's like, I just think it is going to continue to go up and up and up. But if that's the
• 25:06
  truth, then like, I should just buy now, but I just can't borrowing myself to when it's like five
• 25:11
  times more than when I sold it. I know. It is that was the hardest thing. And when I was a portfolio
• 25:17
  manager, it was like, if you sold something at like $10. And then it continued to do well. And
• 25:23
  then it's like $15. And you're like, well, no, no, I'm not buying it until I can get it cheaper
• 25:27
  if what I sold it for. Yeah. And then it might go up to $20, $30, $40. And you're like, damn it.
• 25:32
  But it's getting over that bias. It's kind of like, yeah, that sellers remorse or whatever you want
• 25:38
  to call it. But I genuinely think I think Netflix is such a great model. It added 19 million subscribers
• 25:46
  in three months, the three months to the end of December. Like how the hell are there that many people
• 25:52
  that they haven't even, you know, I'm like 19 million and 12 weeks. Like I reckon what?
• 25:58
  If I went and asked every single person I know, I probably would struggle to find one person
• 26:02
  that doesn't have that. Yeah, like, where are they advertising? You know how long I was this
• 26:06
  happening? So this was the company's best ever quarter. And it's now crossed this 300 million paid
• 26:12
  members. So 300 million people have Netflix, which I'm just saying, wow, I also get it though.
• 26:20
  Oh, totally. Yeah. They have increased their prices, though, haven't they? Yeah.
• 26:25
  And I wonder if people are starting to feel like, okay, now you're taking the first, you know,
• 26:29
  because the more expensive it gets, they really do need to be keeping up with what they're offering.
• 26:35
  That's worth that much. I don't know. It's just interesting. What's the difference in the amount
• 26:39
  that added versus like churn? This is net, this is net. So this is, this is including churn.
• 26:44
  Oh, yeah. So it's net very positive, very, very, very important. But the key thing for this,
• 26:52
  yes, you're right. They have increased prices. I'll get to that in a second. But this is all
• 26:57
  because of their foray into live sports. So this just opened up a whole other world for them.
• 27:04
  So they started with other people's content. They then went into their own content.
• 27:08
  They then went into games. They've now gone into live sports. Like they just, when you've got
• 27:13
  300 million eyeballs, we're probably 600 million eyeballs, because everyone's got two.
• 27:18
  Thank you. They're explaining. That's a lot of households who're getting it,
• 27:23
  getting two and feeding into it. It's like that captive audience is just absolute gold.
• 27:29
  I wonder what they'll go into next. Like if they do adult entertainment or anything.
• 27:33
  You know, like there's so many other like places they could go totally. And also the big,
• 27:39
  the big reason for this as well, the big step up and subscribe growth.
• 27:43
  That we've kind of seen play out of the last 12, 18 months is the crack down on password sharing.
• 27:50
  So me and you could have a netflix have one netflix between us and share our password.
• 27:54
  They've cracked down on that. So now me and you have to have separate accounts, which really
• 27:57
  are so annoying. I'm on my dad's account still like a 12-year-old. And when I log in, it's like,
• 28:03
  hi, you need to get your code sent to the email and it's like, Michael writes Gmail account. I'm like,
• 28:09
  no, damn it. But yes, you're right. They've increased the price. So they've got different standards,
• 28:15
  different tiers of their packages now. Some include ads, some don't. But if we just look at their
• 28:20
  standard standard package, it's gone from $9.99 to $17.49 now. And that's kind of $1.50
• 28:30
  increases every couple of years. But do you think do they have to legally disclose when they're
• 28:36
  increasing their prices? Is that the kind of thing that so people like, do you accept this price
• 28:40
  increase? It's not like a subtle all of a sudden you're paying more. No, it's not and do you
• 28:46
  accept it? It's like, hey, we're increasing the prices. This will be reflected in your next
• 28:49
  payment. Now you can cancel if you want to. So that's a point that you can cancel, yeah. But
• 28:55
  I don't know if they said to me, I'm increasing it by $1. I'd be like, I mean, let's still watch
• 28:59
  it every now and then. If they said they're increasing at $10, I'd be like, oh,
• 29:05
  but you do do it in little increments so that it doesn't kind of hurt as much. But also,
• 29:10
  I've just said they've had their best quarter ever. And they also announced another price
• 29:15
  increase. And Warren Buffett has said, if you've got the power to raise prices without losing
• 29:23
  business to a competitor, you've got a very, very good business. And this is exactly what we're
• 29:29
  seeing in Netflix. So Netflix is a hands down a wallet, a Warren Buffett style business.
• 29:37
  Because you have control of your customer. If you get increased prices, and they stay with you,
• 29:43
  that is the business you want to be in. And we've seen that in the share price. Netflix is up,
• 29:47
  business down. Simple as that. We've got three more quick headlines. So stick with us.
• 29:53
  The best is to come, no jokes. Very good selling. Well done, Vic.
• 29:58
  No, I'm put her in charge of writing teases. I'll give you a really good jog at the end of this
• 30:02
  podcast. Stick with us. On the luxury side of things, we've seen champagne
• 30:08
  shipments actually drop significantly. So this is the second year that champagne shipments have
• 30:15
  dropped. And we've spoken broadly about this whole luxury sector really seeing us slow down.
• 30:22
  Like we've seen it with a lot of the luxury names, like LVMH, so Louis Vuitton Mohinise,
• 30:28
  we've seen it with Kering, which runs Gucci, Hermes. There's a lot of these luxury names that
• 30:32
  are struggling because people are cutting back on spending. And one of those is in the champagne
• 30:39
  industry. So it's shipments are now kind of back to their lowest levels since 2001. COVID
• 30:46
  aside, because COVID, we were locked down. We were really celebrating a hell of a lot. But
• 30:53
  yeah, it just plays into this whole luxury slowdown that we're seeing. Do you think that's like,
• 30:58
  what do we take from that? What's the insight here? Are we thinking that overarching like a lot of
• 31:04
  big luxury brands are going to be like finding it really tough? And what does that kind of mean?
• 31:10
  So yes, we are seeing a big slowdown in the luxury side of things. And what this would mean is
• 31:17
  a lot of them are great businesses, but there are periods of time when they don't do well.
• 31:23
  So if you own these businesses, I wouldn't panic, but you have to take that long-term view because
• 31:30
  there is going to be periods of time when people aren't spending and aren't spending on luxurious
• 31:36
  things like champagne. And therefore, that's going to impact their revenue, their share prices.
• 31:42
  But if you still believe in the business, then hold on. If you're like, you know what,
• 31:46
  I actually want to put my money elsewhere. I think this this luxury theme is going to pay out
• 31:50
  for a lot longer. I thought, though, with problems in the economy or people struggling
• 31:56
  financially, luxury brands generally don't get hit. Like, I'm sure we've spoken before about,
• 32:01
  you know, in the biggest recessions ever, Ferrari lists for weightless for, you know, really
• 32:06
  expensive cars and whatnot is still always, there's still always demand for it. So why in this
• 32:12
  situation are we thinking it might be different? Should we do a bit of research on that? That would
• 32:16
  be really interesting to do in the investing club actually, Vic. I'd love to know more about that.
• 32:21
  Yeah. I think one thing from this that kind of concerns me is that, you know,
• 32:27
  shipments are down to their lowest level since 2001. That's 23 years ago. Oh, shit, I thought you
• 32:34
  met 2011 or 2021. I didn't quite register. Yeah. That kind of shows me that this might be a bit
• 32:39
  more of a structural thing, if that makes sense. So like, it's not, you know, cycles tend to go a
• 32:45
  couple years, you know, five or 10 years. Like, this is this we're going back to your levels,
• 32:51
  haven't seen since it's 20 to 2001, which makes me think, maybe this is a function of also,
• 32:57
  there is other alcoholic products that people are enjoying right now, or people aren't drinking,
• 33:03
  or you know, there is a bit more more at play. So I would kind of, this would be something that I
• 33:07
  would watch a bit more closely. I probably wouldn't react right now, but it's more something to be
• 33:12
  aware of. And you're probably seeing this play out with your friends, you know, you're sitting down,
• 33:17
  ordering a cocktail. You're probably not ordering the most expensive one or the most expensive
• 33:21
  bottle of champagne or wine. You'll probably like, you know what? I just want to be a bit
• 33:25
  conscious of the fact that everyone's feeling a bit of the pinch right now. And so, you know, maybe
• 33:31
  we go for a cheaper bottle of wine or a, or a prosico or something that's not top of the range.
• 33:37
  Becca, I wonder if we put open in this conversation because I would really like to go into,
• 33:42
  you mentioned the structural growth industry and maybe it's changing behaviour that's a bit,
• 33:46
  you know, on a bigger scale. I think there would be a really good lesson and example to go into
• 33:51
  on the investing club in new detail, because I think that it's, there's a lot we could talk about,
• 33:56
  that we probably don't have time right now. But if anyone is wondering, we'll put the link to the
• 34:00
  investing club in the podcast show notes, but we do go into much more detail on investing ideas
• 34:06
  and learnings. It's like, you know, it's kind of like this podcast, but on crack in a, yeah,
• 34:11
  legal way. Two other quick things, New Zealand inflation. So, inflation is 2.2% now in New
• 34:19
  Zealand, which is great. When we want to be in that two to three percent range, so we've been
• 34:25
  really high with comeback down, which is really, really good. And then lastly, Puma. Puma? Do you
• 34:30
  say Puma or Puma? I'm pretty sure it's Puma. Puma. I always used to say Puma, but I'm pretty
• 34:37
  sure it's Puma. Puma. No, it sounds American to me. Puma. Yeah. Anyway, this is a German company,
• 34:44
  not American. Yeah, it's been really, really struggling. It's missed its estimates for
• 34:49
  fourth quarter. So, companies always put out kind of what they think the quarter revenue or
• 34:54
  profitability will be. They've missed that. So, investors aren't happy. Share prices down
• 35:00
  50% over the last five years. So, if you'd had shares in Puma, you would not be a happy
• 35:05
  camper. I reckon that you say that everywhere, though, no one's really wearing Puma. It's not,
• 35:09
  I don't feel like it's a super popping off brand. Particularly with Adidas, the Adidas
• 35:14
  Sanders, all of that. It's just been really, really a real struggle for them. So, I don't know,
• 35:20
  for this company, if there's, if other footwear companies see value in Puma and the Puma brand,
• 35:26
  they could be looking to purchase it. Now, because when companies are on their knees like this,
• 35:32
  the shark starts circling. And that was all from me. I loved that,
• 35:36
  thank you for making me feel so smart and onto it. No worries, my brain kind of hurts.
• 35:41
  You did a good job. We went through a lot just then. There was a lot of
• 35:45
  intense conversations. Yeah. Okay, do you have any financial flexors or financial faux
• 35:52
  paths for the week that you could share? I've got a really bad one. I think I need to wait
• 35:56
  and share this another time, though, when we're doing a bunch of property content coming up,
• 36:00
  I think it might be, I might save that, but I've had an absolute faux path this week
• 36:06
  with regards to trying to get a mortgage. Oh, my effing god. Oh no, what happened? Can you just
• 36:10
  tell me? Look, all I say is check your credit scores. Check to make sure you don't owe money
• 36:19
  without realizing it because it is so annoying when you've moved househapes, like I've moved so much.
• 36:26
  And so they obviously can't contact me. So I have no idea if I owe money to anyone. Like,
• 36:31
  I've never, I'm also like, who is still sending a bloody letter? That's what I mean.
• 36:36
  Electricity company is sending a letter. I'm sorry. This is exactly what it was. It was an
• 36:40
  electricity company. And I was just like, guys, get digital. Like, how are you trying to send
• 36:45
  something to it and address from 2021? And like, oh, of course, I'm not getting it. Sorry, but like,
• 36:52
  and I'm not trying to put the blame on other people, but I mean, honestly, there needs to be some
• 36:56
  kind of tech that congregates so that you can go in and see if you owe money because if only
• 37:02
  there was like a digital, a digital letterbox that they could send things to. Oh, that's a good
• 37:08
  idea. Like, maybe an email inbox. An email inbox. Yeah. Absolutely. Oh, you poor thing. Okay,
• 37:17
  well, looking forward. We're not really, but yeah. No, I think I'm feeling positive. I'm pushing
• 37:22
  through. Also, I know that we've already said this on socials, but our investing club launch
• 37:28
  party, which is in like a week is sold out, which is so exciting. So there's lots of updates that
• 37:33
  we'll share with everyone once we've made them. And you can join and blah, blah, blah, but
• 37:38
  some very exciting things to come for the investing club. And you know, we're really proud and
• 37:43
  really excited. And once we can stop being so vague and actually tell you, we will probably next
• 37:48
  week. Yes. Very exciting. I can enjoy Jill Dean. No, you enjoy Northland. Thank you so much for
• 37:56
  listening to the Curve Weekly. Make sure you hit the subscribe button to stay up to date with
• 38:00
  all the many business stock market news. And if you like what you heard, we would love a review.
• 38:05
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• 38:10
  hated it. No, but in all seriousness, could you please leave a review? Because it really helps
• 38:14
  other people find our cute little podcast. And we hope you have a good week and see you next Monday.
• 38:19
  Bye. Bye. See you next Tuesday. Wow. See you next Tuesday. I mean Monday. No, actually though,
• 38:29
  new episodes out every Tuesday. Okay, quickly, the Curve was created to empower and educate
• 38:37
  you about investing, but we are not financial advisors. Our platform exists for educational
• 38:42
  purposes only and it doesn't provide personalized investing advice for your individual needs and
• 38:46
  should not be relied upon to make an investment or financial decision and always remember to do
• 38:51
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• 38:55
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• 39:00
  Yeah, we know you got this.